Document Type

Article

Publication Title

University of Miami Business Law Journal

Publication Date

1996

Volume

6

First Page

119

Abstract

(Excerpt)

This article will explore potential antitrust liability arising from attempted enforcement of invalid patents or trade secrets known to be invalid. A fundamental tension exists between the law of intellectual property and antitrust law. Federal patent laws and the state law doctrines of trade secrets confer on the holder exclusive rights to exploit an invention or creation and to exclude others from its use. The rationale of the patent laws and state intellectual property laws is to foster innovation and to provide inventors with protection for the fruits of their labor. By contrast, antitrust laws embody a public policy favoring free competition and generally discourage exclusionary behavior by an entity. Antitrust laws rest upon the premise that the "unrestrained interaction of competitive forces will yield the best allocation of our economic resources, the lowest prices, the highest quality and the greatest material progress, while at the same time providing an environment conducive to the preservation of our political and social institutions." An uneasy equilibrium exists between intellectual property law and antitrust law. As long as the intellectual property laws are used as a shield to protect the holder's property rights, antitrust concerns must yield. However, when intellectual property rights are used as a sword to destroy competition, antitrust concerns prevail and the holders may face antitrust liability if they have accumulated sufficient presence in the particular market.

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