The Benefits Of A Patent Litigation Contingency Fee Agreement

By Lena Stephenson


A patent is a right to exclude other enterprises or people from using, making or selling an invention. Patent infringement occurs if another entity besides the person or company that owns the patented invention makes, sells or uses it. Patent litigation is the lawsuit that results from this intellectual property infringement dispute.

In order to win a patent infringement lawsuit, a plaintiff must prove that the defendant has infringed on the intellectual property by using it without permission. The defendant will try to prove that the patent is not valid, is unenforceable or that it has not been infringed on. Patent litigation fees are usually high. For this reason, many people and enterprises filing such cases opt for patent litigation contingency fee arrangements.

People who opt for contingent fee agreements are usually able to reduce their out of pocket costs. These agreements eliminate attorney fees, but plaintiffs still have to meet the costs of litigation. These costs include those associated with traveling, paying expert witnesses, depositions and transcripts as well as filing fees.

A contingency fee agreement also enables people to pursue intellectual property infringement cases that they may otherwise not have afforded. It also allows plaintiffs to minimize the risks of litigation and pay their attorneys for the results they obtain, rather than the number of hours worked. In such an agreement, intellectual property lawyers are also motivated to settle cases, if the settlements are in the best interest of their clients.

As your case progresses, the defendant and his or her lawyers may offer to settle it by paying an amount that is less than the amount you are seeking. If weaknesses have appeared in your case, the lawyer may urge you to consider settlement. However, if the professional is confident that you will win the case, he or she will advise you to wait until the end, because a large damages award will also be beneficial for him or her.

When an attorney charges a contingency fee, he or she also tries to speed up the litigation process. Most of the law firms that charge hourly fees usually send a number of lawyers to conferences and hearings, conduct numerous lengthy depositions and prepare long proceedings. This can significantly increase the number of billable hours. Fortunately, this never happens in contingency fee agreements.

After you contact an intellectual property lawyer, he or she will evaluate your case thoroughly to determine if there is a chance for getting a large settlement. If your case has many issues, is weak or is not credible, the attorney may not take it. If an attorney agrees to represent you, this is a good sign that he or she is sure that after putting in adequate effort, the outcome will be good.

Plaintiffs can raise the chances of winning an intellectual property lawsuit if they assist their lawyers as much as possible. For example, they should provide the professionals with the information they request quickly. It is crucial for plaintiffs to try their best to have good working relationships with their attorneys because they will all benefit if the outcome is good.




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