Medisim Ltd. v. Bestmed, LLC

758 F.3d 1352, 89 Fed. R. Serv. 3d 382, 111 U.S.P.Q. 2d (BNA) 1741, 2014 WL 3397220, 2014 U.S. App. LEXIS 13290
CourtCourt of Appeals for the Federal Circuit
DecidedJuly 14, 2014
Docket2013-1451
StatusPublished
Cited by7 cases

This text of 758 F.3d 1352 (Medisim Ltd. v. Bestmed, LLC) 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
Medisim Ltd. v. Bestmed, LLC, 758 F.3d 1352, 89 Fed. R. Serv. 3d 382, 111 U.S.P.Q. 2d (BNA) 1741, 2014 WL 3397220, 2014 U.S. App. LEXIS 13290 (Fed. Cir. 2014).

Opinion

PROST, Chief Judge.

Plaintiff-Appellant Medisim Ltd. (“Medisim”) appeals the grant of judgment as a matter of law (“JMOL”) by the United States District Court for the District of New York that U.S. Patent No. 7,597,668 (“'668 patent”) is anticipated by Medisim’s own prior art FHT-1 thermometer. See Medisim Ltd. v. BestMed LLC, 959 F.Supp.2d 396, 425 (S.D.N.Y.2013). It also appeals the district court’s grant of JMOL in BestMed, LLC’s (“BestMed”) favor on Medisim’s unjust enrichment claim. Id. at 426. Because BestMed failed to preserve its right to JMOL on anticipation under Federal Rule of Civil Procedure 50, we vacate the district court’s grant of JMOL on that claim. However, we affirm the district court’s grant of JMOL on Medi-sim’s unjust enrichment claim and its conditional grant of a new trial on anticipation. We remand this case for further proceedings.

*1354 I. Background

Medisim owns the '668 patent, which is directed to a fast non-invasive thermometric device that displays a core body temperature. '668 patent col. 2 11. 13-15. The claimed device is placed against an external skin surface, takes temperature readings from one or more temperature sensors, determines time-dependent parameters of temperature change responsive to those readings, and calculates a deep tissue temperature. Id. at col. 1 1. 57-col. 2 1. 5. The claimed device then calculates a core body temperature by correcting for the difference between the deep tissue temperature and the core body temperature. Id. at col. 2 11. 6-12. Claim 1 is representative: Id. at col. 10 11. 2-18. The other independent claim, 21, recites the same concept in method format. Id. at col. 11 Ill. 25-41.

1. A thermometric device, comprising: a probe, comprising:
a membrane configured to be applied to an external surface of a body of a subject; and
one or more temperature sensors located within the probe in thermal contact with the membrane; and
a processing unit configured to receive a plurality of temperature readings from the one or more temperature sensors, to determine time-dependent parameters of temperature change responsively to the plurality of temperature readings, to calculate, a deep tissue temperature of the body at a location under the skin that is a source of heat conducted to the one or more temperature sensors, and to calculate a core body temperature by correcting for a difference between the core body temperature and the deep tissue temperature.

More than a year before filing the application that eventually issued as the '668 patent, Medisim marketed and sold the FHT-1 thermometer. Therefore, Medisim’s own product qualifies as prior art to the '668 patent under 35 U.S.C. § 102(b). 1 The FHT-1 thermometer uses a heat-flux algorithm disclosed in another Medisim patent, U.S. Patent No. 6,280,397 (“'397 patent”), which covers a method of quickly estimating a local body temperature. See '397 patent col. 21. 60-col. 3 1. 6.

From November 2004 to May 2007, BestMed marketed and sold several of Medisim’s thermometers in the United States under an “International Distribution Agreement” (“IDA”). While the IDA was in effect, BestMed was privy to technical information concerning many of Medisim’s thermometers and its testing procedures, including its water bath testing protocol. This water bath testing protocol enabled Medisim’s thermometers to be approved by the Food and Drug Administration for sale in the United States.

In 2008, the parties entered into a new “Purchase and Sale Agreement” (“PSA”), which set out the terms governing the parties’ separation. The PSA authorized the parties to offer competing products to current customers as long as delivery occurred after May 1, 2009. The parties also released all claims that had arisen or might arise out of their past performance or disputes regarding the IDA.

After the expiration of the PSA, Best-Med began selling competing thermometer products made by K-Jump Health Co. Ltd.

*1355 II. Procedural History

Medisim filed suit against BestMed in the Southern District of New York on March 17, 2010, accusing BestMed, inter alia, of directly and indirectly infringing the '668 patent by selling the K-Jump thermometers and of benefitting from unjust enrichment. Before the case was submitted to the jury, both parties made several motions requesting JMOL under Federal Rule of Civil Procedure 50(a). In opposing Medisim’s motion for JMOL of no anticipation, BestMed’s counsel stated: “On ... anticipation, I submit that the jury can readily find that the FHT-1 product, Medisim’s own product, is anticipatory. There’s clear and convincing evidence, we submit, on that issue. Also [Medisim’s witnesses’] testimony supports] that position. But, again, it’s definitely something for the jury.” J.A. 4530.

In addition, BestMed expressly moved for JMOL under Rule 50(a) of no unjust enrichment at the close of Medisim’s casein-chief, generally contending that “[t]here is no evidence of unjust enrichment” and particularly challenging Medisim’s evidence on each element of the claim. J.A. 4141. The district court denied all JMOL motions, and the jury found the '668 patent to be not invalid and infringed. See Medisim 959 F.Supp.2d at 398. The jury awarded Medisim $1.2 million in patent infringement damages and $2.29 million in damages for its unjust enrichment claim. Id.

Following the jury verdict, BestMed moved for JMOL of anticipation and no unjust enrichment under Rule 50(b). Medisim 959 F.Supp.2d at 399. The district court granted those motions, overturning the verdict and finding that the asserted claims of the '668 patent are anticipated by the FHT-1 thermometer. Id. at 425. Further, the district court noted that to the extent that BestMed’s sales of the accused products occurred during the operation of the contracts between the parties (i.e., before May 1, 2009), any claim for unjust enrichment was waived by those contracts. Id. It then found that Medisim’s remaining unjust enrichment claim for any period after May 1, 2009, was not grounded in the record, as “there was no evidence to support a finding that BestMed received an incremental benefit over that compen-sable by the patent laws.” Id. at 426. The district court also granted BestMed a new trial on anticipation, “conditioned on an appellate court determining that [Best-Med] failed to preserve its right to bring a post-trial motion for JMOL.” Id. at 421.

The district court’s ruling vacated Medi-sim’s entire damages award, and Medisim has appealed to this court. We have jurisdiction pursuant to 28 U.S.C. § 1295(a)(1).

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

Related

BARRY v. DEPUY SYNTHES COMPANIES
E.D. Pennsylvania, 2023
Cap Export, LLC v. Zinus, Inc.
Federal Circuit, 2022
Avid Technology, Inc. v. Harmonic, Inc.
812 F.3d 1040 (Federal Circuit, 2016)
Takeda Pharmaceutical Co. v. TWi Pharmaceuticals, Inc.
87 F. Supp. 3d 1263 (N.D. California, 2015)
Superspeed, L.L.C. v. Google, Inc.
64 F. Supp. 3d 987 (S.D. Texas, 2014)

Cite This Page — Counsel Stack

Bluebook (online)
758 F.3d 1352, 89 Fed. R. Serv. 3d 382, 111 U.S.P.Q. 2d (BNA) 1741, 2014 WL 3397220, 2014 U.S. App. LEXIS 13290, Counsel Stack Legal Research, https://law.counselstack.com/opinion/medisim-ltd-v-bestmed-llc-cafc-2014.