Motion Offense, LLC v. Dropbox, Inc.

District Court, W.D. Texas·Decided May 12, 2023·No. 6:20-cv-00251·Unknown

Opinion

IN THE UNITED STATES DISTRICT COURT FOR THE WESTERN DISTRICT OF TEXAS WACO DIVISION DROPBOX, INC., Plaintiff/Counter- Defendant, Civil Action No. 6:20-cv-00251-ADA v. MOTION OFFENSE, LLC, Defendant/Counter- Plaintiff. MOTION OFFENSE, LLC, Plaintiff, Civil Action No. 6:21-cv-758-ADA v. DROPBOX, INC., Defendant. ORDER ADOPTING MAGISTRATE JUDGE’S REPORT AND RECOMMENDATION Before the Court is the Report and Recommendation of United States Magistrate Judge Derek T. Gilliland. ECF No. 335. The Report recommends that the Court DENY ECF Nos. 127, 193, 194, 195, 196, 197, 199, 201, 202, 203, 222, 223, 224. See id. The Report also recommends that the Court GRANT-IN-PART and DENY-IN-PART ECF Nos. 198, 200. See id. The Report and Recommendation was filed on May 2, 2023. A party may file specific, written objections to the proposed findings and recommendations of the magistrate judge within fourteen days after being served with a copy of the report and recommendation, thereby securing de novo review by the district court. 28 U.S.C. § 636(b); Fed. R.Civ. P. 72(b). A district court need not consider “[f]rivolous, conclusive, or general objections.” Battle v. U.S. Parole Comm’n, 834 F.2d 419, 421 (5th Cir. 1987) (quoting Nettles v. Wainwright, 677 F.2d 404, 410 n.8 (5th Cir. 1982) (en banc), overruled on other grounds by Douglass v. United States Auto. Ass’n, 79 F.3d 1415 (5th Cir. 1996)). Dropbox filed objections on May 9, 2023. ECF No. 343. Motion Offense filed objections

on May 9, 2023. ECF No. 344. The Court has conducted a de novo review of the motions, the report and recommendation, the objections to the report and recommendation, and the applicable laws. After that thorough review and in accordance with the Court’s rulings from the bench on May 11, 2023, the Court is persuaded that the Magistrate Judge’s findings and recommendation should be adopted and the parties’ objections overruled. Motion Offense’s Motion to Strike Dropbox, Inc.'s Inequitable Conduct Defense (ECF No. 127) was ruled on without argument and is DENIED as MOOT because it overlaps with Motion Offense's Motion for Partial Summary Judgment Against Dropbox Affirmative Defenses Not Involving Prior Art (ECF No. 198). Dropbox, Inc.'s Motion for Summary Judgment of Lack of Patent Eligibility Under 35

U.S.C. § 101 (ECF No. 193) is DENIED. The Court finds that each asserted claim, considered as a whole, is not directed to an abstract idea. Dropbox’s Sealed Motion for Partial Summary Judgment (ECF No. 194) is DENIED. Dropbox’s Sealed Motion to Exclude the Opinions of Stephen E. Dell (ECF No. 195) is DENIED. Dropbox’s Sealed Motion for Summary Judgment of Non-Infringement (ECF No. 196) is DENIED in Part as MOOT and DENIED. The doctrine of equivalents, divided/vicarious infringement, and indirect infringement portions of the Motion are DENIED as MOOT. Motion Offense has stipulated that it is not pursuing a finding of infringement under the doctrine of equivalents, divided/vicarious infringement, or indirect infringement. The remaining direct infringement portion of the Motion is DENIED. Dropbox’s Sealed Motion to Exclude the Testimony of Dr. Robert Akl (ECF No. 197) is DENIED as MOOT.

Motion Offense’s Motion for Partial Summary Judgment Against Dropbox Affirmative Defenses Not Involving Prior Art (ECF No. 198) is DENIED as MOOT in Part and GRANTED in Part. The portions of the Motion addressing the following Dropbox Affirmative Defenses are DENIED as MOOT in light of Dropbox’s stipulation that it is no longer pursuing any of these affirmative defenses at trial: Third Affirmative Defense (“Failure to Provide Notice Pursuant to 35 U.S.C. §287”), Fourth Affirmative Defense (“Waiver, Estoppel, Acquiescence, Unclean Hands, and Implied License”), Fifth Affirmative Defense (“Prosecution History Estoppel”), Ninth Affirmative Defense (“Failure to Conduct Pre-Suit Investigation”), and Tenth Affirmative Defense (“Ensnarement”). The portion of the Motion addressing Dropbox’s 11th affirmative defense (“Inequitable Conduct”) is GRANTED.

Motion Offense’s Motion to Exclude the Damages Opinions and Testimony of Robert A. Hutchins (ECF No. 199/ Corrected ECF No. 222) is DENIED. Motion Offense’s Motion to Strike New and Untimely Opinions of Phillip Gibbons' Expert Report Regarding Noninfringment of U.S. Patent Nos. 10,013,158; 10,021,052; 10,303,353; 10,613,737; 10,587,548; and 11,044,215 (ECF No. 200) is DENIED in Part and GRANTED in Part. Rulings on each limitation are in the following chart:

Patent Claim limitation Ruling ’158 Claim 3: “An apparatus, DENIED as MOOT. comprising: at least one non- Dropbox has stipulated it will transitory memory storing not rely on these paragraphs instructions; and one or more of Dr. Gibbons’ report at trial. processors in communication with the at least one non- transitory memory, wherein the one or more processors execute the instructions to:” (ECF No. 200-3. Ex. 2, ¶¶235-42). ’158 Claim 3: “receive, from the DENIED as MOOT. first node via the at least one Dropbox has stipulated it will network, an indication of at not rely on these paragraphs least one folder via the first of Dr. Gibbons’ report at trial. user interface element, utilizing the at least one first interface” (ECF No. 200-3. Ex. 2, ¶¶321-25); ’158 Claim 3: “based on the receipt DENIED as MOOT. of the indication of the at Dropbox has stipulated it will least one folder, the indicia not rely on these paragraphs associated with the at least of Dr. Gibbons’ report at trial. one email address, and the indication to share the at least one folder via the at least one network; generate at least one email message identifying the at least one folder and including a reference to the at least one folder, without including at least one file in the at least one folder as an attachment of the at least one email message” (ECF No. 200-3. Ex. 2, ¶¶366-76); ’158 Claim 3: “send, to a second DENIED as MOOT. node via the at least one Dropbox has stipulated it will network, the at least one not rely on these paragraphs email message, without of Dr. Gibbons’ report at trial. including the at least one file in the at least one folder as an attachment of the at least one email message” (ECF No. 200-3. Ex. 2, ¶¶377-87);

’158 Claim 3: “detect, at the DENIED as MOOT. second node, an indication to Dropbox has stipulated it will open the at least one file in not rely on these paragraphs the at least one folder; and” of Dr. Gibbons’ report at trial. (ECF No. 200-3. Ex. 2, ¶¶448-58); ’158 Claim 3: “in response to DENIED as MOOT. detection of the indication to Dropbox has stipulated it will open the at least one file in not rely on these paragraphs the at least one folder, cause of Dr. Gibbons’ report at trial. retrieval of the at least one file via the at least one network for permitting display of the at least one file at the second node” (ECF No. 200-3. Ex. 2, ¶¶459-66); and ’052 Claim 12: “An apparatus, DENIED as MOOT. comprising: at least one non- Dropbox has stipulated it will transitory memory storing not rely on these paragraphs instructions; and one or more of Dr. Gibbons’ report at trial. processors in communication with the at least one non- transitory memory, wherein the one or more processors execute the instructions to:” (ECF No. 200-3. Ex.

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Motion Offense, LLC v. Dropbox, Inc., (W.D. Tex. 2023).

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