UNITED STATES PATENT AND TRADEMARK OFFICE
`BEFORE THE PATENT TRIAL AND APPEAL BOARD
`Lightspeed
`v.
`CloudofChange
`Inter Partes Review Nos.
`IPR2022-00779 (U.S. Patent No. 9,400,640)
`IPR2022-00997 (U.S. Patent No. 10,083,012)
`IPR2022-01143 (U.S. Patent No. 11,226,793)
`
`
`Petitioner’s Oral Argument – August 2, 2023
`
`
`
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`1
`
`

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`Proposed Agenda
`
` Overview of Technology and the Prior Art
`
` The Challenged Patents
`
` The Asserted Grounds
`
` Disputed Issues
`
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`2
`
`

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`Point of Sale (POS) Systems
`
`The Technology Relates to Managing POS Systems Over the Internet
`
`Manno Figure 1
`
`Woycik Figure 1
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`3
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`

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`The Challenged Patents
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`4
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`

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`The Challenged Patents Share a Common Specification
`
`• The specification describes “current practice” of manual POS
`building and editing as prone to mistakes and time consuming:
`
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`5
`
`’640 Patent at 1:33-36
`’012 Patent at 1:45-46
`’793 Patent at 1:43-45
`
`

`

`The Challenged Patents Share a Common Specification
`
`• The specification proposes a web-based point of sale (POS)
`builder system that allows POS building and editing over the
`Internet
`
`’640 Patent at Fig. 3
`’012 Patent at Fig. 3
`’793 Patent at Fig. 3
`
`’640 Patent at 2:9-16
` ’012 Patent at 2:23-30
` ’793 Patent at 2:26-33
`
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`6
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`

`

`Representative Claims of the Challenged Patents
`
`U.S. 9,400,640
`
`1. A web-based point of sale (POS) builder
`system comprising:
`one or more point of sale terminals, that
`display POS screens,
`an internet connection from said one or
`more point of sale terminals to a web
`server,
`one or more local or remote PC
`workstations, and
`point of sale builder software that runs on
`said web server, wherein said local or
`remote workstations are utilized to build or
`edit said POS terminals in real time, from
`anywhere in the world and over the
`worldwide web,
`wherein said web servers are provided as a
`vendor subscription service wherein web server
`software resides and is hosted on said vendor’s
`remote servers and wherein subscriber’s
`company’s POS terminals access and
`repeatedly interact with said web server
`software from said vendor’s remote servers, in
`order to perform the subscriber’s desired
`terminal function over a network, wherein the
`network comprises the Internet.
`
`U.S. 10,083,012
`
`U.S. 11,226,793
`
`1. A web-based point of sale (POS) builder
`system comprising:
`a web server including POS builder software
`installed thereon;
`one or more POS terminals generated by said
` POS builder software and said one or more
` POS terminals configured to be accessible
` at one or more terminal devices, said POS
` terminals configured to accept POS
` transactions and collect corresponding
` transaction data; and
`a POS builder interface configured to be
`accessible via network communication with
`said web server over a communications
`network;
`wherein said POS builder interface is
`configured to be utilized to access said
`POS builder software for programmatically
`creating or modifying said one or more POS
`terminals in real time over the
`communications network, wherein said
`POS builder software is configured to
`interact with said one or more POS
`terminals over the communications network
`in order for the web-based point of sale
`(POS) builder system to perform functions
`in accordance with instructions sent from
`the POS builder interface;
`wherein said POS transactions and
` corresponding transaction data from said
` one or more POS terminals are configured
` to be transmitted to said web server via the
` communications network; and
`wherein each POS transaction is correlated
` with corresponding transaction data
` occurring at said one or more POS
` terminals.
`
`1. A web-based point of sale (POS) builder system
`comprising:
`at least one server configured to:
`communicate with one or more POS terminals over
`a network comprising the Internet, wherein the
` one or more POS terminals are configured to
` display one or more POS screens;
`receive, over the network from a POS builder
`interface, information used for creating or
`modifying the one or more POS screens
`including creating or modifying one or more
`display interfaces for display on the one or more
`POS screens, the one or more display interfaces
`being associated with one or more items;
`receive, from at least one of the one or more POS
`terminals over the network, further information
`regarding one or more POS transactions
`corresponding to the one or more items;
`configure the one or more POS terminals with the
`information over the network to create or modify
`based on the further information regarding one
`or more POS transactions the one or more POS
`screens displayed on the one or more POS
`terminals; and
` wherein the further information regarding the one
` or more POS transactions, the information used
` for creating or modifying the one or more POS
` screens, or a combination thereof comprises
` one or more of employee clock information,
` customer add/update information, item
` add/update information, promotion information,
` loyalty point information, discount information,
` taxation information, item cost information, or
` inventory information;
` wherein said further information regarding the one
` or more POS transactions relate to one or more
` transactions by corresponding customers
` respectively associated with at least one of said
` one or more POS terminals.
`
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`7
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`

`

`The Asserted Grounds
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`8
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`

`

`Overview of the Asserted Grounds
`
`Patent
`U.S. 9,400,640
`
`U.S. 10,083,012
`
`U.S. 11,226,793
`
`Ground Basis References
`1
`§ 103 Manno
`2
`§ 103 Woycik
`3
`§ 103 Woycik, Manno
`4
`§ 103 Olson, Woycik
`1
`§ 103 Woycik
`2
`§ 103 Olson, Woycik
`3
`§ 103 Tengler
`1
`§ 103 Woycik
`2
`§ 103 Tengler
`
`Challenged Claims
`1-28
`1-28
`1-28
`1-28
`1-20
`1-20
`1-20
`1-4, 7-28, 31-44
`1-4, 7-28, 31-44
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`9
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`

`

`Overview of the Asserted Grounds
`
`Patent
`U.S. 9,400,640
`
`U.S. 10,083,012
`
`U.S. 11,226,793
`
`Ground Basis References
`1
`§ 103 Manno
`2
`§ 103 Woycik
`3
`§ 103 Woycik, Manno
`4
`§ 103 Olson, Woycik
`1
`§ 103 Woycik
`2
`§ 103 Olson, Woycik
`3
`§ 103 Tengler
`1
`§ 103 Woycik
`2
`§ 103 Tengler
`
`Challenged Claims
`1-28
`1-28
`1-28
`1-28
`1-20
`1-20
`1-20
`1-4, 7-28, 31-44
`1-4, 7-28, 31-44
`
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`10
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`

`Manno
`The ’640 Patent
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`11
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`

`

`Manno Discloses a Web-Based POS System
`
`Manno Figure 1
`
`Manno Figure 4
`
`’640 Petition at 19
`
`’640 Petition at 22
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`12
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`

`

`Manno Discloses a Web-Based POS System
`
`Manno Figure 4
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`13
`
`’640 Petition at 22
`
`

`

`Manno | Disputed Issues
`
`U.S. 9,400,640
`
`1. A web-based point of sale (POS) builder
`system comprising:
`one or more point of sale terminals, that
`display POS screens,
`an internet connection from said one or
`more point of sale terminals to a web
`server,
`one or more local or remote PC
`workstations, and
`point of sale builder software that runs on
`said web server, wherein said local or
`remote workstations are utilized to build or
`edit said POS terminals in real time, from
`anywhere in the world and over the
`worldwide web,
`wherein said web servers are provided as a
`vendor subscription service wherein web server
`software resides and is hosted on said vendor’s
`remote servers and wherein subscriber’s
`company’s POS terminals access and
`repeatedly interact with said web server
`software from said vendor’s remote servers, in
`order to perform the subscriber’s desired
`terminal function over a network, wherein the
`network comprises the Internet.
`
`Patent Owner argues Manno is
`deficient for two reasons:
`
`1. Manno requires an in-
`store server
`
`2. Manno does not disclose
`POS builder software
`
`Patent Owner is wrong on
`both counts.
`
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`14
`
`’640 POR at 16-22; ’640 Sur Reply at 4-8
`
`

`

`Manno Does Not Require an In-store Server
`
`• Patent Owner selectively addresses portions of paragraph 65,
`without addressing the relevant teachings:
`
`• Manno expressly discloses
`an arrangement in which
`an in-store server is not
`necessary:
`
`’640 POR at 22; Manno at [0065]; see also ’640 Reply, 4-5; ’640 Petition, 25-26, 30-31
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`15
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`

`Manno Discloses POS Builder Software
`
`Manno’s web-based point of sale (WPOS)
`application discloses POS builder
`software in at least two independent
`ways:
`
`1. Manno’s WPOS application enables
`managers to change the store and
`web database from a remote
`computer
`
`2. Manno’s WPOS application enables
`managers to create and alter web
`pages displayed in POS terminal
`web browsers.
`
`See ’640 Reply at 5
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`16
`
`

`

`Manno Discloses POS Builder Software
`
`Manno’s web-based point of sale (WPOS)
`application discloses POS builder
`software in at least two independent
`ways:
`
`1. Manno’s WPOS application
`enables managers to change the
`store and web database from a
`remote computer
`
`2. Manno’s WPOS application enables
`managers to create and alter web
`pages displayed in POS terminal
`web browsers.
`
`640 Reply at 5; Manno,
`[0029])
`
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`17
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`

`

`Manno Discloses POS Builder Software
`
`• The teachings of Manno are similar to those of the ’640 patent:
`
`Disclosure of POS Builder Software in Manno and ’640 Patent Compared
`
`’640 Patent at 4:47-54.
`
`Manno, [0029] (see also [0046], [0051]).
`
`The Institution Decision acknowledged the
`similarity in this disclosure
`
`See ’640 Institution Decision at 10-11.
`
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`18
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`

`

`Manno Discloses POS Builder Software
`
`Manno’s web-based point of sale (WPOS)
`application discloses POS builder
`software in at least two independent
`ways:
`
`1. Manno’s WPOS application enables
`managers to change the store and
`web database from a remote
`computer
`
`2. Manno’s WPOS application
`enables managers to create and
`alter web pages displayed in POS
`terminal web browsers
`
`Manno, FIG. 4
`
`See ’640 Reply at 5
`DEMONSTRATIVE EXHIBIT – NOT EVIDENCE
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`Manno, [0051]
`
`19
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`

`

`Patent Owner’s Arguments Are Not Tied to What the Claims Require
`
`U.S. 9,400,640
`
`1. A web-based point of sale (POS) builder
`system comprising:
`one or more point of sale terminals, that
`display POS screens,
`an internet connection from said one or
`more point of sale terminals to a web
`server,
`one or more local or remote PC
`workstations, and
`point of sale builder software that runs on
`said web server, wherein said local or
`remote workstations are utilized to build or
`edit said POS terminals in real time, from
`anywhere in the world and over the
`worldwide web,
`wherein said web servers are provided as a
`vendor subscription service wherein web server
`software resides and is hosted on said vendor’s
`remote servers and wherein subscriber’s
`company’s POS terminals access and
`repeatedly interact with said web server
`software from said vendor’s remote servers, in
`order to perform the subscriber’s desired
`terminal function over a network, wherein the
`network comprises the Internet.
`
`• Claims recite a “web server” with
`POS builder software that runs
`thereon
`
`• Manno discloses a web server
`
`• Manno discloses POS builder
`software
`
`• Manno discloses what the claim
`requires
`
`DEMONSTRATIVE EXHIBIT – NOT EVIDENCE
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`’640 Reply at 5
`
`20
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`

`

`Manno is a “Web-Based Point of Sale System”
`
` Patent Owner argues Manno’s WPOS application is
`merely a “collaboration tool” that allows managers “to
`communicate email messages regarding a number of
`items.” ’640 POR, 19-20.
`
` But Patent Owner’s expert conceded Manno’s WPOS
`application is not limited to sending emails about
`management features. See ’640 Reply, 6-7.
`
`Alex Cheng
`Patent Owner Expert
`
`Q. But you would agree that the changed web
`pages functionality of the WPOS application is
`not limited to a manager sending E-mails about
`making changes to web pages, correct?
`A. Correct.
`
`EX1030, 115:15-18; see also id., 113:20-115:19.
`
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`21
`
`

`

`Woycik
`All Patents
`
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`22
`
`

`

`Overview of the Asserted Grounds
`
`Patent
`U.S. 9,400,640
`
`U.S. 10,083,012
`
`U.S. 11,226,793
`
`Challenged Claims
`Ground Basis References
`1-28
`1
`§ 103 Manno
`1-28
`2
`§ 103 Woycik
`3
`§ 103 Woycik, Manno 1-28
`4
`§ 103 Olson, Woycik
`1-28
`1
`§ 103 Woycik
`1-20
`2
`§ 103 Olson, Woycik
`1-20
`3
`§ 103 Tengler
`1-20
`1
`§ 103 Woycik
`1-4, 7-28, 31-44
`2
`§ 103 Tengler
`1-4, 7-28, 31-44
`
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`23
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`

`

`Woycik Discloses a Web Based Point of Sale (POS) Builder System
`
`A web server (e.g.,
`central server 22)
`communicates with
`POS terminals (e.g.,
`kiosks 16) over the
`internet
`
`Woycik Figure 1
`
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`24
`
`’640 Reply at 12
`’012 Reply at 8
`’793 Reply at 9
`
`

`

`Woycik Discloses a Web Based Point of Sale (POS) Builder System
`
`POS Builder Software
`(e.g., web admin tool
`104) can be installed on
`the web server
`
`Woycik Figure 3
`
`DEMONSTRATIVE EXHIBIT – NOT EVIDENCE
`
`’640 POR at 32, ’640 PO Sur Reply at 14
`’012 POR at 29, ’012 PO Sur Reply at 14
`’793 POR at 32-33, ’793 PO Sur Reply at 20
`
`25
`
`

`

`Woycik Discloses a Web Based Point of Sale (POS) Builder System
`
`A POS Builder Interface
`(e.g., 20) operates the
`POS Builder Software
`on the web server
`
`Woycik Figure 1,3
`
`DEMONSTRATIVE EXHIBIT – NOT EVIDENCE
`
`’640 POR at 32, ’640 PO Sur Reply at 14
`’012 POR at 29, ’012 PO Sur Reply at 14
`’793 POR at 32-33, ’793 PO Sur Reply at 20
`
`26
`
`

`

`Woycik | Disputed Issues
`
`U.S. 9,400,640
`
`1. A web-based point of sale (POS) builder
`system comprising:
`one or more point of sale terminals, that
`display POS screens,
`an internet connection from said one or
`more point of sale terminals to a web
`server,
`one or more local or remote PC
`workstations, and
`point of sale builder software that runs on
`said web server, wherein said local or
`remote workstations are utilized to build or
`edit said POS terminals in real time, from
`anywhere in the world and over the
`worldwide web,
`wherein said web servers are provided as a
`vendor subscription service wherein web server
`software resides and is hosted on said vendor’s
`remote servers and wherein subscriber’s
`company’s POS terminals access and
`repeatedly interact with said web server
`software from said vendor’s remote servers, in
`order to perform the subscriber’s desired
`terminal function over a network, wherein the
`network comprises the Internet.
`
`U.S. 10,083,012
`
`1. A web-based point of sale (POS) builder
`system comprising:
`a web server including POS builder software
`installed thereon;
`one or more POS terminals generated by said
` POS builder software and said one or more
` POS terminals configured to be accessible
` at one or more terminal devices, said POS
` terminals configured to accept POS
` transactions and collect corresponding
` transaction data; and
`a POS builder interface configured to be
`accessible via network communication with
`said web server over a communications
`network;
`wherein said POS builder interface is
`configured to be utilized to access said
`POS builder software for programmatically
`creating or modifying said one or more POS
`terminals in real time over the
`communications network, wherein said
`POS builder software is configured to
`interact with said one or more POS
`terminals over the communications network
`in order for the web-based point of sale
`(POS) builder system to perform functions
`in accordance with instructions sent from
`the POS builder interface;
`wherein said POS transactions and
` corresponding transaction data from said
` one or more POS terminals are configured
` to be transmitted to said web server via the
` communications network; and
`wherein each POS transaction is correlated
` with corresponding transaction data
` occurring at said one or more POS
` terminals.
`
`DEMONSTRATIVE EXHIBIT – NOT EVIDENCE
`
`U.S. 11,226,793
`
`1. A web-based point of sale (POS) builder system
`comprising:
`at least one server configured to:
`communicate with one or more POS terminals over
`a network comprising the Internet, wherein the
`one or more POS terminals are configured to
`display one or more POS screens;
` receive, over the network from a POS builder
` interface, information used for creating or
` modifying the one or more POS screens
` including creating or modifying one or more
` display interfaces for display on the one or more
` POS screens, the one or more display interfaces
` being associated with one or more items;
`receive, from at least one of the one or more POS
`terminals over the network, further information
`regarding one or more POS transactions
`corresponding to the one or more items;
`configure the one or more POS terminals with the
`information over the network to create or modify
`based on the further information regarding one
`or more POS transactions the one or more POS
`screens displayed on the one or more POS
`terminals; and
` wherein the further information regarding the one
` or more POS transactions, the information used
` for creating or modifying the one or more POS
` screens, or a combination thereof comprises
` one or more of employee clock information,
` customer add/update information, item
` add/update information, promotion information,
` loyalty point information, discount information,
` taxation information, item cost information, or
` inventory information;
` wherein said further information regarding the one
` or more POS transactions relate to one or more
` transactions by corresponding customers
` respectively associated with at least one of said
` one or more POS terminals.
`
`27
`
`

`

`Woycik | Patent Owner’s Arguments are Not Tied To Claim Limitations
`
`U.S. 9,400,640
`
`1. A web-based point of sale (POS) builder
`system comprising:
`one or more point of sale terminals, that
`display POS screens,
`an internet connection from said one or
`more point of sale terminals to a web
`server,
`one or more local or remote PC
`workstations, and
`point of sale builder software that runs on
`said web server, wherein said local or
`remote workstations are utilized to build or
`edit said POS terminals in real time, from
`anywhere in the world and over the
`worldwide web,
`wherein said web servers are provided as a
`vendor subscription service wherein web server
`software resides and is hosted on said vendor’s
`remote servers and wherein subscriber’s
`company’s POS terminals access and
`repeatedly interact with said web server
`software from said vendor’s remote servers, in
`order to perform the subscriber’s desired
`terminal function over a network, wherein the
`network comprises the Internet.
`
`See also ’012 Patent at Claim 1
`See also ’793 Patent at Claim 1
`
`Patent Owner Does Not Dispute That:
`
`• The Kiosks (16, 30, 36) are point of sale
`terminals with POS screens [’640 POR at
`31].
`
`• The central server (22) is a web server
`that connects to 16 through the internet
`[’640 POR at 37].
`
`• The administrative tool is POS builder
`software that may be loaded on remote
`computers and remotely run [’640 POR at
`33].
`
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`28
`
`

`

`Patent Owner’s Arguments Are Not Tied to What the Claims Require
`
`U.S. 9,400,640
`
`1. A web-based point of sale (POS) builder
`system comprising:
`one or more point of sale terminals, that
`display POS screens,
`an internet connection from said one or
`more point of sale terminals to a web
`server,
`one or more local or remote PC
`workstations, and
`point of sale builder software that runs on
`said web server, wherein said local or
`remote workstations are utilized to build or
`edit said POS terminals in real time, from
`anywhere in the world and over the
`worldwide web,
`wherein said web servers are provided as a
`vendor subscription service wherein web server
`software resides and is hosted on said vendor’s
`remote servers and wherein subscriber’s
`company’s POS terminals access and
`repeatedly interact with said web server
`software from said vendor’s remote servers, in
`order to perform the subscriber’s desired
`terminal function over a network, wherein the
`network comprises the Internet.
`
`Patent Owner Argues that:
`
`1. Woycik requires a local
`administrative tool;
`2. Woycik requires an in-store
`server; and
`Patent Owner is wrong on both
`counts.
`
`’640 POR at 33, ’640 PO Sur Reply at 9
`’012 POR at 16-17, ’012 PO Sur Reply at 4, 9
`’793 POR at 20-22, ’793 PO Sur Reply at 12, 19
`
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`29
`
`

`

`Patent Owner’s Arguments Are Not Tied to What the Claims Require
`
`U.S. 9,400,640
`
`1. A web-based point of sale (POS) builder
`system comprising:
`one or more point of sale terminals, that
`display POS screens,
`an internet connection from said one or
`more point of sale terminals to a web
`server,
`one or more local or remote PC
`workstations, and
`point of sale builder software that runs on
`said web server, wherein said local or
`remote workstations are utilized to build or
`edit said POS terminals in real time, from
`anywhere in the world and over the
`worldwide web,
`wherein said web servers are provided as a
`vendor subscription service wherein web server
`software resides and is hosted on said vendor’s
`remote servers and wherein subscriber’s
`company’s POS terminals access and
`repeatedly interact with said web server
`software from said vendor’s remote servers, in
`order to perform the subscriber’s desired
`terminal function over a network, wherein the
`network comprises the Internet.
`
`Patent Owner Argues that:
`
`1. Woycik requires a local
`administrative tool;
`2. Woycik requires an in-store
`server; and
`Patent Owner is wrong on both
`counts.
`
`’640 POR at 33, ’640 PO Sur Reply at 9
`’012 POR at 16-17, ’012 PO Sur Reply at 4, 9
`’793 POR at 20-22, ’793 PO Sur Reply at 12, 19
`
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`30
`
`

`

`Woycik Does Not Require a Local Administrative Tool
`
`• Woycik discloses locating the administrative tool in a
`variety of places.
`
`DEMONSTRATIVE EXHIBIT – NOT EVIDENCE
`
`’640 Petition at 46.
`
`‘
`
`31
`
`

`

`Woycik Does Not Require a Local Administrative Tool
`
`Petitioner relies on Woycik’s
`“second approach” in which
`the administrative tool is
`loaded on central server 22.
`
`DEMONSTRATIVE EXHIBIT – NOT EVIDENCE
`
`32
`
`’640 Petition at 43; ’640 Reply at 11-12..
`
`

`

`Patent Owner’s Arguments Are Not Tied to What the Claims Require
`
`U.S. 9,400,640
`
`1. A web-based point of sale (POS) builder
`system comprising:
`one or more point of sale terminals, that
`display POS screens,
`an internet connection from said one or
`more point of sale terminals to a web
`server,
`one or more local or remote PC
`workstations, and
`point of sale builder software that runs on
`said web server, wherein said local or
`remote workstations are utilized to build or
`edit said POS terminals in real time, from
`anywhere in the world and over the
`worldwide web,
`wherein said web servers are provided as a
`vendor subscription service wherein web server
`software resides and is hosted on said vendor’s
`remote servers and wherein subscriber’s
`company’s POS terminals access and
`repeatedly interact with said web server
`software from said vendor’s remote servers, in
`order to perform the subscriber’s desired
`terminal function over a network, wherein the
`network comprises the Internet.
`
`Patent Owner Argues that:
`
`1. Woycik requires a local
`administrative tool;
`2. Woycik requires an in-store
`server; and
`Patent Owner is wrong on both
`counts.
`
`’640 POR at 33, ’640 PO Sur Reply at 9
`’012 POR at 16-17, ’012 PO Sur Reply at 4, 9
`’793 POR at 20-22, ’793 PO Sur Reply at 12, 19
`
`DEMONSTRATIVE EXHIBIT – NOT EVIDENCE
`
`33
`
`

`

`Patent Owner’s Arguments Are Not Tied to What the Claims Require
`
`U.S. 9,400,640
`
`1. A web-based point of sale (POS) builder
`system comprising:
`one or more point of sale terminals, that
`display POS screens,
`an internet connection from said one or
`more point of sale terminals to a web
`server,
`one or more local or remote PC
`workstations, and
`point of sale builder software that runs on
`said web server, wherein said local or
`remote workstations are utilized to build or
`edit said POS terminals in real time, from
`anywhere in the world and over the
`worldwide web,
`wherein said web servers are provided as a
`vendor subscription service wherein web server
`software resides and is hosted on said vendor’s
`remote servers and wherein subscriber’s
`company’s POS terminals access and
`repeatedly interact with said web server
`software from said vendor’s remote servers, in
`order to perform the subscriber’s desired
`terminal function over a network, wherein the
`network comprises the Internet.
`
`• Claims recite a “web server” with POS
`builder software that runs thereon.
`
`• Woycik discloses a remote web
`server.
`
`• Woycik discloses POS builder
`software on the remote web server.
`
`• Woycik discloses what the claim
`requires.
`
`DEMONSTRATIVE EXHIBIT – NOT EVIDENCE
`
`34
`
`

`

`Patent Owner Does Not Address Petitioner’s Mapping of POS
`Terminals and Web Server
`
`Patent Owner criticizes
`“local server 16” as a web
`server and Kiosk 30/80 as a
`POS terminal.
`
`But Petitioner argued that
`central server 22 is the
`claimed web server, and
`kiosk 16 is the POS
`Terminal of the challenged
`claims.
`
`Woycik Figure 1
`
`DEMONSTRATIVE EXHIBIT – NOT EVIDENCE
`
`’640 POR at 33-34
`’012 POR at 18
`’793 POR at 37
`
`35
`
`

`

`Woycik Does Not Require an In-Store Server
`
`Woycik’s kiosk 16/82 is a personal computer
`
`Woycik Figure 3
`
`Woycik Figure 2
`
`DEMONSTRATIVE EXHIBIT – NOT EVIDENCE
`
`’640 Sur Reply at 4
`’012 Sur Reply at 3-4
`’793 Sur Reply at 10-11
`
`36
`
`

`

`Woycik Does Not Require an In-Store Server
`
`Stephen Gray
`Lightspeed Expert
`
`DEMONSTRATIVE EXHIBIT – NOT EVIDENCE
`
`37
`
`‘640 Ex. 1002 (Gray Declaration), ¶ 151
`
`

`

`The Architecture of Woycik and the Common Specification are Similar
`
`• The challenged patents disclose a POS terminal (personal
`computer) with a “java POS” application and local database
`
`DEMONSTRATIVE EXHIBIT – NOT EVIDENCE
`
`38
`
`’640 Patent Fig. 3
`’640 Patent at 3:37-41
`
`

`

`Patent Owner’s Argument That Woycik Does Not Teach a Vendor
`Subscription Argument Fails
`
`U.S. 9,400,640
`
`1. A web-based point of sale (POS) builder
`system comprising:
`one or more point of sale terminals, that
`display POS screens,
`an internet connection from said one or
`more point of sale terminals to a web
`server,
`one or more local or remote PC
`workstations, and
`point of sale builder software that runs on
`said web server, wherein said local or
`remote workstations are utilized to build or
`edit said POS terminals in real time, from
`anywhere in the world and over the
`worldwide web,
`wherein said web servers are provided as a
`vendor subscription service wherein web server
`software resides and is hosted on said vendor’s
`remote servers and wherein subscriber’s
`company’s POS terminals access and
`repeatedly interact with said web server
`software from said vendor’s remote servers, in
`order to perform the subscriber’s desired
`terminal function over a network, wherein the
`network comprises the Internet.
`
`Patent Owner’s POR rehashed its
`pre-institution arguments regarding
`vendor subscription service.
`
`Institution Decision at 15
`
`DEMONSTRATIVE EXHIBIT – NOT EVIDENCE
`
`39
`
`

`

`Woycik Discloses and Suggests a “Vendor Subscription Service”
`
`• A POSITA would have been motivated to provide a central
`server as a subscription service for franchises
`
`Woycik at [0122]
`’640 Petition at 47, ’640 Reply at 19
`
`DEMONSTRATIVE EXHIBIT – NOT EVIDENCE
`
`40
`
`

`

`Woycik Discloses and Suggests a “Vendor Subscription Service”
`
`• Patent Owner’s Sur-Reply fails to address the
`reasons why a POSITA would have been motivated
`to provide the central server as a subscription
`service:
`
`• A central server would minimize costs and IT complexity
`
`• Franchisees often pay subscription fees for franchise-
`related hardware, software and services including
`technology services (including POS terminals)
`
`Stephen Gray
`Lightspeed Expert
`
`• Providing hardware and/or software as a vendor
`subscription was a known business model
`
`• A POSITA would have had a reasonable expectation of
`success and motivation for offering Woycik’s remote
`servers as a subscription service.
`Gray Dec, Ex 1002, ’640 Petition at 47-48
`
`DEMONSTRATIVE EXHIBIT – NOT EVIDENCE
`
`41
`
`

`

`Patent Owner Does Not Meaningfully Dispute that Woycik is Web
`Based
`
`• PO admits that “the administrative tool may be loaded on
`Remote Computers”
`
`DEMONSTRATIVE EXHIBIT – NOT EVIDENCE
`
`’640 POR at 32
`’012 POR at 18
`’793 POR at 23
`
`42
`
`

`

`Patent Owner Conflates “POS Builder Interface” with “POS Builder
`Software.”
`
`U.S. 10,083,012
`
`1. A web-based point of sale (POS) builder
`system comprising:
`a web server including POS builder software
` installed thereon;
`one or more POS terminals generated by said
` POS builder software and said one or more
` POS terminals configured to be accessible
` at one or more terminal devices, said POS
` terminals configured to accept POS
` transactions and collect corresponding
` transaction data; and
`a POS builder interface configured to be
`accessible via network communication with
`said web server over a communications
`network;
`wherein said POS builder interface is
` configured to be utilized to access said
` POS builder software for programmatically
` creating or modifying said one or more POS
` terminals in real time over the
` communications network, wherein said
` POS builder software is configured to
` interact with said one or more POS
` terminals over the communications network
` in order for the web-based point of sale
` (POS) builder system to perform functions
` in accordance with instructions sent from
` the POS builder interface;
`wherein said POS transactions and
` corresponding transaction data from said
` one or more POS terminals are configured
` to be transmitted to said web server via the
` communications network; and
`wherein each POS transaction is correlated
` with corresponding transaction data
` occurring at said one or more POS
` terminals.
`
`• PO contends that claim limitation 1[d]
`(highlighted) prohibits POS builder
`software from being installed on the
`web server of limitation 1[a]
`highlighted.
`
`• Claim 1[d] does not require the POS
`builder software to communicate with
`the web server over a network, as PO
`suggests.
`
`DEMONSTRATIVE EXHIBIT – NOT EVIDENCE
`
`’012 Reply at 13-14
`
`43
`
`

`

`Woycik Does Not Require a Local Administrator Tool
`
`Figure 25, Paragraph [0122]
`describe a POS Builder
`System without a Local
`Administrator Tool
`
`DEMONSTRATIVE EXHIBIT – NOT EVIDENCE
`
`44
`
`

`

`Woycik + Manno
`’640 patent
`
`DEMONSTRATIVE EXHIBIT – NOT EVIDENCE
`
`45
`
`

`

`Overview of the Grounds
`
`Patent
`U.S. 9,400,640
`
`U.S. 10,083,012
`
`U.S. 11,226,793
`
`Ground Basis References
`1
`§ 103 Manno
`2
`§ 103 Woycik
`3
`§ 103 Woycik, Manno
`4
`§ 103 Olson, Woycik
`1
`§ 103 Woycik
`2
`§ 103 Olson, Woycik
`3
`§ 103 Tengler
`1
`§ 103 Woycik
`2
`§ 103 Tengler
`
`Challenged Claims
`1-28
`1-28
`1-28
`1-28
`1-20
`1-20
`1-20
`1-4, 7-28, 31-44
`1-4, 7-28, 31-44
`
`DEMONSTRATIVE EXHIBIT – NOT EVIDENCE
`
`46
`
`

`

`Patent Owner Does Not Rebut Petitioner’s Motivation To Combine
`Arguments
`
`Gray, Stephen
`Lightspeed Expert
`
`DEMONSTRATIVE EXHIBIT – NOT EVIDENCE
`
`47
`
`Gray Declaration, ’640 Petition, Ex. 1002
`
`

`

`Olson + Woycik
`’640 and ’012 patent
`
`DEMONSTRATIVE EXHIBIT – NOT EVIDENCE
`
`48
`
`

`

`Overview of the Grounds
`
`Patent
`U.S. 9,400,640
`
`U.S. 10,083,012
`
`U.S. 11,226,793
`
`Challenged Claims
`Ground Basis References
`1-28
`1
`§ 103 Manno
`1-28
`2
`§ 103 Woycik
`3
`§ 103 Woycik, Manno 1-28
`4
`§ 103 Olson, Woycik
`1-28
`1
`§ 103 Woycik
`1-20
`2
`§ 103 Olson, Woycik
`1-20
`3
`§ 103 Tengler
`1-20
`1
`§ 103 Woycik
`1-4, 7-28, 31-44
`2
`§ 103 Tengler
`1-4, 7-28, 31-44
`
`DEMONSTRATIVE EXHIBIT – NOT EVIDENCE
`
`49
`
`

`

`Olson Discloses a Web Based Point of Sale (POS) System
`
`Olson Figure 4
`
`DEMONSTRATIVE EXHIBIT – NOT EVIDENCE
`
`EX. 1006, Olson at FIG. 4.
`
`50
`
`

`

`Olson is Prior Art
`
`• It is uncontested that Olson is a published application “by
`another” that predate