Cognex Corp. v. Microscan Systems, Inc.

990 F. Supp. 2d 408, 2013 WL 6906221, 2013 U.S. Dist. LEXIS 181960
CourtDistrict Court, S.D. New York
DecidedDecember 31, 2013
DocketNo. 13 Civ.2027(JSR)
StatusPublished
Cited by16 cases

This text of 990 F. Supp. 2d 408 (Cognex Corp. v. Microscan Systems, Inc.) is published on Counsel Stack Legal Research, covering District Court, S.D. New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Cognex Corp. v. Microscan Systems, Inc., 990 F. Supp. 2d 408, 2013 WL 6906221, 2013 U.S. Dist. LEXIS 181960 (S.D.N.Y. 2013).

Opinion

MEMORANDUM ORDER

JED S. RAKOFF, District Judge.

Plaintiffs Cognex Corporation and Cognex Technology & Investment, LLC (collectively, “Cognex”) sue defendants Microscan Systems, Inc. and The Code Corporation for patent infringement. Cognex alleges that Microscan’s Mobile Hawk Direct Part Mark Reader product, which is designed and sold by the defendants, infringes U.S. Patent No. 7,874,-487 (the “'487 patent”). As a result of plaintiffs’ decisions to drop certain claims and the Court’s September 30, 2013, 2013 WL 5550092, Order granting defendants partial summary judgment as to claims 23, 28, and 29 on the issue of invalidity, plaintiffs’ only remaining allegations of infringement pertain to claims 1 and 30 of the '487 patent.

Pending before the Court are six motions: (1) plaintiffs’ motion seeking partial summary judgment that claims 1 and 30 of the '487 patent are not invalid as anticipated; (2) defendants’ responding motion seeking summary judgment that claims 1 and 30 of the '487 patent are invalid as anticipated; (3) defendants’ motion seeking summary judgment that the Mobile Hawk device does not infringe the '487 patent; (4) defendants’ motion seeking partial summary judgment that the plaintiffs are not entitled to damages prior to when they provided actual notice of infringement; (5) plaintiffs’ motion to strike defendants’ fourth affirmative defenses in their Amended Answers to the Plaintiffs’ Amended Complaint; and (6) defendants’ motion for sanctions for spoliation. On October 21, 2013, following full briefing, the Court heard oral argument on all of the motions except the fourth, as to which the parties rested on their papers.

Before discussing each motion, the Court provides some background on plaintiffs’ patent in suit, the accused Mobile Hawk product, and the prior art HawkEye technologies.

[412]*412The '487 patent relates to illumination systems used in handheld symbology readers that read barcodes and other more complicated symbols appearing on objects. These systems use multiple types of illumination to help the symbology readers view the target symbols and objects more clearly. Specifically, the '487 patent produces illumination from two sources: (1) light-emitting diodes (“LEDs”) that transmit refracted and reflected light through a light pipe, and (2) LEDs that produce diffuse light when deployed with a reflector and diffuser.

The product accused of infringing the '487 patent is the defendants’ Mobile Hawk product, which is a handheld direct part mark reader. See Defendants’ Local Rule 56.1 Statement in Support of Defendants’ Motion for Summary Judgment that the Accused Mobile Hawk Device Does Not Infringe Any Asserted Claim of U.S. Patent No. 7,874,487, Sept. 20, 2013, ¶ 14 (undisputed). There is no dispute concerning the structure of the Mobile Hawk device nor is there a dispute about the shape or dimensions of its prism.1 The accused Mobile Hawk device acquires a two-dimensional digital image of a mark, processes the image to identify the mark, and then communicates the decoded information from the mark through a data communication interface system, such as through a USB connection. Id. ¶ 15 (undisputed). The acquisition of the image is accomplished with an illumination assembly, which includes a dome, a prism, and a window component. Id. ¶ 16. The Mobile Hawk illumination assembly provides dark field illumination by reflecting light out of the prism that surrounds the window. Id. ¶ 18. Bright field illumination is created by light that is refracted out of the prism and by light that is reflected by the dome through the window. Id. ¶¶ 21-22. This illumination assembly is the portion of the Mobile Hawk that is accused of infringing the '487 patent.

Defendants for their part assert that a series of products (collectively known as “the HawkEye”) anticipates claims 1 and 30 of the '487 patent. See Plaintiffs’ Statement of Material Facts in Support of Plaintiffs’ Motion for Summary Judgment of No Invalidity over the HawkEye (“PI. 56.1 in Supp. of No Invalidity”), Sept. 20, 2013, ¶ 17 (undisputed). The HawkEye was a series of handheld imager-based direct part mark reader products designed, developed, produced, marketed, and sold by Auto Image ID, Inc. from 2000 to 2001, by Robotic Vision Systems, Inc. from 2001 through 2005, and by others, including Microscan, since then. Id. ¶ 18.2 The Hawk-Eye 5x device was a handheld device designed to read a wide range of direct part marks and other symbology codes. It included image processing algorithms and illumination technology.

Each HawkEye could be used with two types of light pipes. One light pipe, which included an end that was chamfered at ten degrees, was designed to provide bright field illumination. See Defendants’ Local Rule L.R. 56.1 Statement in Support of Defendants’ Motion for Summary Judgment that Claims 1 and 30 of U.S. Patent [413]*413No. 7,874,487 Are Invalid as Anticipated by the HawkEye 5x Handheld Readers, Sept. 20, 2018, ¶ 28 (undisputed). The other light pipe, which included an end that was chamfered at thirty degrees, was used to provide dark field illumination. Id. ¶ 26-27 (undisputed). The parties dispute whether the thirty-degree light pipe was also able to provide bright field illumination. Compare id. at ¶ 27, with Cognex’s Statement of Material Facts Submitted in Opposition to Defendants’ Motion for Summary Judgment that Claims 1 and 30 of U.S. Patent No. 7,874,487 Are Invalid as Anticipated by the HawkEye 5x, Oct. 4, 2013, ¶ 27.

Turning to the instant motions, after careful consideration of the parties’ briefing and arguments, the Court reaches the following conclusions:

First, the Court denies both plaintiffs’ and defendants’ motions for summary judgment on the issue of invalidity because a genuine dispute exists as to whether the HawkEye has a diffusive distal chamfered surface.

Each claim of a patent is entitled to a presumption of validity. 35 U.S.C. § 282(a). A defendant asserting that a claim is invalid carries the burden of establishing the invalidity of the claim by clear and convincing evidence. Microsoft Corp. v. i4i Ltd. P’ship, — U.S. -, 131 S.Ct. 2238, 2245-46, 180 L.Ed.2d 131 (2011). A determination that a patent is invalid as anticipated requires a finding that each and every claim element is disclosed in a single prior art reference. Therasense, Inc. v. Becton, Dickinson & Co., 593 F.3d 1325, 1332-33 (Fed.Cir.2010). “A determination that a claim is anticipated involves a two-step analysis: the first step requires construing the claim, and the second step in the analysis requires a comparison of the properly construed claim to the prior art.” Enzo Biochem, Inc. v. Applera Corp., 599 F.3d 1325, 1332 (Fed.Cir.2010) (internal quotation marks and alterations omitted).

In the invalidity inquiry, uncorroborated oral testimony of the allegedly anticipating public use is “insufficient as a matter of law to establish invalidity of the patent.” Finnigan Corp. v. Int’l Trade Comm’n, 180 F.3d 1354, 1370 (Fed.Cir.1999).

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990 F. Supp. 2d 408, 2013 WL 6906221, 2013 U.S. Dist. LEXIS 181960, Counsel Stack Legal Research, https://law.counselstack.com/opinion/cognex-corp-v-microscan-systems-inc-nysd-2013.