Manville Sales Corporation, Plaintiff/cross-Appellant v. Paramount Systems, Inc., Robert S. Butterworth and Anthony J. Disimone
917 F.2d 544 | Court of Appeals for the Federal Circuit | 1990
What This Case Means for Subcontractors
Manville won a patent infringement case against Paramount Systems over a lighting pole assembly design with special 'iris' guide arms. The court confirmed the patent was valid and that Paramount copied it, awarding damages to Manville. However, the court reversed personal liability against two individual company officers, meaning they couldn't be held personally responsible even though their company infringed. This matters to subcontractors because it shows patent disputes can result in major damages, but individual employees and managers may have some protection from personal liability.
Key Takeaways
- •Patent infringement can result in significant damages awards against your company—protect your designs and review competitor products carefully before copying
- •Individual officers and managers may not be personally liable for company patent infringement, but the company itself remains fully exposed
- •Document when your designs were first conceived and installed; early public use or sales before patent filing can invalidate a patent
We affirm all appealed issues except we reverse as to personal liability of individual defendants.
Frequently Asked Question
Can I be personally sued if my company infringes a patent?
Generally no—the company bears liability for patent infringement, not individual employees or managers. However, the company itself can face significant damages. Always review designs for originality and avoid copying competitor products without proper licensing or design changes.
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