HR7140119th CongressWALLET

CLEAR Act

Sponsored By: Representative Lee (FL)

Introduced

Summary

Pauses patent claims against retailers and end users when the manufacturer is part of the dispute. This bill would add Section 299A to Title 35 to require courts to stay the portion of a patent lawsuit that targets a retailer or end user if the manufacturer of the accused product is a party to the same patent dispute and specified conditions are met.

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  • Retailers and end users would be able to seek a stay of claims against them if they did not make or substantially contribute to the accused product. They must agree to waive certain defenses in future cases and to be bound by issues and any injunctions decided in the manufacturer's case.
  • Manufacturers would become the primary target for resolving infringement over a given product because staying sellers and users depends on the manufacturer being a party. Courts can lift a stay if the manufacturer cannot be made to satisfy a damages judgment and may require bonds or escrow to protect plaintiffs.
  • Patent owners would need to pursue remedies against the manufacturer to obtain issue rulings or injunctions that will bind retailers and end users.
  • Courts would have a clear mandatory stay rule for these situations while retaining power to order limited discovery about product use and to require security when there is a risk the manufacturer cannot pay.

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Bill Overview

Analyzed Economic Effects

1 provisions identified: 0 benefits, 0 costs, 1 mixed.

Pause patent lawsuits for retailers and users

This bill would require courts to pause (stay) the part of a patent-infringement suit against a retailer or end user when the product’s manufacturer is a party to the same patent dispute (or a separate related action). The retailer or end user must not have made, assembled, integrated, transformed, or substantially contributed to the accused product and must agree to waive defenses under 35 U.S.C. 282(b) for future suits and to be bound by issues, final judgments, and injunctions from the manufacturer's case. A stay must be filed by the later of: (1) six months after the first paper that specifically names the accused product and how it allegedly infringes, (2) six months after the manufacturer joins a case about the same product, or (3) the entry of the first scheduling order. Courts could hold a short hearing and may require stipulations, limited discovery, or a bond/escrow if there is a substantial likelihood the manufacturer will not satisfy a damages judgment; the stay would end if the court finds the manufacturer cannot be made to pay. If enacted, these rules would apply to complaints served on or after the date of enactment.

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Sponsors & CoSponsors

Sponsor

Lee (FL)

FL • R

Cosponsors

  • Rep. Lofgren, Zoe [D-CA-18]

    CA • D

    Sponsored 1/16/2026

Roll Call Votes

No roll call votes available for this bill.

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