Vesture Corporation v. Thermal Solutions, Inc.

284 F. Supp. 2d 290, 2003 U.S. Dist. LEXIS 16837, 2003 WL 22208917
CourtDistrict Court, M.D. North Carolina
DecidedSeptember 16, 2003
DocketCIV.1:01 CV 01006
StatusPublished
Cited by2 cases

This text of 284 F. Supp. 2d 290 (Vesture Corporation v. Thermal Solutions, Inc.) is published on Counsel Stack Legal Research, covering District Court, M.D. North Carolina primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Vesture Corporation v. Thermal Solutions, Inc., 284 F. Supp. 2d 290, 2003 U.S. Dist. LEXIS 16837, 2003 WL 22208917 (M.D.N.C. 2003).

Opinion

MEMORANDUM OPINION

BULLOCK, District Judge.

I. INTRODUCTION

This is a patent infringement case involving the technology of heated food delivery bags. Plaintiff Vesture Corporation (“Vesture”) filed this declaratory action against Defendants Thermal Solutions, Inc. (“TSI”) and Cooktek, Inc. (collectively “Defendants”) asserting non-infringement of three patents: U.S. Patent Nos. 6,232,-585 (“the ’585 patent”), 6,444,961 (“the ’961 patent”), and 6,274,856 (“the ’856 patent”) (collectively “TSI’s patents”). Vesture also alleged state law claims of tortious interference with prospective business relations and unfair and deceptive trade practices. Defendants answered and counterclaimed alleging infringement, contributory infringement, and inducement of infringement. In response, Vesture claimed that one or more of the claims of TSI’s patents were invalid under 35 U.S.C. § 1 et seq., including without limitation, 35 U.S.C. §§ 102, 103, and/or 112. The court conducted a claims construction hearing on May 1, 2003. Presently before the court are Defendants’ motion to dismiss all claims regarding the ’856 patent, cross-motions for summary judgment regarding infringement of the ’585 and ’961 patents, and Defendants’ motion for summary judgement regarding Vesture’s tortious interference with prospective business relations and unfair and deceptive trade practices claims.

*294 II. BACKGROUND

Vesture is a North Carolina corporation with its principal place of business in Ashe-boro, North Carolina. TSI is a Kansas corporation with its principal place of business in Wichita, Kansas. Cooktek is an Illinois corporation with its principal place of business in Chicago, Illinois. Cooktek is the exclusive licensee within the field of products including food delivery systems under TSI’s patents. TSI is the assignee of TSI’s patents.

TSI’s patents relate to a heated food delivery system. In the past, companies have used simple insulated bags to deliver food to consumers. More recently, however, companies have used newer heated food delivery systems. The first generation heated systems were “corded” units having an electrical cord and an internal electrical heating element. Each of TSI’s patents is concerned with the newer generation of food delivery systems having specialized induction heating equipment which eliminates cords, heats quickly, and automatically controls bag temperature to a desired delivery temperature without any user input or control.

On May 19, 1999, Brian Clothier and Amil J. Ablah filed the application for the ’585 patent with the United States Patent and Trademark Office (“PTO”). On September 27, 2000, the PTO issued an “Office Action” rejecting all pending claims, i.e., claims 17-28 and 34-38. Following an interview with the PTO examiner, a proposed Amendment was filed on January 26, 2001. On May 15, 2001, the PTO issued a Notice of Allowability.

On April 5, 2001, Clothier, Ablah, Robert E. Wolters, Jr., William W. Heine, and David E. May filed the application for the ’961 patent. On September 13, 2001, the PTO issued an Office Action rejecting all pending claims except claims 37, 38, 44, and 45. In response, the applicants filed an Amendment on November 1, 2001, followed by Supplemental Amendments on November 14 and 16 and December 4, 2001, adding new claims. A Final Office Action was issued on February 26, 2002, allowing claims 37, 38, 44, 45 and 50-77 but rejecting all remaining claims. In response to this Office Action, applicants filed an Amendment on March 4, 2002, canceling the rejected claims. On September 3, 2002, the PTO issued a Notice of Allowability.

On June 29, 2000, Clothier and Ablah filed the application for the ’856 patent. On January 10, 2001, the PTO issued an Office Action rejecting all pending claims, ie., claims 1-22. In response to this Office Action, the applicants filed an Amendment on April 4, 2001. On April 18, 2001, the PTO issued a Notice of Allowability.

III. DISCUSSION

A. Subject Matter Jurisdiction for the ’856 Patent

Vesture originally brought a declaratory action of non-infringement against Defendants over the ’856 patent. Defendants answered and counterclaimed alleging that Vesture infringed the ’856 patent. In response, Vesture asserted that numerous claims of the ’856 patent were invalid. Both parties then engaged in prolonged discovery regarding the ’856 patent. Subsequently, Defendants claim that they have decided not to assert any of the claims of the ’856 patent against Vesture in this case. Supporting this, Defendants tendered an “unequivocal nonliability letter” to Vesture stating that Defendants will not assert at trial that Vesture’s allegedly infringing product infringes the ’856 patent. (Decl. of John M. Collins in Supp. Def.’s Mot. Dismiss All Claims Regarding U.S. Patent No. 6,274,856, Ex. 1).

Defendants claim that this letter coupled with their statement that they are not asserting the ’856 patent against any of *295 Vesture’s past or present commercialized products means that Vesture can have no reasonable apprehension of litigation. Thus, Defendants claim that this court is divested of subject matter jurisdiction under Super Sack Mfg. Corp. v. Chase Packaging Corp., 57 F.3d 1054 (Fed.Cir.1995). Vesture distinguishes Super Sack and claims that this court should exercise its discretion and maintain jurisdiction over this claim.

Under Article III of the United States Constitution and by the terms of the Declaratory Judgments Act (“DJA”), 28 U.S.C. § 2201, the existence of an actual controversy is a predicate to federal subject matter jurisdiction over a claim. Super Sack, 57 F.3d at 1058. Furthermore, the actual controversy must continue at all times throughout the lawsuit, not only at the time the action was commenced. See Preiser v. Newkirk, 422 U.S. 395, 401, 95 S.Ct. 2330, 45 L.Ed.2d 272 (1975). “The long established rule of law is that a declaratory judgment plaintiff must establish an actual controversy on the ‘totality of the circumstances.’ ” Spectronics Corp. v. H.B. Fuller Co., Inc., 940 F.2d 631, 634 (Fed.Cir.1991) (quoting Maryland Cas. Co. v. Pacific Coal & Oil Co., 312 U.S. 270, 272, 61 S.Ct. 510, 85 L.Ed. 826 (1941)). There are two requirements for jurisdiction to exist under the DJA, 28 U.S.C. § 2201:

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284 F. Supp. 2d 290, 2003 U.S. Dist. LEXIS 16837, 2003 WL 22208917, Counsel Stack Legal Research, https://law.counselstack.com/opinion/vesture-corporation-v-thermal-solutions-inc-ncmd-2003.