Expansion of ITC Domestic Industry Coupled with PTAB Immunity = Greater ITC Appeal

Since Ebay v. MercExchange in 2006, patentees have lamented the practical loss of injunctions in most patent litigation. In the 20 years since, neither the courts nor Congress have shown any interest in revisiting or recalibrating Ebay. Of course, patent infringement complainants before the International Trade Commission (ITC) have always been guaranteed a form of special injunctive relief (exclusion orders), but the ITC’s “domestic industry” jurisdiction has always been construed narrowly by the agency. Given the limited jurisdiction, despite the desirable form of relief, ITC proceedings have been far less common than traditional district court litigation.

Last week, however, the Federal Circuit rejected the ITC’s longstanding and narrow view of domestic industry, potentially opening its doors to a far greater percentage of patentees. Independently, the USPTO’s Patent Trial & Appeal Board (PTAB) also withdrew its Biden-era discretionary guidance last week, which prevented discretionary denials under 314(a) on IPR petitions co-pending with an ITC action. The upshot of these near simultaneous developments is that the ITC is now available to a greater number of patentees, at a time when filing at the ITC may also effectively guarantee immunity from PTAB review.

That is a one-two-punch that no plaintiff-friendly Texas court can rival. Continue Reading Did Injunctions Just Make a Return to U.S. Patent Litigation?

POP to Decide Further Extension of 314(a)?

A year or so back, I discussed a 314(a) dispute at the Patent Trial & Appeal Board (PTAB) where the Board considered a co-pending ITC investigation. In that decision, the Board instituted trial, pointing out that “the ITC does not have the authority to invalidate a patent and ITC decisions do not necessarily pertain to the issues raised in an inter partes review petition.”  More recently the applicability of ITC investigations to a Fintiv factor 314(a) analysis was raised in Garmin International, Inc. v. Koninklijke Philips N.V., (IPR2020-00754).

In Garmin, the Board found that a co-pending ITC investigation favored a denial of institution. The case is noteworthy as in assessing the Fintiv factors, the Board effectively made clear that any petition concurrent with an ITC filing should be denied.

Now the dispute is up for consideration by the Precedential Opinion Panel (POP).
Continue Reading 314(a) To Block All ITC Disputes from PTAB?

Commission Awaits PTAB Result – Sometimes

Under Section 337 of the Tariff Act of 1930, the International Trade Commission (ITC) is required to conclude its investigations and make determinations “at the earliest practicable time.” 19 U.S.C. § 1337(b)(1). This mandate for speed in ITC proceedings drives the Commission forward despite parallel Patent Trial & Appeal Board (PTAB) proceedings. The fact that the ITC, unlike district courts, cannot award monetary relief only contributes further to the Commission’s aversion to stays pending PTAB review.

Increasingly, however, PTAB proceedings concluding prior to enforcement, are catching the eye of the Commission. In such scenarios, an adverse PTAB ruling against a subject patent can result in a suspension of enforcement.Continue Reading PTAB Speed vs. ITC Speed

General Plastic Factors & Follow-on Petitions

Last September, the Patent Trial & Appeal Board (PTAB) held that the advanced state of a district court proceeding militated in favor of denying a petition for IPR in accordance with the General Plastic factors (NHK Spring Co. Ltd. v. Intri-Plex Technologies Inc). Given this holding, Patent Owners may now consider speedier forums, such as the International Trade Commission (ITC) as providing incremental protection from a PTAB challenge.

Last week, the Board clarified that consideration of late stage parallel proceedings is done only in the context of assessing discretionary institution of “follow-on” petitions under 35 U.S.C. § 314(a).  In doing so, the Board also highlighted that an advancing ITC action (even in a follow-on petition scenario) may be of a lesser concern than a district court proceeding given its unique nature.
Continue Reading Co-Pending ITC Action Less of an Equitable Concern for PTAB?