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Simple English definitions for legal terms

price-erosion theory

Read a random definition: bona fides

A quick definition of price-erosion theory:

Price-erosion theory: A way to measure how much money a company loses when someone else copies their invention. It looks at how much the company could have sold their invention for if it was protected by a patent, and compares it to how much they actually sold it for when they had to compete with the copycat.

A more thorough explanation:

Price-erosion theory is a concept used in patent law to determine the amount of lost profits due to patent infringement. It calculates the difference between the price an item could have sold for with patent protection and the price it actually sold for while competing against an infringing item.

For example, let's say a company holds a patent for a new type of phone case that they sell for $50. However, another company starts selling a similar phone case for only $20, which causes the original company's sales to decrease. Using price-erosion theory, the original company can calculate the amount of lost profits by subtracting the $20 price of the infringing item from their own $50 price.

Another example could be a pharmaceutical company that holds a patent for a new drug. If a generic version of the drug is released before the patent expires, the pharmaceutical company can use price-erosion theory to calculate the amount of lost profits due to the lower price of the generic version.

price-earnings ratio | price expectancy

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THATS SO FUNNY
i cant i would go crazy
JumpySubsequentDolphin
20:50
i need to know who decided to do that.
JumpySubsequentDolphin
20:50
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the devil
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20:50
yo splitterus are you in school already
20:50
it says ur c/o 2027
JumpySubsequentDolphin
20:51
@SplitterusClitterus: HAHAH yes
ur user is hilarioussss and no i just graduated this may and am now applying ---also im out of messages so ill take a lil
20:52
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im back, r u applying this cycle too
JumpySubsequentDolphin
21:32
this child fell asleep on me
JumpySubsequentDolphin
21:32
im so uncomfortable
just push him off the entire seat
JumpySubsequentDolphin
21:34
LMAOOOO
JumpySubsequentDolphin
21:35
no he’s literally like 8 and he fully just put his head on my bicep and slept
JumpySubsequentDolphin
21:35
he has since moved
22:12
@SplitterusClitterus: me yesterday
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22:23
i just went into a discord vc and yelled "YALL I JUST GOT INTO J.M. SCHOOL OF LAW"
22:24
people were getting excited :sob:
22:25
then someone was like "what does jm stand for" and i was like .. well
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JumpySubsequentDolphin
22:39
@splitty Oregon!
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JumpySubsequentDolphin
22:45
haha my brother and sister in law live there
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