Five Tips for Getting Patent Claims Indemnified

R. David Donoghue, Partner at Holland & Knight and Practice Center Contributor, recently launched the Retail Patent Litigation blog.  In describing the blog, Donoghue writes, “Though patent litigation is relatively new to many retailers, it is a significant and growing concern for all retailers, as well as the members of the retail supply chain.  Retail Patent Litigation is a guide to help retailers understand patent litigation and how to effectively and creatively drive their individual cases to positive resolution.”  In this article, he offers five steps for ensuring your best indemnification outcomes.

Indemnification is a key component of most retail patent litigation.  Whether the accused technology is internet-based or focused on a product, there is almost always an indemnitor somewhere in the supply chain.  And indemnification can be a $1M+ responsibility.  For what is often a seven-figure decision, many companies are surprisingly haphazard about indemnification.  Here are five simple steps for ensuring your best indemnification outcomes:

  1. Research Accusations. The first thing you want to do is understand the scope of plaintiff’s claims.  This is a critical step in knowing exactly who may have indemnification obligations.  Often the patentee will even give you a brief presentation, if they have not provided claim charts, detailing its infringement allegations.  Once you understand the scope of the accusations the best you can, determine which of your vendors might be implicated; cast a wide net in the first instance. (more…)