November 29, 2011, by Mandour & Associates, APC

Los Angeles – Eleven-time world surfing champion Kelly Slater was recently issued a patent by the USPTO for a wave pool. Slater’s Kelly Slater Wave Company applied for patent protection with the USPTO in 2008 after developing a donut shaped wave pool creating a barrel wave. According to Slater, the USPTO issued the patent after a three year application process.

Slater’s application was initially denied by the USPTO because Australian surf company owner Greg Webber already owned a patent for a donut shaped wave pool that produced a barrel wave. The initial denial of Slater’s application forced Slater’s legal team to focus on the differences between the two pools. Granting the patent application, the USPTO agreed that Slater’s wave pool was sufficiently novel and non-obvious for patent protection.

In order to receive patent protection, an invention must be useful, non-obvious, and novel. The novelty requirement necessitates that the invention not already exist in the prior art. In this case, Slater was originally denied patent protection when the USPTO found that his application for a donut shaped wave pool was already the subject of a patent owned by Webber.

Slater, however, managed to convince the USPTO that his pool design was distinct from Webber’s existing patent. Slater focused on the two main differences between the Slater pool and the Webber Pool. First, the two pools differ in the source of the waves. Webber’s pool uses a hull or foil to displace the water toward the surfer. The effect is similar to the wake of a power boat. Slater’s wave, on the other hand, simulates a groundswell, a naturally occurring phenomenon. Second, the Webber pool creates two successive waves while the Slater pool creates only a solitary wave.
Webber and Slater each recognized that the two pools create a different type of wave and experience for surfers.

November 14, 2011, by Mandour & Associates, APC

Los Angeles – The Supreme Court recently clarified the standard of proof required to prevail in an action for indirect patent infringement by intending to induce infringement in a recent case, Global-Tech Appliances v. SEB S.A., 131 S. Ct. 2060 (2011). Prior to the ruling, it was unclear whether the inducing party must have acted only to induce the infringing act or whether the inducing party must have also intended that the infringing act actually infringe the patent at issue. The Supreme Court recently held that to be liable for inducing patent infringement under 35 U.S.C. § 271(b), the defendant must have knowledge that the infringing act it induced constituted patent infringement.

The case arose when Respondent SEB invented a deep fryer, obtained a patent for the invention, and began marketing the fryer. Sunbeam Products then requested that Pentalpha, a Hong Kong based subsidiary of Petitioner Global-Tech Appliances, supply Sunbeam with a deep fryer meeting specifications set forth by Sunbeam. Pentalpha then obtained a SEB fryer and provided Sunbeam with deep fryers based on that SEB model, changing only aesthetic features of the SEB fryer.

SEB sued Sunbeam for patent infringement and subsequently brought an action against Pentalpha’s parent company Global-Tech for intentionally inducing Sunbeam’s patent infringement under 35 U.S.C. § 271(b). The jury found that Global-Tech’s subsidiary had indeed induced patent infringement and the court entered judgment for SEB which was affirmed by the Federal Circuit.

Unlike actual patent infringement which does not require intent to infringe, inducing patent infringement under § 271(b) requires that the defendant act with intent to induce infringement. The standard applied by the federal circuit and upheld by the Supreme Court in this case requires that the defendant knew or should have known that its actions would induce actual patent infringement.

In this case, the Supreme Court found that the evidence was sufficient to find knowledge on Pentalpha’s behalf under the theory of willful blindness. Though “deliberate indifference” to the existence of a patent would not satisfy the knowledge requirement, willful blindness to the existence of a patent is akin to knowledge.

November 10, 2011, by Mandour & Associates, APC

Los Angeles – German based Bayer CropScience recently amended its complaint in its patent infringement lawsuit against Dow Agro Sciences in a Delaware Federal Court adding additional counts of patent infringement. Bayer alleges that Dow’s application for approval to market a three-gene herbicide tolerant soybean infringed on seven Bayer patents.

The original action concerned soy, cotton, and corn sold by Dow under the Dow Enlist brand name. Bayer alleged that Dow’s products infringed on its 2,4-D herbicide tolerant patent. The additional causes of action for patent infringement involve Dow’s herbicide resistant soybean production. Bayer claims that Dow’s soybeans infringe seven Bayer patents for glyphosate-tolerant technology.

Glyphosate is an herbicide used to kill weeds. Glyphosate is the most common herbicide used in the U.S. and is sold by Monsanto under the Roundup brand name. Due to the effectiveness and widespread use of herbicides in agriculture, genetically modified seeds designed to withstand the application of glyphosates have become increasingly popular. For example, Roundup maker Monsanto also markets a line of herbicide tolerant corn seed under the brand name Roundup Ready. In this action, Bayer claims to own seven patents relating to herbicide tolerant technology for use in agriculture.

Reacting to Dow’s request for approval to market herbicide tolerant soybeans, Bayer requested a permanent injunction prohibiting the sale of any infringing soy seeds.To receive the injunction, Bayer will have to show that a refusal to bar sale of the soybeans by Dow will result in irreparable harm. Bayer must also show that money damages would be insufficient in the matter for an injunction to issue. If granted, a permanent injunction would bar Dow’s sale of the herbicide tolerant soybeans until the patent term expires.

November 7, 2011, by Mandour & Associates, APC

Los Angeles – Motorola was recently granted an injunction by the Mannheim Regional Court in Germany prohibiting competitor Apple from selling mobile devices infringing on two patents owned by Motorola. The lawsuit concerned two European Motorola patents, one covering “a method for performing a countdown function during a mobile-originated transfer for a packet radio system,” as well as a patent for a “multiple pager status synchronization system and method.” Both European Motorola patents in issue are equivalent to current U.S. patents.

Rather than defending its devices, as it has done in countless international patent actions, it appears that Apple defaulted in this case. A default judgment occurs when a party neglects or refuses to take some critical action, such as responding to the complaint or appearing in court to defend against the lawsuit. While Apple’s decision not to defend itself may have been a procedural tactic, the judgment is still in effect barring Apple products from sale.

However, the effect of the injunction is being called into question as Motorola elected to sue Apple rather than its regional subsidiary. The injunction therefore is effective against Apple but is perhaps ineffective against its regional subsidiary, commenters say.

Furthermore, because the case was decided through a default judgment, there was no need for an adjudication on the merits. It may therefore be difficult to predict the potential outcomes of the litigation. In this case, the default judgment is appealable. Certainly, if Apple is prohibited from selling products in Germany, Europe’s strongest economy and largest market, it will be a devastating blow to the company’s international revenue stream. However, even if Apple does eventually lose the case on the merits, it is likely that the mobile devices giant would negotiate some type of license agreement with Motorola, allowing Apple to continue to offer its tablets, smartphones, and computers in Germany.

October 28, 2011, by Mandour & Associates, APC

Los Angeles – The United States Court of Appeals for the Federal Circuit recently held in Classen Immunotherapies v. Biogen IDEC that certain methods of scientific research pertaining to a particular field of study may be patentable. Classen Immunotherapies was issued a patent for testing an immunization schedule against a control group. Researchers would then use the results of the tests to adjust the immunization schedule in both timing and dosage.

The patent states that the schedule of infant immunization can have significant effects in the advancement of chronic disorders such as diabetes. The patent is a method of determining which immunization schedule minimizes the risk of development of chronic disorders. Once the optimal immunization schedules were determined, Classen planned to implement that schedule to prevent risk of development of chronic disorders in infants and children.

The action arose when defendant Biogen IDEC, allegedly began using the Classen testing method and discovered the optimal immunization schedule for diabetes and other ailments. Classen brought an action against Biogen IDEC for patent infringement which was then appealed to the Federal Circuit. The Federal Circuit held that the immunization schedule research method contained patentable subject matter under 35 U.S.C. § 101.

Prior to the decision of the United States Supreme Court in Bilski v. Kappos, an invention had to qualify for patent protection under the machine-or-transformation test. The machine-or-transformation test pertains to process patents and requires that, for a process to be patentable, it must be either implemented with a machine or transform an article into another. In Bikski, the Supreme Court held that the machine-or-transformation test was not the only appropriate test for patentability, but instead should be regarded as a useful tool or guiding principle.

In this case, the Federal Circuit noted that one of the steps in the research process, “reviewing the relevant literature,” was not fatal to the patent’s validity. Though this was a “mental step” in contrast to a physical step, the patent contained physical steps such as immunizing on a fixed schedule. Because the methods were directed toward a specific useful goal and included physical steps such as immunizing on a certain schedule, the processes were eligible for patentability.

The Federal Circuit ultimately held that two of the three Classen patents contained patentable subject matter under 35 U.S.C. § 101. However, a third Classen patent that did not pertain to an immunization schedule was found to be invalid.

October 28, 2011, by Mandour & Associates, APC

Los Angeles – Earlier this week, Redmond, Washington-based Microsoft announced its new Android patent agreement with Compal Electronics, a Taiwanese company. The software giant claims the new patent deal gives it a licensing stronghold on the majority of Android devices.

The agreement with Compal Electronics will cover tablets, mobile phones, e-readers, and other consumer devices running off the Android or Chrome Platform operating systems. Earlier this month, Microsoft inked a similar deal with Quanta Computer and one with Winstron in July. Back in April 2010, it signed a patent agreement with HTC.

“Together with the license agreements signed in the past few months with Wistron and Quanta Computer, today’s agreement with Compal means more than half of the world’s ODM industry for Android and Chrome devices is now under license to Microsoft’s patent portfolio,” said Horacio Gutierrez, Microsoft deputy general counsel.

These patent deals with the Taiwanese companies will likely have a significant impact on the mobile industry for years to come. The deals could prove to be quite lucrative for those on the right side of the conflict, with one Goldman Sachs analyst predicting that Microsoft could rake in $444 million in licensing fees from Android manufacturers alone.

Another major factor affecting the landscape of the mobile industry is the ever-increasing litigation between tech giants such as Apple, Samsung, HTC, Motorola, and Google. For example, in the Samsung vs. Apple patent infringement lawsuit, Apple has been successful in getting Samsung’s Android-based Galaxy Tab 10.1 tablet temporarily banned from sale in the Australian and German markets.

Furthermore, Google has been busy trying to bolster its patent portfolio, purchasing Motorola Mobility in August, partly for its treasured collection of over 17,000 technology patents and also to protect Android from legal battles. When Microsoft sued Motorola in 2010 and tried to have its patents for its Android phones, Wi-Fi and video capabilities invalidated, Google’s David Drummond suggested that Microsoft, Apple, Oracle, and others are waging “a hostile, organized campaign against Android.”

Earlier this year, Microsoft also sued Barnes & Noble for patent infringement over the book retailer’s Android-based Nook e-readers.

Posted in: Patent License
October 28, 2011, by Mandour & Associates, APC

Los Angeles – Apple announced that the USPTO has recently published its patent application for an advanced gesture based toolbar. The patent would involve technology designed to allow iPad users to control their iPads from across the room using body movements such as hand sweeps and other gestures. These body movements would manipulate the iPad display through the gesture based toolbar.

Invented by Peter Langenfeld and Michael Hailey, the toolbar would have preset controls associated with predetermined gestures but would allow advanced users to customize their own movements to correspond to certain tasks. The gestures would be captured by the “front-facing” camera found on newer iPads and iPhones. The front facing camera would capture the 3D gestures and the Apple device would respond in kind.
The patent application, originally filed in mid-2010, notes that the toolbar system will have facial recognition capabilities. In addition, the device will have predetermined gestures for certain functions such as selecting and pointing. The system will feature an associating gesture, used to associate items with one another.

The toolbar will also allow for on-video annotation. The device will allow transfers from images captured using the front facing camera of the iPhone to the iPad to allow users to take advantage of the greater video editing capabilities of the iPad.

The patent application suggests that older Apple devices such as older models of the iPhone and iPad would not have the processing power to utilize the gesture capturing feature. However, the iPad 2, launched in March of 2011 and the recently released iPhone 4S will be capable of running the toolbar system and allow the device to manipulated remotely by the user’s 3D gestures.

October 28, 2011, by Mandour & Associates, APC

os Angeles – Some of the most widely-used and expensive brand-name drugs are soon to come off of their patents and go generic.

With almost $11 billion in sales last year, Lipitor, the largest drug to fall off what analysts call the “patent cliff”, will come off patent in November with multiple generic versions expected to be available by next June. Lipitor, which is prescribed to manage high cholesterol, is just one of many popular, pricey drugs whose prices are expected to plummet when their generic alternatives arrive on the market. Other major pharmaceuticals to come off patent in the near future include Plavix (for heart disease), Seroquel (for depression), and Nexium (used to treat digestive issues.)

Although the “patent cliff” is bad news for major pharmaceutical manufacturers such as AstraZeneca, Pfizer, and Bristol-Myers Squibb/Sanofi Pharmaceuticals, many patients will finally be able afford the prescriptions they need to manage their conditions. Without generic competition, the brand-names are often too expensive for patients, even if they have insurance coverage. Some patients have resorted to purchasing drugs online, which often have turned out to be ineffective counterfeit knock-offs manufactured in China.

Howard Weintraub, a cardiologist at New York University, says that many patients on those drugs go to their doctors and beg for free samples. Others patients don’t bother to fill the expensive prescription, or if they do, they cut the dosage in half in order to stretch it out longer.

“People come in with their blood pressure not as well controlled, or they come in and their cholesterol’s all of a sudden mysteriously higher. And you realize, OK, the medicine hasn’t stopped working, but you also realize the medicine doesn’t work when it’s still in the bottle,” Weintraub commented.

Generic medicines already represent 70-80 percent of pharmaceutical sales, which is expected to grow larger in the future. Some marketing analysts believe that patent expirations over the last five years are one of the main reasons why Medicare spent $50 billion less than federal officials projected five years earlier.

October 28, 2011, by Mandour & Associates, APC

Los Angeles – Toronto based Litens Automotive filed an action for patent infringement in a German court against Flennor Automotive for infringement of automatic belt tensioner patents. Litens claims that the Flennor automatic belt tensioners are knock offs of Litens’ easy-install tensioners. The belt tensioners at issue were used in many Volkswagon and Audi engines from 2002 to 2009.

Litens owns U.S. Patent No. 7,285,065 as well as patents in Europe and China and claims it has undergone efforts worldwide to detect patent infringers. According to a Litens spokesperson, the latest patent infringement suit was brought as part of the auto parts company’s worldwide patent enforcement efforts. Along with requesting monetary damages, Litens also seeks an injunction against Flennor Automotive to prevent Flennor from continuing to manufacture and distribute the allegedly infringing article. Litens Automotive also issued a statement warning consumers that use of the alleged knock off belt tensioners could result in “catastrophic engine failure.”

German based Flennor Automotive supplies replacement parts such as belts and components for most automobile makes and models. Plaintiff Litens Automotive is one of the world’s leading component manufacturers whose parts have been utilized by auto makers such as Volkswagen and Audi, among others.

As the patent owner, Litens owns exclusive rights in the patented article similar to the rights granted under U.S. law, including the right to use, make, or sell the patented article. If the Flennor belt tensioner is found to be infringing upon Litens’ patents, Litens may be entitled to an injunction or damages including recovery of profits made, enhanced damages, or attorney’s fees. Germany is a first to file patent jurisdiction, meaning that the first party to file a patent is given preference in patent issuance. The United States recently adopted the “first to file” approach in the America Invents Act, reforming the prior “first to invent” policy.

October 24, 2011, by Mandour & Associates, APC

Los Angeles – DuPont’s Pioneer seed unit is suing rival Monsanto for patent infringement, alleging that Monsanto infringed on patents that help genetically modified corn seeds germinate.

The lawsuit, filed in United States District Court for the Southern District of Iowa by DuPont Pioneer Hi-Bred International, claims that it is the owner of patented technology for “enhancing the vigor of maize seeds” by defoliating the plant at a particular point after pollination but before harvest, and on a maize seed and stand of maize seeds that have such enhanced vigor. The lawsuit, filed on Tuesday, is just the latest round in a heated legal battle between the two companies in their quests for dominance in the U.S. corn seed industry.

According to DuPont, Monsanto has been infringing on the same technologies and methods protected by DuPont’s patents and is seeking reimbursement for any profits gained by Monsanto from the sale of any seed products manufactured with the patents. In its complaint, DuPont also claims that Monsanto’s infringement was “willful and deliberate” and is seeking damages, however a specific dollar amount for the damages was not indicated. DuPont is also seeking reimbursement of its attorney fees and a permanent injunction that will prevent Monsanto from using the patented technologies in the future.

In response to DuPont’s claims, Monsanto issued a statement calling the lawsuit “baseless” and “without merit” and said that the methods covered by the DuPont patents were not used in any of its production fields.

“This filing appears to be another in a series of frivolous claims initiated by DuPont against our business and aimed at distracting us from our mission of investing in and delivering new product offerings to farmers around the world. We will defend our business in this latest attack,” stated a Monsanto spokesperson.

No comment was available from the DuPont camp.

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