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`BEFORE THE PATENT TRIAL AND APPEAL BOARD
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`ARGENTUM PHARMACEUTICALS LLC
`Petitioner
`v.
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`COSMO TECHNOLOGIES LIMITED,
`Patent Owner
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`Inter Partes Review No. IPR2018-00080
`U.S. Patent No. 9,320,716 B2
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`PETITIONER’S REPLY TO
`PATENT OWNER’S OPPOSITION TO
`MOTION FOR JOINDER
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`IPR2018-00080
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`U.S. Patent No. 9,320,716
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`Petitioner Argentum Pharmaceuticals LLC (“Argentum”) submits this reply
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`to Owner Cosmo Technologies Ltd. (“Cosmo”). Argentum seeks to step into the
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`shoes of Mylan Pharmaceuticals Inc. (Mylan), the petitioner in IPR2017-01035.
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`I.
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`THE MOTION FOR JOINDER SHOULD BE GRANTED
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`A.
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`Previous Decisions Favor Joinder
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`Cosmo and Mylan moved to terminate IPR2017-01035 nearly a month after
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`Argentum’s joinder motion was filed. Several decisions involved similar factual
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`scenarios to those of the present case in which (i) the joinder motion was filed
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`before a motion to terminate (based on settlement) was filed in the instituted review,
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`(ii) a petition was filed with a timely joinder motion, (iii) the joinder petition relies
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`on identical grounds as the instituted petition, and (iv) the expert declarations have
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`identical, substantive content. Qualcomm Inc. v. Bandspeed, Inc., IPR2015-00314,
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`Paper 21 (Nov. 16, 2015); Nintendo of America, Inc. v. Babbage Holdings, LLC,
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`IPR2015-00568, Paper 12 (Mar. 18, 2015); AT&T Services, Inc. v. Convergent
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`Media Solutions, LLC, IPR2017-01237, Paper 10 (May 10, 2017). Joinder was
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`granted in each of these cases. Cosmo cites Ubisoft, Inc. v. Uniloc USA, Inc.,
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`IPR2016-00414, Paper 16 at 5 (June 2, 2016) to urge denial of joinder if IPR2017-
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`01035 is terminated. However, Ubisoft involved the extenuating circumstance of
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`joinder being pursued in the petitioner’s third attempt at a review proceeding with
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`grounds that were previously denied and could have been brought in one of the
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`earlier petitions. Id. at 5–6.
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`B.
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`Experts Have Submitted Identical Testimony
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`Cosmo does not dispute the above-listed facts shared with Nintendo, AT&T,
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`and Qualcomm. Notably, Cosmo does not dispute that Argentum’s expert, Dr.
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`Derendorf, repeats verbatim the declaration testimony of Mylan’s expert, Dr.
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`Palmieri, regarding the ’716 patent, with the exception of the discussion of their
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`backgrounds and qualifications. See Ex. 1006, ¶ 1. Before filing its petition,
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`Argentum contacted Mylan regarding retention of Dr. Palmieri. Ex. 1063.
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`Permission was not granted because, as Cosmo now admits (Paper 7 at 2, 4), Cosmo
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`contractually prohibited Mylan from allowing Dr. Palmieri “to assist Argentum or
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`any other Petitioner” from challenging the ’716 patent as a condition of its
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`settlement. Due to Cosmo’s great lengths to “tie up” Dr. Palmieri, Argentum
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`retained its own expert, Dr. Derendorf. The Board should not permit Cosmo to
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`thwart joinder (and reap an unjustified 7-month delay of an IPR final written
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`decision) by using the tactics Cosmo has employed here.
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`While the lead and joinder petitions in Qualcomm, Nintendo, and AT&T
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`relied on the same experts, the Board has routinely treated declarations as equivalent
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`from different declarants with identical substantive content. See GEA Process Eng’g
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`v. Steuben Foods, IPR2014-00041, Paper 24 (Apr. 23, 2014); Corning Gilbert v.
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`PPC Broadband, IPR2013-00347, Paper 20 (Jan. 2, 2014). Cosmo does not explain
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`how any differences in educational and professional backgrounds of Drs. Derendorf
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`and Palmieri would have altered any of Cosmo’s arguments in its preliminary
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`response (“POPR”) in IPR2017-01035. Nowhere in the POPR did Cosmo base any
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`argument on Dr. Palmieri’s qualifications. Dr. Derendorf’s credentials are arguably
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`even more distinguished than Dr. Palmieri’s because Dr. Derendorf was a full
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`Professor and Chairman of the same Department at the University of Florida where
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`Dr. Palmieri worked in positions below Dr. Derendorf. Cosmo cites to ZTE Corp.
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`v. Adaptix Inc., IPR2015-01184, Paper 10 (July 24, 2015) to assert prejudice from a
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`different expert witness but fails to note that joinder was denied partly because the
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`petitioner’s expert in the instituted review had already been deposed and the patent
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`owner response had been filed. Id. at 5.
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`C.
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`Trial Schedule
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`Cosmo did not depose Mylan’s expert, Dr. Palmieri, or file a response in
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`IPR2017-01035. Argentum has already contacted Cosmo to offer Dr. Derendorf for
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`deposition before Due Date 1 in IPR2017-01035 so that the existing trial schedule in
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`IPR2017-01035 will not be disrupted. (Ex. 1064).
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`As in every IPR involving joinder, the schedule may be changed or
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`maintained depending on the filing of the POPR. If Cosmo takes three months to
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`file its POPR like the Patent Owner in Qualcomm, then the scheduling order may be
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`vacated and replaced with adjusted dates as in Qualcomm, IPR2015-00314, Paper
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`22 (Nov. 16, 2015). On the other hand, if Cosmo quickly files a POPR like in
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`Nintendo (slightly over a month after filing date accorded), or waives the
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`opportunity to file a POPR as in AT&T, then the original schedule may still govern.
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`No matter what Cosmo chooses, it is unlikely that Mylan will remain involved in
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`light of the motion to terminate and thus it is unlikely that Argentum will need to
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`coordinate with Mylan, thereby avoiding disruption. This same scenario contributed
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`to joinder being granted in Nintendo. Id. at 5. Cosmos’s reliance on Sierra Wireless
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`Am., Inc. v. M2M Sols. LLC, IPR2016-00853, Paper 16 (Sept. 20, 2016) is
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`inapposite due to additional issues, grounds, and prior art impacting the schedule.
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`The 3-month period for a patent owner to file a POPR is “set by the Director”
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`(35 U.S.C. § 313) and “may be modified by order” (37 C.F.R. § 42.5(c)(1)). Cosmo
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`should not need more than an abbreviated period, such as two weeks, to respond to
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`an identical petition and verbatim copy of an expert declaration. During this time,
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`the motion to terminate IPR2017-01035 should be held in abeyance or granted only
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`with respect to Mylan. Congress authorized a settled review proceeding to be
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`terminated only as to the petitioner under 35 U.S.C. § 317(a), and Congress further
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`envisioned that joinder “will be allowed as of right—if an inter partes review is
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`instituted on the basis of a petition, for example, a party that files an identical
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`petition will be joined to that proceeding.” 157 Cong. Rec. S1376 (daily ed. Mar. 8,
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`2011) (statement of Sen. Kyl) (emphases added).
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`IPR2018-00080
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`U.S. Patent No. 9,320,716
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`D.
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`Prejudice to Argentum
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`Joinder is favored for promoting efficient resolution of patentability disputes
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`without unnecessarily requiring an instituted IPR to be started anew. If joinder is
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`denied, Cosmo would unjustly benefit from up to a 7-month delay in issuance of a
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`final written decision as measured from Mylan’s institution on Sept. 21, 2017,
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`versus the likely institution date on Apr. 30, 2018 without joinder based on
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`Argentum’s petition. This 7-month period would consume over one-fifth of the
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`remaining term of the ’716 patent (expiring in June 2020). Cosmo’s argument that
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`“Argentum has never made any drug products related to the challenged patent”
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`ignores the reality that, absent a license or final cancellation of the challenged
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`patent, Argentum may not do so without facing potential infringement liability,
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`which is the reason Argentum has filed its IPR. Also, Cosmo’s argument that
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`Argentum could have filed its petition sooner, rather than waiting until after
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`institution (Paper 7 at 6–7), is a familiar refrain by patent owners who have
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`unsuccessfully opposed
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`joinder
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`in similar settlement situations. See, e.g.,
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`Qualcomm, Nintendo, and AT&T.
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`II. CONCLUSION
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`Petitioner has met its burden in its motion by showing why joinder is
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`appropriate, consistent with the goal of securing the just, speedy, and inexpensive
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`resolution of every proceeding.
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`5
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`IPR2018-00080
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`U.S. Patent No. 9,320,716
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`Respectfully submitted,
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`Date: Nov. 27, 2017
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`/Kevin B. Laurence/
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`Kevin B. Laurence, Registration No. 38,219
`Back-up Counsel for Petitioner
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`6
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`IPR2018-00080
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`U.S. Patent No. 9,320,716
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`CERTIFICATE OF SERVICE
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`I hereby certify that on Nov. 27, 2017, a copy of the foregoing
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`PETITIONER’S REPLY TO PATENT OWNER’S OPPOSITION TO
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`MOTION FOR JOINDER and all documents filed with it were served via email
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`upon the following counsel of record for the patent owner, as consented to by said
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`counsel:
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`Gary N. Frischling: gfrischling@irell.com
`Yite John Lu: yjlu@irell.com
`IRELL & MANELLA LLP
`1800 Avenue of the Stars, Suite 900
`Los Angeles, California 90067
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`Respectfully submitted,
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`Dated: November 27, 2017
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`/Kevin B. Laurence/
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`Kevin B. Laurence, Registration No. 38,219
`Back-up Counsel for Petitioner
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