When a party is found to have infringed a valid and enforceable medical device patent, the patent laws entitle the patent owner to damages adequate to compensate for the infringement. At a minimum, the patent owner is entitled to receive a “reasonable royalty” for the use made of the patented invention by the infringer.
A reasonable royalty is often defined as payment that a patent holder and the infringer would have agreed to in a hypothetical negotiation taking place at the time prior to when the infringement first began. The jury (or judge in a bench trial) is to consider all the facts known and available to the parties at the time the infringement began. In most cases, the following 15 factors, known as the Georgia Pacific factors,11 are considered in the reasonable royalty determination.