North Dakota Code 51-36-03 – Factors for bad faith assertion of infringement
A court may consider any of the following factors as evidence a person made a bad faith assertion of patent infringement:
Terms Used In North Dakota Code 51-36-03
- Complaint: A written statement by the plaintiff stating the wrongs allegedly committed by the defendant.
- Evidence: Information presented in testimony or in documents that is used to persuade the fact finder (judge or jury) to decide the case for one side or the other.
- following: when used by way of reference to a chapter or other part of a statute means the next preceding or next following chapter or other part. See North Dakota Code 1-01-49
- Lawsuit: A legal action started by a plaintiff against a defendant based on a complaint that the defendant failed to perform a legal duty, resulting in harm to the plaintiff.
- Litigation: A case, controversy, or lawsuit. Participants (plaintiffs and defendants) in lawsuits are called litigants.
- Person: means an individual, organization, government, political subdivision, or government agency or instrumentality. See North Dakota Code 1-01-49
1. The demand letter does not contain the following information:
a. The patent number; b. The name and address of the patent owner and assignee, if any; or
c. Factual allegations concerning the specific areas in which the target’s product, service, or technology infringe the patent or are covered by the claim in the patent.
2. Before sending the demand letter, the person fails to conduct an analysis comparing the claim in the patent to the target’s product, service, or technology, or such an analysis was done but does not identify the specific area in which the product, service, or technology is covered by the claim in the patent.
3. The demand letter lacks the information described in subsection 1, the target requests the information, and the person fails to provide the information within a reasonable period of time.
4. The demand letter demands payment of a license fee or a response within an unreasonably short period of time.
5. The person offers to license the patent for an amount that is not based on a reasonable estimate of the value of the license.
6. The claim of patent infringement is unenforceable and the person knew, or should have known, the claim is unenforceable.
7. The claim of patent infringement is deceptive.
8. The person, a subsidiary, or an affiliate previously filed or threatened to file a lawsuit based on the same or a similar claim of patent infringement and:
a. The threat or lawsuit lacked the information described in subsection 1; or
b. The person attempted to enforce the claim of patent infringement in litigation and a court found the claim to be unenforceable.
9. The person making the assertion of infringement of a patent does not own or have the right to enforce or license the patent.
10. The person sent the same demand or substantially same demand to multiple recipients and made assertions against a variety of products and systems without reflecting product and system differences in a reasonable manner in the demands.
11. The person threatens legal action that cannot legally be taken or that is not intended to be taken.
12. The person represents a complaint has been filed alleging the target has infringed the patent when no complaint has been filed.
13. The claim of patent infringement is based on a patent or a claim of a patent that has expired or previously been held invalid or unenforceable in a final unappealable or unappealed judicial or administrative decision.
14. Any other factor the court finds relevant.