Intellectual PropertyPatent
Conducting Freedom-to-Operate Analysis for New Products
A company that launches a product infringing someone else's valid patent risks injunctions, ruinous damages, and trebled awards for willful infringement—so the responsible course is to assess that risk before launch through freedom-to-operate (FTO) analysis. This guide walks the entire process in plain language, following a fictional startup as it clears a mobile-payments app: distinguishing FTO from patentability, defining the product's technical scope, searching the patent landscape, triaging the results, reading and construing claims under Phillips and Markman, building claim charts, assessing literal infringement and the doctrine of equivalents, and weighing validity defenses under Sections 101, 102, 103, and 112. It explains how willfulness law after Halo and Section 298 make opinions of counsel valuable but optional, why a non-infringement opinion usually beats an invalidity opinion, and how privilege waiver, design-arounds, licensing, and patent-assertion entities reshape the calculus. It closes with how to document the work and communicate risk to decision-makers as a calibrated judgment rather than a false promise of safety.