A GAME-THEORETIC MODEL FOR REASONABLE ROYALTY CALCULATION

This article describes a model for a hypothetical licensing negotiation for determining a reasonable royalty according to 35 U.S.C. § 284 as interpreted by Georgia-Pacific Corp. v. United States Plywood Corp. It connects the fifteen Georgia-Pacific factors to game-theoretic bargaining solutions and microeconomic market models. The result is a comprehensive framework for a systematic reasonable royalty analysis.