from Wiktionary, Creative Commons Attribution/Share-Alike License
- adj. Having the quality of champerty, being an instance of champerty.
However, in cases where the financier took some minimal care in ensuring that the agreement wasn't solely based on litigation alone, the courts have found the agreements non-champertous.
If the instigation of litigation is not the sole purpose of the agreement i.e., litigation coupled with "licensing development" pursuant to an assignment, it should not be champertous.
New York is one of the very few jurisdictions that has found specific IP agreements champertous in the recent past:
It is unnecessary to inquire here whether such a contract is void as champertous, and contrary to public policy.
26 S.D.N.Y. 1971 - the assignment of certain IP that was expressly conditioned on the assignee bringing suit was champertous, and therefore void.
56 S.D.N.Y. 1990 - found assignment champertous where a five-percent interest in the patent was contracted in exchange for Refac's obligation to sue at least two alleged infringers within one month.
Such contracts are not champertous and are upheld by the courts, but will be set aside if an unconscionable bargain be made with the client (_Deering_ v. _Scheyer_
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