Tying Arrangement

Tying Arrangement

Tying Arrangement

The claim requires two separate products, conditioning of one on the other, market power in the tying product, and a not insubstantial amount of commerce affected. Illinois Tool Works eliminated the presumption of power from a patent.

Per se treatment has eroded toward rule of reason.

Alternative Names:

Tying|Tie-In Arrangement

Why it Matters?

Separate products analysis is the threshold, and the character of demand test asks whether consumers would purchase the items separately, which defeats claims about integrated products and bundled functionality that the market treats as a single offering. Market power in the tying product must be proven rather than presumed after Illinois Tool Works, which eliminated the patent-based presumption that supported many earlier claims.

Frequently Confused with

Related terms

Frequently asked questions

What is the separate products test?

What is the separate products test?

The character of demand, asking whether consumers would purchase the items separately in a competitive market.

What did Illinois Tool Works change?

What did Illinois Tool Works change?

It eliminated the presumption that a patent confers market power in the tying product, requiring proof instead.