Flypsi, Inc. v. Google, LLC

CourtDistrict Court, W.D. Texas
DecidedAugust 22, 2022
Docket6:22-cv-00031
StatusUnknown

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

Bluebook
Flypsi, Inc. v. Google, LLC, (W.D. Tex. 2022).

Opinion

IN THE UNITED STATES DISTRICT COURT FOR THE WESTERN DISTRICT OF TEXAS WACO DIVISION

FLYPSI, INC., § Plaintiff §

§ 6:22-CV-0031-ADA -vs- §

§ GOOGLE LLC, Defendant § § §

MEMORANDUM OPINION AND ORDER Came on for consideration this date is Google LLC’s (“Google”) Motion to Dismiss Plaintiff Flypsi’s (“Flyp”) Willful and Indirect Infringement Claims. ECF No. 24 (the “Motion”). Flyp filed an opposition on April 25, 2022 (ECF No. 37) to which Google replied on May 5, 2022 (ECF No. 38). After careful consideration of the Motion, the parties’ briefs, and the applicable law, the Court GRANTS-IN-PART and DENIES-IN-PART Google’s Motion to Dismiss WITHOUT PREJUDICE. I. BACKGROUND Flyp, a Delaware corporation with its principal place of business in Bedford, Texas, filed suit on January 10, 2022, against Google, also a Delaware limited liability company. ECF No. 1 ¶¶ 1–2 (the “Complaint”). Flyp’s Original Complaint alleged that Google has and continues to infringe, contribute to the infringement of, and/or induce infringement of Flyp’s U.S. Patent Nos. 9,667,770 (the “’770 Patent”), 10,051,105 (the “’105 Patent”), 10,334,094 (the “’094 Patent”), 11,012,554 (the “’554 Patent”), and 11,218,585 (the “’585 Patent”) (collectively, the “Patents-in- Suit”). Id. at 10. Google filed this Motion urging the Court to dismiss Flyp’s pre- and post-suit indirect

and willful infringement claims, along with Flyp’s post-suit contributory infringement claims. See generally ECF No. 24. II. LEGAL STANDARD A. Rule 12(b)(6) Failure to State a Claim Federal Rule of Civil Procedure 12(b)(6) allows a party to move to dismiss an action for failure to state a claim on which relief can be granted. In deciding a Rule 12(b)(6) motion to

dismiss for failure to state a claim, the court “accepts all well-pleaded facts as true, viewing them in the light most favorable to the [nonmovant].” In re Katrina Canal Breaches Litig., 495 F.3d 191, 205 (5th Cir. 2007) (internal quotation marks omitted). The Supreme Court has explained that a complaint must contain sufficient factual matter “to state a claim to relief that is plausible on its face.” Ashcroft v. Iqbal, 556 U.S. 662, 678 (2009) (quoting Bell Atl. Corp. v. Twombly, 550 U.S. 544, 570 (2007)). “A claim has facial plausibility when the [nonmovant] pleads factual content that allows the court to draw the reasonable inference that the [movant] is liable for the misconduct alleged.” Ashcroft, 556 U.S. at 678. “While a complaint attacked by a Rule 12(b)(6) motion to dismiss does not need detailed factual allegations, a plaintiff’s 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.” Twombly, 550 U.S. at 555 (internal quotations and citations omitted). “Factual allegations must be enough to raise a right to relief above the speculative level.” Id. The Court’s review is limited to the complaint, any documents attached to the complaint, and any documents attached to the motion to dismiss that are central to the claim and referenced by the complaint. Lone Star Fund V (U.S.), L.P. v. Barclays Bank PLC, 594 F.3d 383, 387 (5th Cir. 2010). There are “[t]wo working principles” that a court must use in its pleading evaluations. Ashcroft, 556 U.S. at 678. First, although “a court must accept as true all of the allegations contained in a complaint,” that tenet does not extend to legal conclusions or “[t]hreadbare

recitals of the elements of a cause of action, supported by mere conclusory statements.” Id. Second, “[d]etermining whether a complaint states a plausible claim for relief will . . . be a context-specific task that requires the reviewing court to draw on its judicial experience and common sense.” Id. at 678–79. Thus, in considering a motion to dismiss, the Court must initially identify pleadings that are no more than legal conclusions not entitled to the assumption of truth, then assume the veracity of well-pleaded factual allegations, and determine whether those allegations plausibly give rise to an entitlement to relief. Datascape, Ltd. v. Dell Techs., Inc., No. 1:19-CV-00605-ADA, 2019 WL 5275533, at *1 (W.D. Tex. June 17, 2019). B. Willful Infringement Under Section 284 of the Patent Act, a court may increase damages for patent

infringement “up to three times the amount found or assessed.” 35 U.S.C. § 284. A party seeking such “enhanced damages” must show that an infringer’s conduct has been “willful,” or “wanton, malicious, bad-faith, deliberate, consciously wrongful, flagrant, or—indeed—characteristic of a pirate.” Halo Elecs., Inc. v. Pulse Elecs., Inc., 579 U.S. 93, 103–04 (2016). Enhanced damages should “generally be reserved for egregious cases typified by willful misconduct.” Id. at 106. To state a claim for relief for willful patent infringement, a plaintiff must allege facts plausibly showing that the accused infringer: “(1) knew of the patent-in-suit; (2) after acquiring that knowledge, it infringed the patent; and (3) in doing so, it knew, or should have known, that its conduct amounted to infringement of the patent.” Parity Networks, LLC v. Cisco Sys., Inc., No. 6:19-CV-00207-ADA, 2019 WL 3940952, at *3 (W.D. Tex. July 26, 2019) (quoting Välinge Innovation AB v. Halstead New Eng. Corp., No. 16-1082-LPS-CJB, 2018 WL 2411218, at *13 (D. Del. May 29, 2018)). C. Induced Infringement Section 271(b) of the Patent Act provides that “[w]hoever actively induces infringement

of a patent shall be liable as an infringer.” 35 U.S.C. § 271(b). To succeed on such a claim, the patentee must show that the accused infringer (1) knowingly induced direct infringement and (2) possessed “specific intent” to induce that infringement. See MEMC Electr. Materials, Inc. v. Mitsubishi Materials Silicon Corp., 420 F.3d 1369, 1378 (Fed. Cir. 2005). Willful blindness can satisfy the knowledge requirement, Warsaw Orthopedic, Inc. v. NuVasive, Inc., 824 F.3d 1344, 1347 (Fed. Cir. 2016), and circumstantial evidence may suffice to prove specific intent, MEMC, 420 F.3d at 1378. To state a claim for relief for induced patent infringement, “a complaint must plead facts plausibly showing that the accused infringer ‘specifically intended [another party] to infringe [the patent] and knew that the [other party]’s acts constituted infringement.’” Lifetime Indus.,

Inc. v. Trim-Lok, Inc., 869 F.3d 1372, 1376–77 (Fed. Cir. 2017) (quoting In re Bill of Lading Transmission & Processing Sys. Pat. Litig., 681 F.3d 1323, 1336 (Fed. Cir. 2012)). “[T]here can be no inducement or contributory infringement without an underlying act of direct infringement.” Joao Control & Monitoring Sys., LLC v. Protect Am., Inc., No. 1:14-CV-00134- LY, 2015 WL 3513151, at *3 (W.D. Tex. Mar. 24, 2015). “To state a claim for indirect infringement . . .

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Flypsi, Inc. v. Google, LLC, Counsel Stack Legal Research, https://law.counselstack.com/opinion/flypsi-inc-v-google-llc-txwd-2022.