Ericsson v. D-Link, 6:10cv473 (5/21/13)
Judge: Leonard Davis
Holding: Defendants’ Motion to Exclude Damages Opinions DENIED
As Judge Davis’ opinion says, this is a standards case. Plaintiff Ericsson contends its asserted patents cover two features of the IEEE 802.11n standard. Ericsson’s damages expert, John Bone, relied on previous Ericsson 802.11 licenses to determine a per unit royalty for each licensed product. Bone then applied his per unit royalty to the accused products to calculate a reasonable royalty. Defendants contend Mr. Bone’s analysis violated the "entire market value" rule because Ericsson did not prove that the patented features were the basis for customer demand of the accused products.
Judge Davis concluded that the expert did make a “realistic and thorough attempt to apportion revenue to only the asserted patents,” and that his use of a “per unit” royalty meant that the value of the end products was not used in the analysis. Accordingly, the opinions were not excluded as violative of the entire market value rule.