Justia Intellectual Property Opinion Summaries

The European Telecommunications Standards Institute (ETSI) established many global standards for 3G, 4G, and 5G cellular communications technology. ETSI members that own standard-essential patents must provide “an irrevocable undertaking in writing that [they are] prepared to grant irrevocable licenses on fair, reasonable and non-discriminatory (FRAND)” terms. Ericsson holds patents that are considered essential to the ETSI standards and agreed to grant licenses to other companies to use its standard-essential patents on FRAND terms. HTC produces mobile devices that implement those standards; to manufacture standard-compliant mobile devices, HTC has to obtain a license to use Ericsson’s patents. Ericsson and HTC have previously entered into three cross-license agreements for their respective patents. Negotiations to renew one of those agreements failed.HTC filed suit, alleging that Ericsson had breached its commitment to provide a license on FRAND terms and had failed to negotiate in good faith. The jury found in favor of the defendants. The district court entered a separate declaratory judgment that the defendants had affirmatively complied with their contractual obligations. The Fifth Circuit affirmed, rejecting challenges to the district court’s exclusion of HTC’s requested jury instructions, its declaratory judgment that Ericsson had complied with its obligation to provide HTC a license on FRAND terms, and the exclusion of certain expert testimonial evidence as hearsay. View "HTC Corp. v. Telefonaktiebolaget LM Ericsson" on Justia Law

Ayla, a San Francisco-based brand, is the registered owner of trademarks for use of the “AYLA” word mark in connection with on-site beauty services, online retail beauty products, cosmetics services, and cosmetics. Alya Skin, an Australian company, sells and ships skincare products worldwide. Ayla sued in the Northern District of California, asserting trademark infringement and false designation of origin under the Lanham Act, 15 U.S.C. 1114, 1125(a).Alya Skin asserted that it has no retail stores, offices, officers, directors, employees, bank accounts, or real property in the U.S., does not sell products in U.S. retail stores, solicit business from Americans, nor direct advertising toward California; less than 10% of its sales have been to the U.S. and less than 2% of its sales have been to California. Alya Skin uses an Idaho company to fulfill shipments outside of Australia and New Zealand. Alya Skin filed a U.S. trademark registration application in 2018, and represented to potential customers that its products are FDA-approved; it ships from, and allows returns to, Idaho Alya Skin’s website listed U.S. dollars as the default currency and advertises four-day delivery to the U.S.The Ninth Circuit reversed the dismissal of the suit. Jurisdiction under Fed.R.Civ.P. 4(k)(2) comports with due process. Alya Skin had minimum contacts with the U.S., and subjecting it to an action in that forum would not offend traditional notions of fair play and substantial justice. The company purposefully directed its activities toward the U.S. The Lanham Act and unfair competition claims arose out of or resulted from Alya Skin’s intentional forum-related activities. View "Ayla, LLC v. Alya Skin Pty. Ltd." on Justia Law

T cells, white blood cells that contribute to the immune response, have naturally occurring receptors on their surfaces that facilitate their attack on target cells (such as cancer cells) by recognizing and binding an antigen, i.e., a structure on a target cell’s surface. Chimeric antigen receptor (CAR) T-cell therapy involves isolating a patient’s T cells; reprogramming those T cells to produce a specific, targeted receptor (a CAR) on each T cell’s surface; and infusing the patient with the reprogrammed cells. Juno’s patent relates to a nucleic acid polymer encoding a three-part CAR for a T cell. It claims priority to a provisional application filed in 2002, at “the birth of the CART field.” Kite’s YESCARTA® is a “therapy in which a patient’s T cells are engineered to express a [CAR] to target the antigen CD19, a protein expressed on the cell surface of B-cell lymphomas and leukemias, and redirect the T cells to kill cancer cells.”Juno sued, alleging infringement. The district court held that the claims were not invalid for lack of written description or enablement, the patent’s certificate of correction was not invalid, and Juno was entitled to $1,200,322,551.50 in damages. The Federal Circuit reversed. No reasonable jury could find the patent’s written description sufficiently demonstrates that the inventors possessed the full scope of the claimed invention. View "Juno Therapeutics, Inc v. Kite Pharma, Inc." on Justia Law

USR sued Apple for infringement of patents otherwise directed to similar technology, securing electronic payment transactions. The patents “address the need for technology that allows consumers to conveniently make payment-card [e.g., credit card] transactions without a magnetic-stripe reader and with a high degree of security.”The district court found all claims of four asserted patents ineligible under 35 U.S.C. 101. The Federal Circuit affirmed. All claims of the asserted patents are directed to an abstract idea and contain no additional elements that transform them into a patent-eligible application of the abstract idea. Applying the Supreme Court’s “Alice” analysis, the court stated that sending data to a third party as opposed to the merchant is an abstract idea and cannot serve as an inventive concept, as is authenticating a user using conventional tools and generating and transmitting that authentication—without “improv[ing] any underlying technology.” Nothing in the claims is directed to a new authentication technique; rather, the claims are directed to combining longstanding, known authentication techniques to yield expected additional amounts of security. View "Universal Secure Registry LLC v. Apple Inc." on Justia Law

MLC sued Micron for infringing certain claims of a patent, titled “Electrically Alterable Non-Volatile Memory with N-bits Per Cell,” describing methods of programming multi-level cells. The district court excluded certain opinions of MLC’s damages expert.On interlocutory appeal, the Federal Circuit affirmed orders precluding MLC’s damages expert from characterizing certain license agreements as reflecting a 0.25% royalty, opining on a reasonable royalty rate when MLC failed to produce key documents and information directed to its damages theory when requested prior to expert discovery, and opining on the royalty base and royalty rate where the expert failed to apportion for non-patented features. View "MLC Intellectual Property, LLC v. Micron Technology, Inc." on Justia Law

DET sued Google for infringing its “Tab Patents,” which are directed to systems and methods for displaying and navigating three-dimensional electronic spreadsheets by implementing user-customizable “notebook tabs” on the spreadsheet interface. In 2018, the Federal Circuit reversed a holding that the claims were patent ineligible. On remand, the district court granted Google summary judgment of noninfringement, premised on its construction of the term “three-dimensional spreadsheet” recited in the preamble of the asserted claims. The Federal Circuit affirmed, holding that the preamble is limiting and adopting the district court’s construction of that term. DET did not argue that the accused product infringes under the district court’s construction. View "Data Engine Technologies LLC v. Google LLC" on Justia Law

CommScope sued Dali, alleging infringement of five of CommScope’s patents relating to telecommunications technology. Dali counterclaimed, alleging CommScope infringed two of Dali’s patents also relating to telecommunications technology. One of Dali’s asserted patents, the 521 patent, is titled “System and Method for Digital Memorized Predistortion for Wireless Communication.” This technology generally relates to wireless communications with portable equipment and handsets, such as mobile phones. Such devices often include a power amplifier to boost the signal. However, amplification can cause unintended distortions to the signal. The 521 patent resolves this problem through the use of a feedback loop and lookup tables.The district court entered judgment on the jury’s verdict of infringement, no invalidity, and damages for both CommScope and Dali. The Federal Circuit reversed with respect to the 521 patent and otherwise affirmed without opinion. Substantial evidence does not support the jury’s finding that CommScope’s FlexWave infringes Dali’s 521 patent. Dali failed to present evidence proving that the FlexWave meets the district court’s construction of the claim term “switching a controller off.” View "CommScope Technologies LLC v. Dali Wireless, Inc." on Justia Law

When an AM/FM radio station plays a song over the air, it does not pay public performance royalties to the owner of the original sound recording. Digital and satellite radio providers like Sirius, however, must pay public performance royalties whenever they broadcast post-1972 music. Before a 2018 amendment to the copyright law, 17 U.S.C. 1401(b), they did not have to pay royalties for playing pre-1972 music under federal law. State law was less clear.The district court held that California law, which grants copyright owners an “exclusive ownership” to the music, creates a right of public performance for owners of pre-1972 sound recordings and that Sirius must pay for playing pre-1972 music. The Ninth Circuit reversed, looking to the common law in the 19th century when California first used the phrase “exclusive ownership” in its copyright statute. At that time, no state had recognized a right of public performance for music, and California protected only unpublished works. Nothing suggests that California upended this deeply-rooted common-law understanding of copyright protection when it used the word “exclusive ownership” in its copyright statute in 1872, so “exclusive ownership” does not include the right of public performance. View "Flo & Eddie, Inc. v. Sirius XM Radio, Inc." on Justia Law

Designworks filed suit alleging that defendants violated its copyright in the registered design of a two-story home. The district court granted summary judgment for defendants, concluding that defendants' home design was not a copy of the original Designworks home.The Eighth Circuit affirmed, concluding that the district court did not err in granting defendants' motion for summary judgment because the works were so dissimilar that reasonable minds could not differ as to the absence of substantial similarity in expression in the designs. The court explained that there was no direct evidence of copyright infringement and there was no evidence of a substantial similarity of expression in the designs. In this case, the district court's order emphasized how unreasonable Designworks' litigating position had been, from completely failing to address the "significant objective differences" between the designs to producing nothing more than speculative evidence that anyone associated with defendants had accessed the Designworks house. The court also affirmed the district court's award of attorneys' fees and costs to defendants. View "Designworks Homes, Inc. v. Thomson Sailors Homes, LLC" on Justia Law

Gamon’s patents each claim “[t]he ornamental design for a gravity feed dispenser display.” Gamon’s commercial embodiment of the claimed designs is called the iQ Maximizer gravity feed dispenser, In 2002-2009, Gamon sold about $31 million worth of iQ Maximizers to Campbell. In 2008, Campbell began purchasing similar gravity feed dispensers from Trinity. Gammon sued for infringement. In inter partes review, the Patent Trial and Appeal Board rejected claims of obviousness. The Federal Circuit reversed. Weighing all of the “Graham" factors, including the Board’s finding that, from the perspective of a designer of ordinary skill, prior art creates the same overall visual impression as the claimed designs and copying by Trinity of the claimed designs’ unique characteristics, the claimed designs would have been obvious over the prior art. View "Campbell Soup Co. v. Gamon Plus, Inc." on Justia Law