Could you survive a patent lawsuit?
Even "minor" patent lawsuits cost startups like yours several hundred thousand dollars - and big ones stretch into the millions.
What will you do when a competitor starts copying you?
You have spent countless hours of work on your idea, and have invested thousands in securing your patent to protect it. But could you challenge a bigger competitor when they start copying your patented product?
If you don't defend yourself - your IP is worthless. No matter how much you paid for it.
Patent Enforcement Insurance: Pre-paid legal fees to go after anyone who copies your patented invention.
Patent Defense Insurance: Protection from inbound lawsuits from competitors or patent trolls who want you to pay a license - or run you out of business.
How It Works:
Since there is so much at stake, IP litigation is particularly expensive. Patent enforcement and defense insurance are pre-paid expenses for fighting those costly legal battles.
While startups who go unprotected can be run out of business in these scenarios, insurance means you don't have to worry.
Patent enforcement insurance makes sure you have all the money necessary to enforce your patent, including attorney's fees and related expenses. You do not have to use contingency fee attorneys and pay them 40%. Instead, you pay a small annual fee (typically 1-1.5% of coverage) and have the freedom to use your own attorneys, with full control over litigation and settlements.
- Schedule time for a phone call to discuss your needs.
- We'll facilitate the underwriting and policy process.
- You'll have a team of experts (and the financial capital) to put your patents to work.
A success story
Octane Fitness purchased patent defense insurance as they began to develop their exercise machines. When a patent troll came knocking on their door, Octane had the option to fight, rather than roll over and pay like their competitors did.
Octane Fitness would have been wiped out by a patent troll, but because they had patent defense insurance, they were able to fight. And win.
You can, too.
Frequently Asked Questions
We offer a wide range of patent enforcement and patent defense insurance, however, our main insurance provider is a program manager for a Lloyd’s of London syndicate that focuses on intellectual property insurance.
Absolutely. We know you have good relationships with your attorneys, and we are happy that you want to use them.
Our only requirement is that the attorneys have prior first-chair experience in intellectual property litigation in federal court. If your attorney does not have this experience, we are happy to recommend attorneys who do.
We do offer a discount if you use attorneys who we have previously vetted, but you are not required to use them.
With our patent enforcement insurance policies YOU control all aspects of how to enforce your patent.
Sometimes you may wish to strongly enforce their patent to prevent a specific competitor from operating in your space. Other times, you may want to obtain a license agreement from a competitor. Still other times, you may want to cross license your patent for a technology a competitor may have.
In every case, YOU control how the enforcement proceeds.
Patent insurance comes in two basic forms: patent enforcement and patent defense. Enforcement is where someone infringes your patent and you need to enforce your rights. Defense is when someone else accuses you of infringing their patents. This can be a competitor or a patent troll.
Enforcement insurance typically costs about 1% per year of the total amount of insurance. For example, $1,000,000 of patent enforcement insurance will cost about $10,000/year.
Defense insurance typically costs about 3% per year. $1,000,000 of patent defense insurance will cost about $30,000/year.
These amounts are guidelines, and your actual premiums will only be determined after due diligence and underwriting.
Don't risk losing your startup to a competitor or a troll.
With patent insurance, you can protect your ideas and your business. Give us a call and we will guide you through the process.