I often meet people who suffer from patent disputes. Unless they are a patent troll, and especially if they are CEOs who have lived without legal disputes, lawsuits are never a welcome issue.
When a company receives or files a claim for patent infringement, not understanding the process can lead to confusion and significant psychological burden. However, if a broad response strategy is established, handling such situations can be easier than expected. If a competitor claims that you have infringed on their patent, keeping the following points in mind can be helpful.
1. Clearly Express the Absence of Intent to Infringe
First, it is important to clearly state that there was no intentional infringement.
"Our company primarily manufactures ○○○ and does use △△△ in our products. However, we do not specialize in manufacturing or selling such products. Therefore, we have no intention of infringing on or gaining financial benefits from your registered patent No. 10-1234567."
2. Notify That the Infringement Claim is Unfounded
Second, it is necessary to inform the claimant that their assertion of infringement is incorrect. To do this, consulting with experts to differentiate your product from the competitor’s patent is recommended.
"We believe that △△△, a component purchased for our product, is not ‘identical or extremely similar’ to the elements included in the patent you are claiming, but rather distinct."
3. Request Clear Evidence of the Infringement Claim
In most initial claims, vague statements such as "your product infringes on our patent" are common. Understanding the opponent’s intent step by step during negotiations is crucial. Acting in haste due to psychological pressure may worsen the situation.
"Therefore, we request a detailed comparison explaining which specific part of our purchased △△△ allegedly infringes on your registered patent. After reviewing your response, we will assess the need for further action. Please note that our company has never and will never manufacture or sell products that imitate your patent for financial gain."
4. Utilize Prior Art or Pre-existing Use to Challenge the Claim
If you have knowledge of prior art that can invalidate the opponent’s patent or if the product was already in use before the patent filing date, it becomes easier to respond.
"We have received opinions from the industry that similar products, or specific design elements applied to such products, were already in circulation before your patent was filed. Additionally, there are patents suspected to be of similar scope to yours. Therefore, we urge you to exercise caution in enforcing your patent rights. We also hope to avoid unnecessary legal disputes that could hinder both your business operations and ours."
5. Avoid Emotional Responses and Seek Cooperation
It is not advisable to react emotionally under psychological pressure. If possible, finding ways to collaborate with the claimant can be beneficial. Even if actual cooperation is not achieved, this approach may help soften their stance. In cases involving small businesses or individuals, expanding the market together may be a more practical strategy than engaging in costly litigation.
"We regret receiving this notice from you. However, given that our business areas do not overlap, we hope that we can build a cooperative relationship rather than engaging in unnecessary competition or legal battles. We kindly request your thoughtful response to our inquiries."
6. Establishing an Effective Response Strategy
The response method should vary depending on whether the claim is valid. First, obtain professional advice to analyze and assess the possibility of infringement. The following strategies can help strengthen your position in negotiations.
However, rather than fixating on the argument of whether an infringement has occurred, presenting a way to coexist can lead to smoother negotiations. If a dispute escalates, many people become obsessed with defeating the opponent, which is the worst approach. The best strategist wins without fighting. Rational responses, rather than emotional ones, can lead to a resolution through negotiation rather than litigation. This approach is effective even when confident that there is no infringement.
1) If Infringement is Suspected or Confirmed:
Do not rush; approach negotiations carefully.
Clearly state that there was no intent to infringe.
Request detailed clarification on the alleged infringement elements.
Investigate prior art and assess the possibility of invalidating the patent.
Immediately start redesigning the product to avoid infringement (minimize damage).
Identify and quickly file competitive patents.
Check if cross-licensing with your patents is possible.
Consider final negotiations for technology acquisition, ensuring no intentional infringement.
Move beyond the infringement debate and propose a way to coexist.
2) If Confident No Infringement Occurred:
Respond as slowly as possible.
Clearly assert that there is no patent infringement.
Carefully analyze the alleged infringement elements.
Seek expert assistance.
Consider requesting a "Scope Confirmation Trial" from the patent office for official verification.
Prepare for legal countermeasures, though it should be the last resort.
Move beyond the infringement debate and propose a way to coexist.
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