1. Recent Trends in U.S. Intellectual Property Litigation
Prof. Matthew Sag
Loyola University School of Law

2. Copyright, Patent and Trademark Filings 1994—2015 (Cases)
Patent Litigation Explosion
Patent Reform?
BitTorrent Monetization / Copyright Trolling
Forum Selling by Eastern District of Texas

3. Forum Shopping and Forum Selling

4. District Court Ranks for Patent Litigation 1994-2014

5. Patent Cases Filed in US District Courts
2015
2014
2013
2012
2011
2010
2009
2008
2007
2006
Texas (ED)
2376
1447
1509
1258
602
301
247
305
361
256
Delaware
548
964
1335
992
482
255
230
170
159
133
California (CD)
283
337
431
518
338
233
277
201
321
265
New Jersey
264
154
163
192
156
150
161
196
138
California (ND)
209
300
266
243
183
166
134
Florida (SD)
132
204
151 81 76 44 36 72 63
Illinois (ND)
149
215
235
231
178
155
141
126
New York (SD)
148
121
142
107
115
111
106
108
Texas (ND)
116 66 82 59 52 41 42 43
California (SD) 83 86
143 57 77 69 67 53

6. Eastern District of Texas
2002–2010
7.33% patent cases
16.39% patent defendants
2011–2015
26% patent cases
28.36% patent defendants
Photo from

7. Was there a patent litigation explosion
Was there a patent litigation explosion? What did it have to do with ‘patent trolls’?
US Patent Litigation Filings, 1994–2014

8. Patent Cases Filed and Estimated Number of Defendants, 1994—2015
Joinder rules changed in 2011
Steady inflation rather than explosion

9. Abuse of joinder driven by ED Texas
Average Number of Patent Defendants per Filing 1994–2015

10. Patent Reform is Working, Everywhere but the Eastern District of Texas?
Patent Litigation in Eastern District of Texas, All Other Districts

11. ‘Copyright Trolling’
58% of copyright cases filed in the U.S. in 2015

12. Some background BitTorrent – U.S. Rules of Civil Procedure –
allows many people to illegally file share (download movies, television, software, games)
IP addresses easily detectable
U.S. Rules of Civil Procedure –
allow plaintiff to join many defendants in a single action*
allow plaintiff to subpoena Internet Service Providers to match IP addresses to subscriber information*
U.S. Copyright Law –
allows for statutory damages from $750 to $150,000 per work infringed

13. How copyright trolling works
Identify IP addresses illegally downloading
Most commonly of pornography, but not always
File “___ v. John Doe” or “___ v. John Does ”
Apply for ‘early discovery’ to get names from ISPs
Send enforcement letters
Threatening large statutory damages
Overtones of extortion in some cases
Settle for $3000 – $8000 dollars
Repeat

14. Copyright Cases Filed in U.S. District Courts (1994—2015)

15. ‘copyright trolling’ is idiosyncratic
Malibu Media is represented by Michael Keith Lipscomb of Lipscomb, Eisenberg & Baker, PL.
Lipscomb also represents
‘copyright trolling’ is idiosyncratic

17. For More Information and to Stay in Touch
Professor Matthew Sag Institute for Consumer Antitrust Studies Loyola University Chicago School of Law