Ollnova Technologies Ltd. v. Ecobee Technologies Ulc

CourtCourt of Appeals for the Federal Circuit
DecidedJune 4, 2026
Docket25-1045
StatusPublished

This text of Ollnova Technologies Ltd. v. Ecobee Technologies Ulc (Ollnova Technologies Ltd. v. Ecobee Technologies Ulc) 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
Ollnova Technologies Ltd. v. Ecobee Technologies Ulc, (Fed. Cir. 2026).

Opinion

Case: 25-1045 Document: 78 Page: 1 Filed: 06/04/2026

United States Court of Appeals for the Federal Circuit ______________________

OLLNOVA TECHNOLOGIES LTD., Plaintiff-Appellant

v.

ECOBEE TECHNOLOGIES ULC, DBA ECOBEE, Defendant-Cross-Appellant ______________________

2025-1045, 2025-1046 ______________________

Appeals from the United States District Court for the Eastern District of Texas in No. 2:22-cv-00072-JRG, Judge J. Rodney Gilstrap. ______________________

Decided: June 4, 2026 ______________________

LUCAS M. WALKER, MoloLamken LLP, Washington, DC, argued for plaintiff-appellant. Also represented by ROBERT AUCHTER, Auchter PLLC, Washington, DC; BRETT E. COOPER, BC Law Group, PC, New York, NY.

MICHAEL P. SANDONATO, Venable LLP, Los Angeles, CA, argued for defendant-cross-appellant. Also repre- sented by MANNY CAIXEIRO; JOSHUA DANIEL CALABRO, New York, NY; JASON M. DORSKY, MEGAN S. WOODWORTH, Washington, DC. ______________________ Case: 25-1045 Document: 78 Page: 2 Filed: 06/04/2026

Before CHEN, CUNNINGHAM, and STARK, Circuit Judges. CHEN, Circuit Judge. Ollnova Technologies Ltd. (Ollnova) sued ecobee Tech- nologies ULC d/b/a ecobee (ecobee) for patent infringement in the United States District Court for the Eastern District of Texas. Ollnova asserted U.S. Patent Nos. 7,860,495 (’495 patent), 8,264,371 (’371 patent), 7,746,887 (’887 pa- tent), and 8,224,282 (’282 patent) (collectively, the Asserted Patents). The Asserted Patents are directed to improve- ments in wireless communications used in building auto- mation systems. Ollnova contends that ecobee’s smart thermostat products infringe the Asserted Patents. The jury returned a verdict that (i) found ecobee in- fringed at least one of the Asserted Patents (but without identifying which patent or patents); (ii) found the ’495 pa- tent’s asserted claims were not directed only to “well-un- derstood, routine, and conventional” technology; (iii) found the ’282 patent’s asserted claims were invalid; and (iv) awarded Ollnova lump sum damages of $11.5 million cov- ering the life of the patents. ecobee appeals the district court’s (1) denial of ecobee’s motion for a new trial based on the allegedly flawed jury instruction and verdict form as to ecobee’s challenge to the ’495 patent’s validity under 35 U.S.C. § 101; (2) denial of ecobee’s motion for judgment as a matter of law that the ’495 patent’s asserted claims are invalid under 35 U.S.C. § 101; (3) denial of ecobee’s motions to dismiss under 35 U.S.C. § 101 for the ’887 and ’371 patents; (4) denial of ecobee’s motion for judgment as a matter of law concerning non-infringement of the ’371 patent; (5) denial of ecobee’s motion for a new trial due to the verdict form’s inclusion of a single question covering infringement for all the Asserted Patents; and (6) denial of ecobee’s Daubert motions to ex- clude expert testimony related to damages and its marking defense. Ollnova appeals the district court’s order that Case: 25-1045 Document: 78 Page: 3 Filed: 06/04/2026

OLLNOVA TECHNOLOGIES LTD. v. ECOBEE TECHNOLOGIES ULC 3

prejudgment interest is limited to the time period allowed under 35 U.S.C. § 286. For the reasons below, we vacate the infringement and damages judgments and remand for proceedings consistent with this opinion, including a new trial on infringement and damages. We vacate and remand for further proceed- ings under Alice step two of the 35 U.S.C. § 101 analysis as to the ’495 patent. We affirm the district court’s determi- nations that the asserted claims of the ’887 and ’371 pa- tents are not directed to an abstract idea under 35 U.S.C. § 101. We also affirm the district court’s denial of ecobee’s motion for judgment as a matter of law concerning non-in- fringement of the ’371 patent. Because we vacate the dam- ages judgment, we do not reach ecobee’s remaining arguments regarding its Daubert motions on damages and marking or Ollnova’s arguments regarding prejudgment interest. BACKGROUND I. Technological Background This dispute relates to patents directed to improve- ments in a building automation system (BAS). According to the patent specifications, a BAS is an integrated system of components that automates a process control within a building or facility. See, e.g., ’887 patent, col. 1 ll. 6–19. The components include, for example, controllers, sensors, alarms, and air handling units configured to manage heat- ing, ventilation, air conditioning (HVAC), air quality, and fire prevention throughout the individual floors of a build- ing. Id. col. 1 ll. 11–17. The components may operate to- gether to detect events, sense conditions, respond to detected events or changes in conditions, and/or control op- eration of connected devices. Id. col. 1 ll. 20–22. For example, a temperature sensor can detect a tem- perature reading and communicate that data to a control- ler. Id. col. 1 ll. 20–32. The controller evaluates the Case: 25-1045 Document: 78 Page: 4 Filed: 06/04/2026

reading to determine whether a responsive control action is needed, such as by comparing the reported temperature to a predetermined limit (e.g., 75°F). Id. When the thresh- old is met, the controller broadcasts control signals to an actuator to adjust airflow in the room to lower the temper- ature. Id. Traditionally, BAS components used wired communi- cations, which created substantial installation costs and expensive maintenance. ’495 patent, col. 1 ll. 38–52. To reduce these costs, the industry moved toward using wire- less networks to connect BAS components. Id. col. 1 ll. 53– 54. Wireless networks, however, introduced their own technical challenges. Limited bandwidth can constrain the number of devices connected to the system and the amount of information communicated over the system. ’887 patent, col. 1 ll. 34–46. Continuous monitoring and broadcasting by a building’s sensors also consumes large amounts of power. Id. Moreover, wireless communication systems are susceptible to communication errors and data loss. See ’371 patent, col. 8 ll. 10–25. The Asserted Patents address these technical problems by taking various steps to reduce power usage and band- width use and also implement redundancy mechanisms to mitigate data loss in the event of communications failures. The ’495 patent, titled “Wireless Building Control Ar- chitecture,” issued on December 28, 2010. It describes a BAS that utilizes two wireless networks having different associated protocols. See ’495 patent, col. 4 l. 60 – col. 5 l. 30. The patent further describes that BAS systems may be implemented using multiple tiers or architectural levels. Id. col. 1 ll. 9–15. For example, a floor-level network may provide control for a particular floor of a building and may adjust heating or cooling to regulate temperature within rooms on that floor. Id. col. 1 ll. 14–23. A building-level network integrates multiple floor-levels to provide Case: 25-1045 Document: 78 Page: 5 Filed: 06/04/2026

OLLNOVA TECHNOLOGIES LTD. v. ECOBEE TECHNOLOGIES ULC 5

coordinated control across zones within a building and may adjust centralized systems such as pumps or fans. Id. col. 1 ll. 24–28.

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