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Monday, September 15, 2014
Merits & Demerits of Foreign Direct Investment
Foreign direct investment is the
direct investment into a business or sector by a company or individual from
another country, differing from portfolio investment, which is a more indirect
investment into another country’s economy by means of financial instruments
such as stocks and bonds.
INVESTMENTS COME IN MANY SHAPES
There are various forms and
levels of foreign direct investment, depending on the type of company or
companies involved, and the reasons for investment. A foreign direct investor
may buy a company in the target country, set up a new business, or expand the
operations of an existing business. Other forms of direct foreign investment
include the incorporation of a wholly owned subsidiary or company, the
acquisition of shares in an associated enterprise, or participation in an
equity joint venture across international boundaries.
ADVANTAGES OF FOREIGN DIRECT INVESTMENT
It can stimulate the economic
development of the country in which the investment is made, creating both
benefits for local industry and a more conducive environment for the investor.
It will usually create jobs and
increase employment in the target country.
It will enable resource transfer,
and other exchanges of knowledge whereby different countries are given access
to new skills and technologies.
The equipment and facilities
provided by the investor can increase the productivity of the workforce in the
target country.
DISADVANTAGES OF FOREIGN DIRECT INVESTMENT
Foreign direct investment can
sometimes hinder domestic investment, as it focuses resources elsewhere.
Occasionally as a result of
foreign direct investment exchange rates will be affected, to the advantage of
one country and the detriment of the other.
Foreign direct investment may be
capital-intensive from the investor’s point of view, and therefore sometimes
high-risk or economically non-viable.
The rules governing foreign
direct investment and exchange rates may negatively affect the investing
country.
Investment in certain areas is
banned in foreign markets, meaning that an inviting opportunity may be
impossible to pursue.
BALANCING RISK AND REWARD
Expanding your business abroad,
buying into a foreign company or otherwise investing into another country’s
economy can be extremely financially rewarding, and may provide your
organisation with the boost it needs to jump to a new level of success.
However, direct foreign investment is also fraught with risks, and it is vital
to investigate and assess the economic climate thoroughly before venturing into
such an investment.
This is where your organisation
can benefit from hiring a financial expert accustomed to working
internationally – he or she will be able to give you a clear and thoroughly
researched picture of the prevailing economic landscape in your target country,
as well as monitoring the stability of the market, and predicting its future
growth.
We live in an increasingly
globalised economy, which means that foreign direct investment is becoming a
more and more accessible option. Potential foreign direct investors, with the
right expertise and planning, will find that the world is their oyster.
Source: http://blog.mbaco.com/foreign-direct-investment-merits-and-demerits/
Sunday, September 14, 2014
Software patents are crumbling, thanks to the Supreme Court
The Supreme
Court's June ruling on the
patentability of software — its first in 33 years — raised
as many questions as it answered. One specific software patent went down in
flames in the case of Alice v. CLS Bank, but the abstract reasoning
of the decision didn't provide much clarity on which other patents might be in
danger.
Now a series of
decisions from lower courts is starting to bring the ruling's practical
consequences into focus. And the results have been ugly for fans of software
patents. By my count there have been 11 court rulings on the patentability of
software since the Supreme Court's decision — including six that were decided
this month. Every single one of them has led to the patent being
invalidated.
This doesn't
necessarily mean that all software patents are in danger — these are mostly
patents that are particularly vulnerable to challenge under the new Alice precedent.
But it does mean that the pendulum of patent law is now clearly swinging in an
anti-patent direction. Every time a patent gets invalidated, it strengthens the
bargaining position of every defendant facing a lawsuit from a patent troll.
The end of "do it
on a computer" patents
In the late 1990s and
early 2000s, the Patent Office handed out a growing number of what might be
called "do it on a computer" patents. These patents take some
activity that people have been doing for centuries — say, holding funds in
escrow until a transaction is complete — and claim the concept of performing
that task with a computer or over the internet. The patents are typically vague
about how to perform the task in question.
THIS IS THE MOST
HOSTILE THE COURTS HAVE BEEN TO SOFTWARE PATENTS IN AT LEAST TWO DECADES
The Supreme Court
invalidated a patent like that in its decision this year. The patent claimed
the concept of using a computer to hold funds in escrow to reduce the risk that
one party would fail to deliver on an agreement. The Supreme Court ruled that
the use of a computer did not turn this centuries-old concept into a new
invention.
That has emboldened
defendants in cases involving similar patents. And in recent weeks, the courts
have been following the Supreme Court's lead and ruling that these patents are
illegal:
·
On July 6, a Delaware
trial court rejected a
Comcast patent that claimed the concept of a computerized telecommunications
system checking with a user before deciding whether to establish a new
connection. The court noted that the steps described in the patent could easily
be performed by human beings making telephone calls.
·
On July 8, a New York
court invalidated a
patent on the concept of using a computer to help users plan meals while
achieving dieting goals. The court was unimpressed with the patent holder's
argument that some of the details in the patent — such as the use of
"picture menus" to choose meals — was sufficient to render it a
patentable idea.
·
On July 17, the
Federal Circuit Appeals Court (which is in charge of all patent cases) rejected a
patent on the concept of keeping colors synchronized across devices by building
a profile that describes the characteristics of each device. The court held
that the creation and use of these profiles were merely mental steps that could
be done by a human being and were therefore not eligible for patent protection.
·
On August 26, the
Federal Circuit rejected a
patent that claimed the concept of running a bingo game on a computer.
"Managing the game of bingo consists solely of mental steps which
can be carried out by a human using pen and paper," the court ruled.
Converting that process into a computer program doesn't lead to a patentable
invention.
·
On August 29, a
California court struck down a
patent on a method of linking a mortgage line of credit to a checking account.
The court said that the generic computer functions mentioned in the patent were
not enough to merit protection.
·
On September 3, a
Texas trial court invalidated a
patent on the concept of using a computer to convert reward points from one
store to another. The court held that the "invention" claimed by the
patent "not fundamentally different from the kinds of commonplace
financial transactions that were the subjects of the Supreme Court’s recent
decisions."
·
In a second September
3 decision, a Delaware trial court rejected a
patent on the concept of an intermediary selectively revealing information
about two parties to each other — using a computer. The court noted that it has
long been common for corporate headhunters to withhold certain information
about an employer from potential employees (and vice versa) until both parties
are ready to proceed.
·
On the same day, the
same Delaware court invalidated a
patent on the concept of using a computerized system to "upsell"
customers who buy one product on other products that might interest them. The
court pointed out that upselling is as old as commerce itself.
·
In a final decision
the same day, the Federal Circuit appeals court struck down a
patent that claimed the concept of using surety bonds to
guarantee a transaction — using a computer. The court pointed out that surety
bonds have been around since ancient times, and performing this well-known
transaction with the help of a computer doesn't turn it into a patentable
invention.
·
On September 4, a
California trial court rejected a
patent on the concept of using a computer network to ask people to do tasks and
then wait for them to do them. The court pointed out that people have done this
with telephones for decades, and that doing the same thing over the internet
doesn't count as an invention.
·
On September 11, a
Florida court invalidated a
patent on the concept of subtracting a small amount of money from each of many
payments in order to accumulate a larger sum of money — using a computer. The
court noted that this kind of schemes has been widely known for centuries. For
example, the plot of Superman III involved a villain using this kind
of scheme to steal from co-workers' paychecks.
These rulings might
seem like common sense, but it's important to remember that every single one of
these patents was examined and approved by the patent office. That's because
until recently, this kind of "invention" was considered eligible for patent
protection. The patent office has issued hundreds of thousands of software
patents over the last two decades, and many of them look like this.
YOU CAN'T TAKE A
COMMONPLACE HUMAN ACTIVITY, DO IT WITH A COMPUTER, AND CALL THAT A PATENTABLE
INVENTION
But now the courts are
sending a pretty clear message: you can't take a commonplace human activity, do
it with a computer, and call that a patentable invention.
For example, recent
court rulings could make it easier to challenge Amazon's infamous patent on 1-click
shopping, which claims the concept of ordering things over the Internet with a
single click. The steps described in the patent — receiving an order from a
regular customer, retrieving pre-stored shipping information for the customer,
shipping the item to the customer — have been performed by delivery businesses
for decades. If Amazon's patent were challenged, courts might be skeptical that
performing these steps on a computer constituted a patentable invention.
Software patents in
danger
The recent string of
decisions invalidating software patents on subject-matter grounds is
unprecedented. This chart, based on data from Lex Machina,
shows the number of subject-matter decisions the courts made between 2007
and 2013:
The 14 patents the
courts invalidated on subject matter grounds in 2013 was a record for recent
years (such decisions were rare in the 1990s and early 2000s). And this chart
reflects decisions on all types of patents, not just software patents. With 11
software patents invalidated in just the last three months, the courts are on
track to blow away last year's record with software patent cases alone. So this
is the most hostile the courts have been to software patents in at least two
decades.
The real question is
how far the courts will take this logic. Because strictly speaking, all
computer programs perform sequences of mathematical operations that could — in
principle — be performed by a human being. As the legal scholar Robert Merges
has noted, the logic
of the Supreme Court's Alice ruling could call almost all
software patents into question.
"My immediate
reaction was that this would be extremely bad for software patents," patent attorney Gene
Quinn wrote last week of the Alice ruling.
He interviewed patent scholar Mark Lemley. While Lemley doesn't think all
software patents are invalid, he predicts that "a majority of the software
patents being litigated right now" will be found invalid based on the
Supreme Court's precedents.
There are hundreds of
thousands of software patents on the books, so the courts won't be able to
invalidate all of them. But if patent holders continue their losing streak of
recent months, it will dramatically shift the balance of power between
plaintiffs and defendants. Software patent holders will know that if they take
a case to trial, there's a high probability that their patent will be destroyed
— meaning they not only lose that case but also lose the ability to use the
patent against other defendants. That will make plaintiffs — and especially
trolls wielding patents of dubious quality — more gun-shy, giving defendants a
lot more bargaining power.
Research shows that
patents on software are particularly prone to litigation. There are several
reasons for that:
Software patents can
be extremely broad. For example, a famous Amazon.com patent covers
the concept of purchasing products online with one click. Another patent owned
by a troll called MPHJ has a patent that covers the concept of scanning documents to an email
address. This kind of broad patent makes it easy for
businesses to infringe by accident.
Most companies aren’t
just users of software, they also have IT departments and web developers that
produce it. So firms that wouldn’t otherwise have to worry about patent law are
at risk of infringing software patents.
Software is extremely
complex. Computer programs contain thousands, and sometimes millions, of lines
of code. Since patents can be infringed in just a few lines of code, there’s no
practical way for companies to figure out which patents their software products
might be infringing.
Source: http://www.vox.com/2014/9/12/6138483/software-patents-are-crumbling-thanks-to-the-supreme-court#
Legal Battle Over Alleged Patent Infringement Continues
Legal Battle Over Alleged Patent Infringement Continues
Christopher Boyle has joined his father, Mike Boyle (doing business as Surface Dynamix) inresponding to GlasWeld’s motion for a default judgment in the alleged patent infringement lawsuit playing out in the Oregon court system. GlasWeld, in turn, replied in support of its motion for default judgment. And Mike Boyle then asked the court to bifurcate the trial, or split it into two parts.
“The motion set forth by the plaintiff [for default] is riddled with inaccuracies and outright lies, along with running contrary to multiple statements made by the plaintiffs about the timeliness and efficacy of motions in these proceedings,” Christopher Boyle claims in his reply to GlasWeld’s motion for default judgment.
“Starting with LR7-1(a) Certification to satisfy local rules, the plaintiffs made no good faith efforts to confer with me, defendant Christopher Boyle,” he goes on to claim. “The plaintiffs are of the obvious impression that Mike Boyle and myself are aligned and that Michael Boyle speaks for me. The plaintiffs quickly filed this motion [for default] after receiving a response from Mike Boyle without waiting any reasonable time for a reply from me, Christopher Boyle. Obviously, as this motion is unfounded, my response would have been to object; however, that doesn’t allow the plaintiffs the opportunity to forgo the rules set forth by this court and go beyond ethical boundaries and lie to this court about their actions and the actions of defendants. This alone should be grounds for the court to deny the plaintiffs motion-at-issue and impose some form of sanctions.”
In GlasWeld’s reply in support of a motion for default, the company’s attorneys’ claim, “Since GlasWeld filed the motion on July 24, 2014, more than six weeks have passed. During that time, defendants Mike Boyle and Christopher Boyle have made no effort to address the discovery violations and deficiencies identified in the motion. Their respective oppositions similarly make no effort to address or explain any of the numerous discovery violations and deficiencies. Instead, defendants blame GlasWeld for their own refusal to obey this court’s orders and the Federal Rules of Civil Procedure.”
“[N]either defendant has made a good faith effort to meet their discovery obligations,” the attorneys claim. “And both defendants continue to claim ignorance as to what those obligations are despite the fact that GlasWeld’s motion has set out the same. Accordingly, the court should grant GlasWeld a default judgment as to both defendants.”
Mike Boyle has, in turn, asked the judge to split the legal dispute into two different trials.
“Defendants Mike P. Boyle and Christopher M. Boyle move this honorable court for an order pursuant to Rule 4261 bifurcating the trial of Count VI (unfair competition) from Counts I through VI (patent infringement),” Mike Boyle writes in his latest court filing.
“[T]here can be no doubt that allowing the unfair competition claim to be tried to a jury along with the patent infringement issues, will substantially extend the time, complexity and cost of the trial,” Mike Boyle claims. “There is also the great likelihood of confusing the jury and unfairly prejudicing the defendants who will have to combat even baseless allegations of bad conduct while simultaneously proving that their products are not infringing.”
The judge has not issued any new decisions at press time.
Human DNA belongs to no one, it shouldn't be patented
The Australian federal court
ruled that isolated human genetic material can be patented. The US supreme
court disagrees – and the Americans got it exactly right.
In June 2013, the US supreme
court held that mutant BRCA 1 human DNA, isolated from the human body, is not a
patentable subject matter under US patent law. Last Friday, an Australian full
federal court held that it is patentable subject matter under
Australian patent law.
It would have been simple to
distinguish the US supreme court’s decision on the basis that patent laws
between the two countries differ: different legislatures, different statutes,
different jurisdictions. Instead, the Australian full federal court took an
unprecedented swipe at the US Supreme Court by suggesting that all nine
justices of US supreme court had misunderstood the facts, the science and the
law.
How did this happen?
To understand it, we have to go
back to June 1988 when representatives of the European, Japanese and US patent
offices came to an understanding about what to do with patents over DNA. It was
less than two years after Genentech Inc had floated on the American stock
market. Recombinant technology, invented by Professors Boyer and Cohen, enabled
the production of pure human proteins using human sourced DNA. Patents granted
over isolated human genetic material extracted from the human body, much like
mining claims over alluvial gold, spurred a DNA gold rush.
Patent offices and patent
attorneys and their customers, patent monopolists, wanted to cash in. Patent
monopolies provided the perfect means to maximise revenues.
It did not take long before the
first patent cases over disputed territory came before the courts. In 1989 in
Britain, the court of appeal held that DNA was a discovery of nature and
invalidated Genentech’s patent claims to the isolated DNA of human tissue
plasminogen activator, a naturally produced human protein.
The European Patent Office, which
had already granted patents over isolated DNA, was shocked by the British
rebuke. It took immediate action. By 1998 the European parliament passed the European
biotechnology directive, ensuring that the European Patent Office’s approach
was mandated as law throughout the EU.
In the US, the Patent Office
which had implemented the tripartite patent policy was granting thousands of
patents over isolated human DNA. The policy had become entrenched around the
world. It was wrongly assumed to be consistent with US patent law. In 1980 the
US supreme court held that “anything under the sun made by man” was patentable,
upholding a patent application to genetically modified bacteria that degraded
crude oil.
By 2005 over 20% of the human
genome was the subject of US patents.
Then in March 2010, the first
shockwave hit the global biotechnology industry. A US district court judge held
the patent claims over isolated BRCA genetic mutations invalid. They were not
inventions. An appeal to the US federal circuit soothed fragile nerves. Then, a
second US federal circuit appeal seemed to settle the issue. However, the US
supreme court overruled it.
The US Supreme Court held that
the isolation of DNA from a human being does not result in something that
displays “markedly different characteristics from any found in nature”. It is
not the same as a genetically modified bacteria that degrades crude oil. While
that bacteria is the product of human ingenuity, the isolated BRCA gene
mutations are not.
Since then, the US Supreme Court
has been savaged by the patent monopolists. The US Patent Office, which has
issued new patent examiner guidelines consistent with the decision, has been
vilified.
Patents over human DNA, a
material that nobody invented, will, as the US justices’, warn: “impede the
flow of information that might permit, indeed, spur, invention.”
The Australian judges, in
contrast, argue that: “This case is not about the wisdom of the patent system
... It is not about whether, for policy or moral or social reasons, patents for
gene sequences should be excluded from patentability.”
Americans are now free to use DNA
to develop new products. Australians are not. Neither are Europeans.
Which is the more desirable
policy outcome?
I believe the US supreme court
got it exactly right.
The British Statute of
Monopolies of 1623, the first statutory expression of English patent law, was a
product of economic policy. It sought to provide the ingenious with free and
unfettered access to the store of common knowledge and property so as to reward
the act of true invention. Human DNA regardless of its form, belongs to no one.
No one invented it. And no one should be able to patent it.
http://www.theguardian.com/commentisfree/2014/sep/08/human-dna-belongs-to-no-one-it-shouldnt-be-patented
Consumer Products being watched by Big Companies Like Hawks
Everyone deals with trademarks on
a daily basis. Trademarks are everywhere. They are in your kitchen, in
your bathroom, in newspapers, in magazines, in restaurants, in department
stores, on television, on radio — even on benches and buses. As consumers, our
purchasing decisions are constantly influenced by trademarks. Everyday each of
us encounters hundreds of trademarks. A trip to a grocery store or mall will
put you in contact with thousands of trademarks in just one visit. As business
people, we need a better understanding of why trademarks are so important to effective
commerce and how to protect ourselves.
Venice Cookie Co. Forced To Rebrand Their Chocolate Chews
First it was Conscious Care
Cooperative and TinctureBell. Hershey, the national candy company, didn’t like
the names Reefer’s Peanut Butter Cups, Mr. Dankbar, Ganja Joy, Dabby Patty and
Hasheath bars, alleging the names were too similar to their own Reese’s, Mr.
Goodbar, Almond Joy, York Peppermint Pattie and Heath. Most recently, Venice
Cookie Company found itself in a conflict with Tootsie Roll Industries.
After receiving a letter
demanding they quit selling their chocolate chews under the name “Tai’s Cute
lil’ Tootsies,” the Venice Cookie Co. quickly got to work on rebranding their
product as “The 4.20 Bite.”
Do consumers really believe
Hershey or Tootsie Roll Industries is making marijuana-infused candy? I don’t
think so, and I don’t think these companies do either. However, the simple fact
that consumers will seek out certain products, or even avoid certain products,
depending on the trademark, creates a strong argument for brands looking to
protect their pre-existing trademarks.
Generally, to win a trademark
claim for infringement, the suing party (the plaintiff) must establish that (1)
the mark is valid and legally protectable; (2) the mark is owned by the
plaintiff; and (3) the party being sued (the defendant) is likely to create
confusion concerning the origin of the goods or services by use of its mark to
identify goods or services.
Important Factors To Consider
When Comparing Trademarks
When determining likelihood of
confusion, courts use several factors derived from a 1961 case. Polaroid
Corp. v. Polarad Elecs. Corp., 287 F.2d 492 (2d Cir. 1961). These
factors, sometimes known as the “Polaroid factors” may vary slightly as federal
courts apply them throughout the country. The factors are intended as a
guide. Let’s break down a few.
Strength of the Mark
Strength of the Mark
A mark is “weak” if it is
descriptive and has not acquired sufficient secondary meaning. A mark is
“strong” when it has acquired secondary meaning, or if it is arbitrary,
fanciful or suggestive. Let’s face it who hasn’t used the word “tootsies”
to refer to toes. Kenny Morrison, co-founder of The Venice Cookie Company
even says he was inspired to make this product when he saw cute lil’ baby
toes. I know I personally say “tootsies” when I see cute, little baby
feet. It makes perfect sense to me why The Venice Cookie Company would
pick the term “tootsies.” Look at the chews, they look like fat, pudgy
toes.
Similarity of the Marks
As a general rule, marks must be
compared in their entirety, including appearance, sound, connotation, and
commercial impression. OK, I’ll give Tootsie Rolls a little weight on
this one. TOOTSIE versus TOOTSIES. Tootsie Roll Industries was
fortunate that Stern & Saalberg Company realized the value of trademarks
and obtained a federal registration for the mark TOOTSIE back in 1909.
Title eventually ended up in the name of Tootsie Roll Industries,
although it is not clear how from the chain of title recorded at the United
States Patent & Trademark Office. Tootsie Roll Industries has since
registered the mark TOOTSIE in other formats and for various goods. I
wonder how many people actually refer to the candy as TOOTSIE
separate and apart from “ROLL.” If I want a piece of the candy, I say
give me a Tootsie Roll.
Similarity of the Product
The standard of infringement is
whether an ordinary prudent purchaser would be likely to purchase one product,
believing he was purchasing the other. In other words, would TOOTSIES
(especially used in close proximity with Tai’s Cute ‘lil) when used for
cannabis-infused chocolate chews be confused with TOOTSIE candy. As a general
rule, a trademark owner can use an identical or similar mark as long it
is on completely dissimilar goods. For example, the use of the mark Lexus on
automobiles was determined not to confuse consumers of the Lexis database
services. The issue here appears to be that both companies are selling
chocolate food products. But anyone who is familiar with the cannabis
industry knows that none of the big guys are making cannabis-infused
products. Advertising and distribution channels are not similar
either. One could also argue that the Venice product is a medicine not a
candy.
Actual Confusion
Proof of actual confusion is not essential in determining trademark infringement. However, such evidence may be compelling in an infringement case. We know Tootsie Rolls has been selling its product since as early as 1909. Venice Cookie has been selling its product for several years. Why did it take years for Tootsie Rolls to complain? I suspect that it wasn’t until the internet made it easier for Tootsie Rolls to find Venice Cookie’s product that they took notice. Unfortunately, the internet is a two-edged sword. I find it very unlikely that anyone actually complained to Tootsie Rolls that they were confused.
Competitor’s Intent
Although intent is not essential in proving infringement, it is a relevant factor. According to the Restatement of Trademarks, it is appropriate to consider intent because a party intending to cause confusion will generally be successful in doing so. Direct evidence of the competitor’s intention to deceive is usually unavailable and the complaining party must depend on circumstantial evidence such as how the competitor’s mark was chosen. The co-founder of Venice Cookie has already told us how he chose the mark. Remember those cute pudgy baby toes.
Bridging the Gap
What is the likelihood that the senior user will bridge the gap. If it is probable that the senior user will expand into the junior user’s product area, the more likely there will be confusion. This basically means is it probable Tootsie Rolls Industries will sell cannabis-infused products. Who knows, maybe someday companies like Tootsie Rolls will make products in the industry, but I don’t see that happening any time soon.
Degree of Care Exercised by the Consumer
The degree of care a consumer takes in making purchases varies according to the purchase. For example, someone buying an expensive item is more likely to be discriminating and is less likely to be confused as to similar marks. The theory here is that you buy expensive items less frequently. Under this theory, the courts require a more substantial showing of similarity to justify a claim of likelihood of confusion. The same is true for items purchased by “sophisticated buyers,” such as doctors, avid hobbyists, interior decorators, realtors, etc., who arrive at the purchasing point already knowledgeable about the goods. A sophisticated buyer is less likely to be confused because of their superior knowledge as to purchasing decisions.
An “ordinary purchaser,” particularly one that buys inexpensive items on impulse is considered the most likely to be confused by similar marks. It would be an interesting argument to make that a MMJ patient falls in the category of a “sophisticated buyer.” Unlike the ordinary purchaser who quickly scans the shelves at a supermarket and impulsively buys a box of candy without realizing that he bought the wrong one and was confused as to the choice of brands, a MMJ patient arrives at a dispensary already knowledgeable about the goods he wants to purchase or is educated by the budtender before making a buying decision. There is also a significant difference in price between an ordinary piece of candy and MMJ edible.
Did Venice Cookie Company really need to change its product’s name? You decide for yourself… but I know where I stand. I think it would have been a very interesting case to see litigated. I understand why they didn’t fight. Trademark litigation is expensive and time-consuming, with no guarantee how it will be decided in the end, and entrepreneurs and start-ups can’t afford to take the risk most of the time. One thing is for certain, there will likely be many more trademark battles to come as the industry takes shape.
http://www.medicaljane.com/2014/09/13/the-big-companies-are-watching-consumer-products-like-hawks-beware/
Sunday, September 7, 2014
The Hershey Co. launches trademark infringement court battle against candy importer
Things aren't always sweet in the
candy industry.
That much is evident from a
wide-ranging lawsuit The Hershey Company just filed in federal court, accusing
a importer of infringing its trademarks for the candy maker's best-known
products.
Essentially, Hershey claims LBB
Imports LLC is bringing in foreign-made candy with packaging and labeling that
mimics that of Hershey's well-known brands - Reese's, York, Malteser, Cadbury,
Kit Kat and Rolo.
LBB's actions, which continue
despite protests by Hershey, are confusing consumers and illegally eating into
Hershey's multi-billion share of the candy market, according to the lawsuit
filed in U.S. Middle District Court in Harrisburg.
Hershey also accuses LBB of
breaching earlier agreements to stop infringing on its famous trademarks. The
importer, which has offices in California and New Jersey, has even started
marketing a new catalog with its allegedly infringing products, the suit
states.
Hershey doesn't list a specific
damage amount in the suit, but is is seeking triple damages from LBB, based on
an accounting it asks the court to order of the profits the importer has made
through the alleged infringements.
The stakes could be quite high,
given the profits Hershey lists in the suit for its own products. Sales of the
Reese's line alone have exceeded $7 billion in the U.S. in the last five years,
Hershey reported, while the Kit Kat and Cadbury products have had sales of
around $1 billion and $500 million during the same period. Yearly sales of York
and Rolo products each exceed $100 million annually, according to the suit.
Hershey controls all those marks
either directly or under license.
LBB is violating those
protections both by word and appearance, Hershey contends. LBB's Cadbury, Rolo
and Kit Kat imports bear the same name as Hershey's products, according to the
suit while the LLB's Yorkie and Maltesers products are only slight name
variations from Hershey's York and Malteser lines.
Packaging color schemes also are
too close to be legal, Hershey contends. For example, it argues, packaging of
LBB's Toffee Crisp product bears the same licensed "Orange Mark"
color scheme of Hershey's Reese's line.
Hershey is asking Judge John E.
Jones III for an order blocking continued alleged infringement. It wants the judge
to direct LBB to turn over its products for destruction and pay for
"corrective advertising" to address the harm Hershey contends that
LBB has caused to its marketing efforts and sales.
The Hershey Co. is no stranger to
trademark infringement battles and is known for fiercely protecting those
marks.
The firm has waged such battles
with arch rival Mars Inc., with candidates forLancaster County sheriff and
the Maryland state Senate who used images similar to company products in their
campaigns, with a Michigan furniture company and with Williams-Sonoma over a
cake pan design that Hershey claimed looked too much like its signature
chocolate bar.
http://www.pennlive.com/midstate/index.ssf/2014/08/not_so_sweet_the_hershey_co_la.html
Nvidia files a patent lawsuit against Samsung and Qualcomm
Nvidia filed patent
infringement lawsuits in Delaware against Samsung and Qualcomm concerning
graphics processor technologies which Nvidia claims those companies have used
in their products without license.
The graphics chip maker also
asked the U.S. International Trade Commission (ITC) "to block shipments of
Samsung Galaxy mobile phones and tablets containing Qualcomm's Adreno, ARM's
Mali, or Imagination's PowerVR graphics architectures."
Nvidia's Tegra mobile processors
with GPU functionality compete with Qualcomm's Snapdragon and Samsung's Exynos
chips.
Among the products Nvidia wants
blocked are Samsung's Galaxy Note Edge,Galaxy Note 4, Galaxy S5, Galaxy
Note 3, and Galaxy S4 smartphones, as well as the Galaxy Tab S, Galaxy
NotePRO, and Galaxy Tab 2 tablets.
Nvidia said the seven patents it
is claiming Qualcomm and Samsung have infringed concern GPU technologies like
programmable shading, unified shaders, and multithreaded parallel processing.
The lawsuits are the first patent
infringement complaints Nvidia has made in its 21-year history, the company.
"As the world leader in
visual computing, Nvidia has invented technologies that are vital to mobile
computing. We have the richest portfolio of computer graphics IP in the world,
with 7,000 patents granted and pending, produced by the industry's best
graphics engineers and backed by more than $9 billion in R&D," Nvidia
CEO Jen-Hsun Huang said in a statement.
"Our patented GPU inventions
provide significant value to mobile devices. Samsung and Qualcomm have chosen
to use these in their products without a license from us. We are asking the
courts to determine infringement of Nvidia's GPU patents by all graphics
architectures used in Samsung's mobile products and to establish their
licensing value."
Samsung told PCMag it had no
comment on the matter. A Qualcomm spokesperson said the company was "aware
of the complaints and [we] are evaluating them."
At issue for Nvidia are
Qualcomm's proprietary Adreno GPU cores used in the Snapdragon processors,
which power many of Samsung's mobile devices, as well as ARM's Mali GPUs and
Imagination Technologies' PowerVR GPUs, which are used in Samsung's own Exynos
mobile chips.
Nvidia claimed that it reached a
dead end in negotiations with Samsung on negotiations to license its IP for use
in Samsung's devices.
"With Samsung, Nvidia's
licensing team negotiated directly with Samsung on a patent portfolio
license," Nvidia's David Shannon said. "We had several meetings where
we demonstrated how our patents apply to all of their mobile devices and to all
the graphics architectures they use. We made no progress. Samsung repeatedly
said that this was mostly their suppliers' problem."
http://www.pcmag.com/article2/0,2817,2467372,00.asp
Patent Office opens up data of expired patents
The know-how and technological details of the patents, which has already been expired or lapsed validity in the country, is being opened up for the small and medium enterprises to utilise them for their business growth, said a higher official in the Indian Patent Office. India is also expected to sign a bilateral agreement with the European Patent Office (EPO) by September to have cooperation in various levels.
Participating in the inaugural function of 5th edition of IPEX 2014- conference on emerging trends in IP management and commercialisation, Chaitanya Prasad, controller general of patents, designs and trademarks, said that the patent office is offering the details of the expired patents through its website, free of cost.
He said that the knowledge of the expired patent, which becomes a public property, could be used by the small and medium level enterprises to develop new products. However, they cannot re-patent it.
Speaking about the proposed tie up with the EPO, expected to be signed in Geneva in the last week of September, he said that the agreement would be to develop biannual work plan to work on cooperation in various aspects including the training and data exchange of human resources and practices, along with other things,” he said.
In terms of standard practices, he said that the Patent Office wants to be at par with the best of the world practices by 2020 and at present, the patent examiners in India are almost twice faster than the examiners in US and European Patent Offices.
Around 43,000 applications are filed with the Patent Office every year. While majority of patent applications are filed by foreign firms, majority of trademark applications are from Indian applicants. Of the total patent applications, around 20 per cent are from Indian firms while in trademarks, the Office gets around 2.02 lakh applications a year, of which almost 90 per cent are from Indian applicants.
In order to improve the efficiency of patent filing mechanism, the Patent Office is planning to have all banks under its comprehensive payment gateway from early next week, which would be helpful for its applicants to pay online.
Source:http://www.business-standard.com/article/economy-policy/patent-office-opens-up-data-of-expired-patents-114090501082_1.html
Participating in the inaugural function of 5th edition of IPEX 2014- conference on emerging trends in IP management and commercialisation, Chaitanya Prasad, controller general of patents, designs and trademarks, said that the patent office is offering the details of the expired patents through its website, free of cost.
He said that the knowledge of the expired patent, which becomes a public property, could be used by the small and medium level enterprises to develop new products. However, they cannot re-patent it.
Speaking about the proposed tie up with the EPO, expected to be signed in Geneva in the last week of September, he said that the agreement would be to develop biannual work plan to work on cooperation in various aspects including the training and data exchange of human resources and practices, along with other things,” he said.
In terms of standard practices, he said that the Patent Office wants to be at par with the best of the world practices by 2020 and at present, the patent examiners in India are almost twice faster than the examiners in US and European Patent Offices.
Around 43,000 applications are filed with the Patent Office every year. While majority of patent applications are filed by foreign firms, majority of trademark applications are from Indian applicants. Of the total patent applications, around 20 per cent are from Indian firms while in trademarks, the Office gets around 2.02 lakh applications a year, of which almost 90 per cent are from Indian applicants.
In order to improve the efficiency of patent filing mechanism, the Patent Office is planning to have all banks under its comprehensive payment gateway from early next week, which would be helpful for its applicants to pay online.
Source:http://www.business-standard.com/article/economy-policy/patent-office-opens-up-data-of-expired-patents-114090501082_1.html
Amazon.com’s retail practices in India come under scrutiny
Regulators in India are
investigating whether Amazon.com Inc may have circumvented restrictions placed
on foreign investors by selling directly to domestic consumers, The Wall Street
Journal on Friday, citing unidentified sources. The finance ministry’s enforcement
directorate is looking into whether Amazon.com’s local subsidiary may have sold
directly to customers, but made it look as if the sales were made by other
companies, the Journal report said, quoting two people familiar with the
matter. India does not allow foreign firms to own majority stakes in retail
companies that sell more than one brand. Amazon.com is allowed to operate there
because it acts as a marketplace rather than a retailer, according to the
Journal. Amazon was not immediately available for comment. The Seattle-based
e-commerce company makes its money in India by charging third-party suppliers
to use its website to sell some 17 million different products, from books to
electronics. Asia’s second-largest country is seen as strategically important
to Amazon as it tries to ramp up growth and profits. Amazon.com has said it
plans to invest $2 billion more in India, where it has slashed prices, ramped
up marketing and accelerated warehouse construction to try and take on local
competitors. Indian investigators are also examining whether Amazon exerts
control over the prices of products sold on its website, one of the Journal
story’s sources said. “An ideal marketplace should not have any interference
from the platform operator,” the newspaper cited the person as saying.
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