Monday, November 27, 2017

The Supreme Court's Blockbuster Patent Case: What You Need to Know

By Jeff John Roberts 12:47 AM EST

The Supreme Court has heard some big intellectual property cases in recent years, but nothing like this. On Monday, the court is hearing a constitutional challenge that could topple a major pillar of the current patent system, and send economic ripples through the tech and retail sectors.

The case, known as
 Oil States, is about a procedure for challenging questionable patents at the Patent Office. But it also raises fundamental questions about the nature of property and the role of juries, and has led everyone from Apple to the AARP to dozens of law professors to weigh in. Here’s a plain English guide to the case.
What is the case about?

The case turns on a 2011
 law that created a new way to challenge the validity of a patent. This method, known as inter partes review, involves specialist judges at the Patent Office, and is faster and less expensive than going to federal court.

When a firm called Oil States Energy Services tried to sue a rival for patent infringement, the rival went to the Patent Office under the 2011 process and said the patent shouldn’t have been granted in the first place. The Patent Office agreed and cancelled the patent.

Oil States is now claiming the whole Patent Office review process is unconstitutional. The company argues its patent was a type of property that can’t be taken without proper compensation, and that the process should take place before a jury in federal court.

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