Joy Technologies, Inc., and A/s Niro Atomizer, Involuntary v. Flakt, Inc.

6 F.3d 770, 28 U.S.P.Q. 2d (BNA) 1378, 1993 U.S. App. LEXIS 26020, 1993 WL 392142
CourtCourt of Appeals for the Federal Circuit
DecidedOctober 6, 1993
Docket92-1405
StatusPublished
Cited by254 cases

This text of 6 F.3d 770 (Joy Technologies, Inc., and A/s Niro Atomizer, Involuntary v. Flakt, 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
Joy Technologies, Inc., and A/s Niro Atomizer, Involuntary v. Flakt, Inc., 6 F.3d 770, 28 U.S.P.Q. 2d (BNA) 1378, 1993 U.S. App. LEXIS 26020, 1993 WL 392142 (Fed. Cir. 1993).

Opinion

NIES, Chief Judge.

Flakt, Inc., brings an interlocutory appeal for review of the scope of an injunction entered by the United States District Court for the District of Delaware dated May 29, 1992, in Civil Action No. 89-533-JJF, brought by Joy Technologies, Inc., for infringement of U.S. Patent No. 4,279,873 (the ’873 patent). This court stayed the injunction pending issuance of this decision. The stay of the injunction is vacated. The injunction is vacated and this aspect of the case is remanded to the district court with instructions to issue an injunction of a scope which conforms to this decision.

I.

BACKGROUND

Judgment was entered by the district court against Flakt for infringement of various claims of the ’873 patent. All of the claims in the ’873 patent are method claims directed to an improved process for desulfur-izing flue gas produced from the combustion of fuels which contain sulfur, such as coal. The particular method claimed in the ’873 patent includes the partial recycle of calcium hydroxide used in the desulfurization process. Both Joy and Flakt are in the business of designing and building flue gas desulfuri-zation (FGD) plants throughout the United States for use in conjunction with industrial plants, such as power plants for production of electricity. 1

In response to Joy’s post-trial motion, the district court entered an order which states in its entirety, “[F]or the reasons set forth in the Memorandum Opinion issued this date *772 [May 29,1992], IT IS HEREBY ORDERED that [Joy’s] Motion for Permanent Injunction is GRANTED as detailed in the Memorandum Opinion.” In the May 29, 1992, memorandum opinion, the district court discussed enjoining Flakt from further direct infringement, contributory infringement and inducement of infringement and spelled out that this meant Flakt was precluded from entering into any contracts during the term of the ’873 patent for the sale or construction of any air pollution control system designed to carry out the patented process. The sole issue respecting the scope of the injunction was framed by the district court as follows:

The critical question is whether sale and production of a machine/system capable of carrying out the patented process which requires five years to construct is considered contributory infringement when there will be no direct infringement, i.e. use of the machine/system, within the ‘patent term.

(Emphasis added.)

II.

FORM OF THE INJUNCTION

The injunction issued by the district court does not conform to Fed.R.Civ.P. 65(d) (1993) 2 in that the order granting the injunction and the prohibitions set out in the memorandum opinion are not in a single document. While the parties address the form of the injunction only peripherally, this defect would require vacating and remanding the injunctive order for compliance as to form and specificity. Additive Controls and Measurement Sys. v. Flowdata, Inc., 986 F.2d 476, 25 USPQ2d 1798 (Fed.Cir.1993). It is, however, evident that the district court intended to and, the parties agree, did enjoin Flakt from bidding or entering contracts or building a plant which will not be capable of carrying out the desulfurization/recycle process of the ’873 patent until after the patent expires on July 21, 1998. This prohibition is the main issue of the appeal.

III.

STANDARD OF REVIEW

While the right to exclude is the essence of the concept of property, 3 district courts are, nevertheless, given broad discretion under 35 U.S.C. § 283 (1988) 4 to determine whether the facts of a case warrant the grant of an injunction and to determine the scope of the injunction. Ortho Pharmaceutical Corp. v. Smith, 959 F.2d 936, 945, 22 USPQ2d 1119, 1127 (Fed.Cir.1992). Accordingly, we review a district court’s decision to grant an injunction and the scope of that injunction for abuse of discretion. Id. An abuse of discretion may be established by showing that the district court either made a clear error of judgment in weighing relevant factors, or exercised its discretion based on an error of law or on findings which were clearly erroneous. A.C. Aukerman Co. v. R.L. Chaides Constr. Co., 960 F.2d 1020, 1039, 22 USPQ2d 1321, 1333 (Fed.Cir.1992); Seattle Box Co. v. Industrial Crating & Packing Inc., 756 F.2d 1574, 1581, 225 USPQ 357, 363 (Fed.Cir.1985).

In addition to committing the grant of an injunction to a district court’s discretion, section 283 requires that the purpose behind the injunction must be “to prevent the violation of any right secured by patent.” 35 U.S.C. § 283. See also Eli Lilly and Co. v. Medtronic, Inc., 915 F.2d 670, 674, 16 USPQ2d 2020, 2024 (Fed.Cir.1990) (“[A]n injunction is only proper to the extent it is ‘to *773 prevent the violation of any right secured by patent.’”). An injunction for infringement may not be punitive. Amstar Corp. v. Envirotech Corp., 823 F.2d 1538, 1549, 3 USPQ2d 1412, 1420 (Fed.Cir.1987) (“Punishment is not the purpose of an injunction....”).

On appeal, Flakt argues that the injunction enjoins Flakt from performing acts which do not violate Joy’s rights secured by the ’873 patent. Joy responds that the broad scope of the injunction is necessary to protect it from infringement by Flakt and threatened infringement by others. Joy further argues that “duplicitous” conduct by Flakt provided the district court with justification for granting a broad injunction.

IV.

SCOPE OF INJUNCTION

A.

Sales by Flakt of Equipment Do Not Constitute Direct Infringement of the Method Patent

A utility patent grants to the patentee the right to exclude others from making, using, or selling the patented invention throughout the United States for the seventeen year term of the patent. 35 U.S.C. § 154 (1988). Notwithstanding various defenses to patent infringement which are not applicable to the present appeal, “whoever without authority makes, uses or sells any patented invention, within the United States during the term of the patent therefor, infringes the patent.” 35 U.S.C. § 271(a) (1988).

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6 F.3d 770, 28 U.S.P.Q. 2d (BNA) 1378, 1993 U.S. App. LEXIS 26020, 1993 WL 392142, Counsel Stack Legal Research, https://law.counselstack.com/opinion/joy-technologies-inc-and-as-niro-atomizer-involuntary-v-flakt-inc-cafc-1993.