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`UNITED STATES PATENT AND TRADEMARK OFFICE
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`BEFORE THE PATENT TRIAL AND APPEAL BOARD
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`EVERLIGHT ELECTRONICS CO., LTD.
`Petitioner
`
`v.
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`DOCUMENT SECURITY SYSTEMS, INC.
`Patent Owner
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`
`
`Case No. IPR2018-01225
`U.S. Patent No. 7,256,486
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`
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`PETITIONER’S MOTION FOR JOINDER UNDER
`37 C.F.R. §§ 42.22 AND 42.122(b)
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`Table of Contents
`I.
`STATEMENT OF RELIEF REQUESTED .................................................... 2
`II.
`STATEMENT OF MATERIAL FACTS ........................................................ 3
`III. STATEMENT OF REASONS FOR REQUESTED RELIEF ....................... 3
`A.
`LEGAL STANDARDS ......................................................................... 3
`B.
`EVERLIGHT’S MOTION IS TIMELY .............................................. 4
`C.
`JOINDER IS APPROPRIATE ............................................................. 5
`1.
`No New Grounds of Unpatentability in the Petition .................. 6
`2.
`No Impact on the Schedule for the Existing IPR
`Proceeding ................................................................................... 6
`3.
`Briefing and Discovery Will be Simplified ............................... 7
`4.
`No Prejudice to Patent Owner .................................................... 8
`IV. CONCLUSION ................................................................................................ 9
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`CERTIFICATE OF SERVICE
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`I.
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`STATEMENT OF RELIEF REQUESTED
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`Everlight Electronics Co., Ltd. (“Everlight” or “Petitioner”) respectfully
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`requests to join, pursuant to 35 U.S.C. § 315(c) and 37 C.F.R. § 42.122(b), its
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`recently filed Inter Partes Review of U.S. Patent No. 7,256,486 ("the '486
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`patent"), IPR2018-01225 (“Everlight’s IPR”), with pending Inter Partes review,
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`Seoul Semiconductor Co. Ltd. And Seoul Semiconductor, Inc. v. Document
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`Security Systems, Inc., IPR2018-00333 (“Seoul Semiconductor's IPR”), which
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`was filed on December 21, 2017. Everlight’s Petition is substantively identical to
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`the petition in Seoul Semiconductor’s IPR – challenging the same claims of the
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`'486 patent on the same grounds while relying on the same prior art, arguments,
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`and evidence. This Motion for Joinder and accompanying Petition are timely,
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`being filed within one month of the Decision instituting trial in Seoul
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`Semiconductor’s IPR (Paper No. 9 issued June 21, 2018). On Friday June 22,
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`2018, counsel for Everlight asked patent owner and petitioner’s counsel in Seoul
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`Semiconductor’s IPR whether they oppose the motion, but has not yet received a
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`response.
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`Joinder is appropriate here because (i) Everlight’s IPR is substantively
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`identical to Seoul Semiconductor’s IPR and (ii) Everlight agrees to a complete
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`“understudy role,” simplifying briefing and discovery. Joinder will thus provide
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`for a just, speedy, and inexpensive determination of related proceedings.
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`2
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`Accordingly, Everlight respectfully requests that the Board grant this
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`Motion for Joinder.
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`II.
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`STATEMENT OF MATERIAL FACTS
`1.
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`The owner of the '486 patent, Document Security Systems, Inc.
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`(“Document Security Systems” or “Patent Owner”), sued Everlight alleging
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`infringement of the '486 patent in the Central District of California. Everlight
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`was served with Document Service Systems’ Complaint on June 20, 2017.
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`2.
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`On December 21, 2017, Seoul Semiconductor Co., Ltd. and Seoul
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`Semiconductor, Inc. (collectively “Seoul Semiconductor”) timely filed a Petition
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`for Inter Partes Review challenging claims 1-3 of the '486 patent. See Seoul
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`Semiconductor Co. Ltd. And Seoul Semiconductor, Inc. v. Document Security
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`Systems, Inc., IPR2018-00333 (Petition, Dec. 21, 2017).
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`3.
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`Everlight’s Petition for IPR was filed on June 8, 2018, and
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`this motion are being filed within one month of the Decision instituting Seoul
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`Semiconductor’s IPR (Paper No. 9 June 21, 2018).
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`III. STATEMENT OF REASONS FOR REQUESTED RELIEF
`A.
`Legal Standards
`The Leahy-Smith America Invents Act (AIA) permits joinder of inter partes
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`review (IPR) proceedings. Joinder is governed by 35 U.S.C. § 315(c), which
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`states:
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`3
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`(c) JOINDER. – If the Director institutes an inter partes review, the
`Director, in his or her discretion, may join as a party to that inter
`partes review any person who properly files a petition under
`section 311 that the Director, after receiving a preliminary
`response under section 313 or the expiration of the time for filing
`such a response, determines warrants the institution of an inter
`partes review under section 314.
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`A motion for joinder should “(1) set forth the reasons why joinder is appropriate;
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`(2) identify any new grounds of unpatentability asserted in the petition; (3) explain
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`what impact (if any) joinder would have on the trial schedule for the existing
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`review; and (4) address specifically how briefing and discovery may be
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`simplified.” See Dell Inc. v. Network-1 Sec. Solutions, Inc., IPR2013-00385, Paper
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`17 (PTAB July 29, 2013).
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`Everlight’s Motion is Timely
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`B.
`A Motion for Joinder is timely if the moving party files within one month of
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`institution of the Inter Partes Review for which joinder is requested. 37 C.F.R.
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`§ 42.122(b). Because Everlight files this motion within a month of the Decision
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`instituting Seoul Semiconductor’s IPR, this motion is timely. See, e.g., LG
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`Electronics, Inc., et al. v. Fundamental Innovations Systems International LLC,
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`IPR2018-00461, Paper 10 (PTAB May 29, 2018).
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`4
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`Joinder is Appropriate
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`C.
`Joinder is appropriate because Everlight’s IPR does not raise any new
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`grounds of unpatentability and does “not present issues that might complicate or
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`delay” Seoul Semiconductor’s IPR. See Enzymotec Ltd. v. Neptune Techs &
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`Bioresources, Inc., IPR2014-00556, Paper 19 (PTAB July 9, 2014). Everlight’s
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`Petition is substantially identical to the petition in Seoul Semiconductor’s IPR,
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`challenging the same claims of the '486 patent on the same grounds and relying on
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`a substantially
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`identical expert declaration. The only difference between
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`Everlight’s Petition and the petition filed in Seoul Semiconductor’s IPR are the
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`sections on Real Party-In- Interest, Related Matters, and Counsel, which have
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`been appropriately updated. While Everlight’s Petition relies on a Declaration
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`from a different expert witness, Everlight’s expert reviewed and agreed with the
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`expert declaration supporting Seoul Semiconductor’s IPR, and Everlight’s expert
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`declaration is substantially identical to Seoul Semiconductor’s expert declaration.
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`Joinder would therefore have little, if any, impact on Seoul Semiconductor’s IPR
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`because no new grounds would be added, the schedule would not be affected,
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`no additional briefing or discovery would be required, and no additional
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`burdens would be placed on the Patent Owner, as detailed below.
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`Accordingly, joinder is appropriate because it eliminates the possibility of
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`duplicate efforts and ensures a just, speedy, and inexpensive resolution of these
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`5
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`proceedings.
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`1. No New Grounds of Unpatentability in the Petition
`Everlight’s Petition does not assert any new grounds of unpatentability.
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`It challenges the same claims (1-3) of the '486 patent based on the same
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`arguments, evidence, and grounds of unpatentability as Seoul Semiconductor’s IPR.
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`2. No Impact on the Schedule for the Existing IPR Proceeding
`Because Everlight’s Petition raises no new grounds of unpatentability,
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`joinder should have no impact on the schedule of Seoul Semiconductor’s IPR.
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`Everlight will adhere to all applicable deadlines set in the Scheduling Order for
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`Seoul Semiconductor’s IPR. Additionally, no additional expert discovery will be
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`needed. While Everlight’s Petition relies on a Declaration from a different expert
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`witness, Everlight’s expert reviewed and agreed with the expert declaration
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`supporting Seoul Semiconductor’s IPR, and Everlight’s expert declaration is
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`substantially identical to Seoul Semiconductor's expert declaration. Assuming
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`Seoul Semiconductor does not terminate its IPR before its expert is deposed,
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`Everlight agrees to rely entirely on, and be bound by, the expert declaration(s) and
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`deposition in Seoul Semiconductor’s IPR. Accordingly, if Seoul Semiconductor
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`does not terminate its IPR prematurely, there will be no need for any deposition of
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`Everlight’s expert.
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`Additionally, if joined, Everlight will not file additional briefs outside of
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`the consolidated filings, will not request any additional deposition time, and will
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`not request any additional oral hearing
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`time. In
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`the event
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`that Seoul
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`Semiconductor’s IPR is terminated with respect to the petitioner, Everlight
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`intends to “step into the shoes” of the dismissed petitioner and materially
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`participate in the joined proceedings.
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`Accordingly, for the reasons stated above, joinder of Everlight to Seoul
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`Semiconductor’s IPR will not affect the Board’s ability to complete its review
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`and final decision within the statutory time limits under 35 U.S.C. § 316(a)(11)
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`and 37 C.F.R. § 42.100(c).
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`3. Briefing and Discovery Will be Simplified
`Everlight agrees to a complete “understudy” role and will not raise any issues
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`that are not already before the Board. In particular, Everlight agrees that, if
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`joined, the following conditions will apply so long as Seoul Semiconductor
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`remains an active party, as previously approved by the Board in similar
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`circumstances:
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`(a) all filings by Everlight in the joined proceeding be consolidated with
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`the filings of Seoul Semiconductor, unless a filing solely concerns issues that do
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`not involve Seoul Semiconductor;
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`(b) Everlight shall not be permitted to raise any new grounds not instituted
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`by the Board in Seoul Semiconductor’s IPR, or introduce any argument or
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`discovery not already introduced by Seoul Semiconductor;
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`7
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`(c) Everlight shall be bound by any agreement between the Patent Owner
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`and Seoul Semiconductor concerning discovery and/or depositions; and
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`(d) Everlight at deposition
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`shall not
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`receive any direct, cross
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`examination or redirect time so long as Seoul Semiconductor remains an active
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`participant. See Mylan Pharms. Inc. v. Novartis AG, IPR2015-00268, Paper 17 at
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`5-6 (PTAB Apr. 10, 2015)(finding
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`the same proposed
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`limitations “are
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`consistent with the ‘understudy’ role that Petitioner agrees to assume, as well as
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`Petitioner’s assertion that its presence would not require introducing any additional
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`arguments, briefing, or discovery.”)
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`(e) Everlight agrees to be bound by the expert deposition and declarations of
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`Seoul Semiconductor’s expert, unless Seoul Semiconductor ceases to be an active
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`participant in its IPR prior to its expert’s deposition or reply declaration.
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`Thus, Everlight would assume a primary role only if Seoul Semiconductor
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`ceased to participate in the proceeding. Briefing and discovery will be simplified
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`in that there will be no need for redundant depositions, briefing, or hearings.
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`4. No Prejudice to Patent Owner
`Joinder of Petitioner to Seoul Semiconductor’s IPR will not create any
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`additional burden on the Patent Owner. The Patent Owner need not expend any
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`additional resources above and beyond those required in the current Seoul
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`Semiconductor IPR. Moreover, joinder eliminates the need for the Patent Owner
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`8
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`to participate in parallel inter partes review proceedings instituted upon identical
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`grounds of unpatentability.
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`IV. CONCLUSION
`For the foregoing reasons, Everlight respectfully requests that its Petition
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`for Inter Partes Review of the '486 patent in IPR2018-01225 (Everlight’s IPR) be
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`granted and
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`that
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`the proceedings be
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`joined with IPR2018-00333 (Seoul
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`Semiconductor’s IPR).
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`Dated: June 25, 2018
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`Respectfully submitted,
`
`By /John F. Rabena/
`
`John F. Rabena
`Reg. #38,584
`jrabena@sughrue.com
`2100 Pennsylvania Ave., N.W.
`Suite 800
`Washington, DC 20037
`Telephone: (202) 293-7060
`Facsimile: (202) 293-7860
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`9
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`CERTIFICATE OF SERVICE
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`The undersigned certifies that a complete copy of this Petitioner’s Motion
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`for Joinder Under 37 C.F.R. §§ 42.22 and 42.122(b) was served upon the attorneys
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`of record for IPR2018-00333:
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`PETITIONER:
`Michael Eisenberg
`HOLLAND & KNIGHT LLP
`Michael.eisenberg@hklaw.com
`Charles H. Sanders
`Jonathan M. Strang
`LATHAM & WATKINS LLP
`charles.sanders@lw.com
`jonathan.strang@lw.com
`
`PATENT OWNER:
`Wayne M. Helge
`James T. Wilson
`Aldo Noto
`DAVIDSON, BERQUIST,
`JACKONS & GOWDEY, LLP
`whelge@dbjg.com
`jwilson@dbjg.com
`anoto@dbjg.com
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`via email on June 25, 2018:
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`By /John F. Rabena/
`John F. Rabena
`Reg. #38,584
`jrabena@sughrue.com
`2100 Pennsylvania Ave., N.W. #800
`Washington, DC 20037
`Telephone: (202) 293-7060
`Facsimile: (202) 293-7860
`
`Counsel for EVERLIGHT
`ELECTRONICS CO., LTD.
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