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Statement On The FTC Study On Patent Trolls

Washington, DC  Today, Internet Association President & CEO Michael Beckerman issued the following statement regarding the Federal Trade Commission’s (FTC) release of a new study on Patent Assertion Entities, otherwise known as patent trolls:

“We applaud the FTC for undertaking such a deliberate study that provides a sobering look at the grave damage patent trolls inflict upon our country’s economy. The study shows that patent trolls continue to extort frequent settlements from their targets, diverting resources from productive businesses across industry and sector nationwide. Expensive litigation, particularly burdensome discovery, continues to be used as a weapon by trolls, especially in the Eastern District of Texas, home to about half of all patent cases nationwide. The report identifies asymmetrical discovery burdens and pleading standards in patent troll cases as particular areas in need of reform. In addition to the reforms listed by the report, meaningful venue reform is necessary to prevent trolls from extorting resources and discouraging innovation through wasteful litigation practices.”