1. Home
  2. |Insights
  3. |Exclusive Licensor Subject To Personal Jurisdiction

Exclusive Licensor Subject To Personal Jurisdiction

Client Alert | 1 min read | 04.14.06

In Breckenridge Pharmaceuticals v. Metabolite Labs. (No. 05-1121, -1428; April 7, 2006), a Federal Circuit panel reverses a trial court's holding that it lacked personal jurisdiction over a non-resident patent holder/ licensor who was sued along with its exclusive licensee in a declaratory judgment action. The Federal Circuit also determines there are genuine disputes of material fact and vacates the trial court's summary judgment in favor of the exclusive licensee. Summarizing its own cases, the Federal Circuit explains that personal jurisdiction over a nonresident licensor is proper where a license agreement contemplates “a relationship beyond royalty or cross-licensing payment, such as granting both parties the right to litigate infringement cases or granting the licensor the right to exercise control over the licensee's sales or marketing activities.”

Because the non-patent issues in the case are intimately linked with the patent issues, the panel determines the personal jurisdiction law of the Federal Circuit, not regional circuit law, applies. In this case, the exclusive license granted the licensee the right to sue for patent infringement. Working with that exclusive licensee, the patent owner also sent letters to Florida businesses informing them of the patents. The panel holds these activities, coupled with the licensee's business in the state, adequate to provide the district court there with personal jurisdiction over the patent owner.

Insights

Client Alert | 9 min read | 08.02.26

The 2026 ICC Arbitration Rules: A New Era

The International Chamber of Commerce (ICC) has released its revised 2026 Arbitration Rules (the 2026 Rules), which entered into force on 1 June 2026. The 2026 Rules apply to any arbitration commenced on or after 1 June 2026, unless the parties have agreed otherwise. The revisions were driven by increased competition among arbitral institutions—illustrated by recent amendments to the Singapore International Arbitration Centre (SIAC) Rules in August 2025 and the anticipated update to the London Court of International Arbitration (LCIA) Rules....