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Douglas Panzer
March 13, 2015

Large Attorney’s Fees Award in Patent Case Threatens National Security

Posted By Douglas Panzer @ 12:14 pm
Filed under: Attorney's Fees,Litigation,Patent Litigation

You gotta hear this one! In the ongoing saga of Kilopass v. Sidense, a patent infringement case in the Northern District of California. Kilopass brought the suit alleging infringement of three patents, false advertising, disparagement, intentional interference…the kitchen sink. Through several rounds of motions, the claims were all eventually dismissed and the dismissal affirmed by the Federal Circuit. Sidense moved for its attorney’s fees, asking for over $5 million (and a bump to $9 million based on a contingency bonus clause in its fee agreement).

Arguing against the fee assessment, Kilopass actually filed a brief arguing that faced with such a large fee award,”Kilopass (a) would go bankrupt, (b) it would no longer be able to fulfill contracts with defense contractors, (c) these contractors would not be able to find adequate substitutes, and (d) this would in some way which Kilopass has failed to articulate result in harm to our nation’s safety.” Yes, they really made that argument. The fee award against them would be a threat to national security. A hail Mary if ever there was one.

As the judge said…the court was not persuaded. Fee award for $5.3 million.

PDF of the Order Here: Kilopass v Sidense Attorney’s Fees Order

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