SME Steel Contractors v. Seismic Bracing

District Court, D. Utah·Decided July 6, 2020·No. 2:17-cv-00702·Unknown

Opinion

IN THE UNITED STATES DISTRICT COURT FOR THE DISTRICT OF UTAH

SME STEEL CONTRACTORS, INC., a Utah corporation, and CORE-BRACE, LLC., a MEMORANDUM DECISION AND Utah limited liability company, ORDER DENYING PLAINTIFF’S

MOTION FOR RECONSIDERATION Plaintiffs,

v. 2:17-cv-702-RJS-DAO

SEISMIC BRACING COMPANY, a Utah Chief District Judge Robert J. Shelby limited liability company, and ANDREW J. HINCHMAN, an individual, Magistrate Judge Daphne A. Oberg

Defendants.

On March 24, 2020, the court issued its Memorandum Decision and Order Construing Claims in Plaintiff SME Steel Contractors, Inc.’s U.S. Patent No. 7,174,680 (’680 Patent).1 SME now moves the court to reconsider its construction of two claim terms—“formed between” and “positioned between.”2 For the reasons explained below, the court DENIES SME’s Motion for Reconsideration. BACKGROUND The court assumes familiarity with its Claim Construction Order and will not repeat at length the factual and procedural background.3 Claim 1 of the ’680 Patent is representative of the claims at issue here and contains the disputed claim terms:

1 Dkt. 126; see also SME Steel Contractors, Inc. v. Seismic Bracing Co., No. 2:17-cv-702-RJS-EJF, 2020 WL 1434147 (D. Utah Mar. 24, 2020). 2 Dkt. 128. 3 See Dkt. 126 at 2–6. at least two separate bearing members each of which is interposed between the rigid layer and the core member so that one side of the bearing member is in direct contact with the rigid layer, and an opposite side of the bearing member is not in direct contact with the core member such that an air gap is formed between [or, positioned between] the core member and the bearing members.* At bottom, the parties’ dispute is encapsulated by the following figures submitted by SME: Direct Contact rect Contact Rigid Layer Batween Rigid Rigid Layer Batween Rigid i, comer tind 2) tan DTM MLL | Gearng Member PES | Bearing Member Farmed Beraen Bearing Pala) Bergen Bearing ld Member and Core ll Member and Core Member Member

Fig. 2(b) Fig. 4{b)

SME argued in its claim construction briefing that the claim terms should be construed to indicate the air gap is located somewhere between the core member and bearing members, meaning the °680 Patent would encompass Figure 4(b) above. Defendants maintained the specification and prosecution history make clear the air gap must span the entire distance between the core member and bearing member. After considering the claim language, the specification, and the prosecution history—in addition to the parties’ written and oral arguments—the court ultimately construed both “formed between” and “positioned between” as “spans the distance between.” Under this construction, the ’680 Patent would not encompass the exemplary illustration in Figure 4(b). In response, SME filed its Motion to Reconsider.

4 Dkt. 79 (Appx.) at 015-016 (emphasis added). Claim 27 is nearly identical but “positioned between” is used in place of “formed between.” /d. at 017.

LEGAL STANDARD Although not formally recognized by the Federal Rules of Civil Procedure, motions to reconsider are generally construed under Rule 54(b), Rule 59, or Rule 60(b), depending on when the motion is filed.5 Motions to reconsider filed prior to entry of final judgment, as here, are construed under Rule 54(b).6 Rule 54(b) provides that “any order . . . that adjudicates fewer than

all the claims or the rights and liabilities of fewer than all the parties . . . may be revised at any time before the entry of a judgment adjudicating all the claims and all the parties’ rights and liabilities.”7 Motions to reconsider under Rule 54(b) “invok[e] the district court’s general discretionary authority to review and revise interlocutory rulings prior to entry of final judgment.”8 Rule 54(b) motions to reconsider should be granted only in limited circumstances, for instance “[1] when substantially different, new evidence has been introduced, [2] subsequent, contradictory controlling authority exists, or [3] the original order is clearly erroneous.”9 “Thus,

5 See Price v. Philpot, 420 F.3d 1158, 1167 n.9 (10th Cir. 2005) (citing Fed. R. Civ. P. 59(e), 60(b), & 54(b)). 6 See id. (“[E]very order short of a final decree is subject to reopening at the discretion of the district judge.”) (quoting Moses H. Cone Mem’l Hosp. v. Mercury Constr. Corp., 460 U.S. 1, 12 (1983) and citing Fed. R. Civ. P. 54(b)); see also Fed. R. Civ. P. 54(b). 7 Fed. R. Civ. P. 54(b); see, e.g., Anderson v. Deere & Co., 852 F.2d 1244, 1246 (10th Cir. 1988) (“It is within the District Judge’s discretion to revise his interlocutory orders prior to entry of final judgment.”). 8 Wagoner v. Wagoner, 938 F.2d 1120, 1122 n.1 (10th Cir. 1991). 9 Major v. Benton, 647 F.2d 110, 112 (10th Cir. 1981) (affirming district court’s reversal of its summary judgment order after a controlling Supreme Court decision was issued between the district court’s first and second rulings); see also Pia v. Supernova Media, Inc., No. 2:09-cv-840-DN-EJF, 2014 WL 7261014, at *2 (D. Utah Dec. 18, 2014) (internal quotation marks and citations omitted) (“There are three scenarios in which a litigant may successfully argue for reconsideration [under Rule 54(b)]: when (1) substantially different, new evidence has been introduced; (2) subsequent, contradictory controlling authority exists; or (3) the original order is clearly erroneous.”). 3 a motion for reconsideration is appropriate where the court has misapprehended the facts, a party’s position, or the controlling law.”10 ANALYSIS SME argues the court’s Claim Construction Order is clearly erroneous for two reasons. First, SME contends the court “incorrectly imports limitations from the specification to rewrite

the plain and ordinary meaning of the claim language.”11 Second, SME asserts the court “appears to misapprehend the functional characteristics and discussed objective of the claimed BRBs [buckling restrained braces] as a matter of fact.”12 The court addresses each argument in turn.13 I. The Court Did Not Rewrite the Plain and Ordinary Meaning of the Claim Language

A. The Court Applied the Correct Legal Framework In Construing the Claim Terms “Formed Between” and “Positioned Between”

SME argues the court fundamentally erred in arriving at its construction of “formed between” and “positioned between” because it began its analysis by “div[ing] directly into the specification and prosecution history” while only “gloss[ing] over the claims themselves.”14 Had

10 Servants of Paraclete v. Does, 204 F.3d 1005, 1012 (10th Cir. 2000) (explaining nearly identical Rule 59(e) motion to reconsider standard). 11 Dkt. 128 at 2. 12 Id. 13 SME also argues in a footnote that “it violates the principle of claim differentiation to construe both ‘formed between’ and ‘positioned between’ to have the same meaning.” Dkt. 128 at 5 n.31.

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