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ARTICLE · 01 SEPTEMBER 2020

How Does The PTAB Exercise Discretion Under § 314(a)?

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The Patent Trial and Appeal Board (PTAB) has the discretion to deny institution of any inter partes review (IPR).

United StatesIntellectual Property

The Patent Trial and Appeal Board (PTAB) has the discretion to deny institution of any inter partes review (IPR). Such discretionary denial may be based on a variety of considerations, such as the existence of an ongoing district court litigation reviewing the validity of the same patent, because the PTAB considers a proceeding in parallel with the district court an inefficient use of resources. In Apple Inc. v. Fintiv, Inc., IPR2020-00019, Paper 11 (March 20, 2020) (precedential) ("Fintiv"), the PTAB set forth six factors for analyzing whether the circumstances of a parallel district court action warrants the PTAB's discretionary denial of institution. These factors are:

  1. whether the court granted a stay or evidence exists that one may be granted if a proceeding is instituted;

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