Colorado Patent Lawyer Mark Trenner answers questions about “Patent Protection as Investment and Insurance.”

Watch Entire Interview at Once Here: Patents as Investment and Insurance Video

Interviewer: Right, I’d rather spend invest my money in new designs.

Patent Attorney: And that’s what a lot of small businesses say. Then suddenly the business receives a cease and desist letter from an attorney representing one of their competitors. The letter from the attorney alleges that the company’s most recent handbag design infringes a design patent that has just issued to their competitor.

Interviewer: What does the business being accused of patent infringement do in a case like this?

Patent Attorney: The first thing that business should do is seek the advice of a patent attorney, preferably an attorney having litigation experience. After evaluating the alleged infringing handbag in view of the issued design patent to determine whether the other party has a valid claim, the patent attorney is going to ask the business owner whether they have any of their own patents.

Interviewer: Why does it matter if the business has their own patent if they are being accused of patent infringement?

Patent Attorney: Well if they do, there is a possibility that the other company is infringing as well.

For Part 4, please follow this link: Patent Asset and Insurance Q & A – Part 4 of 4

Colorado Patent Attorney Mark Trenner answers questions about “Patent Protection as Investment and Insurance.”

Watch Entire Interview at Once Here: Patents as Investment and Insurance Video

Interviewer: You covered licensing, selling, and using a patent or patent application for collateral. Is there any other asset value of a patent?

Patent Attorney: As the article points out, a business that educates their employees about patents, and rewards employees for submitting their ideas as part of a patenting program, can actually help stimulate innovation and product development.

Interviewer: The article also discusses patent protection as insurance. Please explain.

Patent Attorney: I’m not sure the term “insurance” is accurate, but the article makes an important point often overlooked by small businesses until it is too late. Often, small businesses view the process of pursuing patent to be a waste of valuable resources – both time and money. That is, until the company finds itself accused of infringing someone else’s patent.

Interviewer: What do you mean?

Patent Attorney: Well let’s say you’re a small business making handbags. You go about the business of making new handbags every season and selling those handbags. Why spend money to pursue a patent application for a handbag when it may be out of style in a year or two?

For Part 3, please follow this link: Patent Asset and Insurance Q & A – Part 3 of 4

Denver Patent Attorney Mark Trenner answers questions about “Patent Protection as Investment and Insurance.”

Watch Entire Interview at Once Here: Patents as Investment and Insurance Video

Introduction: We are here in Colorado to interview Denver-area patent attorney Mark Trenner. Mark has been practicing as a

patent attorney for almost 14 years; the past 9 years at Trenner Law Firm. While his practice focuses primarily on helping small businesses protect their inventions with patents, Trenner Law Firm assists clients build out all aspects of their intellectual property portfolio, including copyrights, trademarks, and trade secrets.

Interviewer: Corporate Counsel published an article this month titled “Patent Protection as Investment and Insurance.” What do patents have to do with investments and insurance?

Patent Attorney: There doesn’t seem to be any relation at first glance, but the article is on-point. As the author explains, intellectual property (that is, patents, trademarks, copyrights, and even trade secrets) are a key asset for several reasons.

Interviewer: What are some of the reasons businesses may want to consider patents to be an asset?

Patent Attorney: Patents, and even patent applications, can be licensed, sold, or even used for collateral. I often compare the asset value of patents to a building. The owner of the building can lease space within the building for rent money, just like the owner of a patent can license the right to make, use, or sell an invention for royalties. The owner of the building can also sell the building outright, in exchange for a sum of money, similar to a patent owner selling the patent to another business who wants the exclusive right to make, use or sell the invention. And of course, the building owner borrow against the building, putting the building up for collateral to secure the loan. Likewise, a patent owner may be able to secure a loan or other funding by using a patent or patent application as collateral.

For Part 2, please follow this link: Patent Asset and Insurance Q & A – Part 2 of 4