Case 2:20-cv-00029-JRG Document 1 Filed 02/05/20 Page 1 of 14 PageID #: 1
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`IN THE UNITED STATES DISTRICT COURT
`FOR THE EASTERN DISTRICT OF TEXAS
`MARSHALL DIVISION
`
`VARTA MICROBATTERY GMBH,
`
`Plaintiff,
`
`Civil Action No. ___________
`
`v.
`
`JURY TRIAL DEMANDED
`
`SAMSUNG ELECTRONICS AMERICA,
`INC.,
`
`Defendant.
`
`COMPLAINT FOR PATENT INFRINGEMENT
`
`Plaintiff VARTA Microbattery GmbH (“VARTA”) files this Complaint for Patent
`
`Infringement of United States Patent Nos. 9,153,835; 9,496,581; and 9,799,913 (collectively “the
`
`Patents-in-Suit”) against Defendant Samsung Electronics America, Inc. (“SEA”) and alleges as
`
`follows:
`
`PARTIES
`
`1.
`
`VARTA is a German limited liability company headquartered at VARTA-Platz 1,
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`73479 Ellwangen, Baden-Württemberg, Germany.
`
`2.
`
`SEA is a corporation organized under the laws of the State of New York with a
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`principal place of business at 85 Challenger Road, Ridgefield Park, New Jersey, 07660. Upon
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`information and belief, SEA has a regular and established place of business in Texas at its
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`campus located at 6625 Excellence Way, Plano, Texas, 75023, and can be served with process in
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`Texas through its registered agent, CT Corporation System, 1999 Bryan St., Suite 900, Dallas,
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`Texas 75201-3136.
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`1
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`VARTA Ex. 2014 Page 1 of 14
`EVE Energy v. VARTA
`IPR2022-01484
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`JURISDICTION AND VENUE
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`3.
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`This is an action for patent infringement arising under the patent laws of the
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`United States, 35 U.S.C. et seq. This Court has subject matter jurisdiction over this action
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`pursuant to 28 U.S.C. §§ 1331 and 1338(a).
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`4.
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`This Court has personal jurisdiction over SEA in this action because SEA has and
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`continues to commit infringing acts within the Eastern District of Texas and has established
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`minimum contacts with this District such that exercise of jurisdiction would not offend
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`traditional notions of fair play and substantial justice.
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`5.
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`SEA sells and offers for sale in the State of Texas and/or imports into the State of
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`Texas the infringing products, including by placing such products into the stream of commerce
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`through established distribution channels including retail stores and internet sites with the
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`knowledge and understanding that such products will be sold throughout the State of Texas
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`including in this District. SEA has purposefully availed itself of the privileges of conducting
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`business in the State of Texas, including by deriving substantial revenues from importing and
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`selling the infringing products and by maintaining a registered agent in Texas, CT Corporation
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`System, 1999 Bryan St., Ste. 900 Dallas, Texas 75201-3136.
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`6.
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`This Court has general jurisdiction over SEA due to its continuous and systematic
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`contacts with the State of Texas and this District, including by maintaining a continuous physical
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`presence in this District at its campus at 6625 Excellence Way, Plano, Texas, 75023; by
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`maintaining CT Corporation System, 1999 Bryan St., Ste. 900 Dallas, Texas 75201-3136, as a
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`registered agent for service of process; and by conducting continuous and substantial business in
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`the State of Texas from which SEA has derived significant revenue.
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`7.
`
`Venue is proper in the Eastern District of Texas pursuant to 28 U.S.C. § 1400(b)
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`because SEA has committed and continues to commit acts of infringement by selling and
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`offering to sell in and/or importing into this District the infringing products and because SEA has
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`a regular and established place of business in this District at 6625 Excellence Way, Plano, Texas,
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`75023.
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`BACKGROUND
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`8.
`
`VARTA is a leading manufacturer of microbatteries, which include button cells
`
`and coin cells due to their small form factor and low height. Applications for VARTA
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`microbatteries include, for example, watches, hearing aids, and wearable cordless devices such
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`as wireless earphones.
`
`9.
`
`In the mid-to-late 2000’s, VARTA undertook efforts to design and develop a
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`novel and proprietary microbattery technology with excellent mechanical strength
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`characteristics, increased power density, and better space utilization.
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`10.
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`VARTA’s novel and proprietary design includes an electrode-separator assembly
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`located between a housing cup and a housing top that includes at least one positive electrode and
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`at least one negative electrode separated by a separator. The electrodes and the separator may be
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`formed from flat layers that may be laminated or bonded together. The assembly is wound into a
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`spiral winding and located in the housing so that the electrodes are disposed at essentially right
`
`angles to the flat bottom and top areas.
`
`11.
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`Figures 3b and 4 of the Patents-in-Suit illustrate an example of an embodiment of
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`the invention. The electrodes 407 of one polarity (highlighted in green) and the electrodes 408
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`of the other polarity (highlighted in red) are wound in a spiral configuration (shown generally in
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`FIG. 3b). The electrodes 407, 408 may be separated from each other by separator layers 405,
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`406 of non-conductive material.
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`3
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`12.
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`The lower housing cup and the upper housing top are fitted together to form a
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`housing about the electrode-separator assembly.
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`13.
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`Electrical contact between the electrode-separator assembly and the flat top and/or
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`bottom areas may occur through an output conductor comprising a piece of foil resting between
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`the spiral winding and the flat top and/or bottom areas.
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`14.
`
`VARTA sells and offers for sale its patented microbatteries in the United States
`
`and worldwide inter alia under the trademark CoinPower®.
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`THE PATENTS IN SUIT
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`15.
`
`VARTA spent a great deal of time, effort, and expense in the research and
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`development that lead to the CoinPower® microbatteries. Because of their outstanding
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`performance, the CoinPower® microbatteries have been highly successful and well accepted by
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`the market across the world. In recognition of the break-through nature of its invention, VARTA
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`was granted an international patent portfolio covering various aspects of the CoinPower®
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`microbatteries, including a number of patents in the United States, with additional patent
`
`applications still pending in the United States Patent and Trademark Office.
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`4
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`16.
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`On October 6, 2015, the United States Patent and Trademark Office duly and
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`legally issued United States Patent No. 9,153,835 (“the ’835 Patent”), entitled “Button Cells and
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`Method for Producing Same” to the listed inventors Eduard Pytlik, Jürgen Lindner, Ulrich
`
`Barenthin, and Winfried Gaugler, all of Ellwangen, Germany. VARTA is the assignee and
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`owner of all right, title, and interest in the ’835 Patent, including the right to sue for and recover
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`all past, present, and future damages and to seek injunctive relief for infringement of the ’835
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`Patent. A true and correct copy of the ’835 Patent is attached hereto as Exhibit A.
`
`17.
`
`On November 15, 2016, the United States Patent and Trademark Office duly and
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`legally issued United States Patent No. 9,496,581 (“the ’581 Patent”), entitled “Button Cells and
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`Method of Producing Same” to the listed inventors Eduard Pytlik, Jürgen Lindner, Ulrich
`
`Barenthin, and Winfried Gaugler, all of Ellwangen, Germany. VARTA is the assignee and
`
`owner of all right, title, and interest in the ’581 Patent, including the right to sue for and recover
`
`all past, present, and future damages and to seek injunctive relief for infringement of the ’581
`
`Patent. A true and correct copy of the ’581 Patent is attached hereto as Exhibit B.
`
`18.
`
`On October 24, 2017, the United States Patent and Trademark Office duly and
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`legally issued United States Patent No. 9,799,913 (“the ’913 Patent”), entitled “Button Cells and
`
`Method of Producing Same” to the listed inventors Eduard Pytlik, Jürgen Lindner, Ulrich
`
`Barenthin, and Winfried Gaugler, all of Ellwangen, Germany. VARTA is the assignee and
`
`owner of all right, title, and interest in the ’913 Patent, including the right to sue for and recover
`
`all past, present, and future damages and to seek injunctive relief for infringement of the ’913
`
`Patent. A true and correct copy of the ’913 Patent is attached hereto as Exhibit C.
`
`19.
`
`The ’835 Patent, ’581 Patent, and ’913 Patent each claim priority to International
`
`Patent Application PCT/EP2010/000787 filed on February 9, 2010 on behalf of VARTA, which
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`in turn claims priority to three applications filed in Germany: Application DE No. 10 2009 008
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`859 filed February 9, 2009, Application No. DE 10 2009 030 359 filed June 18, 2009, and DE
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`Application No. 10 2009 060 788 filed December 22, 2009.
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`THE INFRINGING PRODUCTS
`
`20.
`
`On information and belief, SEA sells and offers for sale in the United States
`
`and/or imports into the United States infringing products contained in, for example, wireless
`
`earphones bearing the product number SM-R170 and marketed under the tradename Galaxy
`
`Buds®.
`
`21. Wireless earphones, also referred to as earbuds, are small audio electronic devices
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`that are worn close to or inserted into the ear and can reproduce audible sounds including music
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`and voice transmissions via a small speaker that converts an electrical signal to a soundwave.
`
`22.
`
`The wireless earphones connect with a base unit, such as a mobile phone or a
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`personal computer with an audio player that stores audio files, using Bluetooth or other wireless
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`connectivity for the transmission of information via short range radio waves. As such, wireless
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`earphones do not require cords or cables to connect with the base unit.
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`23.
`
`Because of the wireless connectivity between the wireless earphones and the base
`
`unit, and hence the lack of a wired connection, wireless earphones require a power source such
`
`as a rechargeable battery.
`
`24.
`
`The Galaxy Buds® include a rechargeable lithium-ion battery, including but not
`
`limited to batteries obtained from EVE Energy of China bearing the part number ICR 1254. A
`
`copy of the product specification for the ICR 1254 battery obtained from EVE Energy’s website
`
`is attached hereto at Exhibit D (Source: http://en.evebattery.com/product/58.html).
`
`25.
`
`The ICR 1254 battery includes a housing cup with a flat bottom area and a
`
`housing top with a flat top area as shown below.
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`6
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`26.
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`The ICR 1254 battery includes an electrode-separator assembly within the
`
`housing having a positive electrode and a negative electrode in the form of flat layers connected
`
`to and separated by a flat separator.
`
`27.
`
`The electrode-separator assembly of the ICR 1254 battery is in the form of a
`
`spiral winding with end faces facing in the axial direction relative to the flat bottom area and the
`
`flat top area so that the electrodes are aligned essentially at right angles to the flat bottom area
`
`and the flat top area when the housing cup and housing top are closed.
`
`28.
`
`SEA, without license or authorization, has sold and offered to sell and continues
`
`to sell and offers to sell in the United States and/or imports into the United States infringing
`
`products including the Galaxy Buds® wireless earphones with at least the ICR 1254 batteries.
`
`29.
`
`SEA has infringed and continues to infringe by selling and offering to sell in the
`
`United States and/or importing into the United States infringing products including, for example,
`
`the Galaxy Buds® wireless earphones with at least the ICR 1254 batteries.
`
`COUNT I: INFRINGEMENT OF THE ’835 PATENT
`
`30.
`
`VARTA incorporates and re-alleges the allegations in the preceding paragraphs of
`
`its Complaint as if fully set forth herein.
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`31.
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`On information and belief, SEA has infringed and continues to infringe at least
`
`claim 1 of the ’835 Patent under 35 U.S.C. § 271(a) by selling in, offering to sell in, and/or
`
`importing into the United States infringing products including, for example, Galaxy Buds®
`
`wireless earphones with at least the ICR 1254 battery.
`
`32. More particularly, the ICR 1254 batteries included with the Galaxy Buds®
`
`wireless earphones have a housing cup and a housing top separated from one another by an
`
`electrically insulating seal to form a housing with a flat bottom area and a flat top area.
`
`33.
`
`The ICR 1254 batteries included with the Galaxy Buds® wireless earphones have
`
`an electrode-separator assembly within the housing with a positive and a negative electrode in
`
`the form of flat layers and that are connected to one another by a flat separator.
`
`34.
`
`The ICR 1254 batteries included with the Galaxy Buds® wireless earphones have
`
`an electrode-separator assembly where the electrode layers are aligned essentially at right angles
`
`to the flat bottom area and the flat top area and the housing cap and the housing top are closed
`
`without being beaded over.
`
`35.
`
`The ICR 1254 batteries included with the Galaxy Buds® wireless earphones have
`
`an electrode-separator assembly in the form of a spiral winding with end faces facing in the axial
`
`direction relative to the flat bottom area and the flat top area.
`
`36.
`
`The ICR 1254 batteries included with the Galaxy Buds® wireless earphones have
`
`an insulator arranged between the end faces of the spiral winding and the housing cup and the
`
`housing top.
`
`37.
`
`On information and belief, SEA has infringed and continues to infringe at least
`
`claim 10 of the ’835 Patent under 35 U.S.C. § 271(g) by importing into and/or selling in the
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`8
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`United States Galaxy Buds® wireless earphones with at least the ICR 1254 battery which is made
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`by a process that involves each and every step set forth in at least claim 10.
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`38.
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`On information and belief, the ICR 1254 batteries are produced by inserting an
`
`electrode-separator assembly with electrodes in the form of a flat layer into the housing such that
`
`the electrode layers are aligned essentially at right angles to the flat bottom and top areas.
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`39.
`
`SEA is not and has never been licensed or authorized to commit the acts described
`
`above with respect to any claim of the ’835 Patent.
`
`40.
`
`As a result of SEA’s infringement of the ’835 Patent, VARTA has suffered and
`
`continues to suffer damages, in an amount to be determined, of at least a reasonable royalty
`
`and/or lost profits due to lost sales, profits, and potential sales that VARTA would have made but
`
`for SEA’s infringing acts.
`
`41.
`
`VARTA has been, and will continue to be, damaged by SEA’s infringement of
`
`the ’835 Patent and will suffer irreparable injury unless the infringement is enjoined by this
`
`Court pursuant to 35 U.S.C. § 283 and/or the equitable powers of this Court.
`
`COUNT II: INFRINGEMENT OF THE ’581 PATENT
`
`42.
`
`VARTA incorporates and re-alleges the allegations in the preceding paragraphs of
`
`its Complaint as if fully set forth herein.
`
`43.
`
`On information and belief, SEA has infringed and continues to infringe at least
`
`claim 1 of the ’581 Patent under 35 U.S.C. § 271(a) by selling in, offering to sell in, and/or
`
`importing into the United States infringing products including, for example, Galaxy Buds®
`
`wireless earphones with at least the ICR 1254 battery.
`
`44. More particularly, the ICR 1254 batteries included with the Galaxy Buds®
`
`wireless earphones have a housing cup and a housing top separated from one another by an
`
`electrically insulating seal to form a housing with a flat bottom area and a flat top area.
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`9
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`45.
`
`The ICR 1254 batteries included with the Galaxy Buds® wireless earphones have
`
`an electrode-separator assembly within the housing with a positive and a negative electrode in
`
`the form of flat layers and that are connected to one another by a flat separator.
`
`46.
`
`The ICR 1254 batteries included with the Galaxy Buds® wireless earphones have
`
`an electrode-separator assembly where the electrode layers are aligned essentially at right angles
`
`to the flat bottom area and the flat top area.
`
`47.
`
`The ICR 1254 batteries included with the Galaxy Buds® wireless earphones have
`
`an electrode-separator assembly in the form of a spiral winding with end faces facing in the axial
`
`direction relative to the flat bottom area and the flat top area.
`
`48.
`
`The ICR 1254 batteries included with the Galaxy Buds® wireless earphones have
`
`one of the electrodes that connects to the flat bottom area or the flat top area via an output
`
`conductor comprising a foil resting flat between an end face of the spiral winding and the flat top
`
`or the flat bottom area to which it is connected.
`
`49.
`
`On information and belief, SEA has infringed and continues to infringe at least
`
`claim 10 of the ’581 Patent under 35 U.S.C. § 271(g) by importing into and/or selling in the
`
`United States Galaxy Buds® wireless earphones with at least the ICR 1254 battery which is made
`
`by a process that involves each and every step set forth in at least claim 10.
`
`50.
`
`On information and belief, the ICR 1254 batteries are produced with the
`
`electrode-separator inserted into the housing such that the electrodes are aligned at essentially
`
`right angles to the flat bottom area and the flat top area.
`
`51.
`
`SEA is not and has never been licensed or authorized to commit the acts described
`
`above with respect to any claim of the ’581 Patent.
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`10
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`52.
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`As a result of SEA’s infringement of the ’581 Patent, VARTA has suffered and
`
`continues to suffer damages, in an amount to be determined, of at least a reasonable royalty
`
`and/or lost profits due to lost sales, profits, and potential sales that VARTA would have made but
`
`for SEA’s infringing acts.
`
`53.
`
`VARTA has been, and will continue to be, damaged by SEA’s infringement of
`
`the ’581 Patent and will suffer irreparable injury unless the infringement is enjoined by this
`
`Court pursuant to 35 U.S.C. § 283 and/or the equitable powers of this Court
`
`COUNT III: INFRINGEMENT OF THE ’913 PATENT
`
`54.
`
`VARTA incorporates and re-alleges the allegations in the preceding paragraphs of
`
`its Complaint as if fully set forth herein.
`
`55.
`
`On information and belief, SEA has infringed and continues to infringe at least
`
`claims 1, 4, and 6 of the ’913 Patent under 35 U.S.C. § 271(a) by selling in, offering to sell in,
`
`and/or importing into the United States infringing products including, for example, Galaxy
`
`Buds® wireless earphones with at least the ICR 1254 battery.
`
`56. More particularly, the ICR 1254 batteries included with the Galaxy Buds®
`
`wireless earphones have a housing cup and a housing top separated from one another by an
`
`electrically insulating seal to form a housing with a flat bottom area and a flat top area.
`
`57.
`
`The ICR 1254 batteries included with the Galaxy Buds® wireless earphones have
`
`an electrode-separator assembly within the housing with a positive and a negative electrode in
`
`the form of flat layers and that are connected to one another by a flat separator.
`
`58.
`
`The ICR 1254 batteries included with the Galaxy Buds® wireless earphones have
`
`an electrode-separator assembly where the electrode layers are aligned essentially at right angles
`
`to the flat bottom area and the flat top area.
`
`11
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`59.
`
`The ICR 1254 batteries included with the Galaxy Buds® wireless earphones have
`
`an electrode-separator assembly in the form of a spiral winding with end faces facing in the axial
`
`direction relative to the flat bottom area and the flat top area.
`
`60.
`
`The ICR 1254 batteries included with the Galaxy Buds® wireless earphones have
`
`an electrode-separator assembly where at least one of the electrodes connects to the flat bottom
`
`area or flat top area by an output connector comprising a foil resting between the end faces of the
`
`spiral winding and the flat top or bottom areas.
`
`61.
`
`The ICR 1254 batteries included with the Galaxy Buds® wireless earphones have
`
`an insulator arranged between the end faces of the spiral winding and the housing cup and the
`
`housing top preventing direct mechanical and electrical contact.
`
`62.
`
`The ICR 1254 batteries included with the Galaxy Buds® wireless earphones have
`
`at least one flat layer composed of plastic preventing direct mechanical and electrical contact
`
`between the end faces of the winding and the flat bottom and flat top areas.
`
`63.
`
`SEA is not and has never been licensed or authorized to commit the acts described
`
`above with respect to any claim of the ’913 Patent.
`
`64.
`
`As a result of SEA’s infringement of the ’913 Patent, VARTA has suffered and
`
`continues to suffer damages, in an amount to be determined, of at least a reasonable royalty
`
`and/or lost profits due to lost sales, profits, and potential sales that VARTA would have made but
`
`for SEA’s infringing acts.
`
`65.
`
`VARTA has been, and will continue to be, damaged by SEA’s infringement of
`
`the ’913 Patent and will suffer irreparable injury unless the infringement is enjoined by this
`
`Court pursuant to 35 U.S.C. § 283 and/or the equitable powers of this Court.
`
`
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`PRAYER FOR RELIEF
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`WHEREFORE, VARTA prays as follows:
`
`A.
`
`A judgement declaring that SEA is liable for infringement of the ’835 Patent, the
`
`’581 Patent, and the ’913 Patent;
`
`B.
`
`An award to VARTA and against SEA of compensatory damages for
`
`infringement of the ’835 Patent, the ’581 Patent, and the ’913 Patent, together with all pre-
`
`judgment and post-judgment interest;
`
`C.
`
`Entry of a preliminary and/or permanent injunction against SEA pursuant to 35
`
`U.S.C. § 283 and/or the equitable powers of the Court to prevent further infringement of the ’835
`
`Patent, the ’581 Patent, and the ’913 Patent;
`
`D.
`
`A declaration that this is an exceptional case within the meaning of 35 U.S.C. §
`
`285 and an award to VARTA of its reasonable attorneys’ fees; and
`
`E.
`
`An award of any and all other relief as this Court may deem just and proper under
`
`the circumstances.
`
`JURY DEMAND
`
`Pursuant to Rule 38(B) of the Federal Rules of Civil Procedure, VARTA requests a trial
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`by jury on all triable issues.
`
`
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`Case 2:20-cv-00029-JRG Document 1 Filed 02/05/20 Page 14 of 14 PageID #: 14
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`Dated: February 5, 2020
`
`Respectfully submitted,
`
`/s/ Andrew W. Stinson
`H. Michael Hartmann (pro hac vice
`forthcoming)
`IL State Bar No. 1146130
`Wesley O. Mueller (pro hac vice forthcoming)
`IL State Bar No. 6199650
`Robert T. Wittmann (pro hac vice forthcoming)
`IL State Bar No. 6273264
`LEYDIG, VOIT & MAYER, LTD.
`Two Prudential Plaza
`180 North Stetson Avenue, Suite 4900
`Chicago, IL 60601
`312-616-5600
`312-616-5700 fax
`mhartmann@leydig.com
`wmueller@leydig.com
`bwittmann@leydig.com
`
`Andrew W. Stinson
`State Bar No. 24028013
`RAMEY & FLOCK, PC
`100 E. Ferguson Street, Suite 404
`Tyler, TX 75702
`903-597-3301
`903-597-2413 fax
`andys@rameyflock.com
`
`Attorneys for VARTA Microbattery GmbH
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