Settlement Agreement Challenges

Kenall Manufacturing sued Cooper Lighting for infringement of a patent relating to modular lighting fixtures, which eventually ended the case and entered into a licensing agreement. Kenall waived its claims for prior infringement and granted Cooper a non-exclusive license for the patent and all patents arising from the original patent. Cooper also agreed to label its products with a patent notice, pay a one-time royalty to Kenall, pay quarterly licenses based on the sale of the injury products, and redesign one of its products to prevent injury. For the settlement agreement to be legally binding, the worker must use independent legal advice to understand the terms of the agreement and the consequences of signing it. Once signed by both parties, it is open (i.e. more “off the record” in the context of a negotiation without prejudice) and is binding. If you are negotiating a settlement agreement with your employer, you should consult a legal specialist. Teas can help you get the best deal. There is no defined method for calculating an amount due under a settlement agreement. At a least, an employee should normally receive his or her termination indemnity (unless he or she has been dismissed for serious misconduct), plus accrued but not taken leave (if any) and other contractual payments. A non-challenge clause may be used in a dispute settlement agreement to exclude the use of affirmative objections by a defendant, including invalidity and non-infringement.

This case shows that the wording of such a clause may have meaning and may be subject to different interpretations. If you come to us for legal advice on a proposed transaction agreement, we focus on the best one for you. We know this can be a stressful time, so we`ll try to make things as simple as possible, explaining everything in simple English and answering any questions you have. We`re always happy to see you in person, but we keep in touch by phone, email, and letter – no matter what works for you, so you`ll only have to come to our office if you wish. The Court found that the non-challenge clause prevented Cooper from asserting positive non-infringement, invalidity and intervention rights against patents subject to the settlement agreement and license. . . .

07.10.2021 ∙ af admin