Inventor News on Davison Design
George Davidson III and his company, Davidson Design and Development, Inc., has been in the news quit a lot recently. He's of particular interest in the Inventor community as a result of a lawsuit filed against them for misrepresenting its services to inventors.
On March, 2006, the US District Court for the Western District of Pennsylvania ordered that Davison Associates, Inc. (now known as Davison Design and Development, Inc.), Manufacturer's Support Services, Inc., George M. Davison III, Gordon M. Davison, Barbara Miele-Davison to pay $26 million for misrepresenting its services to inventors. Davison Design has appealed the court's decision.
Forbes magazine has recently come out with an eye opening article called "Inside InventionLand". Inventionland is an innovative workspace designed inside the Davison Design warehouse in Pittsburgh to foster creativity among its staff. Davison claims that the company gets 55,000 calls a month. Any inventors calling should be aware of Davison's success rates with licensing its inventors' products. The article states "[a]s of late October, only 0.001% of Davison's revenue was derived from royalties paid on licensed products. Assuming the company doesn't have trouble with decimal points, the royalty business provides Davison $250 a year in sales. (It's probably closer to $25,000)." With such a small percentage of income coming from royalties, you don't need to be rocket scientist to figure out that Davison's company is not that successful at licensing its inventors products. Inventor Beware!!!
Check out the rest of the article Inside InventionLand.