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` Entered: January 4, 2017
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`UNITED STATES PATENT AND TRADEMARK OFFICE
`____________
`
`BEFORE THE PATENT TRIAL AND APPEAL BOARD
`____________
`
`YMAX CORPORATION,
`Petitioner,
`
`v.
`
`FOCAL IP, LLC,
`Patent Owner.
`____________
`
`Case IPR2016-01256
`Patent 8,155,298 B2
`____________
`
`
`
`
`
`
`
`Before SALLY C. MEDLEY, JONI Y. CHANG, and
`BARBARA A. PARVIS, Administrative Patent Judges.
`
`CHANG, Administrative Patent Judge.
`
`DECISION
`Granting Institution of Inter Partes Review
`37 C.F.R. § 42.108
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`IPR2016-01256
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`INTRODUCTION
`I.
`YMax Corporation (“Petitioner”) filed a Petition requesting an inter
`partes review of claims 1 and 20 of U.S. Patent No. 8,155,298 B2 (Ex. 1001,
`“the ’298 patent”) and a Declaration of Tal Lavian, Ph.D. (Ex. 1002).
`Paper 1 (“Pet.”). Focal IP, LLC (“Patent Owner”) filed a Preliminary
`Response and a Declaration of Mr. Regis J. Bates Jr. (Ex. 2001). Paper 7
`(“Prelim. Resp.”). Pursuant to our prior authorization, Petitioner filed a
`Reply to the Preliminary Response. Paper 11 (“Reply”).
`For the reasons that follow, we institute an inter partes review
`pursuant to 35 U.S.C. § 314, as to claims 1 and 20 of the ’298 patent.
`
`A. Related Matters
`The parties indicate that the ’298 patent is involved in Patent Asset
`Licensing LLC v. Bright House Networks, LLC, No. 3:15-cv-00742-J-
`32MCR (M.D. Fla.), and identify other related proceedings. Pet. 1–2;
`Paper 4, 2–3. There are other petitions challenging the ’298 patent
`(IPR2016-01259 and IPR2016-0163) and two related patents: (1) U.S.
`Patent No. 7,764,777 B2 (“the ’298 patent”), which issued from a divisional
`application of the ’298 patent’s parent application; and (2) U.S. Patent No.
`8,457,113 B2 (“the ’133 patent”), which issued from a continuation
`application of the ’298 patent.
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`B. The ’298 Patent
`The ’298 patent is directed to a system for allowing a subscriber to
`select telephone service features. Ex. 1001, 1:20–23. Figure 1 of the ’298
`patent is reproduced below (with annotations).
`
`
`Annotated Figure 1 illustrates tandem access controller 10 connected
`to conventional Public Service Telephone Network (PSTN) tandem
`switch 16. Id. at 4:60–64. According to the ’298 patent, “[d]etails of the
`operation of the existing phone network,” including directing of phone calls
`by “existing” PSTN tandem switch 16 to central offices 17, 18 are further
`described in a publication incorporated by reference, as well as “numerous
`books describing the PSTN.” Id. at 4:60–5:4.
`The call flow in the network illustrated in Figure 1 with tandem access
`controller 10 remains the same as that in a conventional network, “except
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`that additional 3rd-party features are applied to the call.” Id. More
`specifically, in the network illustrated in Figure 1, a call from calling party
`20 to subscriber’s phone 14 is directed to tandem access controller 10, which
`places a second call, subject to 3rd party control information to subscriber 12.
`Id. at 5:5–20. The second call is placed “to the subscriber’s ‘private’ phone
`number,” without terminating the first call. Id. When subscriber 12 answers
`the call, tandem access controller 10 connects the first call to the second call
`so as to connect calling party 20 to subscriber 12. Id.
`Figure 1 also shows web server 23 within World Wide Web 22, which
`is connected to tandem access controller 10. Id. at Fig. 1. Subscriber 12
`specifies 3rd-party call control features via web server 23 and these features
`are then relayed via World Wide Web 22 to tandem access controller 10. Id.
`at 5:33–41.
`
`C. Illustrative Claim
`Petitioner challenges independent claims 1 and 20 of the ’298 patent
`in this proceeding. Claim 1 is reproduced below.
`1. A method for providing user control selections for routing of
`one or more communications between users of one or more
`communications networks, wherein the users either 1) initiate a
`communication, 2) receive a communication, or 3) control a
`communication, the user control selections provided by a user
`via access to a web server of a web-enabled processing system
`connected to operate at least in part with the one or more
`communication networks, wherein at
`least one of
`the
`communication networks is a network comprising edge switches
`for routing calls from and to users within a local geographic area
`and switching facilities for routing calls to other edge switches
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`or other switching facilities local or in other geographic areas,
`the web server of web-enabled processing system facilitating
`direct access by a user for providing user control selections to the
`at least one of the switching facilities, the user having a
`communications device with which to communicate with the
`web server of the web-enabled processing system, the method
`comprising the steps of:
`facilitating access by authorized users to the web-enabled
`processing system, via the web server, the web-enabled
`processing system coupled to at least one of the switching
`facilities of the network, the web-enabled processing system
`configured to route a communication from a specific one of the
`users to an intended recipient of the users;
`executing control criteria, via the web-enabled processing
`system, to control the routing of the one or more communications
`via the web-enabled processing system, the control criteria
`predetermined by the users control selections via the web server
`before the control criteria are executed via the web-enabled
`processing system,
`wherein the web-enabled processing system is configured to
`perform the following operations to execute the control criteria:
`first, receive a message indicating a communication request from
`a user initiating a communication for an intended recipient user,
`wherein the message request is transmitted using a [signaling]
`protocol of the at least one communication network;
`second, validate and acknowledge said communications request
`without first forwarding said request to a terminating edge switch
`within the geographic area of the intended recipient of the users;
`third, determine the control criteria for access to the intended
`recipient of the users;
`fourth, facilitate selection of a routing path over the at least one
`communication network in accordance with the control criteria
`for the intended recipient user;
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`fifth, route the communication in accordance with the control
`criteria; and
`sixth, complete a communications link between the user
`initiating the communication and the intended recipient of the
`users, when the intended recipient of the users accepts the
`communication from the user initiating the communication.
`Ex. 1001, 12:46–13:35 (emphases added).
`
`
`
`D. Prior Art Relied Upon
`Petitioner relies upon the following prior art references:
`O’Neal
`
`US 6,463,145 B1 Oct. 8, 2002
`Chang
`
`US 5,958,016
`Sep. 28, 1999
`McMullin
`
`US 5,809,128
`Sep. 15, 1998
`Admitted Prior Art (see, e.g., Ex. 1001, 1:42–55).
`
`
`
`
`(Ex. 1003)
`(Ex. 1004)
`(Ex. 1005)
`
`E. Asserted Grounds of Unpatentability
`Petitioner asserts that claims 1 and 20 of the ’298 are unpatentable
`based on the following grounds of unpatentability. Pet. 3–4.
`
`Reference(s)
`
`Basis
`
`Challenged Claim(s)
`
`O’Neal
`O’Neal, McMullin, and the
`Admitted Prior Art1
`
`§ 102(a)
`
`1 and 20
`
`§ 103(a)
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`1
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`1 Although discussed in the Petitioner’s analysis (Pet. 39–40), the Admitted
`Prior Art is omitted inadvertently from the statements of the asserted
`grounds. Therefore, we treat the statements as harmless error and presume
`that Petitioner intended to assert that claims 1 and 20 are unpatentable based,
`in part, on the Admitted Prior Art.
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`Basis
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`Challenged Claim(s)
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`§ 103(a)
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`Reference(s)
`O’Neal, Chang, and the Admitted
`Prior Art
`
`
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`II. ANALYSIS
`A. Claim Construction
`In an inter partes review, we construe claim terms in an unexpired
`patent according to their broadest reasonable construction in light of the
`specification of the patent in which they appear. 37 C.F.R. § 42.100(b).
`Under this standard, claim terms are presumed to have their ordinary and
`customary meaning as understood by a person of ordinary skill in the art in
`the context of the entire patent disclosure. In re Translogic Tech., Inc., 504
`F.3d 1249, 1257 (Fed. Cir. 2007).
`
`1. “switching facility”
`
`Petitioner contends that the broadest reasonable interpretation of
`“switching facility” is “any switch in the communication network.” Pet. 21;
`Reply 1. Patent Owner contends that “switching facility” (1) is a switch for
`routing calls to edge switches or other “switching facilities” local or in other
`geographic areas; and (2) is not an edge switch or edge device. Prelim.
`Resp. 34, 40 (citing Ex. 2001 ¶¶ 68, 80).
`The preamble of each independent claim recites “a network
`comprising edge switches for routing calls from and to users within a local
`geographic area and switching facilities for routing calls to other edge
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`switches or other switching facilities local or in other geographic areas.”
`See, e.g., Ex. 1001, 12:54–58. On this record, the parties do not present, nor
`can we discern, a reason why the preamble should not be given patentable
`weight. In fact, both parties agree that the preamble of claim 1 is limiting.
`See, e.g., Pet. 39; Prelim. Resp. 34. For purposes of this decision, we
`proceed on the assumption that it is.
`We turn to the Specification of the ’298 patent itself to discern the
`meaning of “switching facility.” As pointed out by both parties, the term
`“switching facility” is not found anywhere in the Specification of the ’298
`patent. The term was added during prosecution. Accordingly, there is not
`much, if anything intrinsically in the Specification of the ’298 patent that
`explicitly defines or informs a person of ordinary skill in the art at the time
`of the invention the meaning of “switching facility.”
`Patent Owner argues that the prosecution history makes clear that
`switching facility cannot include an edge switch. Prelim. Resp. 34–40. The
`remarks made during prosecution, however, are equivocal, and do not
`persuade us of a disavowal or disclaimer of the scope of the term “switching
`facility” to exclude an edge switch. For example, the portion of the
`prosecution history that Patent Owner cites includes a footnote for defining a
`“switching facility” as:
`Any point in the switching fabric of converging networks, also
`referred to in industry as a signal transfer point (STP), signal
`control point (SCP), session border controller (SBC), gateway,
`access tandem, class 4 switch , wire center, toll office, toll center,
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`PSTN switching center, intercarrier connection point, trunk
`gateway, hybrid switch, etc.
`Ex. 2005, 82.
`The above description does not explain that a switching facility does
`not include an edge switch. Indeed, “[a]ny point in the switching fabric of
`converging networks” appears broad. We have considered all of the
`arguments and evidence in this record, regarding the term “switching
`facility,” including the definitions set forth in the Federal Standard 1037C
`(Ex. 1008) and the Newton’s Telecom Dictionary (Ex. 1009). Ex. 1008, S35
`(defining “switching center” and “switching facility” as synonyms that mean
`“a facility in which switches are used to interconnect communications
`circuits on a circuit-, message-, or packet-switching basis”); Ex. 1009
`(defining “switching centers” to refer to all five classes of switches in the
`PSTN). At this juncture of the proceeding, we determine that the broadest
`reasonable interpretation of the term is any switch in the communication
`network.
`
`2. “coupled to”
`
`Claim 1 recites “the web-enabled processing system coupled to at least
`one of the switching facilities of the network.” Ex. 1001, 12:65–67 (emphasis
`added). Petitioner argues that the broadest reasonable interpretation of
`“coupled to” means “connected directly or indirectly.” Pet. 27–28.
`Although Patent Owner does not dispute that the plain and ordinary meaning
`of the term “couple to” does not require a direct connection between the
`web-enabled processing system and the switching facility, Patent Owner
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`argues that the term should be interpreted to mean “direct connection.”
`Prelim. Resp. 40–41. In Patent Owner’s view, the configuration of an
`indirect connection of these elements was allegedly disclaimed by
`Applicants. Id.
`However, the portions of the prosecution history cited by Patent
`Owner for support (e.g., Ex. 2005, 66) are, at most, ambiguous. The
`Amendment that added the limitation “coupled to a switching facility for
`routing calls to edge switches or other switching facilities in local or other
`geographic areas” is silent as to whether “coupled to” requires a direct
`connection between the elements. Id.
`Patent Owner also contends that the web-enabled processing system
`cannot be coupled to a switching facility through an edge switch because
`this construction reflects Applicants’ disclaimer of controllers that applied
`call control features through an edge switch. Prelim. Resp. 40–41. As
`discussed above, we are not persuaded by Patent Owner’s disclaimer
`arguments that the term “switching facility” excludes an edge switch.
`Based on the record before us at this juncture of the proceeding, we
`determine that the broadest reasonable interpretation of “coupled to”
`includes direct or indirect coupling.
`
`3. “controller”
`
`Claim 20 recites a “controller.” Ex. 1101, 14:64. Patent Owner does not
`dispute that the plain and ordinary meaning of this term does not exclude an edge
`device or a system that communicates with an edge device. Prelim. Resp. 41–42.
`Nevertheless, relying on its prosecution disclaimer arguments presented in
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`connection with the term “switching facility,” Patent Owner alleges that a
`“controller” cannot be an edge device or a system that applies call control features
`through an edge switch. Id. As discussed above, we are not persuaded by those
`disclaimer arguments. Based on the present record, we determine that the
`broadest reasonable interpretation of “controller” does not exclude an edge
`device or a system that applies call control features through an edge switch.
`
`B. Principles of Law
`A patent claim is unpatentable under 35 U.S.C. § 103(a) if the
`differences between the claimed subject matter and the prior art are such that
`the subject matter, as a whole, would have been obvious at the time the
`invention was made to a person having ordinary skill in the art to which said
`subject matter pertains. KSR Int’l Co. v. Teleflex Inc., 550 U.S. 398, 406
`(2007). The question of obviousness is resolved on the basis of underlying
`factual determinations including: (1) the scope and content of the prior art;
`(2) any differences between the claimed subject matter and the prior art;
`(3) the level of ordinary skill in the art; and (4) objective evidence of
`nonobviousness. Graham v. John Deere Co., 383 U.S. 1, 17–18 (1966).
`
`C. Obviousness
`
`Petitioner asserts that claim 1 is unpatentable under § 103(a) as
`obvious over O’Neal in view of McMullin and the Admitted Prior Art, and
`that claim 20 is unpatentable under § 103(a) as obvious over O’Neal in view
`of Chang and the Admitted Prior Art. Pet. 36–69. Patent Owner opposes,
`arguing that the prior art combinations do not disclose a web enabled
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`processing system, or a controller, coupled to a “switching facility.” Prelim.
`Resp. 46–51.
`We begin our discussion below with an overview of O’Neal,
`McMullin, and Chang, and then we address the parties’ contentions in turn,
`focusing on the deficiencies alleged by Patent Owner.
`
`1. Overview of O’Neal
`O’Neal describes communication services available via a data-centric
`network and a telephony-centric network. Ex. 1003, 1:48–50. A subscriber
`of various communication services reviews and customizes communication
`options, in an interactive and simplified manner, via either the data-centric
`network or the telephony-centric network. Id. at 1:52–57.
`Figure 1 of O’Neal is reproduced below.
`
`As illustrated in Figure 1 of O’Neal, unified messaging system 101 is
`connected to a public telephone network 129, such as the PSTN through
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`telephone link 128. Id. at 9:9–30, Fig. 1. Unified messaging system 101
`includes telephony server 126 that receives calls made to a subscriber and
`reroutes the call in accordance with a subscriber's communication option
`setting by forwarding the call to the subscriber via an alternate number. Id.
`at 9:55–58, 11:40–51, 15:14–43.
`The subscriber may use user computer 100 to access the unified
`messaging system through a website over a data-centric network 102 such as
`the Internet. Id. at 16:35–17:10, 5:41–60, Fig. 1. Website access allows the
`subscriber to review and/or modify their communication options. Id. at
`16:36–64, 7:45–8:22, Fig. 1. For example, with regard to call forwarding,
`the subscriber is “able to check whether it is enabled, verify the forwarding
`number, select a number from a preprogrammed list, add a new number to a
`preprogrammed list, or enter a temporary number.” Id. at 5:62–6:9. When a
`caller calls the subscriber, the call is routed over public telephone network
`129 and received by the telephony server of the unified messaging system.
`Id. at 8:41–62, 9:20–30, 15:14–43, 17:11–49, Fig. 1. The telephony server
`then uses the subscriber’s communication option settings to “decide how to
`handle the message.” Id. at 8:41–9:9. If the subscriber has enabled “call
`forwarding,” the “telephony server receives the forwarding number from the
`database server and initiates an outgoing call (step 706) to the forwarding
`number on another port (e.g., one of the outgoing lines as seen in FIG. 2).”
`If “the call is accepted” by the subscriber, the telephony server completes the
`call by “connect[ing] the port of the incoming call with the port of the
`outgoing call.” Id. at 17:11–49, 11:40–51, Figs. 1, 3–4, and 7. In this
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`manner, the telephony server may route the call back through the public
`telephone network to the subscriber “in accordance with a subscriber's
`communication option setting.” Id. at 8:41–62, 9:20–30, 9:55–58, 11:40–51,
`15:14–43, 17:11–49, Fig. 1.
`O’Neal further discloses that the subscriber could be using a computer
`“enable[d] [with] digital/Internet telephony.” Id. at 19:1–8. The telephony
`server can re-route the call to the subscriber through the Internet “in
`accordance with a subscriber's communication option setting.” Id. at 9:55–
`58, 18:19–23, 19:1–8, Fig. 1.
`
`2. Overview of McMullin
`McMullin discloses an interactive voice response system for
`providing automatic redirection of an incoming telephone call from a caller.
`Ex. 1005, Abstract, 5:11–16. The redirection allows the system to receive a
`call made to a subscriber, and then redirect the call to a voice mail system or
`to another destination on the PSTN. Id. at 8:1–4. The system also receives
`information about the original destination of the call, known as Dialed
`Number Identification Service (DNIS) information, and validates the DNIS
`information against the subscriber records located in the customer record file
`to ensure that the subscriber number is a valid subscriber authorized to use
`the service. Id. at 6:64–7:14.
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`3. Overview of Chang
`Chang discloses a system that has a web browser interface for
`allowing subscribers to control call features. Ex. 1004, Abstract, 4:45–58,
`7:9–16. Figure 1 of Chang is reproduced below.
`
`
`
`Figure 1 of Chang illustrates a telephone network that includes one or
`more tandem switching offices (11T) that provide connections between end
`offices and/or between other tandem offices. Id. at 8:2–5. Secure access
`platform 25 allows the subscribers to control their call features using a Web
`browser through the Internet, and provides user control selections to the
`tandem switches (11T) through Service Control Point (SCP) 19 and
`Signaling Transfer Point (STP) 15 using Signaling System 7 (SS7)
`signaling. Id. at Abstract, 8:48–9:7, 11:9–12:17, 12:64–13:27.
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`4. Discussion
`Claim 1 recites “a network comprising edge switches for routing calls
`from and to users within a local geographic area and switching facilities for
`routing calls to other edge switches or other switching facilities local or in
`other geographic areas.” Ex. 1001, 12:53–58. Claim 1 also recites that “the
`web-enabled processing system coupled to at least one of the switching
`facilities of the network.” Id. at 12:65–67. Claim 20 requires a controller
`with access to a network that “is coupled to a switching facility.” Id. at
`14:63–67. Petitioner takes the position that O’Neal, in combination with
`other asserted prior art, teaches or suggests these limitations. Pet. 36–66.
`In particular, Petitioner alleges that O’Neal discloses a
`telephony-centric network—e.g., the PSTN that is a network that comprises
`edge switches and tandem switches (switching facilities). Id. at 39 (citing
`Ex. 1003, 9:10–19). Citing to the Admitted Prior Art, the prosecution
`history, and its expert testimony, Petitioner contends that an ordinarily
`skilled artisan would have recognized that the PSTN “consists of a plurality
`of edge switches connected to telephones on one side and to a network of
`tandem switches on the other.” Id. at 40 (citing Ex. 1001, 1:42–51;
`Ex. 1019, 5 (“It is well known that a conventional PSTN includes edge
`switches (commonly referred to as central office switches . . .) that originate
`and terminate calls for connected subscribers, and tandem switches which
`route these calls internally within the PSTN (i.e. tandem switches are not
`capable of originating or terminating PSTN calls, but rather directs calls
`to/from an edge switch or another tandem switch).”); Ex. 1002 ¶¶ 98–99).
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`Petitioner also explains that O’Neal discloses a “web-enabled
`processing system coupled to at least one of the switching facilities of the
`network” in that O’Neal’s unified messaging system is connected to the
`PSTN through tandem switches of the PSTN. Id. at 42–43 (citing Ex. 1003,
`9:10–19, Fig. 1; Ex. 1002 ¶¶ 105–06; Ex. 1019, 5). Petitioner further
`contends that O’Neal’s telephony server is a “controller” because, by
`forwarding a call to the user selected forwarding number, it is causing the
`switches of the PSTN to route the call to the desired number. Id. at 54
`(citing Ex. 1003, 5:62–6:4, 8:8–22, 9:55–58, 11:40–51, 15:14–43, 16:35–64,
`Figs. 1, 3–4).
`Patent Owner counters that “Petitioner cannot show that O’Neal’s
`purported web-enabled processing system is coupled to a ‘switching
`facility,’ as that term is properly construed.” Prelim. Resp. 47–51.
`According to Patent Owner, O’Neal’s system is connected to an edge switch,
`and “Applicants disclaimed coupling a ‘web-enabled processing system’ or a
`‘controller’ to the PSTN via an edge switch.” Id.
`Patent Owner’s arguments are premised on its proposed narrow
`interpretation of “switching facility,” “coupled to,” and “controller.” Id. At
`this juncture of the proceeding, and for reasons provided above, we decline
`to adopt Patent Owner’s proposed interpretations. Accordingly, we are not
`persuaded by Patent Owner’s arguments.
`Based on the current record before us, we determine that Petitioner
`has demonstrated a reasonable likelihood of prevailing on its assertions that
`claim 1 is unpatentable over O’Neal, in combination with McMullin and the
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`Admitted Prior Art, and that claim 20 is unpatentable over O’Neal, in
`combination with Chang and the Admitted Prior Art.
`
`D. Remaining Ground Challenging Claims 1 and 20 of the ’245 Patent
`Pursuant to 35 U.S.C. § 316(b), rules for inter partes proceedings
`were promulgated to take into account the “regulation on the economy, the
`integrity of the patent system, the efficient administration of the Office, and
`the ability of the Office to timely complete proceedings.” The promulgated
`rules provide that they are to “be construed to secure the just, speedy, and
`inexpensive resolution of every proceeding.” 37 C.F.R. § 42.1(b). As a
`result, and in determining whether to institute an inter partes review of a
`patent, the Board, in its discretion, may “deny some or all grounds for
`unpatentability for some or all of the challenged claims.” 37 C.F.R.
`§ 42.108(b).
`Based on the record before us, we exercise our discretion and decline
`to institute review based on the remaining asserted ground advanced by
`Petitioner that is not identified below as being part of the trial. See, e.g.,
`37 C.F.R. § 42.108(a).
`
`III. CONCLUSION
`
`For the foregoing reasons, we determine that there is a reasonable
`likelihood that Petitioner would prevail in challenging claims 1 and 20 of the
`’298 patent. At this preliminary stage, we have not made a final
`determination as to the patentability of the challenged claims, or with respect
`to claim construction.
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`IV. ORDER
`For the foregoing reasons, it is
`ORDERED that pursuant to 35 U.S.C. § 314(a), an inter partes
`review is hereby instituted as to claims 1 and 20 of the ’298 patent on the
`following founds of unpatentability:
`
`Basis
`
`Challenged Claim
`
`References
`O’Neal, McMullin, and the
`Admitted Prior Art
`O’Neal, Chang, and the Admitted
`Prior Art
`
`FURTHER ORDERED that no other ground of unpatentability
`asserted in the Petition is authorized for this inter partes review; and
`
`§ 103(a)
`
`1
`
`§ 103(a)
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`20
`
`FURTHER ORDERED that pursuant to 35 U.S.C. § 314(c) and
`37 C.F.R. § 42.4, notice is hereby given of the institution of a trial; the trial
`will commence on the entry date of this decision.
`
`
`19
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`
`
`IPR2016-01256
`Patent 8,155,298 B2
`
`PETITIONER:
`
`Mark Passler
`ip@akerman.com
`
`Bruce Dumais
`Brice.dumais@akerman.com
`
`
`
`
`
`PATENT OWNER:
`
`Brent Bumgardner
`bbumgardner@nbclaw.net
`
`John Murphy
`murphy@nelbum.com
`
`
`20