VC Trade Group Warns: Don’t Overreach With Troll Legislation

A trade group that is said to represent 90 percent of the venture capital under management in the United States expressed its concern about the shape that patent reform appears to be taking. Among the contentions of the National Venture Capital Association, laid out in a letter to key U.S. senators, is that proposals regarding fee-shifting are “overly simplistic responses to the patent troll problem.” The letter also addresses proposals regarding transparency and joinder, elimination of estoppel provisions in the post-grant procedure, “bad faith letters” (the group supports legislative action), and extending the CBM, or covered business method procedure (the group is opposed). The National Venture Capital Association “cannot be dismissed as a vested interest or as part of the ‘troll industry,’” according to the writer, and its views should be carefully considered by lawmakers.