New York A 380: Prohibits bad faith assertions of patent infringement

Bill Text

Bill Search and Legislative Information | New York State Assembly 

• 

• 

• 

• 

• 

• 

• 

• 

 Skip to main content 

 New York State Assembly

 Speaker Carl E. Heastie

 --> 
 --> 

 --> 

• 
 Assembly Members 

• 
 Legislative Info 

• 
 Public Hearings 

• 
 Speaker's Press 

• 
 Assembly Reports 

• 
 Committees & More 

• Bill Search Home
• Laws
• Legislative Calendar
• Public Hearing Schedule
• Assembly Calendars
• Assembly Committee Agenda 

 Javascript must be enabled to properly view this page. 

 Bill No.: 

• Summary 
• Actions 
• Committee&nbspVotes 
• Floor&nbspVotes 
• Memo 
• Text 
• LFIN 
• Chamber&nbspVideo/Transcript 
A00380 Summary:

BILL NOA00380 

&nbsp

SAME ASNo Same As

&nbsp

SPONSORVanel

&nbsp

COSPNSR

&nbsp

MLTSPNSR

&nbsp

Add Art 24-E §§376 - 379, Gen Bus L

&nbsp

Prohibits bad faith assertions of patent infringement where the person making the assertion is not engaging, has not engaged or attempted to engage, or does not intend to engage in the bona fide use of the patent in the production, development, licensing or commercialization of goods or services.

Go to top A00380 Actions:

BILL NOA00380 

&nbsp

01/08/2025referred to judiciary

01/07/2026referred to judiciary

Go to topA00380 Committee&nbspVotes:

Go to topA00380 Floor&nbspVotes:

There are no Assembly votes for this bill in this legislative session.

Go to topA00380 Text:

 STATE OF NEW YORK
 ________________________________________________________________________

 380

 2025-2026 Regular Sessions

 IN ASSEMBLY

 (Prefiled)

 January 8, 2025
 ___________

 Introduced by M. of A. VANEL -- read once and referred to the Committee
 on Judiciary

 AN ACT to amend the general business law, in relation to prohibiting bad
 faith assertions of patent infringement

 The People of the State of New York, represented in Senate and Assem-
 bly, do enact as follows:

 1 Section 1. The general business law is amended by adding a new article
 2 24-E to read as follows:
 3 ARTICLE 24-E
 4 BAD FAITH ASSERTIONS OF PATENT INFRINGEMENT
 5 Section 376. Definitions.
 6 377. Bad faith assertions of patent infringement prohibited.
 7 378. Penalties.
 8 379. Severability.
 9 § 376. Definitions. The following terms shall have the following mean-
 10 ings:
 11 1. "Demand" or "assertion" shall mean a letter, e-mail, or other
 12 communication asserting or claiming that the target has engaged in
 13 patent infringement.
 14 2. "Target" shall mean a New York resident:
 15 (a) Who has received a demand letter or against whom an assertion or
 16 allegation of patent infringement has been made;
 17 (b) Who has been threatened with litigation or against whom a lawsuit
 18 has been filed alleging patent infringement; or
 19 (c) Whose customers have received a demand letter asserting that the
 20 person's product, service, or technology has infringed on a patent.
 21 § 377. Bad faith assertions of patent infringement prohibited. 1. A
 22 person shall not make a bad faith assertion of patent infringement.
 23 2. (a) An assertion of patent infringement is presumptively made in
 24 bad faith when the person making the assertion (i) is not engaging, (ii)

 EXPLANATION--Matter in italics (underscored) is new; matter in brackets
 [ ] is old law to be omitted.
 LBD01940-01-5

 A. 380 2

 1 has not engaged or attempted to engage, or (iii) does not intend to
 2 engage in the bona fide use of the patent in the production, develop-
 3 ment, licensing or commercialization of goods or services. A person's
 4 efforts to license a patent shall not be considered as negating this
 5 presumption where such licensing efforts were solely or substantially
 6 made through assertions of patent infringement.
 7 (b) In making this assessment, the court shall consider the following
 8 factors:
 9 (i) The person's internal and external private and business-related
 10 communications;
 11 (ii) Business activities related to the patent;
 12 (iii) Financial records and investments tied to the development or
 13 utilization of the patent;
 14 (iv) Any licensing agreements or partnerships involving the patent
 15 other than those obtained through assertions of patent infringement;
 16 (v) Documentation of research and development efforts associated with
 17 the patent;
 18 (vi) Marketing of products utilizing the patent;
 19 (vii) The length of time the patent has been owned by the person, in
 20 relation to the industry standard time typically required to engage in
 21 business activities and marketing;
 22 (viii) Whether any such activities related to the production, develop-
 23 ment, licensing or commercialization of the goods and services related
 24 to the patent were made in good faith or made with the purpose of
 25 circumventing claims under this section;
 26 (ix) The person's history of legal actions or assertions of patent
 27 infringement related to any patent whether currently or previously
 28 owned, including the outcomes of such claims; and
 29 (x)