US Inventor, Inc. v. Squires
District Court
Holding
The Federal Circuit held that the organizational plaintiffs lacked standing because they did not plausibly allege an imminent future injury traceable to the PTO's patent-cover language. The court also held that amendment would be futile and affirmed dismissal.
Why It Matters
The decision applies the Supreme Court's recent organizational-standing limits to patent-policy challenges, rejecting diversion-of-resources theories based on advocacy or member education.
Full Summary
Key Points
- Plaintiffs challenged the PTO's statement on issued patents that the patent grants the right to exclude, arguing that eBay made the language misleading because injunctions are no longer automatic.
- The court did not decide whether the cover language is accurate; it resolved the appeal on Article III standing.
- Organizational standing failed because alleged spending on guidance, education, and advocacy was a diversion-of-resources theory foreclosed by FDA v. Alliance for Hippocratic Medicine and Fourth Circuit law.
- Associational standing failed because US Inventor's identified members already knew about eBay and therefore did not face a sufficient likelihood of being misled again; the other groups had not pleaded associational standing.
- Leave to amend was properly denied because plaintiffs identified no additional facts that would cure the lack of imminent future injury.
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