throbber
PTAB conference call - 9/24/18
` UNITED STATES PATENT AND TRADEMARK OFFICE
` BEFORE THE PATENT TRIAL AND APPEAL BOARD
`
`Page 1
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` GOOGLE LLC,
` Petitioner
` vs.
` SEVEN NETWORKS, LLC,
` Patent Owner
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` PTAB IPR CONSOLIDATED CONFERENCE CALL
` IPR2018-01047, 01048, 01049, 01101, 01051, 01052,
` 01094, 01095, 01102, 01116, and 01117.
` September 24, 2018
`
`REPORTED BY: CARRIE LAMONTAGNE, CSR No. 13393
`JOB NO. 148437
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`GOOGLE EXHIBIT 1039
`GOOGLE v. SEVEN NETWORKS
`IPR2018-01047
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` PTAB conference call - 9/24/18
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` September 24, 2018
` 4:31 p.m.
`
` PTAB conference call, held before
`Administrative Patent Judges Joni Y. Chang,
`Thu A. Dang, Karl D. Easthom, Robert J. Weinschenk,
`Jacqueline T. Hartlow, and Thomas L. Giannetti,
`before Carrie LaMontagne, a certified shorthand
`reporter for the state of California.
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` PTAB conference call - 9/24/18
`A P P E A R A N C E S:
`
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` LOWENSTEIN & WEATHERWAX
` Attorneys for Patent Owner
` 1880 Century Park East
` Los Angeles, CA 90067
` BY: NATHAN LOWENSTEIN, ESQ.
` KENNETH WEATHERWAX, ESQ.
` JASON LINGER, ESQ.
` and
` BROOKS KUSHMAN
` 1000 Town Center
` Southfield, MI 48170
` BY: SANGEETA SHAH, ESQ.
`
` FINNEGAN
` Attorneys for Petitioner
` 11955 Freedom Drive
` Reston, VA 20190
` BY: ERIKA HARMON ARNER, ESQ.
` BY: RACHEL EMSLEY, ESQ.
` and
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` PTAB conference call - 9/24/18
`APPEARANCE CONTINUED:
` PAUL HASTINGS
` 875 15th Street, NW
` Washington, DC 20005
` BY: NAVEEN MODI, ESQ.
` DANIEL ZEILBERGER, ESQ.
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` JUDGE CHANG: Good afternoon, this is
`Joni Chang, Administrative Patent Judge at the
`patent trademark office. Judges Tu Dang,
`Karl Easthorn, Robert Weinschenk, and
`Jacqueline Hartlow are also on the call with me.
`Judge Thomas Giannetti will be joining us later
`because his own hearing is running late.
` This is a consolidated conference call for 11
`cases involving Petitioner Google and Patent Owner
`Seven Networks, specifically the case numbers are
`IPR2018, dash, 1047, 1048, 1049, 1101, 1051, 1052,
`1094, 1095, 1102, 1116, and 1117. At this time I
`would like to take a roll call starting with the
`patent owner.
` MR. LOWENSTEIN: Patent owner from
`Lowenstein & Weatherwax. We have Nathan Lowenstein,
`Kenneth Weatherwax, and Jason Linger.
` JUDGE CHANG: Thank you. Petitioner.
` MS. ARNER: Hello, your Honor, from
`Petitioner Google on we have Erika Arner. I'm lead
`counsel for Google about half of the petitions. I'm
`joined by Rachel Emsley, both of the Finnegan law
`firm. Also on the line are Naveen Modi, lead
`counsel for Google in the other IPRs and his back-up
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`counsel, Dan Zeilberger.
` JUDGE CHANG: Thank you so much.
` Is everyone for the parties present?
` MS. ARNER: Yes, for petitioner.
` MR. LOWENSTEIN: I'm not sure if
`Sangeeta Shah, who is from Brooks Kushman, is on the
`line, but she may join as well.
` JUDGE CHANG: Okay. Do you want us to
`wait a minute or two?
` MR. LOWENSTEIN: I think if we can wait
`maybe just wait one minute. After that I think we
`should proceed onward.
` JUDGE CHANG: Sure.
` (Pause in the proceeding.)
` JUDGE CHANG: Can we start now?
` MR. LOWENSTEIN: Absolutely.
` JUDGE CHANG: Okay. Great. The purpose
`of this call is to discuss the real
`party-in-interest issues raised by the patent owner
`in its preliminary response and several other
`procedural matters.
` To be clear on the record, we do not have an
`expanded panel in these cases. The six of us from
`the board are judges on different panels for these
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`11 proceedings. For efficiency and consistency, we
`appear together on this consolidated call.
` We will follow up with an order and it will be
`also helpful for the petitioner to file a transcript
`so that the record will be clear.
` First, we will begin with the RPI issue.
`Patent owner filed a preliminary response in each of
`the 11 proceeding except for the case 1094 and 1095.
`We'll talk about that issue later. But let's focus
`on the real party-in-interest issue.
` In this petition petitioner identified Google
`as the sole real party-in-interest. Patent owner
`argued in its preliminary responses that the
`petition failed to identify all real
`parties-in-interest. According to patent owner,
`Google's parent company, Alphabet and XXVI Holdings,
`Incorporated, as well as Samsung which also should
`have been named as real parties-in-interest.
` We generally accept petitioner's initial
`identification of real parties-in-interest unless
`the patent owner presents some evidence to support
`that a named party should be identified as a real
`party-in-interest. The petitioner, to be clear, has
`the burden of persuasion on this issue. So we would
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`like the petitioner's counsel to summarize briefly
`your position on this real party-in-interest
`position.
` MS. ARNER: Okay. Thank you, your Honor.
`I appreciate the board reaching out. Google
`appreciates you convening this call. And in light
`of challenges raised regarding the RPI issue in the
`preliminary responses, Google requested the board's
`authorization to file a reply in order to submit its
`position and evidence on the RPI issue.
` In summary, Google's position is that the
`originally identified RPI information in the
`petition is correct, and Google would like to submit
`a reply as has been done in other cases where RPI
`challenges have been raised by the patent owner to
`order to submit evidence that the board may consider
`in making its real party-in-interest determinations.
` The standard for such a reply is good cause and
`good cause for such a reply exists here for several
`reasons. One of them is the recent case law from
`the federal circuit on the RPI issue that was
`decided after the petitions were filed, in
`particular the Worlds and AIT versus RPX cases.
` In addition, the reply is warranted to enable
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`Google to address the patent owner's arguments that
`the petitions are, quote, "incomplete" and, quote,
`"must be dismissed" due to the alleged RPI naming.
`Also, there's good cause because the recent cases
`have focused the RPI framework specifically on the
`relationship between the third parties who are
`unnamed and the petition and Google, according to
`even the federal circuit, is in the best position to
`provide that evidence.
` In similar situations the board has found good
`cause and granted a pre-institution reply to the
`petitioners along with the evidence necessary to
`help the board make the resolution. And, therefore,
`google would contest the arguments made in the
`preliminary response and request a reply in order to
`respond on paper.
` JUDGE CHANG: How many pages and how long
`is the request of -- replying?
` MS. ARNER: Sure. So Google would propose
`that the reply be authorized at 15 pages in order to
`give Google space to reply to the arguments, which
`are -- they're actually two, if not three separate
`RPI arguments in the preliminary response. So we
`would ask for 15 pages.
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` For the time, as you noted, your Honor, there
`are many proceedings where this argument has been
`made and there are still a few of the proceedings in
`which the due dates have not yet arrived for the
`preliminary responses.
` The last of the preliminary responses, as I
`understand it, is due on October 18. And so Google
`would propose to file its reply shortly after that
`date, for example, October 22. That would allow
`over a month until the first of the institution
`decisions are due, which I believe the first one of
`those is due November 27.
` JUDGE CHANG: Yeah, that doesn't give the
`board enough time. As you mentioned, there's a lot
`of cases here and there's a lot of substantive
`issues.
` MS. ARNER: There are, you're right. And
`the reason for that proposal is really that because
`these identical or very similar arguments are being
`made in most of the preliminary responses and so it
`seems like it might be unfair to Google to file a
`reply sort of midstream when Seven still has
`preliminary responses to come, and so we thought it
`might be clearest if it was sort of all the
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`preliminary responses, then all the replies. But we
`are amenable to a faster schedule for the reply
`briefing if the board refers that.
` JUDGE CHANG: Yeah, if we prefer a faster
`briefing schedule, what would your proposal be?
` MS. ARNER: So then a faster proposed
`schedule would not wait for those preliminary
`responses in the later due date cases. So we would
`suggest a reply to be filed by October 5, which
`would give us just under two weeks to prepare those
`replies.
` JUDGE CHANG: Okay. Is there anything
`else before I turn it over to the patent owner to
`get his comments?
` MS. ARNER: I'd just like to make sure. I
`mentioned it, but to make sure that it's included as
`far as the scope of what might be in the reply, as
`has been done in other cases, Google would file a
`rely together with evidence and that might require a
`protective order, but we assume that the parties can
`work that out, but there would be evidence coming in
`along with the reply from Google.
` JUDGE CHANG: Okay. That sounds good.
`Let me ask you one question. At least briefly when
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`we review the files in these 11 cases, we just want
`to make it clear that the issue is under 312,
`Section 35 USC 312 and not 315(b). So if we
`authorize the petitioner to amend their mandatory
`notice to add a named party as real
`party-in-interest, would something like that help
`petitioner?
` MS. ARNER: You're right, your Honor, that
`there is no 315 argument or issue here. Google's
`petitions were filed before any arguable one-year
`bar, and it's quite possible that that mandatory
`notice update would be something that would help
`Google.
` It's our position at this time that there are
`no other RPIs. But to the extent we needed to do
`that, we think that would be the appropriate remedy
`and that would not cause a change in the filing date
`due to the way the board's treated that in the past.
`But that's a pleading requirement, not a bar date
`requirement and it's something that the petitioner
`can update if needed and if there's been no evidence
`of bad intent or any prejudice to the patent owner's
`ability to respond, which there isn't here.
` JUDGE CHANG: Well, I want to make it
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`clear that, you know, all these proceedings is -- on
`these proceedings is at a preliminary stage and we
`want to resolve this issue most efficiently and
`consistently.
` So the authorization to correct a mandatory
`notice without changing a filing date, we're only
`going to authorize that if it's timely filed with
`the reply. After that time period, that type of
`update to the mandatory notice may be -- will
`cause -- the filing date might change.
` So there's panels that have denied the
`petition. We're giving the petitioner the
`opportunity to amend the mandatory notice, to add
`the named parties now, but it's not conditional and
`it will not be extend later.
` MS. ARNER: Okay. So I understand that it
`will not be extended. So if Google needs to update
`mandatory notices to add an unnamed RPI but if that
`is filed by the time of the reply that's being
`authorized that that would be granted without
`changing the filing date; but if it's filed later,
`it may or may not be granted?
` JUDGE CHANG: Yes.
` MS. ARNER: Okay. If I could ask one
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`other thing before I stop is I just want to give
`Naveen Modi a chance if he has anything because he's
`lead counsel in the other Google cases before we go
`to the patent owners.
` Naveen, did you anything? Please feel free.
` MR. MODI: Yes, this is Naveen Modi. I
`don't really have anything on these cases. Judge
`Chang, you mentioned that you were going to talk
`about the 1094 and 1095 cases as some point. We can
`wait on those until you're ready to discuss those.
` JUDGE CHANG: Okay.
` MR. MODI: Thank you.
` JUDGE CHANG: Is there anything else from
`the petitioner's side before I turn it over to the
`patent owner's side? No. Okay.
` Patent owner's counsel, do you have any
`comments regarding this issue?
` MR. LOWENSTEIN: Yes, there were a lot of
`issues discussed, and I want to address --
` JUDGE CHANG: Briefly, please, because we
`already have your brief in front of us. So this is
`not a call for deciding the merits of the case.
`It's more for procedural issues.
` MR. LOWENSTEIN: I'd like to start with
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`what I consider to be the most important of many
`important issues, which is the notion that the
`petitioner should be permitted to amend its
`designation of real parties-in-interest.
` First of all, we do believe that this is a
`315(b) issue because --
` JUDGE CHANG: We read your brief. We read
`your brief and your position. We'll take that under
`advisement, and we will address to that in our
`order.
` MR. LOWENSTEIN: If I may, however, I'd
`like to make the record clear because I think this
`may be an appealable issue.
` JUDGE CHANG: We understand. You preserve
`that in your brief. So please make it briefly.
` MR. LOWENSTEIN: Okay. So that's the
`first issue. The second issue seems as if this is a
`Lomentum, sort of, based reasoning. I'm referring
`to the Lomentum case, of course. I think it's
`fairly clear that Lomentum is readily
`distinguishable from this case because in Lomentum
`what happened was the petition, when it was filed,
`correctly named all real parties at interest.
` Subsequent to that, there was a change in the
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`structure of the petition and then at a later point
`the petitioner, sua sponte of its own accord,
`revised its designation of the real
`party-in-interest. In that case there was no 315(b)
`issue because the petitioner Lomentum had never been
`sued or served based upon the complaint.
` So this is obviously a very distinct case.
`There were all kinds of good reasons why in Lomentum
`the petitioner there should have been allowed to
`amend its mandatory notices, none of which exist
`here. I would commend to the board's attention the
`Sirius case, which is IPR2018-00690, which addressed
`exactly this issue in the wake of AIT.
` I would commend the board the I.M.L. versus Wag
`Acquisition case, IPR2016-01658, which also
`addresses this issue. So in short, we have a case
`where there wasn't some innocent mistake. We're
`talking about the most sophisticated party on earth
`represented by the most sophisticated counsel on
`earth.
` Clearly, they knew the stakes of failing to
`name all RPIs. Clearly, they had all the case law
`we cited in our brief available to them, and
`clearly, they could have named all correct real
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`parties-in-interest had they wanted to. They
`didn't. They took the risk. And I think they
`should be left with that.
` With respect to a reply brief, we had a meet
`and confer with Google on Thursday of last week, and
`in that meet and confer we agreed that they should
`be allowed to file a reply provided that we were to
`have a sur-reply of equal length. We disagreed as
`to the length of the reply.
` In accord with Ms. Arner's request -- they
`requested 15 pages -- we reviewed the board's
`positions in the past. We found eight cases that
`permitted a five-page reply and we found eight cases
`that allowed for a seven-page reply. So in accord
`with those decisions, that's what we offered Google,
`either a five page or seven page, if that's what was
`needed to reach a compromise, provided we have a
`sur-reply.
` We did not hear back from Google with respect
`to that proposal. We did not hear any objection to
`the sur-reply or the length of that sur-reply on
`that call, although in all honestly, I don't know
`what their position is on that issue.
` We also discussed the scope of the evidence, if
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`any, that should be permitted in the reply brief and
`there is some water under the bridge on this issue.
`There have been at least five cases which the board
`has said basically that the reply should either
`present no new evidence, just the evidence that was
`addressed in the patent owner preliminary response.
` And what we said to Google was we would allow
`Google -- we would agree that the reply should be
`able to discuss any evidence we discussed in our
`response, additionally any evidence that's publicly
`available that we would have had available to us.
` So that was the proposal that we made. To the
`extent that the evidence proffered was more
`extensive than that, we think we would be -- or
`should be allowed, I should say, ample discovery to
`discover the truth of the matter rather than just
`permitting Google to put forward its most favorable
`position with its availability to pick and choose
`which evidence to present without allowing us the
`corresponding ability to discover additional facts
`that may be more advantageous to our position.
` Now, there are two other issues that I wanted
`to raise. So one was there are slight differences
`in the discussion of the RPI issue from case to case
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`and that's a bi-product of evolving case law. So if
`you look at some of the earlier responses that we
`filed, it wasn't a discussion of the Worlds case and
`it wasn't of the Sirius case because those cases had
`not issued as of yet.
` We did discuss both in the 1102 preliminary
`responses and perhaps others. We were able to just
`get in a discussion of Worlds in the 1116 and 1117
`responses. We couldn't discuss either in the first
`[indiscernible] because neither case existed at that
`time.
` So I'd like the board's guidance as to whether
`we should submit some additional briefing just on
`the new case law that has come out which we find
`quite significant. That's one issue.
` The other issue in the Samsung cases -- and I
`believe it's the same six judges, if I'm not
`mistaken -- in those cases --
` JUDGE CHANG: Yeah, but I think the e-mail
`to the parties make the mistake of listing the
`Samsung cases.
` (Simultaneous speaking.)
` JUDGE CHANG: The attorney representing
`the petitioner in those cases is not before us in
`
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`this phone call. That would be improper ex parte
`communication. So if you don't mind, we can save
`that discussion in another call with all the parties
`present.
` MR. LOWENSTEIN: That's fine. I was
`mostly, to that last point, just trying to flag the
`issue because I think it will come up, and we're
`happy to confer with both Samsung and Google. I
`think it may bear upon this discussion of additional
`briefings. That's why I thought to raise it.
` JUDGE CHANG: Okay. Thank you. Anything
`else?
` MR. LOWENSTEIN: Not unless there are
`other questions or unless Ms. Shaw has something to
`add?
` MS. SHAH: No. I'm fine, your Honor.
` JUDGE CHANG: Thank you. I would like to
`take a few minutes to confer with my panel members,
`but before that, Petitioner, did you have any
`rebuttal comments?
` MS. ARNER: Yes, I guess one or two.
`There were a lot of things raised. As far as the
`procedural questions that your Honors were looking
`for, the page limit for Google's rely, I reiterate
`
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`our request for 15 pages. I have not canvassed
`every single case that the patent owner's counsel
`listed the page numbers for, but here I would
`venture a bet that they did not have three different
`RPI arguments about three different non-named RPIs.
`So in order to respond to those arguments and the 25
`pages that Seven sent in its preliminary response, I
`think 15 page is a reasonable amount for Google.
` Google does not object to a sur-reply for
`Seven. I think that was clear, but just to make
`sure. It was mentioned that, you know, wasn't sure
`what Google's position was, and Google does not
`object to a sur-reply. And to the extent there's
`additional briefing requests on the World case, I
`would think the sur-replies would allow for that.
` As far as the scope of the evidence, I can
`give, if the board needs, I can give some examples
`of where a petitioner's evidence was permitted in
`the exact procedure we're proposing.
` JUDGE CHANG: That's okay.
` MS. ARNER: If you need those, I have
`those.
` JUDGE CHANG: That's okay. Let's go back
`to the patent owner.
`
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` How many pages of a sur-reply or you want the
`same amount as the reply?
` MR. LOWENSTEIN: We would like the same
`amount and that was the concept that we discussed
`with Google in the meet and confer. We didn't
`receive any objection to that.
` JUDGE CHANG: Okay. With that, please let
`me confer with my panel for a few minutes. The
`parties may stay on the line while I put my phone on
`mute. Okay. Thank you.
` MS. ARNER: Thank you.
` MR. LOWENSTEIN: Thank you.
` JUDGE CHANG: Okay. This is Joni Chang.
`The panel decided to grant the petitioner
`authorization to file a reply, 15 pages, and it's
`due October 5. And also if petitioner wishes to
`correct their mandatory notice to add those
`allegedly unnamed parties, they can do so before or
`on October 5.
` Okay. And as to the evidence, petitioner can
`file any evidence to support their argument in the
`reply because the petitioner has the burden of
`persuasion. To show that it actually has identified
`all real party-in-interest in each proceeding.
`
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` Is there any questions regarding that?
` MS. ARNER: None from me.
` Naveen, do you have any questions?
` MR. MODI: I don't, other than, your
`Honor, to remind you that we still need to talk
`about the 1094 and 1095 cases.
` JUDGE CHANG: Yeah, we will. We will talk
`about them.
` Okay. I just want to clarify that the
`petitioner has the authorization to update the
`mandatory notice as to add some or all the real
`party-in-interest in the mandatory notice, and it's
`due October 5. Okay.
` And as to the sur-reply, the panel have decided
`to grant the patent owner a sur-reply in each of the
`cases that the petitioner files a reply, and it's
`limited to seven pages, and no additional evidence
`at this time. Okay.
` Any questions regarding that? And also,
`regarding the updated case law, the patent owner can
`submit that in their sur-reply.
` MR. LOWENSTEIN: I have no questions. I
`think my objections that I made earlier still stand,
`of course. And the issue --
`
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` JUDGE CHANG: We know that.
` MR. LOWENSTEIN: -- not to discuss on this
`call, I think may bear upon the additional evidence,
`but I'll raise that through the normal channels and
`perhaps we can revisit that issue.
` JUDGE CHANG: That sounds good.
` If nothing else regarding this issue, I'd like
`to move on to the next issue.
` MS. ARNER: May I ask one question just to
`clarify what you I just said.
` JUDGE CHANG: Sure.
` MS. ARNER: And that is on the
`authorization for the petitioner to update mandatory
`notices to add some or all of the -- of additional
`RPIs on or before October 5. If that's done, then
`as we discussed before, that would not change the
`filing date of the petitioner; is that right?
` JUDGE CHANG: Yes, that's right. So for
`example, if Google decided to name the parent
`company but not Samsung in their updated mandatory
`notice before October 5 -- or on October 5, then
`that mandatory notice will not -- if it's timely
`filed will not change the filing date accorded and
`Google can file a reply as to the arguments that the
`
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`patent owner raised as to Samsung.
` MS. ARNER: Okay. Thank you for the
`clarification. And did you say when the sur-reply
`would be due?
` JUDGE CHANG: Yeah, I have not. Five
`business days from the filing of the reply.
` Is that sufficient, patent owner?
` MR. LOWENSTEIN: Well, the only thing I
`was going to ask if the petitioner submits
`declarations, we would like the ability to depose
`the declarants. And, obviously, if we were to do
`that, I don't think we could do that within five
`days, but that's what we would ask. And we would
`ask for a suitable modification to allow for
`depositions if, in fact, the petitioner submits one
`or more declarations.
` JUDGE CHANG: Okay. We'll address to that
`issue when it arises.
` MS. ARNER: If we can just mention from
`the petitioner's standpoint that's not typically the
`procedure in the cases where declaration evidence
`has been put in in an RPI challenged in this way.
`That is not usually a deposition prior to
`institution, but rather like the other declarations
`
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`put in by the petitioner in the petition, for
`example, the depositions are held until after
`institution. We would submit that's how this would
`be handled in this case.
` JUDGE CHANG: I'm not going to address
`that issue until we see the reply and the supporting
`evidence. We'll decide that later.
` MS. ARNER: Okay.
` JUDGE CHANG: We can have another call if
`that is needed.
` MS. ARNER: Okay. Thank you.
` JUDGE CHANG: You're welcome. So the next
`issue is as we mentioned earlier, patent owner filed
`a preliminary response in all of the 11 cases except
`in 1094 and 1095.
` We, the panel, want to consistently decide this
`issue; and without submitting the argument in those
`two cases, the patent owner appears to present
`inconsistent positions, and I would like to ask the
`patent owner at this time why in those two cases the
`arguments are not raised.
` MS. SHAH: In 1094 and 1095 we disclaimed
`the challenged claims and so that was, in fact, the
`reason why there was no preliminary response filed
`
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`at all.
` JUDGE CHANG: I'm sorry, can you repeat
`that. I apologize.
` MS. SHAH: Sure. Hold on one second. Can
`you hear me better now?
` JUDGE CHANG: Yes.
` MS. SHAH: Okay. Sorry about that.
` So in 1094 and 1095 we disclaimed the
`challenged claim in both of those IPRs, which then
`led to the, you know, decision not to proceed
`forward with the file of preliminary responses, and,
`you know, which has been consistent with why these
`arguments didn't appear on 1094 and 1095, not for
`any other reason.
` JUDGE CHANG: Okay I guess maybe I didn't
`see it in the record.
` Did you file any disclaimers with us in the
`IPR?
` MS. SHAH: We have filed a disclaimer in
`the prosecution of the case. If you like we can
`equally file a disclaimer and make it a record with
`the board as well.
` JUDGE CHANG: Yeah, the rules require that
`when there's an IPR challenging the patent, actually
`
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`the request for disclaimer should be filed with us
`so that we can decide whether to authorize that
`request or not.
` So can you file a disclaimer which you filed
`and also a request for authorization for the
`disclaimer within five business days?
` MS. SHAH: Absolutely.
` JUDGE CHANG: That would be great. Thank
`you so much.
` So then in those two cases the patent owner
`is -- all the claims, I'm assuming. So, therefore,
`the petitioner doesn't need to file a reply in those
`two cases; is that correct?
` MS. SHAH: Correct.
` JUDGE CHANG: Any of the RPI issues?
` MS. SHAH: That's correct.
` JUDGE CHANG: Okay. Thank you for the
`clarification. I'll make sure that my order will
`give you that authorization to file the request for
`disclaiming the challenged claims. And also, if you
`want to file early then -- order, you can do so.
` MS. SHAH: Okay. Very good. Can I
`clarify one thing. Is it five business days from
`today or from when the order issues?
`
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`

`

`Page 29
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`1

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