The LLC has very few assets. The corporation is one of two partners in th LLC. I likely would fold it up if meet with litigation. Is there any negative reprocussions to me individually, or the corporation?
In theory, you are right that patent infringement liability of a subsidiary does not extend to a parent entity. However, this is assuming that the parent entity did not also infringe the patent. Possible defendants in a patent infringement lawsuit include any parties that made, used, sold, offered to sell or imported the patented invention. Those who induce or contribute to the infringement are also liable. Liability can extend to corporate officers if they were involved in the infringement.
For these reasons, much more information regarding your specific circumstances must be known in order to properly offer an opinion. You should also know that there are many defenses to allegations of patent infringement which may come into play.
I would recommend that you contact an attorney experienced in patent infringement litigation and discuss your situation.
Regards, Dean AmburnHoward & Howard
dwa@h2law.com
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