Non-practicing entities (NPEs) filed 58.7 percent of all patent infringement cases in 2012. That statistic, along with the rapid rise in NPE cases in recent years, has captured the attention of the legal and business communities, the press, the Federal Trade Commission, Congress, the President—just about anyone with a stake in innovation.
While the Internet and computer industries have been the primary NPE targets to date, NPEs now seem to be setting their sights on the medical device industry. And the medical industry would be wise to take note. Thus far, the NPE success rate in medical device patent litigation is higher than in other industries, and the median damages awarded to NPEs is over $20 million. Further, relatively large NPEs are aggregating medical device patents at a rapid clip.
