A Blog About Intellectual Property Litigation and the District of Delaware


Entries for date: May 2023

Every now and again when I look over a docket, I am reminded of the case of Jarndyce and Jarndyce, as recounted in Bleak House:

Jarndyce and Jarndyce drones on. This scarecrow of a suit has, over the course of time, become so complicated, that no man alive knows what it means. The parties to it understand it least; but it has been observed that no two Chancery lawyers can talk about it for five minutes without coming to a total disagreement as to all the premises. Innumerable children have been born into the cause; innumerable young people have married into it; innumerable old people have died out of it. Scores of persons have deliriously found themselves made parties …

Visualization of pendent venue
Visualization of pendent venue Chris Linnett, Unsplash

Today Chief Judge Connolly addressed a motion to dismiss a combined trade dress, federal unfair competition, copyright infringement, and design patent infringement action.

The parties apparently agreed that the defendant in the action did not meet the TC Heartland venue test for the patent portion of the action:

Argento is a New York corporation with its principal place of business in New York. . . . It is undisputed that Argento does not own, rent, or maintain any offices, physical property, addresses, or bank accounts in Delaware and does not employ any Delaware-based employees, agents, or representatives. It is also undisputed that venue of Globefill's patent claim against Argento does not lie …

There's a couple themes we hit pretty often here on IP/DE. I assume by now that our regular readers (IPDEs? IPDorks?) know that it's hard to redact a transcript, that its easy to get a stay, and that Wilmington chickens have to sleep indoors.

You try and get him outside
You try and get him outside AI-Generated, displayed with permission

Basic legal stuff.

As is often the case, these general principles can only be stretched so far. Such was the lesson of Monterey Res., LLC v. Nanya Tech. Corp., C.A. No. 19-2090-NIQ (D. Del. May 10, 2023) (Order), in which a motion to stay went just a bit too far.

Evident from the C.A. No., this case was pretty old, and had already been stayed once pending IPR's on 4 of the 6 patents-in-suit. A few of the IPRs succeeded but the case continued on the remaining patents this last January with some discovery taking place and Markman briefs being exchanged.

Pretty standard so far.

The twist is that the Defendant then requested EPRs for 2 of the 4 remaining patents and moved to stay the case again. This proved to be a bridge too far:

Here, this matter is in the middle stage of discovery, though the parties have also filed claim construction briefs. This matter, however, has been pending since November 4, 2019, and has already been stayed for more than 19 months to allow the IPR proceedings to play out. These circumstances do not favor a second stay.

Monterey Res., LLC v. Nanya Tech. Corp., C.A. No. 19-2090-NIQ (D. Del. May 10, 2023) (Order)

As a little aside, this order gave me a bit of nostalgia for my early days in Delaware. I used to see a great many orders where 80% of the text was in footnotes explaining the reasoning, but it seems to have fallen out of fashion in DE over the last couple years. I find that I miss it a bit.

Please Stay on the Path
Mark Duffel, Unsplash

The headline is a nice quote from a Judge Burke oral order last week in Bausch & Lomb Incorporated v. SBH Holdings LLC, C.A. No. 20-1463-GBW-CJB, D.I. 77 (D. Del. May 12, 2023).

There, the defendant moved to stay but apparently failed to meet-and-confer at all before moving. The plaintiff wisely called them out for failing to do so:

As an initial matter, it is undisputed that SBH did not attach a certification pursuant to D. Del. LR 7.1.1 to its Motion or letter brief; nor could it have, because there was no meet and confer between counsel. The first B+L heard about SBH’s Motion was in SBH’s letter to the Court …

Will this be the last time we use our COVID-19 image? I hope so.
Will this be the last time we use our COVID-19 image? I hope so. Fusion Medical Animation, Unsplash

Yesterday, the Judicial Conference announced the end to the exception permitting remote public access during COVID-19:

The COVID-19 emergency is no longer affecting the functioning of the federal courts, the Judicial Conference’s Executive Committee has found, setting in motion a 120-day grace period in which federal courts may continue to provide the same remote public audio access to civil and bankruptcy proceedings as they did during the emergency.
The Executive Committee finding takes effect May 24. The grace period, which ends Sept. 21, relates only to the Judiciary’s temporary broadcasting exception for remote audio public access to civil and bankruptcy proceedings. …

francois-olwage-X_RxDiKDSuU-unsplash
Francois Olwage, Unsplash

Sir Isaac Newton once wrote to Robert Hooke (Hooke’s Law): “If I have seen further, it is by standing on the shoulders of giants.” This quote was the cornerstone on which I built my 5th grade graduation speech, because it seemed to be an eloquent way to say “don’t reinvent the wheel”.

Judge Hatcher appears to be building on the knowledge accumulated by judges occupying the bench before her. In particular, Judge Hatcher’s new form Scheduling Order for patent cases seems strongly inspired by Judge Hall’s and Judge Burke’s form orders.

Here are a few differences . . .

  • Omits the paragraph on the unavailability of the ADR Process. This indicates that the Court expects litigants to …

#LAWYERING
AI-Generated, displayed with permission

Everyone likes to read the ole tea leaves. The tilt of a judge's chin during an argument, the tenor of an unrelated oral order, the look in the eyes of a courtroom deputy—all are portents that might be interpreted by counsel attuned to their subtle frequencies.

But no omen is considered more decisive than the time it takes to decide the motion. Is a long time good? Bad? Salty? I got the real answers for you fam.

Take a look at this chart of motion to dismiss rulings by time pending (DE patent cases only, measured from the final brief):

Now You Understand The Title
Now You Understand The Title Me!, displayed with permission

If it's not obvious, the blue …

DED

"No, I don't have a bar ID, I'm an expert witness. But you can't expect me to sit through this whole trial at $550/hr without looking at Reddit on my phone." AI Generated, displayed with permission

Prior to today, it has generally been easy to bring phones and other electronics (except for standalone cameras and recording devices) into the District of Delaware courthouse. The security team checks IDs, but did not require further identification to keep your phone.

Today, the Court issued a new electronics policy, which requires members of the public to lock their phones and other devices away upon entering the courthouse:

1. All cameras and personal electronic devices shall be subiect to inspection upon entry to the J. Caleb Boggs Federal Building and United States Courthouse. Such devices may not be used in violation of Federal Rule of Criminal Procedure 53 (prohibiting courtroom photography and broadcasting in criminal cases) and Local Civil Rule 83.2 (prohibiting photographs and broadcasting). The Court may authorize exceptions for investitures, ceremonial or naturalization proceedings, law school moot court proceedings, and activities sponsored by a bar association for continuing legal education.
2. Subject to the exemptions set forth in Paragraph 4 of this Standing Order, all cameras, cellular telephones, smart phones, smart watches, and similarly sized personal electronic devices shall be ...

Andrew Russell

When a party asks to do something outside of the time limits set by the scheduling order, the Court looks to whether there is "good cause" under FRCP 16(b)(4) to modify the scheduling order. Good cause requires diligence, generally meaning that the movant could not have reasonably met the deadline it's trying to move.

Last week we got two examples of diligence analyses from the Court, one that found that a party was diligent, and one that didn't. I thought it would be interesting to line them up and compare them.

"Immediately" = Good Cause

First, Judge Fallon found good cause where a plaintiff sought to depose a third-party witness after the close of fact discovery, after the …

Split Cup
Tania Melnyczuk, Unsplash

Most judges in the District of Delaware limit the parties to three motions in limine per side. Visiting judges sometimes permit more, but I get the sense that this limit is something native D. Del. judges generally don't want the parties to change when submitting a proposed scheduling order.

But I can't recall a patent case where the parties did not use all of their motions in limine, and want more (even if they didn't ask the Court). These evidentiary issues can just have a large effect on trial. Plus, with a mountain of work bearing down on you in the leadup to trial, it's great to think you might knock out some opposing …