If you receive a patent infringement threat or cease-and-desist letter that seems misleading or unfounded, state law may offer tools to push back. Many states police unfair or deceptive business practices and, in some cases (currently about 30 states), have statutes aimed at bad faith patent demands—such as letters that overstate the scope of the patent; fail to identify particular accused products; overstate the target’s liability; or demand payment of a license fee within an unreasonably short period of time. These laws can allow targets to seek court orders, damages or fees when a patent assertion crosses the line into bad faith.
For example, Idaho, where this author practices, has Idaho Code § 48-1701, et seq., to protect against bad faith assertions of patent infringement. Idaho’s statute also includes provision for requiring posting of “a bond in an amount equal to a good faith estimate of the target’s costs to litigate the claim and amounts reasonably likely to be recovered under this chapter.” Idaho Code § 48-1707. The Court of Appeals for the Federal Circuit recently declined to remove on lack of appellate jurisdiction grounds the District of Idaho’s imposition of an $8 million bond on a patentee accusing Micron Technology, Inc. of patent infringement. Micron Technology, Inc. v. Longhorn IP LLC, No. 2023-2007 (Fed. Cir. Dec. 18, 2025).
