Frac Shack Inc. v. Fuel Automation Station, LLC

300 F. Supp. 3d 1333
CourtDistrict Court, D. Colorado
DecidedMarch 9, 2018
DocketCivil Action No. 16–cv–02275–STV
StatusPublished
Cited by4 cases

This text of 300 F. Supp. 3d 1333 (Frac Shack Inc. v. Fuel Automation Station, LLC) is published on Counsel Stack Legal Research, covering District Court, D. Colorado primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Frac Shack Inc. v. Fuel Automation Station, LLC, 300 F. Supp. 3d 1333 (D. Colo. 2018).

Opinion

Magistrate Judge Scott T. Varholak

This matter is before the Court on the parties' request for construction of certain disputed claim terms contained in United States Patent No. 9,346,662 (the " '662 Patent"). The parties have consented to proceed before the undersigned United States Magistrate Judge for all proceedings, including entry of a final judgment. [## 20, 34] The matter is now ripe for consideration. This Court has carefully considered the briefing, the evidentiary hearing and argument presented on January 12, 2018, and the applicable case law. The Court construes certain claims in the '662 Patent as set forth below.

I. BACKGROUND

According to the Amended Complaint, Frac Shack, Inc. ("Frac Shack") "provides modular solutions for fuel delivery that reduce significantly the health, safety and environmental risks associated with fueling operations during hydraulic fracturing." [# 30 at ¶ 10] Frac Shack is the owner of the '662 Patent, which was issued on May 24, 2016. [Id. at ¶ 9] The Preamble describes the '662 Patent as "[a] fuel delivery system for fuel delivery to multiple pieces of equipment at a work site." [# 1-1 at 10] The Summary of the '662 Patent states that "[a] fuel delivery system and method is presented for reducing the likelihood that a fuel tank of equipment at a well site during fracturing of a well will run out of fuel." [Id. at 7]

Frac Shack alleges that Defendant Atlas Oil Company ("Atlas") has been using modular solutions for refueling during hydraulic fracturing operations in the United States. [# 30 at ¶ 12] Frac Shack alleges that one of these solutions, the Atlas Fuel Automation Station, infringes Claims 1-4 and 7-12 of the '662 Patent. [Id. at ¶¶ 12-13] Defendant Fuel Automation Station, LLC ("Fuel Automation") allegedly leases the Atlas Fuel Automation Station to Atlas. [Id. at ¶ 12]

On June 2, 2017, following completion of the parties' claim construction briefs [## 40, 44, 46, 59, 63], the parties filed a Joint Motion for Determination, requesting the Court conduct a claim construction hearing and rule on disputed terms [# 47]. This Court set a claim construction hearing for September 18, 2017. [## 55-57] Prior to that hearing, Frac Shack filed a Motion to Exclude Amended Invalidity Contentions (the "Motion to Exclude"), arguing that such contentions were improperly served and should be excluded. [# 45]

At the September 18 hearing, the Court denied the Motion to Exclude. [# 64] Because Frac Shack asserted that the Amended Invalidity Contentions required the construction of additional claim terms, however, the Court continued the claims construction hearing and allowed the parties to designate additional terms for construction. [Id. ] Briefing was submitted on these additional terms [## 70, 75, 78, 79, 82], and on January 12, 2018, the Court conducted a claims construction hearing [# 86]. At that hearing, both sides presented expert testimony and argument. [Id. ]

*1338Following the hearing, each side submitted additional briefing. [## 90, 91]

II. STANDARD OF REVIEW

In construing patent claims, courts are guided by the precedent of the Federal Circuit. See SunTiger, Inc. v. Sci. Research Funding Grp. , 189 F.3d 1327, 1333 (Fed. Cir. 1999). A patent infringement claim involves a two-step analysis. First, the Court "must determine as a matter of law the correct scope and meaning of a disputed claim term." CCS Fitness, Inc. v. Brunswick Corp. , 288 F.3d 1359, 1365 (Fed. Cir. 2002). Second, the properly construed patent claims must be compared to the accused device to determine whether the accused device contains all of the limitations of the claimed invention. Id.

The first step, claim construction, is a matter of law for the Court. Markman v. Westview Instruments, Inc. , 517 U.S. 370, 391, 116 S.Ct. 1384, 134 L.Ed.2d 577 (1996). "It is a 'bedrock principle' of patent law that 'the claims of a patent define the invention to which the patentee is entitled the right to exclude.' " Phillips v. AWH Corp. , 415 F.3d 1303, 1312 (Fed. Cir. 2005) (quoting Innova/Pure Water, Inc. v. Safari Water Filtration Sys., Inc. , 381 F.3d 1111, 1115 (Fed. Cir. 2004) ). "When construing claim terms, [courts] first look to, and primarily rely on, the intrinsic evidence, including the claims themselves, the specification, and the prosecution history of the patent, which is usually dispositive." Sunovion Pharm., Inc. v. Teva Pharm. USA, Inc. , 731 F.3d 1271, 1276 (Fed. Cir. 2013). "[T]he words of a claim 'are generally given their ordinary and customary meaning.' " Phillips , 415 F.3d at 1312 (quoting Vitronics Corp. v. Conceptronic, Inc. , 90 F.3d 1576, 1582 (Fed. Cir. 1996) ). "[T]he ordinary and customary meaning of a claim term is the meaning that the term would have to a person of ordinary skill in the art in question at the time of the invention, i.e., as of the effective filing date of the patent application." Id. at 1313.

"The inquiry into how a person of ordinary skill in the art understands a claim term provides an objective baseline from which to begin claim interpretation." Id. "Importantly, the person of ordinary skill in the art is deemed to read the claim term not only in the context of the particular claim in which the disputed term appears, but in the context of the entire patent, including the specification." Id. While "the claims themselves provide substantial guidance as to the meaning of particular claim terms," the claims do not stand alone. Id. at 1314-15.

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Bluebook (online)
300 F. Supp. 3d 1333, Counsel Stack Legal Research, https://law.counselstack.com/opinion/frac-shack-inc-v-fuel-automation-station-llc-cod-2018.