`
`IN THE UNITED STATES DISTRICT COURT
`FOR THE DISTRICT OF DELAWARE
`
`
`
`IOENGINE, LLC,
`
`
`
`
`
`
`
`
`Plaintiff,
`
`v.
`
`
`
`
`
`INTERACTIVE MEDIA CORP.
`d/b/a KANGURU SOLUTIONS
`
`Defendant.
`
`
`
`
`
`
`
`
`
`
`
`
`)
`)
`)
`)
`)
`)
`)
`)
`)
`)
`)
`
`
`
`
`
`
`
`
`
`C.A. No. _________
`
`
`
`Jury Trial Demanded
`
`
`COMPLAINT FOR PATENT INFRINGEMENT
`
`Plaintiff IOENGINE, LLC (“Plaintiff” or “IOENGINE”), by and through its undersigned
`
`counsel, alleges as follows:
`
`THE PARTIES
`
`1.
`
`IOENGINE is a limited liability company organized and existing under the laws
`
`of Delaware, with its principal place of business at 22 Ensign Road, Norwalk, Connecticut
`
`06853.
`
`2.
`
`Defendant Interactive Media Corp. d/b/a Kanguru Solutions (“Defendant” or
`
`“Kanguru”) is a corporation organized and existing under the laws of Delaware, with its
`
`principal place of business at 1360 Main Street, Millis, Massachusetts 02054.
`
`3.
`
`Defendant’s registered agent in the State of Delaware is The Company
`
`Corporation, 2711 Centerville Rd. Ste. 400, Wilmington, Delaware 19808.
`
`
`
`
`
`93010:COM:10268428.DOCX.1
`
`
`
`
`
`PayPal Inc. v. IOENGINE, LLC
`IPR2019-00885 (US 8,539,047)
`Exhibit 2020
`
`
`
`Case 1:14-cv-01571-GMS Document 1 Filed 12/31/14 Page 2 of 7 PageID #: 2
`
`JURISDICTION AND VENUE
`
`4.
`
`This is an action for patent infringement arising under the patent laws of the
`
`United States, 35 U.S.C. § 100 et seq., including, but not limited to, 35 U.S.C. § 271.
`
`5.
`
`This Court has subject matter jurisdiction over this action pursuant to 28 U.S.C.
`
`§§ 1331 and 1338(a).
`
`6.
`
`On information and belief, Defendant is a corporation organized and existing
`
`under the laws of Delaware, has transacted and does transact business within Delaware, and has
`
`committed and contributed to and induced acts of patent infringement in Delaware and this
`
`District. Defendant is subject to this Court’s specific and general personal jurisdiction pursuant
`
`to due process and the Delaware Long Arm Statute, due at least to its substantial business in this
`
`forum, including: (i) at least a portion of the infringement alleged herein; and (ii) regularly doing
`
`or soliciting business, engaging in other persistent courses of conduct, and deriving substantial
`
`revenue from goods and services provided to individuals in Delaware.
`
`7.
`
`Venue is proper in this District under 28 U.S.C. §§ 1391(b) and (c), and 1400(b)
`
`because, among other reasons, Defendant is subject to personal jurisdiction in this District and
`
`has committed and continues to commit acts of patent infringement in this District. For example,
`
`on information and belief, Defendant has made, used, sold, offered for sale, and/or imported
`
`infringing products and services in this District.
`
`BACKGROUND
`
`8.
`
`This dispute involves technology that allows enhanced capabilities on portable
`
`electronic devices. For example, the technology at issue provides for terminal processors and
`
`peripheral device processors to execute program code stored on the peripheral device, allowing
`
`2
`
`PayPal Inc. v. IOENGINE, LLC
`IPR2019-00885 (US 8,539,047)
`Exhibit 2020
`
`
`
`Case 1:14-cv-01571-GMS Document 1 Filed 12/31/14 Page 3 of 7 PageID #: 3
`
`advanced functionality to be added to standard peripheral devices and allowing peripheral
`
`devices to access networks using a terminal’s network interface.
`
`9.
`
`The technology at issue was invented by Scott McNulty, who also founded
`
`IOENGINE.
`
`THE PATENT-IN-SUIT
`
`10.
`
`On September 17, 2013, the United States Patent and Trademark Office duly and
`
`legally issued United States Patent No. 8,539,047 (“the ’047 Patent”), entitled “Apparatus,
`
`Method and System for a Tunneling Client Access Point,” to Scott McNulty after full and fair
`
`examination. The application that led to the ’047 Patent, U.S. Patent Application Ser. No.
`
`12/950,321, was a continuation of U.S. Patent Application Ser. No. 10/807,731 and claims
`
`priority to at least March 23, 2004. IOENGINE is the assignee of all right, title, and interest in
`
`and to the ’047 Patent and possesses all rights of recovery under the ’047 Patent, including the
`
`right to recover damages for past infringement. A true and correct copy of the ’047 Patent is
`
`attached hereto as Exhibit A.
`
`KANGURU’S INFRINGEMENT
`
`11.
`
`IOENGINE incorporates by reference the preceding paragraphs as if fully set
`
`forth herein.
`
`12.
`
`As described below, Kanguru infringes the claims of the ’047 Patent directly
`
`(alone or jointly), and indirectly by contributing to and inducing direct infringement by others,
`
`by making, using, selling, offering for sale, importing into the United States, and encouraging the
`
`manufacture, use, sale, and importation of products and services.
`
`13. More specifically, the infringing products (the “Kanguru Infringing Products”)
`
`include, but are not limited to, Kanguru’s Defender Elite products (e.g., Defender Elite,
`
`3
`
`PayPal Inc. v. IOENGINE, LLC
`IPR2019-00885 (US 8,539,047)
`Exhibit 2020
`
`
`
`Case 1:14-cv-01571-GMS Document 1 Filed 12/31/14 Page 4 of 7 PageID #: 4
`
`Defender Elite200, and Defender Elite30), Defender Basic products (e.g., Defender Basic and
`
`Defender Basic+), Defender RocIT products (e,g., RocIT Defender 2000 FinanceSafe and
`
`RocIT Defender Elite), and Defender products (e.g., Defender, Defender Pro, Defender SSD,
`
`Defender HDD, Defender 2000, Defender V2, Defender DualTrust, and Virtual Defender);
`
`products incorporating the foregoing; and reasonably similar Kanguru products with on-board
`
`storage and processing capabilities that embody the apparatuses or practice the methods claimed
`
`by the ’047 Patent. The Kanguru Infringing Products meet the limitations of the ’047 Patent
`
`literally and/or under the doctrine of equivalents.
`
`14.
`
`Kanguru instructs and encourages its customers to use the Kanguru Infringing
`
`Products in a manner that infringes the claims of the ’047 Patent including by providing user
`
`guides and data sheets for the Kanguru Infringing Products,1 by providing information on its
`
`website (available at www.kanguru.com), including videos, demonstrations, and other
`
`
`
`1 See, e.g., https://kanguru.zendesk.com/entries/21546002-Defender-2000-, https://kanguru.zend
`esk.com/entries/31069417-Defender-Elite200, https://kanguru.zendesk.com/entries/61171936-
`Defender-Elite30, https://kanguru.zendesk.com/entries/23454682-Kanguru-Defender-Basic-, ht
`tps://kanguru.zendesk.com/entries/21303806-Kanguru-Defender-V2-, https://kanguru.zendesk.
`com/entries/22953783-Defender-DualTrust, https://kanguru.zendesk.com/entries/21566128-Ka
`nguru-Defender-Defender-Pro, https://kanguru.zendesk.com/entries/21284612-Kanguru-Defen
`der-Basic-, https://kanguru.zendesk.com/entries/21849833-Defender-HDD-SSD, https://kangur
`u.zendesk.com/entries/21973078-RocIT-Virtual-Defender-Secure-Mobile-Computing-Flash, ht
`tps://kanguru.zendesk.com/entries/21973188-RocIT-Defender, http://www.kanguru.com/secur
`e-storage/defender-2000.shtml, http://kanguru.com/secure-storage/defender-elite200.shtml, htt
`p://kanguru.com/secure-storage/defender-elite30.shtml, http://kanguru.com/secure-storage/defe
`nder-basic-plus.shtml, https://www.kanguru.com/secure-storage/defender-v2.shtml, http://kang
`uru.com/virtualization/dualtrust.shtml, https://www.kanguru.com/secure-storage/defender-elite.
`shtml, https://web.archive.org/web/20130203033610/http://www.kanguru.com/secure-storage/
`defender-basic.shtml, http://kanguru.com/secure-storage/defender-ssd.shtml, http://kanguru.co
`m/secure-storage/defender-hdd.shtml, http://kanguru.com/virtualization/virtual-defender-sra.sh
`tml, http://kanguru.com/virtualization/virtual-defender-smc.shtml, http://kanguru.com/virtualiz
`ation/rocit-defender2000-finance-safe.shtml, https://kanguru.zendesk.com/entries/22220813-R
`ocIT-Defender-2000-Finance-Safe-Sales-Sheet, and http://www.kryptoprodukter.se/whitepaper
`s/KanguruRocITDefenderElite.pdf.
`
`4
`
`PayPal Inc. v. IOENGINE, LLC
`IPR2019-00885 (US 8,539,047)
`Exhibit 2020
`
`
`
`Case 1:14-cv-01571-GMS Document 1 Filed 12/31/14 Page 5 of 7 PageID #: 5
`
`information for the Kanguru Infringing Products, and by providing technical support for the
`
`Kanguru Infringing Products, in each case that contains detailed descriptions and instructions
`
`for using and implementing functionality that, alone or in combination, practices the invention
`
`claimed in the ’047 Patent, including at least, device installation, device setup/initialization,
`
`antivirus software registration, password setup, Kanguru Remote Management Console Cloud
`
`setup, device reset, device/user authentication, network setup, use of a secure execution
`
`environment, use of secure web browsers, use of secure email functionality, antivirus software
`
`license renewal, and use of the ViSoS Runtime Environment.
`
`FIRST COUNT FOR RELIEF
`(INFRINGEMENT OF THE ’047 PATENT)
`
`IOENGINE incorporates by reference the preceding paragraphs as if fully set
`
`15.
`
`forth herein.
`
`16.
`
`Kanguru had actual knowledge of the ’047 Patent at least as early as the filing of
`
`this Complaint.
`
`17.
`
`On information and belief, Kanguru has infringed and continues to infringe,
`
`directly (alone or jointly) and indirectly by way of inducement and contributory infringement,
`
`literally and/or under the doctrine of equivalents, in violation of 35 U.S.C. § 271, one or more
`
`claims of the ’047 Patent by performing, without authority, one or more of the following acts:
`
`making, having made, using, importing, selling, and offering for sale in the United States one or
`
`more products and services that embody one or more inventions described and claimed in the
`
`’047 Patent, including but not limited to the Kanguru Infringing Products. Since at least after
`
`receiving notice of this Complaint, Defendant has knowingly contributed to the infringement,
`
`and continues to contribute to the infringement, of one or more claims of the ’047 Patent by
`
`selling and offering its products for sale to its customers, which products constitute a material
`
`5
`
`PayPal Inc. v. IOENGINE, LLC
`IPR2019-00885 (US 8,539,047)
`Exhibit 2020
`
`
`
`Case 1:14-cv-01571-GMS Document 1 Filed 12/31/14 Page 6 of 7 PageID #: 6
`
`part of the invention and are not staple articles or commodities of commerce suitable for
`
`substantial non-infringing use. Further, since at least after receiving notice of this Complaint,
`
`Defendant has induced infringement, and continues to induce infringement, of one or more
`
`claims of the ’047 Patent, with specific intent that its products be used by its customers to
`
`infringe the ’047 Patent.
`
`18.
`
`By infringing the ’047 Patent, Kanguru has caused and will continue to cause
`
`Plaintiff to suffer damages in an amount to be determined at trial.
`
`19.
`
`Plaintiff has no adequate remedy at law against Kanguru’s acts of infringement,
`
`and unless Kanguru is permanently enjoined from infringing the ’047 Patent, Plaintiff will suffer
`
`irreparable harm.
`
`20.
`
`To the extent that Kanguru has or continues to make, use, import, sell, or offer for
`
`sale products or services that infringe the ’047 Patent following its awareness of the ’047 Patent,
`
`Kanguru’s infringement is willful and entitles IOENGINE to an award of enhanced damages
`
`pursuant to 35 U.S.C. § 284 and attorneys’ fees pursuant to 35 U.S.C. § 285.
`
`PRAYER FOR RELIEF
`
`WHEREFORE, Plaintiff prays for judgment on the complaint as follows:
`
`a.
`
`Judgment in favor of Plaintiff and against Defendant for infringement of the
`
`’047 Patent;
`
`b.
`
`Entry of a permanent injunction enjoining Defendant and its affiliated entities,
`
`officers, agents, servants, employees, and those persons in active concert or participation with
`
`them who receive actual notice thereof, from directly or indirectly infringing, inducing the
`
`infringement of, or contributing to the infringement of the ’047 Patent;
`
`6
`
`PayPal Inc. v. IOENGINE, LLC
`IPR2019-00885 (US 8,539,047)
`Exhibit 2020
`
`
`
`Case 1:14-cv-01571-GMS Document 1 Filed 12/31/14 Page 7 of 7 PageID #: 7
`
`c.
`
`An award to Plaintiff of compensatory damages arising out of Defendant’s
`
`infringement, including increased damages for Defendant’s willful infringement, together with
`
`pre-judgment and post-judgment interest thereon;
`
`d.
`
`An award to Plaintiff of costs, interest, and reasonable attorneys’ fees incurred
`
`herein;
`
`e.
`
`f.
`
`An accounting for future sales; and
`
`Such other and further relief as the Court may deem just and appropriate.
`
`DEMAND FOR JURY TRIAL
`
`In accordance with Rule 38 of the Federal Rules of Civil Procedure, Plaintiff demands a
`
`trial by jury on all issues so triable.
`
`Dated: December 31, 2014
`
`
`
`
`
`Smith, Katzenstein & Jenkins, LLP
`
`
`/s/ Neal C. Belgam
`
`Neal C. Belgam (ID No. 2721)
`Robert K. Beste (ID No. 3931)
`nbelgam@skjlaw.com
`800 Delaware Avenue, Suite 1000
`Wilmington, Delaware 19899
`Telephone: (302) 504-1688
`
`Jeffrey Ostrow
`jostrow@stblaw.com
`SIMPSON THACHER & BARTLETT LLP
`2475 Hanover Street
`Palo Alto, California 94304
`Telephone: (650) 251-5000
`
`Noah M. Leibowitz
`nleibowitz@stblaw.com
`Gregory T. Chuebon
`gchuebon@stblaw.com
`SIMPSON THACHER & BARTLETT LLP
`425 Lexington Avenue
`New York, New York 10017
`Tel: (212) 455-2000
`Attorneys for Plaintiff IOENGINE.
`
`7
`
`PayPal Inc. v. IOENGINE, LLC
`IPR2019-00885 (US 8,539,047)
`Exhibit 2020
`
`