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`IPR2016-01198 and IPR2016-01201
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`Fed. Circ. Reverses PTAB Nix Of Synopsys Circuit Patent
`
`By Ryan Davis
`
`Law360, New York (April 24, 2017, 6:42 PM EDT) -- The Federal Circuit ruled Monday that the Patent Trial and Appeal Board incorrectly
`invalidated a Synopsys Inc. circuit patent, reversing a decision favoring ATopTech Inc., which recently filed for bankruptcy after being
`ordered to pay $30 million for infringing Synopsys’ copyrights.
`
`In a rare instance of the Federal Circuit fully reversing the PTAB, rather than vacating and remanding for further proceedings, the court held
`that there was not enough evidence for the board’s finding in an inter partes review that the claims were invalid as obvious or anticipated.
`
`“Because the board’s decision is not supported by substantial evidence, we reverse,” the court wrote.
`
`According to statistics compiled by Law360, the Federal Circuit affirmed the PTAB’s decisions 72 percent of the time in 2016.
`
`Synopsys sued software company ATopTech in 2013, alleging infringement of the patent, which covers a method for designing the layout of
`a large integrated circuit, as well as the copyrights related to software for analyzing digital circuits. ATopTech responded by challenging the
`patent at the PTAB, which found many claims invalid.
`
`The infringement case was bifurcated, with the copyright claims going to trial first, and a California jury found in March 2016 that
`ATopTech infringed and ordered it to pay $30.4 million in damages.
`
`In December, Synopsys dismissed the infringement claim on the patent at issue in the PTAB proceeding with prejudice. The following
`month, ATopTech filed for bankruptcy, listing the $30.4 million verdict as its largest debt by far.
`
`The PTAB found that some of the claims of Synopsys’ patent were invalid as either obvious or anticipated, but the Federal Circuit said
`those findings did not have support.
`
`The patent describes ways of improving circuit performance by splitting large components into smaller components. While the board found
`that the method described by the patent was found in two scientific articles, making it invalid as obvious, the Federal Circuit said neither of
`the articles suggest the methods describe the method found in the patent.
`
`The court also held that contrary to the board's finding that one of the articles disclosed the patent's method of optimal placement of one
`type of component known as hard blocks, the article in fact only describes a different type of component known as soft blocks.
`
`Attorneys for the parties could not immediately be reached for comment Monday.
`
`The patent-in-suit is U.S. Patent Number 6,567,967.
`
`Judges Alan Lourie, Kimberly Moore and Todd Hughes sat on the panel for the Federal Circuit.
`
`Synopsys is represented by Matthew Silveira, Krista Schwartz, Gregory Castanias, David Cochran, Joseph Sauer and Joshua Nightingale of
`Jones Day.
`
`ATopTech is represented by Philip Marsh, Paul Alexander, Sean Callagy and Willow White Noonan of Arnold & Porter Kaye Scholer LLP.
`
`The case is Synopsys Inc. v. ATopTech Inc., case number 2016-1956, in the U.S. Court of Appeals for the Federal Circuit.
`
`--Editing by Aaron Pelc.
`
`Correction: An earlier version of this story incorrectly stated the name of the firm representing ATopTech. The error has been corrected.
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`Case Information
`
`Case Title
`
`Synopsys, Inc. v. ATopTech, Inc.
`
`Case Number
`
`16-1956
`
`Court
`
`Appellate - Federal Circuit
`
`Nature of Suit
`
`-
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`Date Filed
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`May 3, 2016
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`Law Firms
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`Arnold & Porter Kaye Scholer
`Jones Day
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`Synopsys Inc.
`
`Patents
`
`6,567,967 - Method for designing large standard-cell base integrated circuits
`
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