Husky Injection Molding Systems Ltd. v. Athena Automation Ltd.

838 F.3d 1236, 120 U.S.P.Q. 2d (BNA) 1324, 2016 U.S. App. LEXIS 17373, 2016 WL 5335500
CourtCourt of Appeals for the Federal Circuit
DecidedSeptember 23, 2016
Docket2015-1726; 2015-1727
StatusPublished
Cited by13 cases

This text of 838 F.3d 1236 (Husky Injection Molding Systems Ltd. v. Athena Automation Ltd.) 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
Husky Injection Molding Systems Ltd. v. Athena Automation Ltd., 838 F.3d 1236, 120 U.S.P.Q. 2d (BNA) 1324, 2016 U.S. App. LEXIS 17373, 2016 WL 5335500 (Fed. Cir. 2016).

Opinions

Opinion concurring in part and dissenting in part filed by Circuit Judge PLAGER.

LOURIE, Circuit Judge.

Husky Injection Molding Systems Ltd. (“Husky”) appeals from the U.S. Patent and Trademark Office Patent Trial and Appeal Board’s (“the Board”) inter partes review decision finding claims 1, 4-16, 18, and 20-22 of U.S. Patent 7,670,536 (“the ’536 patent”) anticipated. Athena Automation Ltd. v. Husky Injection Molding Sys. Ltd., No. 201300290, 2014 WL 5454543, at *23 (P.T.A.B. Oct. 23, 2014) (“Final Written Decision”). Athena Automation Ltd. (“Athena”) cross-appeals from the Board’s decision finding claims 2, 3,17, and 19 of the ’536 patent not anticipated. Athena Automation Ltd. v. Husky Injection Molding Sys. Ltd., No. 2013-00290 (P.T.A.B. Feb. 23, 2015) (decision on rehearing); see Joint App. (“J.A.”) 56-65. For the reasons that follow, we dismiss [1239]*1239Husky’s appeal for lack of jurisdiction; we vacate the Board’s decision on incorporation by reference and its finding of no anticipation with respect to claims 2, 3, 17, and 19; and we remand for further consideration of those latter claims.

BACKGROUND

The ’536 patent discloses a molding machine having a clamp assembly comprising, inter alia, a stationary platen 120, a movable platen 122, tie bars 121, tie bar locks 130 that couple the tie bars to the movable platen, and clamp actuators 128 that supply a clamping force to the tie bars. ’536 patent col. 8 1. 58-col. 9 1. 46. Figure 2a, reproduced below, depicts the clamp assembly.

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Id. fig.2a. When the two platens, each attached to a mold support structure, 124, 126, are brought together, a mold cavity is created “in which a molded article may be molded ... once the extruder 104 injects, under pressure, the injectable molding material into the mold cavity.” Id. col. 9 11. 6-10; id. col. 911. 20-24.

The claims of the ’536 patent specifically recite a lock and a method for using that lock to couple the tie bars 121 to the movable platen 122.1 Id. col. 9 11. 29-31. [1240]*1240The lock has two interlocking components, one associated with the tie bar (lock member 510) and one with the platen (complementary lock member 512). Id. col. 11 11. 55-58; id. col. 11 1. 67-col. 12 1. 3. The complementary lock member 512 comprises a sleeve 230 rotatably mounted to a bore (hole) in the corner of the movable platen, which receives tie rod 121 and its lock member 510. Id, col. 12 11. 6-21. The two lock members engage, and the teeth of each lock member align, when sleeve 230 is rotated. Id. As shown below, Figure 5b reflects the unlockable condition, and Figure 6b reflects the lockable condition.

Id. fíg.5b, fig.6b. Once the two lock members engage, the clamp on the stationary platen applies a clamping force, locking the two platens together and assembling the mold. Id., col. 13 11,12-21.

Husky’s former owner and president (“Schad”) is also a co-inventor of the ’536 patent. In 2007, Schad assigned the ’536 patent to Husky. Shortly thereafter, Schad sold Husky to a private equity group, and left to form Athena. In 2012, Athena filed a petition for inter partes review at the Board, challenging the patentability of all 22 claims in the ’536 patent. Athena asserted, inter alia, that various claims of the ’536 patent were anticipated either by U.S. Patent Application 2004/0208950 (“Glaesener”) in combination with its incorporation by reference of U.S. Patent 5,753,153 (“Choi”) (together, “Glaesener/Chói”), or by U.S. Patent 5,417,913 (“Arend”).

Husky filed a preliminary response, arguing only that assignor estoppel barred [1241]*1241Athena from filing a petition for review. The Board rejected that argument and instituted review. Athena Automation Ltd. v. Husky Injection Molding Sys. Ltd., No. 201300290, 2013 WL 8595976, at *2, *7 (P.T.A.B. Oct. 25, 2013) (“Institution Decision”). It first reasoned that the equitable doctrine, “a defense to certain claims of patent infringement,” id. at *7 (quoting Semiconductor Energy Lab. Co. v. Nagata, 706 F.3d 1365, 1369 (Fed. Cir. 2013)), does not provide for an exception to the otherwise broad statutory mandate that “a person who is not the owner of a patent may file with the Office a petition to institute an inter partes review of the patent,” 35 U.S.C. § 311. The Board further found a comparison to 17 U.S.C. § 1337(c) instructive, in that Congress provided for “all legal and equitable defenses” in an ITC investigation, but not in inter partes review. Institution Decision at *7.

In 2014, the Board issued its final written decision. It found that claims 1, 4-16, 18, and 20-22 were anticipated by Arend, Final Written Decision at *23, and that claims 2, 3,17, and 19 were not anticipated by Glaesenet/Choi, id. at *16-17. With respect to the latter, the Board declined to address whether two paragraphs in Glae-sener incorporate Choi by'reference,2 instead finding that even assuming sufficient incorporation, the reference combination still fails to teach the recited limitations “in the same form and order as listed in the claims.” Id. at *16. Notably, the Board found that Athena failed to explain what Glaesener incorporates from Choi, much less how Choi’s clamping device would secure the components of Glaesener’s molding machine. Id. at *17.

Athena requested rehearing of the final decision, and the Board granted the request in part. J.A. 64. In doing so, the Board expressly addressed incorporation by reference, and found that Athena failed to show that Glaesener incorporates any portion of Choi for purposes of anticipation. Specifically, it reasoned that Athena submitted no evidence or explanation supporting what a skilled artisan would understand the “pineapple and toothed-ring mechanism” in Choi to be, J.A. 60, nor were Choi and Glaesener clear as to what was meant to be incorporated, J.A. 62. For that reason only, the Board reaffirmed its finding that Athena failed to prove anticipation of claims 2, 3,17, and 19. J.A. 63-64.

Husky timely appealed from the Board’s decision with respect to claims 1, 4-16, 18, and 20-22; Athena timely cross-appealed from the Board’s decision with respect to claims 2, 3, 17, and 19. We have jurisdiction to review the Board’s final decision under 28 U.S.C. § 1295(a)(4)(A). .

Discussion

I. Husky's Appeal

Husky’s appeal focuses exclusively on whether assignor estoppel may bar a party from filing a petition for inter partes review at the Patent and Trademark Office. Husky contends that Athena is in privity with Schad, the assignor of the ’536 patent, and, as such, is estopped from challenging the claims of the ’536 patent. Accordingly, Husky continues, the Board acted outside of its-statutory authority when it instituted review and found claims 1, 4-16, 18, and 20-22 unpatentable as anticipated.

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838 F.3d 1236, 120 U.S.P.Q. 2d (BNA) 1324, 2016 U.S. App. LEXIS 17373, 2016 WL 5335500, Counsel Stack Legal Research, https://law.counselstack.com/opinion/husky-injection-molding-systems-ltd-v-athena-automation-ltd-cafc-2016.