On September 10, minutes after the first presidential debate between Donald Trump and Vice President Kamala Harris, an Instagram post set the political world abuzz: Taylor Swift endorsed Harris in the race. The announcement from one of the world’s biggest stars was newsworthy in itself, but IP lawyers likely took note of why she chose to post. Swift explained that she felt compelled to share her views after a photo featuring an AI-generated image of her appearing to endorse Donald Trump was posted online. The image was shared by Trump himself on his social media platform Truth Social, and was circulated widely by his supporters. Swift wrote that the image “really conjured up my fears around AI, and the dangers of spreading misinformation.”
Intellectual Property
The Broad Impact of Edwards v. Meril on the Safe Harbor Provision
The Federal Circuit’s decision in Edwards Lifesciences Corp. v. Meril Life Sciences Pvt. Ltd., has garnered significant attention, especially concerning the application of the “safe harbor” provision under 35 U.S.C. § 271(e)(1). The Federal Circuit’s ruling, and the subsequent denial of Edwards’s petition for rehearing en banc, underscores the breadth of the safe harbor, putting to bed the question of whether “solely” means “only” in the context of the safe harbor.
CA Federal Court Awards Biomedical Companies $62M Following Jury Trial Involving Confidentiality-Related Claims
On November 1, 2023, a jury in the U.S. District Court for the Central District of California awarded damages to Skye Orthobiologics, LLC (“Skye”) and Human Regenerative Technologies, LLC (“HRT”) for breach of contract, breach of fiduciary duty, and breach of duty of loyalty by Skye’s former employee (“Defendant”). While Plaintiffs Skye and HRT did not succeed on their claim of trade secret misappropriation, they were able to succeed in showing Defendant misappropriated confidential information in breach of his employment agreements.
Court Rules that Patient List and Related Medical Practice Information Qualify as Trade Secrets
The 2016 enactment of the Defend Trade Secrets Act (“DTSA”) has led to an increase in trade secret litigation. The DTSA codified into federal law the right of an owner of a trade secret to sue in federal court when its trade secret had been misappropriated. Prior to the DTSA, with the absence of diversity jurisdiction, aggrieved trade secret owners had to pursue legal remedies under state law, typically under the Uniform Trade Secret Act (“UTSA”), which has been enacted by 47 states. Notably, the DTSA does not preempt state trade secret laws, therefore, aggrieved trade secret holders may seek civil remedies for alleged misappropriation under either state or federal law or both. Both the DTSA and the UTSA requires the trade secret owner to take reasonable measures to keep the trade secret information secret. The term reasonable can have many meanings in different contexts depending on a multitude of factors. As such, what may be considered reasonable efforts under one set of facts may be deemed deficient under another set of facts.
The “State of the Arts” after Andy Warhol Foundation v. Goldsmith
It has been eight months since the Supreme Court’s landmark copyright fair use decision in Andy Warhol Foundation for the Visual Art, Inc. v. Goldsmith. Much has been written on the subject, including in this forum, but in many ways it was a narrow decision. The Court held that the commercial licensing of Orange Prince, a work in Andy Warhol’s Prince series based on a photograph by Lynn Goldsmith, was not protected under the first factor of the four-factor fair use test under 17 U.S.C. § 107. Its discussion of the transformative use test emphasized the similarity of the uses the works were put to (depicting Prince on magazine covers), rather than the characteristics of the works themselves. This, the Court said, prevents judges from acting as art critics to determine the aesthetic differences between, or meanings behind, artistic works.
Federal Circuit Clarifies Reach of “Artificial” Act of Patent Infringement
Litigators in the life sciences field are no doubt familiar with the so-called “artificial” act of infringement established by 35 U.S.C. § 271(e)(2)(A)-(B): namely, that a party can be sued for patent infringement by merely filing an Abbreviated New Drug Application (“ANDA”) for a generic drug or a Biologics License Application (“BLA”) for a biosimilar drug. The filing of such an action can allow for, among other things, the resolution of patent infringement disputes before the generic (or biosimilar) drug enters the market.
Deadline Dexterity: PTAB Has Authority to Issue Decisions After Statutory Deadline
Recently, in Purdue Pharma L.P. v. Collegium Pharmaceutical, Inc., the Federal Circuit held for the first time that the Patent Trial and Appeal Board (“the Board”) has the authority to issue a Final Written Decision even after the statutory deadline has passed.
Congress introduced post grant review (“PGR”) and inter partes review (“IPR”) in 2011 as part of the America Invents Act (AIA). Parties can use these processes to ask the Board to review the patentability of a patent’s claims. Under the AIA, the Board must provide a Final Written Decision within one year of instituting the PGR or IPR; this can be extended for good cause for an additional six months.
Un“Tangled”: Judge Dismisses Tangle’s Window Display IP Suit Against Aritzia
Judge Jeffrey White of the Northern District of California recently dismissed toy manufacturer Tangle’s copyright and trade dress suit against fashion retailer Aritzia. The suit was brought over Aritzia’s use of sculptures resembling Tangle’s toys in its window displays. Judge White’s decision serves as a reminder that copyright protection only extends to works that have been “fixed” in a tangible medium of expression; an artist’s “[s]tyle, no matter how creative, is an idea, and is not protectable by copyright.” Tangle Inc. v. Aritzia, Inc.