Service of Process
`Transmittal
`12/21/2012
`CT Log Number 521838704
`
`Keith Grossman
`Starwood Hotels & Resorts Worldwide, Inc.
`One StarPoint
`Stamford, CT 06902
`
`Process Served in Texas
`
`Starwood Hotels & Resorts Worldwide, Inc. (Domestic State: MD)
`
`TO:(cid:9)
`
`RE:(cid:9)
`
`FOR:(cid:9)
`
`ENCLOSED ARE COPIES OF LEGAL PROCESS RECEIVED BY THE STATUTORY AGENT OF THE ABOVE COMPANY AS FOLLOWS:
`
`TITLE OF ACTION:
`
`Lone Star WIFI LLC, Pltf. vs. Legacy Stonebriar Hotel, Ltd., etc., et al. including
`Starwood Hotels and Resorts Worldwide, Inc., Dfts.
`
`DOCUMENT(S) SERVED:
`
`Summons, Attachment(s), Proof of Service, Cover Sheet, Complaint, Exhibit(s),
`
`COURT/AGENCY:
`
`NATURE OF ACTION:
`
`Eastern District of Texas - United States District Court - Tyler Division, TX
`Case # 612CV957
`
`Intellectual Property Litigation - Patent infringement - Wrongful making, using,
`importing, offering for sale and/or selling - '348 Patent and '286 Patent
`
`ON WHOM PROCESS WAS SERVED:
`
`C T Corporation System, Dallas, TX
`
`DATE AND HOUR OF SERVICE:
`
`By Process Server on 12/21 /2012 at 12:45
`
`JURISDICTION SERVED:
`
`Texas
`
`APPEARANCE OR ANSWER DUE:
`
`ATTORNEY(S) / SENDER(S):
`
`ACTION ITEMS:
`
`SIGNED:
`PER:
`ADDRESS:
`
`TELEPHONE:
`
`Within 21 Days after service of this summons (not counting the day you received it)
`T. John Ward, Jr.
`Ward and Smith Law Firm
`1127 Judson Road
`Suite 220
`Longview, TX 75601
`903-757-6400
`
`SOP Papers with Transmittal, via Fed Ex 2 Day , 794387031664
`Image SOP
`Email Notification, Keith Grossman keith.grossman@starwoodhotels.com
`Email Notification, Dominic Smith dominic.smith@starwoodhotels.com
`Email Notification, David Marshall David.Marshall@starwoodhotels.com
`Email Notification, Nicole Tippa nicole.tippa@starwoodhotels.com
`
`C T Corporation System
`Amber Carrouth
`350 North St Paul Street
`Suite 2900
`Dallas, TX 75201
`214-932-3601
`
`Page 1 of 1 / RM
`
`Information displayed on this transmittal is for CT Corporation's
`record keeping purposes only and is provided to the recipient for
`quick reference. This information does not constitute a legal
`opinion as to the nature of action, the amount of damages, the
`answer date, or any information contained in the documents
`themselves. Recipient is responsible for interpreting said
`documents and for taking appropriate action. Signatures on
`certified mail receipts confirm receipt of package only, not
`contents.
`
`STARWOOD Ex 1008, page 1
`
`

`

`AO 440 (Rcv. 06/12) Summons in a Civil Action
`
`0'14 U- 0) 9-,VC
`
`UNITED STATES DISTRICT COURT
`for the
`Eastern District of Texas
`
`Civil Action No. 6:12cv957
`
`))))
`
`) )
`
`)
`)
`
`)))
`
`)
`
`LONE STAR WIFI LLC
`
`Plaintiff(s)
`V.
`
`LEGACY STONEBRIAR HOTEL d/b/a WESTIN
`STONEBRIAR HOTEL, et al.
`
`Defendant(s)
`
`SUMMONS IN A CIVIL ACTION
`
`To: (Defendant's name and address) STARWOOD HOTELS & RESORTS WORLDWIDE, INC.
`do CT Corporation System
`350 N. St. Paul Street, Suite 2900
`Dallas, TX 75201
`
`A lawsuit has been filed against you.
`
`Within 21 days after service of this summons on you (not counting the day you received it) — or 60 days if you
`are the United States or a United States agency, or an officer or employee of the United States described in Fed. R. Civ.
`P. 12 (a)(2) or (3) — you must serve on the plaintiff an answer to the attached complaint or a motion under Rule 12 of
`the Federal Rules of Civil Procedure. The answer or motion must be served on the plaintiff or plaintiffs attorney,
`whose name and address are: T. John Ward, Jr.
`Ward and Smith Law Firm
`1127 Judson Road, Suite 220
`Longview, TX 75601
`
`If you fail to respond, judgment by default will be entered against you for the relief demanded in the complaint.
`You also must file your answer or motion with the court.
`
`Date:
`
`12/20/12
`
`CLERK OF COURT
`
`Signature of Clerk or De tit)) Clerk
`
`STARWOOD Ex 1008, page 2
`
`

`

`‘.
`
`List of Defendants continued:
`
`ATTACHMENT TO SUMMONS
`
`LEGACY STONEBRIAR HOTEL II D/B/A SHERATON STONEBRIAR HOTEL, HAC PLANO PARTNERS, L.P. D/B/A
`ALOFT PLANO HOTEL, HAC FRISCO PARTNERS, L.P. D/B/A ALOFT FRISCO HOTEL, AIMBRIDGE
`HOSPITALITY, L.P., STARWOOD HOTELS AND RESORTS WORLDWIDE, INC.
`
`STARWOOD Ex 1008, page 3
`
`

`

`AO 440 (Rev. 06/12) Summons in a Civil Action (Page 2)
`
`Civil Action No. 6:12cv957
`
`PROOF OF SERVICE
`(This section should not be filed with the court unless required by Fed. R. Civ. P. 4 (1))
`
`This summons for (name of individual and title, if any)
`
`was received by me on (date)
`
`O I personally served the summons on the individual at (place)
`on (date)
`
`; or
`
`O I left the summons at the individual's residence or usual place of abode with (name)
`, a person of suitable age and discretion who resides there,
`
`on (date)
`
`, and mailed a copy to the individual's last known address; or
`
`O I served the summons on (name of individual)
`designated by law to accept service of process on behalf of (name 0/organization,)
`on (date)
`
`0 I returned the summons unexecuted because
`
`O Other (specify):
`
`; or
`
`, who is
`
`; or
`
`My fees are $
`
`for travel and $
`
`for services, for a total of $
`
`0.00
`
`I declare under penalty of perjury that this information is true.
`
`Date:
`
`Server's signature
`
`Printed name and title
`
`Server's address
`
`Additional information regarding attempted service, etc:
`
`STARWOOD Ex 1008, page 4
`
`
`
`
`

`

`:IS 44 (Rev. 09/11) Case 6:12-cv-00957 Docutmacrckiongi, Page 1 of 1 PagelD #: 35
`
`The JS 44 civil cover sheet and the information contained herein neither replace nor supplement the filing and service of pleadings or other papers as required by law, except as provided
`by local rules of court. This form, approved by the Judicial Conference of the United States in September 1974, is required for the use of the Clerk of Court for the purpose of initiating
`the civil docket sheet. (SEE INSTRUCTIONS ON NEXT PAGE OF THIS FORM.)
`1. (a) PLAINTIFFS
`LONE STAR WIFI LLC
`
`DEFENDANTS
`LEGACY STONEBRIAR HOTEL d/b/a WESTIN STONEBRIAR
`HOTEL, et al.
`
`(b) County of Residence of First Listed Plaintiff
`(EXCEPT IN U.S. PLAINTIFF CASES)
`
`County of Residence of First Listed Defendant
`(IN U.S. PLAINTIFF CASES ONLY)
`IN LAND CONDEMNATION CASES, USE THE LOCATION OF
`THE TRACT OF LAND INVOLVED.
`
`NOTE:
`
`(C,: Attorneys (Firm Name,,Ichb
`
`(cid:9) Jr., WARD AND
`T.. J hn Ward,(cid:9)
`Suite 220, Longview, TX 75601
`
`FIRM, 1127 Judson Road,
`
`Attorneys (if Known)
`
`II. BASIS OF JURISDICTION (Place an "X" in One Box Only)
`X 3 Federal Question
`0 I U.S. Government
`(U.S. Government Not a Party)
`Plaintiff
`
`III. CITIZENSHIP OF PRINCIPAL PARTIES (Place an "X" in Otze Box for Plaintiffl
`and One Box for Defendant)
`(For Diversity Cases Only)(cid:9)
`PTF DEF
`PTF
`DEF
`0 4 0 4
`0 I
`0 I
`
`Citizen of This State
`
`0 2 U.S. Government
`Defendant
`
`0 4 Diversity
`(Indicate Citizenship of Parties in Item HI)
`
`Citizen of Another State
`
`0 2
`
`Incorporated or Principal Place
`of Business In This State
`0 2 Incorporated and Principal Place 0 5 0 5
`of Business In Another State
`
`0 3 Foreign Nation
`0 3
`Citizen or Subject of a
`Foreign Country
`
`0 6 0 6
`
`IV. NATURE OF SUIT (Place an "X" in One Box Only)
`CONTRACT
`TORTS
`
`FORFEITURE/PENALTY
`
`I(cid:9)
`
`I
`
`0 110 Insurance
`0 120 Marine
`0 130 Miller Act
`0 140 Negotiable Instrument
`0 150 Recovery of Overpayment
`& Enforcement of Judgment
`0 151 Medicare Act
`0 152 Recovery of Defaulted
`Student Loans
`(Excl. Veterans)
`0 153 Recovery of Overpayment
`of Veteran's Benefits
`0 160 Stockholders' Suits
`0 190 Other Contract
`0 195 Contract Product Liability
`0 196 Franchise
`
`REAL PROPERTY
`0 210 Land Condemnation
`0 220 Foreclosure
`0 230 Rent Lease & Ejectment
`0 240 Torts to Land
`0 245 Tort Product Liability
`0 290 All Other Real Property
`
`PERSONAL INJURY
`0 310 Airplane
`0 315 Airplane Product
`Liability
`0 320 Assault, Libel &
`Slander
`0 330 Federal Employers'
`Liability
`0 340 Marine
`0 345 Marine Product
`Liability
`0 350 Motor Vehicle
`0 355 Motor Vehicle
`Product Liability
`0 360 Other Personal
`Injury
`0 362 Personal Injury -
`Med. Malpractice
`CIVIL RIGHTS
`0 440 Other Civil Rights
`0 441 Voting
`0 442 Employment
`0 443 Housing/
`Accommodations
`0 445 Amer. w/Disabilities -
`Employment
`0 446 Amer. w/Disabilities -
`Other
`0 448 Education
`
`0 625 Drug Related Seizure
`of Property 21 USC 881
`0 690 Other
`
`PERSONAL INJURY
`0 365 Personal Injury -
`Product Liability
`0 367 Health Care/
`Pharmaceutical
`Personal Injury
`Product Liability
`0 368 Asbestos Personal
`Injury Product
`LABOR
`Liability
`PERSONAL PROPERTY 0 710 Fair Labor Standards
`0 370 Other Fraud
`Act
`0 371 Truth in Lending
`0 720 Labor/Mgmt. Relations
`0 380 Other Personal
`0 740 Railway Labor Act
`Property Damage
`0 751 Family and Medical
`0 385 Property Damage
`Leave Act
`0 790 Other Labor Litigation
`Product Liability
`0 791 Empl. Ret. Inc.
`Security Act
`
`PRISONER PETITIONS
`0 510 Motions to Vacate
`Sentence
`Habeas Corpus:
`0 530 General
`0 535 Death Penalty
`0 540 Mandamus & Other
`0 550 Civil Rights
`0 555 Prison Condition
`0 560 Civil Detainee -
`Conditions of
`Confinement
`
`IMMIGRATION
`0 462 Naturalization Application
`0 463 Habeas Corpus -
`Alien Detainee
`(Prisoner Petition)
`0 465 Other Immigration
`Actions
`
`BANKRUI"I'CY
`0 422 Appeal 28 USC I SS
`0 423 Withdrawal
`28 USC 157
`
`1
`
`PROPERTY RIGHTS
`0 820 Copyrights
`X 830 Patent
`0 840 Trademark
`
`SOCIAL SECURITY
`0 861 H1A (1395ff)
`0 862 Black Lung (923)
`0 863 DIWC/DIWW (405(g))
`0 864 SSID Title XVI
`0 865 RSI (405(g))
`
`FEDERAL TAN SUITS
`0 870 Taxes (U.S. Plaintiff
`or Defendant)
`0 871 IRS—Third Party
`26 USC 7609
`
`OTHER STATUTES
`
`0 375 False Claims Act
`0 400 State Reapportionment
`0 410 Antitrust
`0 430 Banks and Banking
`0 450 Commerce
`0 460 Deportation
`0 470 Racketeer Influenced and
`Corrupt Organizations
`0 480 Consumer Credit
`0 490 Cable/Sat TV
`0 850 Securities/Commodities/
`Exchange
`0 890 Other Statutory Actions
`0 891 Agricultural Acts
`0 893 Environmental Matters
`0 895 Freedom of Information
`Act
`0 896 Arbitration
`0 899 Administrative Procedure
`Act/Review or Appeal of
`Agency Decision
`0 950 Constitutionality of
`State Statutes
`
`V. ORIGIN(cid:9)
`(Place a t "X" in One Box Only)
`0
`1 Original q 2 Removed from
`0 4 Reinstated or 0 5 Transferred from u 6 Multidistrict
`0 3 Remanded from
`another district
`Reopened
`Litigation
`Appellate Court
`Proceeding
`Sta e Court
`(specify)
`Cite the U.S. Civil Statute under which you are filing (Do not cite jurisdictional statutes unless diversity):
`35 U.S.C. §§ 271 et seq.
`Brief description of cause:
`Infringement of U.S. Patent Nos. 7,490,348 and 8,312,286
`DEMAND $
`q CHECK IF THIS IS A CLASS ACTION
`UNDER F.R.C.P. 23
`
`CHECK YES only if demanded in complaint:
`IX Yes 0 No
`JURY DEMAND:
`
`VI. CAUSE OF ACTION
`
`VII. REQUESTED IN
`COMPLAINT:
`VIII. RELATED CASE(S)
`IF ANY(cid:9)
`
`DATE
`12/20/2012(cid:9)
`FOR OFFICE USE ONLY
`
`RECEIPT #
`
`(See instructions):
`
`JUDGE
`
`DOCKET NUMBER
`
`SIGNATURE OF ATTORNEY OF RECORD
`Is/ T. John Ward, Jr.
`
`AMOUNT
`
`APPLYING IFP
`
`JUDGE
`
`MAG. JUDGE
`
`STARWOOD Ex 1008, page 5
`
`
`
`
`
`

`

`Case 6:12-cv-00957 Document 1 Filed 12/20/12 Page 1 of 24 PagelD #: 1
`
`UNITED STATES DISTRICT COURT
`
`EASTERN DISTRICT OF TEXAS
`
`TYLER DIVISION
`
`LONE STAR WIFI LLC,
`
`Case No. 6:12cv957
`
`Plaintiff,
`
`JURY TRIAL DEMANDED
`
`V.
`
`LEGACY STONEBRIAR HOTEL, LTD. D/B/A
`WESTIN STONEBRIAR HOTEL, LEGACY
`STONEBRIAR HOTEL II, LTD. D/B/A
`SHERATON STONEBRIAR HOTEL, HAC
`PLANO PARTNERS, L.P. D/B/A ALOFT
`PLANO HOTEL, IIAC FRISCO PARTNERS,
`L.P. D/B/A ALOFT FRISCO HOTEL,
`AIMBRIDGE HOSPITALITY, L.P.,
`STARWOOD HOTELS AND RESORTS
`WORLDWIDE, INC.,
`
`Defendants.
`
`LONE STAR VVIFI'S COMPLAINT FOR
`
`PATENT INFRINGEMENT
`
`Plaintiff Lone Star WiFi LLC ("Plaintiff'), by counsel, alleges as follows:
`
`THE PARTIES
`
`1.
`
`Plaintiff Lone Star WiFi LLC ("Lone Star WiFi") is a Texas limited liability
`
`company with a principal place of business at 100 E. Ferguson, Suite 714, Tyler, TX 75702.
`
`2.
`
`Defendant Legacy Stonebriar Hotel, Ltd. d/b/a Westin Stonebriar Hotel ("Legacy
`
`Stonebriar") is a Texas corporation authorized to, and actually conducting business in Texas.
`
`Legacy Stonebriar is located at the address of the Westin Stonebriar Hotel, 1549 Legacy Drive,
`
`Frisco, Texas, 75034, and may be served through Ray R. Fernandez, Jr., 2525 McKinnon Street,
`
`Suite 570, Dallas, Texas, 75201.
`
`LONE STAR WIFI'S COMPLAINT
`FOR PATENT INFRINGEMENT
`
`STARWOOD Ex 1008, page 6
`
`

`

`Case 6:12-cv-00957 Document 1 Filed 12/20/12 Page 2 of 24 PagelD #: 2
`
`3.
`
`Defendant Legacy Stonebriar Hotel 11, Ltd. d/b/a Sheraton Stonebriar Hotel
`
`("Legacy Stonebriar II") is a Texas corporation authorized to, and actually conducting business
`
`in Texas. Legacy Stonebriar II is located at the address of the Sheraton Stonebriar Hotel, 5444
`
`State Highway 121, Frisco, Texas, 75034 and may be served through Ray R. Fernandez, Jr.,
`
`2525 McKinnon Street, Suite 570, Dallas, Texas, 75201.
`
`4.
`
`Defendant HAC Plano Partners L.P. d/b/a Aloft Plano Hotel ("HAC Plano") is a
`
`Texas corporation authorized to, and actually conducting business in Texas. According to the
`
`records of the Texas Comptroller for Public Accounts, HAC Plano is located at 3090 Olive
`
`Street, Suite 200, Dallas, Texas, 75219, and may be served through Corporation Service
`
`Company d/b/a CSC Lawyers Inc°, 211 E. 7 th Street, Suite 620, Austin, Texas, 78701.
`
`5.
`
`Defendant HAC Frisco Partners L.P. d/b/a Aloft Frisco Hotel ("HAC Frisco") is a
`
`Texas corporation authorized to, and actually conducting business in Texas. According to the
`
`records of the Texas Comptroller for Public Accounts, HAC Frisco is located at 3090 Olive
`
`Street, Suite 200, Dallas, Texas, 75219, and may be served through Corporation Service
`
`Company d/b/a CSC Lawyers Inco, 211 E. 7th Street, Suite 620, Austin, Texas, 78701.
`
`6.
`
`Defendant Aimbridge Hospitality L.P. ("Aimbridge") is a Texas corporation
`
`authorized to, and actually conducting business in Texas. Aimbridge is located at 2500 North
`
`Dallas Parkway, Suite 600, Plano, Texas, 75093, and may be served through CT Corporation
`
`System, 350 N. St. Paul Street, Suite 2900, Dallas, Texas, 75201.
`
`7.
`
`Defendant Starwood Hotels & Resorts Worldwide, Inc. ("Starwood") is a
`
`corporation organized under the laws of the State of Maryland, and having its principal place of
`
`business at One Star Point, Stamford, Connecticut, 06902. Starwood is registered to do business
`
`in the State of Texas and has appointed CT Corporation System, 350 N. St. Paul Street, Suite
`
`2900, Dallas, Texas 75201 as its agent for service of process.
`
`LONE STAR WIFI'S COMPLAINT
`FOR PATENT INFRINGEMENT
`
`2
`
`6:12cv957
`
`STARWOOD Ex 1008, page 7
`
`

`

`Case 6:12-cv-00957 Document 1 Filed 12/20/12 Page 3 of 24 PagelD #: 3
`
` 8.
`
`This is a civil action for patent infringement arising under the United States patent
`
`JURISDICTION AND VENUE
`
`statutes, 35 U.S.C. § 1 et seg.
`
` 9.
`
`This Court has jurisdiction over the subject matter of this action under 28 U.S.C.
`
`§§ 1331 and 1338(a).
`
`10.
`
`Defendant Legacy Stonebriar is subject to this Court's general and specific
`
`personal jurisdiction because it does and has done substantial business in this judicial District,
`
`including: (a) owning and operating a resort property and lodging facility within the District;
`
`(b) soliciting potential guests from within the District to patronize that property and facility; and
`
`(c) together with at least Defendant Starwood, jointly infringing the asserted Patents-in-Suit by
`
`way of operating multiple, overlapping wireless streams with multiple levels of access within
`
`that property and facility. Legacy Stonebriar has not challenged this Court's personal
`
`jurisdiction in previous cases. See, generally, Case 4:11-cv-00122-RC-ALM.
`
`11.
`
`Defendant Legacy Stonebriar II is subject to this Court's general and specific
`
`personal jurisdiction because it does and has done substantial business in this judicial District,
`
`including: (a) owning and operating a resort property and lodging facility within the District;
`
`(b) soliciting potential guests from within the District to patronize that property and facility; and
`
`(c) together with at least Defendant Starwood, jointly infringing the asserted Patents-in-Suit by
`
`way of operating multiple, overlapping wireless streams with multiple levels of access within
`
`that property and facility.
`
`12.
`
`Defendant HAC Plano is subject to this Court's general and specific personal
`
`jurisdiction because it does and has done substantial business in this judicial District, including:
`
`(a) owning and operating a lodging facility within the District; (b) soliciting potential guests
`
`from within the District to patronize that facility; and (c) together with at least Defendants
`
`Aimbridge and Starwood, jointly infringing the asserted Patents-in-Suit by way of operating
`
`multiple, overlapping wireless streams with multiple levels of access within that facility.
`
`LONE STAR WEFTS COMPLAINT
`FOR PATENT INFRINGEMENT
`
`3
`
`6:12cv957
`
`STARWOOD Ex 1008, page 8
`
`
`
`
`

`

`Case 6:12-cv-00957 Document 1 Filed 12/20/12 Page 4 of 24 PagelD #: 4
`
`13.
`
`Defendant HAC Frisco is subject to this Court's general and specific personal
`
`jurisdiction because it does and has done substantial business in this judicial District, including:
`
`(a) owning and operating a lodging facility within the District; (b) soliciting potential guests
`
`from within the District to patronize that facility; and (c) together with at least Defendants
`
`Aimbridge and Starwood, jointly infringing the asserted Patents-in-Suit by way of operating
`
`multiple, overlapping wireless streams with multiple levels of access within that facility.
`
`14.
`
`Defendant Aimbridge is subject to this Court's general and specific personal
`
`jurisdiction because it does and has done substantial business in this judicial District, including:
`
`(a) managing multiple lodging facilities within the District; and (b) together with at least
`
`Defendants HAG Plano, HAG Frisco, and Starwood, jointly infringing the asserted Patents-in-
`
`Suit by way of operating multiple, overlapping wireless streams with multiple levels of access
`
`within those facilities.
`
`15.
`
`Defendant Starwood is subject to this Court's general and specific personal
`
`jurisdiction because it does and has done substantial business in this judicial District, including:
`
`(a) partnering with the other named Defendants to provide resort properties and lodging facilities
`
`within the District; (b) soliciting potential guests within the District to patronize those properties
`
`and facilities; (c) together with the other named Defendants jointly infringing the asserted
`
`Patents-in-Suit by way of operating multiple, overlapping wireless streams with multiple levels
`
`of access within those properties and facilities; and (d) advertising and promoting the infringing
`
`wireless networks to potential guests as a reason to patronize those properties and facilities.
`
`Starwood has, for limited purposes, conceded this Court has had personal jurisdiction over it in
`
`previous litigations. See, .e.g., Answer to Pl.'s Original Compl., Case 2:10-cv-00151-DF-CE.
`
`16.
`
`Venue is proper in this judicial District under 28 U.S.C. §§ 1391(b)-(c) and
`
`1400(b). As recently as April 20, 2011, Legacy Stonebriar has agreed that it is amenable to
`
`venue in this judicial district. See, .e.g., Answer to Pl.'s Original Compl., Case 4:11-cv-00122-
`
`RC-ALM.
`
`LONE STAR WITT'S COMPLAINT
`FOR PATENT INFRINGEMENT
`
`4
`
`6:12cv957
`
`STARWOOD Ex 1008, page 9
`
`

`

`Case 6:12-cv-00957 Document 1 Filed 12/20/12 Page 5 of 24 PagelD #: 5
`
`BACKGROUND FACTS & PATENTS-IN-SUIT
`
`Wireless Access and the Patents-in-Suit.
`
`17.
`
`The Patents-in-Suit are generally directed to particular implementations of
`
`wireless networks in which multiple, overlapping wireless streams provide varying levels of
`
`access to content and resources.
`
`18.
`
`On March 17, 2003, inventor Scott C. Harris filed Provisional Patent Application
`
`No. 60/454,694.
`
`19.
`
`On the basis of that priority, Mr. Harris filed Patent Application No. 10/800,472
`
`on March 15, 2004.
`
`20.
`
`On February 10, 2009, the United States Patent and Trademark Office granted
`
`Mr. Harris's application, duly and legally issuing United States Patent No. 7,490,348 ("the '348
`
`Patent"), entitled "Wireless Network Having Multiple Communication Allowances," to Harris
`
`Technology 1,I,C. A copy of the '348 Patent is attached as Exhibit A.
`
`21.
`
`On November 13, 2012, the United States Patent and Trademark Office duly and
`
`legally issued United States Patent No. 8,312,286 ("the '286 Patent"), entitled "Wireless
`
`Network Having Multiple Communication Allowances," to Harris Technology LLC. A copy of
`
`the '286 Patent is attached as Exhibit B.
`
`22.
`
`All rights, title and interest in and to the '348 and '286 Patents (collectively, the
`
`"Patents-in-Suit"), including the right to sue for past infringement, have been assigned to
`
`Plaintiff.
`
`Hotels Need to Provide Multiple . Wireless Networks to Satisfy Their Guests and
`
`Remain Competitive.
`
`23. Wireless Internet access has become one of the most critical amenities—if not the
`
`most critical amenity—hotels offer to their guests.
`
`24.
`
`Several national publications and news services run periodic surveys regarding
`
`the hospitality industry.
`
`LONE STAR WIFI'S COMPLAINT
`FOR PATENT INFRINGEMENT
`
`5
`
`6:12cv957
`
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`25.
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`Hotel chains, hotel owners, and hotel management companies such as Defendants
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`participate in and trust the results of such surveys to help inform their business decision-making.
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`26.
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`Indeed, hotels often cite positive findings from such surveys in their own
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`advertising and marketing materials as evidence to potential customers why their brands and/or
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`properties are superior.
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`27.
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`Such surveys have found overwhelming growth in the need for, and the provision
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`of wireless Internet access in hotel guest rooms.
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`28.
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`For example, J.D. Power and Associates is a well-known, global marketing
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`information services company that provides customer satisfaction research and market research
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`regarding a number of industries.
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`29.
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`Each year for the past sixteen years, J.D. Power and Associates has conducted and
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`published a study of consumer satisfaction with various hotel chains.
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`30.
`
`31.
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`Starwood has cited complementary results from the J.D. Power annual survey.
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`For each of the last five years, the J.D. Power survey has found the trend
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`regarding wireless Internet access at hotels important enough to report on it as part of the
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`primary press release regarding the survey.
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`32.
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`In its 2010 annual survey, J.D. Power found that wireless Internet access led the
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`"top five 'must-have' amenities for hotel guests."
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`33.
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`The 2010 survey reported that hotel properties had "increased offerings of
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`wireless Internet access during the past several years, with 77 percent of guests in 2010
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`indicating they have used Wi-Fi rather than cable Internet connections in their guest room,
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`compared with 55 percent in 2007."
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`34. Mark Schwartz, director of the global hospitality and travel practice at J.D.
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`Power, commented regarding the 2010 survey that, "guests are starting to expect wireless
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`Internet access in their hotel rooms," because "[i]n today's digitally connected world, being able
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`LONE STAR WLFI'S COMPLAINT
`FOR PATENT INFRINGEMENT
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`to use mobile devices or computers without interruption is considered a comfort of home that
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`should extend to the hotel experience."
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`35.
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`In its 2011 annual survey, J.D. Power noted the disproportionally high report rate
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`for problems with hotel Internet service: "[N]oise is the problem most commonly experienced
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`by guests, with 16 percent indicating experiencing the issue. However, only 43 percent of these
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`guests indicate they reported the noise to hotel staff In contrast, just 13 percent of guests say
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`they experienced a problem with the Internet connection or speed at their hotel, but 60 percent
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`reported the problem."
`
`36.
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`Indeed, guests cared so much about the wireless Internet access at hotels in 2012,
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`J.D. Power found they "use[d] social media to complain about how slow Internet connections are
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`at hotels," and also "to praise hotel brands that are known for fast, reliable Internet service."
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`37.
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`Another example of a national service reporting data regarding the hotel industry
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`is Trip A clvisor. TripAdvisor claims to be the world's largest travel website, aggregating reviews
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`and advice regarding airlines, hotels, restaurants, and other travel features worldwide.
`
`38.
`
`39.
`
`Starwood has cited complementary results from TripAdvisor.
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`In a February 17, 2011 survey, TripAdvisor polled over 1,000 U.S.
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`accommodation owners—hoteliers, B&B owners and innkeepers—regarding their plans to
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`attract travelers in 2011 and increase repeat customers.
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`40.
`
`In the February 2011 survey, only four percent of the owners indicated they had
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`no plans to offer in-room Internet access, which TripAdvisor referred to as "a key consumer
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`demand."
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`41.
`
`In January 2012, TripAdvisor conducted a "360 degree survey," which polled
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`1,248 U.S. travelers and 622 U.S. hotel managers and owners.
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`42.
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`TripAdvisor's 360 degree survey found that wireless Internet access was the most
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`important hotel amenity among eighty-five percent of travelers who most often booked hotels.
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`43. Moreover, in that same 360 degree survey, TripAdvisor found that ninety-nine
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`percent of hotel owners and managers considered wireless Internet access the most important
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`amenity.
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`44.
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`Even more recently, in July 2012 TripAdvisor released the results of its biannual
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`"Industry Index," incorporating responses from 25,517 accommodation owners and managers
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`worldwide.
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`45.
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`Eighty-one percent of hoteliers in North America reported being profitable over
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`the six month period prior to the Industry Index survey, conducted during June 2012, while thirty
`
`percent of U.S. accommodation owners reported their businesses were "extremely profitable" or
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`"very profitable" over that period.
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`46.
`
`Of the properties that did not currently offer in-room WiFi in June 2012, thirty-six
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`percent indicated they planned to add that feature in the next six months.
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`47.
`
`Like TripAdvisor, Hotels.com is an Internet service that provides reservation
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`services and information for travelers about prospective destinations. Hotels.com conducts
`
`periodic surveys on traveler satisfaction and opinions.
`
`48.
`
`In January 2012, Hotels.com conducted a survey regarding travelers' preferences
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`in hotel amenities. In response to "[q]uestion after question, guests reported that free Wi-Fi
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`[wa]s a must when choosing a hotel room and that this amenity overwhelmingly factored into the
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`decision on which hotel to book."
`
`49.
`
`But it is not just third parties who have noticed the ever-increasing importance of
`
`providing wireless Internet access in hotel guest rooms. Hotel chains and their executives—
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`including Starwood itself—have also noticed the trend themselves.
`
`50.
`
`In its periodic governmental filings, such as its 10-K annual reports filed with the
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`United States Securities and Exchange Commission, Starwood is obligated to indicate to its
`
`investors, inter alia, the risks related to hotel operations.
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`51.
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`In each of its 10-K's since 2009, Starwood has listed "the impact of internet
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`intermediaries on pricing and our increasing reliance on technology" among the risks "common
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`to the hotel and vacation ownership and residential industries."
`
`52.
`
`On February 14, 2012, the Travel section of USA Today reported the results of a
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`roundtable discussion between five hotel CEOs the newspaper had conducted when they were
`
`gathered together for the Americas Lodging Investment Summit in Janualy. Each CEO was
`
`asked what his hotel was doing in response to Internet access becoming a top amenity for
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`travelers.
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`53. Marriott CEO J.W. "Bill" Marriott Jr. commented that, "It's a huge problem.
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`Everyone wants to talk in the room and they want to download everything they can. It's getting
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`to be quite a challenge."
`
`54.
`
`Richard Solomons, CEO of InterContinental Hotels Group, agreed that, "We all
`
`see it as an issue. It's one of the big dissatisfiers that you see in a lot of hotels."
`
`55.
`
`Carlson CEO Hubert Joly responded that, "Free Internet is the greatest demand in
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`terms of amenities of the travelers. It's almost like having water or air conditioning in the
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`room."
`
`56.
`
`Choice Hotels CEO Steve Joyce added that, "Whether you charge [for wireless
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`Internet access] or whether it's free, you'd better have some dependability and reliability because
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`it will become the single source of complaints."
`
`57. When asked by the Wall Street Journal in a June 15, 2012 interview what
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`amenities she saw spreading in the industry, Four Seasons Chief Executive Officer Kathleen
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`Taylor responded that, "Technology is one of the leading edge issues for consumers in all
`
`segments. It's less an amenity and more like hot water, in the sense that everyone is expected to
`
`have it."
`
`58.
`
`Consistent with its long-stated goal of being "the hospitality industry's technology
`
`leader," Starvvood has been conducting its own research regarding wireless access trends.
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`LONE STAR WIFI'S COMPLAINT
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`59.
`
`On August 20, 2012, Starwood issued a press release entitled, "Four Points by
`
`Sheraton Survey Reveals Mobile Device Habits of Business Travelers Worldwide." See,
`
`<http://www.businesswire. com/news/home/20120820005808/en/Points- Sheraton-Survey-
`
`Reveals-Mobile-Device-Habits>.
`
`60.
`
`In the August 2012 release, Starwood explained that its brand Four Points by
`
`Sheraton had commissioned a hotel business and technology study in which 6,000 business
`
`travelers, including 1,000 from the United States, were surveyed.
`
`61.
`
`According to the August 2012 press release, the Four Points by Sheraton survey
`
`found that, irrespective of nationality, the majority of respondents brought three or four mobile,
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`wireless-capable devices with them on the road.
`
`62.
`
`Those devices most often included a smartphone, followed by tablet computers,
`
`music players, and laptops.
`
`63.
`
`The Four Points by Sheraton survey found that checking their smartphone was the
`
`most common activity respondents undertook first upon waking up in their hotel. Checking
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`Facebook and Twitter also ranked among the top five post-wake up activities.
`
`64.
`
`Business traveler respondents to the Four Points by Sheraton survey explained
`
`their primary purposes for traveling with mobile devices were to keep up with email, Internet
`
`browsing and social networking, and maintaining communications with their office.
`
`65.
`
`Over sixty percent of the business traveler respondents to the Four Points by
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`Sheraton survey said they believed traveling with technology makes their lives significantly
`
`easier and more convenient.
`
`66.
`
`In the August 2012 press release about the Four Points by Sheraton survey,
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`Starwood's senior vice president, specialty select brands, Brian McGuinness, called the results of
`
`the study "compelling."
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`67. Mr. McGuinness concluded the Four Points by Sheraton survey "affirms that the
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`Four Points brand is meeting a continued need by offering complimentary WiFi or in-room
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`Internet access, and by continuing to expand bandwidth throughout the portfolio."
`
`68.
`
`The availability and reliability of wireless Internet access is not only important
`
`with respect to the ability to fill guest rooms. It also impacts the ability to book meeting spaces
`
`as an additional source of revenue.
`
`69.
`
`In 2010, the late Steve Jobs was famously forced to ask the audience at Apple's
`
`developer conference to shut off their laptops and phones after his introduction of the iPhone 4
`
`was derailed because of an overloaded Wi-Fi network. Since then, venues that hold meetings
`
`and trade shows have been increasingly cognizant of their wireless Internet capabilities.
`
`70.
`
`Earlier this year, the New York Times published an article entitled, "The Trade
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`Show, Updated," which reported inter alia that, "[Notels that do lucrative meetings and
`
`conference business are also increasingly seeing the need to improve their technology."
`
`71.
`
`In particular, Brad Weaber, the executive vice president for event services at
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`SmithBucklin, a company that arranges conventions a