Patent Settlement Agreement and Release
(Pro-Accused Infringer)

Summary

This Patent Settlement Agreement and Release (Pro-Accused Infringer) template is for use as a starting point in drafting a settlement agreement and release that settles a pending patent infringement action in a U.S. District Court. It includes drafting notes with practical guidance. This template includes the settlement of a claim of patent infringement by the patent owner and any counterclaim of patent invalidity and/or unenforceability by the alleged infringer. The agreement is drafted from the point of view of the alleged infringer but aims to be reasonable from the point of view of either party. In particular, the agreement provides for a lump-sum payment for past infringement and/or an upfront payment for a continuing license if the patent owner agrees to grant a license to the alleged infringer as part of the settlement. This could be combined with or replaced by the payment of an ongoing royalty. The template includes an alternative provision that could be used in a case where ...