`Broadsign International, LLC Petitioner
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`CBM2017-00008
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`U.S. Pat. No. 6,43 0,603
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`I, Burr R. Smith, declare the following facts:
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`1.
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`I am the Chairman, President, and Chief Executive Officer at
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`Broadsign International, LLC (“Broadsign”).
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`I have personal knowledge of the
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`facts set forth herein, and can testify competently thereto.
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`2.
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`Broadsign supplies hardware and software solutions to customers,
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`including operators of networks of digital displays.
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`3.
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`Since 2012, T-Rex Property AB has filed at least 58 cases against
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`digital signage media owners and vendors, including our customers, alleging
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`infringement of one or more of the following patents: U.S. Patent Number
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`6,430,603 (“the ’603 Patent”), U.S. Patent Number 7, 382,334 (“the ’334 Patent”),
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`and U.S. Patent Number RE39,470 (“the ’470 Patent”).
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`4.
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`So far, T-Rex Property AB has filed at least five patent-infringement
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`lawsuits against Broadsign customers.
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`5.
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`One Broadsign customer, Health Media Network, LLC was sued by
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`T—Rex Property AB on May 27, 2016 in the United States District for the Northern
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`District of Illinois (Case No. 1:16-cv-05673). T-Rex Property AB accused
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`Broadsign’s customer of infringing the ’603 Patent, the ’334 Patent, and the ’470
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`Patent and identified the infringing devices and systems as the “digital health
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`media advertising network.” Broadsign sold and delivered the “digital health
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`media advertising network” product to Health Media Network, LLC.
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`6.
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`Another Broadsign customer, ContextMedia Health, LLC, was sued
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`by T—Rex Property AB on July 1 1, 2016 in the United States District Court for the
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`Northern District of Illinois (Case No. 1:16-cv—04826). T—Rex Property AB
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`accused Broadsign’s customer of infringing the ’603 Patent, the ’334 Patent, and
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`the ’47O Patent and identified the infringing devices and systems as the “Digital
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`Waiting Room Screen.” Broadsign sold and delivered the “Digital Waiting Room
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`Screen” product to Contextlvledia.
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`7.
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`T—Rex Property AB has had direct discussions, including an in-person
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`meeting, with representatives of Broadsign.
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`I have been involved with the
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`discussions with T-Rex Property AB and, in July 2016, I personally attended a
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`meeting with T-Rex principals at T—Rex Property AB’s offices in Sweden to
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`discuss T-Rex Property AB’s proposal that Broadsign take a license to the ’603
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`Patent, the ’334 Patent, and the ’470 Patent in order to protect Broadsign and its
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`customers from litigation and future law suits. In those discussions, T-Rex
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`Property AB produced a form of license agreement which Broadsign did not agree
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`to sign. In addition to myself, the meeting in Sweden was attended by Sandra
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`Beauchesne on behalf of Broadsign. Since the meeting in Sweden in July, 2016,
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`T-Rex Property AB has contacted Broadsign threatening to sue additional
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`Broadsign customers unless Broadsign takes a license to the '603 Patent, '334
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`Patent and the '470 Patent.
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`U.S. Pat. No. 6,43 0,603
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`8.
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`As a result of the T-Rex Property AB lawsuits filed against
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`Broadsign’s customers over the past year accusing Broadsign’s products and
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`services of infringing each of the patents-in-suit, as well as T-Rex Property AB’s
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`demands that Broadsign take a license to the ‘603 Patent, the ‘334 Patent and the
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`‘470 Patent in order to resolve pending litigation against Broadsiglfs customers
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`and to prevent future litigation against Broadsign and its customers, I believe that
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`there is a real, immediate controversy between T-Rex Property AB and Broadsign
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`concerning T—Rex Property AB’s assertions that the Broadsign products and
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`services are infringing. Moreover, I believe that there is a real and palpable threat
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`of suit by T—Rex Property AB against Broadsign and against additional Broadsign
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`customers arising from their use of Broadsign’s products. This threat is real and
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`not idle, not only because of the suits against Broadsign’s existing customers, but
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`also because T-Rex Property AB has filed approximately 58 patent infringement
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`suits asserting one or more of these same patents in 17 separate judicial districts
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`throughout the United States.
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`9.
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`The lawsuits against Broadsign’s customers, the demand for a license
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`from Broadsign and T-Rex Property AB’s litigious business model and conduct
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`have placed a cloud over Broadsign and its business and have injured or are
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`injuring Broadsign’s business, creating a concrete and immediate justiciable
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`controversy between Broadsign and T-Rex Property AB. Broadsign cannot simply
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`stand by while its business suffers irreparable harm.
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`10.
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`T-Rex Property AB’s patent—assertion campaign against the digital
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`display industry has affected and continues to harm Broadsign’s business and
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`customers. On June 16, 2016, Broadsign filed a complaint in the United States
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`District Court for the Southern District of New York (Case No. l:l6—cV-045 86)
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`seeking a declaratory judgment of non-infringement against T-Rex Property AB as
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`to the ’603 Patent, the ’334 Patent, and the ’470 Patent. On September 15, 2016,
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`Broadsign filed an Amended Complaint.
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`The lawsuits brought by T-Rex Property AB against Broadsign’s
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`customers have adversely affected Broadsign’s business by, for example, causing
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`strain on the relationships between T-Rex Property AB and its customers.
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`12.
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`I declare that all statements made herein of my knowledge are true,
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`and that all statements made on information and belief are believed to be true, and
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`that these statements were made with the knowledge that willful false statements
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`and the like are punishable by fine or imprisonment, or both, under Section 1001 of
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`Title 18 of the United States Code.
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`U.S. Pat. No. 6,430,603
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`Signature
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`Date
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