IP Edge, 2021’s Top Plaintiff, Has a Long and Litigious History
February 9, 2022
RPX’s Q4 in Review detailed how NPE litigation increased by around 10% in 2021, both with and without the activity of one particularly litigious NPE: the patent monetization firm IP Edge LLC. Entities controlled by IP Edge have collectively added more defendants to patent campaigns than any other patent plaintiff—well over double that of the firm in second place, Acacia Research Corporation; and also edging out prolific litigant Leigh M. Rothschild, the inventor who holds the number-three spot. The volume of IP Edge’s litigation over time is illustrated in the graph below.
IP Edge has become well-known for its file-and-settle litigation strategy. Apart from a rare trial before the ITC last year, most of its patent assertion activity has consisted of district court cases resolved at the pleadings stage without much, if any, substantive litigation. More specifically, 30% of IP Edge cases are dismissed within 90 days of a complaint, while 95% are resolved within a year.
This apparent preference for early settlement also provides a potential explanation for IP Edge’s overwhelming post-TC Heartland preference for the District of Delaware for its litigation (accounting for around 63% in 2021), as opposed to the Western District of Texas (the current favorite for other NPE plaintiffs). The latter venue’s emphasis on scheduling trials as early as possible may deter plaintiffs like IP Edge that seem disinclined to test their cases on the merits.
See the full report for more on IP Edge and other trends that shaped patent litigation and the patent marketplace in 2021.
