MONTEREY RESEARCH, LLC v. Renesas Electronics Corporation

CourtDistrict Court, E.D. Texas
DecidedDecember 4, 2024
Docket2:24-cv-00238
StatusUnknown

This text of MONTEREY RESEARCH, LLC v. Renesas Electronics Corporation (MONTEREY RESEARCH, LLC v. Renesas Electronics Corporation) is published on Counsel Stack Legal Research, covering District Court, E.D. Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
MONTEREY RESEARCH, LLC v. Renesas Electronics Corporation, (E.D. Tex. 2024).

Opinion

IN THE UNITED STATES DISTRICT COURT FOR THE EASTERN DISTRICT OF TEXAS MARSHALL DIVISION

MONTEREY RESEARCH, LLC, § §

§ Plaintiff, §

§ v. § CIVIL ACTION NO. 2:24-CV-00238-JRG

§ RENESAS ELECTRONICS § CORPORATION, DENSO § CORPORATION, DENSO § INTERNATIONAL AMERICA, INC., § § Defendants. § §

MEMORANDUM OPINION AND ORDER Before the Court is the Motion to Dismiss Complaint Pursuant to Rule 12(b)(6) (the “Motion”) filed by Defendants DENSO Corporation and DENSO International America, Inc. (collectively “DENSO”). (Dkt. No. 16.) Having considered the Motion and related briefing, the Court finds that it should be and hereby is GRANTED-IN-PART and DENIED-IN-PART. I. BACKGROUND On April 10, 2024, Plaintiff Monterey Research, LLC (“Plaintiff”) filed a patent infringement complaint against Defendants Renesas Electronics Corporation (“Renesas”) and DENSO. (Dkt. No. 1.) The Complaint alleges infringement of U.S. Patent Nos. 6,243,300 (the “’300 Patent”); 7,679,968 (the “’968 Patent”); 7,089,133 (the “’133 Patent”); and 7,825,688 (the “’688 Patent”) (collectively, the “Asserted Patents”). (Id.) The Complaint alleges that Renesas and DENSO directly, indirectly, and willfully infringe the Asserted Patents. (See generally id.) On August 1, 2024, DENSO filed the Motion. (Dkt. No. 16.) In the Motion, DENSO requests that the Court dismiss Plaintiff’s infringement claims—direct, induced, contributory, and willful—under Rule 12(b)(6). (Id. at 1.) II. LEGAL STANDARD Under the Federal Rules of Civil Procedure, a complaint must include “a short and plain statement of the claim showing that the pleader is entitled to relief.” Fed. R. Civ. P. 8(a)(2). A

Court can dismiss a complaint that fails to meet this standard. Fed. R. Civ. P. 12(b)(6). To survive dismissal at the pleading stage, a complaint must state enough facts such that the claim to relief is plausible on its face. Thompson v. City of Waco, 764 F.3d 500, 502 (5th Cir. 2014) (quoting Bell Atl. Corp. v. Twombly, 550 U.S. 544, 570 (2007)). “A claim has facial plausibility when the plaintiff pleads factual content that allows the court to draw the reasonable inference that the defendant is liable for the misconduct alleged.” Ashcroft v. Iqbal, 556 U.S. 662, 678 (2009). The Court accepts well-pleaded facts as true and views all facts in the light most favorable to the plaintiff, but the Court is not required to accept the plaintiff’s legal conclusions as true. Id. In the Fifth Circuit, motions to dismiss under Rule 12(b)(6) are viewed with disfavor and are rarely granted. Lormand v. US Unwired, Inc., 565 F.3d 228, 232 (5th Cir. 2009). In determining

a motion to dismiss, “[t]he court may consider ‘the complaint, any documents attached to the complaint, and any documents attached to the motion to dismiss that are central to the claim and referenced by the complaint.’” Script Sec. Sols. L.L.C. v. Amazon.com, Inc., 170 F. Supp. 3d 928, 935 (E.D. Tex. 2016) (quoting Lone Star Fund V (U.S.) L.P. v. Barclays Bank PLC, 594 F.3d 383, 387 (5th Cir. 2010)). To be legally sufficient, the complaint must establish more than a “sheer possibility” that the plaintiff’s claims are true. Iqbal, 556 U.S. at 678. The complaint must contain enough factual allegations to raise a reasonable expectation that discovery will reveal evidence of each element of the plaintiff’s claim. Lormand, 565 F.3d at 255-57. In the context of patent infringement, a complaint must place the alleged infringer on notice of what activity is being accused of infringement. Lifetime Indus., Inc. v. Trim-Lok, Inc., 869 F.3d 1372, 1379 (Fed. Cir. 2017). However, the plaintiff is not required to prove its case at the pleading stage. Id. III. ANALYSIS

A. Plaintiff’s Direct Infringement Claims DENSO argues that Plaintiff does not properly identify any DENSO-specific accused products. (Dkt. No. 16 at 6.) DENSO also argues that Plaintiff does not adequately allege how any DENSO-specific accused product practices each limitation of the asserted method claims. (Id.) Plaintiff responds that it need not identify a DENSO-specific accused product or “plead every allegation against DENSO separately.” (Dkt. No. 23 at 2-3.) Plaintiff asserts that it need only plead “facts sufficient to place DENSO on notice as to what he must defend.” (Id. at 2 (cleaned up).) Plaintiff argues that the Complaint alleges that the DENSO-specific accused products are “products that DENSO makes, sells, offers for sale, and/or are used in the United States that incorporate infringing Renesas products.” (Id. at 3 (citing Dkt. No. 1 ¶¶ 3, 8, 22, 25, 29, 40, 52,

64).) The Complaint identifies exemplary infringing Renesas products. (Id. (citing Dkt. No. 1 ¶¶ 29, 40, 52, 64-65).) Regarding the method claims, Plaintiff argues that the Complaint contains allegations of “use” for the method claims. (Id. at 6 (citing Dkt. No. 1 ¶ 29).) DENSO’s reply reiterates that the Complaint fails to identify any DENSO-specific accused products. (Dkt. No. 24 at 1-2.) DENSO also argues that “as a Renesas customer, DENSO has no involvement with the accused circuitry or methods at the level claimed in the patents in suit, and it should not be left to DENSO . . . to figure out whether or how DENSO’s acts or knowledge support a direct infringement claim.” (Id. at 2.) The Court finds that Plaintiff adequately identifies the DENSO accused products. Although most patent infringement complaints identify a specific end product by name or number, DENSO points to no authority requiring Plaintiff to do so at the pleading stage. Here, Plaintiff identifies by name the allegedly infringing Renesas components and alleges that DENSO integrates these components into its products that infringe the Asserted Patents. (Dkt. No. 1 ¶¶ 3, 8, 22, 25, 29, 40,

52, 64-65.) This is sufficient, at the pleading stage, to identify the Accused Products and put DENSO on notice of what to defend against. The cases DENSO relies on to support the proposition that Plaintiff’s “allegations are too vague, conclusory, and devoid of alleged facts to support a claim of direct infringement” are inapposite. (Dkt. No. 16 at 6.) In Nalco Co. v. Chem-Mod, the Federal Circuit reaffirmed that “the Federal Rules of Civil Procedure do not require a plaintiff to plead facts establishing that each element of an asserted claim is met” and that a plaintiff need not “prove its case at the pleading stage.” 883 F.3d 1337, 1350 (Fed. Cir. 2018) (cleaned up). Further, in Nalco, the defendants did “not seem to challenge that [the plaintiff] met the notice requirement of FRCP Rule 8 or the pleading standard required under Twombly and Iqbal.” Id. at 1347. The defendants instead argued

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Bluebook (online)
MONTEREY RESEARCH, LLC v. Renesas Electronics Corporation, Counsel Stack Legal Research, https://law.counselstack.com/opinion/monterey-research-llc-v-renesas-electronics-corporation-txed-2024.