000415 03apportionment_wmp_a_16.wma 000000 MICHAEL GORMAN: Okay now that we've kind of laid the groundwork for the differences, I'd like to ask you all, is there any way you could talk a little bit more 000009 specifically on the Innovation Alliance's position on both willfulness and apportionment of damages as compared to that of the Coalition? 000016 It seems like there might be a gulf there between the two sides. 000019 TARANEH MAGHAME: Sure, I think the gulf is probably more on the side of the apportionment of damages issue than the willfulness. 000029 Because the Innovation believes that there are certain things that can be done to improve the patent system and the ability of companies to enforce 000041 and get more certainty as to what the results are going to be. 000045 On the willfulness side, we certainly believe that we should continue to have treble damages. 000054 We should continue to allow for enhanced damages where a company is blatantly infringing a patent and knowingly doing so. 000102 But we don't have any issue with having better clarity with respect to what constitutes willful infringement. 000113 So on that front I think, like I said, there's less of a gulf. 000117 And that needs to be done deliberately. 000120 That needs to be done carefully. 000121 And we need to make sure that by giving it more clarity we're not allowing infringers to get away with more in terms of willful infringement 000132 and we continue to protect the patent rights of the plaintiffs. 000137 There is more of a gulf on the apportionment of damages issue. 000141 The Coalition for Patent Fairness has put forth language and supports language that specifies a very limited definition of how damages should be apportioned. 000200 Now if you look at the case law, we do have the seminal case of Georgia Pacific which has been used until now 000208 and continues to be used currently as far as I know to determine what reasonable royalties should be in any case. 000215 And that case lays out 15 factors. 000218 And the jury and Court is able to determine which of those factors are applicable in any particular case and to use those factors to figure out 000230 what a reasonable royalty should be in that case. 000232 Our issue with apportionment language that has been proposed to date is that it basically takes just about one of those factors and codifies it. 000245 Whereas we think we need a lot more flexibility to make sure that in determining a reasonable royalty, we've taken into account all of the factors that are relevant, 000254 not just the value for example of the particular patent that's been asserted, the particular component that's an issue, 000302 but for example the history of the royalties that the company has received on that patent and various other factors. 000309 So we believe that continuing with the Georgia Pacific factors is a good way to go. 000316 And if we do want to codify something, then we need to do more than what's been done right now in terms of the limitations. 000323 MICHAEL GORMAN: Okay, all right. 000327 Derek's shaking his head. 000328 I don't think he has anything to add.