Posts in District Courts

Ariosa Liable for $26 Million in Lost Profits for Infringing Two Blood Test Patents

A jury verdict awarded more than $26 million to a group of plaintiffs including San Diego, CA-based gene analysis firm Illumina, Inc. The jury found that Ariosa Diagnostics infringed upon two patents, awarding $15.7 million in lost profits to Illumina and nearly $11 million in lost profits to Verinata Health… In the recent jury verdict, both Illumina and Verinata lost on willful infringement arguments made against Ariosa during the trial. However, the validity of both patents was confirmed after being challenged by Ariosa during the case.

Litigants May Not Use a DJ to Obtain Piecemeal Adjudication

The Federal circuit heard the case on AbbVie Inc. v. MedImmune Ltd. AbbVie and MedImmune entered a development and licensing agreement in 1995. The agreement stemmed from a research collaboration between the parties, resulting in the antibody adalimumab, the active ingredient in Humira… In general, parties may not seek a declaratory judgment to litigate one issue in a dispute that must await adjudication of other issues for complete resolution of the dispute. In limited circumstances, courts may permit this type of action where litigation is pending that would resolve the remaining questions.

TiVo Files Patent Lawsuits against Comcast, Only Major U.S. Pay-TV Provider Without a TiVo Patent License

TiVo files patent lawsuits, the latest steps TiVo has taken in the hopes of resolving the renewal of a long-term licensing agreement that TiVo has already has already finalized with other major pay-television providers in the United States… TiVo’s recent litigation campaign against Comcast stems back to an unresolved licensing agreement that expired in April 2016 and which TiVo has attempted to renew with the major American pay-TV provider. Rovi first signed licensing agreements with the top pay-TV providers in the U.S., including Comcast, Dish Network, DirecTV and Time Warner, back in 2003 and 2004 with each deal lasting for a period of 12 years. In 2015 and 2016, around the same time that Rovi acquired TiVo for about $1.1 billion, the company began proactively engaging in licensing talks, again striking long-term deals like 10-year agreements with both AT&T and Dish. Of the top 10 pay-TV providers in the United States, Comcast is the last holdout who has not signed a licensing deal with TiVo.

SCOTUS to decide if lost profits can be awarded for infringement committed on high seas

The Supreme Court will hear WesternGeco LLC v. ION Geophysical Corp., which asks whether the Federal Circuit erred in holding that lost profits arising from prohibited combinations occurring outside of the United States are categorically unavailable in cases where patent infringement is proven under 35 U.S.C. § 271(f)… Because lost profits damages were awarded for lost contracts for services to be performed on the high seas, outside of the jurisdiction of U.S. patent law, the Federal Circuit reversed that $93.4 million award… In December 2017, the office of Solicitor General Noel Francisco filed a brief for the United States as amicus curiae. The Solicitor General argued that WesternGeco’s entitlement to damages should be informed by the traditional common-law rule that a victim of a tort should be returned to the position that victim would have occupied if not for the defendant’s legal wrong.

2017 Saw Fewest Patent Lawsuits Filed Since 2011

Q4 2017 saw a total of 981 patent infringement cases filed in district courts, the second-lowest total for any quarter in 2017 and the third-lowest total for any quarter dating to the third quarter of 2011. The 4,057 patent suits filed in district court through 2017 was the lowest total for an entire year since 2011… A week-by-week graph of patent filings shows that, while Eastern Texas saw a much greater share of patent filings than Delaware in the months leading up to the TC Heartland decision, Delaware filings have topped Eastern Texas filings in almost every week since the SCOTUS decision.

Spotify Sued by Music Publishing Company for Unauthorized Use of Thousands of Songs

The world’s biggest music streaming service, Spotify, has recently been sued by Wixen Music Publishing for allegedly using thousands of songs without a license and compensation to the publisher. Filed in the United States Federal District Court for the Central District of California, this is a major lawsuit that is only the latest in a string of legal actions that Spotify has faced in the past year. Benjamin Semel, partner at Pryor Cashman LLP, sat down with IPWatchdog to discuss the lawsuit in detail. He told us that this lawsuit speaks to the risk for music services like Spotify of a strategy to seek forgiveness rather than permission. Currently, copyright law gives music services the ability to compel songwriters and publishers to license their songs, but a specific process must be followed.

Grumpy Cat Wins $710,000 Verdict for Copyright, Trademark Infringement Against Beverage Maker

A jury awarded $710,000 in damages for trademark and copyright infringement to Grumpy Cat Limited, the entity holding the rights to the Internet cat celebrity Grumpy Cat. The lawsuit targeted the sale of unlicensed coffee beverages marketed under the Grumpy Cat name by a Los Angeles-area beverage company.

Code sues Honeywell at ITC and EDTX for attempting to monopolize barcode reader market

Barcode reading solutions provider Code Corporation of Salt Lake City, UT, announced that it had filed antitrust actions against engineering conglomerate Honeywell International (NYSE:HON) at both the U.S. International Trade Commission and in the Eastern District of Texas. Code, which is seeking an injunction on the importation and sale of barcode readers marketed by Honeywell for the healthcare industry, alleges that Honeywell engaged in a campaign to mislead distributors about the legitimacy of Code’s barcode reader products as part of an effort to monopolize that market.

President Trump nominates FTC’s Maureen Ohlhausen to Court of Federal Claims

President Donald Trump announced his intent to nominate a tenth wave of judicial nominees. Among those nominated today for positions on the federal judiciary were Acting FTC Chair Maureen Ohlhausen, who was nominated to become a judge on the United States Court of Federal Claims.

Cornell, Life Technologies Corporation Ordered to Enter Arbitration After Allegations of Fraudulent Inducement into Settlement Agreement

On Friday, January 19th, a magistrate judge in the District of Delaware entered a memorandum opinion ordering Cornell University to enter into arbitration proceedings to resolve a dispute with licensee Life Technologies Corporation. The dispute arises out of a patent infringement case in which both parties are plaintiffs after Cornell felt that it was fraudulently induced into a settlement agreement with Life Technologies and Illumina, Inc., the defendant in the case.

Patent Killing Fields of the PTAB: Erasing Federal District Court Verdicts on Patent Validity

Supporters of the Patent Trial and Appeal Board (PTAB) continue to claim that the facts and figures showing the PTAB is overruling Article III federal district court adjudication on patent validity is fictitious. Ignoring the truth doesn’t make the truth any less correct. Still, in some circles the fiction spewed by those who champion the patent killing fields of the PTAB continues to be persuasive… More alarming, in many of the cases where the PTAB has overruled district court adjudication of the patents there were findings of willful infringement, meaning the defendants (and ulitmately the IPR petitioners) knowingly and intentionally infringed the patents adjudicated to contain valid claims. Notwithstanding, the PTAB, dutifully complied with their role as executioner of patents.

58 Patents Upheld in District Court Invalidated by PTAB on Same Grounds

When going through the list of patents that have been deemed valid in district court and then invalidated through PTAB proceedings, there are 58 cases where the patent is invalidated at the PTAB on the same statutory grounds asserted at district court and which did not lead to invalidity. So, contrary to any notion that any data we’ve published fails to pass muster, there is plenty of evidence that the activities of the PTAB present an unfair playing ground for patent owners who are dragged before it, often after those patent owners have already been victorious in district court in proceedings where Article III federal judges have confirmed the validity of those patents.

PTAB Errors Fatal to Hundreds of Legitimate Patents

There have been 220 patents upheld as valid in real courts and also subject to a final written decision in the PTAB. The PTAB only agreed with the real courts on 52 patents, while disagreeing with them on 168 patents. If the U.S. legal system is the gold-standard, that means the PTAB is erroneously invalidating patents 76% of the time… In the PTAB, generally only two grounds of attack are available – 35 U.S.C. §102 for novelty and 35 U.S.C. §103 for non-obviousness. But in the real court four grounds are available as a defense – along with §102, §103, accused infringers are also afforded validity challenges under 35 U.S.C. §101 for basic patentability and 35 U.S.C. §112 for specification. So how is it that the PTAB invalidates three times as many patents with only half as many grounds available? The only answer is because it is specifically designed to help infringers by bypassing due process protections afforded to inventors in real courts. Apologists will go on to argue that the PTAB had better evidence, better prior art, better experts, better judges – nonsense! The real courts have rules and procedures which are tremendously more thorough, developed, proven, and fair. The PTAB has not and cannot measure up.

Whether TSA Action is Attributable for Direct Infringement is Genuine Issue of Fact

The key issue in the present appeal, in light of Akamai V, is whether TSA’s performance of the final two steps of the patented method claims can be attributed to Travel Sentry, such that Travel Sentry is responsible for infringing the relevant claims… Under Akamai V, direct infringement under § 271(a) occurs where all steps of a claimed method are performed by a single entity. When more than one actor is involved in practicing the steps, the court considers whether the acts of one entity are attributable to the other such that a single entity is effectively responsible for the infringement. An entity will be held responsible for another’s performance of method steps where it directs or controls that performance. This is a question of fact.

HoloTouch Claims Microsoft Willfully Infringing Holographic, Human-Machine Interface Patents

HoloTouch, Inc. filed a lawsuit asserting willful patent infringement claims against Redmond, WA-based tech giant Microsoft Corporation (NASDAQ:MSFT). Filed in the Southern District of New York, the suit alleges that Microsoft has ignored licensing talks with the original inventor of certain holographic interface input technologies which were developed in the mid-1990s even while filing patent applications which cite to patents issued to HoloTouch as prior art.