Anticancer Inc. v. Xenogen Corp.

248 F.R.D. 278, 2007 U.S. Dist. LEXIS 59811, 2007 WL 2345025
CourtDistrict Court, S.D. California
DecidedAugust 13, 2007
DocketCivil No. 05-CV-0448-B(AJB)
StatusPublished
Cited by7 cases

This text of 248 F.R.D. 278 (Anticancer Inc. v. Xenogen Corp.) is published on Counsel Stack Legal Research, covering District Court, S.D. California primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Anticancer Inc. v. Xenogen Corp., 248 F.R.D. 278, 2007 U.S. Dist. LEXIS 59811, 2007 WL 2345025 (S.D. Cal. 2007).

Opinion

ORDER (1) GRANTING DEFENDANTS’ MOTION TO DISMISS ANTICANCER’S FOURTH AMENDED COMPLAINT WITH LEAVE TO AMEND; AND (2) DENYING DEFENDANTS’ REQUEST FOR FEES AND COSTS

RUDI M. BREWSTER, Senior District Judge.

I. INTRODUCTION

Before the Court is Defendants’ Motion to Dismiss Plaintiff AntiCancer Inc.’s (“AntiCancer”) Fourth Amended Complaint filed on June 18, 2007. (Doc. No. 219.) Defendants moves to dismiss claims one and two of the Fourth Amended Complaint and to be awarded fees and costs for the present Motion.

For the reasons set forth below, the Court (1) GRANTS Defendants’ Motion to Dismiss; (2) GRANTS AntiCancer LEAVE TO AMEND the Fourth Amended Complaint and file a Fifth Amended Complaint, which [280]*280shall supercede all preceding complaints and amended complaints filed with this Court, on or before Monday, August 27, 2007; (3) GRANTS Defendants thirty (30) days from the date Plaintiff files the Fifth Amended Complaint TO APPEAR in the present Action; and (3) DENIES Defendants’ request for fees and costs associated with this Motion.

II. BACKGROUND

On March 1, 2007, this Court granted Plaintiffs Motion to Substitute Attorney, replacing Marc Hankin with Richard Clegg. (Doc. No. 183.) Because of this substitution of attorney for AntiCancer, on April 12, 2007, the Court filed an Order (1) taking Xenogen’s Motion to Strike and For More Definite Statement Regarding AntiCancer’s Third Amended Complaint off calendar without prejudice to Xenogen’s reassertions of its objections, and (2) granting AntiCancer leave to file a Fourth Amended Complaint. (Doc. No. 203.)

In that Order, the Court noted that AntiCancer’s new counsel was not the drafting attorney for the Third Amended Complaint, which he admitted “could be improved” and requested to update in view of his own “independent investigation of the facts.” (Doc. No. 203 at 1.) The Court noted that “all the objections made by Xenogen in the present Motion have merit” and therefore granted Plaintiff leave to file a Fourth Amended Complaint. {Id. at 2.)

On May 14, 2007, Plaintiff filed a Fourth Amended Complaint (1) asserting patent infringement of two patents, U.S. Patent Nos. 6,649,159 (“the '159 patent”) and 6,759,038 (“the '038 patent”); and (2) requesting declaratory judgment of invalidity of U.S. Patent No. 5,650,135 (“the '135 patent”). (Doe. No. 215.)

III. DISCUSSION

A. STANDARD OF LAW

The Supreme Court recently ruled on the Federal Rule of Civil Procedure 8(a)(2) requirement that a pleading contain “a short and plain statement of the claim showing that the pleader is entitled to relief’ in antitrust action Bell Atlantic v. Twombly, — U.S. —, 127 S.Ct. 1955, 167 L.Ed.2d 929 (2007). There, the Supreme Court held that the purpose of Rule 8(a)(2) was to “give the defendant fair notice of what the ... claim is and the grounds upon which it rests.” Id. at 1964 (quoting Conley v. Gibson, 355 U.S. 41, 47, 78 S.Ct. 99, 2 L.Ed.2d 80 (1957)). The Court then found:

While a complaint attacked by a Rule 12(b)(6) motion to dismiss does not need detailed factual allegations, a plaintiffs obligation to provide the “grounds” of his “entitle[ment] to relief’ requires more than labels and conclusions, and a formulaic recitation of the elements of a cause of action will not do. Factual allegations must be enough to raise a right to relief above the speculative level, on the assumption that all the allegations in the complaint are true (even if doubtful in fact).

Id. at 1964-65 (citations and footnote omitted). It further explained in a footnote:

While, for most types of cases, the Federal Rules eliminated the cumbersome requirement that a claimant “set out in detail the facts upon which he bases his claim,” Rule 8(a)(2) still requires a “showing,” rather than a blanket assertion, of entitlement to relief. Without some factual allegation in the complaint, it is hard to see how a claimant could satisfy the requirement of providing not only “fair notice” of the nature of the claim, but also “grounds” on which the claim rests.

Id. at 1965 n. 3 (citations omitted).

In Bell Atlantic, the Supreme Court “retire[d]” the “famous observation” in Conley, 355 U.S. at 45—46, 78 S.Ct. 99, that “the accepted rule that a complaint should not be dismissed for failure to state a claim unless it appears beyond doubt that the plaintiff can prove no set of facts in support of his claim which would entitle him to relief,” and held that:

The phrase is best forgotten as an incomplete, negative gloss on an accepted pleading standard: once a claim has been stated adequately, it may be supported by showing any set of facts consistent with the allegations in the complaint.

[281]*281Id. at 1969. Instead, the Court holds that pleadings compliant with Rule 8 must express a “plausible entitlement to relief.” Id. at 1967. If a complaint does not meet this standard, “this basic deficiency should ... be exposed at the point of minimum expenditure of time and money by the parties and the court.” Id. at 1966 (citation omitted).

B. ANALYSIS

1. Bell Atlantic standard in the context of patent infringement actions

In Bell Atlantic, the Supreme Court applied its new standard to a § 1 Sherman Act complaint. Id. at 1965-69. The Supreme Court has yet to make clear how its new standard applies to other actions, and neither the Federal Circuit nor the Ninth Circuit has addressed this issue since the May 21, 2007, Bell Atlantic decision. However, after an extensive analysis of Bell Atlantic, in an action brought by plaintiff detainee against government officials for alleged constitutional violations, the Second Circuit interpreted the new standard as set forth by the Supreme Court as follows:

After careful consideration of the Court’s opinion and the conflicting signals from it that we have identified, we believe the Court is not requiring a universal standard of heightened fact pleading, but is instead requiring a flexible “plausibility standard,” which obliges a pleader to amplify a claim with some factual allegations in those contexts where such amplification is needed to render the claim plausible.

Iqbal v. Hasty, 490 F.3d 143, 157-58 (2d Cir.2007).

The only federal court to have considered the Bell Atlantic pleading standard with respect to patent infringement is the District Court for the Southern District of Alabama in Bartronics, Inc. v. Power-One, Inc., 245 F.R.D. 532 (S.D.Ala.2007). There, the Alabama district court considered Plaintiffs objection to Defendant’s proposed Amended Answer and Counterclaims, in particular the two new counterclaims that are pleaded in their entirety as follows:

“One or more of the claims of the '057 patent are invalid under 35 U.S.C. § 103

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Bluebook (online)
248 F.R.D. 278, 2007 U.S. Dist. LEXIS 59811, 2007 WL 2345025, Counsel Stack Legal Research, https://law.counselstack.com/opinion/anticancer-inc-v-xenogen-corp-casd-2007.