University patent litigation in the United States: Do we have a problem?

• Published in: Research policy 2024-03, Vol.53 (2), p.104909, Article 104909
• Main Authors: Ascione, Grazia Sveva, Ciucci, Laura, Detotto, Claudio, Sterzi, Valerio
• Format: Article
• Language: English
• Subjects: Economics and Finance; Humanities and Social Sciences; Licensing; Patent assertion entities; Patent litigation; Technology transfer; University patents
• ISSN: 0048-7333; 1873-7625
• DOI: 10.1016/j.respol.2023.104909

In an attempt to increase revenues from patenting activities, some universities have started in recent years to pursue “overzealous” strategies to monetize their existing patents, by selling them to the highest bidder and enforcing them in court. In this paper we find quantitative evidence that patent litigation has an adverse effect on university technology transfer activities, reinforcing prior findings by Shane and Somaya (2007). However, we empirically show that universities do not litigate aggressively over patent infringement: not only do they litigate much less than patent assertion entities (PAEs), but we also observe no increase in terms of their propensity to litigate over the last two decades. Nor do we find any evidence of aggressive litigation strategies. •Universities’ patent litigation rise over time, but not their propensity to litigate.•Universities do not litigate aggressively over patent infringement.•Universities and Patent Assertion Entities pursue different litigation strategies.•Patent litigation has an adverse effect on university technology transfer.