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FilmTec Corp. v. Allied Signal Inc.

939 F.2d 1568, 19 U.S.P.Q.2d 1508 (1991)

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FilmTec Corp. v. Allied Signal Inc.

United States Court of Appeals for the Federal Circuit
939 F.2d 1568, 19 U.S.P.Q.2d 1508 (1991)

Facts

John Cadotte was employed at a division of the Midwest Research Institute (MRI), which performed research for the United States government. The contract between MRI and the government included a provision stating that all inventions created by MRI employees within the scope of their employment would become the property of the government. Cadotte secured a patent on one of the inventions that he had made during his employment with MRI. Cadotte assigned the patent to FilmTec Corporation (plaintiff), a company that he had cofounded with three other MRI employees. FilmTec brought suit against Allied-Signal Inc. (defendant) and UOP Inc. (defendant) (collectively, Allied) for infringement of the patent. The federal district court found that the government did not gain title to the invention—or, at most, held equitable title—and that Cadotte’s assignment of the patent to FilmTec was a valid transfer of title. However, evidence pertaining to ownership of title in the patent was not discussed at trial. The court issued a preliminary injunction against Allied. Allied appealed to the United States Court of Appeals for the Federal Circuit.

Rule of Law

Issue

Holding and Reasoning (Plager, J.)

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