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국회도서관 홈으로 정보검색 소장정보 검색

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Title page

Contents

Highlights 2

Letter 6

Background 9

Patent System and Litigation 9

Third-Party Litigation Funding 11

Disclosure Requirements for Third-Party Litigation Funding 11

Funders Identified Various Factors That Influence Patent Litigation Funding Decisions 12

Funders Consider Potential for Patent to Be Invalidated and Other Factors to Inform Investment Decisions 12

Some Funders Require Returns Up to Triple Their Investment Before Patent Owner Receives Portion of Settlement 16

Stakeholders Observed a Significant Rise in Patent Litigation Funding Since 2019, and Most Supported Some Additional Disclosure of Third-Party Funding 18

Stakeholders Said Third Parties Now Fund a Substantial Proportion of All Patent Infringement Lawsuits, Especially in Lawsuits against Large Technology Companies 19

Public Data Sources Provide Limited Visibility into Third-Party Funding, and Some Stakeholders Suggested Additional Disclosure Could Help 20

Third-Party Litigation Funding Helps Owners Assert Their Patents, Increases Costs for Defendants, and Alters Litigation Dynamics, According to Stakeholders 25

Third-Party Funding Expands Opportunities to Protect Patents and Research Investments 25

Third-Party Funded Patent Litigation Creates Additional Operational Costs and Potential Risks for Defendants 28

Presence of Funders May Complicate Settlement Negotiations 30

Agency Comments 31

Appendix I: Objectives, Scope, and Methodology 33

Appendix II: Federal Judicial Requirements for Disclosing Third-Party Litigation Funding 39

Appendix III: GAO Contact and Staff Acknowledgments 44

Tables

Table 1. Stakeholder-Identified Benefits of Third-Party Funding Disclosures 23

Table 2. Stakeholder-Identified Concerns of Third-Party Funding Disclosures 24

Table 3. Federal Court Requirements for Disclosing Third-Party Litigation Funding 39

Figures

Figure 1. Examples of Patent Litigation Funding Arrangements 16

Figure 2. Example Third-Party Patent Litigation Funding Agreement 17

Figure 3. Patent Litigation in District Courts Filed between Calendar Year 2014 and 2022 by Individual Inventors, Start-up Companies, and Universities 26