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What is State of Innovation?

This blog is devoted to intellectual property innovation, patent law and innovation. The moderator, editor, and main author is Dale B. Halling. Mr. Halling is a patent attorney and entrepreneur. As a patent attorney, Mr. Halling has represented numerous Fortune 500 companies including McDonnell Douglas, Boeing, Motorola, Ameritech, SBC, MCI, Cypress, and numerous technology start-ups. He has helped his clients obtain patents worldwide. Mr. Halling has a BS in Electrical Engineering from Kansas State University, an MS in Physics from the University of Texas at Dallas and a JD from St. Louis University. Mr. Halling is the author of the book “The Decline and Fall of the American Entrepreneur: How Little Known Laws are Killing Innovation.”
Gunn v. Minton: Bad for Patent Attorneys and Patent Law

In a unanimous decision the Supreme Court ruled that State Courts have jurisdiction over malpractice cases related to patents.  Gunn v. Minton, No. 11-1118, 2013 WL 610193 (U.S. Feb. 20, 2013) .  At first glance this would appear to be an unimportant decision.  But state courts do not understand patent law.  How can they decide if there was a malpractice if they do not understand the underlying law.  Most likely the judges also will not understand the underlying technology associated with the patent either.  So what you will have is a judge that neither understands the facts or the law.  Talk about kangaroo courts.  And the AIPLA supported this nonsense.  The AIPLA has proven that it is not a defender of US

 
Cyprus: Banks Should Go Bankrupt

Why is it that every other business in the world can go bankrupt except banks?  Bankruptcy ensures that the assets are quickly put back into productive use and that we do not throw productive resources into unproductive (failed) enterprises).  Bankruptcy ensures that market feedback mechanisms are preserved so that bad investments and bad management are not rewarded.  Bankruptcy is not always bad and not all bankruptcies are the result of mistakes (or worse) on the part of investors or management.  But even in these cases it is important to refocus people on new enterprises not having them hold on to failed enterprises.  As the saying goes in business,

 Never
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John Locke vs. Ayn Rand

This paper is exploratory not definitive.  Comments and input is greatly appreciated.  My interest in the comparison between Rand and Locke started when I wrote my book The Decline and Fall of the American Entrepreneur.  My investigation was spurred on by reading the excellent book The Power and the Glory: The Key Ideas and Crusading Lives of Eight Debaters of Reason vs. Faith, by Burgess Laughlin.  In my opinion, John Locke
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Steve Forbes is Wrong on Patent Pools

In an opinion piece on Fox News entitled “America’s patent system is all wrong for today’s high-tech world”, Mr. Forbes argues that “patent holding entities that do not produce anything in the way of devices or technology are disrupting the free market and stifling innovation for consumers.”  Patent pools were first created during the sewing machine patent wars in the 1850s.  (For more information see Adam Mossoff’s excellent paper The Rise and Fall of the First American Patent Thicket: The Sewing Machine War of the 1850s....read more...


 
Wright Brothers Didn’t Invent the Airplane and Edison Didn’t Invent the Light Bulb

Fox News has an article, Wright brothers flew 2 years after Gustav Whitehead, Researcher Claims, that suggests that Wright brothers did not invent the airplane.  The article is correct; the Wright brothers invented the system that allows for controlled, powered flight.  Their plane used wing wrapping, but their patent application made it clear that they could use control surfaces (ailerons, elevators, and rudders).  Rudders were known before the Wright brothers.  The article suggests that Whitehead was the first person to achieve powered flight, but this is clearly incorrect.  There were numerous people before Whitehead and the Wright brothers who had achieved powered flight.  Others had also understood the need for a
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Administrative Processes for Challenging a Patent (Application)

Here are the four ways to administratively challenge a patent or patent application.  Note that I do not consider an ITC (International Trade Commission) case an administrative challenge.  The challenges are organized from least expensive and complicated to more complicated and expensive.

1. Pre-Issuance Submissions by Third Party

35 U.S.C. §122(e)

37 CFR §1.290

For more information see http://www.uspto.gov/forms/3prsubmission_instructions.pdf.

This process only allows one to submit printed publications, including published patents and patent application
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Guest Post: Engine That Drives The US Economy

This story starts about 1982. At the time we were doing job shop work One of the Engines that drives the US economy is the US patent system. Any talk about changing it or doing away with it is stupid. The rewards that a patent can bring are a huge incentive to create. Without the US patent system, I would be near destitute. I have 28 patents I have had 5 licensing contracts. Some of these are world wide successes now.  Do a Google search for my  and get over 30,000,000 hits. Without US patent protection, I wouldn’t have had an incentive to create these inventions. Anyone who says the opposite is juvenile-stupid or worse. This is why inventors from all over the world are flocking
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Reason Magazine: Using Emotion and Faith to Advance their Anti-Patent Agenda

Reason Magazine has released a video, entitled How Patent Trolls Kill Innovation.  The magazine banner states that they support “Free Minds and Free Markets” but this video relies on the same irrational, emotion driven logic as the media.  I cannot point out all the errors in this video, but below I will highlight some of the major points.  Before I do that , let me show some of the sleazy attempts by Reason Magazine to use emotion and hidden assumptions to advance their argument, instead of reason and logic.


 
Why Judges on the CAFC Should be Required to be Patent Attorneys

DYSTAR TEXTILFARBEN GMBH & CO DEUTSCHLAND KG, Plaintiff-Appellee, v. C.H. PATRICK CO., and Bann Quimica LTDA, Defendants-Appellants, 464 F.3d 1356, 1368 (Fed. Cir. 2006) illustrates the problem of non-technical, non-patent attorney judges on the CAFC.  I suspect this case will cause more and more problems.

The case states:

Indeed, we have repeatedly held that an implicit motivation to combine exists not only when a suggestion may be gleaned from the prior art as a whole, but when the “improvement” is technology-independent and the combination of references
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Sale Price of Patents

According to IP Offerings the median value of patents sold in 2012 was $221,000 and the average price of patents sold in 2012 was $373,573.  The full report lists transactions by date, buyer, seller, and technology area. The report appears to cover 6985 patents.  The most valuable patents appeared to be in the WiFi space and then the wireless handset space.  It seems unlikely that this report could be comprehensive, since so many of these deals include a non-disclosure clause.


 
 

 

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