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Princo Corp. v. Int'l Trade Comm'n, 07-1386, concerned a challenge to the International Trade Commission's decision that the doctrine of patent misuse does not bar intervenor-U.S. Philips Corporation from enforcing its patent rights against defendant, in plaintiff's patent infringement suit related to two types of digital storage devices, recordable discs (CD-Rs) and rewritable compact discs (CD-RWs), claiming that defendant was violating section 337(a)(1)(B) of the Tariff Act of 1930 by importing CD-Rs and CD-RWs that infringed its patents.
In affirming the judgment, the court held that, even if Phillips and Sony engaged in an agreement not to license the patent at issue for non-Orange-Book purposes, that hypothesized agreement had no bearing on the physical or temporal scope of the patents in suit, nor did it have anti-competitive effects in the relevant market. Therefore, the asserted agreement between Phillips and Sony did not constitute misuse and cannot justify rendering all of Phillips' Orange Book patents unenforceable.
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