There are several reasons why companies do these things.
It's possible this new "exclusive licensee" is in place because the original plaintiff doesn't have the cash to fight the legal battle all the way through. WiAV will probably pay the expenses in exchange for 30 to 50 percent of whatever they win (or get from settlements).
OR, the licensor set this up to get preferential tax treatment (in other words, tax shelter)... which could end up being a pretty substatial amount of money... think about going from being taxed at 35% to 15% ...
There are companies that make a living doing these things... they are all pretty shady tho. The IRS doesn't exaclty look highly upon tax shelters and you can get yourself in trouble pretty easily.
The patent system should be outlawed. Period. Not being able to develop something that would help further man's progress, because of greed is not only immoral, but goes against progress, and should be outlawed.
Yes, that's a good idea... let's take away one of the biggest incentives to innovate in just about every technical industry. While we're at it, lets make it even more difficult to prevent China or other countries from flooding the market with cheap knockoffs that drive American companies out of business.
I'll listen to people who have good ideas to reform the patent system. But idiots who just want to abolish it are crackpots.
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I think people just form companies to sue big companies on patents.
Really? You think?
what i wanna know is, where are these sham firms getting the venture capital for the money needed for these size lawsuits?
phanboy... it's called contingency fees. They probably hire lawyers who won't require a fee unless they win or (their real goal) settle.
There are several reasons why companies do these things.
It's possible this new "exclusive licensee" is in place because the original plaintiff doesn't have the cash to fight the legal battle all the way through. WiAV will probably pay the expenses in exchange for 30 to 50 percent of whatever they win (or get from settlements).
OR, the licensor set this up to get preferential tax treatment (in other words, tax shelter)... which could end up being a pretty substatial amount of money... think about going from being taxed at 35% to 15% ...
There are companies that make a living doing these things... they are all pretty shady tho. The IRS doesn't exaclty look highly upon tax shelters and you can get yourself in trouble pretty easily.
At Mikey: They ARE lawyers.
Apparently this company is a patent-troll company.
http://www.setexasrecord.com/news/205753-texas-company-seeks-judgement-to-stop-potential-patent-suit
Seems they sued American Microsystems last December.
The US patent system is pretty effed up
The patent system should be outlawed. Period.
Not being able to develop something that would help further man's progress, because of greed is not only immoral, but goes against progress, and should be outlawed.
@ ishism
Yes, that's a good idea... let's take away one of the biggest incentives to innovate in just about every technical industry. While we're at it, lets make it even more difficult to prevent China or other countries from flooding the market with cheap knockoffs that drive American companies out of business.
I'll listen to people who have good ideas to reform the patent system. But idiots who just want to abolish it are crackpots.