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Azure Networks, LLC v. CSR PLC

United States Court of Appeals for the Federal Circuit
771 F.3d 1336 (2014)

Written by Jamie Milne, JD

Facts

Azure Networks, LLC (Azure) (plaintiff) owned a patent covering a wireless-network technology. Azure donated that patent and others to Tri-County Excelsior Foundation (Tri-County) (plaintiff), a nonprofit organization that was to help Azure with patent enforcement. Tri-County and Azure then entered an exclusive license agreement that gave Azure the exclusive worldwide right to (1) make, use, sell, or lease any products under the patent; (2) sublicense the patent; (3) maintain, enforce, and defend the patent at its discretion; and (4) control any patent litigation. The agreement also gave Azure the right to assign its license interests to a third party without requiring Tri-County’s consent. Tri-County retained a right to receive a percentage of proceeds from Azure’s litigation or licensing concerning the patent. The licensing agreement was to automatically expire in 2018, with two years of the patent term outstanding, unless Tri-County renewed the license by providing notice to Azure. After entering the license agreement, Azure and Tri-County sued various entities, including CSR PLC (defendants) for patent infringement. The entities moved to dismiss Tri-County from the suit, arguing that Tri-County lacked standing. The district court agreed, dismissing Tri-County. Azure and Tri-County appealed that decision.

Rule of Law

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Issue

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Holding and Reasoning (Chen, J.)

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A "yes" or "no" answer to the question framed in the issue section;
A summary of the majority or plurality opinion, using the CREAC method; and
The procedural disposition (e.g., reversed and remanded, affirmed, etc.).

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