Section 285 of the Patent Act provides: "The court in
exceptional cases may award reasonable attorney fees to the
prevailing party." But, does the Seventh Amendment
require a jury trial to decide the facts forming the basis of an
award of attorney's fees under § 285 of the Patent Act?
In AIA America v. Avid Radiopharma (Fed. Cir. 2017),
the Federal Circuit has ruled that the factual basis for an
attorney fee award need not be decided by a jury — affirming
a $4 million fee award that followed a jury trial on the sole issue
of whether the plaintiff (AIA) owned the asserted patents. U.S.
Patent Nos. 5,455,169 and 7,538,258.
AIA America, Inc. appealed the district court's award of
attorney's fees to the Federal Circuit and argued that, when an
award of attorney's fees is based in part or in whole on a
party's state of mind, intent, or culpability, only a jury may
decide those issues. The Federal Circuit rejected the argument and
ruled that AIA's right to a jury trial