December 18, 2013
Letter Sent to Federal Trade Commission Urges Protection of Small Businesses, Non-Profit Agencies and Consumers From Baseless Patent Infringement Harassment
Las Vegas, NV – Nevada Attorney General Catherine Cortez Masto announced Nevada joined 42 other attorneys general in submitting a letter to the Federal Trade Commission (FTC) voicing strong support for the federal agency’s proposed nationwide investigation of Patent Assertion Entities (PAEs), also known as “patent trolls”.
“Patent trolls make unjustifiable claims to extract fees or settlements from consumers,” said Masto. “It is important that they are held liable and Nevada consumers are better protected since this issue has the potential to impact our local economy. I am pleased to see that Congress and the federal government are joining AG’s from across the country in supporting this issue.”
Consumers, small businesses and non-profit agencies are often targeted because they have purchased or used off-the-shelf commercial products that rely on common, everyday technology. These products include printers, scanners or wireless routers.
In early October, the FTC announced its plan to conduct a wide-ranging investigation of patent trolls. The proposed investigation would arm consumer protection authorities with valuable intelligence as they escalate actions against abusers of the patent system.
Recently, a number of states have taken action against patent trolls whose activities run afoul of state consumer protection and unfair trade practice laws. Although much has been discovered through investigation of specific patent troll entities, the business structure and operating methods of other such entities remain unclear.
To read the letter, click here.
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