Ginegar LLC v. Slack Technologies, Inc.

District Court, N.D. California·Decided October 11, 2022·No. 3:22-cv-00044·Unknown

Opinion

1 2 3 4 UNITED STATES DISTRICT COURT 5 NORTHERN DISTRICT OF CALIFORNIA 6 7 GINEGAR LLC, Case No. 22-cv-00044-WHO

8 Plaintiff, ORDER GRANTING MOTION TO 9 v. DISMISS THIRD AMENDED COMPLAINT 10 SLACK TECHNOLOGIES, INC, Re: Dkt. No. 78 Defendant. 11

12 13 Defendant Slack Technologies, Inc. (“Slack”) moves to dismiss the Third Amended 14 Complaint (“TAC”) brought by plaintiff Ginegar LLC (“Ginegar”), which alleges that Slack 15 infringed upon one of Ginegar’s patents. Slack asserts that the only remaining claim in this case, 16 Claim 8, does not recite patentable subject matter under the Mayo/Alice framework. Claim 8 is 17 directed to a system that allows participants in an instant messaging session to exchange both 18 audio and text messages, and then logs a unified transcript of those messages. But it is directed to 19 an ineligible concept (the abstract idea of combining different message types in a single transcript) 20 and recites only an improved result to instant message technology, not the specific means or 21 methods for accomplishing it. And Ginegar has not shown any inventive concept adding 22 “significantly more” to the abstract idea. The purportedly inventive concept—the logic element 23 that logs a single transcript of audio and text messages exchanged during an instant messaging 24 session—is nothing more than using a computer to perform the abstract idea itself. For these 25 reasons, Slack’s motion is GRANTED. And because I previously granted a motion to dismiss on 26 this ground, dismissal is without leave to amend. 27 BACKGROUND 1 [Dkt. No. 77] ¶¶ 1-2. The ’865 Patent, issued on September 12, 2017, claims methods and 2 systems related to multi-modal instant messaging sessions, where users can communicate via text 3 and audio in a single chat session. Id. ¶¶ 10, 12, 15. It has 16 claims, only one of which, Claim 8, 4 remains at issue. See Order Granting Mot. to Dismiss (“First MTD Order”) [Dkt. No. 71] 21:8-10. 5 Claim 8 is directed to a system that maintains the multi-modal session and records a 6 corresponding transcript that contains both the audio and text messages exchanged in that session. 7 See TAC, Ex. B (“’865 Patent”) at 5:65-6:25. Claim 8 is an independent claim and recites the 8 following:

9 A collaborative computing data processing system comprising: 10 a processor; 11 an instant messenger configured to maintain a multi-modal instant messaging 12 session between first and second conversants; and

13 multi-modal transcript unification logic, executing on the processor, and configured 14 to

15 establish a single instant messaging session between two conversants,

16 receive text messages as part of a conversation between the two conversants, through the single instant messaging session, 17

18 embed in the instant messaging session a voice message received from one of the two conversants, 19 classify each one of the embedded voice message and the received text messages 20 by type, the type of message being one of a voice message and a text message,

21 determine if the one of the voice and text messages is classified as a voice message, 22 and

23 log the classified voice and text messages in a single transcript of conversation between the two conversants occurring in the single instant messaging session in 24 response to determining that the one of the voice and text messages is classified as a voice message. 25 Id. 26 According to the TAC, the multi-modal transcript unification logic in Claim 8 improves 27 1 allows conversants to use both text and voice in a single session, and (2) automatically logs a 2 unified chat transcript containing both text and voice messages. TAC ¶¶ 39-40. 3 In February 2021, Ginegar sued Slack in the District of Colorado, alleging infringement of 4 two patents: the ’865 Patent and U.S. Patent No. 9,367,521 (“the ’521 Patent”). Dkt. No. 1. The 5 complaint was later amended and the case transferred to this district in early January 2022. Dkt. 6 Nos. 27, 47. Slack moved to dismiss the amended complaint two weeks later. Dkt. No. 55. 7 I granted Slack’s motion to dismiss, finding that the claims at issue recited an abstract idea 8 and failed to include an inventive concept elevating them to more than a patent on the abstract idea 9 itself. First MTD Order at 1:13-19. I granted Ginegar leave to amend only its claim premised on 10 Claim 8 of the ’865 Patent, finding that it had “alleged some facts supporting that the multi-modal 11 transcript unification logic . . . is an improvement in instant messaging technology and/or an 12 inventive concept.” Id. at 21 n.6. I further stated that should Ginegar file an amended complaint, 13 “it must allege facts supporting how the logic element improves the technology of instant message 14 systems . . . or how it constitutes an inventive concept.” Id. 15 Ginegar filed a Second Amended Complaint (“SAC”) on June 28, 2022, that went beyond 16 the scope of amendment that I had permitted by alleging infringement of other claims in the ’865 17 Patent and ’521 Patent. Dkt. No. 72. Ginegar then filed an unopposed motion for leave to file its 18 TAC, which I granted. Dkt. Nos. 73, 76. Ginegar filed the TAC on July 12, 2022, and Slack 19 again moved to dismiss. Dkt. Nos. 77, 78. 20 LEGAL STANDARD 21 Under Federal Rule of Civil Procedure 12(b)(6), a court must dismiss a complaint if it fails 22 to state a claim upon which relief can be granted. To survive a Rule 12(b)(6) motion, the plaintiff 23 must allege “enough facts to state a claim to relief that is plausible on its face.” Bell Atl. Corp. v. 24 Twombly, 550 U.S. 544, 570 (2007). A claim is facially plausible when the plaintiff pleads facts 25 that allow the court to “draw the reasonable inference that the defendant is liable for the 26 misconduct alleged.” Ashcroft v. Iqbal, 556 U.S. 662, 678 (2009) (citation omitted). There must 27 be “more than a sheer possibility that a defendant has acted unlawfully.” Id. While courts do not 1 right to relief above the speculative level.” See Twombly, 550 U.S. at 555, 570. 2 In deciding whether the plaintiff has stated a claim upon which relief can be granted, the 3 court accepts her allegations as true and draws all reasonable inferences in her favor. See Usher v. 4 City of Los Angeles, 828 F.2d 556, 561 (9th Cir. 1987). However, the court is not required to 5 accept as true “allegations that are merely conclusory, unwarranted deductions of fact, or 6 unreasonable inferences.” See In re Gilead Scis. Sec. Litig., 536 F.3d 1049, 1055 (9th Cir. 2008). 7 “[I]n many cases it is possible and proper to determine patent eligibility under 35 U.S.C. § 8 101 on a Rule 12(b)(6) motion.” Genetic Techs. Ltd. v. Merial LLC, 818 F.3d 1369, 1373 (Fed. 9 Cir. 2016). However, “plausible factual allegations may preclude dismissing a case under § 101 10 where, for example, nothing on the record refutes those allegations as a matter of law or justifies 11 dismissal under Rule 12(b)(6).” Aatrix Software, Inc. v. Green Shades Software, Inc., 882 F.3d 12 1121, 1125 (Fed. Cir. 2018) (citations and internal modifications omitted). As the Federal Circuit 13 stated in Aatrix:

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