Patent Law Keyed to Adelman
eBay, Inc. v. MercExchange, L.L.C.
Plaintiff held a business method patent for an electronic sales market using a central authority. Plaintiff tried to license its patent to Defendant, but they could not reach an agreement. Defendant proceeded with its website which allowed private sellers to list goods for sale at auction or at a fixed price. Plaintiff filed suit for patent infringement. A jury found the patent valid and awarded damages to Plaintiff for Defendant's infringement. Plaintiff filed a motion for a permanent injunction and it was denied by the district court. Plaintiff appealed and the Federal Circuit reversed based on the general rule that courts will grant permanent injunctions in patent infringement "absent exceptional circumstances." Defendant filed its petition for a writ of certiorari, which the Supreme Court granted to determine the appropriateness of the general rule on permanent injunctions in patent infringement cases.
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