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Azure Networks, LLC v. CSR PLC

771 F.3d 1336 (2014)

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Azure Networks, LLC v. CSR PLC

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

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

Issue

Holding and Reasoning (Chen, J.)

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