Preliminary Injunctive Relief: Theory and Evidence from Patent Litigation

44 Pages Posted: 1 Jun 2003 Last revised: 20 Jul 2022

See all articles by Jean O. Lanjouw

Jean O. Lanjouw

University of California, Berkeley, College of Natural Resources, Department of Agricultural & Resource Economics (Deceased); Yale University, Faculty of Arts & Sciences, Department of Economics (Deceased); Brookings Institution (Deceased)

Josh Lerner

Harvard Business School - Finance Unit; Harvard University - Entrepreneurial Management Unit; National Bureau of Economic Research (NBER); European Corporate Governance Institute (ECGI); Harvard University - Private Capital Research Institute

Date Written: July 1996

Abstract

This paper examines the suggestion that established plaintiffs request preliminary injunctions to engage in predation against less financially healthy firms. We first present a model in which differences in litigation costs drive the use of preliminary injunctions in civil litigation. The hypothesis is tested using a sample of 252 patent suits, which allows us to characterize the litigating parties while controlling for the nature of the dispute. The evidence is consistent with the predation hypothesis. We then explore various implications of the model and the impact of policy reforms.

Suggested Citation

Lanjouw, Jean Olson and Lerner, Josh, Preliminary Injunctive Relief: Theory and Evidence from Patent Litigation (July 1996). NBER Working Paper No. w5689, Available at SSRN: https://ssrn.com/abstract=4328

Jean Olson Lanjouw (Contact Author)

University of California, Berkeley, College of Natural Resources, Department of Agricultural & Resource Economics (Deceased)

Yale University, Faculty of Arts & Sciences, Department of Economics (Deceased) ( email )

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Brookings Institution (Deceased)

Josh Lerner

Harvard Business School - Finance Unit ( email )

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HOME PAGE: http://www.people.hbs.edu/jlerner/

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