Valuing a Settlement from a Patent Infringement Suit

Edgeworth Partner Dr. Jesse David provided expert testimony regarding the value of a patent infringement settlement. After disputing the terms of a corporate insurance policy, the carrier and the insured, a high-technology patent holder, agreed to share the costs and potential award from a patent infringement suit. Upon receiving a favorable settlement in the patent infringement suit, the carrier and insured then disputed the cash value of the settlement.  Dr. David provided testimony at arbitration on behalf of the insurance carrier, analyzing:

• The terms of the settlement based on the insured’s patent portfolio,
• The stock market reaction to the insured’s patent-related announcements
• The economic theory underlying license negotiations 

The arbitration panel returned a favorable award on behalf of the insurance carrier.