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Mead Corp. v. United States

Citations: 490 F. Supp. 405; 208 U.S.P.Q. (BNA) 205; 27 Cont. Cas. Fed. 80,441; 1980 U.S. Dist. LEXIS 9141Docket: Civ. A. 79-1668

Court: District Court, District of Columbia; May 30, 1980; Federal District Court

Narrative Opinion Summary

This case involves a dispute regarding the ownership of U.S. Patent No. 3,596,275, which was invented by Richard G. Sweet. Mead Corporation and Mead Digital Systems, Inc. filed suit against the United States, the Secretary of Defense, and A.B. Dick Company, seeking declarations that the U.S. holds all rights to the invention or should be assigned these rights. The patent was developed during research funded by the Army Signal Corps at Stanford University. Sweet, the inventor, had entered into a license agreement and filed a patent application naming himself as the owner. The court examined jurisdictional issues under several statutes, including federal question jurisdiction, patent law, and the Administrative Procedure Act. The court found that the government ownership of the invention was not established at the time of discovery due to contractual provisions allowing the inventor to retain title, subject only to a license for the U.S. government's use. As a result, the court determined there was no subject matter jurisdiction and dismissed the action, as the plaintiffs' claims were contingent on the government owning the patent, which was not the case. Consequently, Sweet retained ownership rights, and the government held a license to use the invention.

Legal Issues Addressed

Declaratory Judgment Act under Section 2201

Application: Section 2201 allows for declaratory judgments in cases where jurisdiction is independently established, but does not independently provide jurisdiction.

Reasoning: This principle extends to sections...2201 (declaratory judgment).

Dismissal for Lack of Subject Matter Jurisdiction

Application: The court dismissed the action due to a lack of subject matter jurisdiction as the statutory bases for jurisdiction depended on the government already owning the property.

Reasoning: Since the plaintiffs' statutory bases for jurisdiction depend on the government already owning the property, and the court found no subject matter jurisdiction, the action was dismissed with an order to follow.

Federal Question Jurisdiction under Section 1331

Application: Section 1331 provides jurisdiction for district courts to hear cases with independently established causes of action but does not create substantive rights or causes of action.

Reasoning: Section 1331 does not create substantive rights or causes of action but provides jurisdiction for district courts to hear cases with independently established causes of action.

Government Ownership of Inventions under Contractual Provisions

Application: The determination of government ownership of inventions hinges on specific contract provisions, which in this case allowed the inventor to retain title while granting the U.S. a license.

Reasoning: The plaintiffs' case hinges on whether Mr. Sweet’s invention was government-owned from discovery, determined by contract provisions governing patent rights.

Patent Law Jurisdiction under Section 1338

Application: The court has jurisdiction over patent-related matters but only when the underlying cause of action is properly established.

Reasoning: This principle extends to sections 1338 (patents)...

Waiver of Sovereign Immunity under the Administrative Procedure Act

Application: The plaintiffs assert their cause of action stems from the APA, which waives sovereign immunity claims by the U.S., contingent on the performance of specific statutory duties.

Reasoning: Plaintiffs assert their cause of action stems from the Administrative Procedure Act (APA), which waives sovereign immunity claims by the U.S.