Mentor Graphics Corp. v. EVE-USA, Inc.

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The patents involves simulation/emulation technology. In 1998, Mentor filed the application that would become the 376 patent. The inventors, Mentor employees, assigned the invention to Mentor; they subsequently left Mentor and founded EVE. In 2006, Mentor sued, alleging EVE’s emulation and verification system infringed its patents. The parties settled; EVE obtained a license to the patents, including a provision terminating the license if EVE were acquired by another company in the emulation industry. In 2012, Mentor learned Synopsys might acquire EVE. Mentor’s CEO contacted his Synopsys counterpart, offering to waive the license's confidentiality provision to inform Synopsys that the license would terminate if Synopsys acquired EVE. Synopsys and EVE sought a declaratory judgment that the patents were invalid and not infringed. Synopsys acquired EVE. Mentor counterclaimed willful infringement. With regard to the 376 patent, the Federal Circuit affirmed that assignor estoppel bars Synopsys from challenging its validity and upheld the infringement verdict and damages award. The court reversed summary judgment that Synopsys’ 109 patent was indefinite; affirmed summary judgment that Synopsys’ 526 patent lacks patent-eligible subject matter; vacated a ruling precluding Mentor from presenting evidence of willful infringement; reversed summary judgment that Mentor’s 882 patent lacked written description support; and reversed summary judgment that Mentor’s infringement allegations regarding the 531 and 176 patents were barred by claim preclusion. View "Mentor Graphics Corp. v. EVE-USA, Inc." on Justia Law