Thompson v. Medtronic Public Limited Company

CourtDistrict Court, W.D. Tennessee
DecidedNovember 3, 2020
Docket2:19-cv-02038
StatusUnknown

This text of Thompson v. Medtronic Public Limited Company (Thompson v. Medtronic Public Limited Company) is published on Counsel Stack Legal Research, covering District Court, W.D. Tennessee primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Thompson v. Medtronic Public Limited Company, (W.D. Tenn. 2020).

Opinion

IN THE UNITED STATES DISTRICT COURT FOR THE WESTERN DISTRICT OF TENNESSEE WESTERN DIVISION

DARRELL K. THOMPSON, WILLIAM T. HOLT ) (deceased), LEATHA J. HOLT (next of kin), and ) NEWAIR MANUFACTURING, LLC, ) ) Plaintiffs, ) ) Case Nos. ) 2:19-cv-2038; 2:16-cv-3013 v. ) ) MEDTRONIC, INC., MEDTRONIC PUBLIC ) LIMITED COMPANY, MEDTRONIC USA, INC., ) STRYKER CORPORATION, PHYSIO-CONTROL ) INTERNATIONAL, INC., PHYSIO-CONTROL, ) INC., PHYSIO-CONTROL MANUFACTURING, ) INC., JOLIFE AB, and BAIN CAPITAL, INC., ) ) Defendants. )

MEMORANDUM OPINION

Before the Court is Defendants Stryker Corporation, Physio-Control International, Inc., Physio-Control, Inc., Physio-Control Manufacturing, Inc. and Jolife AB (collectively, “Stryker Defendants”) Motion to Dismiss Plaintiffs Darrell K. Thompson, William T. Holt (deceased), Leatha J. Holt (Next of Kin) and NewAir Manufacturing LLC (collectively, “Plaintiffs”) Complaint pursuant to Fed. R. Civ. P. 12(b)(3) and 12(b)(6) and for lack of venue. (ECF Nos. 35, 49.) I. BACKGROUND & PROCEDURAL HISTORY A. THOMPSON I On November 30, 2016, Plaintiffs filed Thompson I against Defendants, which was timely removed to this Court. Thompson v. Medtronic, Inc., Civil Action No. 2:16-cv-3013 (W.D. Tenn. Dec. 29, 2016). Defendants Bain Capital (“Bain”), Physio-Control International,

Inc., Physio-Control, Inc. Jolife AB, and Stryker Corporation (collectively, “Stryker Defendants”), and Medtronic all filed separate motions to dismiss in February 2017. (Case No. 2:16-cv-3013, ECF Nos. 21, 23, 24.) 1 Notably, Defendants Bain and Stryker also filed their motions based on lack of personal jurisdiction. (ECF Nos. 21, 23.) i. Bain’s Motion to Dismiss

In the original motion to dismiss, Bain asserted four grounds of dismissal: 1) Lack of personal jurisdiction; 2) Failure to meet pleading requirements; 3) Failure to state a claim; and 4) Preemption for Plaintiff’s claims of unjust enrichment and conversion. (ECF No. 21-1 at PageID 105–21.) The Court only reached a conclusion on Bain’s motion to dismiss for lack of personal jurisdiction. (ECF No. 41.) Plaintiffs’ basis for personal jurisdiction stemmed from Bain’s internet advertising showing different product lines, contract information and sales. (ECF No. 27 at PageID 208.) Furthermore, Plaintiffs alleged that Bain was involved in the manufacturing and sale of Medical Device type products sold worldwide. (Id.) This Court found that “Plaintiffs’ assertions regarding Bain’s website simply allege a passive website that neither

specifically invokes the intellectual property at issue nor is specifically directed at this forum.” (ECF No. 41 at PageID 936.) Accordingly, this Court granted Bain’s Motion to Dismiss for

1 Unless stated otherwise, citations under section A (“Thompson I”) will refer to Civil Action No. 2:16-3013. lack of personal jurisdiction, but noted that it “need not reach Bain’s motion to dismiss for failure to state a claim.” (Id.)

ii. Stryker Defendants’ Motion to Dismiss The Stryker Defendants argued that this Court lacked personal jurisdiction and that the Complaint should be dismissed for failure to state a claim. (ECF No. 23-1 at PageID 134–39.) They also asserted that Plaintiffs’ unjust enrichment claim was preempted and that they failed to sufficiently plead the required elements for correcting inventorship. (Id. at PageID 143–49.) Plaintiffs asserted that they did not have time to sufficiently investigate personal jurisdiction over Stryker, but alleged that Stryker was registered as a business in the State of Tennessee as

“Stryker Sales Corporation.” (ECF No. 28 at PageID 408.) This Court found that beyond the aforementioned allegation, Plaintiffs did not make any additional allegations connecting Stryker to this forum. (ECF No. 41 at PageID 937.) This Court granted the Stryker Defendants’ Motion to Dismiss for lack of personal jurisdiction and did not reach the motion to dismiss for failure to state a claim. (Id.)

iii. Medtronic’s Motion to Dismiss

Defendant Medtronic argued that Plaintiffs failed to state a claim for relief for both joint inventorship and unjust enrichment. (ECF No. 24-1.) Specifically, Medtronic contended that there was no allegation that the inventors worked together or that the named inventors of U.S. Patent 7,841,996 (“’996 Patent”) based their work off Plaintiffs’ work. (Id. at PageId 166.) The Court addressed both arguments in kind. First, this Court found: “Plaintiffs cannot be co-inventors of the ’966 Patent because the Complaint does not allege that they collaborated with the ’966 Patent’s inventors, Peter Sebelius and Martina Rosell, at any time in the development of the ’966 Patent nor can inferences be drawn from the Complaint that Plaintiffs have ever had any contact with Sebelius or Rosell at all. Even if Sebelius and Rosell saw the letters sent to Medtronic’s representative (citation omitted), they do not amount to an open line of communication during or in temporal proximity to either Sebelius and Rosell’s or Plaintiff’s inventive efforts.” (ECF No. 41 at PageId 939.) With regards to Plaintiffs’ unjust enrichment claims, the Court recited that “The TUTSA ‘displaces conflicting tort, restitutionary, and other law of this state providing civil remedies for misappropriation of a trade secret.’” (Id. at PageID 941.) Furthermore, the Court found that Plaintiffs’ allegations relied on the confidentiality agreement, and essentially sought a remedy for misappropriation of trade secrets. (Id. at PageID 942.) Accordingly, Plaintiffs’ unjust enrichment claims were deemed to be preempted by the TUTSA. The Court dismissed all claims against Medtronic. (Id.) iv. The Court’s Dismissal in Thompson I The Court’s Order in Thompson I ordered as follows: “[T]he Court GRANTS Defendant Bain’s Motion to Dismiss the Complaint for lack of personal jurisdiction and failure to state a claim upon which relief can be granted (ECF No. 21); GRANTS the Stryker’ Defendants’ Motion to Dismiss for lack of personal jurisdiction and failure to ‘state claims for relief for correction of inventor or unjust enrichment’ (ECF No. 23); and GRANTS Defendant Medtronic’s Motion to Dismiss for failure to state a claim upon which relief can be granted (ECF No. 24.)” (Id.) The Court went on to say, “Having dismissed all of Plaintiffs’ claims against the Defendants, the Court hereby DISMISSES this case with prejudice.” (Id. at PageId 943.) (emphasis added)

v. Plaintiffs’ Motions to Amend Judgment On October 19, 2017, Plaintiff filed a pro se Motion to Amend a Judgment Order Granting Defendants’ Motion to Dismiss and Dismissing Case with Prejudice in order to “correct a mistake of law.” (ECF No. 43.) All of the arguments made in the briefing were only with respect to the dismissal on the merits, not the lack of personal jurisdiction over Bain and Stryker. (Id.) Plaintiffs then argued for several pages that the Court made a mistake in law by not allowing the case to proceed to a jury trial. (Id. at PageID 952–55.) The Court addressed

these arguments in its Order Denying Motion to Amend Judgment and Order Denying Motion for Extension of Time to File Appeal: “[B]oth motions were filed [pro se] by Thompson while Larry E. Fitzgerald was counsel of record for all Plaintiffs, including Thompson. Accordingly, the motions are both DENIED for violating Local Rule 83.4(f). Moreover, the Court’s January 31, 2018, Order to Show Cause instructed Plaintiffs’ prospective new counsel to appear within fourteen days and to show cause, within fourteen (14) days following the appearance, why the Court should not deny the motions for violating Local Rule 83.4(f). Counsel appeared on the nineteenth (19th) day following the order’s entry, in violation of the Court’s Order. Accordingly, both motions are DENIED.” ((ECF No.

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Bluebook (online)
Thompson v. Medtronic Public Limited Company, Counsel Stack Legal Research, https://law.counselstack.com/opinion/thompson-v-medtronic-public-limited-company-tnwd-2020.