intellectual property infringement abatement insurance
Coverage that reimburses insureds for legal expenses incurred when an insured
enforces a patent, trademark, or copyright against infringers. Since the purpose
of the policy is to pay legal costs required to enforce intellectual property
rights, there is no coverage for damages suffered by the insured that result
from the infringement (e.g., lost profits because a competitor infringed
upon a valid patent). The rationale for this approach is that such damages
are often, although not always, recovered when an enforcement action is brought
against an infringer. See also
Intellectual property defense cost reimbursement
insurance.
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PLI XX.C