SuperSpeed, L.L.C. v. Google, Inc.

2 F. Supp. 3d 952, 2014 U.S. Dist. LEXIS 23386, 2014 WL 793077
CourtDistrict Court, S.D. Texas
DecidedFebruary 25, 2014
DocketCivil Action No. H-12-1688
StatusPublished
Cited by2 cases

This text of 2 F. Supp. 3d 952 (SuperSpeed, L.L.C. v. Google, Inc.) is published on Counsel Stack Legal Research, covering District Court, S.D. Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
SuperSpeed, L.L.C. v. Google, Inc., 2 F. Supp. 3d 952, 2014 U.S. Dist. LEXIS 23386, 2014 WL 793077 (S.D. Tex. 2014).

Opinion

MEMORANDUM OPINION AND ORDER

SIM LAKE, District Judge.

This is a patent infringement suit filed by SuperSpeed, L.L.C. (“SuperSpeed”) against Google, Inc. (“Google”), involving United States Patent Nos. 5,577,226 (“'226 patent”) and 5,918,244 (“'244 patent”). The '226 patent is the parent application to the '244 patent, and both patents claim priority to U.S. Application No. 08/238,815, filed on May 6, 1994. Pending before the court is Defendant Google Inc.’s Motion for Summary Judgment of Non-Infringement Based on Its Licensing Defense (Docket Entry No. 105), and SuperSpeed’s Cross-Motion for Summary Judgment on Google’s Licensing Defense (Docket Entry No. 114). For the reasons explained below, Google’s motion for summary judgment will be denied and SuperSpeed’s cross-motion for summary judgment will be granted.

I. Background

SuperSpeed alleges that Google infringes the '226 and the '244 patents. Both of the patents-in-suit have been the subject of prior litigation: SuperSpeed v. Oracle Corporation, 4:04-cv-3409, filed in this district, and SuperSpeed v. IBM Corporation, 2:07-cv-89, filed in the Eastern District of Texas. Asserting that Super-Speed granted a broad right to license the patents-in-suit to IBM, and that IBM and Google have a cross-license agreement that, by its unambiguous terms, grants Google a license to all patents to which IBM has a license, including the patents-in-suit, Google argues that it is entitled to summary judgment of non-infringement because it cannot infringe patents it is licensed to practice.1 SuperSpeed argues that Google is not entitled to summary judgment because although IBM is authorized to license products and services practicing SuperSpeed’s patented technology to third parties such as Google, IBM is not authorized to license the patents-in-suit.2 Accordingly, SuperSpeed argues that it is entitled to summary judgment on Google’s licensing defense.3 Neither party argues that the contractual agreements at issue are ambiguous. However, SuperSpeed requests additional time to conduct discovery to determine IBM’s understanding of the cross-licensing agreement with Google if the court determines there is ambiguity.4

II. Standard of Review

Summary judgment is authorized if the movant establishes that there is no genuine dispute about any material fact and the law entitles it to judgment. Fed.R.Civ.P. 56(c). Disputes about material facts are “genuine” if the evidence is such that a reasonable jury could return a verdict for the nonmoving party. Anderson v. Liber[955]*955ty Lobby, Inc., 477 U.S. 242, 106 S.Ct. 2505, 2510, 91 L.Ed.2d 202 (1986). The Supreme Court has interpreted the plain language of Rule 56(c) to mandate the entry of summary judgment “after adequate time for discovery and upon motion, against a party who fails to make a showing sufficient to establish the existence of an element essential to that party’s case, and on which that party will bear the burden of proof at trial.” Celotex Corp. v. Catrett, 477 U.S. 317, 106 S.Ct. 2548, 2552, 91 L.Ed.2d 265 (1986). A party moving for summary judgment “must ‘demonstrate the absence of a genuine issue of material fact,’ but need not negate the elements of the nonmovant’s case.” Little v. Liquid Air Corp., 37 F.3d 1069, 1075 (5th Cir.1994) (en banc), (quoting Celotex, 106 S.Ct. at 2553).

If the moving party meets this burden, Rule 56(c) requires the nonmovant to go beyond the pleadings and show by affidavits, depositions, answers to interrogatories, admissions on file, or other admissible evidence that specific facts exist over which there is a genuine issue for trial. Id. (citing Celotex, 106 S.Ct. at 2553-2554). See also Bellard v. Gautreaux, 675 F.3d 454, 460 (5th Cir.2012) (“[T]he evidence proffered by the plaintiff to satisfy his burden of proof must be competent and admissible at trial.”). “[T]he nonmoving party’s burden is not affected by the type of case; summary judgment is appropriate in any case where critical evidence is so weak or tenuous on an essential fact that it could not support a judgment in favor of the nonmovant.” Little, 37 F.3d at 1075. In reviewing the evidence “the court must draw all reasonable inferences in favor of the nonmoving party, and it may not make credibility determinations or weigh the evidence.” Reeves v. Sanderson Plumbing Products, Inc., 530 U.S. 133, 120 S.Ct. 2097, 2110, 147 L.Ed.2d 105 (2000). Factual controversies are to be resolved in favor of the nonmovant, “but only when ... both parties have submitted evidence of contradictory facts.” Little, 37 F.3d at 1075.

“Summary judgment is appropriate in a patent case, as in other cases, when there is no genuine issue as to any material fact and the moving party is entitled to judgment as a matter of law.” Nike Inc. v. Wolverine World Wide, Inc., 43 F.3d 644, 646 (Fed.Cir.1994) (citing Fed.R.Civ.P. 56(c)). Summary judgment is also appropriate on license issues if the patentee is unable to set forth specific facts why the license should not apply. See Cyrix Corp. v. Intel Corp., 879 F.Supp. 666 (E.D.Tex.1995) (granting summary judgment to licensee). Licensing agreements are generally interpreted under state law. Id. at 668 (applying state law). See also General Mills, Inc. v. Kraft Foods Global, Inc., 487 F.3d 1368, 1373 (Fed.Cir.2007) (interpreting patent license transfer provisions under state law).

III. Undisputed Facts

On March 16, 2007, SuperSpeed sued IBM in the Eastern District of Texas alleging infringement of a group of patents, including the patents-in-suit.5 SuperSpeed alleged that IBM “infringed ... the '244, '226 ... patents by making, using, selling, and offering to sell, within the United States products that come within the scope of the patents.”6 On April 17, 2009, Su-perSpeed and IBM entered into a Settle[956]*956ment Agreement7 and a Patent License Agreement.8 Section 2.1 of the License Agreement provides:

Subject to payment according to Section 3.1, LICENSOR grants to IBM a paid-up, nonexclusive, irrevocable worldwide license under the LICENSED PATENTS to make, have made, use, import, offer for sale, lease, license, sell and/or otherwise transfer any products, services, and to practice and/or have practiced any process or method.

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2 F. Supp. 3d 952, 2014 U.S. Dist. LEXIS 23386, 2014 WL 793077, Counsel Stack Legal Research, https://law.counselstack.com/opinion/superspeed-llc-v-google-inc-txsd-2014.