Benefiting From Patent Litigation Contingency Fee Agreements

By Tammie Caldwell


A patent owner would win an infringement on their patent case should they prove that an offending party used their patented technology and idea without permission. A defendant would then attempt to demonstrate that the patent in question was either invalid, unenforceable or no infringement had taken place. Fees charged by attorneys to represent aggrieved individuals or institutions in such cases are often high. An option to reduce such expenses would be taking advantage of patent litigation contingency fee arrangements.

You get a patent as public recognition with restriction rights on the use of your invention or idea. Someone infringes on these rights by selling, using or making your invention without your express permission. You are engaging in patent litigation when you sue a person who has infringed on your patent.

Taking advantage of contingent fee arrangements reduces out of pocket costs. In such an arrangement, the attorney deducts their fees from a settlement amount. Certain expenses, however, require out of pocket payment such as expert witness hiring, travel, transcripts, filing fees and conduction of depositions.

This arrangement gives you an opportunity to seek redress for breach of your intellectual property through a lawsuit you could not have otherwise afforded. You also drastically reduce the risks of loss in the litigation because you will pay your attorney not for the hours they work but for their results. This arrangement highly motivates your attorney to settle the lawsuit in your best interests.

While the lawsuit progresses, the offending party through their attorney could decide to settle by paying you an amount lower than you seek. If your attorney detects weaknesses in your case, they may ask you to consider a settlement. Conversely, the offending party attorneys may have confidence they would win the suit and could advise their client to await the conclusion of the suit because their settlement amount would be bigger.

Upon accepting to litigate your lawsuit via contingent basis of fee charging, your intellectual property infringement law firm will aspire for optimum performance. Your case will be very cost effective while taking a very short time. This is the opposite for law firms whose retainer pays for hours worked. Such practices conduct long and numerous depositions. Their practice rests upon long proceedings as they send several attorneys to conferences and hearings. These activities augment billing hours paid for by a client. Such practices are rare should your attorney charge you based on contingency fee agreements.

Once an intellectual property infringement lawyer is consulted, they will evaluate a case very carefully to find out how high a settlement would be. Should the case be weak, have numerous issues or lack credibility, most lawyers may decline the engagement. Should a lawyer take a case, it would be because of their confidence in winning on investment of adequate efforts.

Your attorney needs all the help they can get from you, which gives them better chances of success in the lawsuit. You would be prudent to provide all requested information immediately. Having a wonderful working relationship with your lawyer during a lawsuit about breach of your intellectual property rights is vital. It will raise your odds of winning a big settlement and large fees for both of you.




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