Sensonics, Inc., Plaintiff/cross-Appellant v. Aerosonic Corp., and Herbert J. Frank

81 F.3d 1566, 38 U.S.P.Q. 2d (BNA) 1551, 1996 U.S. App. LEXIS 9471, 1996 WL 196579
Court of Appeals for the Federal Circuit·Decided April 24, 1996·No. 95-1058, 95-1062, 95-1098·Published·Cited by 96 cases

Opinion

PAULINE NEWMAN, Circuit Judge.

This consolidated appeal and cross-appeal concern United States Patent No. 3,863,114 (the ’114 patent) owned by Sensonics, Inc. The defendants, Aerosonic Corp. and Herbert J. Frank, each appeals certain aspects of the judgment of the United States District Court for the Middle District of Florida. 1 Aerosonic appeals the district court’s ruling that the ’114 patent is valid and enforceable, and also appeals the ruling of infringement *1569 as to some of the patent claims but not as to others. Mr. Frank appeals the ruling that he is personally liable for inducement to infringe the Sensonics patent. Sensonics cross-appeals the measure of damages, and the court’s denial of enhanced damages and attorney fees.

THE PATENTED INVENTION

The T14 patent is for a “Tapping Device for Generating Periodic Mechanical Pulses,” inventor John F. DeMayo. Mr. DeMayo is a founder and officer of Sensonics. The tapping device, also called a “vibrator,” is used primarily with aircraft instruments having moving indicators. Mechanical pulses, that is, taps, gently vibrate the moving parts in order to free them of the effects of static friction, permitting the indicator to move freely and thus with greater accuracy and reliability. Such devices require accurate and reliable operation for extended periods of time and over wide temperature and voltage ranges. They require careful control of the strength of the vibration pulses in . order to avoid causing errors in “or requiring recalibration of the aircraft instrument.

The invention claimed in the ’114 patent is an electromagnetic vibrator that is easier to manufacture, more accurate, easier to adjust, and less expensive than prior devices. Its structure of a unitary base with integrally formed anvil and armature support eliminated the welding and soldering steps of earlier devices, and also assured a true and consistent path for the magnetic flux. Another advantageous structural component is the adjustment element for the strength of the vibration pulses, in the form of a screw which extends through the armature to the magnetic core. The head of the screw provides the stop for the moving armature, and thus adjustment of the screw enables ready adjustment of the mechanical pulses without removing the device from its casing, a disadvantage of prior vibrators.

It was not disputed that Aerosonie copied the Sensonics device in complete detail, and replaced the vibrating-reed design of the vibrator that Aerosonie was then making commercially. Mr. Frank and other witnesses testified that the vibrating-reed design was hard to manufacture, had an unacceptably high failure rate after installation, and was deficient in that it did not allow adjustment of the strength of the mechanical pulses. The superiority of the Sensonics device in accuracy, reliability, and cost, was undisputed.

PATENT VALIDITY

Aerosonie raised the defense of patent invalidity based on obviousness in terms of 35 U.S.C. § 103. The principal prior art at trial was an earlier invention of Mr. DeMayo, described in United States Patent No. 3,507,-339 (the ’339 patent). This patent was not cited as a reference during prosecution of the application that led to the T14 patent.

Mr. DeMayo testified that the ’339 patent represented an earlier effort to make an improved mechanical vibrator. There was evidence that the ’339 design had some advantages over prior devices, but that its shortcomings included manufacturing complexity, increased size, multiple- components, difficulty of assembly, difficulty of adjustment, and too high a failure rate. Mr. De-Mayo testified that he continued to work to solve these problems, and that after several additional years of effort he succeeded in doing so, with the vibrator that became the subject of the 114 patent. Although the 114 design and the ’339 design have several similarities, there was evidence that the changes embodied in the 114 device achieved the simplicity and efficiency of manufacture, easy and accurate adjustment, compactness, quietness in operation, and reliability, that were inadequate in the ’339 device.

The ’339 device has a screw extending through the armature to- the magnetic core. This screw is soldered into place in order to provide sufficient contact within the device to ensure magnetic flux, and is not usable to adjust the strength of the pulses. Although at trial Aerosonie argued that it was obvious to make the design change of an adjustable screw, the district court observed that this element of the 114 invention provided significant advantages and remedied deficiencies of prior devices. The pulse strength for the ’339 device was only adjustable from *1570 below, and thus was not readily adjusted alter installation. In contrast, the 114 device could be readily adjusted not only during manufacture but also after assembly and after installation in the aircraft instrument. Although Aerosonic points to the simplicity of this adjustment mechanism, simplicity does not establish obviousness; indeed, simplicity may represent a significant and unob-vious advance over the complexity of prior devices.

The district court referred to the factual underpinnings of the determination of obviousness " as set forth in Graham v. John Deere Co., 383 U.S. 1, 86 S.Ct. 684, 15 L.Ed.2d 545, 148 USPQ 459 (1966). Applying these criteria, the court discussed the testimony of Aerosonic’s expert witness concerning the prior art. In addition to the ’339 patent, the references relied on by Aerosonic were two patents on “telegraph-sounders” that were designed to make noise, a patent on a magnetically operated switch designed to absorb any shock created by contact of its armature and magnetic core, a patent on a relay for telephone lines to control secondary signals, and a patent for an automobile voltage regulator.

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Sensonics, Inc., Plaintiff/cross-Appellant v. Aerosonic Corp., and Herbert J. Frank, 81 F.3d 1566, 38 U.S.P.Q. 2d (BNA) 1551, 1996 U.S. App. LEXIS 9471, 1996 WL 196579 (Fed. Cir. 1996).

81 F.3d 1566 (Sensonics, Inc., Plaintiff/cross-Appellant v. Aerosonic Corp., and Herbert J. Frank) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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