Am I liable if the licensee gets sued for a product they made using my patent?

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Am I liable if the licensee gets sued for a product they made using my patent?

I am considering a licensing deal and worry that I will be liable should that company get sued for the product I license to them. Am I liable for the product they manufacture and market using my patent?

Asked on March 3, 2016 under Business Law, Pennsylvania

Answers:

SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 5 years ago | Contributor

You are not automatically liable, but could be if you were at fault--e.g, if your design (the thing you licensed) is inherently defective or dangerous and the defect is what gave rise to the grounds for the lawsuit. You are not liable for anything done or changed by licensee, including manufacturing defects.


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