Austin Hardware & Supply Inc v. Allegis Corporation

CourtDistrict Court, E.D. Wisconsin
DecidedSeptember 29, 2020
Docket2:19-cv-00785
StatusUnknown

This text of Austin Hardware & Supply Inc v. Allegis Corporation (Austin Hardware & Supply Inc v. Allegis Corporation) is published on Counsel Stack Legal Research, covering District Court, E.D. Wisconsin primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Austin Hardware & Supply Inc v. Allegis Corporation, (E.D. Wis. 2020).

Opinion

UNITED STATES DISTRICT COURT EASTERN DISTRICT OF WISCONSIN

AUSTIN HARDWARE & SUPPLY INC.,

Plaintiff, Case No. 19-CV-785-JPS

v.

ORDER ALLEGIS CORPORATION,

Defendant.

This is a patent case about drawers—the furniture kind. The parties, both hardware companies, are developers of a drawer-release system that allows individuals to open, lock, and close drawers with one hand. The plaintiff, Austin Hardware & Supply Inc. (“Austin”) holds two of the patents at issue for the drawer-release system. The defendant, Allegis Corporation (“Allegis”) is accused of infringing the patents. The parties have filed cross-motions for summary judgment, which are fully briefed. (Docket #44, #50). For the reasons explained below, Austin’s motion will be granted in part and Allegis’s motion will be denied. The parties have also filed various unopposed motions to restrict submissions (Docket #51, #62, #82, #84, #94), on the grounds that the documents divulge confidential information that is covered by the protective order. The Court will grant these motions. Pursuant to the terms of the protective order, the parties have also filed redacted, non-confidential versions of those documents. Additionally, Austin filed a motion to strike Allegis’s amended expert report. (Docket #93). Allegis’s expert, Bradley J. Thorson (“Thorson”), initially drafted an expert report in which he stated that persons of ordinary skill in the art should have at least three years of experience designing mechanical hardware or associated components, or five years of education or experience in design, construction, modification, or fabrication of mechanical hardware or associated components. See (Docket #95-2 at 13). Mr. Thorson subsequently amended his expert report to explain that this experience is required only if the person lacks a bachelor’s degree in the relevant field. (Docket #95-8 at 2, 9). At the time the amended report was submitted, the parties had yet to complete discovery, had not taken expert depositions, and had not filed Daubert motions. The Court finds that the amended report was proper, and will deny Austin’s motion to strike. 1. FACTUAL BACKGROUND 1.1 The Device The disputed drawer release system allows users to open a drawer, lock it into place, unlock it, and close it—all with one hand. The method is particularly useful to users who open and close drawers on trucks, which may be parked at an angle, making it difficult to keep drawers open or closed. The products use a handle that runs the width of a drawer, which can be pulled up to open the drawer. This upward-lifting motion prompts a rotating mechanism that facilitates the drawer slides opening, locking, and closing. Austin’s drawer release system (“DRS”) is covered by two patents, which will be described Section 2, below. Allegis developed the accused product (“AP”) that is the subject of this litigation. Whether Allegis’s AP infringes Austin’s patents depends, in large part, in how the patent claims are constructed. These will be subject to greater discussion, below. At this juncture, it suffices to provide a broad overview of the dispute. The main contention is over the definition of the term “handle portion.” Allegis seeks a narrow definition, which defines “handle” as simply the metal part of the device that is pulled up. Allegis’s definition excludes the handle caps—the black plastic components that connect either end of the metal handle to the black, stationary portions of the release system that affix to the drawer itself (also known as the “fixed portion” of the drawer release system). Austin, by contrast, contends that the handle portion includes the handle caps and cams. This distinction is important because the claims specify that the opening, locking, and closing mechanisms are part of the “handle portion” of the device. In order to avoid infringement, Allegis argues that the opening, locking, and closing mechanisms of the AP are part of the “fixed portion” of the device, which is separate from the handle portion. The distinction is best illustrated by the parties’ competing diagrams. Allegis claims the handle consists solely of the single metal piece in the device, distinct from the handle cap:

Page 3 of 39

Whereas Austin claims that the handle portion consists of the metal piece and the handle caps and cams.

Handle Portion

Fixed Portion Each End Such that the handle portion consists of the following components:

| Handle Cap Cam

In addition to construing “handle portion,” the parties also seek construction of the terms “axis” and “lever engaging member,” with similar end goals. For example, Allegis seeks a philosophical definition of “axis” that renders the claim difficult to apply, whereas Austin seeks general and broadly applicable definition of “axis” that would include the AP’s spline, which connects the handle cap to the handle cam. Similarly, Allegis seeks a narrow definition of the term “lever engaging member,” based in part on the argument that it is a means-plus-function term that must only cover the pins used in Austin’s embodiment of the DRS. By contrast, Austin seeks a

Page 4 of 39

broad definition of the term, one that would cover the AP’s handle cam. Other terms that bear on the outcome of the dispute will be constructed in turn, in Section 2, below. 1.2 The Patents Austin’s drawer release mechanism is covered by two patents: U.S. Patent No. 10,004,331 patent (the “‘331 Patent”) and U.S. Patent No. 10,455,937 (the “‘937 Patent”). The claims at issue in the ‘331 Patent are Claim 26, an independent claim, and Claims 27–30, which are dependent on Claim 26. The claims at issue in the ‘937 Patent consist of Claims 14 and 21, which are both independent. The ‘331 Patent was issued on June 26, 2018. The ‘937 Patent was issued on October 29, 2019. These patents are part of the same “patent family,” which is to say that their descriptions and specifications are the same. Austin apprised Allegis of each patent application before and after it was approved. As early as 2015, Allegis became aware that the ‘331 Patent was in the works, and began conferring with a patent attorney, Edwin Voigt, in order to avoid infringement. On several occasions, Allegis altered the design of the AP in order to avoid infringement. In January 2019, Allegis began selling its AP. On April 2019, Austin sent Allegis a cease-and-desist letter warning that the AP infringed the ‘331 Patent. Claim 26 of the ‘331 Patent consists of the following elements: A method of opening a drawer, comprising: providing a drawer release comprising a handle portion pivotally engaged to a fixed portion, wherein the handle portion comprises an axis having an axis surface, and the axis rotates in a curved portion of the fixed portion, and the axis surface rotates against an inner curved surface of the curved portion and the handle portion comprising at least one lever engaging member that engages a lever of a drawer slide, the drawer engaged to the drawer slide to provide a sliding movement to the drawer, the drawer slide having a latch or a lock that prevents the sliding movement of the drawer, the lever is integral with the latch or the lock and is moveable to release the latch or the lock of the drawer slide and allow the sliding movement of the drawer; pulling on the handle portion to pivot the handle portion relative to the fixed portion; causing the at least one lever engaging member to move generally downward to engage the lever of the drawer slide; and releasing the latch or the lock on the drawer slide to unlatch or unlock the drawer slide to allow the sliding movement of the drawer. Claims 27–30, which are dependent from Claim 26, read as follows: 27. The method according to claim 26, further comprising pulling on the handle portion to slide the drawer open, wherein the drawer slides open via the drawer-slide. 28.

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Cite This Page — Counsel Stack

Bluebook (online)
Austin Hardware & Supply Inc v. Allegis Corporation, Counsel Stack Legal Research, https://law.counselstack.com/opinion/austin-hardware-supply-inc-v-allegis-corporation-wied-2020.