PowerOasis, Inc. v. T-MOBILE USA, INC.

522 F.3d 1299, 86 U.S.P.Q. 2d (BNA) 1385, 2008 U.S. App. LEXIS 7827, 2008 WL 1012561
CourtCourt of Appeals for the Federal Circuit
DecidedApril 11, 2008
Docket2007-1265
StatusPublished
Cited by216 cases

This text of 522 F.3d 1299 (PowerOasis, Inc. v. T-MOBILE USA, INC.) 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
PowerOasis, Inc. v. T-MOBILE USA, INC., 522 F.3d 1299, 86 U.S.P.Q. 2d (BNA) 1385, 2008 U.S. App. LEXIS 7827, 2008 WL 1012561 (Fed. Cir. 2008).

Opinion

MOORE, Circuit Judge.

PowerOasis, Inc. and PowerOasis Networks, LLC (PowerOasis) appeal the United States District Court for the District of New Hampshire’s grant of summary judgment that claims 15, 18, 31, 35, 38, 40, and 49 (asserted claims) of U.S. Patent Nos. 6,466,658 (’658 patent) and 6,721,400 (’400 patent) are invalid as anticipated under 35 U.S.C. § 102(b). In reaching its decision, the district court concluded that none of the asserted claims of the two patents were entitled, under 35 U.S.C. § 120, to the benefit of the'filing date of PowerOa-sis’s original application because the earlier application did not provide a written description of the invention claimed in the asserted patents, as required by 35 U.S.C. § 112. We affirm the grant of summary judgment of invalidity with respect to all asserted claims.

BACKGROUND

The two PowerOasis patents at issue, the '658 patent and the '400 patent (Pow-erOasis patents), are directed to vending machines that sell telecommunications access. The PowerOasis patents contain virtually identical specifications. The stated purpose of the PowerOasis patents is to provide a “vending machine” that enables a customer to connect a laptop to a telecommunications channel. The '658 and '400 patents list filing dates of November 6, 2001 and October 15, 2002, respectively. The '658 and '400 patents stem from a series of continuation and continuation-in-part applications. The first application in the patent chain (Original Application) was filed on February 6, 1997 and ultimately issued as U.S. Patent No. 5,812,643 (’643 patent). PowerOasis does not assert the '643 patent in this litigation.

PowerOasis filed a continuation application on September 18, 1998 (which was later abandoned), and on June 15, 2000, it filed a continuation-in-part application (2000 CIP Application), which issued as U.S. Patent No. 6,314,169 (’169 patent). The '169 patent is not asserted by Power-Oasis in this litigation. The 2000 CIP Application added considerable new language to the specification, which the district court characterized as “substantial new matter.” PowerOasis, Inc. v. T-Mo *1302 bile USA, Inc., No. 05-ev-42-PB, 2007 WL 962937, at *2 (D.N.H. Mar. 30, 2007).

PowerOasis subsequently filed the two applications that led directly to the two patents asserted in this suit: first the '658 patent, then the '400 patent. PowerOasis sued T-Mobile for patent infringement alleging that T-Mobile’s wireless “HotSpot Network” 1 infringes claims 15, 18, 31, 35, 38, 40, and 49 of both PowerOasis patents. Each of the asserted claims depends from independent claim 1, which is not asserted by PowerOasis. Except for minor variations in the language of the independent claims that do not relate to the issues on appeal, the language of the asserted claims is identical in both PowerOasis patents. Independent claim 1 recites:

1. A vending machine for vending telecommunications channel access to a customer, said vending machine comprising:
a payment mechanism for obtaining information from the customer to initiate a vending transaction;
a customer interface for indicating the status of said vending machine;
an electronic circuit for determining when the vending transaction is completed;
a telecommunications channel access circuit adapted to be connected to at least one external telecommunications channel for enabling access to the at least one external telecommunications channel at the beginning of a vending transaction and disabling access at the end of the vending transaction;
a telecommunications channel access connector connected to said telecommunications channel access circuit for enabling connection to an external telecommunications device of the customer; and
a control unit having a device for receiving payment information from the customer and for controlling said electronic circuit and said telecommunications channel access circuit.

The parties had agreed that “customer interface” is “an interface that enables information to be passed between a human user and hardware or software components of a system,” but disagreed about the location of the customer interface. PowerOasis argued that the “customer interface” may occur on a customer’s laptop. T-Mobile argued that the customer interface must be located on the vending machine itself. Relying entirely on new language added to the 2000 CIP application, the district court adopted PowerOasis’s proposed construction that the claim term “customer interface” encompasses an interface that is located on the customer’s laptop.

In light of the district court’s construction of “customer interface,” T-Mobile filed a motion for summary judgment that the asserted claims were anticipated by the MobileStar Network. It is undisputed that prior to June 15, 1999, MobileStar Networks, Inc. (a company acquired by T-Mobile in 2002) developed, deployed, publicly used, and offered for sale the Mo-bileStar Network, which was a high-speed wireless data network that connected users to the Internet. It is also undisputed that prior to June 15, 1999, the Mo-bileStar Network contained all of the same *1303 features that form the basis of PowerOa-sis’s allegation that the T-Mobile HotSpot Network infringes its patents. T-Mobile argued, therefore, that this public use, sale, and offer for sale more than one year prior to the June 15, 2000 filing date of the 2000 CIP Application 2 constituted § 102(b) prior art which anticipated the PowerOasis patents. 35 U.S.C. § 102(b). PowerOasis responded by claiming its asserted claims should have the benefit of priority going all the way back to the filing date of its Original Application (February 6, 1997) which would antedate the Mo-bileStar Network.

On summary judgment, the district court determined that the asserted claims were not entitled to the priority date of the Original Application because the written description of the Original Application did not support the later issued claims. The district court noted that, to arrive at the broad construction it accorded the “customer interface,” it relied “exclusively” on the new matter that was added to the 2000 CIP Application. PowerOasis, 2007 WL 962937, at *8. Because the district court concluded that the '658 and '400 patents are not entitled to the effective filing date of the Original Application, the district court granted the motion for summary judgment of invalidity. This appeal followed.

DISCUSSION

We review the grant of summary judgment de novo. Liebel-Flarsheim Co. v. Medrad, Inc., 481 F.3d 1371

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522 F.3d 1299, 86 U.S.P.Q. 2d (BNA) 1385, 2008 U.S. App. LEXIS 7827, 2008 WL 1012561, Counsel Stack Legal Research, https://law.counselstack.com/opinion/poweroasis-inc-v-t-mobile-usa-inc-cafc-2008.