Lawyer Commentary Mondaq United States Future Tense In Contractual Language Found Insufficient To Convey Title, Depriving Party Of Right To License Patent

Future Tense In Contractual Language Found Insufficient To Convey Title, Depriving Party Of Right To License Patent

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Applying recent Federal Circuit precedent requiring language evincing a present conveyance of patent rights, a district court in the Western District of Pennsylvania found that the contractual language 'shall become the property of' did not constitute a patent assignment and did not confer a third party the right to license the patent.

Plaintiff Lambeth Magnetic Structures, LLC (LMS) filed a patent infringement lawsuit against Defendants Seagate Technology (US) Holdings, Inc. and Seagate Technology LLC (collectively, 'Seagate'). Seagate filed affirmative defenses, including lack of standing and express license. LMS subsequently moved for summary judgment with respect to those defenses on the basis that U.S. Patent No. 7,128,988...

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