Kollmorgen Corp. v. Yaskawa Electric Corp.

Docket: No. 685

Court: Court of Appeals for the Federal Circuit; October 19, 2001; Federal Appellate Court

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Yaskawa Electric Corporation and Yaskawa Electric America, Inc. seek permission to appeal an interlocutory order certified by the United States District Court for the Western District of Virginia under 28 U.S.C. § 1292(b). Kollmorgen Corporation opposes this petition. The key legal issue is whether a patentee who settles a previous infringement case after a Markman ruling is barred by collateral estoppel from relitigating claim construction issues determined in that case. The district court ruled that collateral estoppel does not apply because a consensual settlement is not considered a “final judgment.” However, the court noted that other jurisdictions have reached different conclusions regarding similar facts, citing TM Patents, L.P. v. IBM Corp., where a prior Markman ruling was deemed sufficiently “final” to apply collateral estoppel despite not resulting in a final judgment after verdict. The district court certified the order for interlocutory appeal, determining it involves a controlling question of law, there is substantial ground for difference of opinion, and that resolving the question will materially advance the case's ultimate resolution. The petition and the motion to file a reply brief are both granted.