Doctrine of non-derogation from grants
Encyclopedia
The doctrine of non-derogation from grants is a principle of the law of England and Wales. As the House of Lords
explained in British Leyland Motor Corp. v. Armstrong Patents Co.
, it states that a seller of realty or goods is not permitted to take any action (such as bringing an infringement action) that will lessen the value to the buyer of the thing sold.
United States federal law recognises similar doctrines such as the exhaustion doctrine or doctrine of implied license
. A similar effect has also been realised in United States patent law
under the doctrine of repair and reconstruction.
An important difference between the doctrine of non-derogation from grants and other doctrines, particularly implied license, that are used to accomplish similar results is that the doctrine of non-derogation from grants is "inherent" as a matter of property law and apparently cannot be avoided by a seller's use of language attempting to negative application of the doctrine or by trial counsel's pointing to evidence of intent not to relinquish patent rights or copyright. In contrast, the other doctrines may be vulnerable to contractual disclaimers or evidence of intent not to grant intellectual property rights. The issue is discussed to some extent in the courts' opinions in British Leyland and Quanta Computer, Inc. v. LG Electronics, Inc.
Judicial functions of the House of Lords
The House of Lords, in addition to having a legislative function, historically also had a judicial function. It functioned as a court of first instance for the trials of peers, for impeachment cases, and as a court of last resort within the United Kingdom. In the latter case the House's...
explained in British Leyland Motor Corp. v. Armstrong Patents Co.
British Leyland Motor Corp. v. Armstrong Patents Co.
British Leyland Motor Corp. v. Armstrong Patents Co. is a 1986 decision of the House of Lords concerning the doctrine of non-derogation from grants. This doctrine is comparable to, but somewhat broader than, the doctrine of legal estoppel, assignor estoppel, or estoppel by deed in U.S. law...
, it states that a seller of realty or goods is not permitted to take any action (such as bringing an infringement action) that will lessen the value to the buyer of the thing sold.
United States federal law recognises similar doctrines such as the exhaustion doctrine or doctrine of implied license
Implied license
An implied license is an unwritten license which permits a party to do something that would normally require the express permission of another party...
. A similar effect has also been realised in United States patent law
United States patent law
United States patent law was established "to promote the Progress of Science and useful Arts, by securing for limited Times to Authors and Inventors the exclusive Right to their respective Writings and Discoveries;" as provided by the United States Constitution. Congress implemented these...
under the doctrine of repair and reconstruction.
An important difference between the doctrine of non-derogation from grants and other doctrines, particularly implied license, that are used to accomplish similar results is that the doctrine of non-derogation from grants is "inherent" as a matter of property law and apparently cannot be avoided by a seller's use of language attempting to negative application of the doctrine or by trial counsel's pointing to evidence of intent not to relinquish patent rights or copyright. In contrast, the other doctrines may be vulnerable to contractual disclaimers or evidence of intent not to grant intellectual property rights. The issue is discussed to some extent in the courts' opinions in British Leyland and Quanta Computer, Inc. v. LG Electronics, Inc.
Quanta Computer, Inc. v. LG Electronics, Inc.
Quanta Computer, Inc. v. LG Electronics, Inc., 553 U.S. 617 is a decision of the U.S. Supreme Court in which the Court reaffirmed the validity of the patent exhaustion doctrine, and in doing so made uncertain the continuing precedential value of a line of decisions in the Federal Circuit that had...
See also
- Estoppel by deedEstoppel by deedEstoppel by deed is a doctrine where rules of evidence prevent a litigant from denying the truth of what was said or done.In the context of real property transfers, the grantor of a deed is estopped from denying the truth of the deed...
- Legal estoppelLegal estoppelLegal estoppel is a principle of law, particularly United States patent law, that an assignor or grantor is not permitted subsequently to deny the validity of title to the subject matter of the assignment or grant...
- Exhaustion doctrine
- Implied licenseImplied licenseAn implied license is an unwritten license which permits a party to do something that would normally require the express permission of another party...