David A. Gauntlett, Gauntlett & Associates

Intellectual property cases are expensive to litigate. When a brand owner finds itself charged with infringement of intellectual property rights, it is always worth a close examination of any applicable insurance policies to determine whether the carrier has a duty to defend the claims.

Here are five key points that intellectual

—David A. Gauntlett, Gauntlett & Associates

Reversing the district court, the Tenth Circuit found a duty to defend claim asserted by RAKTL under various business method patent claims. In so finding, the court reached a distinct result from that achieved in Discover Financial Services, LLC v. National Union Fire Ins. Co. of Pittsburgh, PA, 527 F. Supp. 2d 806 (N.D. Ill. 2007).

The different result flowed from the advertising technology patent at issue in the Dish Network suit. Notably, in Discover, those business method patent claims that involved “advertising methods or technology” were not set for trial. Thus, as of the date that a defense was adjudicated in the Discover case, there was no potential for coverage in the court’s view because the cases poised for a trial did not address any advertising technique patent claims. Moreover, National Union’s policy language was distinct as it limited coverage to “injury arising solely out of your advertising activities as a result of” one or more of the four types of offenses. Id. at 208.

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