throbber
Case 1:20-cv-00518-GBW Document 38 Filed 07/11/22 Page 1 of 26 PageID #: 801
`
`
`
`AMERANTH, INC.,
`
`
`
`
`
`
`
`
`Plaintiff,
`
`
`
`
`
`C.A. No. 20-518 (LPS)
`
`v.
`
`
`OLO INC.,
`
`
`
`
`
`IN THE UNITED STATES DISTRICT COURT
`FOR THE DISTRICT OF DELAWARE
`
`)
`)
`)
`)
`)
`)
`)
`)
`)
`
`
`
`DEFENDANT’S OPENING BRIEF IN SUPPORT OF ITS
`MOTION FOR RECOVERY OF ATTORNEYS’ FEES UNDER 35 U.S.C. § 285
`
`
`
`Defendant.
`
`MORRIS, NICHOLS, ARSHT & TUNNELL LLP
`Jack B. Blumenfeld (#1014)
`Karen Jacobs (#2881)
`Cameron P. Clark (#6647)
`1201 North Market Street
`P.O. Box 1347
`Wilmington, DE 19899
`(302) 658-9200
`jblumenfeld@morrisnichols.com
`kjacobs@morrisnichols.com
`cclark@morrisnichols.com
`
`Attorneys for Defendant
`Olo Inc.
`
`
`
`
`
`
`
`
`
`
`
`
`
`
`OF COUNSEL:
`
`Heidi L. Keefe
`Lowell D. Mead
`COOLEY LLP
`3175 Hanover Street
`Palo Alto, CA 94304-1130
`(650) 843 5000
`
`July 11, 2022
`
`
`
`

`

`Case 1:20-cv-00518-GBW Document 38 Filed 07/11/22 Page 2 of 26 PageID #: 802
`
`
`
`I.
`II.
`III.
`IV.
`
`A.
`B.
`
`C.
`
`TABLE OF CONTENTS
`
`Page
`
`
`The California Court Found an Exceptional Case Under § 285 on a
`
`The ’651 Patent Is Substantially Similar to Ameranth’s Invalid Related
`
`1.
`
`2.
`
`The ’651 patent specification is equally devoid of technological
`
`The asserted ’651 claims are equally devoid of technological
`
`INTRODUCTION ............................................................................................................. 1
`NATURE AND STAGE OF THE PROCEEDINGS ........................................................ 2
`SUMMARY OF THE ARGUMENT ................................................................................ 2
`STATEMENT OF FACTS ................................................................................................ 3
`The Federal Circuit Held Invalid Four Related Patents Under § 101 .................... 3
`Related Patent Based In Part on Weakness Under § 101. ...................................... 5
`Patents. ................................................................................................................... 6
`invention as the invalid related patents. ..................................................... 6
`invention as the invalid related patent claims. ........................................... 8
`the Same Grounds as the Four Related Patents. .................................................... 9
`Domino’s Pizza. ......................................................................................... 9
`judgment. ................................................................................................. 12
`The Supreme Court denied Ameranth’s certiorari petition. ..................... 12
`LEGAL STANDARD ...................................................................................................... 13
`ARGUMENT ................................................................................................................... 14
`and Ameranth Refused to Drop This Case. ........................................................... 14
`Patentees From Pursuing Meritless Litigation. .................................................... 17
`The Court Should Award Olo Its Attorneys’ Fees For The Entire Case. ............ 19
`VII. CONCLUSION ................................................................................................................ 20
`
`D.
`
`This Court and the Federal Circuit Held Invalid the Related ’651 Patent on
`
`This Court held invalid the ’651 patent based on Apple and
`
`This Federal Circuit summarily affirmed this Court’s invalidity
`
`1.
`
`2.
`
`3.
`
`V.
`VI.
`
`A.
`
`B.
`
`C.
`
`The Substantive Strength of Ameranth’s Position was Exceptionally Weak
`
`The Court Should Award Fees To Deter Ameranth And Similarly-Situated
`
`
`
`
`
`i
`
`

`

`Case 1:20-cv-00518-GBW Document 38 Filed 07/11/22 Page 3 of 26 PageID #: 803
`
`
`
`Cases
`
`TABLE OF AUTHORITIES
`
`Page(s)
`
`Aatrix Software, Inc. v. Green Shades Software, Inc.,
`890 F.3d 1354 (Fed. Cir. 2018)..........................................................................................10, 16
`
`Alice Corp. Pty. Ltd. v. CLS Bank Int’l,
`573 U.S. 208 (2014) ......................................................................................................... passim
`
`Ameranth, Inc. v. Domino’s Pizza, Inc.,
`No. 12-cv-0733 DMS (WVG), 2021 WL 2550057 (S.D. Cal. June 21, 2021) .........................6
`
`Ameranth, Inc. v. Domino’s Pizza, Inc.,
`No. 12-cv-0733 DMS (WVG), 2021 WL 409725 (S.D. Cal. Feb. 5, 2021) ..............2, 5, 14, 18
`
`Ameranth, Inc. v. Domino’s Pizza, LLC,
`141 S. Ct. 249 (2020) .................................................................................................................5
`
`Ameranth, Inc. v. Domino’s Pizza, LLC,
`792 F. App’x 780 (Fed. Cir. 2019) .................................................................................. passim
`
`Ameranth, Inc. v. Menusoft Sys. Corp.,
`2:07-cv-00271, Dkt. No. 263 (E.D. Tex. Sept. 20, 2010) ..........................................................3
`
`Ameranth, Inc. v. Olo Inc.,
`Case No. 21-1228 (U.S. Mar. 7, 2022) ....................................................................................12
`
`Ameranth, Inc. v. Olo Inc.,
`No. 2021-1211, 2021 WL 4699180 (Fed. Cir. Oct. 8, 2021)...................................................12
`
`Ameranth, Inc. v. Olo Inc.,
`No. 21-1228, 2022 WL 2111376 (U.S. June 13, 2022) .......................................................2, 13
`
`Ameranth, Inc. v. Pizza Hut, Inc.,
`No. 3:11-cv-1810-DMS-WVG, Dkt. No. 1395 (S.D. Cal. Sept. 25, 2018) ...............................4
`
`American Axle & Manufacturing, Inc. v. Neapco Holdings LLC,
`Case No. 20-891 (U.S. Dec. 28, 2020) ..............................................................................12, 13
`
`Apple, Inc. v. Ameranth, Inc.,
`842 F.3d 1229 (Fed. Cir. 2016)........................................................................................ passim
`
`Customedia Techs., LLC v. Dish Network Corp.,
`951 F.3d 1359 (Fed. Cir. 2020)................................................................................................15
`
`
`
`ii
`
`

`

`Case 1:20-cv-00518-GBW Document 38 Filed 07/11/22 Page 4 of 26 PageID #: 804
`
`
`
`TABLE OF AUTHORITIES
`(continued)
`
`Elec. Commc’n Techs., LLC v. ShoppersChoice.com, LLC,
`958 F.3d 1178 (Fed. Cir. 2020)................................................................................................17
`
`Page(s)
`
`Elec. Commc’n Techs., LLC v. ShoppersChoice.com, LLC,
`963 F.3d 1371 (Fed. Cir. 2020)................................................................................................16
`
`Elec. Commc’n Techs., LLC v. ShoppersChoice.com, LLC,
`No. 16-cv-81677-MARRA, 2020 WL 9440337 (S.D. Fla. Oct. 30, 2020) .............................16
`
`Finnavations LLC v. Payoneer, Inc.,
`C.A. No. 1:18-cv-00444-RGA, 2019 WL 1236358 (D. Del. Mar. 18, 2019)..............11, 17, 20
`
`Innovation Scis., LLC v. Amazon.com, Inc.,
`842 F. App’x 555 (Fed. Cir. 2021) ..........................................................................................14
`
`Inventor Holdings, LLC v. Bed Bath & Beyond, Inc.,
`876 F.3d 1372 (Fed. Cir. 2017)........................................................................................ passim
`
`Kindred Studio Illustration & Design, LLC v. Elec. Commc’n Tech., LLC,
`No. 2:18-CV-07661 (GJS), 2019 WL 3064112 (C.D. Cal. May 23, 2019) .............................16
`
`Mathis v. Spears,
`857 F.2d 749 (Fed. Cir. 1988)..................................................................................................19
`
`Octane Fitness, LLC v. ICON Health & Fitness, Inc.,
`572 U.S. 545 (2014) ...........................................................................................................13, 14
`
`Sensonics, Inc. v. Aerosonic Corp.,
`81 F.3d 1566 (Fed. Cir. 1996)..................................................................................................19
`
`Therasense, Inc. v. Becton, Dickinson & Co.,
`745 F.3d 513 (Fed. Cir. 2014)..................................................................................................19
`
`Statutes
`
`28 U.S.C. § 1961 ............................................................................................................................19
`
`35 U.S.C.
`§ 101................................................................................................................................. passim
`§ 285................................................................................................................................. passim
`
`
`
`iii
`
`

`

`Case 1:20-cv-00518-GBW Document 38 Filed 07/11/22 Page 5 of 26 PageID #: 805
`
`
`
`Other Authorities
`
`TABLE OF AUTHORITIES
`(continued)
`
`Page(s)
`
`Federal Rules of Civil Procedure Rule
`12(b)(6) ..................................................................................................................................2, 9
`54(d)(2)(C) ...............................................................................................................................19
`
`
`
`
`
`iv
`
`

`

`Case 1:20-cv-00518-GBW Document 38 Filed 07/11/22 Page 6 of 26 PageID #: 806
`
`
`
`
`I.
`
`INTRODUCTION
`
`This meritless patent case never should have been filed. An award of attorneys’ fees to Olo
`
`Inc. (“Olo”) for this “exceptional case” under 35 U.S.C. § 285 is justified to serve the dual purposes
`
`of compensation and deterrence.
`
`The patent asserted by Ameranth, Inc. (“Ameranth”), U.S. Patent No. 9,747,651 (“the ’651
`
`patent”), was clearly invalid under 35 U.S.C. § 101 and the Supreme Court’s landmark decision in
`
`Alice Corp. Pty. Ltd. v. CLS Bank Int’l, 573 U.S. 208 (2014). This case arguably would have been
`
`exceptional based on the weakness of the ’651 patent by itself. But the case is rendered clearly
`
`exceptional by Ameranth’s litigation history. Before Ameranth brought this suit, the Federal
`
`Circuit had already held invalid four related Ameranth patents with specifications and claim
`
`language that substantially overlap with the ’651 patent. Apple, Inc. v. Ameranth, Inc., 842 F.3d
`
`1229 (Fed. Cir. 2016) (“Apple”); Ameranth, Inc. v. Domino’s Pizza, LLC, 792 F. App’x 780 (Fed.
`
`Cir. 2019) (“Domino’s Pizza”). The Federal Circuit’s reasoning that invalidated those similar
`
`claims also doomed the ’651 patent. The patents are all directed to nothing more exotic than the
`
`idea of using a wireless system to communicate and synchronize food orders instead of using
`
`traditional pen-and-paper. As the Federal Circuit twice explained, the patents claim only high-
`
`level desired functional results and proclaim that their ideas use only “typical” hardware
`
`components and “commonly known” software programming steps rather than providing any
`
`inventive new patent-eligible technology. Apple, 842 F.3d at 1241-43; see also Domino’s Pizza,
`
`792 F. App’x at 786-88.
`
`As expected, the Court in this case applied the same reasoning to hold invalid the asserted
`
`claims of the ’651 patent. D.I. 29 at 12-17. On appeal, not surprisingly, the Federal Circuit
`
`summarily affirmed. At each stage, Olo implored Ameranth to drop this case and warned that Olo
`
` 1
`
`

`

`Case 1:20-cv-00518-GBW Document 38 Filed 07/11/22 Page 7 of 26 PageID #: 807
`
`
`
`would seek fees under § 285, but to no avail. Ameranth even filed a frivolous petition for certiorari
`
`at the Supreme Court, which was promptly denied.
`
`No reasonable plaintiff would have asserted the ’651 patent after the Federal Circuit’s
`
`rulings in Apple and Domino’s Pizza. Indeed, during the appeal in this case, the district court in
`
`the Domino’s Pizza case found that case to be exceptional under § 285 and awarded fees against
`
`Ameranth based in part on the weakness of its § 101 position after Apple.1 That reasoning applies
`
`even more strongly in this case, filed after both Apple and Domino’s Pizza. All that remains now
`
`is to compensate Olo for having to defend against this exceptionally meritless case and to deter
`
`Ameranth and similarly-situated plaintiffs from pursing such meritless litigation in the future.
`
`II.
`
`NATURE AND STAGE OF THE PROCEEDINGS
`
`The Court granted Olo’s Rule 12(b)(6) motion to dismiss with prejudice for invalidity
`
`under 35 U.S.C. § 101 in October 2020. D.I. 29 at 12-17. Ameranth appealed to the Federal Circuit,
`
`which summarily affirmed this Court’s judgment in October 2021. See D.I. 35. Ameranth filed a
`
`petition for certiorari to the Supreme Court, which was denied on June 13, 2022. Ameranth, Inc.
`
`v. Olo Inc., No. 21-1228, 2022 WL 2111376, at *1 (U.S. June 13, 2022). This motion is timely
`
`filed under the parties’ stipulation adopted by the Court. D.I. 36.
`
`III.
`
`SUMMARY OF THE ARGUMENT
`
`1.
`
`Ameranth never should have filed this case because the asserted ’651 patent is
`
`clearly invalid under § 101, Alice, and the Federal Circuit’s rulings in Apple and Domino’s Pizza.
`
`This case stands out from others as an exceptionally meritless case. No reasonable litigant would
`
`have expected the patent to survive the § 101 inquiry in light of this precedent. The Court should
`
`award fees under § 285 for the purposes of compensation and deterrence consistent with case law
`
`
`1 Ameranth, Inc. v. Domino’s Pizza, Inc., No. 12-cv-0733 DMS (WVG), 2021 WL 409725, at *9
`(S.D. Cal. Feb. 5, 2021) (“Domino’s Pizza § 285”).
`
` 2
`
`

`

`Case 1:20-cv-00518-GBW Document 38 Filed 07/11/22 Page 8 of 26 PageID #: 808
`
`
`
`precedent.
`
`2.
`
`The Court should award fees for the entire case through completion of appeal,
`
`consistent with Federal Circuit precedent, given that the case was meritless from the outset.
`
`IV.
`
`STATEMENT OF FACTS
`
`This was the latest action in a lengthy litigation campaign by Ameranth asserting a family
`
`of invalid patents against dozens of defendants over the past 15 years.
`
`A.
`
`The Federal Circuit Held Invalid Four Related Patents Under § 101
`
`Ameranth’s first patent litigation ended after it lost a jury trial. In 2007, Ameranth sued
`
`Menusoft, Inc. in the Eastern District of Texas on related U.S. Patent Nos. 6,384,850 (the “’850
`
`patent”), 6,871,325 (the “’325 patent”), and 6,982,733 (the “’733 Patent”). The ’850 and ’325
`
`patents are earlier patents that share a written description, and the ’733 patent is a continuation-in-
`
`part of the ’850 patent. In 2010, a jury found that all asserted claims of those three patents were
`
`invalid and not infringed. Ameranth, Inc. v. Menusoft Sys. Corp., 2:07-cv-00271, Dkt. No. 263
`
`(E.D. Tex. Sept. 20, 2010).2
`
`In 2011 and 2012, Ameranth sued more than 30 defendants in the Southern District of
`
`California, Ameranth’s home district. The defendants included Olo, the defendant here (then
`
`known as Mobo Systems, Inc.). In those cases, Ameranth asserted the ’850, ’325, and ’733 patents
`
`along with related U.S. Patent No. 8,146,077 (the “’077 patent”). The ’077 patent is a continuation
`
`of the ’733 patent and shares the same written description.
`
`The issuance of Alice in 2014 doomed Ameranth’s asserted patents. Following Alice, the
`
`Federal Circuit ultimately held that the asserted claims of all four related patents were invalid
`
`
`2 Pursuant to a settlement and stipulated joint motion, the invalidity verdicts and judgment were
`subsequently vacated. See id. at Dkt. Nos. 263, 265, 331, 332, 348, 355.
`
` 3
`
`

`

`Case 1:20-cv-00518-GBW Document 38 Filed 07/11/22 Page 9 of 26 PageID #: 809
`
`
`
`under § 101 and the two-step test for patent-eligibility set forth in Alice.3 First, Olo and other
`
`defendants filed Covered Business Method review petitions with the Patent Trial & Appeal Board
`
`(“PTAB”) challenging certain claims of the ’850, ’325, and ’733 patents based on invalidity under
`
`§ 101 and other grounds. The PTAB found most of the challenged claims invalid under § 101 and
`
`found that a few dependent claims had not been proven invalid. In Apple, the Federal Circuit
`
`affirmed the findings of invalidity and reversed as to the dependent claims that had been found
`
`patentable, holding that the dependent claims were also invalid. Apple, 842 F.3d 1229. The Court
`
`held that the claims failed under step one of the Alice test because they were directed to an abstract
`
`idea. The Court explained:
`
`We affirm the Board’s conclusion that the claims in these patents are directed to an
`abstract idea. The patents claim systems including menus with particular features.
`They do not claim a particular way of programming or designing the software to
`create menus that have these features, but instead merely claim the resulting
`systems. Essentially, the claims are directed to certain functionality—here, the
`ability to generate menus with certain features. Alternatively, the claims are not
`directed to a specific improvement in the way computers operate.
`
`Id. at 1241 (citations omitted). At step two, the Court held that the claims fail to recite an inventive
`
`concept and observed that “the specifications describe the hardware elements of the invention as
`
`‘typical’ and the software programming needed as ‘commonly known.’” Id. at 1241-43.
`
`After Apple, litigation on the related ’077 patent proceeded in the Southern District of
`
`California with the actions consolidated for pretrial purposes. In 2018, applying the reasoning from
`
`Apple, the court granted Domino’s Pizza’s motion for summary judgment that all asserted claims
`
`of the ’077 patent are invalid under § 101. Ameranth, Inc. v. Pizza Hut, Inc., No. 3:11-cv-1810-
`
`
`3 At step one of the Alice test, the court determines if the claim at issue is directed to a patent-
`ineligible concept, such as an “abstract idea.” Alice, 573 U.S. at 217. At step two, the court
`determines whether the claim recites an “inventive concept” sufficient to “transform the nature of
`the claim into a patent-eligible application.” Id. at 217-18 (citation and internal quotation marks
`omitted).
`
` 4
`
`

`

`Case 1:20-cv-00518-GBW Document 38 Filed 07/11/22 Page 10 of 26 PageID #: 810
`
`
`
`DMS-WVG, Dkt. No. 1395 (S.D. Cal. Sept. 25, 2018) (“Domino’s Pizza § 101”).4
`
`In October 2019, the Federal Circuit in Domino’s Pizza affirmed the district court’s
`
`invalidity ruling, applying the same reasoning from Apple. Domino’s Pizza, 792 F. App’x at 786-
`
`88. At step one, the Court held that the claims were directed to “configuring and transmitting
`
`hospitality menu related information using a system that is capable of synchronous
`
`communications and automatic formatting” using “essentially result-focused and functional
`
`language” that failed to provide “specifics of a particular conception of how to carry out that
`
`concept.” Domino’s Pizza, 792 F. App’x at 786-87 (citations and internal quotation marks
`
`omitted). At step two, the Court again pointed to the specification’s dispositive admission that the
`
`“described invention” would use “commonly known” programming steps, leaving the patent and
`
`claims devoid of any patent-eligible inventive concept. Id. at 787. The Court also held that expert
`
`and inventor testimony submitted by Ameranth failed to avoid invalidity as a matter of law. Id. at
`
`788.
`
`Ameranth then filed a petition for certiorari at the Supreme Court, which was denied.
`
`Ameranth, Inc. v. Domino’s Pizza, LLC, 141 S. Ct. 249 (2020).
`
`B.
`
`The California Court Found an Exceptional Case Under § 285 on a Related
`Patent Based In Part on Weakness Under § 101.
`
`After the Domino’s Pizza appeal concluded, the California district court in February 2021
`
`granted a motion by Domino’s Pizza to declare that case exceptional under § 285 and award
`
`attorneys’ fees. Domino’s Pizza § 285, 2021 WL 409725, at *9. Among other factors, the Court
`
`cited the substantive weakness of Ameranth’s position on § 101 after Apple and the need to deter
`
`Ameranth from continuing to pursue meritless litigation on other patents from the same family:
`
`
`4 The California court also later granted a motion for summary judgment invalidating certain ’077
`dependent claims that had not been asserted against Domino’s Pizza. No. 3:11-cv-1810-DMS-
`WVG, Dkt. No. 1551 (S.D. Cal. Mar. 14, 2022).
`
` 5
`
`

`

`Case 1:20-cv-00518-GBW Document 38 Filed 07/11/22 Page 11 of 26 PageID #: 811
`
`
`
`Ameranth’s substantive position on the validity of the ’077 Patent was also weak
`after the Supreme Court’s decision in Alice and the Federal Circuit’s decision in
`Apple. As stated above, Ameranth had a “responsibility to reassess its case” after
`Alice, and there is little evidence that it did so. On the contrary, the record reflects
`that Ameranth pushed ahead without any apparent concern that the ’077 Patent
`might be found unpatentable. That proved to be a mistake, and an especially
`obvious one after the Federal Circuit’s decision in Apple. Ameranth’s intent to
`continue with this litigation, and to pursue litigation on other patents from the same
`family, is indicative of its obstinate position, and suggests a need to deter similar
`conduct in the future.
`
`Id. (citations omitted). The Court awarded fees and costs totaling approximately $2.786 million.
`
`Ameranth, Inc. v. Domino’s Pizza, Inc., No. 12-cv-0733 DMS (WVG), 2021 WL 2550057, at *1-
`
`3 (S.D. Cal. June 21, 2021). After that order issued, Olo promptly relayed it to Ameranth’s counsel
`
`in this case, as discussed further below, but Ameranth refused to drop this case.
`
`C.
`
`The ’651 Patent Is Substantially Similar to Ameranth’s Invalid Related
`Patents.
`
`Undeterred by the adverse rulings, Ameranth sued Olo in this Court on April 16, 2020.
`
`This is the only action to date asserting the ’651 patent. The ’651 patent is based on a continuation-
`
`in-part application of the invalid ’077 patent. D.I. 1-1 (’651 patent). The ’651 patent shares with
`
`the invalid related patents the same key admissions which the Federal Circuit relied upon in Apple
`
`and Domino’s Pizza, which this Court relied upon in invalidating the ’651 claims here.
`
`1.
`
`The ’651 patent specification is equally devoid of technological
`invention as the invalid related patents.
`
`Most of the ’651 specification is the same as the ’077 patent from Domino’s Pizza,
`
`including all of the Background of the Invention, all of the Summary of the Invention, Figures 1-
`
`9, and the detailed description of the preferred embodiment corresponding to Figure 1-9.
`
`The Background of the Invention describes the purported deficiencies in the prior art.
`
`Hospitality services, such as restaurants, used “pen and paper” to take orders and reservations
`
`verbally, without the efficient use of electronic systems. See ’651, 1:38-41 (“pen and paper have
`
` 6
`
`

`

`Case 1:20-cv-00518-GBW Document 38 Filed 07/11/22 Page 12 of 26 PageID #: 812
`
`
`
`prevailed in the hospitality industry, e.g., for restaurant ordering, reservations and wait-list
`
`management”), 2:52-55 (“paper-based ordering, waitlist and reservations management have
`
`persisted in the face of widespread computerization”).
`
`To improve on those pen-and-paper techniques, the specification purports to describe an
`
`“information management and synchronous communications system” where hospitality-related
`
`information can be communicated automatically among connected system components. Id., 3:1-
`
`24, 3:28-5:46. The specification proceeds to discuss an embodiment of such a “communications
`
`system” as reflected in Figures 1-9 and their corresponding text. Among other things, Figure 9
`
`shows a high-level system overview including various boxes identifying desired functional results.
`
`Id., Fig. 9. Figure 9 shows a “Communications Controller” box in its center. Id. The specification
`
`states that a “communications control program monitors and routes all communications to the
`
`appropriate devices.” Id., 10:53-59.
`
`Beyond those portions of the specification that overlap with the invalid ’077 patent, the
`
`’651 specification contains some additional content. ’651, 13:7-11, 13:36-18:62, Fig. 10. The
`
`additional content, though, does not disclose any new patent-eligible technology. The ’651 patent
`
`specification adds ideas for including messaging features to the system (e.g., text and/or voice
`
`messaging for reservation appointments and waitlists), but describes those ideas only in high-level,
`
`purely functional terms without any technical details. See id. For example, information from a user
`
`may be “converted” to another form (e.g., “text-to-voice”) but the patent states only the desired
`
`results; it does not describe any new underlying conversion technology. E.g., id., 13:7-11, 14:34-
`
`57, 15:15-47. Figure 10 of the patent reflects this “conversion” notion. Figure 10 is mostly identical
`
`to Figure 9 except it adds two circles labeled “Communication Conversions.” ’651, Fig. 10. The
`
`patent also adds that a computer might serve as an “automated reservations assistant” to
`
` 7
`
`

`

`Case 1:20-cv-00518-GBW Document 38 Filed 07/11/22 Page 13 of 26 PageID #: 813
`
`
`
`communicate with a user, but does not describe any detailed technical foundation for this high-
`
`level idea. Id., 14:66-15:51.
`
`Critically, the ’651 specification repeats verbatim the same key admissions that the Federal
`
`Circuit relied upon in holding invalid the four related patents. The disclosed system uses only
`
`conventional “typical hardware elements,” not any new inventive device:
`
`The preferred embodiment of the present invention uses typical hardware elements
`in the form of a computer workstation, operating system and application software
`elements which configure the hardware elements for operation in accordance with
`the present invention. . . .
`
`’651, 6:63-7:18 (emphasis added). Nor does the ’651 patent describe any inventive software. The
`
`patent states: “The software applications for performing the functions falling within the described
`
`invention can be written in any commonly used computer language. The discrete programming
`
`steps are commonly known and thus programming details are not necessary to a full description
`
`of the invention.” Id., 13:12-17 (emphasis added).
`
`2.
`
`The asserted ’651 claims are equally devoid of technological invention
`as the invalid related patent claims.
`
`Because the specification explicitly disavows any inventive new hardware or software, it
`
`is no surprise that the claims likewise fail to recite any inventive new hardware or software. The
`
`asserted claims of the ’651 patent recite only the same type of purely functional, result-oriented
`
`language as its four previously invalidated family members.
`
`Ameranth asserted that Olo infringes ’651 claims 1, 3, 6, 9, 10, and 11. D.I. 1; D.I. 18; D.I.
`
`23-1. Even a cursory review confirms that the asserted claims are directed to high-level desired
`
`functional results, not any inventive new device or technology. See ’651, claims 1, 3, 6, 9, 10, 11.
`
`The claims are structured similarly to claim 13 of the related ’077 patent held invalid in Domino’s
`
`Pizza. That claim recited a “master database” of “hospitality” information, at least one “wireless
`
`handheld computing device,” at least one “web server,” “communications control” software, and
`
` 8
`
`

`

`Case 1:20-cv-00518-GBW Document 38 Filed 07/11/22 Page 14 of 26 PageID #: 814
`
`
`
`desired functions including “real time synchronous” transmission of information between the
`
`system components. Here, the asserted ’651 claims recite similar elements as well as a generic
`
`“back-office application,” “messaging” features including “free format” and “fixed format”
`
`messaging, application programming interface (API) features, and “intelligent automated
`
`assistants (IAA)” features, all in high-level result-oriented terms. ’651, claims 1, 3, 6, 9, 10, 11.
`
`Much like the ineligible claims of the four related patents, nothing in these claims provides
`
`any patent-eligible new technology. Everything is stated in purely functional, result-oriented
`
`terms—desired results to be achieved, somehow, through some unspecified programming.
`
`D.
`
`This Court and the Federal Circuit Held Invalid the Related ’651 Patent on
`the Same Grounds as the Four Related Patents.
`
`As expected, the ’651 patent was held invalid in view of Apple and Domino’s Pizza. At
`
`each juncture, Olo implored Ameranth to drop this meritless case, but Ameranth refused.
`
`1.
`
`This Court held invalid the ’651 patent based on Apple and Domino’s
`Pizza.
`
`On July 22, 2020, Olo filed a Rule 12(b)(6) motion to dismiss explaining how the asserted
`
`claims of the ’651 patent are ineligible under § 101 for substantially the same reasons as the four
`
`related patents in Apple and Domino’s Pizza. D.I. 8-9. Ameranth filed its opposition brief on
`
`August 5, 2020, which failed to meaningfully distinguish Apple and Domino’s Pizza and failed to
`
`demonstrate any patent-eligible invention in the asserted claims. D.I. 12. Olo filed its reply brief
`
`on August 12, 2020 (D.I. 14) and the parties submitted pre-hearing letter briefs (D.I. 16-19).5
`
`
`5 Ameranth’s letter indicated that it planned to amend its complaint to assert additional dependent
`claims. D.I. 19 at 3. In response, Olo filed a request for leave to submit letter briefing explaining
`why the newly-raised claims were also ineligible under § 101. D.I. 20. Ameranth opposed that
`request. D.I. 21. The parties then stipulated that Ameranth would file its amended complaint
`adding dependent claims 9 and 10, the pending motion to dismiss and briefing would apply to the
`amended complaint, and the parties would submit additional supplemental letter briefs regarding
`the amended complaint, which the parties submitted. D.I. 23 (stipulation), D.I. 23-1 (amended
`complaint), D.I. 24-25 (supplemental letter briefs).
`
` 9
`
`

`

`Case 1:20-cv-00518-GBW Document 38 Filed 07/11/22 Page 15 of 26 PageID #: 815
`
`
`
`On September 30, 2020, then Chief Judge Stark court heard oral argument. D.I. 28. On
`
`October 2, 2020, the Court announced its ruling, which was subsequently issued as a memorandum
`
`opinion on October 13, 2020. D.I. 29 at 11-17. The Court’s opinion explains at length how the
`
`’651 patent claims are invalid for the same reasons the Federal Circuit decided in Apple and
`
`Domino’s Pizza:
`
`Here, and for the reasons I have already stated, the claims are similar to those of
`the related patents that have already been found abstract by the Federal Circuit
`in two other cases: [Apple and Domino’s Pizza] . . . .
`
`Like the claims at issue in those cases . . . , the claims here provide only results-
`focused and functional language without providing any specifics as to how to carry
`out the desired goal. And we know from the Apple and Domino’s Pizza decisions
`that that is not enough to become patent eligible. . . .
`
`Ameranth tries but fails to distinguish the earlier Federal Circuit cases, Apple
`and Domino’s, by pointing to the additions in the specification. . . . [But the] new
`material is just more high level results-focused ideas. In the ’651 patent-in-suit, just
`like the related patents that were already invalidated, neither the claims, nor the
`specification describes any specific programming steps for the IAA system or the
`free format messaging, nor do they claim an improvement to computer
`functionality. . . .
`
`The best comparisons here again are between the ’651 patent and the claims from
`the related patents that were found ineligible for patenting in Apple and
`Domino’s, cases in which the Circuit called out that the specification ‘expressly
`recited that the hardware needed was typical and that the programming steps
`were commonly known,’ and that the patent provided no disclosure of how the
`invention would be technologically implemented.
`
`Id. at 13-16 (emphasis added; brackets in original omitted). The Court also cited the Federal
`
`Circuit’s directive that in a case like this, where the “specification admits the additional claim
`
`elements are well understood, routine and conventional, it will be difficult, if not impossible, for
`
`[a] patentee to show a genuine dispute” that avoids dismissal with prejudice. Id. at 15(quoting
`
`Aatrix Software, Inc. v. Green Shades Software, Inc., 890 F.3d 1354, 1356 (Fed. Cir. 2018))
`
`(emphasis added).
`
`The Court further found that the allegations in Ameranth’s complaint and proffered expert
`
` 10
`
`

`

`Case 1:20-cv-00518-GBW Document 38 Filed 07/11/22 Page 16 of 26 PageID #: 816
`
`
`
`declaration contradicted the patent itself and were therefore “not to be credited”:
`
`Ameranth relies heavily on the Court’s obligation to take as true the well-pled
`factual allegations in its complaint, and Ameranth relies equally heavy, if not more
`so, on the declaration of its expert, D

This document is available on Docket Alarm but you must sign up to view it.


Or .

Accessing this document will incur an additional charge of $.

After purchase, you can access this document again without charge.

Accept $ Charge
throbber

Still Working On It

This document is taking longer than usual to download. This can happen if we need to contact the court directly to obtain the document and their servers are running slowly.

Give it another minute or two to complete, and then try the refresh button.

throbber

A few More Minutes ... Still Working

It can take up to 5 minutes for us to download a document if the court servers are running slowly.

Thank you for your continued patience.

This document could not be displayed.

We could not find this document within its docket. Please go back to the docket page and check the link. If that does not work, go back to the docket and refresh it to pull the newest information.

Your account does not support viewing this document.

You need a Paid Account to view this document. Click here to change your account type.

Your account does not support viewing this document.

Set your membership status to view this document.

With a Docket Alarm membership, you'll get a whole lot more, including:

  • Up-to-date information for this case.
  • Email alerts whenever there is an update.
  • Full text search for other cases.
  • Get email alerts whenever a new case matches your search.

Become a Member

One Moment Please

The filing “” is large (MB) and is being downloaded.

Please refresh this page in a few minutes to see if the filing has been downloaded. The filing will also be emailed to you when the download completes.

Your document is on its way!

If you do not receive the document in five minutes, contact support at support@docketalarm.com.

Sealed Document

We are unable to display this document, it may be under a court ordered seal.

If you have proper credentials to access the file, you may proceed directly to the court's system using your government issued username and password.


Access Government Site

We are redirecting you
to a mobile optimized page.





Document Unreadable or Corrupt

Refresh this Document
Go to the Docket

We are unable to display this document.

Refresh this Document
Go to the Docket