Press Release

CPF Statement Regarding House Judiciary Committee Hearing on Abusive Patent Litigation

WASHINGTON, D.C. – The Coalition for Patent Fairness (CPF) applauds Chairman Bob Goodlatte, Subcommittee Chairman Howard Coble, and the members of the Subcommittee on Courts, Intellectual Property and the Internet for holding today’s hearing on the economic impact of abusive patent litigation in the United States. The witness testimonies spoke to the heart of the problem with America’s outdated patent system, underscoring that the economic consequences of abusive patent litigation extend far beyond Silicon Valley and are increasingly affecting American innovation and job creators on Main Street.

As today’s testimonies showed, Patent Assertion Entities (PAEs), commonly referred to as “patent trolls,” are not limited in their targeting. For large companies, the costs inflicted by patent trolls are significant and burdensome, and for small companies and startups, the financial fallout can be absolutely devastating. Studies find that the victims of this game of patent extortion are often the small and medium-sized businesses that are essential to innovation and job creation in the United States, and the impact on them is growing.

According to a recent study by Santa Clara University School of Law professor Colleen Chien, companies making less than $100 million annually represented 66 percent of the defendants in patent troll litigation, and more than half of those defendants had less than $10 million per year in revenue.

The members of the CPF support Congressional efforts to reform an outdated patent system that is long on litigation and short on common sense, and they look forward to working with Congress as they aim to strengthen the U.S. patent system and protect the very job creators, of all sizes and across industries, that are powering America’s economic recovery.

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The Coalition for Patent Fairness is a diverse group of companies and industry associations dedicated to enhancing U.S. innovation, job creation, and competitiveness in the global market by modernizing and strengthening our nation’s patent system.

Adobe
San Jose, CA

Cisco Systems
San Jose, CA

Dell
Round Rock, TX

Google Inc
Mountain View, CA

Intel Corporation
Santa Clara, CA

Intuit
Mountain View, CA

Oracle
Redwood Shores, CA

Rackspace
Austin, TX

BlackBerry
Dallas, TX

SAP America, Inc.
Newtown Square, PA

Verizon Communications Inc.
New York, NY

Contact: Kate Connors, Kate.Connors@StoryPartnersDC.org

For more information, visit http://www.patentfairness.org.

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