PATENTS - Remedies - Accounting of profits

Law360 Canada (November 18, 2022, 12:13 PM EST) -- Appeal by Nova Chemicals Corporation from a decision of the Federal Court of Appeal that upheld an accounting of profits assessment awarded to Dow Chemical. Nova made and sold products covered by Dow’s patent for plastics. Dow’s patent was issued in 2006 and expired in 2014. After a determination that the patent was valid and that Nova had infringed the patent, Dow was permitted to seek an accounting of profits. Nova conceded there were no non-infringing options available. The reference judge awarded Dow a sum equal to Nova’s actual revenue from selling the patented plastics minus its actual full costs associated with producing them. Nova was permitted to subtract its actual cost of producing ethylene, the main ingredient in the patented plastics, but not the higher market price of ethylene. The reference judge also awarded Dow springboard profits that arose post-patent-expiry but were causally attributable to infringement during the period of patent protection. A majority of the Federal Court of Appeal upheld the entirety of the award....
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