Court Opinion

ID: 9479521
Source: CourtListenerOpinion
Date Created: 2023-08-05 07:20:45.885082+00
Date Added: 2024-06-11T17:47:05.874986
License: Public Domain

NEWMAN, Circuit Judge,
concurring.
I join the panel opinion as to sections A and C of Part II. I concur in the result reached in section B, but write separately because I believe the panel majority’s statements with respect to 28 U.S.C. § 1498(a) are unduly broad, as well as unnecessary to the result.
28 U.S.C. § 1498(a) is an eminent domain law. Leesona Corp. v. United States, 220 Ct.Cl. 234, 599 F.2d 958, 966 (1979). Its application to all possible cases wherein, patents may be infringed by or on behalf of the government, whether or not grounded in “public use” within the meaning of the fifth amendment, has not been tested in the courts. Further, this aspect is not at issue. No challenge to “essential governmental exigency or public necessity”, in the Court’s words in Cramp & Sons v. Curtis Turbine Co., 246 U.S. 28, 41, 38 S.Ct. 271, 274, 62 L.Ed. 560 (1917), is raised by Shat-R-Shield.
The original legislative premise was to assure a remedy to patentees. Act of June 25, 1910, ch. 423, 36 Stat. 851 (amended *8581918); H.R.Rep. No. 1288, 61st Cong., 2d Sess., at 1 (1910); Cramp, supra, at 37, 41, 38 S.Ct. at 272, 274. Congress did not discuss the possible additional cost to the government, as would flow, for example, from the government’s purchase of the lamps from Trojan while paying “reasonable and entire compensation” to Shat-R-Shield. It is clear from the legislative history that Section 1498(a) was not enacted to enable cheaper procurement. See the statement of the sponsor that the 1918 amendment was “necessary and urgent” as it would “expedite the manufacture of war materials.” Leesona, 599 F.2d at 967 (quoting 56 Cong.Rec. 7961 (1918) (remarks of Rep. Padgett)). Further, even in 1910 Congress was concerned about the effect on inventors and innovation of such takings. Thus, until the issue is presented for adjudication it is inappropriate to imply, even in dictum, that Section 1498(a) is of unlimited scope.
The question before this panel is simply answered in the 1918 amendment, enacted for the express purpose of insulating from suit those who supply such infringing goods to the government, by providing that “entire” compensation shall come from the government. Naval Appropriations Act of July 1, 1918, ch. 114, 40 Stat. 705. This legislative purpose has been upheld in, e.g., Richmond Screw Anchor Co. v. United States, 275 U.S. 331, 345, 48 S.Ct. 194, 197-98, 72 L.Ed. 303 (1928); W.L. Gore & Associates, Inc. v. Garlock, Inc., 842 F.2d 1275, 1282, 6 USPQ2d 1277, 1283 (Fed.Cir.1988). Applying Section 1498(a) in accordance with its terms, I would affirm the district court’s refusal to enjoin Trojan from offering the infringing lamps to the Department of Defense.