IN THE UNITED STATES DISTRICT COURT
`FOR THE EASTERN DISTRICT OF TEXAS
`MARSHALL DIVISION
`§
`§
`§
`§
`§
`§
`§
`§
`§
`
`CIVIL ACTION NO. 2:05-CV-291
`
`DATATREASURY CORP.,
`
`
`
`v.
`
`WELLS FARGO & CO., et al.,
`
`
`
`
`Plaintiff,
`
`Defendants.
`
`Plaintiff,
`
`DATATREASURY CORP.,
`
`
`
`v.
`
`BANK OF AMERICA CORP., et al.,
`
`
`
`
`Defendants.
`
`Plaintiff,
`
`DATATREASURY CORP.,
`
`
`
`v.
`
`WACHOVIA CORP., et al.,
`
`
`
`
`Defendants.
`
`Plaintiff,
`
`DATATREASURY CORP.,
`
`
`
`v.
`
`WELLS FARGO & CO., et al.,
`
`
`
`Defendants.
`
`CIVIL ACTION NO. 2:05-CV-292
`
`CIVIL ACTION NO. 2:05-CV-293
`
`CIVIL ACTION NO. 2:06-CV-72
`
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`Page 1 of 116
`
`FIS Exhibit 1024
`
`

`

`CLAIM-CONSTRUCTION ORDER
`
`Construing Terms in U.S. Patent Nos. 5,910,988 C1 and 6,032,137 C1
`
`
`
`Before the Court are DataTreasury’s Opening Brief on Claim Construction (Dkt. No.
`
`1107),1 Defendant Group 1’s Responsive Brief2 (Dkt. No. 1119), Defendant Group 2’s
`
`Responsive Brief (Dkt. No. 1118), DataTreasury’s Reply Brief (Dkt. No. 1145), Defendant
`
`Group 1’s Sur-Reply Brief (Dkt. No. 1147), and Defendant Group 2’s Sur-Reply Brief (Dkt. No.
`
`1148). Also before the Court are DataTreasury’s Supplemental Claim-Construction Brief (Dkt.
`
`No. 1187), Defendants’ Supplemental Responsive Brief (Dkt. No. 1193), and DataTreasury’s
`
`Supplemental Reply Brief (Dkt. No. 1199).3 Additionally before the Court are the Local Patent
`
`Rule (LPR) 4-3 Joint Claim-Construction and Prehearing Statement (Dkt. No. 1093) and the
`
`LPR 4-5 Joint Claim-Construction Chart (Dkt. No. 1151).
`
`A claim-construction hearing, in accordance with Markman v. Westview Instruments, 52
`
`F.3d 967 (Fed. Cir. 1995) (en banc), aff’d, 517 U.S. 370 (1996), was held in Texarkana on
`
`February 6, 2009. See Dkt. No. 1162 (transcript). After hearing argument of counsel and
`
`reviewing the relevant pleadings, presentation materials, technology tutorials, other papers, and
`
`applicable case law, the Court finds the disputed terms of the patents-in-suit should be construed
`
`as set forth herein.
`
`
`1 Unless otherwise noted, all docket entry citations reference cause 2:06-CV-72.
`2 For purposes of claim construction, the defendants collected into two groups. Group 2 consists of Electronic Data
`Systems Corp., KeyCorp, KeyBank National Association, SunTrust Bank, and SunTrust Banks, Inc. The remaining
`defendants constitute Group 1. See Dkt. No. 1151.
`3 The supplemental briefing was submitted in response to the Court’s Order of March 9, 2009, which requested
`additional briefing on certain issues. See Dkt. No. 1179.
`
`
`
`Page 2 of 116
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`

`

`TABLE OF CONTENTS
`
`I. 
`II. 
`III. 
`IV. 
`
`16. 
`17. 
`
`- i -
`
`BACKGROUND .................................................................................................................. - 1 - 
`LEGAL PRINCIPLES ........................................................................................................... - 2 - 
`PATENTS-IN-SUIT ............................................................................................................. - 3 - 
`U.S. PATENT NUMBER 5,910,988 .................................................................................... - 4 - 
`A. 
`Overview ............................................................................................................. - 4 - 
`B. 
`Claim Construction ............................................................................................. - 8 - 
`1. 
`Agreed terms ..................................................................................................... - 8 - 
`2. 
`“tiered manner” and “tiered architecture” ....................................................... - 10 - 
`3. 
`“subsystem” .................................................................................................... - 17 - 
`4. 
`“data access subsystems” and “data access subsystems for capturing and
`sending paper transaction data and subsystem identification information” .... - 20 - 
`“data access subsystem providing encrypted subsystem identification
`information and encrypted paper transaction data to the data processing
`subsystem” ...................................................................................................... - 23 - 
`“imaging subsystem” and “imaging subsystem for capturing the
`documents and receipts” ................................................................................. - 26 - 
`“data processing subsystem,” “central data processing subsystem,” and
`“data processing subsystem for processing, sending, verifying and
`storing the paper transaction data and the subsystem identification
`information” .................................................................................................... - 28 - 
`“intermediate data collecting subsystem” and “data collecting subsystem
`for collecting and sending the electronic or paper transaction data” .............. - 30 - 
`“management subsystem for managing the processing, sending and
`storing of the transaction data” and “further management subsystem for
`managing the collecting and sending of the transaction data” ........................ - 32 - 
`“data access controller for managing the capturing and sending of the
`transaction data,” “managing the capturing and sending of the transaction
`data,” and “managing the collecting, processing, sending and storing of
`the transaction data” ........................................................................................ - 33 - 
`“documents and receipts” ............................................................................... - 37 - 
`“transaction data” and “paper transaction data” ............................................. - 41 - 
`“subsystem identification information” .......................................................... - 43 - 
`“verifying” ...................................................................................................... - 49 - 
`“processing, sending, verifying and storing the paper transaction data and
`the subsystem identification information” ...................................................... - 52 - 
`“within and between” ...................................................................................... - 54 - 
`“encrypt” ......................................................................................................... - 57 - 
`
`11. 
`12. 
`13. 
`14. 
`15. 
`
`5. 
`
`6. 
`
`7. 
`
`8. 
`
`9. 
`
`10. 
`
`Page 3 of 116
`
`

`

`18. 
`19. 
`
`20. 
`
`21. 
`
`22. 
`23. 
`24. 
`
`“image” ........................................................................................................... - 59 - 
`“remote” as used in “remote subsystems,” “remote data access
`subsystems,” and “remote location(s)” ........................................................... - 61 - 
`“central” as used in “central subsystem,” “central location(s)” and
`“central data processing subsystem” ............................................................... - 72 - 
`“intermediate” as used in “intermediate subsystem,” “intermediate
`location(s),” and “intermediate data collecting subsystem” ........................... - 74 - 
`“local area network” ....................................................................................... - 77 - 
`“wide area network” ....................................................................................... - 80 - 
`“collecting and sending the electronic or paper transaction data at
`intermediate locations” ................................................................................... - 83 - 
`“at least one wide area network for transmitting data between said one or
`more remote subsystems, said at least one intermediate subsystem and
`said at least one central subsystem,” “transmitting data from each remote
`location to a corresponding intermediate location” and “transmitting data
`from each intermediate location to corresponding central locations” ............. - 85 - 
`“capturing an image of documents and receipts and extracting data
`therefrom” ....................................................................................................... - 89 - 
`Relationship between “extract[ed] data” and “transmit[ted] data” in claim
`46 .................................................................................................................... - 91 - 
`Relationship between “encrypting subsystem identification information
`and the transaction data” and “transmitting the transaction data and the
`subsystem identification information within and between the remote
`location(s) and the central location” and the order of steps in claim 26 ......... - 94 - 
`Order of steps in claim 46 ............................................................................... - 98 - 
`29. 
`U.S. PATENT NUMBER. 6,032,137 ............................................................................... - 100 - 
`A. 
`Overview ......................................................................................................... - 100 - 
`B. 
`Claim Construction ......................................................................................... - 104 - 
`1. 
`Terms already construed in the ’988 Patent .................................................. - 104 - 
`2. 
`“Payer bank’s draft” ...................................................................................... - 105 - 
`3. 
`“Paper transaction data including a payer’s bank routing number, a payer
`bank’s routing information, a payer’s account number, a payer’s check, a
`payer’s bank’s draft, a check amount, a payee bank’s identification
`number, a payee bank’s routing information and a payee’s account
`number” ........................................................................................................ - 107 - 
`Order of steps in claim 43 ............................................................................. - 109 - 
`5. 
`CONCLUSION ................................................................................................................ - 112 - 
`
`25. 
`
`26. 
`
`27. 
`
`28. 
`
`V. 
`
`VI. 
`
`
`- ii -
`
`Page 4 of 116
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`

`

`I. BACKGROUND
`These patent infringement cases relate to two patents issued to Claudio R. Ballard—U.S.
`
`
`
`Patent Nos. 5,910,988 (’988 Patent) and 6,032,137 (’137 Patent) (collectively, “Ballard
`
`Patents”).4 DataTreasury asserts that Defendants infringe either the ’988 Patent or ’137 Patent,
`
`or both. Both of these patents relate to the remote image capture and centralized processing of
`
`paper and electronic transaction data. The ’137 Patent issued from a continuation of the
`
`application that eventually issued as the ’988 Patent and the ’137 Patent is subject to a terminal
`
`disclaimer. Both patents rely on substantially the same written description, although the claims
`
`are slightly different. DataTreasury notes that the ’137 Patent is “a more narrow version of the
`
`’988 Patent wherein the paper transaction is specifically a check.” Dkt. No. 1107, at 9.
`
`
`
`This Court has a long history with the Ballard Patents. Indeed, the Court has issued
`
`several orders relating to these Patents. Specifically related to claim construction, the Court has
`
`previously entered the following Orders in DataTreasury Corp. v. J.P. Morgan Chase & Co.,
`
`No. 5:02-CV-124 (E.D. Tex.):
`
`• August 19, 2003 – Dkt. No. 120 – Report & Recommendations (R&R) on the
`applicability of 35 U.S.C. § 112 ¶ 6 [hereinafter “8/19/03 R&R”].
`
`• February 19, 2004 – Dkt. No. 174 – Claim-Construction Order regarding the
`applicability of 35 U.S.C. § 112 ¶ 6 [hereinafter “2/19/04 Order”].
`
`• November 2, 2004 – Dkt. No. 214 – R&R Claim-Construction Order
`[hereinafter “11/02/04 R&R”].
`
`• March 1, 2005 – Dkt. No. 249 – Claim-Construction Order [hereinafter
`“3/1/05 Order”].
`
`
`4 There are additional patents asserted by DataTreasury in this litigation and other litigation before the Court, but the
`Court herein only addresses terms in the Ballard Patents.
`
`- 1 -
`
`Page 5 of 116
`
`

`

`
`
`On September 29, 2006, the Court additionally entered a claim-construction order in
`
`DataTreasury Corp. v. Magtek, Inc., No. 2:03-CV-459, Dkt. No. 156 (E.D. Tex.) that addressed
`
`the meaning of the term “image.”
`
`
`
`Since the time all of these Orders were entered, the Ballard Patents have been through the
`
`ex parte reexamination process at the U.S. Patent and Trademark Office (PTO). Both patents
`
`have been issued reexamination certificates and, as a result, both patents now contain additional
`
`claims. See Dkt. No. 1187, Exh. A (’988 Patent & Reexamination Certificate); Id., Exh. B (’137
`
`Patent & Reexamination Certificate) [Reexamination certificates hereinafter referenced as “’988
`
`Patent C1” & “’137 Patent C1”]. However, the new claims have not been asserted in these cases.
`
`II. LEGAL PRINCIPLES
`A determination of patent infringement involves two steps: first, the patent claims are
`
`
`
`construed, and, second, the claims are compared to the allegedly infringing device. Cybor Corp.
`
`v. FAS Techs., Inc., 138 F.3d 1448, 1455 (Fed. Cir. 1998) (en banc). The legal principles of
`
`claim construction were reexamined by the Federal Circuit in Phillips v. AWH Corp., 415 F.3d
`
`1303 (Fed. Cir. 2005) (en banc). The Federal Circuit in Phillips expressly reaffirmed the
`
`principles of claim construction as set forth in Markman v. Westview Instruments, Inc., 52 F.3d
`
`967 (Fed. Cir. 1995) (en banc), aff’d, 517 U.S. 370 (1996), Vitronics Corp. v. Conceptronic, Inc.,
`
`90 F.3d 1576 (Fed. Cir. 1996), and Innova/Pure Water, Inc. v. Safari Water Filtration Sys., Inc.,
`
`381 F.3d 1111 (Fed. Cir. 2004). Claim construction is to be determined by the judge and not the
`
`jury. Markman, 52 F.3d at 979.
`
`
`
`The Court, in accordance with the doctrines of claim construction which it has outlined in
`
`the past, will construe the claims of the Ballard Patents below. See Pioneer v. Samsung, No.
`
`2:07-CV-170, Dkt. No. 94, at 2-8 (E.D. Tex. filed Mar. 10, 2008) (claim-construction order).
`
`- 2 -
`
`Page 6 of 116
`
`

`

`III. PATENTS-IN-SUIT
`The patents-in-suit are directed to a multi-tiered system for remote data acquisition and
`
`
`
`centralized processing, storage and analysis of paper and electronic data that may be generated
`
`by sales, business, banking, and general consumer transactions. See ’988 Patent at [57]; ’137
`
`Patent at [57]. The ’988 Patent issued on June 8, 1999 from an application filed on August 27,
`
`1997. ’988 Patent. A reexamination certificate was issued for the ’988 Patent on October 23,
`
`2007. ’988 Patent C1. The reexamination certificate confirmed the patentability of original
`
`claims 1-50 and determined new claims 51-123 to be patentable. ’988 Patent C1 at 2:46-54. The
`
`’988 Patent abstract reads:
`
`A system for remote data acquisition and centralized processing and storage is
`disclosed called the DataTreasury™ System. The DataTreasury™ System
`provides comprehensive support for the processing of documents and electronic
`data associated with different applications including sale, business, banking and
`general consumer transactions. The system retrieves transaction data at one or
`more remote locations, encrypts the data, transmits the encrypted data to a central
`location, transforms the data to a usable form, performs identification verification
`using signature data and biometric data, generates informative reports from the
`data and transmits the informative reports to the remote location(s). The
`DataTreasury™ System has many advantageous features which work together to
`provide high performance, security, reliability, fault tolerance and low cost. First,
`the network architecture facilitates secure communication between the remote
`location(s) and the central processing facility. A dynamic address assignment
`algorithm performs load balancing among the system’s servers for faster
`performance and higher utilization. Finally, a partitioning scheme improves the
`error correction process.
`
`’988 Patent at [57]; see ’988 Patent Certificate of Correction, Oct.12, 1999 (correcting
`
`capitalization error in abstract).
`
`
`
`Relying on a substantially similar written description, the ’137 Patent issued February 29,
`
`2000 from an application filed on May 19, 1998. ’137 Patent at [22], [45]. The ’137 Patent
`
`generally discloses the same system as the ’988 Patent but is focused on a specific kind of data,
`
`namely banking transaction data, such as credit card receipts and checks. See id. at [57]. The
`
`- 3 -
`
`Page 7 of 116
`
`

`

`’137 Patent is subject to a terminal disclaimer. Id. at [45]. A reexamination certificate was
`
`issued for the ’137 Patent on December 25, 2007. ’137 Patent C1. The certificate confirmed the
`
`patentability of original claims 1-43 and determined new claims 44-67 to be patentable. ’137
`
`Patent C1 at 2:37-40. The abstract from the ’137 Patent reads:
`
`A system for remote data acquisition and centralized processing and storage is
`disclosed called the DataTreasury™ System. The DataTreasury™ System
`provides comprehensive support for the processing of documents and electronic
`data associated with different applications including sale, business, banking and
`general consumer transactions. The system retrieves transaction data such as
`credit card receipts checks in either electronic or paper form at one or more
`remote locations, encrypts the data, transmits the encrypted data to a central
`location, transforms the data to a usable form, performs identification verification
`using signature data and biometric data, generates informative reports from the
`data and transmits the informative reports to the remote location(s). The
`DataTreasury™ System has many advantageous features which work together to
`provide high performance, security, reliability, fault tolerance and low cost. First,
`the network architecture facilitates secure communication between the remote
`location(s) and the central processing facility. A dynamic address assignment
`algorithm performs load balancing among the system's servers for faster
`performance and higher utilization. Finally, a partitioning scheme improves the
`error correction process.
`
`’137 Patent, at [57] (emphasis shows difference between ’988 Patent abstract and ’137 Patent
`
`abstract).
`
`IV. U.S. PATENT NUMBER 5,910,988
`
`A.
`
`
`Overview
`DataTreasury has asserted claims 1, 2, 16, 18, 26, 27, 29, 36, 38, 42 and 46 of the ’988
`
`Patent against one or more of Defendants. Dkt. No. 1151, Exh. A at 1. For contextual purposes,
`
`the claim language for each asserted claim is noted below.
`
`1. A system for central management, storage and report generation of remotely
`captured paper transactions from documents and receipts comprising:
`
`one or more remote data access subsystems for capturing and sending paper
`transaction data and subsystem identification information comprising at least
`one imaging subsystem for capturing the documents and receipts and at least
`one data access controller for managing the capturing and sending of the
`transaction data;
`
`- 4 -
`
`Page 8 of 116
`
`

`

`at least one central data processing subsystem for processing, sending,
`verifying and storing the paper transaction data and the subsystem
`identification information comprising a management subsystem for managing
`the processing, sending and storing of the transaction data; and
`
`at least one communication network for the transmission of the transaction
`data within and between said one or more data access subsystems and said at
`least one data processing subsystem, with the data access subsystem
`providing encrypted subsystem identification information and encrypted
`paper transaction data to the data processing subsystem.
`
`2. A system as in claim 1 wherein said one or more data access subsystems
`further comprise at least one scanner for capturing the paper transaction data.
`
`. . .
`
`16. A system as in claim 1 wherein said at least one communication network
`comprises:
`
`at least one first local area network for transmitting data within a
`corresponding one of said one or more remote data access subsystems;
`
`at least one second local area network for transmitting data within a
`corresponding one of said at least one data processing subsystem; and
`
`at least one wide area network for transmitting data between said one or more
`remote data access subsystems and said at least one data processing
`subsystem.
`
`. . .
`
`18. A system as in claim 1 further comprising at least one data collecting
`subsystem for collecting and sending the electronic or paper transaction data
`comprising a further management subsystem for managing the collecting and
`sending of the transaction data.
`
`. . .
`
`26. A method for central management, storage and verification of remotely
`captured paper transactions from documents and receipts comprising the steps of:
`
`capturing an image of the paper transaction data at one or more remote
`locations and sending a captured image of the paper transaction data;
`
`managing the capturing and sending of the transaction data;
`
`collecting, processing, sending and storing the transaction data at a central
`location;
`
`- 5 -
`
`Page 9 of 116
`
`

`

`managing the collecting, processing, sending and storing of the transaction
`data;
`
`encrypting subsystem identification information and the transaction data; and
`
`transmitting the transaction data and the subsystem identification information
`within and between the remote location(s) and the central location.
`
`27. The method as in claim 26 wherein said managing the capturing and sending
`step comprises the steps of:
`
`successively transforming the captured transaction data to a bitmap image, a
`compressed bitmap image, an encrypted, compressed bitmap image and an
`encrypted, compressed bitmap image tagged with information identifying a
`location and time of the transaction data capturing; and
`
`storing the tagged, encrypted, compressed bitmap image.
`
`. . .
`
`29. A method as in claim 26 wherein:
`
`said capturing and sending step occurs at a plurality of remote locations; and
`
`said collecting, processing, sending and storing step occurs at a plurality of
`central locations.
`
`. . .
`
`36. A method as in claim 29 further comprising the steps of:
`
`collecting and sending the electronic or paper transaction data at intermediate
`locations;
`
`managing the collecting and sending of the transaction data; and
`
`transmitting the transaction data within the intermediate location and between
`the intermediate locations and the remote locations and the central locations.
`
`. . .
`
`38. The method as in claim 36 wherein said transmitting the transaction data step
`comprises the steps of:
`
`transmitting data within the remote locations;
`
`transmitting data from each remote location to a corresponding intermediate
`location;
`
`- 6 -
`
`Page 10 of 116
`
`

`

`transmitting data within the intermediate locations;
`
`transmitting data from each intermediate location to corresponding central
`locations; and
`
`transmitting data within the central locations.
`
`. . .
`
`42. A communication network for the transmission of data within and between
`one or more remote data processing subsystems, at least one intermediate data
`collecting subsystem and at least one central subsystem forming a tiered
`architecture wherein each of said at least one central data processing subsystem
`communicate with a corresponding some of said at least one data collecting
`subsystem and each of said at least one data collecting subsystem communicate
`with a corresponding some of said one or more data processing subsystems, said
`data processing subsystem including an imaging subsystem for capturing images
`of documents and receipts, comprising:
`
`at least one first local area network for transmitting data within a
`corresponding one of said one or more remote subsystems;
`
`at least one second local area network for transmitting data within a
`corresponding one of said at least one intermediate subsystem;
`
`at least one third local area network for transmitting data within a
`corresponding one of said at least one central subsystem; and
`
`at least one wide area network for transmitting data between said one or more
`remote subsystems, said at least one intermediate subsystem and said at least
`one central subsystem.
`
`. . .
`
`46. A method for transmitting data within and between one or more remote
`subsystems, at least one intermediate subsystem and at least one central
`subsystem in a tiered manner wherein each of the central subsystems
`communicate with at least one intermediate subsystem and each of the
`intermediate subsystems communicate with at least one remote subsystems
`comprising the steps of:
`
`capturing an image of documents and receipts and extracting data therefrom;
`
`transmitting data within the remote locations;
`
`transmitting data from each remote location to corresponding intermediate
`location;
`
`- 7 -
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`Page 11 of 116
`
`

`

`transmitting data within the intermediate locations;
`
`transmitting data from each intermediate location to corresponding central
`locations; and
`
`transmitting data within the central locations.
`
`’988 Patent at 22:20—28:33; see ’988 Patent C 1 (amendment to claim 1).
`
`B.
`
`Claim Construction
`
`1.
`
`Agreed terms
`
`The parties have agreed to the constructions as summarized in the table below.
`
`——_—
`“sending”
`1,18,26,29,
`Sending electronically
`36
`
`“paper transaction data”
`
`1, 2, 18, 26,
`36
`
`“data access controller”
`
`“processing”
`
`1, 16, 26, 42
`
`Information concerning a transaction reflected on a
`paper document, where the “paper transaction
`data” includes an image of the paper document
`when it is transmitted from the remote data access
`subs stem.
`
`A computer chip, circuit board, or a computer that
`interfaces between the imaging subsystem and the
`remainder of the overall claimed system, and
`controls the o eration of the ima- in subs stem.
`
`The performance of operations upon data and
`information, in contrast to the processing overhead
`of the o u eratin s stem and networks.
`
`
`
`“at least one
`communication network for
`
`1
`
`A connection of computers and/or devices to
`facilitate the transmission of the transaction data
`
`the transmission of the
`transaction data”
`
`“transmission” and
`“transmitted”
`“capturing an image of the
`paper transaction data”
`
`“sending a captured image
`of the paper transaction
`data”
`
`“central location”
`
`between the computers and/or devices. For
`example, a local area network or a wide area
`network.
`
`The sending of data electronically.
`
`1,16,26,36,
`38, 42, 46
`
`Capturing an image of the documents and receipts
`(claim 26 of the ’988) or Capturing an image of the
`
`Sending a capturednnage of the transaction data,
`after it has been encrypted, from the remote
`location to the central location.
`
`26, 29, 36, 46 A location that is different from the remote
`locations where the fimction of capturing an image
`of the a 1 er transaction data is erformed.
`
`“transmitting the
`transaction data within the
`
`36
`
`The transaction data is transmitted inside the
`intermediate location.
`
`Page 12 of 116
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`

`

`
`
`intermediate location”
`
`
`
`Preamble is limitin-
`
`Each remote subsystem has associated with it a
`local area network (LAN) for transmitting
`transaction data between the components of that
`remote subsystem.
`
`Preamble is mm,
`
`“at least one first local area
`network for transmitting
`data within a corresponding
`one of said one or more
`remote subs stems”
`
`The Comt finds the wording of a few of the agreed constructions to be ambiguous and
`
`could potentially lead to 02 Micro issues; accordingly, the Court adopts the following
`
`constructions, which are substantially similar or identical to the parties’ agreed constructions.
`
`Court’s Construction
`
`“sending”
`
`“paper transaction data”
`
`l, 18, 26, 29,
`36
`
`1, 2, 18, 26,
`36
`
`“data access controller”
`
`“processing”
`
`1, 16, 26, 42
`
`Sending electronically.
`
`Electronic information concerning a transaction
`that comes from a paper document; this
`information includes an image of the paper
`document when it is transmitted from the remote
`data access subs stem.
`
`A computer chip, circuit board, or a computer that
`interfaces between the imaging subsystem and the
`remainder of the overall claimed system, and
`controls the o eration of the ima -,'
`
`.
`
`The performance of operations upon data and
`information, in contrast to the processing overhead
`of the o u eratin- s stem and networks.
`
`A connection of computers and/or devices to
`facilitate the transmission of the transaction data
`
`between the computers and/or devices. For
`example, a local area network or a wide area
`network.
`
`The sending of data electronically.
`
`Capturmg an image of;(1) the documents and
`recei ts or 2 checks
`
`
`
`“at least one
`communication network for
`
`the transmission of the
`transaction data”
`
`“transmission” and
`“transmitted”
`“capturing an image of the
`3 .er transaction data”
`
`l, 16, 26, 36
`38, 42, 46
`26
`
`Sendin a ca tured una - e of the transaction data,
`
`5 At first blush. this construction seemingly conflicts with the agreed construction of “paper transaction data.”
`However. based on the preamble of claim 26. which refers to the “captured paper transactions from documents and
`receipts." the Court finds it is reasonable that “the paper transaction data.” as used in this term. refers to the
`documents and receipts (”988 Patent) or checks (‘137 Patent) as discussed in the preamble. The Court recognizes,
`however, the tenn “paper transaction data” is used to mean something different in the other asserted claims.
`
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`

`
`
`of the paper transaction
`data”
`
`after it has been encrypted, from a remote location
`to a central location.
`
`“transmitting the
`transaction data within the
`
`intermediate location”
`
`“at least one first local area
`network for transmitting
`data within a corresponding
`one of said one or more
`remote subs stems”
`
`
`
`The transaction data is transmitted inside the
`intermediate location.
`
`Preamble is limin—
`
`Each remote subsystem has associated with it a
`local area network (LAN) for transmitting
`transaction data between the components of that
`remote subsystem.
`
`Preamble is limitin
`
`2.
`
`“tiered manner” and “tiered architecture”
`
`These terms appear in asserted claims 42 and 46 of the ’988 Patent and have not been
`
`previously construed by the Court.6 The primary disputes between the parties are (1) whether the
`
`term is indefmite, (2) whether a direct connection is required between the tiered subsystems, and
`
`(3) whether the hub-and—spoke architecture was disclaimed. The parties offer the following
`
`constructions.
`
`Defendant Grou 1
`
`Defendant Grou 2
`
`“tiered manner” is
`the way in which
`functional layers of
`computers are
`organized
`
`“tiered architecture”
`is the conceptual
`structure and logical
`organization of
`subsystems
`arranged in
`functional layers.
`
`
`
`Indefinite.
`“Tiered” does NOT include:
`-an architecture that can be described as
`spoke and hub;
`-an architecture in which a communication or
`routing node receives images from and sends
`images to multiple locations that are remote
`from the node;
`-an architecture in which data is sent from
`one entity or bank through a node in a
`communication or routing network to
`another entity or bank;
`-an architecture in which data from multiple
`originating locations arrives at a server and
`gets routed by that server to a designated
`address;
`-an architecture in which communications
`
`A layered formation of
`subsystems comprising
`one or more remote
`subsystems with each
`remote subsystem directly
`connected to
`corresponding
`intermediate subsystems
`which are directly
`connected to a central
`subsystem. A tiered
`architecture/manner is
`distinct from a “hub and
`spoke” architecture.
`
`6 It appears that these terms were not in dispute until the Ballard Patents went through the reexamination process.
`This is a prime example that reexamination does not always “simplify the issues” but can make them more complex.
`
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`use common carrier networks, public
`switched telephone networks, or other
`similar networks, such as that provided by
`AT&T;
`-an architecture in which images flow from
`one bank or entity to another bank or entity;
`-an architecture in which images are sent
`from a payee location or other image capture
`location to a bank processing site to an
`electronic clearinghouse;
`-an architecture in which an intermediate
`location is part of a bank or bank facility;
`-an architecture in which a central location is
`part of a payment system; and
`-any architecture described or depicted in
`Minoli.
`
`
`Dkt. No. 1151, Exh. A at 19-21, 22-23.
`
`a.
`Parties’ Positions
`DataTreasury contends its construction of the term is support