Page 8 - Intellectual Property Disputes
P. 8
Operating Expenses ...................................................................................................................................... 58
Incremental Profit Margin............................................................................................................................. 58
Future Lost Profits ........................................................................................................................................ 60
Chapter 4 — Reasonable Royalty Damages ..................................................................................................... 62
Reasonable Royalty .......................................................................................................................................... 62
Established Royalty .......................................................................................................................................... 62
Royalty Structure .............................................................................................................................................. 63
Hypothetical Negotiation .................................................................................................................................. 65
Georgia-Pacific Factors ................................................................................................................................ 66
Analyses to Support an Opinion on a Hypothetical Negotiation .................................................................. 68
Classification of the Georgia-Pacific Factors ............................................................................................... 69
Licensing Activity ......................................................................................................................................... 70
Profitability and Value of the Patent ............................................................................................................. 79
Date of Hypothetical Negotiation and the Use of Subsequent Information ................................................. 84
Updates to Georgia-Pacific ............................................................................................................................... 87
Entire Market Value Rule — Reasonable Royalty ........................................................................................... 88
Other Royalty Base Considerations .................................................................................................................. 95
Other Methods of Measurement ....................................................................................................................... 96
The 25 Percent Rule ...................................................................................................................................... 96
The Analytical Method ................................................................................................................................. 98
Reasonable Royalty in Copyright Disputes .................................................................................................... 100
Chapter 5 — Unjust Enrichment Damages .................................................................................................... 102
Unjust Enrichment .......................................................................................................................................... 102
Costs in Unjust Enrichment Claims ............................................................................................................ 103
Apportionment ............................................................................................................................................ 105
Stacked Royalties ........................................................................................................................................ 107
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