by Eric M. Reifschneider and Robin J. Lee of Cooley Godward Kronish, 7/24/2007
The law of patent licensing has been plagued for years by uncertainty regarding what can happen when the licensee, after entering into a royalty-bearing license agreement, wants to challenge the validity of the licensed patents and thus contest its obligation to pay royalties to the licensor. A recent Supreme Court decision issued on January 9, 2007, MedImmune v. Genentech, clarifies one area of uncertainty, but several others remain. As a result of this decision, both licensors and licensees should reassess their options and their strategies, both before and after entering into license agreements.
This week, we look to Eric M. Reifschneider and Robin J. Lee of Cooley Godward Kronish for more insight into this high stakes matter.