Federal Circuit Refines ‘Induced Infringement’ Theory to Revive Akamai and McKesson Suits

In a 6-5 en banc decision in favor of Finnegan client Akamai Technologies Inc., the Federal Circuit revived two patent infringement cases—one brought by Akamai against Limelight Networks Inc., and another by McKesson Corp. against Epic Systems Corp. “More significantly, the court rejected its prior rule that, to prevail on a theory of “induced infringement” of a method patent, a plaintiff must show that a single actor (besides the defendant) directly infringed all the steps covered by the patent. Now, inducement applies even when the steps recited in the patented method were performed by multiple parties.”  Finnegan partner Donald R. Dunner stated that, “decision is well-grounded in prior precedent and legislative history. Dunner added that the ruling is extraordinarily significant, in that it provides a clear vehicle to patent owners proving infringement, notwithstanding the fact that the infringing acts are divided between multiple parties.”