An application of fuzzy methods to evaluate a patent under the chance of litigation

Authors:
Elettra Agliardi;Rossella Agliardi
Affiliations:
Department of Economics, University of Bologna, Piazza Scaravilli 2, I-40126 Bologna, Italy and Rimini Centre for Economic Analysis1http://www.rcfea.org1;Department of Mathematics, University of Bologna, viale Filopanti, 5, I-40126, Bologna, Italy
Venue:
Expert Systems with Applications: An International Journal
Year:
2011

Citing 2
Cited 2

Optimal stopping models in a stochastic and fuzzy environment

Information Sciences—Informatics and Computer Science: An International Journal - Special issue: Intelligent information systems and applications
Fuzzy defaultable bonds

Fuzzy Sets and Systems

Patent litigation precaution method: analyzing characteristics of US litigated and non-litigated patents from 1976 to 2010

Scientometrics
A multi-expert system for ranking patents: An approach based on fuzzy pay-off distributions and a TOPSIS-AHP framework

Expert Systems with Applications: An International Journal

Quantified Score

Hi-index	12.05

Visualization

Abstract

The value of a patent, including such unmeasurable things like the chance of litigation, is calculated using a methodology which combines real option theory and fuzzy numbers. The vagueness about the patent holder's future profits, the validity and scope of the patent, the litigation costs, the court's decision under imperfect enforcement of property rights are specified introducing fuzzy numbers. This method is embedded in a real option computation, where the value of a patent includes the option value of litigation. We study how the value of a patent is affected by the timing and incidence of litigation. The main results are compared with the empirical findings of previous results.