February 2013

Spotlight Info

In Allflex U.S.A., Inc. v. Avid Identification Systems, Inc., No. 11-1621 (Fed. Cir. Jan. 17, 2013), the Federal Circuit dismissed as moot the appeal by Avid Identification Systems, Inc. (“Avid”), holding that there was no real controversy following Avid’s settlement with Allflex U.S.A., Inc. (“Allflex”).  Allflex had sued Avid, seeking a DJ that six of Avid’s patents were unenforceable due to inequitable conduct and that they were not infringed.  Avid counterclaimed, alleging infringement.  The parties entered into a settlement agreement that effectively resolved all but three issues.  The Court held that “where ‘the alleged infringer has settled the infringement issue, and no longer professes any interest in defending its declaratory judgment of invalidity, the case has become moot as a result of the voluntary act of the patentee.’”  Slip op. at 10 (quoting Aqua Marine Supply Co. v. AIM Machining, Inc., 247 F.3d 1216, 1220 (Fed. Cir. 2001)).  See this month’s edition of Last Month at the Federal Circuit for a full summary of this decision.