Justia Intellectual Property Opinion Summaries

In 1996, two doctors discovered cell-free fetal DNA in maternal plasma and serum, previously discarded as medical waste. In 2001, they obtained a patent, claiming a method for detecting the small fraction of paternally inherited cell-free fetal DNA in the plasma and serum of a pregnant woman. In 2015, the Federal Circuit (Ariosa) held that the patent's claims were invalid under 35 U.S.C. 101, as directed to “matter that is naturally occurring.” The patents at issue are unrelated to the Ariosa patent and begin by acknowledging the "Ariosa" natural phenomenon, then identify a problem that was the subject of further research: there was no known way to distinguish and separate the tiny amount of fetal DNA from the vast amount of maternal DNA. The patents use an additional discovery to claim methods of preparing a fraction of cell-free DNA that is enriched in fetal DNA.The Federal Circuit concluded that the claims are patent-eligible. These inventors patented methods of preparing a DNA fraction. The claimed methods utilize the natural phenomenon that the inventors discovered by employing physical process steps to selectively remove larger fragments of cell-free DNA to enrich a mixture in cell-free fetal DNA. Those steps change the composition of the mixture, resulting in a DNA fraction that is different from the naturally-occurring fraction in the mother’s blood. View "Illumina, Inc. v. Ariosa Diagnostics, Inc." on Justia Law

The Eighth Circuit affirmed the district court's order granting SnugglyCat's motion to voluntarily dismiss this Lanham Act action without prejudice pursuant to Federal Rule of Civil Procedure 41(a)(2). The court rejected appellants' contention that the district court failed to consider their argument regarding legal prejudice; the court saw no need to adopt a per se rule that would bar dismissal without prejudice in all cases in which a plaintiff has sued under a fee-shifting statute and found that the district court did not commit an error of law; and the district court did not commit a clear error of judgment where it considered all the relevant factors, including SnugglyCat's purported reason for seeking dismissal of the action without prejudice—its inability as a small company to sustain the cost of continuing suit—and expressly found the motion to have been made in good faith. View "SnugglyCat, Inc. v. Opfer Communications, Inc." on Justia Law

The Ninth Circuit affirmed the district court's dismissal of plaintiff's action alleging copyright infringement by the Disney movie Inside Out of plaintiffs' characters called The Moodsters. After plaintiff developed The Moodsters, anthropomorphized characters representing human emotions, she pitched to entertainment and toy companies around the country, including The Walt Disney Company.The panel held that, under DC Comics v. Towle, 802 F.3d 1012 (9th Cir. 2015), lightly sketched characters such as The Moodsters, which lack consistent, identifiable character traits and attributes, do not enjoy copyright protection. Furthermore, under Warner Bros. Pictures v. Columbia Broad. Sys., 216 F.2d 945, 950 (9th Cir. 1954), The Moodsters are chessman in the game of telling the story. In this case, the panel applied the alternative "story being told" test and held that The Moodsters as an ensemble are no more copyrightable than the individual characters. Finally, the panel held that the district court did not err in dismissing plaintiff's claim for an implied-in-fact contract where plaintiff was required under California law to do more than plead a boiler-plate allegation, devoid of any relevant details. View "Daniels v. The Walt Disney Co." on Justia Law

Hafco’s patent, issued in 2013, covers a “Rock Dust Blower” used to distribute rock dust in areas such as coal mines, where rock dust is applied to interior surfaces, to control the explosive hazards of coal dust. Hafco contracted with GMS to serve as the distributor of Hafco’s blower for sale to mining customers. In 2015, Hafco terminated this arrangement, stating that performance was poor. GMS then produced a rock dust blower for sale to mining customers. Hafco sued for infringement. GMS filed an unsuccessful pretrial motion for patent invalidity. The jury found GMS liable for willful infringement and awarded damages of $123,650. The court entered a permanent injunction against infringement but remitted the damages award to zero, offering a new trial on damages. The Federal Circuit affirmed the judgment of infringement and the denial of GMS’ request for a new trial and remanded the case. The jury was correctly instructed that the question is how the ordinary observer would view the article as a whole. Given that there was no prior art introduced at trial, no attempt by GMS to introduce the prior art, and no proposed jury instruction on the issue, the purported exclusion of this instruction cannot be an error. View "Hafco Foundry & Machine Co. v. GMS Mine Repair & Maintenance, Inc." on Justia Law

PMC’s patent is directed to methods for enhancing broadcast communications with user-specific data by embedding digital signals in those broadcast communications. The specification discloses a number of embodiments that include analog broadcast signals with embedded digital signals. On inter partes review, the Patent Trial and Appeal Board found certain claims unpatentable on anticipation and obviousness grounds. The Federal Circuit reversed as to certain claims and otherwise affirmed. The Board erred in construing the claim term “an encrypted digital information transmission including encrypted information” as including mixed digital and analog signals. The prosecution history indicates that the disputed claim term is limited to all-digital signals. View "Personalized Media Communications, LLC v. Apple Inc." on Justia Law

CTDI is a worldwide engineering, repair, and logistics company with its principal place of business in Pennsylvania. Since 2007, CTDI has developed, manufactured, and used its “Gen3” and “Gen5” test systems within the U.S. for testing set-top boxes and multimedia devices. The test systems were designed and developed at CTDI’s Pennsylvania facility. Contec “provides repair, test and reverse logistics for electronics hardware used in a broad range of markets.” Contec owns patents for the “Arrangement and Method for Managing Testing and Repair of Set-Top Boxes” and for a “Multimedia Device Test System.” The patented systems were designed and developed at Contec’s New York headquarters. Three of the six inventors of the patents reside in New York; another left Contec and works in CTDI’s, New York facility. CTDI sought a declaratory judgment in a Pennsylvania federal court that its test systems do not infringe Contec’s patents. Six days later, Contec sued CTDI for infringement in the Northern District of New York. The Pennsylvania court dismissed, finding that CTDI’s anticipatory filing was made in bad faith during active licensing discussions; the court found that equitable considerations warranted departure from the first-to-file rule. The Federal Circuit affirmed, finding that the district court did not abuse its broad discretion under the Declaratory Judgment Act, 28 U.S.C. 2201(a) and pursuant to the first-to-file rule. View "Communications Test Design, Inc. v. Contec, LLC" on Justia Law

Kaken’s patent, titled “Method For Treating Onychomycosis,” describes and claims methods for topically treating fungal infections in human nails. On inter partes review under 35 U.S.C. 311–319, the Patent Trial and Appeal Board determined that all claims of the patent are unpatentable for obviousness. The Federal Circuit vacated. The Board erred in its claim construction of one claim limitation--“treating a subject having onychomycosis.” Kaken’s unambiguous statement that onychomycosis affects the nail plate, and the examiner’s concomitant action based on this statement, make clear that “treating onychomycosis” requires penetrating the nail plate to treat an infection inside the nail plate or in the nail bed under it. The Board’s obviousness analysis materially relied on its erroneous claim construction. View "Kaken Pharmaceutical Co., Ltd. v. Iancu" on Justia Law

ICCS imported 56,616 individual butane gas canisters into the U.S. that displayed a “PREMIUM” brand label and a registered certification mark owned by Underwriters Laboratories (UL). Customs determined that the canisters were “counterfeit” in that they made unauthorized use of the UL certification mark and issued a notice ordering ICCS to redeliver the imported canisters to Customs’ custody pursuant to 19 U.S.C. 1526(e). ICCS redelivered only 29,008 canisters. UL did not consent to retroactive certification. Customs assessed damages of $41,412.00.The Trade Court granted the government summary judgment. The Federal Circuit affirmed. The canisters displayed UL’s mark without UL’s approval. ICCS’s arguments as to physical similarities between the PREMIUM model and other merchandise that UL had previously certified fail because the Service Terms dictate that UL, not ICCS, determines whether any differences from the basic product are superficial. On the date of entry, Customs had no way of ascertaining whether the PREMIUM model was the same physical product as the basic product without UL having made that determination. The court rejected an argument that, in denying ICCS’s protest, Customs relied on UL’s lack of consent to the point of delegating its statutory duty to enforce the trademark laws to UL. View "ICCS USA Corp. v. United States" on Justia Law

The estate of guitarist Randy Wolfe filed suit claiming that Led Zeppelin copied portions of Taurus, a song written by Wolfe and performed by his band Spirit, in Led Zeppelin's opening notes of Stairway to Heaven.The en banc court affirmed the district court's judgment after a jury trial in favor of Led Zeppelin, holding that the 1909 Copyright Act, which does not protect sound recordings, controlled its analysis. In this case, Taurus was an unpublished work registered in 1967. Because the deposit copy defines the four corners of the Taurus copyright, the en banc court held that it was not error for the district court to decline plaintiff's request to play the sound recordings of the Taurus performance that contain further embellishments or to admit the recordings on the issue of substantial similarity.The en banc court also held that plaintiff's complaint on access was moot. The en banc court affirmed the district court's challenged jury instructions; rejected the inverse ratio rule, overruling circuit precedent to the contrary; and held that the district court did not err in its formulation of the originality instructions, or in excluding a selection and arrangement instruction. Finally, the en banc court affirmed the district court with respect to the remaining trial issues and its denial of attorneys' fees and costs to Warner/Chappell. View "Skidmore v. Zeppelin" on Justia Law

Customedia’s patents, which share a specification, disclose comprehensive data management and processing systems that comprise a remote AccountTransaction Server (ATS) and a local host Data Case Management System and Audio/Video Processor Recorderplayer (VPR/DMS), e.g., a cable set-top box. Broadcasters and other content providers transmit advertising data via the ATS to a local VPR/DMS. That data be selectively recorded in programmable storage sections in the VPR/DMS according to a user’s preferences. These storage sections may be “reserved, rented, leased or purchased from end user[s], content providers, broadcasters, cable/satellite distributor, or other data communications companies administering the data products and services.” On Dish Network’s petition for review, the Patent Trial and Appeal Board found various claims ineligible under 35 U.S.C. 101 and other claims unpatentable under 35 U.S.C. 102. The Federal Circuit affirmed the ineligibility finding, applying the Supreme Court’s “Alice” holding that “[l]aws of nature, natural phenomena, and abstract ideas are not patent-eligible.” The claimed invention is at most an improvement to the abstract concept of targeted advertising wherein computers are merely used as a tool; the invocation of already-available computers that are not themselves plausibly asserted to be an advance amounts to a recitation of what is well-understood, routine, and conventional. View "Customedia Technologies, LLC v. Dish Network Corp." on Justia Law