throbber

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`Exhibit 1063
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`(Public Version of Patent Owner Exhibit 2036)
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`Farmwald and RPX Exhibit 1063, pg. 1
`Farmwald and RPX v. ParkerVision
`IPR2014-00948 (PUBLIC REDACTED)
`
`

`

`Page 1
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` UNITED STATES PATENT AND TRADEMARK OFFICE
` _______________
` BEFORE THE PATENT TRIAL AND APPEAL BOARD
` _______________
`
` DR. MICHAEL FARMWALD and RPX CORPORATION
` Petitioner
` v.
` PARKERVISION, INC.
` Patent Owner
` _______________
` Case No. IPR2014-00946
` Patent 6,266,518
`
` Case No. IPR2014-00947
` Patent 6,061,551
` Case No. IPR2014-00948
` Patent 6,370,371
` _______________
`
` DEPOSITION OF JEREMY BRODSKY
` Alexandria, Virginia
` Tuesday, April 28, 2015
`
`Reported by: John L. Harmonson, RPR
`Job No. 92815
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`TSG Reporting - Worldwide 877-702-9580
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`Farmwald and RPX v. ParkerVision
`IPR2014-00948 (PUBLIC REDACTED)
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`

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`Page 2
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` April 28, 2015
` 10:02 a.m.
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` Deposition of JEREMY BRODSKY, held at the
`offices of Oblon, McClelland, Maier &
`Neustadt, LLP, 1940 Duke Street, Alexandria,
`Virginia, pursuant to Notice, before John L.
`Harmonson, a Registered Professional Reporter and
`Notary Public of the Commonwealth of Virginia,
`who officiated in administering the oath to the
`witness.
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`Farmwald and RPX v. ParkerVision
`IPR2014-00948 (PUBLIC REDACTED)
`
`

`

`Page 3
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` A P P E A R A N C E S
`
`On Behalf of the Petitioner:
` OBLON, McCLELLAND, MAIER & NEUSTADT
` 1940 Duke Street
` Alexandria, Virginia 22314
` BY: W. TODD BAKER, ESQ.
`
` LAW OFFICES OF JAMES BAILEY
` 504 West 136th Street
` New York, New York 10031
` BY: JAMES BAILEY, ESQ.
`
`On Behalf of Patent Owner:
` STERNE, KESSLER, GOLDSTEIN & FOX
` 1100 New York Avenue, NW
` Washington, D.C. 20005
` BY: BYRON PICKARD, ESQ.
` ROBERT STERNE, ESQ.
` MICHAEL LEE, ESQ.
` JON BOLJESIC, ESQ.
`
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`Farmwald and RPX Exhibit 1063, pg. 4
`Farmwald and RPX v. ParkerVision
`IPR2014-00948 (PUBLIC REDACTED)
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`

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` J. BRODSKY
`--------------------------------------------------
` P R O C E E D I N G S
` 10:02 a.m.
`--------------------------------------------------
` Whereupon,
` JEREMY BRODSKY,
` after having been first duly sworn, was examined
` and did testify under oath as follows:
` EXAMINATION
` BY MR. PICKARD:
` Q. Good morning, Mr. Brodsky. How are
` you?
` A. Good, thank you.
` Q. If you could tell me, why did RPX file
` these IPRs that you're testifying about here
` today?
` A. So that's a big question. There's a
` number of reasons why we're filing the IPRs.
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`TSG Reporting - Worldwide 877-702-9580
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`Farmwald and RPX Exhibit 1063, pg. 5
`Farmwald and RPX v. ParkerVision
`IPR2014-00948 (PUBLIC REDACTED)
`
`

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` Q. Do you believe that NPEs and patent
`trolls are synonymous?
` A. No, I don't.
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`TSG Reporting - Worldwide 877-702-9580
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`Farmwald and RPX Exhibit 1063, pg. 6
`Farmwald and RPX v. ParkerVision
`IPR2014-00948 (PUBLIC REDACTED)
`
`

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` Q. Do you know if Mike Farmwald has any
`other sources of funding other than his own that
`he's using to fund these IPRs?
` A. I don't have personal knowledge. He
`has told us no.
`
`TSG Reporting - Worldwide 877-702-9580
`
`Farmwald and RPX Exhibit 1063, pg. 7
`Farmwald and RPX v. ParkerVision
`IPR2014-00948 (PUBLIC REDACTED)
`
`

`

`Page 7
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` J. BRODSKY
` Q. When he told RPX that he didn't have
`any other source of funding, were you present for
`those discussions?
` A. I was, and I asked him multiple times
`to confirm that.
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` Had RPX had other experience in IPRs
`before it filed these four?
` A. Yes.
` Q. About how many IPRs had RPX been
`involved with before these petitions were filed?
` A. We had filed eight petitions. We had
`considered filing a handful of others that didn't
`end up getting filed.
` Q. Do you think that RPX is still trying
`to get up the learning curve with IPR
`proceedings?
` A. We are still learning, yes. I think
`everyone is.
` Q. And who heads up the IPR -- I guess
`who oversees the IPRs for RPX in general?
` A. So I am the primary contact point both
`
`TSG Reporting - Worldwide 877-702-9580
`
`Farmwald and RPX Exhibit 1063, pg. 8
`Farmwald and RPX v. ParkerVision
`IPR2014-00948 (PUBLIC REDACTED)
`
`

`

`Page 8
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`from a legal perspective and from thinking about
`it strategically.
` Q. You say primary contact. My question
`is really about who manages it. Do you also
`manage it?
` A. I do. In-house I do.
` Q. Primary contact, is that for an
`outside contact?
` A. Yes.
` Q. Anyone else that you would be a
`primary contact for with these IPRs?
` A. If we explain what we're doing when we
`get questions from clients or prospects or from
`other third parties, I tend to handle those
`conversations.
` Q. Has any of your members contacted you
`about RPX's filing of these four IPRs?
` A. Not that I'm aware of.
` Q. How about anyone outside of RPX
`membership?
` A. You did. So I don't know who it is
`that represents ParkerVision, but three -- I
`don't remember the organization, but somebody
`approached John Amster about trying to do a deal.
`
`TSG Reporting - Worldwide 877-702-9580
`
`Farmwald and RPX Exhibit 1063, pg. 9
`Farmwald and RPX v. ParkerVision
`IPR2014-00948 (PUBLIC REDACTED)
`
`

`

`Page 9
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` Q. What were the contours of the deal
`that was discussed?
` A. I don't think there were contours. I
`think we were approached and said we didn't think
`there was any interest.
` Q. And you believe the individuals who
`approached Jeff Amster were representatives of
`ParkerVision?
` A. It's John Amster, and whoever they
`hired as their financial advisors approached
`them.
` Q. Has anyone else approached you or RPX
`about the four IPR petitions that have been
`filed?
` A. We have received questions, I believe,
`from reporters.
` Q. And did RPX respond to them?
` A. No. We don't respond to questions
`regarding pending legal matters.
` Q. Are you, as primary contact,
`responsible for dealing with the media on
`inquiries about IPRs?
` A. I am not the first person in contact.
`We have somebody who handles PR, and that person
`
`TSG Reporting - Worldwide 877-702-9580
`
`Farmwald and RPX Exhibit 1063, pg. 10
`Farmwald and RPX v. ParkerVision
`IPR2014-00948 (PUBLIC REDACTED)
`
`

`

` J. BRODSKY
`will contact me if anything comes in.
` Q. Who is that individual?
` A. Allan Whitescarver.
` Q.
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`TSG Reporting - Worldwide 877-702-9580
`
`Farmwald and RPX Exhibit 1063, pg. 11
`Farmwald and RPX v. ParkerVision
`IPR2014-00948 (PUBLIC REDACTED)
`
`

`

` J. BRODSKY
`
`Page 11
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` Q. Is ParkerVision in your or RPX's view
`a patent assertion entity?
` A. Yes.
` Q. Are they an NPE?
` A. Yes.
` Q. What does NPE stand for?
` A. Nonpracticing entity.
` Q. Would you characterize ParkerVision as
`a troll?
` A. We do not like the name troll. We
`think that the connotation is improper. We don't
`think that there should be positive or negative
`judgments on people trying to monetize their
`patents.
` Q. Have you ever characterized
`ParkerVision as a troll?
` A. Personally? Not that I can recall,
`no.
` Q. Has anyone at RPX ever described
`ParkerVision as a troll?
` A. I have no idea.
` Q.
`
`
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`Farmwald and RPX v. ParkerVision
`IPR2014-00948 (PUBLIC REDACTED)
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`TSG Reporting - Worldwide 877-702-9580
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`Farmwald and RPX Exhibit 1063, pg. 13
`Farmwald and RPX v. ParkerVision
`IPR2014-00948 (PUBLIC REDACTED)
`
`

`

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` MR. BAKER: So I just want to point
` out now, to the extent that any of
` Mr. Brodsky's answers reveal confidential or
` proprietary information related to RPX, we
` anticipate moving to file a redacted version
` of the transcript on the public portal.
` MR. PICKARD: Okay.
`BY MR. PICKARD:
` Q. Have any of RPX's members or RPX
`itself been threatened with a lawsuit based on
`the four patents that are involved in these IPRs?
` A. Not that I'm aware of.
` Q. Has anyone been offered a license
`deal, the members or RPX, that relate to these
`four patents?
` A. Yes. When you guys approached us and
`
`TSG Reporting - Worldwide 877-702-9580
`
`Farmwald and RPX Exhibit 1063, pg. 14
`Farmwald and RPX v. ParkerVision
`IPR2014-00948 (PUBLIC REDACTED)
`
`

`

`Page 14
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`asked us if we wanted to do a deal.
` Q. By the way, when was that?
` A. It was probably at least a couple
`months ago.
` Q. So that was after the petitions were
`filed?
` A. It was.
` Q. Earlier I asked you what the contours
`of the deal were and you told me there weren't
`any. Now you're telling me that it was offered
`to license patents?
` A. My understanding, and again this is
`thirdhand, is that the approach was -- I think it
`was after we had announced the Rockstar deal, but
`was whether or not there would be interest in us
`either licensing or acquiring patents.
` Q. Earlier when I asked you what the
`contours of the deal were and you told me you
`didn't know, why didn't you tell me that it was
`an offer to license patents?
` A. I believe I did. I told you that it
`was an offer to -- that they wanted to do a deal,
`and in my mind doing a deal means...
` Q. That's the only kind of deal it could
`
`TSG Reporting - Worldwide 877-702-9580
`
`Farmwald and RPX Exhibit 1063, pg. 15
`Farmwald and RPX v. ParkerVision
`IPR2014-00948 (PUBLIC REDACTED)
`
`

`

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`be?
` A. That's essentially the only type of
`deal that RPX does with a patent assertion
`entity.
` Q. Other than that proposed license
`agreement, are you aware of ParkerVision offering
`a license to any RPX member or previously
`offering a license to RPX?
` A. No.
` Q. How about to Mike Farmwald?
` A. No.
` Q. Has, to your knowledge, ParkerVision
`ever threatened to sue Mike Farmwald?
` A. Not that I'm aware of.
` Q.
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`Farmwald and RPX Exhibit 1063, pg. 16
`Farmwald and RPX v. ParkerVision
`IPR2014-00948 (PUBLIC REDACTED)
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`

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` Q. Since RPX has filed these IPR
`petitions, have there been any communications
`with Qualcomm about rejoining as a member of RPX?
` A. I'm not specifically aware. There may
`have been. But as far as I know, Qualcomm has no
`interest right now in being a member.
` Q. You say you're not specifically aware.
`
`TSG Reporting - Worldwide 877-702-9580
`
`Farmwald and RPX Exhibit 1063, pg. 17
`Farmwald and RPX v. ParkerVision
`IPR2014-00948 (PUBLIC REDACTED)
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`

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`Do you have any general awareness whether there
`has been discussions with Qualcomm about
`rejoining since the filing of these IPRs?
` A. I don't. All I know is we have a
`couple of people in the semiconductor industry
`who tend to talk to a lot of people in the
`semiconductor industry. And if they would have
`talked to Qualcomm, I'm sure they would have seen
`if there's anything we can do to bring them back
`in as a client.
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` Q. Do you know who they communicated that
`to?
` A. That would have been to a combination
`of either Will Chuang or Paul Reidy.
` Q. All right. What role does Mr. Chuang
`
`TSG Reporting - Worldwide 877-702-9580
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`Farmwald and RPX Exhibit 1063, pg. 18
`Farmwald and RPX v. ParkerVision
`IPR2014-00948 (PUBLIC REDACTED)
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`

`Page 18
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`have?
` A. Mr. Chuang is in charge of our client
`relations group and I believe at the time
`Qualcomm terminated was their point of contact in
`that group.
` Q. How about Mr. Reidy, what does he do
`for RPX?
` A. Mr. Reidy does a lot of things. He's
`sort of a senior statesman in the semiconductor
`industry. But he does acquisitions deals, and he
`will also participate in soliciting new clients
`or trying to get clients to renew.
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` Q. Have you ever talked to Mr. Chuang or
`Reidy about Qualcomm's decision to terminate its
`membership in RPX?
` A. Yes.
` Q. And what did they say about it?
` A. Mr. Reidy just said he was surprised
`that they had terminated.
` Q. And that was it?
`
`TSG Reporting - Worldwide 877-702-9580
`
`Farmwald and RPX Exhibit 1063, pg. 19
`Farmwald and RPX v. ParkerVision
`IPR2014-00948 (PUBLIC REDACTED)
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`

`

`Page 19
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` A. Yeah.
` Q. Qualcomm paid an annual membership
`fee, correct?
` A. That's correct.
` Q. And that was on the order of about
` a year; is that right?
` A. That sounds right. I believe you have
`a document that shows.
` Q. I do.
` A. I think they received a discount their
`last year.
` or so annual
` Q. And given that
`payment, where would that put them in terms of
`size of client relative to other members in RPX?
` A. They are a larger client but not the
`largest.
` Q. Do you know how much the largest
`client pays in membership fees to RPX?
` A. The largest we have right now I
`believe pays
`.
` Q. Who is that?
` A. This is very confidential information.
`Is this really relevant?
` Q. We have a protective order in place
`
`TSG Reporting - Worldwide 877-702-9580
`
`Farmwald and RPX Exhibit 1063, pg. 20
`Farmwald and RPX v. ParkerVision
`IPR2014-00948 (PUBLIC REDACTED)
`
`

`

`Page 20
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` J. BRODSKY
`here.
` MR. BAILEY: It doesn't seem relevant.
` MR. BAKER: We're going to object on
` the basis of being irrelevant and outside
` the scope of direct. Are you going to
` insist on an answer, I guess is the
` question. We can't instruct him not to
` answer.
` MR. PICKARD: I would like an answer,
` yeah.
` MR. BAKER: Let's take a break. Your
` question is still alive. Let me talk to
` Mr. Bailey for one second, please.
` MR. PICKARD: All right.
` (Off the record.)
` MR. BAKER: We believe the question is
` so far outside of the scope of direct that
` we would like to call the judges to have
` their determination whether they think the
` question should be answered. We have two
` proposals. We can try to do that now or we
` can hold it to the end of your cross and do
` it at the end. Do you have a preference?
` MR. PICKARD: We'll do it at the end.
`
`TSG Reporting - Worldwide 877-702-9580
`
`Farmwald and RPX Exhibit 1063, pg. 21
`Farmwald and RPX v. ParkerVision
`IPR2014-00948 (PUBLIC REDACTED)
`
`

`

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`Page 21
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` J. BRODSKY
` MR. BAKER: Okay.
` MR. PICKARD: I don't want to break up
` this great repartee we have going.
`BY MR. PICKARD:
` Q.
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`TSG Reporting - Worldwide 877-702-9580
`
`Farmwald and RPX Exhibit 1063, pg. 22
`Farmwald and RPX v. ParkerVision
`IPR2014-00948 (PUBLIC REDACTED)
`
`

`

`Page 22
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` J. BRODSKY
` Q. What are the various services that RPX
`offers?
` A. There are a lot of things.
` Q. Sure.
` A. Core membership involves a lot of
`things. Usually it's an annual subscription.
`For the annual subscription we'll buy patents and
`members will get a license to those patents. We
`will occasionally settle litigations that members
`are in and usually when we settle those
`litigations we'll also get options for us to
`bring in new members or license rights for
`companies that are not members yet.
` Q. When you say you'll settle
`litigations, has RPX ever been sued?
` A. We have been sued, yes.
` Q. Has it ever been sued over patent
`infringement?
` A. We haven't been accused of infringing
`a patent.
` Q. So when RPX settles litigation for its
`members, how does that work?
` A. Typically we will reach a deal with
`the patent owner or whoever has the ability to
`
`TSG Reporting - Worldwide 877-702-9580
`
`Farmwald and RPX Exhibit 1063, pg. 23
`Farmwald and RPX v. ParkerVision
`IPR2014-00948 (PUBLIC REDACTED)
`
`

`

`Page 23
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` J. BRODSKY
`grant rights where we will get a license for RPX
`as well as the ability to sublicense a certain
`number of companies and we will pay the patent
`owner for that right.
` Q. And in the instance where you're able
`to get a license with the right to sublicense
`where there is ongoing litigation, does the
`member automatically get a sublicense because of
`its annual membership or is there an additional
`fee in those instances?
` A. It can vary. Usually all members will
`get a license. Occasionally some members will be
`excluded. Occasionally some members will pay an
`additional amount for a license.
` Q. You're aware that ParkerVision has
`sued Qualcomm for patent litigation over the four
`patents that are involved in the IPRs here; is
`that right?
` A. For patent infringement, yes.
` Q. Did RPX ever discuss a possible
`settlement of that litigation with ParkerVision?
` A. Not that I'm aware of.
` Q. Who at RPX would be involved with
`negotiating a settlement of a litigation like
`
`TSG Reporting - Worldwide 877-702-9580
`
`Farmwald and RPX Exhibit 1063, pg. 24
`Farmwald and RPX v. ParkerVision
`IPR2014-00948 (PUBLIC REDACTED)
`
`

`

`Page 24
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` J. BRODSKY
`that?
` A. There are different people who handle
`negotiations. In the semiconductor space it
`would probably be Paul Reidy.
` Q. Have you talked to Mr. Reidy about
`whether he ever tried to settle the ParkerVision
`v. Qualcomm litigation?
` A. Yes.
` Q. What did he say?
` MR. BAKER: Caution against disclosing
` any privileged communications as part of
` your answer.
` THE WITNESS: Never any outreach or
` anything. There was never any interest from
` any client.
`BY MR. PICKARD:
` Q. Okay. So other than the licenses and
`the settlement of litigation, what other services
`or things of value does a member get by virtue of
`its membership?
` A. We provide data tools. So there is an
`RPX client portal that includes essentially
`everything you find in PACER plus additional
`information. We put on a conference. We do
`
`TSG Reporting - Worldwide 877-702-9580
`
`Farmwald and RPX Exhibit 1063, pg. 25
`Farmwald and RPX v. ParkerVision
`IPR2014-00948 (PUBLIC REDACTED)
`
`

`

`Page 25
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` J. BRODSKY
`other initiatives. For example, there is an
`initiative called RPX Open that we're doing right
`now. We've done an initiative called RPX Cost
`Study. We put out reports. We do studies.
` Q. Okay. RPX Open, what is that?
` A. RPX Open is an agreement where
`companies commit to providing at least 45 days
`notice before they sell patents to an NPE.
` Q. And members, do they have access to
`RPX Open?
` A. Everyone does. You don't have to be a
`client to do it.
` Q. And RPX Cost, what is that?
` A. RPX Cost Study, again this is open to
`everyone. It is essentially clients or
`non-clients provide us itemized cost data for NPE
`litigations and we put out a report summarizing
`those costs.
` Q. Are those reports available to your
`members?
` A. Reports are available to the general
`public on our website.
` Q. For free?
` A. Yes.
`
`TSG Reporting - Worldwide 877-702-9580
`
`Farmwald and RPX Exhibit 1063, pg. 26
`Farmwald and RPX v. ParkerVision
`IPR2014-00948 (PUBLIC REDACTED)
`
`

`

`Page 26
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` J. BRODSKY
` Q. Any other services that are provided
`to members?
` A. We also have an insurance product.
` Q. Okay. And that's part of the
`membership?
` A. It's not part of the membership. It's
`a separate product.
` Q. And what's the insurance product
`about?
` A. And this is to the best of my
`knowledge because I'm not completely ramped up on
`everything. But in general, we will provide an
`insurance policy to a company that covers NPE
`patent litigation, and we will be obligated after
`certain minimum costs has been met to reimburse
`the --
` (Interruption.)
`BY MR. PICKARD:
` Q. Welcome back. Before the fire alarm,
`we were talking about the insurance business for
`RPX. You said that the insurance policies would
`cover NPE patent litigation, that RPX would be
`obligated, I take it, to indemnify after certain
`minimum costs have been met to reimburse?
`
`TSG Reporting - Worldwide 877-702-9580
`
`Farmwald and RPX Exhibit 1063, pg. 27
`Farmwald and RPX v. ParkerVision
`IPR2014-00948 (PUBLIC REDACTED)
`
`

`

`Page 27
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` J. BRODSKY
` A. That's incorrect. It's not
`indemnification.
` Q. So what does the insurance cover?
` A. We reimburse certain expenses.
` Q. So you don't cover the actual
`liability, just the cost of defense?
` A. I don't know the particulars, but
`there's absolutely no control and we just have to
`reimburse costs.
` Q. Okay. Was Qualcomm ever a
`policyholder for this NPE patent litigation
`insurance?
` A. No.
` Q. How do you know that?
` A. A few ways. I've seen the list of who
`we've insured, and they were not insured.
` We also typically don't provide
`insurance to companies as large as Qualcomm.
` Q. What's a typical size of company that
`would qualify for an insurance policy through
`RPX?
` A. I don't know the specifics, but it's
`smaller than Qualcomm.
` Q. Do you know how big Qualcomm is?
`
`TSG Reporting - Worldwide 877-702-9580
`
`Farmwald and RPX Exhibit 1063, pg. 28
`Farmwald and RPX v. ParkerVision
`IPR2014-00948 (PUBLIC REDACTED)
`
`

`

`Page 28
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` J. BRODSKY
` A. I don't know specifically but I know
`that it's tens of billions in market cap.
` Q. All right. Any other business
`segments or services that RPX has other than what
`you've testified to today?
` A. We have a patent quality initiative.
` Q. What is that?
` A. So under the patent quality
`initiative, we're doing various things that we
`think help address low quality patents. One
`thing we're doing is systematic prior art
`searching.
` Q. Okay.
` A. That entails essentially doing prior
`art searches. Right now we typically do them
`when there's at least one RPX client that's in a
`litigation, but sometimes we'll do them even when
`there's no clients. We'll do a search. We'll
`review it internally and put together a report to
`make it available to our clients.
` Q. Okay. Did RPX do any prior art
`searching for the ParkerVision/Qualcomm
`litigation?
` A. No.
`
`TSG Reporting - Worldwide 877-702-9580
`
`Farmwald and RPX Exhibit 1063, pg. 29
`Farmwald and RPX v. ParkerVision
`IPR2014-00948 (PUBLIC REDACTED)
`
`

`

`Page 29
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` J. BRODSKY
` Q. How do you know that?
` A. Because I'm in charge of that program.
` Q. All right. So everything that would
`go on in that program you would be personally
`aware of?
` A. Yes.
` Q. How does RPX decide which patents to
`do prior art searching on?
` A. Typically if we see that it's an NPE
`case and there is at least one member, it's more
`likely if there's multiple members, and it's not
`something that, you know, is clearly not their
`problem. So if a retailer gets hits with a water
`slide patent, we don't search on the water slide
`patent.
` Q. I'm not sure I understand your
`example. So if a retailer, say Amazon got sued
`with a water slide patent, you wouldn't search on
`that patent?
` A. No.
` Q. Why is that?
` A. Because that's just not something that
`Amazon would be ultimately responsible for. The
`water slide manufacturer would be.
`
`TSG Reporting - Worldwide 877-702-9580
`
`Farmwald and RPX Exhibit 1063, pg. 30
`Farmwald and RPX v. ParkerVision
`IPR2014-00948 (PUBLIC REDACTED)
`
`

`

`Page 30
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` J. BRODSKY
` Q. So you don't do patent prior art
`searching on the most frivolous cases, you do it
`for something that has a little bit of merit to
`it?
` A. No, we will do prior art searching on
`a lot of frivolous cases.
` Q. But just not cases that RPX views the
`target as being ultimately responsible for?
` A. We are focused on certain market
`sectors, and consumer goods is not one of them.
`For example, a water slide or a bar of soap,
`that's not something we would search.
` Q. So in your water slide example, why
`wouldn't the retailer be responsible for that, in
`your view?
` A. We don't know for sure, but typically
`the product or manufacturer of the product is
`usually who bears costs. We don't really know
`that's the case, though.
` Q. Are you an attorney?
` A. Yes.
` Q. Do you practice patent law?
` A. I was a patent litigator, yes.
` Q. So if a company sells an infringing
`
`TSG Reporting - Worldwide 877-702-9580
`
`Farmwald and RPX Exhibit 1063, pg. 31
`Farmwald and RPX v. ParkerVision
`IPR2014-00948 (PUBLIC REDACTED)
`
`

`

`Page 31
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` J. BRODSKY
`product, are they liable potentially for
`infringement?
` A. Yes.
` Q. Even though they don't make it?
` A. Yes.
` Q. So I'm trying to understand why in
`RPX's view the retailer wouldn't be responsible
`for the sale of an infringing water slide.
` A. It's our assumption -- and this is
`based on what typically happens -- the retailer
`is indemnified by the manufacturer.
` Q. Okay. Does anyone pay for these prior
`art searches or search reports?
` A. No.
` Q. And the prior art search reports, are
`those only provided to members or are they
`provided to nonmembers?
` A. We only provide those to clients.
` Q. Is client synonymous with member?
` A. We typically refer to clients as the
`official approved when referred to.
` Q. Okay.
` A. But members, clients is the same
`thing.
`
`TSG Reporting - Worldwide 877-702-9580
`
`Farmwald and RPX Exhibit 1063, pg. 32
`Farmwald and RPX v. ParkerVision
`IPR2014-00948 (PUBLIC REDACTED)
`
`

`

`Page 32
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` J. BRODSKY
` Q. All right. Do you know how long RPX
`has referred to its members as clients?
` A. I don't know. I think that's purely
`marketing.
` Q. Okay. And do you believe that the
`members are clients of RPX?
` A. I'm not sure what you mean by that
`question.
` Q. Do you have an understanding of what
`it means to be a client?
` A. I mean, I guess. I'm still not sure.
`I think it's an ambiguous term. RPX gets paid
`for its services. So if that makes you a client
`or a member --
` Q. But the people who pay for its
`services are called clients, right?
` A. Yes.
` Q. Okay. Any other lines of business
`other than the ones we've talked about today?
` A. Well, part of patent quality involves
`other things. A lot of the reports that we do
`fall under that. We are also filing validity
`challenges.
` Q. And what would be included in a
`
`TSG Reporting - Worldwide 877-702-9580
`
`Farmwald and RPX Exhibit 1063, pg. 33
`Farmwald and RPX v. ParkerVision
`IPR2014-00948 (PUBLIC REDACTED)
`
`

`

`Page 33
`
` J. BRODSKY
`validity challenge?
` A. So far, the only validity challenges
`that we have filed have been petitions for inter
`partes review.
` Q. Does anyone pay for these validity
`challenges?
` A. Not specifically, no.
` Q.
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` Q. Has Qualcomm ever paid money for RPX's
`patent quality initiative?
` A. No.
` Q. Has RPX ever approached Qualcomm for
`support for its patent quality initiative?
`
`TSG Reporting - Worldwide 877-702-9580
`
`Farmwald and RPX Exhibit 1063, pg. 34
`Farmwald and RPX v. ParkerVision
`IPR2014-00948 (PUBLIC REDACTED)
`
`

`

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`Page 34
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` J. BRODSKY
` A. No, not that I'm aware of.
` Q. Has any prior art search reports ever
`been given to Qualcomm?
` A. Not that I'm aware of.
` Q.
`
`
` Q. Where does the funding come from for
`the patent quality initiative program?
` A. RPX has money from shareholders that
`have invested. We have the profits that we make.
`And we get fees from our customers. It's all
`fungible.
` Q. And the fees you mentioned, those are
`the client membership fees?
` A

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