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`UNITED STATES PATENT AND TRADEMARK OFFICE
`______________
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`BEFORE THE PATENT TRIAL AND APPEAL BOARD
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`BAKER HUGHES INCORPORATED
`and
`BAKER HUGHES OILFIELD OPERATIONS, INC.,
`Petitioners
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`v.
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`PACKERS PLUS ENERGY SERVICES, INC.
`Patent Owner
`
`______________
`
`Case IPR2016-00598
`Patent 7,861,774
`______________
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`PETITIONERS’ MOTION TO EXCLUDE
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`36641464.1
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`Case IPR2016-00598
`Patent 7,861,774
`Petitioners move to exclude the following exhibits and testimony pursuant to
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`Rule 42.64:
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`Ex. 2021 (Rystad Energy report)
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`Objections: (1) Authentication as to entire document – Federal Rule of Evidence
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`(“FRE”) 901(a); (2) Hearsay as to page 10/14 – FRE 801(c), 802.
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`Location of prior objections: Papers 28/37 at 3.
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`Locations exhibit is relied upon by RC: POR at 37; and, to the extent
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`considered, Ex. 2034 (McGowen, unredacted) at 45:25-29.
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`Explanation: RC has not proven authenticity. RC filed a declaration by its
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`paralegal (Ex. 2045 at ¶¶ 1, 2), purporting to authenticate Ex. 2021 (Ex. 2045 at
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`¶ 20), but failed to establish a foundation that would enable Mr. Delaney to
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`competently testify about the exhibit’s authenticity. The fact that Petitioners
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`produced Ex. 2021 in litigation is irrelevant. See POR at 27-28. Furthermore, Mr.
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`McGowen also took no steps to authenticate or otherwise verify the information on
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`page 10/14 of Ex. 2021 on which he relied. Ex. 1021 (McGowen deposition) at
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`142:7-145:17. Therefore, Ex. 2021 should be excluded under FRE 901.
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`In addition, the information on page 10/14 on which RC relies (POR at 37)
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`and on which Mr. McGowen relies (Ex. 2034 (McGowen, unredacted) at 45:25-29)
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`is hearsay because it is offered for the truth of the matter asserted – namely, that
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`sales of certain systems were of a certain amount that reflected commercial
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`success. See also Ex. 1021 at 144:7-21. However, RC has not shown that any
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`hearsay exception applies, and has not presented the testimony of anyone with
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`first-hand knowledge of the information presented on page 10/14 of Ex. 2021.
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`Therefore, the information on page 10/14 of Ex. 2021 on which RC (through its
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`POR or its expert’s declaration) relies should be excluded under FRE 801(c) and
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`802.
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`Ex. 2022 (Article Regarding Schlumberger)
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`Objections: (1) Authentication as to entire document – FRE 901(a); (2) Hearsay
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`as to (i) the portion(s) of the document on which RC relies to establish that “the
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`largest oil and gas service company in the world—Schlumberger—opted to work
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`with Packers Plus to provide this technology” (POR at 29); and (ii) the portion(s)
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`of the document on which RC relies to establish that Schlumberger “desire[d] to
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`obtain rights to the technology” (id.) – FRE 801(c), 802.
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`Location of prior objections: Papers 28/37 at 3-4.
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`Locations exhibit is relied upon by RC: POR at 29; and, to the extent
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`considered, Ex. 2034/2036 (McGowen, unredacted and redacted) at section 14.7 on
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`page 46.
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`Explanation: RC has not proven authenticity. RC filed a declaration by its
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`paralegal (Ex. 2045 at ¶¶ 1, 2), purporting to authenticate Ex. 2022 (Ex. 2045 at
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`¶ 21), but failed to establish a foundation that would enable Mr. Delaney to
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`competently testify about the exhibit’s authenticity. Therefore, Ex. 2022 should be
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`excluded under FRE 901.
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`In addition, the portion(s) of the document on which RC relies to establish
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`that “the largest oil and gas service company in the world—Schlumberger—opted
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`to work with Packers Plus to provide this technology” (POR at 29) are hearsay
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`because they are offered for the truth of the matter asserted – namely, that
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`Schlumberger opted to work with Packers Plus to provide the Packers Plus
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`technology that RC contends is relevant to industry praise. Similarly, the
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`portion(s) of the document on which RC relies to establish that Schlumberger
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`“desire[d] to obtain rights to the technology” (id.) are also hearsay because they are
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`offered for the truth of the matter asserted – namely, that Schlumberger desired to
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`obtain rights to the technology, which RC asserts supports its industry praise
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`argument. However, RC has not shown that any hearsay exception applies, and
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`has not presented the testimony of anyone with first-hand knowledge of any
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`agreement between Schlumberger and Packers Plus or of any Schlumberger’s
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`“desire” relating to any such agreement. Therefore, such portion(s) of Ex. 2022
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`should be excluded under FRE 801(c) and 802.
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`Ex. 2024 (BH00363808)
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`Objection: Relevance – FRE 401 and 402.
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`Location of prior objection: Papers 28/37 at 4-5.
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`Locations exhibit is relied upon by RC: POR at 30-32.
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`Explanation: RC has not shown that anything in Ex. 2024 makes it more probable
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`that Petitioners copied the claimed technology. RC relies on only two pages of this
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`exhibit (BH00363833 and BH00363820) to assert that Petitioners obtained “a
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`confidential Packers Plus document while [Petitioners] were designing their own
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`competing system” (POR at 30 (emphasis added)) and “actually developed their
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`own system by copying Packers Plus” (POR at 32). But RC offers no evidence of
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`when Petitioners were in possession of BH00363820 or when Petitioners were
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`“designing their own competing system.” Moreover, neither Petitioners’ FracPoint
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`system on which RC relies or Packers Plus’s StackFRAC system allegedly shown
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`in Exs. 2024 and 2025 is more similar to the system recited in any of the
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`challenged method claims than is Thomson’s prior art system. See Petition at 22-
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`38 (addressing Thomson’s disclosure relative to claim 1); compare Ex. 2034 claim
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`1 charts for StackFRAC and FracPoint systems; see also Ex. 1021 (McGowen
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`deposition) at 64:1-65:25, 67:5-9 (StackFRAC system meets claim 1 structure),
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`67:22-69:23 (Thomson and StackFRAC systems are same with respect to claim 1
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`structure), 71:10-72:23 (Thomson and FracPoint systems are same with respect to
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`claim 1 structure).1 Therefore, Ex. 2024 should be excluded under FRE 401 and
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`402.
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`Ex. 2025 (RC_PAC00019434)
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`Objection: Authentication – FRE 901(a); Relevance – FRE 401 and 402.
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`Location of prior objections: Papers 28/37 at 5.
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`Locations exhibit is relied upon by RC: POR at 30-32.
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`Explanation: RC has not proven authenticity. RC filed a declaration by its
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`paralegal (Ex. 2045 at ¶¶ 1, 2), purporting to authenticate Ex. 2025 (Ex. 2045 at
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`¶ 24), but failed to establish a foundation that would enable Mr. Delaney to
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`competently testify about the exhibit’s authenticity. Therefore, Ex. 2025 should be
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`excluded under FRE 901.
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`Furthermore, RC has not shown that anything in Ex. 2025 makes it more
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`probable that Petitioners copied the claimed technology. RC compares Ex. 2025 to
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`page BH00363820 of Ex. 2024 to support its assertions that Petitioners obtained “a
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`confidential Packers Plus document while [Petitioners] were designing their own
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`competing system” (POR at 30 (emphasis added)) and “actually developed their
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`1 The term “tubing string” was used in questioning to indicate structure because
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`Mr. McGowen did not understand what “structural limitations” or “limitations”
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`were. See Ex. 1030 at 62:11-63:25; see also id. at 33:20-25 (reflects meaning of
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`“tubing string”).
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`own system by copying Packers Plus” (POR at 32). But RC offers no evidence of
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`when Petitioners were in possession of BH00363820, or of when Petitioners were
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`“designing their own competing system.” Moreover, neither Petitioners’ FracPoint
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`system on which RC relies or Packers Plus’s StackFRAC system allegedly shown
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`in Exs. 2024 and 2025 is more similar to the system recited in any of the
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`challenged method claims than is Thomson’s prior art system. See Petition at 22-
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`38 (addressing Thomson’s disclosure relative to claim 1); compare Ex. 2034 claim
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`1 charts for StackFRAC and FracPoint systems; see also Ex. 1021 (McGowen
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`deposition) at 64:1-65:25, 67:5-9 (StackFRAC system meets claim 1 structure),
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`67:22-69:23 (Thomson and StackFRAC systems are same with respect to claim 1
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`structure), 71:10-72:23 (Thomson and FracPoint systems are same with respect to
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`claim 1 structure). Therefore, Ex. 2025 should be excluded under FRE 401 and
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`402.
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`Ex. 2034 (unredacted McGowen Declaration)
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`Objections: Hearsay as to (i) each sliding sleeve, packer, and fluid conveyed
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`sealing device names and numbers referenced in the claim 1 chart of Exhibit B (to
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`Ex. 2034): EX Sleeve, H80915, H80916, H80987, H80990, EX-C, H80940,
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`H80949, EXPress, H80908, H81006, H81008, H81045, H81070, OH MP, H81027,
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`and H81029 for sliding sleeves; OH Packers, H40936, RE Packers, H30187,
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`H30192, and H30407 for packers; and “Balls,” H81020, H81021, and H81022 for
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`fluid conveyed sealing devices; and (ii) each of BH00001776, BH00125568,
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`BH00188257, BH00125568, and BH00188257 – FRE 801(c), 802.
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`Location of prior objections: Papers 28/37 at 8-10.
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`Locations exhibit is relied upon by RC: POR at 33 (first paragraph); and, to the
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`extent considered, Ex. 2034 (McGowen, unredacted) at pages 2/15, 3/15, 4/15, and
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`6/15 of Ex. B.
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`Explanation: The sliding sleeve, packer, and fluid conveyed sealing device
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`names/numbers and “BH” documents identified above are hearsay because RC
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`relies on them for the truth of the matters asserted – namely, that they establish that
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`Petitioners’ products meet certain claim limitations. However, RC has not shown
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`that any hearsay exception applies, and did not submit as exhibits any documents
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`corresponding to the names/numbers or “BH” document on which they (and/or Mr.
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`McGowen) relied. Therefore, such portions of Ex. 2034 should be excluded under
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`FRE 801(c) and 802.
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`April 14, 2017
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`/Mark T. Garrett/
`Mark T. Garrett
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`36641464.1
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`CERTIFICATE OF SERVICE
`Pursuant to 37 C.F.R. § 42.6(e), the undersigned certifies that on April 14,
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`2017, a complete copy of PETITIONERS’ MOTION TO EXCLUDE was served
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`on Patent Owner’s Exclusive Licensee via email (by consent), as follows:
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`hhamad@caldwellcc.com
`bcaldwell@caldwellcc.com
`jnemunaitis@caldwellcc.com
`gonsalves@gonsalveslawfirm.com
`rapid@caldwellcc.com
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`
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`/Mark T. Garrett/
`Mark T. Garrett(Reg. No. 44,699)
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`36641464.1
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