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    UPDATE: BRP Owes Additional $1.5 Million to Arctic Cat

    Posted by Emily Hare
    on Friday, August 26, 2016

     Earlier this month, a court ruled that Arctic Cat Inc. is entitled to even more damages on top of the $47 million award it won in a patent lawsuit against Bombardier Recreational Products Inc. (BRP) in June. The U.S. District Court for the Southern District of Florida ruled that BRP owes another $1.5 million, granting Arctic Cat's request for supplemental damages due to the sale of more infringing Sea-Doo vehicles.

    In June, a jury found that some of BRP's Sea-Doo personal watercraft vehicles infringed upon two Arctic Cat patents for safer steering technology. The jury set a royalty at $102.54 per infringing vehicle, covering nearly 152,000 vehicles. It was later ruled that the patent infringement was also willful, so the court ordered BRP to pay triple damages in the amount of nearly $47 million.

    Arctic Cat then requested supplemental damages, including the triple damages multiplier, saying that BRP had sold nearly 5,000 infringing vehicles BRP since the earlier verdict. That request for $1.5 million was granted on Aug. 12.

     The court also ordered Arctic Cat and BRP to negotiate a royalty rate for future sales of infringing units until the expiration of the '545 patent. A royalty amount of $102.54 per unit must be the floor for the negotiations. Arctic Cat requested that the court exercise its power to set the royalty rate, but the court refused, explaining that it was better for the parties to negotiate themselves.

    In addition to deciding Arctic Cat's motions, the court also rejected BRP's motion for a judgment as a matter of law. To win a motion for judgment as a matter of law, BRP had to prove that there was no evidentiary basis for a reasonable jury to reach its verdict. The court said that BRP did not meet this burden as its motion consisted largely of “repackaged arguments” that had already been rejected earlier in the case.

    To read the report on the initial ruling, click here.

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