Knorr-Bremse Systeme v. Dana Corp.
United States Court of Appeals for the Federal Circuit
383 F.3d 1337 (2004)
Knorr-Bremse Systeme (plaintiff) owned a patent on air-disk brakes for large trucks. Haldex (defendant) manufactured Mark II brakes that Dana Corporation (defendant) imported and installed in trucks, despite Knorr's written and oral notice of its infringement dispute with Haldex. Knorr sued both companies; the district court granted Knorr summary judgment on infringement of the Mark II brake. At trial on willfulness, Haldex admitted consulting counsel about Knorr's patent but withheld the opinion's substance as privileged, while Dana had never sought its own legal opinion, instead relying on Haldex. The district court inferred that the withheld opinion was unfavorable and that Dana's continued use of the Mark II brakes despite that presumed unfavorable opinion was willful infringement, awarding Knorr attorney's fees. Dana and Haldex appealed.
Whether a court may draw an adverse inference that a legal opinion was, or would have been, unfavorable to an accused infringer based on the infringer's failure to obtain or present that opinion at trial.