A relationship between Staples and a supplier of file folders deteriorated resulting in a breach of contract and patent infringement lawsuit against Staples originally filed in the Central District of California. The case was transferred to D. Mass. where Staples moved for summary judgment on both counts.
The supplier had tried to assign its rights in the distribution contract and patent to a third party entity. Staples moved for judgment that (1) the contract prohibited assignment by the supplier without Staples’ consent and (2) the contract required assignment of the patent to Staples. Judge Stearns agreed that the contract prohibited the supplier’s assignment of its rights and so granted judgment that the third party had no standing to sue for breach of contract. Judge Stearns also granted summary judgment on the patent claim but on alternative grounds. The patent assignment only gave the third party the right to make products under the patent and was thus not an assignment of rights sufficient to grant standing to sue. Summary judgment granted.
Filer, Inc. v. Staples, Inc., 10-11380-RGS (D. Mass. Mar. 1, 2011)
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