U.S. Supreme Court Expands Rights of Patent Owners to Recover Lost Foreign Profits -
Background -
On June 22, 2018, the U.S. Supreme Court in WesternGeco LLC v. Ion GeoPhysical Corp. determined in a 7-2 ruling that patent owners are entitled to their profits that were lost overseas under the general patent infringement damages statute, 35 U.S.C. § 284, if they prove infringement under Section 271(f ) (2) of the Patent Act. Although its 10-page decision was narrow, the courts expanded the rights of certain patent owners.
Procedural Background -
WesternGeco (“WesternGeco”) initiated a patent infringement action under Sections 271(f)(1) and (f )(2) of the Patent Act against ION Geophysical Corporation (“ION”) in the Southern District of Texas, asserting four patents related to lateral-steering technology to survey the ocean floor. In its suit, WesternGeco accused ION of manufacturing components for a competing system in the United States before shipping them to companies overseas to be assembled. Notably, WesternGeco did not license or sell its technology but rather used the technology itself to perform surveys for its clients.
Please see full publication below for more information.
