Future of Fee Shifting in Balance at Supreme Court

On Wednesday, February 26, the U.S. Supreme Court will hear arguments in Octane Fitness v. Icon Health and Highmark v. Allcare. The “two complementary cases” ”concern Section 285 of the Patent Act, which provides for awarding attorney fees to the prevailing parties ‘in exceptional cases’.” Finnegan represents Allcare in the matter, “marking the Supreme Court debut of Finnegan’s veteran litigator Donald Dunner on behalf of Allcare.”

Ahead of oral arguments, Finnegan partner and Allcare counsel Erik R. Puknys spoke with Managing IP. He said Allcare’s position advocates that the Federal Circuit has more expertise in patent cases and should not have to defer to district courts. “Congress has intended that the Federal Circuit be essentially the singular voice of the American courts on what the patent laws mean, subject to some checks by the Supreme Court now and then,” Puknys said. “So it is our view that this is an issue of law that whenever an appellate court is looking at a district court’s legal decision they just look to see if they got it right, and there is no deference to the district court. If the district court made an error of law it ought to reverse.” A decision is expected in May or early June.