Rates Technology Inc. v. Broadvox Holding Co.

15 F. Supp. 3d 307, 2014 WL 323256, 2014 U.S. Dist. LEXIS 11021
CourtDistrict Court, S.D. New York
DecidedJanuary 28, 2014
DocketNo. 13 Civ. 0152(SAS)
StatusPublished
Cited by2 cases

This text of 15 F. Supp. 3d 307 (Rates Technology Inc. v. Broadvox Holding Co.) is published on Counsel Stack Legal Research, covering District Court, S.D. New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Rates Technology Inc. v. Broadvox Holding Co., 15 F. Supp. 3d 307, 2014 WL 323256, 2014 U.S. Dist. LEXIS 11021 (S.D.N.Y. 2014).

Opinion

OPINION AND ORDER

, SHIRA A. SCHEINDLIN, District Judge.

I. INTRODUCTION

Rates Technology Inc. (“RTI”) brings this action against Broadvox Holding Company, LLC, its named subsidiary, Cypress Communications Operating Company, LLC, and its unnamed subsidiaries or affiliates, ABC Companies 1 to 10 (collectively, “Broadvox”), for infringing two of RTFs telecommunications patents: United States Patent No. 5,425,085 (the “'085 Patent”) and United States Patent No. 5,519,-769 (the “'769 Patent”).1

On December 27, 2013, the Court held a Markman hearing. The parties have agreed upon the meaning of three terms in claim 1 of the '085 Patent and two terms in claim 1 of the '769 Patent.2 The parties dispute the meaning of nine terms in claim 1 of the '085 Patent and five terms in claim 1 of the '769 Patent.3 For reference, I have included a list of the constructions I have adopted at the end of this Opinion.4

II. BACKGROUND

A. The Invention

RTI has provided products and services in the telecommunications field for thirty years.5 RTI designs and manufactures technologies including private pay telephones, call cost rate chips, and least-cost-routing chips.6 On June 13, 1995, the Patent and Trademark Office (“PTO”) issued the '085 Patent, designating RTI as the [313]*313sole assignee.7 The claimed invention relates to the routing of calls based on cost.8 Broadvox Holding provides IP-based information services to approximately three hundred wholesale carriers, businesses, and enterprise retail customers.9 On May 21,1996, the PTO issued the '769 Patent to RTI.10 The claimed invention relates to a method for updating a database in a telephone routing system.11 In two 1998 decisions, Judge William Young of the District Court of Massachusetts construed several of the claims disputed here.12 Several years later, the patents were returned to the PTO for reexamination, where the claims were reconsidered in light of prior art.13 While the reexaminations did not affect claim 1 of the '769 Patent, RTI added limitations to claim 1 of the ’085 Patent to overcome the prior art.14

B. Claim Language

The full text of claim 1 of the '085 Patent, with the disputed phrases emphasized, follows:

A device for routing telephone calls along a least cost route originating from a first telephone to a second telephone having an associated telephone number via a network having a plurality of alternate communication switch paths corresponding to different carriers which can be chosen to route the call and normally providing a current to said first telephone when said first telephone is in use, comprising:
[I] a housing forming an enclosure and comprising first jack means for connection to said first telephone, and second jack means for connection to said network;
[ii] switch means operatively connected to said first jack means for disconnecting said first telephone from said network during routing of a telephone call from said first telephone;
[in] means operatively connected to said switch means for generating a current through said switch means to the first telephone corresponding to a current provided by said network, w hen the first telephone is disconnected from said network by said switch means;
[iv] database means for storing billing rate parameters for determining a least cost communication path for call corresponding to said telephone number;
[v] means operatively connected to said switch means for detecting and storing said telephone number originating from the first telephone;
[vi] means for addressing said database means for identifying a plurality of communication switch [314]*314paths to said second telephone and the cost rate of each path;
[vii] means actuated subsequent to the detection of said telephone number originating from said first telephone for comparing the cost rate of each path so as to determine a least cost route; and
[viii] means operatively connected to said switch means and said second jack means for generating a number sequence corresponding to a desired carrier so that said call is routed through said second jack means to the selected communication path and carrier to establish a switched connection between said first telephone and said second telephone.15

The full text of claim 1 of the '769 Patent, with the disputed phrases emphasized, follows:

A method for updating a database that stores billing rate parameters for a call rating device used for cost determinations for a calling station, comprising the steps of:
[I] connecting at a predetermined time and date via a data transfer line the call rating device to a rate provider having billing rate parameters for a plurality of calling stations;
[ii] transmitting over the data transfer line indicia identifying the call rating device and the date and time of the last update of the billing rate parameters;
[iii] verifying if billing parameters should be updated; and
[iv] transmitting from the rate provider to the call rating device the updated billing rate parameters when the rate provider determines that an update is required.16

The parties agree on the construction of the following phrases:

TABLE 117

'085 Patent, Claim 1

Term/Phrase Agreed Upon Construction

1. “device” The term should not be a limitation of the claim.

2. “first jack means for connection to said first First jack for connection to said first telephone,

telephone”

3. “second jack means for connection to said Second jack for connection to said network, network”

'769 Patent, Claim 1

1. “a data transfer line” a data transfer line (or path to transfer data)

2. “indicia identifying the call rating device and the indicia identifying call rating device and the date date and time of the last update of the billing rate and time of the last update of the billing rate parameters” parameters.

The parties dispute the construction of the following phrases:

[315]*315TABLE 218

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III. APPLICABLE LAW

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Related

Rates Technology Inc. v. Broadvox Holding Co.
56 F. Supp. 3d 515 (S.D. New York, 2014)

Cite This Page — Counsel Stack

Bluebook (online)
15 F. Supp. 3d 307, 2014 WL 323256, 2014 U.S. Dist. LEXIS 11021, Counsel Stack Legal Research, https://law.counselstack.com/opinion/rates-technology-inc-v-broadvox-holding-co-nysd-2014.