By Kathleen McGuinness – Edited by Sabreena Khalid
Azure Networks, LLC v. CSR PLC, 2013-1459 (Fed. Cir. Nov. 6, 2014).
On November 6th, the Federal Circuit issued its decision in Azure Networks, LLC v. CSR PLC. Plaintiffs Azure Networks, LLC (Azure) and Tri-County Excelsior Foundation (Tri-County) sued CSR PLC and its co-defendants for alleged infringement of Tri-County’s patent – U.S. Patent No. 7,756,129 (“the ’129 patent”) – describing a network for wireless communications between a central “hub” and several devices in close proximity. Slip op. at 3. The appeal involved two major issues.
The first issue was with regard to standing to sue; the defendants had successfully moved to dismiss Tri-County for lack of standing in the district court, arguing that Tri-County had effectively assigned Azure the patent in suit. The Federal Circuit decided the issue de novo, and upheld the dismissal.
The issue of standing turned on the assignment and licensing of the patent: The ’129 patent was acquired by Azure, a Texas limited liability company. Azure partnered with Tri-County, a Texas non-profit organization, to join in patent enforcement activities. Azure donated the ’129 patent to Tri-County in 2010; a few weeks later, Tri-County and Azure entered into a licensing agreement which granted Azure the exclusive, worldwide, transferrable right to practice the ’129 patent, as well as the “full right to enforce or and/or sublicense” the ’129 patent” and various other rights. Id. At 6. Azure’s enforcement rights included the right to reach settlements without Tri-County’s consent. Id. At 7. (more…)