Micro Chemical, Inc. v. Great Plains Chemical Co.

900 F. Supp. 1386, 1995 U.S. Dist. LEXIS 13115, 1995 WL 530086
CourtDistrict Court, D. Colorado
DecidedJuly 21, 1995
DocketCiv. A. 88-Z-499
StatusPublished
Cited by5 cases

This text of 900 F. Supp. 1386 (Micro Chemical, Inc. v. Great Plains Chemical Co.) is published on Counsel Stack Legal Research, covering District Court, D. Colorado primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Micro Chemical, Inc. v. Great Plains Chemical Co., 900 F. Supp. 1386, 1995 U.S. Dist. LEXIS 13115, 1995 WL 530086 (D. Colo. 1995).

Opinion

FINDINGS OF FACT, CONCLUSIONS OF LAW, AND ORDER

WEINSHIENK, District Judge.

This matter came before the Court on a suit for patent infringement brought pursuant to 35 U.S.C. §§ 1-307. The Court has subject matter jurisdiction under 28 U.S.C. § 1331 and § 1338(a), as well as in personam jurisdiction over the parties. Venue in this judicial district is provided by 28 U.S.C. §§ 1391(c) and 1400(b). Plaintiff, Micro *1391 Chemical, Inc. (MCI), charged defendants Lextron, Inc., Great Plains Chemical Co., Inc., and Robert C. Hummel with infringing the patent-in-suit, U.S. Patent No. 4,733,971 (’971 Patent), entitled “Programmable Weight Sensitive Microingredient Feed Additive Delivery System and Method,” which issued on March 29, 1988. MCI amended its complaint to add unfair competition claims under Colorado law.

Defendants denied plaintiffs allegations, and asserted counterclaims charging MCI and William Pratt with unfair competition, misappropriation of trade secrets, and violations of the antitrust laws. Defendants also requested a declaratory judgment that all claims of the ’971 Patent are invalid, noninfr-inged, and unenforceable due to plaintiffs inequitable conduct before the United States Patent and Trademark Office (Patent Office). Finally, defendants assert that this action should be deemed an exceptional case pursuant to 35 U.S.C. § 285, warranting the award of attorneys’ fees.

Prior to the trial, the parties agreed to dismiss the unfair competition claims against each other. (Second Stipulated Pretrial Order at 2-3.) During the trial, the issues of damages and defendants’ antitrust counterclaims were bifurcated, and the case proceeded to trial to the Court solely on the issues of patent validity, infringement, inequitable conduct and exceptional ease status.

Having considered all the evidence and arguments presented at trial, the Court now makes the following Findings of Fact, Conclusions of Law, and Order.

FACTUAL BACKGROUND

1.MCI, a Texas corporation based in Amarillo, Texas, sells microingredient feed additives, such as vitamins and antibiotics, to large cattle feedlots. MCI provides to its customers, at no charge, machines which both measure the amounts of the microingre-dient feed additives and mix those ingredients with a liquid carrier to create a slurry. The slurry is then sprayed onto and mixed into a cattle feed ration before the feed is given to the cattle. William Pratt is the founder and president of MCI, and is the named inventor on the ’971 Patent. (Ex. 1).

2. Defendants Lextron, Inc. and Great Plains Chemical Co, Inc., are from Greeley, Colorado. Though two names are used in the caption, they are a single Colorado corporation; the name was changed from Great Plains to Lextron in 1986. The name Lex-tron is used in this Order to refer to both entities collectively. Lextron competes with MCI in microingredients sales. Lextron also provides its customers with machines for measuring the microingredients, at no charge. Lextron’s microingredients are also made into a slurry which is applied to a cattle feed ration prior to delivering the feed to the cattle. Defendant Robert C. Hummel is the founder and president of Lextron.

FINDINGS OF FACT

I. THE CATTLE FEEDLOT BUSINESS

3. Cattle typically are kept for about four or five months at a feedlot before being sent to slaughter. In a feedlot, a steer normally consumes approximately 25 lbs. of feed each day, resulting in a weight gain of about 3 lbs. per day. Microingredients are added to feed to promote growth and prevent sickness in the cattle.

4. Typically, feed is prepared in large 8,000 pound batches, which are composed of 7,500 pounds grain and roughage, 420 pounds protein and mineral supplements, and approximately 80 pounds of microingredients and their liquid carrier, most of which is water.

5. To prepare a batch of feed, the grain and roughage are often loaded by a front-end loader into a truck equipped with an auger to mix the feed. Also, the truck normally is equipped with a scale so that individual ingredients can be weighed as they are added to the truck.

6. After the major feed components are in the truck, the supplements are added and mixed into the feed ration by an auger in the truck.

7. After addition of all ingredients, including microingredients, the feed is further mixed in the truck for between one and four minutes as the truck is driven to the cattle pens. A trough, called a bunk, runs along the length of each pen. The feed is delivered *1392 into the bunk by a chute from the truck as it drives along next to the bunk.

8. Mieroingredients typically are added to feed in one of three ways, which have not changed since the 1970’s. The most commonly used method is for the feedlot to purchase premixed protein supplements containing the desired mieroingredients. Measured amounts of the supplements are mixed into the feed ration along with the other ingredients.

9. The second method of adding mieroin-gredients is known as the “top dress” method. A bag containing mieroingredients is opened and the contents are spread directly onto the feed in the bunks. The mieroingre-dients applied this way are in a more concentrated form than they are in the protein supplements.

10. The third method of adding mieroin-gredients to feed is to use a microingredient feed additive machine. These machines measure predetermined amounts of concentrated mieroingredients, either by volume or by weight. Some machines deliver the mieroin-gredients in dry form to the feed in the truck. Most machines are equipped to create a slurry of mieroingredients in a liquid carrier, usually water, which is then pumped out of a receiving tank and sprayed onto the feed and mixed into the batch of feed by the mixer in the truck.

11. One of the advantages of a microin-gredient additive machine is that it allows the nutritionist to custom formulate the rations given to each group of animals and to make adjustments in the formula, as needed, to maximize growth.

II. THE ’971 PATENT

12. William Pratt invented the subject matter of the ’971 Patent, and MCI is the owner by assignment of that patent. (Ex. 1.)

13. The ’971 Patent claims a programmable weight sensitive feed additive system and method. The Patent Office granted 94 claims on various aspects and combinations of MCI’s weigh machine and weighing method inventions in the ’971 Patent.

14.

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900 F. Supp. 1386, 1995 U.S. Dist. LEXIS 13115, 1995 WL 530086, Counsel Stack Legal Research, https://law.counselstack.com/opinion/micro-chemical-inc-v-great-plains-chemical-co-cod-1995.