WSOU Investments LLC v. Microsoft Corporation

CourtDistrict Court, W.D. Texas
DecidedJune 9, 2022
Docket6:20-cv-00461
StatusUnknown

This text of WSOU Investments LLC v. Microsoft Corporation (WSOU Investments LLC v. Microsoft Corporation) is published on Counsel Stack Legal Research, covering District Court, W.D. Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
WSOU Investments LLC v. Microsoft Corporation, (W.D. Tex. 2022).

Opinion

IN THE UNITED STATES DISTRICT COURT FOR THE WESTERN DISTRICT OF TEXAS WACO DIVISION

WSOU INVESTMENTS LLC, § Plaintiff § § W-20-CV-00454-ADA § W-20-CV-00457-ADA § W-20-CV-00460-ADA -vs- § W-20-CV-00461-ADA § W-20-CV-00463-ADA § W-20-CV-00464-ADA § W-20-CV-00465-ADA § MICROSOFT CORPORATION, § Defendant §

MEMORANDUM OPINION AND ORDER DENYING DEFENDANT MICROSOFT CORPORATION’S MOTION FOR RECONSIDERATION

Before the Court is Defendant Microsoft Corporation’s (“Microsoft”) Motion for Reconsideration of its Motion to Transfer Venue to Austin Division. ECF No. 123.1 Plaintiff WSOU Investments, LLC d/b/a Brazos Licensing and Development’s (“Brazos”) Opposition to Defendant’s Motion was timely filed in response. ECF No. 126. Microsoft filed a reply (ECF No. 130), and Brazos a sur-reply (ECF No. 147). Having considered all the relevant briefing, the Court DENIES Microsoft’s Motion. I. BACKGROUND Brazos filed suit against Microsoft on June 2, 2020. ECF No. 1. On October 2, 2020, Microsoft sought transfer to the Austin Division of the Western District of Texas. ECF No. 31. Microsoft argued that the sources of proof, willing witness, practical problems, and local interest factors favored transfer. Per Microsoft, all other factors were neutral. On April 7, 2021, the Court

1 All references to “ECF No.” correspond to docket entries in No. 6:20-cv-00454, the first-listed case in the caption above. The docket entry number for the motion for reconsideration in the remaining cases is as follows: No. 6:20- cv-457, ECF No. 98; No. 6:20-cv-460, ECF No. 114; No. 6:20-cv-461, ECF No. 111; No. 6:20-cv-463, ECF No. 101; No. 6:20-cv-464, ECF No. 113; No. 6:20-cv-465, ECF No. 108. denied Microsoft’s motion. ECF No. 74. Ultimately, this Court found that the sources of proof, willing witness, administrative difficulties, and local interest factors weighed against transfer to one degree or another. Having failed to meet the requisite burden, the Court denied Microsoft’s request. More than eleven months later, on March 18, 2022, and on the eve of dispositive motion briefing with only three months to trial, Microsoft seeks transfer to the Austin Division. ECF No.

123. The Motion has been fully briefed and is ripe for review. II. LEGAL STANDARD A. Motions for Reconsideration under Rules 59(e) and 54(b) Under Federal Rule of Civil Procedure 59(e), courts may reconsider prior rulings based

upon “(a) an intervening change in controlling law; (2) the availability of new evidence not previously available; or (3) the need to correct a clear error of law or prevent manifest injustice.” In re Benjamin Moore & Co., 318 F.3d 626, 629 (5th Cir. 2002). Rule 54(b) of the Federal Rules of Civil Procedure states “any order or other decision, however designated, that adjudicates fewer than all the claims or the rights and liabilities of fewer than all the parties does not end the action as to any of the claims or parties and may be revised at any time before the entry of a judgment adjudicating all the claims and all the parties’ rights and liabilities.” Thus, under Rule 54(b), the Court can reverse an interlocutory order, such as an order on a motion to transfer venue, “for any reason it deems sufficient, even in the absence

of new evidence or an intervening change in or clarification of the substantive law.” Kroger, 864 F.3d at 336 (quoting Lavespere v. Niagara Mach. & Tool Works, Inc., 910 F.2d 167, 185 (5th Cir. 1990)). In comparison to Rule 59(e), Rule 54(b)’s approach is intended to reflect the “inherent power of the rendering district court to afford such relief from interlocutory judgments as justice requires.” Id. at 337 (quoting Cobell v. Jewell, 802 F.3d 12, 25–26 (D.C. Cir. 2015)). Still: So long as courts recognize that they have the discretion to grant reconsideration even in the absence of any such showing, the flexible approach permits them to require a showing of one of the following factors to justify reconsideration: an intervening change in law; availability of previously unavailable new evidence; or a need to correct a clear legal error or to prevent manifest injustice.

United States v. 89.9270303 Bitcoins, No. SA-18-CV-0998-JKP, 2021 WL 5203337, at *1 (W.D. Tex. Nov. 8, 2021) (internal quotation marks omitted); see also S.L.V. v. Rosen, No. SA-21-CV- 0017-JKP, 2021 WL 243442, at *5 (W.D. Tex. Jan. 25, 2021) (same). “Thus, even though the standard for evaluating a motion to reconsider under Rule 54(b) is ‘less exacting than that imposed by Rules 59 and 60 . . . considerations similar to those under Rules 59 and 60 inform the Court’s analysis.’” Turk v. Pershing LLC, No. 3:09-CV-2199-N, 2019 WL 13074701, at *1 (N.D. Tex. Aug. 1, 2019) (quoting Rotella v. Mid-Continent Cas. Co., 2010 WL 1330449, at *5 (N.D. Tex. Apr. 5, 2010)). Ultimately, the critical inquiry is whether justice requires relief from the interlocutory order. Kroger, 864 F.3d at 337. The more flexible approach under Rule 54(b) to reviewing motions for reconsideration should not lead to such motions automatically being granted. Otherwise, motions for reconsideration become constant reassessments of the Court’s work. See Turk v. Pershing¸ 2019 WL 13074701, at *1 (“[A] district court’s broad discretion under rule 54(b) must be exercised sparingly in order to forestall the perpetual reexamination of orders and the resulting burdens and delays.”). B. Intra-District Motion to Transfer Venue under § 1404 Motions to transfer patent cases are governed by regional circuit law. In re TS Tech USA Corp., 551 F.3d 1315, 1319 (Fed. Cir. 2008). A party seeking transfer “should not delay filing” and must act with “reasonable promptness.” In re Wyeth, 406 F. App’x 475, 477 (Fed. Cir. 2010); Peteet v. Dow Chem. Co., 868 F.2d 1428, 1436 (5th Cir. 1989). Otherwise, “the court

[will] expend time and effort that might become wasted upon transfer.” Wyeth, 406 F. App’x at 477. In the Fifth Circuit, the § 1404(a) factors apply to both inter-district and intra-district transfers. In re Radmax Ltd., 720 F.3d 285, 288 (5th Cir. 2013). It is commonly understood that trial courts have even greater discretion in granting intra-district transfers than they do in the case of inter-district transfers. See, e.g., Sundell v. Cisco Systems Inc., No. 96-41191, 1997 WL 156824, at *1 (5th Cir. 1997) (“Under 28 U.S.C. § 1404(b), the district court has broad discretion in deciding whether to transfer a civil action from a division in which it is pending to any other division in the same district.”). Compare Liles v. TH Healthcare, Ltd., No. 2:11–cv–528–JRG,

2012 WL 3930616, at *6 (E.D. Tex. Sept. 10, 2012) (“[C]ourts in this district view 1404(a) motions for intra-district transfer of venue with heightened caution.”), Madden v. City of Will Point, Tex., No. 2:09–CV–250 (TJW), 2009 WL 5061837, at *3 (E.D. Tex. Dec. 15, 2009) (opining that “greater deference [is] available to [district courts] when considering intra-district transfers”), and Rios v. Scott, No. 1:02–CV–136, 2002 WL 32075775, at *4 (E.D. Tex. Jul.

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WSOU Investments LLC v. Microsoft Corporation, Counsel Stack Legal Research, https://law.counselstack.com/opinion/wsou-investments-llc-v-microsoft-corporation-txwd-2022.