Does Patent Infringement Constitute an Advertising Injury under California Law?
Martha L. Arias, Immgration & Internet Law Attorney, Miami; IBLS Director Sunday, May 09, 2010 Large companies, in particular, have websites that offer sophisticated electronic services. Many of these electronic services are patented programs or advertising methods. What does happen when one of these companies uses a patented program or advertising method without proper authorization? Is the company’s insurance carrier obliged to defend the company against patent infringement under the parties” liability insurance policy? The answer to this question may be found in two core sources: the terms of the liability insurance policy and the state law. This article provides an example of a California case dealing with the issue of whether patent infringement constitutes an advertising injury to be defended by the company’s liability insurer. Nowadays, more companies’ liability insurance policies include protection against the so-called advertising injury. This is, liability caused by advertisi