`
`1
`
`2
`3
`
`4
`
`5
`
`6
`
`7
`
`8
`
`9
`
`10
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`
`25
`
` IN THE UNITED STATES DISTRICT COURT
` FOR THE EASTERN DISTRICT OF TEXAS
` TYLER DIVISION
`OIL STATES ENERGY )
`SERVICES, L.L.C., f/k/a )
`STINGER WELLHEAD )
`PROTECTION, INC., )
` Plaintiff, )
` )
`vs. ) CASE NO. 6:12-CV-611
` )
`TROJAN WELLHEAD )
`PROTECTION, INC., f/k/a )
`GUARDIAN WELLHEAD )
`PROTECTION, INC., and )
`GREENE'S ENERGY GROUP, )
`LLC, )
` Defendants. )
` ORAL VIDEOTAPED DEPOSITION
` MURRAY DALLAS
` OCTOBER 28, 2014
`
` ORAL VIDEOTAPED DEPOSITION OF MURRAY DALLAS,
`produced as a witness at the instance of the Defendants
`and duly sworn, was taken in the above-styled and
`numbered cause on the 28th day of October, 2014, from
`8:58 a.m. to 4:26 p.m., before Melinda Barre, Certified
`Shorthand Reporter in and for the State of Texas,
`reported by computerized stenotype machine at the
`offices of Morgan, Lewis & Bockius, 1000 Louisiana Street,
`Suite 4000, Houston, Texas, pursuant to the Federal Rules of
`Civil Procedure and the provisions stated on the record or
`attached hereto.
`Job No. 86203
`
`TSG Reporting - Worldwide 877-702-9580
`
`00001
`
`GREENE'S ENERGY 1009
`Greene's Energy v. Oil States IPR2014-216
`
`
`
` APPEARANCES
`
`Page 2
`
`FOR PLAINTIFF:
` Mr. Archis Ozarkar
` MORGAN LEWIS & BOCKIUS
` 1000 Louisiana Street
` Houston, Texas 77002
` -and-
` Ms. Alison Vann
` OIL STATES ENERGY SERVICES
` 333 Clay Street
` Houston, Texas 77002
`
`
`FOR DEFENDANTS:
` Mr. John Feldhaus
` Mr. Bradley Roush
` FOLEY & LARDNER
` 3000 K Street, NW
` Washington, D.C. 20007
`
`ALSO PRESENT: Jason Talmadge, Videographer
`
`TSG Reporting - Worldwide 877-702-9580
`
`1
`
`2 3
`
`4
`5
`6
`7
`8
`9
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`25
`
`00002
`
`GREENE'S ENERGY 1009
`Greene's Energy v. Oil States IPR2014-216
`
`
`
`Page 3
`
` INDEX
` PAGE
`Examination by Mr. Feldhaus .......................4
`Signature Page .................................157
`Court Reporter's Certificate ....................159
` EXHIBITS
`EXHIBIT DESCRIPTION PAGE
`Exhibit 55 Plaintiff's Objections and 4
` Responses to Defendant Greene's
` Energy Group, LLC's Notice of
` Deposition of Plaintiff
`Exhibit 56 Request for Work from Mobil 61
` Dated 10-14-99 to Stinger
` Wellhead Protection
`Exhibit 57 10-26-99 Invoice to Mobil Oil 65
` Corp. from Stinger in the
` Amount of $3640
`Exhibit 58 10-18-99 Stinger Service Order 66
`Exhibit 59 9-13-00 Stinger Service Order 68
`Exhibit 60 9-20-99 Stinger Service Order 73
`Exhibit 61 9-23-99 Invoice to Mobil Oil 78
` Corp. from Stinger in the
` Amount of $4264
`Exhibit 62 Communications with Canadian 112
` Intellectual Property Office
` Pertaining to Patent 2,195,118
`Exhibit 63 Plaintiff Oil States Energy 127
` Services, LLC's Opposition to
` Defendant Greene's Energy
` Group, LLC's Motion for Leave
` to Amend Its Answer to Add
` Counterclaims for
` Unenforceability Based on
` Inequitable Conduct
`
`TSG Reporting - Worldwide 877-702-9580
`
`1
`2
`3
`
`4
`
`56
`
`7
`8
`
`9
`
`10
`
`11
`
`12
`
`13
`
`14
`
`15
`
`16
`
`17
`
`18
`
`19
`
`20
`
`21
`
`22
`
`23
`
`24
`
`25
`
`00003
`
`GREENE'S ENERGY 1009
`Greene's Energy v. Oil States IPR2014-216
`
`
`
`Page 4
`
`1
`2
`3
`4
`5
`6
`7
`8
`9
`10
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`25
`
` (Exhibit 55 marked)
` THE VIDEOGRAPHER: Today is Tuesday,
`October the 28th, the year 2014. The time now is
`approximately 8:58 a.m. We're on the record.
` (Witness sworn)
` MR. FELDHAUS: John Feldhaus, of Foley
`Lardner, for defendant Greene's Energy Group.
` MR. ROUSH: Brad Roush, of Foley & Lardner
`LLP, for defendant Greene's Energy Group.
` MR. OZARKAR: Neal Ozarkar, Morgan Lewis,
`for plaintiff, Oil States.
` MURRAY DALLAS,
`having been first duly sworn, testified as follows:
` EXAMINATION
`QUESTIONS BY MR. FELDHAUS:
` Q. Good morning, Mr. Dallas.
` A. Hi.
` Q. Could you state your full name for the record,
`please?
` A. Lloyd Murray Dallas.
` Q. And we've met before, have we not, sir?
` A. Yeah.
` Q. In fact, I took your deposition in the past.
`Is that right?
` A. That's correct.
`
`TSG Reporting - Worldwide 877-702-9580
`
`00004
`
`GREENE'S ENERGY 1009
`Greene's Energy v. Oil States IPR2014-216
`
`
`
`Page 5
`
`1
`2
`3
`4
`5
`6
`7
`8
`9
`10
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`25
`
` Q. And at that time you were deposed in your
`personal capacity. Are you aware of that?
` A. Yes.
` Q. Now, today you're appearing as a corporate
`representative for Oil States. Is that right?
` A. Correct.
` MR. FELDHAUS: And, Counsel, could we just
`stipulate for the record? My understanding is that
`Mr. Dallas is here to address topics 1, 2, 4, 5, 7
`through 12, 17, 22 through 24, 48 and 63 of Greene's
`notice of deposition, which actually I have here marked
`as Exhibit 55.
` MR. OZARKAR: Yes. That seems correct.
` A. Do I take that?
` Q. (By Mr. Feldhaus) Yeah.
` Mr. Dallas, could you look at Exhibit 55
`and look at topic 63, which reads "Stinger's corporate
`organization, management and personnel, since the time
`of its inception to the present."
` So I understand, as counsel represented,
`you're here to address that topic for Oil States. Is
`that right?
` A. Yes.
` Q. Did you do anything to prepare for your
`deposition today?
`
`TSG Reporting - Worldwide 877-702-9580
`
`00005
`
`GREENE'S ENERGY 1009
`Greene's Energy v. Oil States IPR2014-216
`
`
`
`Page 6
`
`1
`2
`3
`4
`5
`6
`7
`8
`9
`10
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`25
`
` A. Yeah. I was in a meeting with -- I call it
`Stinger, but Oil States' lawyers on Friday and on
`Monday, which was yesterday.
` Q. Could we just start from the beginning? When
`was Stinger founded?
` A. 1988.
` Q. And where was it founded?
` A. This is Stinger in the U.S., right?
` Q. Well --
` A. It was founded in Texas.
` Q. Well, let's go -- is there a prior Stinger that
`was founded before 1988?
` A. Yeah. We had a Stinger in '86.
` Q. Where was that?
` A. That was in Calgary, Canada.
` Q. What became of the Stinger in Calgary?
` A. I just about -- I moved to the States.
` Q. And when did you do that?
` A. '88.
` Q. So the one in Canada -- was it a corporation,
`the Stinger in Canada?
` A. Yeah.
` Q. And did the corporation cease to exist when you
`moved to the U.S.?
` A. No. I sold the first rights on tool with a
`
`TSG Reporting - Worldwide 877-702-9580
`
`00006
`
`GREENE'S ENERGY 1009
`Greene's Energy v. Oil States IPR2014-216
`
`
`
`Page 7
`
`1
`2
`3
`4
`5
`6
`7
`8
`9
`10
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`25
`
`company called TSI, Tree Savers International.
` Q. And is that company still in existence?
` A. No. I ended up buying that company.
` Q. When did you buy that company?
` A. In 2003.
` Q. So going back to Stinger in the U.S. founded in
`1988, was that a corporation?
` A. Yeah.
` Q. Who were the stockholders in that corporation?
` A. I had 90 percent of the stock, and I had
`another partner with 10 percent.
` Q. Who was the other partner?
` A. A fellow by the name of Alfred Neustedter.
` Q. Is Mr. Neustedter still -- well, did
`Mr. Neustedter eventually sell his shares in Stinger?
` A. Yes, he did.
` Q. To who?
` A. Oil States.
` Q. Now, did Stinger have any subsidiaries?
` A. Did they have any ...
` Q. Subsidiaries. In other words, was Stinger, the
`corporation, the only entity that you were involved in
`at the time?
` A. Well, it had -- there was a trucking side of
`it, a tool side of it. That was all under the Stinger
`
`TSG Reporting - Worldwide 877-702-9580
`
`00007
`
`GREENE'S ENERGY 1009
`Greene's Energy v. Oil States IPR2014-216
`
`
`
`1
`2
`3
`4
`5
`6
`7
`8
`9
`10
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`25
`
`Page 8
`umbrella, so to speak. But we had a few companies that
`we put assets into.
` Q. What were those companies?
` A. Well, I can't even remember. Stinger tools, I
`believe. It had some -- and the property -- we had a
`lot of shops. The property may or may not have -- some
`was under Stinger. Some might have been under a
`property name. And then there was a trucking. But we
`set that up with -- and I don't think we moved really
`any assets.
` When I sold Stinger in 2005, Oil States
`bought all of those entities and I think they shut them
`down except for Stinger.
` Q. But were they separate corporations, or were
`they divisions of --
` A. Well, they were divisions.
` Q. So they were all under the Stinger corporate
`umbrella?
` A. Correct.
` Q. When you started Stinger in 1988, what was the
`business of Stinger at that time?
` A. What was the what?
` Q. The business. I'm sorry. The business. What
`business was Stinger in when you started it in 1988?
` A. Well, we were in isolation tools.
`
`TSG Reporting - Worldwide 877-702-9580
`
`00008
`
`GREENE'S ENERGY 1009
`Greene's Energy v. Oil States IPR2014-216
`
`
`
`1
`2
`3
`4
`5
`6
`7
`8
`9
`10
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`25
`
`Page 9
` Q. What types of isolation tools were you in the
`business of in 1988?
` A. Primarily tree savers and casing savers.
` Q. How many employees did Stinger have in 1988?
` A. Three.
` Q. Who were the three employees?
` A. It would be myself and a fellow by the name of
`Eddie Fowler. And then we had another guy for a couple
`of -- few months, and I can't remember his name.
` Q. So at what point in time did Stinger hire more
`employees?
` A. 1989.
` Q. Who did Stinger hire at that time?
` A. I don't know the name.
` Q. When did Murray Erikson become associated with
`Stinger?
` A. That was in -- I'm not sure. It would be -- it
`was in the '90s. It would be mid-'90s. That's only an
`estimate.
` Q. Are there records from those days still in
`existence?
` A. I don't know. I doubt it.
` Q. What was Murray Erikson's role in Stinger when
`he was first hired?
` A. Tool operator.
`
`TSG Reporting - Worldwide 877-702-9580
`
`00009
`
`GREENE'S ENERGY 1009
`Greene's Energy v. Oil States IPR2014-216
`
`
`
`Page 10
`
`1
`2
`3
`4
`5
`6
`7
`8
`9
`10
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`25
`
` Q. And did that role change over time?
` A. He had looked after the -- looked after tools
`in a supervisory role later on within the company for
`South Texas.
` Q. Did his position change over time?
` A. Did I?
` Q. Did Murray Erikson's position with Stinger
`change over time?
` A. I just said he did, yes. He went from a tool
`operator to a supervisor in South Texas.
` Q. And when he was a supervisor -- when did he
`become a supervisor in South Texas?
` A. After he was an operator. I don't know the
`time frame. Probably a couple of years after, something
`like that.
` Q. Can you give me an estimate when that would
`have been?
` A. I said a couple of years after.
` Q. So maybe --
` A. So when I said before that it was in -- he
`hired -- I wasn't sure, and it was in the mid-'90s. So
`I'm going to have to speculate, and I can't do that.
` Q. And when did Mr. Erikson cease to be an
`employee of Stinger?
` A. I don't know the date or even the year.
`
`TSG Reporting - Worldwide 877-702-9580
`
`000010
`
`GREENE'S ENERGY 1009
`Greene's Energy v. Oil States IPR2014-216
`
`
`
`1
`2
`3
`4
`5
`6
`7
`8
`9
`10
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`25
`
`Page 11
` Q. Well, can you give me an estimate of the date?
` A. Probably someplace in the latter part of the
`'90s.
` Q. Murray Erikson formed a company called
`Guardian. Is that correct?
` A. That's correct.
` Q. Was Guardian ever part of Stinger?
` A. No.
` Q. What was the relationship between Stinger and
`Guardian?
` A. I leased them tools for a certain area in
`West Texas, Odessa, Texas, in 150-mile radius of Odessa,
`Texas.
` Q. Do you know when that lease arrangement began?
` A. No, I don't.
` Q. Did Stinger have any similar business
`arrangement with any other companies?
` MR. OZARKAR: Objection; form.
` A. At the time, not on an ownership role. We had
`a noncompete with TSI up in Canada.
` Q. (By Mr. Feldhaus) Noncompete regarding what?
` A. Well, as I stated earlier, when I'd sold out
`the tools to TSI back in -- I believe it would be
`early -- spring of 1988. And that's only a guess, but
`I'm pretty sure that's when it was. We made an
`
`TSG Reporting - Worldwide 877-702-9580
`
`000011
`
`GREENE'S ENERGY 1009
`Greene's Energy v. Oil States IPR2014-216
`
`
`
`Page 12
`
`1
`2
`3
`4
`5
`6
`7
`8
`9
`10
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`25
`
`agreement -- because I had worked earlier in the
`fracking business in the United States and I was quite
`familiar with the fracking operations and wellhead
`isolation tool business from the standpoint of managing
`refractories.
` So I decided to move back to the United
`States. I was only up in Canada for a couple years. I
`started that company. So I moved back, and we made an
`agreement with TSI that they bought the rights for
`Canadian -- or to do their Canadian work; I couldn't go
`up to Canada and compete with them, and they couldn't
`come down to United States and compete with me.
` Q. And who were the principals of TSI?
` A. Albert Rouch was the main guy, and there's
`another fellow. I can't -- I'll think of it in a
`minute. It was a lot of years ago.
` Q. Was a fellow named McLeod part of that group?
` MR. OZARKAR: Objection; form.
` A. No.
` Q. (By Mr. Feldhaus) Was there any arrangement
`with TSI concerning tools? I mean, did you lease TSI
`any tools?
` A. No.
` Q. Did TSI lease you any tools?
` A. We leased one tool, and we didn't use it.
`
`TSG Reporting - Worldwide 877-702-9580
`
`000012
`
`GREENE'S ENERGY 1009
`Greene's Energy v. Oil States IPR2014-216
`
`
`
`Page 13
`
`1
`2
`3
`4
`5
`6
`7
`8
`9
`10
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`25
`
` Q. What tool did you lease?
` A. It was a casing saver.
` Q. I'm sorry. But who leased it from whom?
` A. I leased it from TSI to try it out.
` Q. When did that occur?
` A. Probably around 1990, early '90s.
` Q. Did you ever have any business dealings with a
`fellow named Roderick McLeod, M-c-L-e-o-d?
` A. Any business dealings?
` Q. Yeah.
` A. No.
` Q. Any dealings of any sort?
` MR. OZARKAR: Objection; form.
` A. He was -- I first met him in depositions in
`Toronto, Ontario, Canada.
` Q. (By Mr. Feldhaus) Deposition in connection
`with what?
` A. It was to do with some -- I guess it would be
`unrelated type of tools to this case, but it was to do
`with packoff nipples for inside casing. TSI had a
`lawsuit against us, and we had a lawsuit against them.
` Q. Do you know what patent or patents were being
`asserted by TSI?
` MR. OZARKAR: Counsel, is that within the
`scope of topic 63?
`
`TSG Reporting - Worldwide 877-702-9580
`
`000013
`
`GREENE'S ENERGY 1009
`Greene's Energy v. Oil States IPR2014-216
`
`
`
`Page 14
`
`1
`2
`3
`4
`5
`6
`7
`8
`9
`10
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`25
`
` A. It was a --
` MR. FELDHAUS: I'm just exploring,
`actually, the personnel and the structure organization
`of Stinger. So I think it is. It's more background
`perhaps, but I think it's related to the topic.
` MR. OZARKAR: Okay.
` A. It was casing -- for casing and like tubing,
`because they run tubing in wells sometimes inside the
`casing. And it was packoff assemblies for inside
`tubing.
` Q. (By Mr. Feldhaus) And when was this lawsuit
`existing?
` A. When did it exist?
` Q. Yes. When was it filed?
` A. I can't remember.
` Q. Well, about what time was it active?
` MR. OZARKAR: Objection; form.
` A. Mid-'90s. That's a guess.
` Q. (By Mr. Feldhaus) Where was the lawsuit? Was
`the lawsuit in the U.S.?
` A. No. It was in Canada.
` Q. I thought you said in -- I thought you'd said
`that you had sold your company in Canada and moved to
`the U.S. in 1988.
` A. Uh-huh.
`
`TSG Reporting - Worldwide 877-702-9580
`
`000014
`
`GREENE'S ENERGY 1009
`Greene's Energy v. Oil States IPR2014-216
`
`
`
`Page 15
`
`1
`2
`3
`4
`5
`6
`7
`8
`9
`10
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`25
`
` MR. OZARKAR: Objection to form.
` Q. (By Mr. Feldhaus) What was the -- so you were
`not active in Canada at the time the lawsuit was filed?
`Is that what you're saying?
` MR. OZARKAR: Objection to form.
` A. We had a five-year noncompete. So the time
`frame would be five years after. Our agreement was that
`they wouldn't run tools in the United States, and our
`agreement was we wouldn't run tools in Canada over five
`years.
` This is after the five years. And they
`had breached their agreement. They forgot that Alaska
`was part of United States.
` Q. (By Mr. Feldhaus) All right. So just going
`back to Stinger U.S., did Stinger U.S. run tools in
`Canada during the 1990s?
` A. No.
` Q. I thought you said that TSI sued Stinger in
`Canada. Was that a patent infringement suit?
` MR. OZARKAR: Objection to form.
` A. Yeah. They're saying that we had run their
`tools in the States. It was all incorrect. They ...
` Q. (By Mr. Feldhaus) Let me go back. So when you
`sold Stinger Canada to TSI, you had a five-year
`noncompete with TSI. Is that right?
`
`TSG Reporting - Worldwide 877-702-9580
`
`000015
`
`GREENE'S ENERGY 1009
`Greene's Energy v. Oil States IPR2014-216
`
`
`
`Page 16
`
`1
`2
`3
`4
`5
`6
`7
`8
`9
`10
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`25
`
` A. That's correct.
` Q. So after that five years was up, you could run
`tools in Canada. Is that right?
` A. That's correct.
` Q. But your testimony is that you didn't run any
`tools in Canada after that five-year period?
` MR. OZARKAR: Objection to form.
` A. I believe they felt that we did, and we didn't.
`But it wouldn't have mattered anyways. The five years
`was up and they had already breached the agreement
`because they run tools within the five years up in
`Alaska.
` Q. (By Mr. Feldhaus) So at what point in time did
`Stinger begin to run tools in Canada again?
` A. I'm not sure of the dates. It was probably
`around the year 2000.
` Q. Now, what kind of tools did Stinger run in
`Canada at that time?
` MR. OZARKAR: Objection to form.
` A. Once we went up to Canada, we run tree savers
`and casing savers.
` Q. (By Mr. Feldhaus) And who at Stinger was in
`charge of that part of the business?
` A. Ultimately I was, but I'd lived down here. I
`had people hired in Canada. I had a manager in Canada
`
`TSG Reporting - Worldwide 877-702-9580
`
`000016
`
`GREENE'S ENERGY 1009
`Greene's Energy v. Oil States IPR2014-216
`
`
`
`Page 17
`
`1
`2
`3
`4
`5
`6
`7
`8
`9
`10
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`25
`
`and salespeople.
` Q. Who was the manager in Canada?
` A. At the time his sales manager/manager was Jim
`Dokter.
` Q. Do you know how to spell that?
` A. D-o-k-t-e-r.
` Q. Does Mr. Dokter still work for Oil States, to
`your knowledge?
` A. No, he doesn't.
` Q. Was he working for Oil States when you sold
`your business to Oil States?
` A. Yes, he was.
` Q. Was he in Canada at that time?
` A. Yes.
` Q. Did he become an employee of Stinger Canada
`when you -- well, let me go back.
` So there came a point in time when you
`started a related company, I guess Stinger Canada, in
`the 2000s, right?
` MR. OZARKAR: Objection to form.
` A. It was around 2000. I might have started it in
`the late '90s, but I don't remember operating in Canada
`in the late '90s. I'm not saying we didn't, but I don't
`think so.
` Q. (By Mr. Feldhaus) So was Mr. Dokter a -- so
`
`TSG Reporting - Worldwide 877-702-9580
`
`000017
`
`GREENE'S ENERGY 1009
`Greene's Energy v. Oil States IPR2014-216
`
`
`
`1
`2
`3
`4
`5
`6
`7
`8
`9
`10
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`25
`
`Page 18
`can we call that Stinger Canada? Or how would you like
`to refer to that Canadian entity?
` A. I'd call it Stinger Canada.
` Q. So was Mr. Dokter an employee of Stinger
`Canada?
` A. Yes.
` Q. How many employees did Stinger Canada have when
`you began it?
` A. Well, it started with one and went up. I had
`hired Jim and then I hired other people after that. We
`had to hire operators and district managers and that
`type of thing.
` Q. Did Stinger Canada run the same tools that
`Stinger U.S. ran?
` A. The same type of tools, but there was a
`variance up there. The pressures were a lot lower and
`the rates were lower. So some of the tools that we had
`in the United States, we never did take them up there
`because it was overkill.
` Q. When did Stinger Canada first run a stage tool?
` MR. OZARKAR: Objection to form.
` A. I'm not aware they ever did.
` Q. (By Mr. Feldhaus) When you sold your business
`to Oil States, did Stinger Canada run stage tools at
`that time?
`
`TSG Reporting - Worldwide 877-702-9580
`
`000018
`
`GREENE'S ENERGY 1009
`Greene's Energy v. Oil States IPR2014-216
`
`
`
`Page 19
`
`1
`2
`3
`4
`5
`6
`7
`8
`9
`10
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`25
`
` MR. OZARKAR: Objection to form.
` A. No.
` MR. FELDHAUS: I'm going to show
`Mr. Dallas what we marked as Exhibit 42. If you want to
`take a break and get a copy of it.
` MR. OZARKAR: Sure.
` MR. FELDHAUS: We don't have extra copies.
` MR. OZARKAR: We don't have to take a
`break for this one.
` Q. (By Mr. Feldhaus) Mr. Dallas, would you look
`at Exhibit 42.
` A. Uh-huh.
` Q. Now, that's -- have you seen this before?
` A. Yeah. I seen -- when we were going over some
`of the stuff yesterday, they had it on the board.
` Q. This is a brochure -- well, what did you learn
`about it yesterday?
` A. I didn't spend much time with it.
` Q. Well, but did you learn anything about this
`brochure yesterday when you went over it?
` MR. OZARKAR: Objection to form.
` A. Like I said, I didn't spend too much time on
`it.
` Q. (By Mr. Feldhaus) But did you learn anything
`about it?
`
`TSG Reporting - Worldwide 877-702-9580
`
`000019
`
`GREENE'S ENERGY 1009
`Greene's Energy v. Oil States IPR2014-216
`
`
`
`Page 20
`
`1
`2
`3
`4
`5
`6
`7
`8
`9
`10
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`25
`
` MR. OZARKAR: Objection to form.
` A. Not really.
` Q. (By Mr. Feldhaus) Pardon me?
` A. Not really. I didn't -- we didn't spend time
`with it, so ...
` Q. This is a brochure from Stinger Canada. Is
`that right?
` A. That's what it says. This is after I was
`there. So I don't know.
` Q. This is a brochure that was not prepared by
`Stinger when you were part of Stinger?
` A. No.
` Q. And how did you come to that knowledge?
` A. Because I never seen it. Any of these tools
`would be probably run after 2005, after I sold the
`company.
` Q. So your testimony is that none of these tools
`were run during the time you owned the company?
` MR. OZARKAR: Objection to form.
` Q. (By Mr. Feldhaus) Is that right?
` A. Well, there's -- there were quite a few
`different tools here. Like there's -- yeah, some were
`just because some were casing savers and tree savers,
`and they were definitely run when I started the company
`up there in the early part of the 2000s. And then some
`
`TSG Reporting - Worldwide 877-702-9580
`
`000020
`
`GREENE'S ENERGY 1009
`Greene's Energy v. Oil States IPR2014-216
`
`
`
`1
`2
`3
`4
`5
`6
`7
`8
`9
`10
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`25
`
`Page 21
`of the tools weren't run up there before I sold -- until
`after I sold the company, I guess. I don't know what
`they've run since then.
` Q. Are there records indicating what tools were
`run in Stinger Canada?
` A. I don't know.
` This brochure, in just reading it, just on
`an educated guess, would be the -- this would be tools
`for Stinger Canada that -- and, like I said, this
`brochure was made after I had sold the company. But
`these tools, I would think, would be available to
`Stinger Canada, not necessarily run Stinger Canada.
` So it's showing a potential customer. It
`looks to me like it's a brochure that's made for
`customers. And some tools maybe hadn't and maybe never
`were run in Canada, but they're available to customers
`in Canada, that could be shipped up there. Because when
`I had the company before I sold in 2005, we had shipped
`tools that I don't even see on here. We'd ship tools up
`to do certain jobs and then shipped them back. So
`they're available to them.
` Q. On the first page of Exhibit 42 there's a
`reference to a Mix-Master tool?
` A. Yes.
` Q. Was that a tool that Stinger Canada used during
`
`TSG Reporting - Worldwide 877-702-9580
`
`000021
`
`GREENE'S ENERGY 1009
`Greene's Energy v. Oil States IPR2014-216
`
`
`
`Page 22
`
`1
`2
`3
`4
`5
`6
`7
`8
`9
`10
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`25
`
`the time you owned it?
` MR. OZARKAR: Objection to form.
` A. The Mix-Master was, yes.
` Q. (By Mr. Feldhaus) Let's go back to Exhibit 55
`briefly. That's the notice. And topic 1 says "The
`design and operation of wellhead isolation tools known
`to OSES that have a fixed-point packoff in the well that
`were used, offered for sale or sold more than one
`year" --
` A. Okay. Where are we here?
` Q. I'm sorry. We're on Exhibit 55, topics in that
`exhibit. So we're looking at page No. 4.
` A. Okay. Thank you.
` Q. Okay. So I'm just looking at topics 1 and 2.
`Both relate to the design and operation of wellhead
`isolation tools known -- one says "known to OSES that
`have a fixed-point packoff that were used, offered for
`sale or sold more than one year prior to August 12,
`1999." The second one says "such tools that were
`actually designed and operated by OSES."
` So did you do anything to prepare for your
`testimony today with respect to topics 1 and 2?
` A. I read them, yeah.
` Q. Did you do anything else?
` A. Well, I read them. I understand it.
`
`TSG Reporting - Worldwide 877-702-9580
`
`000022
`
`GREENE'S ENERGY 1009
`Greene's Energy v. Oil States IPR2014-216
`
`
`
`1
`2
`3
`4
`5
`6
`7
`8
`9
`10
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`25
`
`Page 23
` Q. Did you look at any documents concerning tools
`that might have been used more than one year prior to
`August 12, 1999?
` A. I didn't need to look at any documents.
` Q. I'm going to show you what was marked as
`Exhibit 17 to your prior deposition. If you'd turn to
`the second page of Exhibit 17, there's a picture that's
`identified as a "stage frac tool with full opening
`5-inch." Do you see that?
` A. Yeah. That's what it says. On the top it says
`it's a BOP protector, and on the side it says it's a
`stage frac tool. It's not a stage frac tool.
` Q. What is the difference between a stage frac
`tool and a BOP protector, in your opinion?
` MR. OZARKAR: Objection to form.
` A. Well, this picture here, as the top
`indicates -- I mean, it can't be both. It's a BOP
`protector. So somebody that made up this brochure, I
`guess, made a mistake. They called it two things on the
`same brochure. So it can't be -- it's like it can't be
`a car and a truck at the same time. It's one of the
`two.
` So it's a BOP protector, which it clearly
`states up on the top, is what it is.
` Q. (By Mr. Feldhaus) Well, what is the function
`
`TSG Reporting - Worldwide 877-702-9580
`
`000023
`
`GREENE'S ENERGY 1009
`Greene's Energy v. Oil States IPR2014-216
`
`
`
`Page 24
`
`1
`2
`3
`4
`5
`6
`7
`8
`9
`10
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`25
`
`of a BOP protector?
` A. To protect BOPs.
` Q. What are the characteristics of a stage frac
`tool that distinguish it from a BOP protector?
` MR. OZARKAR: Objection to form.
` A. Well, a stage frac tool, it was designed later
`than this, a couple of years later than this. And a
`stage frac tool, it gives you a full bore access to the
`casing. The openings through the valves and through the
`frac heads and everything, it is basically larger than
`or equal to the size of the casing that we're tracking.
` Q. (By Mr. Feldhaus) And what are the
`characteristics of a BOP protector such as shown in
`Exhibit 17?
` MR. OZARKAR: Objection to form.
` A. The BOP protector was an attempt to give you
`full bore access and protect the BOPs. But it never
`give us a seal.
` It was a tool that I patented. I patented
`both these tools. And this tool -- and I hate to come
`right out and say it, but it's not one of my defining
`moments in building equipment. It was a complete
`failure. It did not work.
` Q. (By Mr. Feldhaus) The tool shown in
`Exhibit 17 -- are you referring to the tool we're
`
`TSG Reporting - Worldwide 877-702-9580
`
`000024
`
`GREENE'S ENERGY 1009
`Greene's Energy v. Oil States IPR2014-216
`
`
`
`Page 25
`
`1
`2
`3
`4
`5
`6
`7
`8
`9
`10
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`25
`
`looking at on the second page of Exhibit 17?
` A. Yeah. It just had numerous design flaws. We
`wouldn't know that until we built it.
` Q. This Exhibit 17 is a marketing brochure, is it
`not?
` MR. OZARKAR: Objection to form.
` A. I'm not sure it's a marketing brochure. Does
`it say that?
` Q. (By Mr. Feldhaus) What is it then?
` A. It shows like it's a list of different tools
`that the company had built over the years.
` Q. Why was it prepared?
` MR. OZARKAR: Objection to form.
` A. I don't know. It might have been prepared for
`in-class schools. I have no idea.
` Q. (By Mr. Feldhaus) Did you try to ascertain the
`date that this brochure was prepared?
` A. I don't know. I have no idea. I don't
`think -- I asked around a couple of people that were
`around, and nobody's got an answer. We can just guess.
` It was prepared after these tools were
`invented, but there's tools in here that weren't
`invented until into the 2000s. I mean, this thing could
`have been put together right after I left the company.
`I have no idea.
`
`TSG Reporting - Worldwide 877-702-9580
`
`000025
`
`GREENE'S ENERGY 1009
`Greene's Energy v. Oil States IPR2014-216
`
`
`
`1
`2
`3
`4
`5
`6
`7
`8
`9
`10
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`25
`
`Page 26
` Q. Is there anyone, to your knowledge, that would
`know when this brochure was prepared?
` A. As I stated before, I asked around the people
`that would possibly -- my only problem is I guess we're
`all getting older, and a couple of the guys that would
`have been around, they're deceased.
` It would have been Mike White. He died
`about three years ago. And Keith Burch, he died a
`couple years ago. Mike was instrumental in managing the
`tools, and Keith was sales manager at the time. And
`they're no longer with us.
` Q. Look at the third page of Exhibit 17,
`OSES 015947. It says, "The stage frac tool is a low
`profile tool with a 5-inch-plus ID and seals off in the
`wellhead to the bit guide. This tool comes equipped
`with a 5-inch valve and frac manifold with common frac
`iron connections."
` Does that sound like a tool that was used
`many years in the past and is no longer available?
` MR. OZARKAR: Objection to form.
` A. Well, again, I don't know who made this. I
`mean, we've got a BOP protector on the page before at
`the top, which is this tool. And then they say beside,
`it's a stage frac tool, which is not correct. And then
`in the third page we have a stage frac tool mentioned
`
`TSG Reporting - Worldwide 877-702-9580
`
`000026
`
`GREENE'S ENERGY 1009
`Greene's Energy v. Oil States IPR2014-216
`
`
`
`1
`2
`3
`4
`5
`6
`7
`8
`9
`10
`11
`12
`13
`14
`15
`16
`17
`18
`19
`20
`21
`22
`23
`24
`25
`
`Page 27
`right up on top of the page, and it's a Mix-Master tool
`that they're running; and it clearly says that, and
`that's a contradiction.
` So I guess that --