`
`________________
`
`BEFORE THE PATENT TRIAL AND APPEAL BOARD
`
`________________
`
`FRIENDFINDER NETWORKS INC., STREAMRAY INC., WMM, LLC,
`WMM HOLDINGS, LLC, AND MULTI MEDIA, LLC
`
`Petitioners
`
`v.
`
`WAG ACQUISITION, LLC
`
`Patent Owner
`
`________________
`
`Patent No. 8,122,141
`
`Issue Date: February 21, 2012
`
`Title: STREAMING MEDIA BUFFERING SYSTEM
`________________
`
`MOTION FOR JOINDER TO INSTITUTED INTER PARTES REVIEW
`(35 U.S.C. § 315(c) AND 37 C.F.R. §§ 42.22 and 42.122(b))
`
`i
`
`
`
`TABLE OF CONTENTS
`
`STATEMENT OF RELIEF REQUESTED.......................................................1
`I.
`II. BACKGROUND AND RELATED PROCEEDINGS......................................4
`III. STATEMENT OF REASONS FOR REQUESTED RELIEF...........................6
`A. Legal Standard............................................................................................6
`
`1. Joinder is appropriate. ...........................................................................7
`
`2. No new grounds of unpatentability are being asserted. ........................9
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`3. Joinder will have no impact on the trial schedule...............................10
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`4. Briefing and discovery will be simplified...........................................10
`
`B.
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`Joinder will promote efficiency and conserve resources. ........................11
`
`IV. CONCLUSION ................................................................................................12
`
`ii
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`
`
`I.
`
`Statement of Relief Requested
`
`Pursuant to 35 U.S.C. § 315(c) and 37 C.F.R. §§ 42.22 and 42.122(b),
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`petitioners FriendFinder Networks Inc.; Streamray Inc.; WMM, LLC; WMM
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`Holdings, LLC; and Multi Media, LLC (collectively, “Petitioners”) respectfully
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`request joinder with the Inter Partes Review of U.S. Patent No. 8,122,141 (the “’141
`
`Patent”), WebPower,
`
`Inc. v. WAG Acquisition, LLC,
`
`IPR2016-01238 (“the
`
`WebPower IPR”), which was instituted on January 4, 2017. This motion and the
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`accompanying Petition are timely filed within one-month of institution of the
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`WebPower IPR. 37 C.F.R. § 42.122(b).1
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`Petitioners
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`respectfully submit
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`that
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`joinder and institution of
`
`their
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`concurrently filed Petition for Inter Partes Review are appropriate for several
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`reasons.
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`First, the accompanying Petition is identical to the WebPower IPR petition in
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`all material respects. The only changes are: Mandatory Notices (Section II),
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`Certification of Grounds for Standing (Section III), Section VI, and in matters of
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`1 Petitioners plan to request a call with the Board and Patent Owner to discuss in-
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`part either expediting and/or curtailing Patent Owner’s preliminary response given
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`the same prior art and evidence are presented in the concurrently filed Petition as the
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`instituted WebPower IPR.
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`1
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`
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`form. The concurrently filed Petition and the WebPower IPR petition challenge the
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`same claims of the ’141 Patent based on the same grounds with the same prior art,
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`evidence, and expert declaration of Nathaniel Polish, Ph.D.2
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`Second, Petitioners request that the institution of the Petition be limited solely
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`to the grounds instituted in the WebPower IPR. Petitioners agree to proceed solely
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`on the grounds, evidence, and arguments advanced, or that will be advanced, in the
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`WebPower IPR, i.e., no new substantive issues are introduced in the concurrently
`
`filed Petition.
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`Third, if joined, Petitioners will adhere to all applicable deadlines in the
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`WebPower IPR.3 In other words, the WebPower IPR trial schedule will not be
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`disrupted or changed by granting joinder.
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`Fourth, Petitioners will take an “understudy” role to ensure briefing and
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`discovery is streamlined.4 Petitioners agree to coordinate all filings with the
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`2 The declaration has been updated only to reflect retention by Petitioners and is
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`otherwise identical to the declaration of Dr. Polish submitted in the WebPower IPR.
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`3 The undersigned counsel and law firm have been retained by the Petitioners and
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`the WebPower IPR petitioner.
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`4 Each Petitioner will continue on this basis unless WebPower settles with Patent
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`Owner.
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`2
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`
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`WebPower IPR petitioner and each other. The Petitioners will not submit a separate
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`filing. Additionally, Petitioners will not seek additional discovery including any
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`depositions or deposition time, and will coordinate deposition questioning and
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`hearing presentations with the WebPower IPR petitioner and each other. Given these
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`provisions, briefing and discovery will simplified.
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`Fifth, because the Patent Owner has asserted the ’141 Patent in district court
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`actions against the Petitioners, joinder will help efficiently resolve the disputes
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`among the parties. In the district court actions, WAG has asserted in total against
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`Petitioners claims 10, 14, 15, 17, 18, 19, 20, 21, and 24 of the ’141 Patent, while in
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`WebPower IPR the Board has instituted on claims 10-23 of the ’141 Patent. Thus,
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`except for a single claim, joinder could resolve the dispute relating to the ’141 Patent
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`between the parties. Joinder thus will promote efficient adjudication across multiple
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`fora.
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`Finally, joinder also will not prejudice any party. To the contrary, joinder will
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`promote the just, speedy and inexpensive determination of the proceedings. The
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`WebPower IPR petitioner consents to Petitioners’ joinder. And, because joinder will
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`not add any new substantive issues, not affect the schedule, not burden deponents,
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`or not increase filings, there will be little-to-no additional costs to Patent Owner. On
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`the other hand, denial of joinder will prejudice Petitioners: their interests may not be
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`adequately protected in the WebPower IPR, particularly if WebPower settles with
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`3
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`
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`the Patent Owner. Petitioners should be allowed to join in a proceeding affecting a
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`patent asserted against each of them in three separate district court litigations, as
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`detailed below.
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`II.
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`Background and Related Proceedings
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`WAG Acquisition, LLC purports to be the owner of the ’141 Patent and
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`related patents (U.S. Patent No. 8,327,011 (the “’011 Patent”); U.S Patent No.
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`8,185,611 (the “’611 Patent”); and U.S. Patent No. 8,364,839 (the “’839 Patent”)).
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`The Litigations. The Patent Owner has asserted the ’141 Patent, as well as
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`some or all of these related patents, in nine pending litigations filed in the District of
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`New Jersey as follows: WAG Acquisition, LLC v. Sobonito Investments, Ltd., No.
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`2:14-cv-1661 (D.N.J.); WAG Acquisition, LLC v. Multi Media, LLC, No. 2:14-cv-
`
`2340 (D.N.J.); WAG Acquisition, LLC v. Data Conversions, Inc., No. 2:14-cv-2345
`
`(D.N.J.); WAG Acquisition, LLC v. Flying Crocodile, Inc., 2:14-cv-2674 (D.N.J.);
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`WAG Acquisition, LLC v. Gattyàn Group S.à r.l, No. 2:14- cv-2832 (D.N.J.); WAG
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`Acquisition, LLC v. FriendFinder Networks Inc., No. 2:14-cv-3456 (D.N.J.); WAG
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`Acquisition, LLC v. Vubeology, Inc., No. 2:14-cv-4531 (D.N.J.); WAG Acquisition,
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`LLC v. Gamelink, Int’l Ltd. et al, No. 2:15-cv-3416 (D.N.J.); and WAG Acquisition,
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`LLC v. WebPower, Inc., No. 2:15-cv-3581 (D.N.J.).
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`One other litigation, WAG Acquisition, LLC v. MFCXY, Inc., No. 2:14-cv-
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`03196 (D. N.J.), settled and has been dismissed.
`
`4
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`
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`The IPRs. IPR petitions have been filed against the ’141 Patent. On April
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`14, 2015, the Petitioners with Duodecad IT Services Luxembourg S.à r.l.
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`filed a
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`petition for Inter Partes Review on the ’141 Patent in FriendFinder Networks, Inc.
`
`et al. v. WAG Acquisition, LLC, IPR2015-01037. The Board declined to institute trial
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`because it determined that a primary reference was not established as “accessible to
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`one of ordinary skill exercising reasonable diligence.” IPR2015-01037, Paper 8 at
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`8-95; id., at Paper 10.
`
`On June 21, 2016, WebPower, Inc. filed a petition for Inter Partes Review on
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`the ’141 Patent in IPR2016-01238, and the Board instituted trial on January 4, 2017.
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`See IPR2016-01238, Paper 7. The instant motion and concurrently filed Petition seek
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`to join this IPR petition filed by WebPower, Inc.
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`Additionally, on August 22, 2016, I.M.L. SLU, filed a petition for Inter Partes
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`Review on the ’141 Patent in IPR2016-01656, which petition currently is pending.
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`Finally, there have been IPR petitions filed against the related patents (’011
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`Patent,’611 Patent, and ’839 Patent).
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`5 The Board also found that another reference was insufficient for claim 19 of the
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`’141 Patent. IPR2015-01037, Paper 8 at 12.
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`5
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`
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`• ’011 Patent – IPR2015-01033 and IPR2016-01161, neither of which
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`were instituted; and IPR2016-01655, which petition currently is
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`pending;
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`• ’611 Patent – IPR2015-01035 and IPR2016-01162, neither of which
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`were instituted,6 and IPR2016-01657, which currently is pending; and
`
`•
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`’839 Patent – IPR2015-01036, which was instituted and reached final
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`decision on October 20, 2016 (Paper 17);7 IPR2016-01239, which was
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`instituted on December 27, 2016 (Paper 7);8 and IPR2016-01658,
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`which currently is pending.
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`III.
`
`Statement of Reasons for Requested Relief
`
`A.
`
`Legal Standard.
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`The time limitation set forth in 35 U.S.C. § 315(b) does not apply to a request
`
`for joinder. 35 U.S.C. §§ 315(b)-(c); 37 C.F.R. § 42.122(b). Accordingly, the instant
`
`Motion for Joinder and the accompanying Petition are appropriate, because they are
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`6 IPR2015-01035 has a motion for reconsideration pending.
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`7 No party appealed the Board’s Final Decision.
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`8 Petitioners are concurrently filing a Motion for Joinder (and petition) to this
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`recently instituted Inter Partes Review.
`
`6
`
`
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`being timely submitted within one month of the January 4, 2017 institution date of
`
`the WebPower IPR.
`
`The Board has discretion to join a properly filed IPR petition to a previously
`
`instituted IPR proceeding. 35 U.S.C. § 315(c); 37 C.F.R. § 42.122(b). “The Board
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`will determine whether to grant joinder on a case-by-case basis, taking into account
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`the particular facts of each case, substantive and procedural issues, and other
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`considerations.” Dell Inc. v. Network-1 Sec. Solutions, Inc., IPR2013-00385, Paper
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`17, at 3. The movants bear the burden of proof in establishing entitlement to the
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`requested relief. 37 C.F.R. §§ 42.20(c), 42.122(b). A motion for joinder should:
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`(1) set forth the reasons why joinder is appropriate; (2)
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`identify any new grounds of unpatentability asserted in the
`
`petition; (3) explain what impact (if any) joinder would
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`have on the trial schedule for the existing review; and (4)
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`address specifically how briefing and discovery may be
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`simplified.
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`Dell, IPR2013-00385, Paper 17, at 4. All of the above four factors heavily favor
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`joinder, as outlined below.
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`1.
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`Joinder is appropriate.
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`The Board previously has explained that it “takes into account the policy
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`preference for joining a party that does not present new issues that might complicate
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`7
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`
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`or delay an existing proceeding.” Dell, IPR2013-00385, Paper 17 at 10 (citing 157
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`CONG. REC. S1376 (Mar. 8, 2011) (statement of Sen. Kyl) (“The Office anticipates
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`that joinder will be allowed as of right – if an inter partes review is instituted on the
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`basis of a petition . . . .”)).
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`Here, because Petitioners are filing a petition and declaration materially
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`identical
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`to the already-instituted WebPower IPR,
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`institution and joinder are
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`warranted under 35 U.S.C. §§ 314 and 315(c). Moreover, as explained below, no
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`new grounds of unpatentability are asserted, the WebPower IPR trial schedule will
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`not be affected i.e., the WebPower IPR trial schedule will remain the same, and
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`Petitioners’ understudy role (and accompanying provisions) demonstrate that
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`briefing and discovery will be simplified.
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`A denial of joinder would prejudice Petitioners. Petitioners’ interests, as
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`parties against whom the ’141 Patent has been asserted in multiple district court
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`actions, may not be adequately represented if the WebPower IPR is terminated prior
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`to a final written decision. WAG has asserted in total claims 10, 14, 15, 17, 18, 19,
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`20, 21, and 24 of the ’141 Patent against Petitioners, and the Board in the WebPower
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`IPR has instituted on claims 10-23 of the ’141 Patent. Thus, except for one claim,9
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`9 Moreover, given the overlap between claims 10-23 and claim 24, any invalidity
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`findings as to those claims will be informative as to the remaining claim.
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`8
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`
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`joinder could resolve the dispute relating to the ’141 Patent between the parties.
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`Accordingly, Petitioners have an interest that the WebPower IPR reaches a final
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`determination in order to facilitate a timely and efficient resolution to the
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`controversy between Petitioners and Patent Owner. Addressing the ’141 Patent’s
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`validity in this proceeding serves the interests of justice.
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`And, there is no prejudice to any party. The WebPower IPR petitioner has
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`consented to Petitioners’ joinder, and because Petitioners are relying on the same
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`prior art, same arguments, and same evidence as that in the WebPower IPR,
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`Petitioners’ joinder in an understudy role (discussed below) will not impact Patent
`
`Owner, create any additional expense, or cause any delay. Addressing patent
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`validity in this proceeding serves the parties’ and Board’s interest.
`
`2.
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`No new grounds of unpatentability are being asserted.
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`In this case,
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`the accompanying Petition is materially identical
`
`to the
`
`WebPower IPR petition and Petitioners seek institution solely on the grounds,
`
`evidence, and arguments advanced, or that will be advanced, in the already-instituted
`
`WebPower IPR. No new issues will be presented, no new claims will be challenged
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`and no new grounds will be added to the WebPower IPR proceeding if joinder is
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`allowed. Nor will any claim constructions be submitted.
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`Petitioners have retained the same expert, Nathaniel Polish, Ph.D., who is
`
`submitting a declaration materially identical to that which he submitted in the
`
`9
`
`
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`WebPower IPR. The Petition does not seek to broaden the scope of the WebPower
`
`IPR in any way. Thus, joinder will not affect the substance of the WebPower IPR,
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`or result in any enlargement of the scope or grounds of it.
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`3.
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`Joinder will have no impact on the trial schedule.
`
`Petitioners will adhere to all applicable deadlines in the trial schedule in the
`
`WebPower IPR. Thus, the WebPower IPR trial schedule will not be disrupted or
`
`changed by granting joinder.
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`4.
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`Briefing and discovery will be simplified.
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`To simplify briefing and discovery, Petitioners agree to:
`
`1.
`
`Adhere to the Scheduling Order issued in the WebPower IPR, including
`
`all applicable deadlines.
`
`2.
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`Submit all papers as “consolidated” filings with the WebPower IPR
`
`petitioner. Petitioners would not submit any separate filings to the
`
`Board unless WebPower settles with Patent Owner.
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`3.
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`Refrain from requesting or
`
`reserving any additional discovery,
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`including any depositions or deposition time;
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`4. Will not seek to submit any new expert declarations from those entered
`
`by WebPower unless WebPower settles with Patent Owner and that
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`settlement contractually prevents WebPower’s expert from continuing
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`to support Petitioners.
`
`10
`
`
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`5.
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`Refrain from requesting or reserving additional oral argument hearing
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`time.
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`6.
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`Take an “understudy” role as long as the WebPower IPR petitioner
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`remains in the proceeding.
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`Given the foregoing provisions, briefing and discovery will be simplified.
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`These provisions are also consistent with previously granted joinder motions.10
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`B.
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`Joinder will promote efficiency and conserve resources.
`
`Because the claims instituted in the WebPower IPR almost completely
`
`overlap with the claims asserted against Petitioners in the district court litigation,
`
`joinder will efficiently resolve the dispute relating to the ’141 Patent between the
`
`parties.
`
`10 See Enzymotech Ltd. v. Neptune Techs., IPR2014-00556, Paper 19, at 8 (July 9,
`
`2014); Gillette Co. v. Zond, IPR2014-01016, Paper 13, at 4 (Nov. 10, 2014);
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`Nintendo of Am. et al. v. Babbage Holdings, LLC, IPR2015-00568, Paper No. 12, at
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`3 (Mar. 18, 2015); Innopharma Licensing, Inc. et al. v. Senju Pharm. Co., IPR2016-
`
`00089, Paper No. 13, at 7 (Feb. 25, 2016); Vizio, Inc. v. Innovative Display Techs.,
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`LLC, IPR2016-00910, Paper No. 8, at 6 (Oct. 4, 2016); Amerigen Pharm. Ltd. v.
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`UCB Pharma GMBH, IPR2016-01665, Paper No. 8, at 5-6 (Dec. 7, 2016).
`
`11
`
`
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`Moreover, Petitioners present arguments and supporting evidence that are
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`materially identical to the WebPower IPR, the Board can efficiently resolve all
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`grounds in both the instant Petition and WebPower IPR in a single proceeding. And,
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`this single proceeding will allow for consolidated submissions and discovery, further
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`conserving resources.
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`Thus, joinder will conserve resources and promote efficiencies not only for
`
`the Board, but also for the district court.
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`IV. Conclusion
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`For the foregoing reasons, Petitioners respectfully request that the Board
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`institute the Petition for Inter Partes Review of U.S. Patent No. 8,122,141 and
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`joinder with IPR2016-01238. Although it is believed that no fee is required for this
`
`Motion, the Commissioner is hereby authorized to charge any additional fees which
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`may be required for this Motion to Deposit Account of Venable LLP, Deposit
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`Account No. 220261.
`
`Dated: January 27, 2017
`
`Respectfully submitted,
`By: /Frank M. Gasparo/
`Frank M. Gasparo
`Registration No. 44,700
`Venable LLP
`Rockefeller Center
`1270 Avenue of the Americas, 24th Flr
`New York, NY 10020
`
`12
`
`
`
`CERTIFICATE OF SERVICE
`
`I hereby certify that on January 27, 2017, I caused a true and correct copy of
`the foregoing materials:
`
`• Petitioners’ Motion for Joinder
`
`to be served via:
`
`Via Federal Express (and email addresses below)
`
`Ernest D. Buff & Associates, LLC
`ebuff@edbuff.com
`231 Somerville Road
`Bedminster, NJ 07921
`
`Ronald Abramson
`ronald.abramson@lewisbaach.com
`Lewis Baach PLLC
`The Chrysler Building
`405 Lexington Avenue, 62nd Floor
`New York, NY 10174
`
`By: /Frank M. Gasparo/
`Frank M. Gasparo
`Registration No. 44,700
`Venable LLP
`Rockefeller Center
`1270 Avenue of the Americas
`Twenty-Fourth Floor
`New York, NY 10020
`
`