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Breckenridge (970) 285-3077 Toll-Free (800) 746-3560

Denver (303) 395-4773 Toll-Free (800) 746-3560

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Patent infringement can lead to business litigation

Business owners in Denver, Colorado, know that one of their goals is to protect their businesses from costly litigation. Business disputes can damage a company's reputation, causing some investors to lose confidence in the company's stability. To prevent business litigation, business owners follow strict guidelines whenever they enter new contracts or partnerships. If there are any issues not resolved by the contract, business owners may seek to revise the agreement until it fully satisfies the signee's intents and wishes.

For business owners who own technology-based companies, they should be aware of non-practicing entities that target both startups and big companies with patent infringement. A company can be accused of patent infringement if non-practicing entities, or NPEs, who in are in the business of acquiring patents from investors, discover that the company is using their patents. The NPEs often seek costly settlement payments from these companies. To avoid business litigation stemming from patent infringement, it is important for business owners to be proactive. Business owners need to determine if they are at risk of such lawsuit, and if they are, they need to identify how to settle the issue and avoid litigation. For newly-established companies, there is a need to discuss patent risk mitigation. Businesses may work with experts in handling patent assets and assessing technology.

Business laws are quite complex. It is important for business owners to stay ahead of the game by familiarizing themselves with the business laws that are being implemented in one's state. In the event of business litigation, business owners should first try alternative methods of dispute resolution, such as settling the case through negotiation.

Here in Denver, legal professionals who handle business litigation and similar issues can make a huge difference in a case. These professionals can work with business owners and protect the best interests of the company.

Source: Entrepreneur, "3 things every entrepreneur should know about patent risk," John A. Amster, July 17, 2014

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