TQ Delta LLC v. 2Wire Inc.

District Court, D. Delaware·Decided July 26, 2021·No. 1:13-cv-01835·Unknown

Opinion

IN THE UNITED STATES DISTRICT COURT FOR THE DISTRICT OF DELAWARE

TQ DELTA, LLC, Plaintiff, v. No. 13-cv-1835-RGA 2WIRE, INC., Defendant.

MEMORANDUM OPINION Brian E. Farnan, Michael J. Farnan, FARNAN LLP, Wilmington, DE; Peter J. McAndrews, Rajendra A. Chiplunkar, Ashley M. Ratycz, MCANDREWS HELD & MALLOY, LTD, Chicago, IL, Attorneys for Plaintiff. Jody C. Barillare, MORGAN LEWIS & BOCKIUS LLP, Wilmington, DE; Brett Schuman, Rachel M. Walsh, GOODWIN PROCTER LLP, San Francisco, CA; Douglas J. Kline, GOODWIN PROCTER LLP, Boston, MA; Andrew S. Ong, GOODWIN PROCTER LLP, □ Redwood City, CA; Cindy Chang, GOODWIN PROCTER LLP, New York, NY, Attorneys for Defendant.

DD), 2021

Before me are multiple motions submitted by Plaintiff TQ Delta and Defendant 2 Wire. This memorandum opinion will address Defendant’s motion for summary judgment of invalidity OL 1420) and Plaintiff's motions for summary judgment of no invalidity (D.I. 1424, 1426). The matters have been fully briefed. (D.I. 1421, 1425, 1428, 1490, 1491, 1494, 1509, 1510, 1512). I. BACKGROUND Plaintiff TQ Delta filed this lawsuit against Defendant 2 Wire asserting infringement of numerous U.S. Patents. (D.I. 1). I divided the case into separate trials by patent “Family.” (D.I. 280). The motions before me involve what I believe is the only remaining Family 6 patent: U.S. Patent No. 8,462,835 (“the ’835 patent”). Defendant moves for summary judgment of invalidity with respect to claims 8 and 10 (collectively, “the Asserted Claims”) on grounds of obviousness under 35 U.S.C. § 103, anticipation under 35 U.S.C. § 102, and indefiniteness under 35 U.S.C. § 112. (D.I. 1420). Plaintiff cross-moves for summary judgment of no invalidity on the same grounds. (D.I. 1424, 1426). The 835 patent claims an apparatus in the field of data communications that counters the effects of impulse noise, which was a known issue for Digital Subscriber Line (DSL) technology prior to invention. “Impulse noise is a short-term burst of noise that is higher than the normal noise that typically exists in a communication channel.” (D.I. 1-19, Ex. 19, ?835 patent at 1:28- 30). DSL systems communicate through telephone lines and can experience disruptive impulse noise from a variety of “sources including telephones, AM radio, HAM radio, other DSL _ services on the same line or in the same bundle; other equipment in the home, etc.” Ud. at 1:3 2- 36). At the time of invention, it was “standard practice for communications systems to use

;

interleaving in combination with Forward Error Correction (FEC) to correct the errors caused by impulse noise.” (/d. at 1:36—-39). The invention improves upon this practice by, for example, “determining the impact of impulse noise on a communication system” and having “the capability to determine how the system should be configured to handle the impulse noise event.” (/d. at 3:24-27). One way the invention “determines the impact of impulse noise” is “by transmitting and receiving using a plurality of different FEC and interleaving parameter [FIP] settings.” (/d. at 3:28-31). When it does so, “the system can transition from one FIP setting to another FIP setting without going through the startup initialization procedure such as the startup initialization sequence utilized in traditional xDSL systems.” (/d. at 3:38-42). Claim 8 of the ’835 patent recites:

An apparatus configurable to adapt forward error correction and interleaver parameter (FIP) settings during steady-state communication or initialization comprising: a transceiver, including a processor, configurable to: transmit a signal using a first FIP setting, transmit a flag signal, and switch to using for transmission, a second FIP setting following transmission of the flag signal, wherein: the first FIP setting comprises at least one FIP value, the second FIP setting comprises at least one second FIP value, different than the first FIP value, and the switching occurs on a pre-defined forward error correction codeword boundary following the flag signal. (D.I. 1-19, Ex. 19, ?835 patent, claim 8). Claim 10 of the ’835 patent recites: The apparatus of claim 8, wherein a first interleaver parameter value of the first FIP setting is different than a second interleaver parameter value of the second FIP setting. (Id., claim 10).

Il. LEGAL STANDARD A. Summary Judgment □

“The court shall grant summary judgment if the movant shows that there is no genuine dispute as to any material fact and the movant is entitled to judgment as a matter of law.” FED. R- Civ. P. 56(a). The moving party has the initial burden of proving the absence of a genuinely disputed material fact relative to the claims in question. Celotex Corp. v. Catrett, 477 U.S. 317, 330 (1986). Material facts are those “that could affect the outcome” of the proceeding, and “a dispute about a material fact is ‘genuine’ if the evidence is sufficient to permit a reasonable jury to return a verdict for the nonmoving party.” Lamont v. New Jersey, 637 F.3d 177, 181 (3d Cir. 2011) (quoting Anderson v. Liberty Lobby, Inc., 477 U.S. 242, 248 (1986)). The burden on the moving party may be discharged by pointing out to the district court that there is an absence of evidence supporting the non-moving party’s case. Celotex, 477 U.S. at 323. The burden then shifts to the non-movant to demonstrate the existence of a genuine issue for trial. Matsushita Elec. Indus. Co. v. Zenith Radio Corp., 475 U.S. 574, 586-87 (1986); Williams v. Borough of West Chester, Pa., 891 F.2d 458, 460-61 (3d Cir. 1989). A non-moving asserting that a fact is genuinely disputed must support such an assertion by: “(A) citing to particular parts of materials in the record, including depositions, documents, electronically stored information, affidavits or declarations, stipulations . . . , admissions, interrogatory answers, or other materials; or (B) showing that the materials cited [by the opposing party] do not establish the absence .. . of a genuine dispute... .” FED. R. Civ. P. 56(c)(1). B. Anticipation □ A patent is invalid as anticipated under 35 U.S.C. § 102 if “the four corners of a single, prior art document describe every element of the claimed invention, either expressly or inherently, such

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TQ Delta LLC v. 2Wire Inc., (D. Del. 2021).

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