CLEAR Act

This legislative proposal, titled the Customer Legal Ease and Relief Act or the CLEAR Act, seeks to shield retailers and end users from patent infringement litigation. It establishes a mechanism for courts to grant a stay in civil actions brought against these parties, provided certain conditions are met. A primary condition is that the manufacturer of the alleged infringing product, referred to as the "accused instrumentality," is already a party to a separate or ongoing action involving the same patent and product. To qualify for this stay, the retailer or end user must not have manufactured, assembled, or transformed the accused product themselves. They must also agree to waive certain defenses and be bound by any final judgment or injunction issued against the manufacturer in the related action. The court retains discretion to lift the stay if the manufacturer cannot satisfy a damages judgment, and may require the retailer or end user to post a bond or place funds in escrow to cover potential damages. Motions for a stay must be filed within specific timeframes, generally within six months of certain triggering events.