USPTO Rejects Two Rambus Patents… After It's Used Them To Win Patent Cases Against Companies

from the presumption-of-validity dept

Rambus has been one of the much more aggressive patent players out there, basing its entire business on suing companies for supposedly infringing its patents on chip designs. The latest is that two of the company’s key patents, which had already been used to win ITC cases against Nvidia, HP and others, have been ruled invalid by the USPTO. Stories like this are why we wonder about the presumption of validity in patents, and also question why court judges and the ITC are still willing to decide cases, even after the UPSTO is re-examining them (a process that almost always leads to rejected claims). Of course, for Nvidia and HP, there’s nothing they can do now. Even though the patents were later declared invalid, the fact that they already paid up (and any others who felt pressured into a license) isn’t something that gets unwound. Of course, all this does is encourage more bogus patent infringement lawsuits, knowing that as long as you can get a judge to rule before the USPTO can review, you could be golden…

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Companies: rambus

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Comments on “USPTO Rejects Two Rambus Patents… After It's Used Them To Win Patent Cases Against Companies”

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27 Comments
Anonymous Coward says:

Re: Oh No

Most patent trolls are judgment-proof entities. They are shell companies, run by unknown persons. Their registered offices are kept permanently empty. When the cops come knocking, there is never anyone there.

The interesting thing here is that Rambus is not judgment proof. They used to make stuff, so they have real, known directors, who can be held liable.

CommonSense (profile) says:

Re: Re: Re: Re:

the fact that any are reversed is a symptom of everything being broken. There should be absolutely NONE reversed, because a reversal is a failure to catch a bad application, that should have been rejected in the first place. Fix that, then no more reversals, and we don’t really need to worry about this type of thing, even as an exception. So you’re not, not everything is broken, just the foundation, which makes everything else look broken…

Anonymous Coward says:

Re: Re:

If a law is unconstitutional, it is still on the books and is known. If a patent is found to be not patentable, you aren’t told about the patent, and you implement something in your product that looks to be not patentable.

There is defense to the former, even if the law is unconstitutional, follow it. There is no defense to the latter, short of not making anything at all, as a wrong patent could potentially include anything.

Anonymous Coward says:

The reexamination of an issued patent by the USPTO is an administrative proceeding that is subject to later review by the CAFC.

Much is made here about USPTO decisions declaring issued patents invalid in light of prior art cited during the reexamination, as if this is a final decision on the merits. Most assuredly it is not since a patentee whose patent is declared invalid in such an administrative proceeding may either appeal the decision directly to the CAFC or may file a civil action in Federal District Court (with any subsequent appeal to the CAFC).

To illustrate, a flurry of articles appeared when the USPTO declared at the conclusion of the reexamination proceedings that all 8 of the patents asserted by NTP against RIM were declared invalid. What goes unnoted is that when the decision was appealed by NTP to the CAFC the court reversed the USPTO decision in 7 of the 8 patents that were reexamined.

The point to be made is this. An adverse decision on reexamination is not the final word, and for those who latch on to decisions by the USPTO as proof that a “bad” patent got through the system, they are acting hastily in a process that is far from over.

Mike Masnick (profile) says:

Re: Re:

The point to be made is this. An adverse decision on reexamination is not the final word, and for those who latch on to decisions by the USPTO as proof that a “bad” patent got through the system, they are acting hastily in a process that is far from over

I love the fact that you’re the first to jump up and down and support the presumption of validity based on 18 hours of study by an examiner, but when it comes to rejecting patents, you say “oh no, you have to wait.”

Try again.

Anonymous Coward says:

Re: Re: Re:

You must have me confused with someone else since nowhere did I talk about the “presumption of validity”.

I talked simply about the fact that agency actions are typically subject to judicial review, and failing to make any mention of this in an article represents a glaring omission, using NTP as an example of why this is so.

Since you happened to mention in the article a prior ITC action, it would be useful for you to add 19 USC 1337 to your “should read” list. A “337” action before the ITC serves a fundamentally different purpose, is a fundamentally different process, remedies available are very limited, etc. Doing so you would quickly discover that concurrent ITC and Federal District Court actions are not even close to being equivalents.

As for the “presumption of validity” you mention in your response, you might find i4i v. Microsoft quite informative.

Robert Freetard says:

If the patents are invalid, why can't it be "unwound"?

Whatever agreement or judgement that was arrived at was under the false assumption that the patents were valid. What prevents Nvidia, HP and ETC from getting those judgements reversed?

The ability to do that would certainly have a suitably chilling effect on patent trolling with poor quality patents.

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