Addiction & Detoxification Institute L.L.C. v. Carpenter

620 F. App'x 934
CourtCourt of Appeals for the Federal Circuit
DecidedJuly 21, 2015
Docket2014-1797
StatusUnpublished
Cited by23 cases

This text of 620 F. App'x 934 (Addiction & Detoxification Institute L.L.C. v. Carpenter) is published on Counsel Stack Legal Research, covering Court of Appeals for the Federal Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Addiction & Detoxification Institute L.L.C. v. Carpenter, 620 F. App'x 934 (Fed. Cir. 2015).

Opinions

Opinion for the court filed by Circuit Judge MOORE.

Dissenting opinion filed by Circuit Judge BRYSON.

MOORE, Circuit Judge.

Addiction and Detoxification Institute L.L.C. appeals from the United States District Court for the Eastern District of Michigan’s dismissal of a patent infringement complaint filed against James Carpenter, Ricardo Borrego, Michael Michael, and Eagle Advancement Institute under Federal Rule of Civil Procedure 12(b)(6). Because the complaint failed.to satisfy the notice requirements of Federal Rule of Civil Procedure 8, we affirm.

BackgRound

Addiction and Detoxification, the assign-ee of U.S. Patent No. 5,789,411, filed a complaint alleging that Defendants infringed the '411 patent. The complaint contained a single allegation of direct infringement: “[i]n violation of [Addiction and Detoxifieationj’s exclusive rights under the patent laws of the United States, Defendants’ [sic], each of them, have directly infringed the Patents [sic] by making, using, selling, offering for sale in the United States activities, methods and procedures claimed in the Patent, Exhibit 1.” Complaint ¶ 12, Addiction & Detoxification Inst. L.L.C. v. Carpenter, No. 5:14-cv-10021-JCO-MJH, 2014 WL 145134 (E.D.Mich. Jan. 3, 2014), ECF No. 1 (“Original Complaint”). The complaint contained a single allegation of indirect infringement: “Defendants’ [sic] have induced infringement of and/or contribu-torily infringed the Patent.” Id. ¶ 13.

Defendants moved to dismiss. They argued that Addiction and Detoxification’s claim of direct infringement failed to satisfy Rule 8 because it did not follow Form 18 in the Appendix of Forms to the Federal Rules of Civil Procedure. They argued that Addiction and Detoxification’s claim of indirect infringement failed to satisfy Rule 8 because it did not allege any facts showing that Defendants had the specific intent to cause infringement.

In response, Addiction and Detoxification moved to file an amended complaint. The proposed complaint included additional allegations with regard to indirect infringement, for example, that Defendants acted “with specific intent to urge, instruct, encourage” infringement by “causing[,] urging, aiding, or instructing others to perform one or more claimed methods of the '411 patent, and acts which infringe one or more claims of the '411 patent” and that Defendants acted “with specific intent [936]*936to induce third parties to infringe the '411 patent.” First Amended Complaint ¶¶ 17-18, Addiction & Detoxification Inst. L.L.C. v. Carpenter, No. 5:14-cv-10021-JCO-MJH, 2014 WL 145134 (E.D.Mich. Jan. 3, 2014), ECF No. 16-1 (“First Amended Complaint”). Addiction and Detoxification did not revise the direct infringement allegations in the First Amended Complaint. Id. ¶ 12.

The district court granted Defendants’ motion to dismiss the Original Complaint and denied Addiction and Detoxification’s motion to amend. In dismissing the .complaint, the district court relied on an earlier opinion from the same district concluding that to satisfy Form 18, a complaint must allege that the defendants were notified of infringement before the complaint was filed. Accordingly, the court dismissed the direct infringement claim because neither the Original Complaint nor the First Amended Complaint contained allegations that Defendants had pre-filing notice of the alleged infringement. J.A. 3. It dismissed the indirect infringement claim because neither the Original Complaint nor the First Amended Complaint contained allegations of pre-filing notice or facts supporting the contention that Defendants specifically intended to cause infringement. J.A. 3-4. Addiction and Detoxification appeals. We have jurisdiction under 28 U.S.C. § 1295(a)(1). ■

Discussion

Because they are not unique to patent law, the grant of a motion to dismiss for failure to state a claim and the denial of a motion to amend a complaint are reviewed under the applicable law of the regional circuit. In re Bill of Lading Transmission & Processing Sys. Patent Litig., 681 F.3d 1323, 1331 (Fed.Cir.2012); Kalman v. Berlyn Corp., 914 F.2d 1473, 1480 (Fed.Cir.1990). Under Sixth Circuit law, a district court's dismissal under Rule 12(b)(6) is reviewed de novo, Watson Carpet & Floor Covering, Inc. v. Mohawk Indus., Inc., 648 F.3d 452, 456 (6th Cir.2011), and a district court’s denial of a motion to amend a complaint is reviewed for abuse of discretion, Rose v. Hartford Underwriters Ins. Co., 203 F.3d 417, 420 (6th Cir.2000).

“Rule 8(a)(2) of the Federal Rules of Civil Procedure generally requires only a plausible ‘short and plain’ statement of the plaintiffs claim, not an exposition of his legal argument.” Skinner v. Switzer, 562 U.S. 521, 530, 131 S.Ct. 1289, 179 L.Ed.2d 233 (2011). To survive a motion to dismiss, a complaint must plead “enough factual matter” that, when taken as true, •“state[s] a claim to relief that is plausible on its face.” Bell Atl. Corp. v. Twombly, 550 U.S. 544, 556, 570, 127 S.Ct. 1955, 167 L.Ed.2d 929 (2007). “A claim has facial. plausibility when the plaintiff pleads factual content that allows the court to draw the reasonable inference that the defendant is liable for the misconduct alleged.” Ashcroft v. Iqbal, 556 U.S. 662, 678, 129 S.Ct. 1937, 173 L.Ed.2d 868 (2009). Twombly and Iqbal require that a complaint for patent infringement contain sufficient factual allegations such that a reasonable court could, assuming the allegations were true, conclude that the defendant infringed.

A motion to dismiss a claim of direct infringement, however, will not be granted if the complaint follows Form 18. In re Bill of Lading, 681 F.3d at 1334; Fed. R. Civ. P. 84 (“The forms in the Appendix suffice under these rules.... ”). We have held that a complaint that complies with Form 18 will satisfy Rule 8 because Form 18 has the force of law and was enacted by Congress. See, e.g., In re Bill of Lading, 681 F.3d at 1334 (“to the extent the parties argue that Twombly and its progeny conflict with the Forms and create differing [937]*937pleadings requirements, the Forms control”). However, as Form 18 applies- only to direct infringement, we have rejected the idea that it provides a model for other causes of action, such as indirect infringement. Id. at 1386. For other patent-related claims, such claims must comply with Twombly and Iqbal. See id.

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