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Property Law Keyed to Dukeminier
Impression Products, Inc. v. Lexmark International, Inc.
Citation:
581 U.S. 360, 137 S. Ct. 1523 (2017)Facts
Lexmark International designs, manufactures, and sells toner cartridges for laser printers and owns multiple patents covering components of those cartridges. Lexmark structured its sales in two ways: unrestricted full-price sales and discounted “Return Program” sales where customers contractually agreed to use the cartridge only once and return it only to Lexmark. To enforce this restriction, Lexmark installed a microchip on Return Program cartridges that prevented reuse once the toner ran out. Impression Products, a remanufacturer, acquired empty Lexmark cartridges—both domestic Return Program cartridges and those Lexmark had sold abroad—refilled them with toner, and resold them in the United States. Lexmark sued Impression Products for patent infringement, claiming that Impression Products infringed its patents by refurbishing and reselling the Return Program cartridges against the single-use/no-resale restriction and by importing cartridges that Lexmark had sold abroad.
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