Monday, February 14, 2005

Experimental Use

Lisle Corp. v. A.J. Manufacturing Co., No. 04-1275, -1346, Federal Circuit (February 11, 2005), affirmed.

The district court denied A.J.'s motion for judgment as a matter of law after a jury found the '776 patent was not shown to be invalid for public use.

The determination of whether a patent is invalid for public use is a question of law reviewed de novo, but questions of disputed facts that support that determination are reviewed for substantial evidence after a jury trial.

The facts are as follows: The patent relates to an inner tie rod tool. On or about December 12, 1989, Lisle delivered a prototype tool to four different automobile repair shops in Omaha, Nebraska. Lisle did not receive any payment for the tools, nor did he require any of the mechanics to enter into a formal confidentiality agreement. The application leading to the '776 patent was filed on June 26, 1992, over thirty months later. A.J. alleged that this constituted public use under § 102(b). The jury found that the use was experimental.

The Federal Circuit agreed that A.J.'s motion for JMOL should be denied. First, substantial evidence supported the jury's finding in favor of Lisle on the question of experimental use. The coinventor of the patent had testified that : (1) he needed to know how well the wrench disc would fit on the inner tie rod socket and whether the prototype tool would fit in the confined location of the tie rod in different automobile models; (2) company protocol was to contact the mechanics every two to four weeks for feedback; (3) the design was modified in response to comments from the mechanics; (3) Lisle had a prior working relationship with the mechanics, who knew the tool was being given to them for experimental purposes. The jury also saw "General Meeting Reports" which gave updates on the status of the tie rod tool project.

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