Defeating Inducement Matters
Both plaintiff Opticurrent, LLC and defendant Power Integrations have filed Federal Circuit appeals after District Judge Edward M. Chen, in a June decision, trimmed an earlier jury award to Opticurrent from $6.7M to $1.2M. In posttrial briefs, Opticurrent had defended the jury’s identification of a three percent royalty rate and its application to a base that included all products that ended up in the US, even if imported by third parties. The NPE relied on the same theory used in the Carnegie Mellon v. Marvell case, which saw damages awarded on such imported products based on the defendant’s original, domestic design work. The court distinguished the case before it from Carnegie Mellon based on a pivotal jury finding: that Opticurrent did not prove inducement of infringement. As a result, Judge Chen applied a six percent factor to the relevant Power Integrations sales figures to limit the royalty base to direct sales into the US by the defendant.