Enjoining Non-Infringing Sales an Abuse of Discretion

MPT, Inc. v. Marathon Labels, Inc., [2007-1183, -1204, -1238](December 12, 2007)[MOORE, Schall, Moran] NON-PRECEDENTIAL The Federal Circuit held that the district court abused its discretion in granting a permanent injunction that prohibits certain non-infringing sales, but otherwise affirmed the district court.
BRIEF: The distinct court granted an injunction against all sales of a Smart Surface Placard including sales to resellers who sell the apparatus for use outside the United States. The patentee conceded that sales of the Placard for use outside the United States did not infringe its method patents. The Federal Circuit said that given the parties’ admissions, the district court’s injunction is overly broad and therefore an abuse of discretion. The district court should not have enjoined sales of the Placard to locations outside the United States or sales to resellers who sell to locations outside the United States. The Federal Circuit reversed the grant of the injunction and remanded.