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Sen. Daniel Biss
Filed: 3/17/2014
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| 1 | | AMENDMENT TO SENATE BILL 3405
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| 2 | | AMENDMENT NO. ______. Amend Senate Bill 3405 by replacing |
| 3 | | everything after the enacting clause with the following:
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| 4 | | "Section 5. The Consumer Fraud and Deceptive Business |
| 5 | | Practices Act is amended by adding Section 2RRR as follows: |
| 6 | | (815 ILCS 505/2RRR new) |
| 7 | | Sec. 2RRR. Unfair or deceptive patent infringement demand |
| 8 | | letters. |
| 9 | | (a) As used in this Section: |
| 10 | | "Affiliated person" means a person affiliated with the |
| 11 | | intended recipient of a written or electronic communication. |
| 12 | | "Intended recipient" means a consumer who purchases, |
| 13 | | rents, leases, or otherwise obtains a product or service in the |
| 14 | | commercial market that is, or later becomes, the subject of a |
| 15 | | patent infringement allegation. |
| 16 | | (b) It is an unlawful practice under this Act for a person, |
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| 1 | | in connection with the assertion of a United States patent, to |
| 2 | | send or cause any person to send any written, including |
| 3 | | electronic, communication that states that the intended |
| 4 | | recipient or any affiliated person is infringing or has |
| 5 | | infringed a patent and bears liability or owes compensation to |
| 6 | | another person, if: |
| 7 | | (1) the communication falsely threatens that |
| 8 | | administrative or judicial relief will be sought if |
| 9 | | compensation is not paid or the infringement issue is not |
| 10 | | otherwise resolved; |
| 11 | | (2) the communication falsely states that litigation |
| 12 | | has been filed against the intended recipient or any |
| 13 | | affiliated person; |
| 14 | | (3) the assertions contained in the communication lack |
| 15 | | a reasonable basis in fact or law because: |
| 16 | | (A) the person asserting the patent is not a |
| 17 | | person, or does not represent a person, with the |
| 18 | | current right to license the patent to or enforce the |
| 19 | | patent against the intended recipient or any |
| 20 | | affiliated person; |
| 21 | | (B) the communication seeks compensation for a |
| 22 | | patent that has been held to be invalid or |
| 23 | | unenforceable in a final, unappealable or unappealed, |
| 24 | | judicial or administrative decision; or |
| 25 | | (C) the communication seeks compensation on |
| 26 | | account of activities undertaken after the patent has |
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| 1 | | expired; or |
| 2 | | (4) the content of the communication fails to include |
| 3 | | information necessary to inform an intended recipient or |
| 4 | | any affiliated person about the patent assertion by failing |
| 5 | | to include the following: |
| 6 | | (A) the identity of the person asserting a right to |
| 7 | | license the patent to or enforce the patent against the |
| 8 | | intended recipient or any affiliated person; |
| 9 | | (B) the patent issued by the United States Patent |
| 10 | | and Trademark Office alleged to have been infringed; |
| 11 | | and |
| 12 | | (C) the factual allegations concerning the |
| 13 | | specific areas in which the intended recipient's or |
| 14 | | affiliated person's products, services, or technology |
| 15 | | infringed the patent or are covered by the claims in |
| 16 | | the patent. |
| 17 | | (c) Nothing in this Section shall be construed to deem it |
| 18 | | an unlawful practice for any
person who owns or has the right |
| 19 | | to license or enforce a patent to: |
| 20 | | (1) advise others of that ownership or right of license |
| 21 | | or enforcement; |
| 22 | | (2) communicate to others that the patent is available |
| 23 | | for license or sale; |
| 24 | | (3) notify another of the infringement of the patent; |
| 25 | | or |
| 26 | | (4) seek compensation on account of past or present |