Hewlett-Packard Company, Plaintiff-Cross v. Mustek Systems, Inc. And Mustek, Inc.

340 F.3d 1314, 2003 WL 21804808
CourtCourt of Appeals for the Federal Circuit
DecidedSeptember 12, 2003
Docket02-1372, 02-1395, 02-1465
StatusPublished
Cited by110 cases

This text of 340 F.3d 1314 (Hewlett-Packard Company, Plaintiff-Cross v. Mustek Systems, Inc. And Mustek, Inc.) is published on Counsel Stack Legal Research, covering Court of Appeals for the Federal Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Hewlett-Packard Company, Plaintiff-Cross v. Mustek Systems, Inc. And Mustek, Inc., 340 F.3d 1314, 2003 WL 21804808 (Fed. Cir. 2003).

Opinions

Opinion for the court filed by Circuit Judge DYK. Dissenting opinion filed by Circuit Judge MAYER.

DYK, Circuit Judge.

Mustek Systems, Inc. and Mustek, Inc. (collectively “Mustek” or “appellants”) ap[1317]*1317peal the judgment of literal infringement of claims 1, 4, and 7-9 of United States Patent No. 5,836,878 (“the '878 patent”). Hewlett-Packard Co. v. Mustek Sys., Inc., No. 99-CV-0351, slip op. at 13-18 (S.D.Cal. Apr. 26, 2002) (“Order Re: Post-Trial Motions”). Hewlett-Packard Co. (“Hewlett” or “appellee”) cross-appeals the judgment of invalidity under 35 U.S.C. § 102 of claim 1 and under 35 U.S.C. § 103 of claims 1-8 of United States Patent No. 4,837,635 (“the '635 patent”). Id. at 5-10. On the main appeal, we vacate the judgment of infringement of the asserted claims of the '878 patent. On the cross appeal, we affirm the judgment of invalidity of the asserted claims of the '635 patent.

BACKGROUND

Hewlett is the assignee of the '878 and '635 patents, respectively titled “Variable Speed Single Pass Color Optical Scanner” and “A Scanning System in which a Portion of a Preview Scan Image of a Picture Displaced on a Screen is Selected and a Corresponding Portion of the Picture is Scanned in a Final Scan.” Both patents are generally directed to optical scanner technology, in which images and text from a document are converted into electronic data.

The '878 patent addresses the problem of correlating data received by three linear sensors 24, 26, and 28 (as shown in figure 4 reproduced below). The three linear sensors of the prior art and disclosed devices, which are positioned in fixed parallel relationship, each captures an optical spectral component corresponding respectively to the colors red, green, and blue (RGB). The document being scanned and the sensors move relative to each other so that the sensors scan across the image. The data collected at one sensor at a given time, however, will not correspond to the same portion of the image collected by another sensor at that same time. In order to correctly reproduce an electronic version of the scanned image, the data captured by the three sensors during the image scan must be properly correlated.

[[Image here]]

For scanners that operate solely at a single scan speed, the correlation of the color component data can be simply performed. A problem arises, however, in scanners that possess multiple selectable scanning speeds because the correlation step must account for the scan speed. The '878 patent discloses and claims systems and methods for performing this speed sensitive color component correlation by accounting for the speed selected by the operator of the scanner.

The '635 patent discloses and claims performing scanning operations in two steps, a low resolution scan (preview scan) followed by a high resolution scan (final scan).

Hewlett filed suit on February 26, 1999, alleging infringement by Mustek of five [1318]*1318patents assigned to Hewlett. Of those five patents only the '878 and '635 remain on appeal, the claims and counterclaims associated with the other patents having been dismissed before trial. The issues of infringement and validity were tried to the jury. As to infringement, the jury found that Mustek literally infringed claims 1-8 of the '635 patent and claims 1, 4, 7-10, and 13 of the '878 patent. The jury did not address infringement under the doctrine of equivalents. Having found literal infringement, the jury did not mark either “yes” or “no” on the special verdict form as to that theory of infringement.

As to validity, the jury found that Mus-tek proved by clear and convincing evidence that claim 1 of the '635 patent was invalid based on U.S. Patent No. 4,631,599 to Cawkell (“Cawkell”) and that claims 1-8 of the '635 patent were “obvious in view of the prior art.” The jury rejected the remainder of Mustek’s invalidity arguments, finding the asserted claims of the '878 patent not invalid. The jury found that Mustek’s infringement of the '878 patent was not willful and granted $2,330,606 in lost profits damages and $638,500 in reasonable royalty damages.

On April 29, 2002, the district court declined to set aside the jury verdicts of infringement and invalidity. Although the jury had not addressed the issue of infringement under the doctrine of equivalents with respect to the claims of the '878 patent, and Hewlett’s motion had not requested judgment as a matter of law (JMOL) on this issue, the court granted JMOL of infringement under the doctrine of equivalents as to claims 1, 4, 7, 8-10, and 13 of the '878 patent. Order Re: Post-Trial Motions at 13-18. Finally, the court granted JMOL in favor of Mustek on the issue of damages, finding that the amount awarded by the jury was not supported by substantial evidence and that there was no basis for a new trial on damages. Id. at 18-24. Also on April 29, 2002, the district court issued a permanent injunction against Mustek. Hewlett-Packard Co. v. Mustek Sys., Inc., No. 99-CV-0351 (S.D.Cal. Apr. 26, 2002) (“Permanent Injunction ”). On May 22, 2002, the district court issued an order correcting the permanent injunction and JMOL order, holding claims 10 and 13 of the '878 patent invalid. Hewlett-Packard Co. v. Mustek Sys., Inc., No. 99-CV-0351 (S.D.Cal. May 22, 2002) (“Order Granting Defendants’ Application to Correct Injunction and JMOL Order”). Mustek filed a timely appeal of the final judgment. Hewlett filed a timely cross-appeal. We have jurisdiction over the appeal and the cross-appeal under 28 U.S.C. § 1295(a)(1).1

DISCUSSION

We review the grant or denial of JMOL without deference by reapplying the JMOL standard of the district court. Rambus Inc. v. Infineon Techs. Ag, 318 F.3d 1081, 1086 (Fed.Cir.2003). We review the denial of a motion for a new trial for an abuse of discretion. Electro Sci. Indus, v. Gen. Scanning, Inc., 247 F.3d 1341, 1349 (Fed.Cir.2001). We review the jury’s factual determinations for substantial evidence. Union Carbide Chems. & Plastics Tech. Corp. v. Shell Oil Co., 308 F.3d 1167, 1177 (Fed.Cir.2002). We re[1319]*1319view issues of claim construction without deference. Cybor Corp. v. FAS Techs., Inc., 138 F.3d 1448, 1456 (Fed.Cir.1998) (en banc). We review “[the] jury’s conclusions on obviousness, a question of law, without deference, and the underlying findings of fact, whether explicit or implicit within the verdict, for substantial evidence.” LNP Eng’g Plastics, Inc. v. Miller Waste Mills, Inc., 275 F.3d 1347, 1353 (Fed.Cir.2001).

I

On the main appeal the issue is whether the jury verdict of literal infringement of claims 1, 4, and 7-9 of the '878 patent is supported by substantial evidence. We hold that it was not, and that JMOL should have been granted in favor of Mus-tek.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Cite This Page — Counsel Stack

Bluebook (online)
340 F.3d 1314, 2003 WL 21804808, Counsel Stack Legal Research, https://law.counselstack.com/opinion/hewlett-packard-company-plaintiff-cross-v-mustek-systems-inc-and-cafc-2003.