Seoul Laser Dieboard System Co. v. Serviform, S.r.l.

957 F. Supp. 2d 1189, 2013 WL 3761535, 2013 U.S. Dist. LEXIS 99381
CourtDistrict Court, S.D. California
DecidedJuly 16, 2013
DocketCase No. 12-CV-2427 BEN (JMA)
StatusPublished
Cited by7 cases

This text of 957 F. Supp. 2d 1189 (Seoul Laser Dieboard System Co. v. Serviform, S.r.l.) is published on Counsel Stack Legal Research, covering District Court, S.D. California primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Seoul Laser Dieboard System Co. v. Serviform, S.r.l., 957 F. Supp. 2d 1189, 2013 WL 3761535, 2013 U.S. Dist. LEXIS 99381 (S.D. Cal. 2013).

Opinion

[1193]*1193ORDER GRANTING IN PART DEFENDANTS’ MOTION TO DISMISS

ROGER T. BENITEZ, District Judge.

Before the Court is a motion to dismiss Plaintiffs Complaint for failure to state a claim upon which relief can be granted and for lack of subject matter jurisdiction. For the reasons stated below, the motion is GRANTED IN PART.

BACKGROUND

Plaintiff Seoul Laser Dieboard System Co., Ltd. is a South Korean corporation in the machine tooling business. Serviform, S.r.l. (“Serviform”) manufactures and imports dieboard machines into the United States. Die Supply Guys, Inc. (“Die Supply”) and Carton Craft Supply, Inc. (“Carton Craft”) market and resell Serviform’s machines.

Plaintiff commenced this action on October 8, 2012. It accuses Defendants of directly and indirectly infringing the claims of seven U.S. patents1 generally relating to cutting apparatuses. Plaintiff alleges that it is the “owner” of the patents-in-suit and has “all legal and equitable rights to enforce these patents, to bring and maintain this action, and to make, have made, use, import, offer to sell products or services covered by the [patents].” (Compl. ¶ 17.) Plaintiff also asserts violations under the federal Lanham Act and state law.

On January 31, 2013, Carton Craft moved to dismiss the Complaint pursuant to Federal Rules of Civil Procedure 12(b)(1) and 12(b)(6). It contends that: (1) Plaintiff lacks standing to bring this suit because it does not have complete ownership of the asserted patents; and (2) the complaint fails to state a claim on which relief can be granted. Plaintiff filed a response and Carton Craft replied. Serviform and Die Supply subsequently joined Carton Craft’s motion. For the sake of simplicity, the Court will refer to the arguments in Carton Craft’s motion as “Defendants’ ” arguments.

LEGAL STANDARDS

I. Rule 12(b)(1)

A motion under Federal Rule of Civil Procedure 12(b)(1) challenges the court’s jurisdiction to hear a case. Standing challenges can be “facial” or “factual.” White v. Lee, 227 F.3d 1214, 1242 (9th Cir.2000). “In a facial attack, the challenger asserts that the allegations contained in a complaint are insufficient on their face to invoke federal jurisdiction. By contrast, in a factual attack, the challenger disputes the truth of the allegations that, by themselves, would otherwise invoke federal jurisdiction.” Safe Air for Everyone v. Meyer, 373 F.3d 1035, 1039 (9th Cir.2004). In resolving a factual attack, a court “may review evidence beyond the complaint without converting the motion to dismiss into a motion for summary judgment.” Id. When challenged, the party opposing the motion bears the burden of establishing jurisdiction. A10 Networks, Inc. v. Brocade Common’s Sys., Inc., No. 11-CV-05493, 2012 WL 1932878, at *2, 2012 U.S. Dist. LEXIS 74215, at *4-5 (N.D.Cal. May 29, 2012).

II. Rule 12(b)(6)

A motion under Federal Rule of Civil Procedure 12(b)(6) tests the legal sufficien[1194]*1194cy of a claim. Navarro v. Block, 250 F.3d 729, 732 (9th Cir.2001). In federal court, a pleading must contain “a short and plain statement of the claim showing that the pleader is entitled to relief.” Fed.R.Civ.P. 8(2). Typically, a complaint is deficient if it fails to state a plausible claim for relief on its face. Bell Atl. Corp. v. Twombly, 550 U.S. 544, 570, 127 S.Ct. 1955, 167 L.Ed.2d 929 (2007). “A claim has facial plausibility when the plaintiff pleads factual content that allows the court to draw the reasonable inference that the defendant is liable for the misconduct alleged.” Ashcroft v. Iqbal, 556 U.S. 662, 678, 129 S.Ct. 1937, 173 L.Ed.2d 868 (2009). In addition, allegations of fraud must satisfy the heightened pleading standard of Rule 9(b), which requires pleadings to “state with particularity the circumstances constituting fraud or mistake.”

In resolving a motion brought pursuant to Rule 12(b)(6), the Court accepts all well-pleaded allegations of material fact as true and construes them in a light most favorable to the nonmoving party. Wyler Summit P’ship v. Turner Broad. Sys., Inc., 135 F.3d 658, 661 (9th Cir.1998). In addition to the complaint itself, the Court “may consider certain materials — documents attached to the complaint, documents incorporated by reference in the complaint, or matters of judicial notice — without converting the motion to dismiss into a motion for summary judgment.” United States v. Ritchie, 342 F.3d 903, 907 (9th Cir.2003).

DISCUSSION

1. Standing

“Under Article III of the United States Constitution, federal courts cannot entertain a litigant’s claims unless that party demonstrates concrete injury, by satisfying its burden to demonstrate both constitutional and prudential standing to sue.” Visioneer, Inc. v. Keyscan, Inc., 626 F.Supp.2d 1018, 1023 (N.D.Cal.2009) (citing Lujan v. Defenders of Wildlife, 504 U.S. 555, 560, 112 S.Ct. 2130, 119 L.Ed.2d 351 (1992)). Constitutional standing in a patent case generally requires ownership of the patent. Toshiba Corp. v. Wistron Corp., 270 F.R.D. 538, 541 (C.D.Cal.2010). Prudential standing “generally requires that a patent owner or co-owners be joined in any infringement suit brought by an assignee having fewer than all substantial rights in the patent.” A10 Networks, Inc., 2012 WL 1932878, at *3, 2012 U.S. Dist. LEXIS 74215, at *8-9 (citation omitted). “Absent the voluntary joinder of all co-owners of a patent, a co-owner acting alone will lack standing.” Israel Bio-Eng. Proj. v. Amgen, Inc., 475 F.3d 1256, 1264-65 (Fed.Cir.2007).

Defendants contend that Plaintiff lacks standing to bring this case on its own because it is a co-owner of six patents and has no interest in the seventh. For support, they supply assignment records from the United States Patent and Trademark Office (“USPTO”).2 For the '919 patent, the '940 patent, the '574 patent, the '543 patent, the '950 patent and the '682 patent, the USPTO records identify two assignees. Both are named Seoul Laser Dieboard System Co., Ltd., but one has an address in California and the other has an address in the Republic of Korea. (See RJN, Exhs. A-D, F, and G.) For the '276 Patent, the assignment records list Seoul Laser Dieboard System Co., Ltd. (with the California address) and SDS USA, Inc. [1195]*1195(See RJN, Exh. E.) Defendants contend that only one of the aforementioned parties — Seoul Laser Dieboard System Co., Ltd.

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957 F. Supp. 2d 1189, 2013 WL 3761535, 2013 U.S. Dist. LEXIS 99381, Counsel Stack Legal Research, https://law.counselstack.com/opinion/seoul-laser-dieboard-system-co-v-serviform-srl-casd-2013.