Cyandia, Inc. v. SAP America, Inc.

CourtDistrict Court, E.D. Texas
DecidedAugust 20, 2025
Docket2:24-cv-00096
StatusUnknown

This text of Cyandia, Inc. v. SAP America, Inc. (Cyandia, Inc. v. SAP America, Inc.) is published on Counsel Stack Legal Research, covering District Court, E.D. Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Cyandia, Inc. v. SAP America, Inc., (E.D. Tex. 2025).

Opinion

IN THE UNITED STATES DISTRICT COURT FOR THE EASTERN DISTRICT OF TEXAS MARSHALL DIVISION

CYANDIA, INC., § § Plaintiff, § § v. § CASE NO. 2:24-CV-00096-JRG § SAP AMERICA, INC. and SAP SE, § § Defendant. § MEMORANDUM OPINION AND ORDER Before the Court is the Motion to Compel Documents and Discovery Responses (the “Motion”) filed by Plaintiff Cyandia, Inc. (“Cyandia”). (Dkt. No. 86.) In the Motion, Cyandia asks the Court to compel Defendants SAP America, Inc. and SAP SE (together, “SAP”) (collectively with Cyandia, the “Parties”) to produce several categories of documents. (Dkt. No. 86 at 4.) Having considered the Motion and its related briefing, and for the reasons stated herein, the Court finds that the Motion should be GRANTED-IN-PART and DENIED-IN-PART. I. BACKGROUND On February 12, 2024, Cyandia filed its Complaint of Patent Infringement (the “Complaint”) against SAP. (Dkt. No. 1.) In the Complaint, Cyandia alleges that SAP makes, uses, sells, and offers to sell software products and services (the “Accused Instrumentalities”) that infringe U.S. Patent No. 8,499,250; U.S. Patent No. 8,578,285; U.S. Patent No. 8,595,641; and U.S. Patent No. 8,751,948 (collectively, the “Asserted Patents”). (Dkt. No. 1 ¶¶ 10, 47.) Each of the Asserted Patents generally relates to computing methods or computer programs “for interacting with multiple information forms across multiple types of computing devices.” (Id. ¶¶ 15, 19, 23, 27, 29.) On June 04, 2025, and pursuant to the Court’s order, the Parties met and conferred to “fully explore resolution or significant narrowing of the disputes in the Motion.” (Dkt. No. 104 at 1; Dkt. No. 113 at 1.) The Parties then filed the Joint Status Report Regarding Plaintiff’s Motion to Compel (the “Joint Status Report”) on June 10, 2025. (Dkt. No. 113). This Joint Status Report defines the field of unresolved issues which the Court now addresses.

II. LEGAL STANDARD The rules of discovery “are to be accorded a broad and liberal treatment to effect their purpose of adequately informing the litigants in civil trials.” Herbert v. Lando, 441 U.S. 153, 176 (1979). “Parties may obtain discovery regarding any nonprivileged matter that is relevant to any party’s claim or defense and proportional to the needs of the case.” FED. R. CIV. P. 26(b)(1). Rule 37 allows a discovering party, on notice to other parties and all affected persons, to “move for an order compelling disclosure or discovery.” FED. R. CIV. P. 37(a)(1). “The moving party bears the burden of showing that the materials and information sought are relevant to the action or will lead to the discovery of admissible evidence.” Tim Long Plumbing, Inc. v. Kinsale Ins. Co., No. 4:20-

cv-00042, 2020 WL 6559869, at *2 (E.D. Tex. Nov. 9, 2020) (citing Export Worldwide, Ltd. v. Knight, 241 F.R.D. 259, 263 (W.D. Tex. 2006)). Once the moving party establishes that the materials requested are within the scope of permissible discovery, the burden shifts to the party resisting discovery to show specifically why the discovery is irrelevant, overly broad, unduly burdensome or oppressive, and thus should not be permitted. Id. III. ANALYSIS In the Motion, Cyandia asks the Court to compel SAP to produce six (6) categories of documents: (1) U.S. gross revenues for all Accused Instrumentalities; (2) U.S. net revenues for all Accused Instrumentalities; (3) worldwide gross and net revenues for all Accused Instrumentalities; (4) costs, expenses, profits for all Accused Instrumentalities (U.S. and worldwide); (5) pricing for all Accused Instrumentalities; and (6) data regarding the number of units/users/connections for all Accused Instrumentalities. (Dkt. No. 86 at 4.) The Court addresses each category in turn. (a) Resolved Discovery Disputes In the Joint Status Report, the Parties represent that they have resolved their disputes as to

three (3) categories of documents: U.S. net revenues for all Accused Instrumentalities; worldwide gross and net revenues for all Accused Instrumentalities; and costs, expenses, profits for all Accused Instrumentalities (U.S. and worldwide). (Dkt. No. 113 at 1.) Accordingly, the Court approves the parties’ resolution of those disputes and finds that the Motion should be DENIED AS MOOT thereto. (b) U.S. Gross Revenues Cyandia asks the Court to compel SAP to produce U.S. gross revenues for five (5) Accused Instrumentalities: SuccessFactors; Build Apps base package; Build Apps additional user; Build Process Automation standard; and Build Process Automation advanced. (Dkt. No. 113 at 3; see

also Dkt. No. 86 at 1.) Cyandia argues that such “routine financial information” is relevant as it is the “starting point of any damages analysis.” (Dkt. No. 86 at 1; 5 (citation omitted).) Cyandia further contends that SAP possesses the requested U.S. gross revenue information but has withheld it for certain products. (Id. at 5, 7.) As support, Cyandia points to SAP’s “spreadsheet containing unspecified revenue for a subset of the Accused Instrumentalities” (the “Revenue Spreadsheet”). (Id. at 1.) Cyandia also asserts that SAP’s supplemental production continues to hide the ball. (Id.) Specifically, Cyandia notes that, while SAP provided it with the U.S. revenues for two product groups, Cyandia is unable to identify which Accused Instrumentality, if any, falls within which product group. (Id.; see also, Dkt. 86-1 ¶7.) SAP responds by arguing that the Court should not order SAP to produce U.S. gross revenue for two (2) reasons. (Dkt. No. 100 at 2–3; Dkt. No. 113 4–5.) First, SAP maintains that its production is sufficient. (Dkt. No. 100 at 2.) To evidence this, SAP notes that its Revenue Spreadsheet lists over 2,400 pages of information for over 2,700 U.S.-based customers and is supplemented by pricing and supporting details. (Id. at 2–3.) Second, SAP insists that Cyandia

has made its request without meeting and conferring with SAP. (Dkt. No. 113 at 5.) Specifically, SAP contends that Cyandia has not raised these “specific products” in its Motion or during the meet and confer. (Id. at 4 (emphasis added).) The Parties do not dispute that information pertaining to U.S. gross revenue for the five (5) Accused Instrumentalities listed above is relevant to damages. The burden therefore falls on SAP to show specifically why the discovery should not be permitted. See Tim Long Plumbing, Inc., 2020 WL 6559869, at *2 (citation omitted). However, SAP has not met this burden. In fact, while SAP essentially argues that Cyandia is “improperly seeking to expand its Motion,” the record shows that Cyandia has narrowed its request. (Dk. No. 113 at 3.) Specifically, and whereas the

Motion expressly seeks the production of “all relevant documents” pertaining to “U.S. gross revenues for all Accused Instrumentalities,” Cyandia requests the U.S. gross revenues for only a subset of those Accused Instrumentalities in the Joint Status Report. (Dkt. No. 86 at 4 (emphasis added); Dkt. No. 113 at 3.) Accordingly, the Court finds that this portion of the Motion should be GRANTED. (c) Pricing Information Cyandia asks the Court to compel SAP to fully produce pricing information for S/4HANA, SAP Business Suit, SAP Cloud Portal Service, SAP Access Control, and SAP Process Control. (Dkt. No. 113 at 5.) However, SAP has agreed to produce the requested pricing information. (Id. at 6.) Based on such an agreement, the Court finds that Cyandia’s request should be DENIED AS MOOT. (d) User, Usage, and Connection Data

Cyandia asks the Court to compel SAP to produce two types of data regarding the Accused Instrumentalities: 1) usage data for all the Accused Instrumentalities; and 2) an identification of the total licensed users to those Accused Instrumentalities during the damages period. (Dkt. No. 113 at 10.) The Court will address each in turn.

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Related

Herbert v. Lando
441 U.S. 153 (Supreme Court, 1979)
Export Worldwide, Ltd. v. Knight
241 F.R.D. 259 (W.D. Texas, 2006)

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Bluebook (online)
Cyandia, Inc. v. SAP America, Inc., Counsel Stack Legal Research, https://law.counselstack.com/opinion/cyandia-inc-v-sap-america-inc-txed-2025.