throbber
UNITED STATES PATENT AND TRADEMARK OFFICE
`
`BEFORE THE PATENT TRIAL AND APPEAL BOARD
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`
`
`FORD MOTOR COMPANY Petitioner
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`v.
`
`PAICE LLC & THE ABELL FOUNDATION, INC.
`
`Patent Owner
`
`
`
`Case IPR2014-00570
`
`Patent 8,214,097
`
`
`
`
`
`Patent Owner’s Response to Petition for Inter Partes Review of
`
`U.S. Patent No. 8,214,097
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`

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`Patent No. 8,214,097
`Patent Owner Response
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`
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`Case IPR2014-00570
`Attorney Docket No: 36351-0013IP1
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`
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`TABLE OF CONTENTS 
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`I. 
`
`II. 
`
`Introduction ...................................................................................................... 1 
`
`Background of the ’097 Patent ........................................................................ 4 
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`III.  Defects in the instituted grounds of unpatentability ........................................ 8 
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`IV.  Ground 6 is defective because claims 30, 31, 35, 36 and 39 are not obvious
`over the proposed combination of Severinsky and Anderson ......................... 9 
`
`A.  Overview of the References .................................................................. 9 
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`1. 
`
`2. 
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`3. 
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`Parallel Hybrid System and Series Hybrid System .................. 10 
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`Severinsky ................................................................................. 12 
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`Anderson ................................................................................... 13 
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`Severinsky and Anderson do not disclose the controller claimed in
`claim 30 ............................................................................................... 18 
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`Severinsky and Anderson do not disclose “wherein the controller
`controls said engine such that a rate of increase of output torque of
`said engine is limited . . .” ................................................................... 24 
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`Severinsky and Anderson do not disclose limiting the rate of increase
`of engine output torque ....................................................................... 27 
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`Severinsky and Anderson do not disclose a “controller . . . such that
`combustion of fuel within the engine occurs at a substantially
`stoichiometric ratio” ............................................................................ 29 
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`Severinsky and Anderson cannot be combined in the manner asserted
`by Ford................................................................................................. 32 
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`Severinsky and Anderson teach away from the claimed invention .... 37 
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`Ford’s proposed reasoning for combining the references is flawed ... 41 
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`Ford’s expert should be given little or no weight ............................... 44 
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`B. 
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`C. 
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`D. 
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`E. 
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`F. 
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`G. 
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`H. 
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`I. 
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`Patent No. 8,214,097
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`Case IPR2014-00570
`Attorney Docket No: 36351-0013IP1
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`V.  Ground 7 is defective because claim 32 is not obvious over the proposed
`combination of Severinsky, Anderson, and Yamaguchi ............................... 48 
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`VI.  Ground 8 is defective because claim 33 is not obvious over the proposed
`combination of Severinsky, Anderson, Yamaguchi, and Katsuno ................ 49 
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`A. 
`
`Ford’s proposed combination of references would not render obvious
`claim 33, because the combination does not meet all the requirements
`of the claim .......................................................................................... 50 
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`Katsuno does not disclose or suggest supplying fuel and air to
`1. 
`an engine at an air-fuel ratio of no more than 1.2 of the stoichiometric
`ratio 51 
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`Katsuno does not disclose or suggest supplying fuel and air at
`2. 
`the ratio of 1.2 of the stoichiometric ratio for starting the engine ...... 54 
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`B. 
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`Ford’s proposed reasoning for combining the references is flawed ... 58 
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`VII.  CONCLUSION .............................................................................................. 59 
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`Patent No. 8,214,097
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`Attorney Docket No: 36351-0013IP1
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`TABLE OF AUTHORITIES
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`
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`Bausch & Lomb, Inc. v. Barnes-Hind/Hydrocurve, Inc., 796 F.2d 443 (Fed. Cir.
`
`1986) .................................................................................................................... 39
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`Fluor Tec, Corp. v. Kappos, 499 Fed. Appx. 35 (Fed. Cir. 2012) ........................... 40
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`In re Giannelli, 739 F.3d 1375 (Fed. Cir. 2014) ...................................................... 59
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`In re Gurley, 27 F.3d 551 (Fed. Cir. 1994) .............................................................. 37
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`In re Kahn, 441 F.3d 977 (Fed. Cir. 2006) ....................................................... 41, 43
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`KSR Int’l Co. v. Teleflex Inc., 550 U.S. 398 (2007) ........................................ 40, 41
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`Outside The Box Innovations, LLC v. Travel Caddy, Inc., 695 F.3d 1285 (Fed. Cir.
`
`2012) .................................................................................................................... 40
`
`Sata GmbH & Co., v. Anest Iwata Corp., 2013 WL 5970199 (June 25, 2013 Patent
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`Tr. & App. Bd.) ............................................................................................. 48, 57
`
`Spectralytics, Inc. v. Cordis Corp., 649 F.3d 1336 (Fed. Cir. 2011) ....................... 37
`
`Unigene Labs., Inc. v. Apotex, Inc., 655 F.3d 1352 (Fed. Cir. 2011) ..................... 40
`
`
`
`STATUTES
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`35 U.S.C. § 103 ................................................................................................. 47, 48
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`Patent No. 8,214,097
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`Case IPR2014-00570
`Attorney Docket No: 36351-0013IP1
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`UPDATED TABLE OF EXHIBITS
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`Exhibit Description
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`Patent Owner
`Exhibit Number
`PAICE Ex. 2002 Declaration of Neil Hannemann
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`PAICE Ex. 2003 Neil Hannemann CV
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`Jeffrey Stein Deposition Transcript (Jan. 12, 2015)
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`Complaint
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`PAICE Ex. 2006 Griffith Hack
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`PAICE Ex. 2004
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`PAICE Ex. 2005
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`Patent No. 8,214,097
`Patent Owner Response
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`I.
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`Introduction
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`Case IPR2014-00570
`Attorney Docket No: 36351-0013IP1
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`The Board instituted trial with respect to claims 30-33, 35, 36, and 39 (the
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`“challenged claims”) of U.S. Patent No. 8,214,097 (“the ’097 patent”) (Ex. 1001)
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`owned by Paice LLC and The Abell Foundation, Inc. (collectively, the “Patent
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`Owner” or “Paice”) in view of a Petition requesting inter partes review filed by
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`Ford Motor Company (“Ford”).
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`The Board instituted a subset of the grounds based on the following
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`references: (1) U.S. Patent No. 5,343,970 (“Severinsky”) (Ex. 1009); (2) “The
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`Effects of APU Characteristics on the Design of Hybrid Control Strategies for
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`Hybrid Electric Vehicles,” SAE Technical Paper Series, February 27–March 2,
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`1995 (“Anderson”) (Ex. 1006); (3) U.S. Patent No. 5,865,263 (“Yamaguchi”) (Ex.
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`1007); and (4) U.S. Patent No. 4,707,984 (“Katsuno”) (Ex. 1008).
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`In particular, the Board instituted the following grounds: Ground 6—claims
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`30, 31, 35, 36, and 39 as obvious over Severinsky and Anderson; Ground 7—claim
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`32 as obvious over Severinsky, Anderson, and Yamaguchi; and Ground 8—claim
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`33 as obvious over Severinsky, Anderson, Yamaguchi, and Katsuno. See
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`September 30, 2014 Decision at 12 (“Decision”). This Response is filed in
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`opposition to the Petition, as informed and narrowed by the Decision, and does not
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`address grounds not adopted by the Board. It is respectfully submitted that all
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`challenged claims are patentable for the reasons set forth herein.
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`Patent No. 8,214,097
`Patent Owner Response
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`Case IPR2014-00570
`Attorney Docket No: 36351-0013IP1
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`Ford’s arguments with regards to the ’097 patent are fundamentally flawed
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`for several reasons. Even assuming for the sake of argument that Severinsky may
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`be combined with Anderson, the proposed combination fails to disclose the
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`claimed controller of claim 30. The proposed combination does not disclose a
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`controller, in response the operator’s command, (1) controlling the electric motor
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`to provide additional torque when the torque provided by the engine is less than the
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`amount required to operate the vehicle, and (2) limiting the rate of increase of the
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`engine’s output torque to less than the inherent maximum rate of increase, such
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`that combustion of fuel occurs at a substantially stoichiometric ratio.
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`Moreover, Severinsky discloses a parallel hybrid system, whereas Anderson
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`is focused on a series hybrid system, which are very different systems. A person of
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`ordinary skill in the art would not have combined the parallel hybrid topology and
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`control strategies of Severinsky with the series hybrid control strategies of
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`Anderson. Such a person would not have formed the proposed combinations
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`because the proposed combinations would not have worked, and the references
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`themselves actually teach away from the proposed combinations. Therefore, for
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`the reasons detailed more fully herein, the Board should affirm the patentability of
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`claims 30-33, 35, 36, and 39 of the ’097 patent.
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`Before reaching the merits, it is important to place the Patent Owners and
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`Ford’s Petition into the proper context. Abell is a Baltimore-based charitable
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`Case IPR2014-00570
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`organization dedicated to fighting urban poverty and finding solutions to
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`intractable problems confronting Maryland residents. Abell has invested millions
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`of dollars in small companies like Paice, which is a small Maryland-based
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`company that has developed and promoted hybrid electric technology since 1992.
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`Paice has been involved with the world’s top automotive manufacturers in
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`developing commercially viable hybrid vehicles, and in 2010 reached a significant
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`license on the patent subject to Ford’s Petition with Toyota, the world’s most
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`successful hybrid auto manufacturer. Between 1999 and 2004, Paice spent
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`extensive time working with Ford to teach Ford Paice’s hybrid vehicle technology,
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`including detailed modeling of Paice’s patented technology in actual or proposed
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`Ford vehicles. Attached as Exhibit 2005 is the complaint Paice filed in district
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`court that summarizes the full context of how Ford accepted Paice’s help and
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`teaching, repeatedly complimented and validated Paice’s technology, but
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`ultimately refused to license Paice’s patents.
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`As the result of an earlier district court litigation, Ford did take a license in
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`2010 to one of Paice’s patents—U.S. Patent No. 5,343,970. At that time, the
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`parties were not able to reach resolution on the other Paice patents and entered into
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`an Arbitration Agreement as a means to resolve the dispute. Ford declined to take
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`Paice’s claims that Ford is unlawfully using Paice’s technology to arbitration, and
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`instead has filed ten separate Petitions for Inter Partes Review before this Board.
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`Patent No. 8,214,097
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`Case IPR2014-00570
`Attorney Docket No: 36351-0013IP1
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`Beyond recognition by the automotive industry, others have considered
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`Paice’s patents as among the most important in the automotive industry. Griffith
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`Hack, an Australian law firm specializing in intellectual property, conducted an
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`independent study of the most dominant hybrid vehicle patents in the world
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`without input or even contact with Paice. Griffith Hack analyzed more than 58,000
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`hybrid vehicle technology patents and their inter-relationships and concluded that
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`the top hybrid vehicle patents were those held by Paice, ahead of those held by
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`leading hybrid vehicle manufacturers such as Toyota, Ford and Honda. A copy of
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`Griffith Hack’s white paper is attached as Exhibit 2006.
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`II. Background of the ’097 Patent
`The ’097 patent describes a hybrid vehicle featuring a hybrid control
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`strategy that reduces emissions during start and operation of the hybrid vehicle.
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`Ex. 1001, col. 1:24-32, col. 29:63-30:12; see also Ex. 2002, ¶28. For example, the
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`’097 patent describes a hybrid control strategy that allows for starting the engine at
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`a substantially stoichiometric air-fuel ratio. The ’097 patent also describes a
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`hybrid control strategy for limiting the rate of increase of the engine’s output
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`torque such that the combustion of fuel occurs at a substantially stoichiometric air-
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`fuel ratio and using the electric motor to meet any shortfall in torque required to
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`operate the vehicle in response to the operator’s command. See, e.g., id., col.
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`27:31-35, col. 29:63-30:12, col. 37:2-6, col. 37:39-42, col. 38:62-39:14; see also
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`Case IPR2014-00570
`Attorney Docket No: 36351-0013IP1
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`Ex. 2002, ¶28. This reduces emissions and improves fuel economy. Ex. 2002, ¶28.
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`During the engine startup process of conventional engines, a rich air-fuel
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`mixture on the order of 6-7 times the stoichiometric air-fuel ratio is provided to
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`ensure that some fraction of the fuel is in the vapor phase, since only fuel in the
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`vapor phase can be ignited by a spark. See, e.g., id., col. 29:64-67; see also Ex.
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`2002, ¶33. Most of the excess fuel condenses as liquid on the cold cylinder walls
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`and is emitted unburned. See, e.g., id., col. 29:67-30:3; see also Ex. 2002, ¶33.
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`During operation of conventional engines, when the operator depresses the
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`accelerator, additional fuel is injected and thus results in a non-stoichiometric and
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`inefficient combustion. See, e.g., id., col. 39:1-14; Ex. 2002, ¶33.
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`By contrast, the ’097 patent describes a hybrid control strategy for limiting
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`the rate of increase of engine output torque during operation to reduce emissions
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`and using the electric motor to provide the balance of torque required to operate
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`the vehicle in response to the operator’s command. See, e.g., id., col. 37:39-42; see
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`also Ex. 2002, ¶34. The ’097 patent also describes a hybrid control strategy that
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`allows for starting the engine at high speeds, creating turbulence in the combustion
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`chamber that is sufficient to ensure the presence of vapor so that a substantially
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`stoichiometric air-fuel mixture can be provided to the engine during the startup
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`phase. See, e.g., id., col. 30:3-12; see also Ex. 2002, ¶34. An example of the
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`hybrid control strategy of the ’097 patent is illustrated in Figure 7(a) (annotated):
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`Patent No. 8,214,097
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`Case IPR2014-00570
`Attorney Docket No: 36351-0013IP1
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`The solid line of the graph in Figure 7(a) depicts the vehicle’s instantaneous
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`torque requirement (road load), whereas the dashed line of the graph depicts the
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`engine’s instantaneous output torque. See, e.g., id., col. 37:51-63; see also Ex.
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`2002, ¶35. As shown in Figure 7(a) starting at point D, the rate of increase of the
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`engine’s output torque is limited so as to maintain substantially stoichiometric
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`combustion. See, e.g., id., col. 38:62-65; see also Ex. 2002, ¶35. When this
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`occurs, the engine’s output torque does not meet the road load, and the electric
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`motor provides the balance of the torque to propel the vehicle (see red cross-
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`hatched annotation in Fig. 7(a)). Ex. 2002, ¶35.
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`During the prosecution of the ’097 patent, the patentee stated that while
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`substantially stoichiometric combustion is to be maintained, drivability – that is,
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`rapid increase in the torque provided to the wheels in response to the operator’s
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`command – is nonetheless essential to a commercially viable vehicle. Ex. 2002,
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`¶40. The electric ‘traction’ motor of the hybrid vehicle is instead employed to
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`provide a rapid increase in torque provided to the wheels of the vehicle instead of
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`forcing the engine out of stoichiometric combustion, thereby providing drivability.
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`Ex. 1003, at 232-233; see also Ex. 2002, ¶40. The patentee also explained that:
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`“the rate of increase of torque output by the ICE [internal combustion engine] is
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`limited by the controller to less than the inherent maximum rate of increase in
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`output torque of the ICE, and any shortfall in the torque required to meet the
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`operator’s requirements – that is, to provide drivability – is supplied by torque
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`from the traction motor.” Id. at 234; see also Ex. 2002, ¶40.
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`This hybrid control strategy is set forth in claim 30 of the ’097 patent. In
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`particular, claim 30 recites a hybrid vehicle including an engine and electric motor
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`both operable to propel the vehicle by providing torque to the wheels, and a
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`controller operable to control the flow of electrical and mechanical power between
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`the engine, the electric motor, and the wheels, responsive to an operator command.
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`Ex. 2002, ¶¶37-38. The wherein clauses further define how the controller controls
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`both the electric motor and engine in response to the operator’s command. Id. In
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`particular, the controller (1) controls the electric motor to provide additional torque
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`when the amount of torque being provided by the engine is less than the amount of
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`torque required to operate the vehicle; and (2) controls the engine such that a rate
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`of increase of output torque of the engine is limited to less than the inherent
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`maximum rate of increase of output torque, and wherein the controller is operable
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`to limit the rate of change of torque produced by the engine such that combustion
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`of fuel within the engine occurs at a substantially stoichiometric ratio. Id.
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`III. Defects in the instituted grounds of unpatentability
`The instituted grounds of unpatentability are defective because key aspects
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`of the invention are missing from the prior art such as the concept of a controller,
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`in response the operator’s command, controlling the electric motor to provide
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`additional torque when the torque provided by the engine is less than the amount
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`required to operate the vehicle and limiting the rate of increase of the engine’s
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`output torque such that combustion of fuel occurs at a substantially stoichiometric
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`ratio. Even overlooking that defect, a person of ordinary skill in the art would not
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`have combined Severinsky, Anderson, Yamaguchi and Katsuno in the manner
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`proposed by Ford. (The level of skill in the art is defined in the declaration of Mr.
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`Hannemann. Ex. 2002, ¶27. However, the differences between the level of skill
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`described by Mr. Hannemann and Dr. Stein do not affect the outcome of the
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`obviousness determination.) Such a person would not have formed the proposed
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`combinations because the proposed combinations would not have worked, and the
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`Patent No. 8,214,097
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`references themselves actually teach away from the combinations. Indeed, Ford’s
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`asserted reasons for making the combinations are directly undercut by the actual
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`teachings of the references.
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`IV. Ground 6 is defective because claims 30, 31, 35, 36 and 39 are not
`obvious over the proposed combination of Severinsky and Anderson
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`The proposed combination of Severinsky and Anderson does not render
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`obvious independent claim 30 and its dependent claims 31, 35, 36, and 39. Even
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`assuming for the sake of argument that the parallel hybrid topology and control
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`strategies of Severinsky could be combined with the series hybrid control strategies
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`of Anderson, the proposed combination does not disclose the limitations of claim
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`30. Moreover, one of ordinary skill in the art would not have combined
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`Severinsky and Anderson in the manner asserted by Ford. Ex. 2002, ¶6.
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`Severinsky and Anderson are directed to very different hybrid topologies and
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`control strategies. In fact, the series hybrid control strategies of Anderson would
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`not work with the parallel hybrid topology and control strategies of Severinsky. Id.
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`Claims 31, 35, 36 and 39 depend from claim 30, and thus, those claims are not
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`obvious for at least the reasons discussed below with respect to claim 30.
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`A. Overview of the References
`Severinsky and Anderson are directed to very different hybrid vehicle
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`architectures, in this are called “topologies,” as well as very different control
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`strategies. Ex. 2002, ¶77. Severinsky is directed to a parallel hybrid topology,
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`Patent NNo. 8,214,0097
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`topology. es hybrid ted to a serien is directewhereass Anderson
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`Before turrning to an
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`overvieww of the reeferences, iit is importtant to undderstand thhe differencces betweeen
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`electric motor, whhich is powwered by thhe battery. Ex. 2002,, ¶42. In a
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`ry, and an
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`parallel
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`parallel and seriess topology hybrid sysstems. Ex.
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` 2002, ¶411.
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`Parallel
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`Hybrid Syystem andd Series Hyybrid Systtem
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`Inn general, a parallel hhybrid systtem includdes an enginne, a batte
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`motor, or hybrid ssystem, thee engine, thhe electric
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`both, can bbe used to
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`propel thee
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`vehicle.. Id. Below is an exaample of aa parallel hyybrid systeem. Id.
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`BBoth the enngine and eelectric motor are couupled to thee wheels too propel thhe
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`vehicle.. Id., ¶43. Because tthe engine is used to
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`propel the
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`respondd to operatoor commannds for proopelling thee vehicle.
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`Id. In adddition, the
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`control of the engiine is timee sensitive bbecause thhe engine mmust responnd quicklyy to
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`changinng operatorr commandds and perfform fast trransients.
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`Id. For exxample, whhen
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`the operrator depreesses the acccelerator ppedal, the
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`operatorr’s commaand, even iff this resullts in a nonn-stoichiommetric and
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`Patent NNo. 8,214,0097
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`Patent OOwner Ressponse
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`Case IPPR2014-000570
`3IP1
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`Atttorney Doocket No: 336351-0013
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`combusstion when
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`ected into
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`the enginee. Id.
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`AA series hybbrid systemm generallyy includes
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`generatoor/motor, aa battery, aand an elecctric motorr. Id., ¶45.
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`an engine,, an electriic
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`hybrid ssystem, onnly the elecctric motor is used to
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`hybrid ssystem. Idd. The engine is neveer used to ppropel the
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`is no meechanical cconnectionn between tthe engine
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`and the drrive wheelss. Id. Insttead,
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`the engiine is usedd to charge the batteryy that poweers the elecctric motorr. Id., ¶¶466-
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`47. Bellow is an eexample of f a series hyybrid systeem. Id.
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`he vehicle.to propel thde torque tls to provido the wheelThe enggine is not coupled to
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`The enggine’s onlyy role is to occasionallly spin thee generatorr, which chharges the
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`battery when the sstate of chaarge of the battery fallls too loww. Id., ¶¶466-47. The
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`battery provides thhe power ffor the elecctric motorr to propel
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`the vehiclee. Id. In thhis
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`to changging operaator commaands, and tthus, the coontrol of thhe engine i
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`sensitivve. Id., ¶488. Instead, the enginee can run aat predefineed constannt power lev
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`to charge the battery independent from operator commands. Id. Because the
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`engine is used only to charge the battery, the control of the engine can be based,
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`for example, on the state of charge of the battery. Id. In other words, the power
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`output of the engine can be set to constant power levels responsive to the state of
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`charge of the battery to charge the battery, independent of operator commands. Id.
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`2.
`Severinsky
`Severinsky is directed to a parallel hybrid system. Ex. 1009, col. 6:3-5; see
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`also Ex. 2002, ¶50. In fact, Severinsky discourages the use of series hybrid
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`systems by stating that “series hybrid electric vehicles are inefficient and grossly
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`uneconomical.” Ex. 1009, col. 2:55-65; see also Ex. 2002, ¶50. Severinsky
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`discloses a control strategy where the engine, electric motor, or both the engine and
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`electric motor, can be used to propel the parallel hybrid vehicle. Ex. 2002, ¶¶52-
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`53. The hybrid vehicle operates in various modes based on vehicle speed,
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`including a low speed mode where only the electric motor is used to propel the
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`vehicle, and a high speed/cruising mode where only the engine is used to propel
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`the vehicle. See, e.g., Ex. 1009, col. 10:52-68; 13:66-14:2; see also Ex. 1003, at
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`238-239 (Severinsky “teaches making such ‘mode switching’ determination based
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`on the vehicle speed, not the road load RL”); see also Ex. 2002, ¶¶52-56. There is
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`also a high-speed acceleration/hill climbing mode where both the engine and
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`electric motor are used to propel the vehicle. See, e.g., Ex. 1009, col. 14:22-26; see
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`also Ex. 2002, ¶¶52-56.
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`Severinsky clearly teaches that the microprocessor activates the electric
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`motor when torque in excess of the capabilities of the engine is required. Id., col.
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`14:16-18; see also Ex. 2002, ¶93. There is no disclosure in Severinsky that the
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`electric motor is used to provide additional torque to propel the vehicle when the
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`rate of increase of the engine output torque is limited or when the engine is
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`operating below its capabilities. Id. Instead, Severinsky discloses the electric
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`motor providing additional torque to propel the vehicle when the capabilities of the
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`engine are exceeded. Id.; see also Ex. 2004, Stein Tr. at 162:19-164:16.
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`Anderson
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`3.
`Anderson is entitled “The Effects of APU Characteristics on the Design of
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`Hybrid Control Strategies for Hybrid Electric Vehicles.” Anderson explores the
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`methodology behind the design of a hybrid control strategy, including component
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`characteristics and design trade-offs for the auxiliary power unit (APU) (e.g.,
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`engine) and battery. Ex. 1006 at 3; see also Ex. 2002, ¶57.
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`As an initial matter, Anderson notes that hybrid vehicles are divided into two
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`architectural categories—series and parallel. Ex. 1006 at 3-4. In a series hybrid
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`system, the APU is decoupled from the wheels, and thus, the increased flexibility
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`of the series hybrid system offers more optimized components that overcome the
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`inefficiencies from converting mechanical power from the APU into electrical
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`power and then back into mechanical power. Id. at 3-4; see also Ex. 2002, ¶¶58-
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`61. In contrast to the series topology, in a parallel hybrid system, there is a direct
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`mechanical connection between the APU and the wheels through a transmission.
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`Id. at 4. Because the APU is directly coupled to the wheels, the APU speed is
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`determined by the vehicle speed and transmission and thus, the direct coupling
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`limits the flexibility of hybrid strategy design. Id. at 4; see also Ex. 2002, ¶¶62-63.
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`Although Anderson states that the thought processes presented in this paper
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`are sufficiently general that they can be applied to any type of vehicle, this simply
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`means that the “thought processes”—in other words, the methodology of designing
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`a hybrid control strategy and the effects of APU and battery characteristics and
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`design trade-offs—can be applied to any type of vehicle. Id. at 4; see also Ex.
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`2002, ¶64. Nowhere does Anderson suggest that the hybrid control strategies
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`articulated for a series hybrid can be applied to a parallel hybrid. In fact, Anderson
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`differentiates the two architectures and makes clear that, to fully explore the
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`flexibility allowed by the hybrid system, its focus is on the design of a strategy for
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`a power assist hybrid, which is a series hybrid system. Ex. 1006 at 4-5.
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`When considering control strategies for a series hybrid system, Anderson
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`starts by describing two extremes in control strategies for a series hybrid system:
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`“thermostat” mode and “following” mode. Id. at 5; see also Ex. 2002, ¶65. Using
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`the “thermostat” mode, the APU is turned on to a constant power level when the
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`state of charge of the battery is below a certain lower threshold, and turned off
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`when the state of charge exceeds an upper threshold. Id. The “following” mode
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`requires the “APU to follow the actual wheel power whenever possible (similar to
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`a conventional automobile).” Id. Using the “following” mode, the APU “must
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`then operate over its entire range of power levels and perform fast power
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`transients, both of which can adversely affect engine efficiency and emissions
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`characteristics.” Id. Importantly, Anderson notes that the “following” mode “is
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`the mode a parallel hybrid vehicle always uses.” Id. Thus, although the
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`“thermostat” mode or the “following” mode may be considered for a series hybrid
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`vehicle, Anderson expressly teaches that a parallel hybrid vehicle always uses the
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`“following” mode and that the engine must perform fast power transients. Id. This
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`is because the engine follows the actual wheel power and responds to an operator’s
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`command for more power. Id.
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`Anderson acknowledges that neither strategy would be the optimum
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`strategy, because the optimum strategy is dependent on the component
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`characteristics and design trade-offs for the APU and battery. Id. at 5; see also Ex.
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`2002, ¶66. Of note, Anderson discusses APU characteristics of transient
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`capabilities and emissions. In discussing APUs and their characteristics, Anderson
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`again makes clear that its focus is on the control strategy for a series hybrid
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`system. Anderson states that “[b]ecause the APU is decoupled from the drivetrain,
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`there is greater flexibility in its design,” and the “design need not be performance
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`driven.” Id.; see also id. at 7 (“a series hybrid vehicle decouples both the speed
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`and power of the APU from the speed and power requirement at the wheels”).
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`Regarding APU transient capabilities, Anderson states that: “Mechanically,
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`the transient capabilities of an engine are limited by the inertia involved in
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`increasing or decreasing the engine speed. Although slower transients are
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`desirable for reducing emissions, slow transients can curtail the life of the battery
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`or potentially harm the engine.” Ex. 1006 at 7. In other words, Anderson’s focus
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`is limited to the inherent transient characteristics of an engine, recognizing the
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`limitations associated with an engine’s mechanical inertia when increasing or
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`decreasing the engine speed. Ex. 2002, ¶69. For example, engines have different
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`transient capabilities based on mechanical parameters such as flywheel inertia,
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`inertia of other rotating and reciprocating components, limitations of air flow, and
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`internal friction. Id.; see also Ex. 1003 at 234-235. Anderson is simply making
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`the unremarkable observation that when choosing engines based on their
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`characteristics for a series hybrid system, the transient capability of an engine is
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`inherently limited by mechanical inertia and that may be a consideration. Ex. 1006
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`at 6; see also Ex. 2002, ¶69.
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`Anderson’s discussion regarding APU emissions is also focused on a series
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`hybrid system. Anderson recognizes that transients present an emissions problem
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`that is largely related to the speed of the transient and teaches that “[s]ome of this
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`effect can be reduced using a hybrid strategy that only allows slow transients, but
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`this places greater strain on the LLD.” Ex. 1006 at 7; see also Ex. 2002

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