By now, every “non-practicing entity” (NPE) in the country must be aware of the impact of the Supreme Court’s eBay decision, compelling the courts to apply the dreaded “four-factor” test to determine whether a prevailing patentee is entitled to an injunction barring further infringement by the scum-sucking defendant. In case anyone has been comatose for the past year and is unaware of the implications of this decision, I will briefly summarize – if you’re an NPE, the courts will NOT grant you an injunction.

Some time ago, we wrote about developments in the International Trade Commission (I.T.C.) (see "New Opportunities Or How To Circumvent e-Bay"). Specifically, we commented on the newly relaxed requirements for standing to bring an action in the I.T.C. The Commission has determined that the “domestic industry requirement” can now be satisfied by “licensing” activities.

Three years ago, the Supreme Court ruled, in eBay v. MercExchange LLC, that a prevailing plaintiff, in a patent infringement suit, is not automatically entitled to an award of a permanent injunction against the infringer (scum sucker). Rather, the trial court was to apply the traditional four-factor test.

A previous blog post discussed the eBay decision, about which we will not comment further, except to note that it effectively removed one weapon from the arsenal of the NPE – the dreaded “non-practicing entity” (also, pejoratively known as a “troll”). No longer could the NPE threaten a patent infringer with the legal equivalent of a neutron bomb – a permanent injunction.