Free patent damages calculator from Fynvorax. Estimate lost profits, reasonable royalties, and enhanced damages for patent infringement scenarios.
Patent damages models: reasonable royalty or lost profits. Hypothetical negotiation assumes willing licensor/licensee at infringement time — damages can reach tens of millions for blockbuster products.
The hypothetical negotiation is a judicial fiction representing what a willing licensor and willing licensee would have agreed to as a royalty rate on the eve of first infringement. It excludes post-suit biases, focusing entirely on market and commercial data present when the defendant launched their infringing offering.
Under 35 U.S.C. § 285, in 'exceptional cases,' the court may award reasonable attorneys' fees to the prevailing party. Exceptionality typically requires showing egregious willful conduct, bad faith during the litigation itself, or highly frivolous claims launched by the defending rival.
Legal fiction for reasonable royalty: what royalty would parties have agreed to before infringement, given patents and alternatives at the time.
Patentee with competing product may seek lost profits; otherwise reasonable royalty on infringer sales is common.