The case of Wash World Inc. v. Belanger Inc. explores the extent to which lost profit damages for patent infringement can encompass profits from unpatented products sold alongside a patented product. In reviewing the $9.6 million damages award to Belanger for the infringement of its patented car wash system, the Federal Circuit clarified that the sales of unpatented dryers could be included if they are viewed as convoyed sales, rather than focusing solely on apportionment for the patented item. The court emphasized the need for a functional relationship between the two products in such considerations.
The Federal Circuit ruled that damages for patent infringement can include profits from unpatented products if they are considered convoyed sales with a patented product.
The court clarified the distinction between 'apportionment' for lost profits on patented devices and 'convoyed sales' for components sold together, impacting damage awards.
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