Non-Patent IP Cases at the Supreme Court: December 2024 Update
Patent – Patently-O 2024-12-25
Summary:
by Dennis Crouch
I recently posted about pending patent cases before the Supreme Court, this post goes into the non-patent intellectual property cases:
On December 11, 2024, the Court heard arguments in Dewberry Group, Inc. v. Dewberry Engineers Inc., No. 23-900, addressing profit calculations for trademark misappropriation under Section 35(a) of the Lanham Act, 15 U.S.C. § 1117(a). This is the only IP case that has been granted certiorari this term. The dispute stems from a $43 million disgorgement award based on profits earned by companies affiliated with, but legally distinct from, the defendant. The central question is whether courts can consider affiliate revenues without first “piercing the corporate veil.”
During oral argument, the Justices focused heavily on corporate law fundamentals. Several appeared skeptical of the respondent’s argument that courts can treat affiliate profits as evidence of a defendant’s “true financial gain” without disregarding corporate separateness. The Court’s ultimate resolution could significantly impact how companies structure their IP holdings and licensing arrangements between related entities.
Two interrelated petitions examine internet service provider liability for copyright infringement. In Cox Communications, Inc. v. Sony Music Entertainment, No. 24-171, and Sony Music Entertainment v.