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  • February 2018
  • Background Note
  • HBS Case Collection

Patent Trolling

By: Lauren H. Cohen, Umit G. Gurun, Scott Duke Kominers and George Hou
  • Format:Print
  • | Language:English
  • | Pages:15
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Abstract

The U.S. Intellectual Property (IP) Ecosystem is one of the most robust and dynamic in the world—and has been for centuries. The bedrock of this system is the "patent," a legal document that allows its holder exclusive commercialization rights of a part of the "idea space" granted through the patent. Strong legal protection of IP has made the U.S. a destination of great thinkers and innovators worldwide in order to enjoy this legal protection of their valuable insights. A new threat, however, looms. The same legal system that has protected IP has been used to create an organizational form known as a "Patent Troll." Patent Trolls amass patents for the sake of opportunistically extracting rents from firms producing and commercializing products. In this Industry Note, we describe the origin, evolution, costs, benefits, and future outlook for Patent Trolling in the United States.

Keywords

Intellectual Property; Patents; Lawsuits and Litigation; United States

Citation

Cohen, Lauren H., Umit G. Gurun, Scott Duke Kominers, and George Hou. "Patent Trolling." Harvard Business School Background Note 218-085, February 2018.
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About The Authors

Lauren H. Cohen

Finance
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Scott Duke Kominers

Entrepreneurial Management
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