This paper analyzes patent pools and their effects on innovation incentives. It is shown that the pro …-competitive effects of patent pools for complementary patents naturally extend for dynamic innovation incentives. However, this simple … case, the licensing fees reflect the strength of patents. Patent pools of complementary patents can be used to discourage …

Using novel inter-firm patent litigation data, we show that defendant firms become financially constrained, reduce … innovation strategy reflects the patent race motives and hedging demand of defendant firms against future litigation. These real … consequences of patent litigation are evident among firms in similar product markets, indicating significant interplay between …

difference between the products. From the perspective of public policy, it is clarified that the policy on patent scope cannot … higher when the conflict is settled via cross licensing. However, the weak protection on patent rights, which is shown to …

Patent litigation poses a variety of challenges to the envisioned efficiency of trial. Such cases involve a high number …-stakes for the parties involved. These parties (and in particular patent holders) are also encouraged by empirical trends in … patent litigation to both seek jury trials and appeal after a verdict in a lower court. Generally, patent holders experience …

Involvement in patent litigation creates substantial direct and indirect costs for firms. We present evidence that … pairs of firms involved in patent litigation are more evenly-matched in financial profiles than pairs of firms not involved … in litigation. We take advantage of a novel, hand-collected data set that combines data on observed instances of patent …

We formally analyze the effects of legal presumptions in patent litigation. We set up a novel contest model to study … the patent is valid; a presumption that the patent is invalid; no presumption regarding validity. Our findings reveal that … there is high uncertainty about the patent's objective merit …