Bill > H401

This bill establishes legal protections against bad faith assertions of patent infringement in Massachusetts, creating a new chapter in state law to address predatory patent litigation tactics. The bill defines key terms such as "assertion of patent infringement" and "demand letter", and provides a framework for evaluating whether a patent claim is made in bad faith. Specifically, courts can consider factors like whether a demand letter lacks critical information (such as patent number, owner details, and specific infringement allegations), whether the patent holder conducted a proper analysis of potential infringement, and whether the licensing fees or legal threats are unreasonable. If a target (a person or business in Massachusetts) believes they have been subjected to a bad faith patent infringement assertion, they can sue in superior court and potentially receive remedies including equitable relief, damages, attorneys' fees, and exemplary damages up to $50,000 or three times the total damages. The bill aims to protect innovation and entrepreneurship by discouraging patent trolling—a practice where entities make broad, often baseless patent infringement claims to extract settlements—while ensuring legitimate patent holders can still defend their intellectual property rights.

Labor and Employment

https://malegislature.gov/Bills/194/H401