`
`IN THE UNITED STATES DISTRICT COURT
`FOR THE DISTRICT OF DELAWARE
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`GUADA TECHNOLOGIES LLC,
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`Plaintiff,
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`
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`v.
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`SPORT SUPPLY GROUP, INC.,
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`Defendant.
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`CIVIL ACTION NO. ______________
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`PATENT CASE
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`JURY TRIAL DEMANDED
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`ORIGINAL COMPLAINT FOR PATENT INFRINGEMENT
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`Plaintiff Guada Technologies LLC files this Original Complaint for Patent Infringement
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`against Sport Supply Group, Inc. and would respectfully show the Court as follows:
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`I. THE PARTIES
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`1.
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`Plaintiff Guada Technologies LLC (“Guada” or “Plaintiff”) is a Texas limited
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`liability company with its principal place of business at 3000 Custer Rd., Ste. 270 - 7058, Plano,
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`TX 75075.
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`2.
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`On information and belief, Defendant Sport Supply Group, Inc. (“Defendant”) is a
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`Delaware corporation with its principal place of business at 1901 Diplomat Drive, Dallas, TX
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`75234. Defendant has a registered agent at Corporation Service Company, 251 Little Falls
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`Drive, Wilmington, DE 19808.
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`II. JURISDICTION AND VENUE
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`3.
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`This action arises under the patent laws of the United States, Title 35 of the
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`United States Code. This Court has subject matter jurisdiction of such action under 28 U.S.C.
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`§§ 1331 and 1338(a).
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`1
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`4.
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`On information and belief, Defendant is subject to this Court’s specific and
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`general personal jurisdiction, pursuant to due process and the Delaware Long-Arm Statute, due
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`at least to its business and existence in this forum, including at least a portion of the
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`infringements alleged herein. Furthermore, Defendant is subject to this Court’s specific and
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`general personal jurisdiction because Defendant is a Delaware corporation.
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`5.
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`Without limitation, on information and belief, within this state, Defendant has
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`used the patented inventions thereby committing, and continuing to commit, acts of patent
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`infringement alleged herein. In addition, on information and belief, Defendant has derived
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`revenue from its infringing acts occurring within Delaware. Further, on information and belief,
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`Defendant is subject to the Court’s general jurisdiction, including from regularly doing or
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`soliciting business, engaging in other persistent courses of conduct, and deriving revenue from
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`goods and services provided to persons or entities in Delaware. Further, on information and
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`belief, Defendant is subject to the Court’s personal jurisdiction at least due to its sale of products
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`and/or services through the Accused Instrumentality within Delaware. Defendant has committed
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`such purposeful acts and/or transactions in Delaware such that it reasonably should know and
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`expect that it could be haled into this Court as a consequence of such activity.
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`6.
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`Venue is proper in this district under 28 U.S.C. § 1400(b). On information and
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`belief, Defendant is incorporated in Delaware. On information and belief, from and within this
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`District Defendant has committed at least a portion of the infringements at issue in this case.
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`7.
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`For these reasons, personal jurisdiction exists and venue is proper in this Court.
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`III. COUNT I
`(PATENT INFRINGEMENT OF UNITED STATES PATENT NO. 7,231,379)
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`8.
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`Plaintiff incorporates the above paragraphs herein by reference.
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`2
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`9.
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`On June 12, 2007, United States Patent No. 7,231,379 (“the ‘379 Patent”) was
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`duly and legally issued by the United States Patent and Trademark Office. The ‘379 Patent is
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`titled “Navigation in a Hierarchical Structured Transaction Processing System.” The application
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`leading to the ‘379 Patent was filed on November 19, 2002. A true and correct copy of the ‘379
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`Patent is attached hereto as Exhibit A and incorporated herein by reference.
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`10.
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`Plaintiff is the assignee of all right, title and interest in the ‘379 patent, including
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`all rights to enforce and prosecute actions for infringement and to collect damages for all
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`relevant times against infringers of the ‘379 patent. Accordingly, Plaintiff possesses the
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`exclusive right and standing to prosecute the present action for infringement of the ‘379 Patent
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`by Defendant.
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`11.
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`The ‘379 patent is directed to addresses a problem of navigating network vertices
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`in a programmed computer that has a hierarchically configured decisional network that must be
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`navigated as part of the processing, and that is constructed to accept inputs or data. (Ex. A at col.
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`2:25-30). Although Defendant argues that such a network exists outside of computers, that
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`argument is inconsistent with the specification. The specification states that the “invention is
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`implemented in a programmed computer that has a hierarchically configured decisional network
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`that must be navigated as part of the processing.” (Id. at col. 2:25-30). The network “is
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`constructed to accept inputs or data and process them in a manner that facilitates navigation of
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`the network vertices more efficiently.” (Id.). A hierarchically arranged decisional network is an
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`arrangement of nodes (numbered boxes below) connected by edges (lines connecting the boxes)
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`that are used to traverse from one node to another node through decisions at a particular node:
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`(Id. at Fig. 1). The object of navigating the system is to get from the start to the desired node
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`quickly and efficiently. (Id. at col. 2:9-12). This system is different from a “circuit” or “cycle”
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`in which edges can loop back on themselves to create a closed path. (Id. at col. 2:67 – col. 3:3).
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`12.
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`To navigate a hierarchically arranged decisional network, a user provides
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`responses to prompts, or inputs data, to navigate up or down through adjacent nodes in the
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`hierarchy to reach a certain node to obtain information, perform a transaction, or accomplish a
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`similar goal. (Id. at col. 2:22-25; col. 3:5-28). For example, an interactive television program
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`guide can be arranged as a hierarchically arranged decisional network. A user starts at the first
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`node with a selection between films and shows. (Id. at Fig. 4). Upon the selection of films, the
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`user is presented with another set of nodes to select, such as genres of films (e.g., comedies,
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`horror, drama). The user could then continue navigating down through additional nodes levels
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`until reaching a goal node.
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`13.
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`This method of navigating through specific pathways between nodes is
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`inefficient. For example, if the user navigates down the wrong hierarchy of nodes, the user must
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`either backtrack up the nodes or start over, thereby frustrating the user. (Ex. A at col. 2:9-12).
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`4
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`As networks become larger with more node levels, the ability to achieve the goal node becomes
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`more difficult because it requires navigating an excessive number of nodes. (Id. at col. 2:15-18).
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`14.
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`The invention solves the prior art problems by not locking the user into movement
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`to adjacent nodes or having to start over at the top node. Instead, the invention allows the system
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`to “jump” laterally from one branch to another. (Id. at col. 3:35-37). The problem is solved by
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`supplementing the allowed movement between adjacent nodes with navigation to nonadjacent
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`nodes by associating the nodes with keywords and matching words in a user’s request/response
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`to the keywords so that the system can jump to those nodes. (Id. at col. 3:35-43). In other
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`words, the user is not bound by the rigid hierarchical arrangement because an input or response
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`can cause a direct jump to a different node, thereby bypassing intervening nodes that would
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`otherwise need to be traversed according to approaches of the prior art.
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`15.
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`The ‘379 patent has been cited as prior art during the prosecution history of
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`United States patents assigned to IBM, Fujitsu Limited, and Harris Corporation.
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`16.
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`Direct Infringement. Upon information and belief, Defendant has been and now
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`is directly infringing at least claim 1 of the ‘379 patent in the State of Delaware, in this District,
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`and elsewhere in the United States, by actions comprising making, using, and/or performing a
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`method for navigating multiple navigable nodes interconnected in a hierarchical arrangement
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`using the website at https://www.bsnsports.com/ and associated subsites, web pages and
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`functionality within that website (the “Accused Instrumentality”). For example, the Accused
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`Instrumentality utilizes a method performed in a system having multiple navigable nodes (the
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`Accused Instrumentality has different product categories (nodes) for selection by a user (e.g.,
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`“Apparel”, “Footwear”, etc.)) interconnected in a hierarchical arrangement (e.g., from the home
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`page node, users can go to nodes such as “Apparel”, “Footwear”, etc.; and then within a node,
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`such as Apparel, the website contains nodes of particular categories which in turn contain
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`particular product nodes). The Accused Instrumentality performs the step, at a first node, of
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`receiving an input from a user of the system (e.g., Sport Supply Group uses a search box on the
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`home page node for accepting an input from a user), the input from the user contains at least one
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`word identifiable with at least one keyword from among multiple keywords (the input from the
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`user contains one or more words identifiable with at least one keyword, which is used by Sport
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`Supply Group to identify particular products). The Accused Instrumentality also performs the
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`step of identifying at least one node, other than the first node, that is not directly connected to the
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`first node but is associated with the at least one keyword, and jumps to the at least one node. For
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`example, the Accused Instrumentality identifies a particular product relating to the keyword
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`input by the user and allows jumping to those items/nodes without traversing preceding generic
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`category nodes (e.g., “Apparel”, “Footwear”, etc.) in the hierarchy.
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`17.
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`Plaintiff has been damaged as a result of Defendant’s infringing conduct.
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`Defendant is thus liable to Plaintiff for damages in an amount that adequately compensates
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`Plaintiff for such Defendant’s infringement of the ‘379 patent, i.e., in an amount that by law
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`cannot be less than would constitute a reasonable royalty for the use of the patented technology,
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`together with interest and costs as fixed by this Court under 35 U.S.C. § 284.
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`18.
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`On information and belief, Defendant will continue its infringement of one or
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`more claims of the ‘379 patent unless enjoined by the Court. Furthermore, the Defendant’s
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`infringing conduct thus causes Plaintiff irreparable harm and will continue to cause such harm
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`without the issuance of an injunction.
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`IV. JURY DEMAND
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`Plaintiff, under Rule 38 of the Federal Rules of Civil Procedure, requests a trial by jury of
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`any issues so triable by right.
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`V. PRAYER FOR RELIEF
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`WHEREFORE, Plaintiff respectfully requests that the Court find in its favor and against
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`Defendant, and that the Court grant Plaintiff the following relief:
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`a.
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`b.
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`c.
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`d.
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`e.
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`Judgment that one or more claims of United States Patent No. 7,231,379 have
`been infringed, either literally and/or under the doctrine of equivalents, by
`Defendant;
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`Judgment that Defendant account for and pay to Plaintiff all damages to and costs
`incurred by Plaintiff because of Defendant’s infringing activities and other
`conduct complained of herein;
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`That Plaintiff be granted pre-judgment and post-judgment interest on the damages
`caused by Defendant’s infringing activities and other conduct complained of
`herein;
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`That Defendant be permanently enjoined from any further activity or conduct that
`infringes one or more claims of United States Patent No. 7,231,379; and
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`That Plaintiff be granted such other and further relief as the Court may deem just
`and proper under the circumstances.
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`
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`Dated: January 30, 2019
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`
`OF COUNSEL:
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`David R. Bennett
`DIRECTION IP LAW
`P.O. Box 14184
`Chicago, IL 60614-0184
`(312) 291-1667
`dbennett@directionip.com
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`
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`DEVLIN LAW FIRM LLC
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`
`/s/ Timothy Devlin
`Timothy Devlin (No. 4241)
`1306 N. Broom Street, 1st Floor
`Wilmington, DE 19806
`(302) 449-9010
`tdevlin@devlinlawfirm.com
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`Attorneys for Plaintiff Guada Technologies LLC
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