throbber
IN THE UNITED STATES DISTRICT COURT
`FOR THE WESTERN DISTRICT OF TEXAS
`WACO DIVISION
`
`INTELLECTUAL VENTURES II LLC,
`
`v.
`
`TESLA, INC.,
`
`Plaintiff,
`
`Defendant.
`
`)
`)
`)
`)
`)
`)
`)
`)
`)
`)
`
`C.A. No. 6:24-cv-00188
`
`JURY TRIAL DEMANDED
`
`COMPLAINT FOR PATENT INFRINGEMENT
`
`Plaintiff Intellectual Ventures II LLC (“Intellectual Ventures” or “Plaintiff”), in their
`
`Complaint of patent infringement against Defendant Tesla, Inc. (“Tesla” or “Defendant”), hereby
`
`alleges as follows:
`
`NOTICE OF RELATED CASE
`
`Intellectual Ventures respectfully informs the Court that the present case involves the
`
`infringement of multiple patents already in suit in the case styled as Intellectual Ventures I LLC,
`
`et al. v. Volvo Car Corporation, et al., Case No. 6:23-cv-00429-ADA (the “429 Case”) and the
`
`infringement of multiple patents related to the patents-in-suit in the 429 Case.
`
`Specifically, the following patents asserted in this litigation overlap with the patents
`
`asserted in the 429 Case: United States Patent No. 10,292,138 (“the ’138 Patent”) and United
`
`States Patent No. 9,232,158 (“the ’158 Patent”), (collectively “429 Related Patents”).
`
`In this case, Intellectual Ventures asserts two of the same patents that were previously filed
`
`in the Waco Division are currently being litigated in the 429 Case, although on a different set of
`
`infringing systems and methods, which will implicate overlapping questions of law and fact. The
`
`parties in the 429 Case are in the process of briefing claim construction in anticipation of the Court
`
`1
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`TESLA, INC.TESLA, INC.
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`in the Waco Division construing claims of each of the 429 Related Patents at a Markman hearing,
`
`currently set for May 24, 2024.
`
`NATURE OF THE ACTION
`
`1.
`
`This is a civil action for the infringement of United States Patent No. 7,336,805
`
`(“the ’805 Patent”), United States Patent No. 9,706,500 (“the ’500 Patent”), United States Patent
`
`No. 10,292,138 (“the ’138 Patent”), United States Patent No. 10,952,153 (“the ’153 Patent”),
`
`United States Patent No. 8,898,395 (“the ’395 Patent”), United States Patent No. 10,136,416 (“the
`
`’416 Patent”), United States Patent No. 7,916,180 (“the ’180 Patent”), United States Patent
`
`No. 9,232,158 (“the ’158 Patent”), United States Patent No. 7,181,743 (“the ’743 Patent”),
`
`U.S. Patent No. 6,894,639 (“the ’639 Patent”), United States Patent No. 11,206,670 (“the ’670
`
`Patent”), and United States Patent No. 11,664,889 (“the ’889 Patent”) (collectively, the “Patents-
`
`in-Suit”) under the Patent Laws of the United States, 35 U.S.C. § 1 et seq.
`
`THE PARTIES
`
`Intellectual Ventures
`
`2.
`
`Plaintiff Intellectual Ventures II LLC (“Intellectual Ventures II”) is a Delaware
`
`limited liability company having its principal place of business located at 3150 139th Avenue SE,
`
`Bellevue, Washington 98005.
`
`3.
`
`Intellectual Ventures II is the owner of all rights, title, and interest in and to the
`
`’805, ’500, ’138, ’153, ’395, ’416, ’180, ’158, ’639, ’670 and ’889 Patents.
`
`4.
`
`Intellectual Ventures II is the exclusive licensee of the ’743 Patent, and holds all
`
`substantial rights therein, including the right to grant licenses, to exclude others, and to enforce
`
`and recover past damages for infringement of the ’743 Patent.
`
`2
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`Tesla
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`5.
`
`Upon information and belief, Defendant Tesla, Inc. is a Delaware corporation with
`
`its principal place of business at 1 Tesla Road, Austin, Texas 78725. Tesla may be served with
`
`process through its registered agent, CT Corporation, at 1999 Bryan Street, Suite 900, Dallas,
`
`Texas 75201-3136. Tesla is registered to do business in the State of Texas and has been since at
`
`least 2011. On information and belief, Tesla does business in the State of Texas and the Western
`
`District of Texas.
`
`6.
`
`Upon information and belief, Tesla designs, develops, makes, manufactures, uses,
`
`distributes, imports, provides, markets, offers for sale, and/or sells in the State of Texas and the
`
`Western District of Texas automotive vehicles and components thereof (“Accused Products”) that
`
`infringe the Patents-in-Suit, contribute to the infringement by others, and/or induces others to
`
`commit acts of patent infringement in the State of Texas and the Western District of Texas in
`
`connection with the Accused Products.
`
`7.
`
`On information and belief, Tesla has derived substantial revenue from infringing
`
`acts in the Western District of Texas, including from the sale and use of the Accused Products as
`
`described in more detail below.
`
`JURISDICTION AND VENUE
`
`8.
`
`This is an action for patent infringement arising under the patent laws of the United
`
`States. This Court has subject matter jurisdiction pursuant to 28 U.S.C. §§ 1331 and 1338(a).
`
`9.
`
`This Court has personal jurisdiction over Tesla because Tesla conducts business in
`
`and has committed acts of patent infringement, contributed to infringement by others, and/or
`
`induced others to commit acts of patent infringement in this District, the State of Texas, and
`
`elsewhere in the United States and has established minimum contacts with this forum state such
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`3
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`that the exercise of jurisdiction over Tesla would not offend the traditional notions of fair play and
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`substantial justice. Upon information and belief, Tesla transacts substantial business with entities
`
`and individuals in the State of Texas and the Western District of Texas, by, among other things,
`
`importing, distributing, offering to sell, and selling products that infringe the Patents-in-Suit,
`
`including the infringing automotive vehicles and components thereof that Tesla purposefully
`
`directs into the State of Texas and this District as alleged herein, as well as by providing service
`
`and support to its customers in this District. Tesla places the accused automotive vehicles and
`
`components thereof into the stream of commerce with the knowledge and expectation that they
`
`will be sold in the State of Texas, including this District.
`
`10.
`
`Tesla is subject to this Court’s general and specific jurisdiction pursuant to due
`
`process and/or the Texas Long Arm Statute due at least to Tesla’s substantial business in the State
`
`of Texas and this District, including maintaining its principal place of business at 1 Tesla Road,
`
`Austin, Texas 78725, through its past infringing activities, because Tesla regularly does and
`
`solicits business herein, and/or because Tesla has engaged in persistent conduct and/or has derived
`
`substantial revenues from goods and services provided to customers in the State of Texas and this
`
`District
`
`11.
`
`Venue is proper in this District pursuant to 28 U.S.C. §§ 1391(b)-(c) and 1400(b).
`
`For example, venue is proper in this District under 28 U.S.C. § 1400(b) because Tesla maintains
`
`its principal place of business at 1 Tesla Road, Austin, Texas 78725 in this District, and has
`
`committed acts of patent infringement in this District and/or have contributed to or induced acts
`
`of patent infringement by others in this District. In addition to its corporate headquarters at 1 Tesla
`
`Road, Austin, Texas 78725, Tesla also maintains several permanent physical places within this
`
`District from which it conducts business relating to the Accused Products. For example, Tesla has
`
`4
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`stores and service centers in this District at least at the following locations: 500 E St Elmo Road,
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`Austin, Texas 78745; 12845 Research Boulevard, Austin, Texas 78759; 11600 Century Oaks
`
`Terrace, Suite 123, Austin, Texas 78758; 7825 Helen of Troy Drive, El Paso, Texas 79912; 5865
`
`E Hwy 290 Fredericksburg, Texas 78624; 23011 IH-10 West, San Antonio, Texas 78257; and
`
`8320-8434 Airport Boulevard, San Antonio, Texas 78216.
`
`12.
`
`Tesla is “at home” in this District, see Daimler AG v. Bauman, 571 U.S. 117, 127-
`
`30 (2014), because Tesla has admitted that its principal place of business is in this District. See
`
`Sare v. Tesla, Inc., et al., No. 2:22-cv-00547-JAM-CKD, 2022 WL 2817422, at *2 (E.D. Cal.
`
`July 19, 2022). (“Defendant contends that it officially moved its global headquarters from Palo
`
`Alto, California to Austin, Texas on December 1, 2021, over two months before this action was
`
`filed… Defendant has met its burden of demonstrating through competent evidence that at the time
`
`this suit was filed, Tesla’s principal place of business was in Austin, Texas, as that is where its
`
`high level officers directed, controlled, and coordinated the corporation’s activities”) (internal
`
`citations omitted). Tesla also manufactures the Accused Products within the Western District of
`
`Texas. For example, Tesla manufactures its Model Y cars and Cybertrucks at its Gigafactory Texas
`
`plant located at 1 Tesla Road, Austin, Texas 78725 in the Western District of Texas.1
`
`13.
`
`Tesla placed and/or contributed to placing the Accused Products into the stream of
`
`commerce knowing or understanding that such Accused Products would be imported into, sold,
`
`provided, distributed, and/or used in the United States, including in the Western District of Texas.
`
`14.
`
`The Austin Division is an appropriate venue for this case because, pursuant to Fed.
`
`R. Civ. P. 11(b)(3), Tesla has its headquarters in this division at 1 Tesla Road, Austin, TX 78725
`
`
`1 https://www.tesla.com/giga-texas (“Covering 2,500 acres along the Colorado River with over
`10 million square feet of factory floor, Gigafactory Texas is a U.S. manufacturing hub for Model
`Y and the home of Cybertruck.”) (last accessed April 10, 2024).
`
`5
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`and Tesla manufactures in this division the Accused Products, including the Model Y and
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`Cybertruck vehicles.
`
`15.
`
`Upon information and belief, in December 2022 and January 2023 Tesla filed plans
`
`with the Texas Department of Licensing and Regulation to begin construction in 2023 of six
`
`additional campuses in Austin, Texas.2 Tesla plans to spend more than $800 million to construct
`
`approximately 1.7 million square feet of additional space at these campuses.3
`
`FACTUAL BACKGROUND
`
`16.
`
`Intellectual Ventures Management, LLC (“Intellectual Ventures Management”)
`
`was founded in 2000. Since then, Intellectual Ventures Management has been involved in the
`
`business of inventing. Intellectual Ventures Management facilitates invention by inventors and the
`
`filing of patent applications for those inventions, collaboration with others to develop and patent
`
`inventions, and the acquisition and licensing of patents from individual inventors, universities,
`
`corporations, and other institutions. A significant aspect of Intellectual Ventures Management’s
`
`business is managing the Plaintiff in this case, Intellectual Ventures II.
`
`17.
`
`One of the founders of Intellectual Ventures Management is Nathan Myhrvold, who
`
`worked at Microsoft from 1986 until 2000 in a variety of executive positions, culminating in his
`
`appointment as the company’s first Chief Technology Officer (“CTO”) in 1996. While at
`
`Microsoft, Dr. Myhrvold founded Microsoft Research in 1991 and was one of the world’s foremost
`
`software experts. Between 1986 and 2000, Microsoft became the world’s largest technology
`
`company.
`
`
`2 https://austin.culturemap.com/news/city-life/tesla-s-austin-headquarters-files-for-800-million-
`campus-expansion/ (last accessed April 8, 2024).
`3 Id.
`
`6
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`18.
`
`Under Dr. Myhrvold’s leadership, Intellectual Ventures acquired more than 70,000
`
`patents covering many important inventions of the Internet era. Many of these inventions coincided
`
`with Dr. Myhrvold’s successful tenure at Microsoft.
`
`19.
`
`One of the most significant accomplishments of the Internet era is the emergence
`
`of wireless technologies for vehicles. Wireless connectivity systems in vehicles enable
`
`communication channels within vehicles as well as with other external networks. Intellectual
`
`Ventures’ Patents-In-Suit provide improvements to wireless communications used in vehicles.
`
`20.
`
`According to its Form 10-K for the year ending December 31, 2022, Tesla asserts:
`
`“We design, develop, manufacture, sell and lease high-performance fully electric vehicles and
`
`energy generation and storage systems, and offer services related to our products. We generally
`
`sell our products directly to customers, and continue to grow our customer-facing infrastructure
`
`through a global network of vehicle service centers, Mobile Service, body shops, Supercharger
`
`stations and Destination Chargers to accelerate the widespread adoption of our products.”4
`
`21.
`
`Tesla provides several types of wireless communication system solutions and
`
`services to its customers. Tesla’s product offerings include but are not limited to Standard
`
`Connectivity, Premium Connectivity, and infotainment systems, including connectivity features
`
`over Wi-Fi, maps and navigation and music streaming over Bluetooth®.5 With Premium
`
`Connectivity, users have access to all connectivity features over cellular, in addition to Wi-Fi.
`
`Tesla markets and sells these wireless communication system solutions and services in several
`
`Tesla models throughout the world, including in the United States and Texas, as shown below:
`
`
`4 https://www.sec.gov/Archives/edgar/data/1318605/000095017023001409/tsla-
`20221231.htm#business (Tesla, Inc. Form 10-K, p. 4) (last accessed April 10, 2024).
`5 https://www.tesla.com/support/connectivity (last accessed April 10, 2024).
`
`7
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`Ex. 1, https://www.tesla.com/support/connectivity (last accessed April 10, 2024).
`
`
`
`8
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`Ex. 1, https://www.tesla.com/support/connectivity (last accessed April 10, 2024).
`
`Ex. 1, https://www.tesla.com/support/connectivity (last accessed April 10, 2024).
`
`
`
`
`
`9
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`Ex. 1, https://www.tesla.com/support/connectivity (last accessed April 10, 2024).
`
`
`
`
`
`
`Ex. 2, https://www.tesla.com/ownersmanual/model3/en_us/GUID-F6E2CD5E-F226-4167-
`AC48-BD021D1FFDAB.html (last accessed April 10, 2024).
`
`
`
`10
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`
`
`Ex. 2, https://www.tesla.com/ownersmanual/model3/en_us/GUID-F6E2CD5E-F226-4167-
`AC48-BD021D1FFDAB.html (last accessed April 10, 2024).
`
`22.
`
`Tesla also provides an Autopilot feature that it describes as an advanced driver
`
`assistance system to enhance safety and convenience for the driver and to reduce the overall
`
`workload of the driver.6 Each new Tesla vehicle is equipped with multiple external cameras and
`
`powerful vision processing to provide an additional layer of safety. Tesla markets and sells these
`
`autopilot features in Tesla models throughout the world, including in the United States and Texas,
`
`as shown below:
`
`
`6 https://www.tesla.com/support/autopilot (last accessed April 10, 2024).
`
`11
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`Ex. 3, https://www.tesla.com/support/autopilot (last accessed April 10, 2024).
`
`Ex. 3, https://www.tesla.com/support/autopilot (last accessed April 10, 2024).
`
`
`
`
`
`
`
`Ex. 3, https://www.tesla.com/support/autopilot (last accessed April 10, 2024).
`
`12
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`Ex. 3, https://www.tesla.com/support/autopilot (last accessed April 10, 2024).
`
`
`
`
`Ex. 4, https://www.greencarreports.com/news/1137379_tesla-bets-on-camera-sensing-drops-
`ultrasonic-sensors-pauses-features (last accessed April 10, 2024).
`
`13
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`
`Ex. 5, https://www.tesla.com/ownersmanual/model3/en_us/GUID-682FF4A7-D083-4C95-925A-
`5EE3752F4865.html (last accessed April 10, 2024).
`
`
`Ex. 6, https://www.tesla.com/support/autopilot#capability-features (last accessed April 10,
`2024).
`
`
`Ex. 6, https://www.tesla.com/support/autopilot#capability-features (last accessed April 10,
`2024).
`
`14
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`
`Source: Compute Solution for Tesla’s Full Self-Driving Computer, Autopilot Hardware, Tesla,
`Feb 2020.
`
`United States Patent No. 7,336,805
`
`THE PATENTS-IN-SUIT
`
`23.
`
`On February 26, 2008, the PTO issued the ’805 Patent, titled “Docking Assistant.”
`
`The ’805 Patent is valid and enforceable. A copy of the ’805 Patent is attached as Exhibit 7.
`
`24.
`
`Intellectual Ventures II is the owner of all rights, title, and interest in and to the
`
`’805 Patent, and holds all substantial rights therein, including the right to grant licenses, to
`
`exclude others, and to enforce and recover past damages for infringement of the ’805 Patent.
`
`United States Patent No. 9,706,500
`
`25.
`
`On July 11, 2017, the PTO issued the ’500 Patent, titled “Power Control in a
`
`Wireless Network.” The ’500 Patent is valid and enforceable. A copy of the ’500 Patent is attached
`
`as Exhibit 8.
`
`26.
`
`Intellectual Ventures II is the owner of all rights, title, and interest in and to the
`
`’500 Patent, and holds all substantial rights therein, including the right to grant licenses, to
`
`exclude others, and to enforce and recover past damages for infringement of the ’500 Patent.
`
`15
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`United States Patent No. 10,292,138
`
`27.
`
`On May 14, 2019, the PTO issued the ’138 Patent, titled “Determining Buffer
`
`Occupancy and Selecting Data for Transmission on a Radio Bearer.” The ’138 Patent is valid and
`
`enforceable. A copy of the ’138 Patent is attached as Exhibit 9.
`
`28.
`
`Intellectual Ventures II is the owner of all rights, title, and interest in and to the
`
`’138 Patent, and holds all substantial rights therein, including the right to grant licenses, to
`
`exclude others, and to enforce and recover past damages for infringement of the ’138 Patent.
`
`United States Patent No. 10,952,153
`
`29.
`
`On March 16, 2021, the PTO issued the ’153 Patent, titled “Power Control in a
`
`Wireless Network.” The ’153 Patent is valid and enforceable. A copy of the ’153 Patent is attached
`
`as Exhibit 10.
`
`30.
`
`Intellectual Ventures II is the owner of all rights, title, and interest in and to the
`
`’153 Patent, and holds all substantial rights therein, including the right to grant licenses, to
`
`exclude others, and to enforce and recover past damages for infringement of the ’153 Patent.
`
`United States Patent No. 8,898,395
`
`31.
`
`On November 25, 2014, the PTO issued the ’395 Patent, titled “Memory
`
`Management for Cache Consistency.” The ’395 Patent is valid and enforceable. A copy of the ’395
`
`Patent is attached as Exhibit 11.
`
`32.
`
`Intellectual Ventures II is the owner of all rights, title, and interest in and to the
`
`’395 Patent, and holds all substantial rights therein, including the right to grant licenses, to
`
`exclude others, and to enforce and recover past damages for infringement of the ’395 Patent.
`
`16
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`United States Patent No. 10,136,416
`
`33.
`
`On November 20, 2018, the PTO issued the ’416 Patent, titled “Communicating
`
`on a Shared Channel in a Wireless Network.” The ’416 Patent is valid and enforceable. A copy of
`
`the ’416 Patent is attached as Exhibit 12.
`
`34.
`
`Intellectual Ventures II is the owner of all rights, title, and interest in and to the
`
`’416 Patent, and holds all substantial rights therein, including the right to grant licenses, to
`
`exclude others, and to enforce and recover past damages for infringement of the ’416 Patent.
`
`United States Patent No. 7,916,180
`
`35.
`
`On March 29, 2011, the PTO issued the ’180 Patent, titled “Simultaneous Multiple
`
`Field of View Digital Cameras.” The ’180 Patent is valid and enforceable. A copy of the ’180
`
`Patent is attached as Exhibit 13.
`
`36.
`
`Intellectual Ventures II is the owner of all rights, title, and interest in and to the
`
`’180 Patent, and holds all substantial rights therein, including the right to grant licenses, to
`
`exclude others, and to enforce and recover past damages for infringement of the ’180 Patent.
`
`United States Patent No. 9,232,158
`
`37.
`
`On January 5, 2016, the PTO issued the ’158 Patent, titled “Large Dynamic Range
`
`Cameras.” The ’158 Patent is valid and enforceable. A copy of the ’158 Patent is attached as
`
`Exhibit 14.
`
`38.
`
`Intellectual Ventures II is the owner of all rights, title, and interest in and to the
`
`’158 Patent, and holds all substantial rights therein, including the right to grant licenses, to
`
`exclude others, and to enforce and recover past damages for infringement of the ’158 Patent.
`
`17
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`United States Patent No. 7,181,743
`
`39.
`
`On February 20, 2007, the PTO issued the ’743 Patent, titled “Resource Allocation
`
`Decision Function for Resource Management Architecture and Corresponding Programs
`
`Therefor.” The ’743 Patent is valid and enforceable. A copy of the ’743 Patent is attached as
`
`Exhibit 15.
`
`40.
`
`Intellectual Ventures II is the exclusive licensee of the ’743 Patent, and holds all
`
`substantial rights therein, including the right to grant licenses, to exclude others, and to enforce
`
`and recover past damages for infringement of the ’743 Patent.
`
`United States Patent No. 6,894,639
`
`41.
`
`On May 17, 2005, the PTO issued the ’639 Patent, titled “Generalized Hebbian
`
`Learning for Principal Component Analysis and Automatic Target Recognition, Systems and
`
`Method.” The ’639 Patent is valid and enforceable. A copy of the ’639 Patent is attached as
`
`Exhibit 16.
`
`42.
`
`Intellectual Ventures II is the owner of all rights, title, and interest in and to the
`
`’639 Patent, and holds all substantial rights therein, including the right to grant licenses, to
`
`exclude others, and to enforce and recover past damages for infringement of the ’639 Patent.
`
`United States Patent No. 11,206,670
`
`43.
`
`On December 21, 2021, the PTO issued the ’670 Patent, titled “Communication in
`
`a Wireless Network Using Restricted Bandwidths.” The ’670 Patent is valid and enforceable. A
`
`copy of the ’670 Patent is attached as Exhibit 17.
`
`44.
`
`Intellectual Ventures II is the owner of all rights, title, and interest in and to the
`
`’670 Patent, and holds all substantial rights therein, including the right to grant licenses, to
`
`exclude others, and to enforce and recover past damages for infringement of the ’670 Patent.
`
`18
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`United States Patent No. 11,664,889
`
`45.
`
`On May 30, 2023, the PTO issued the ’889 Patent, titled “Communications in a
`
`Wireless Network.” The ’889 Patent is valid and enforceable. A copy of the ’889 Patent is attached
`
`as Exhibit 18.
`
`46.
`
`Intellectual Ventures II is the owner of all rights, title, and interest in and to the
`
`’889 Patent, and holds all substantial rights therein, including the right to grant licenses, to
`
`exclude others, and to enforce and recover past damages for infringement of the ’889 Patent.
`
`COUNT I
`(Tesla’s Infringement of U.S. Patent No. 7,336,805)
`
`47.
`
`48.
`
`Paragraphs 1 through 46 are incorporated by reference as if fully set forth herein.
`
`Direct Infringement. Defendant directly infringed, and continues to directly
`
`infringe, literally and/or by the doctrine of equivalents, individually and/or jointly, the ’805 Patent,
`
`by designing, developing, making, manufacturing, utilizing, distributing, providing, testing,
`
`selling, and/or offering for sale and/or importing into the United States the Accused Products that
`
`infringe the ’805 Patent including, but not limited to, Tesla automotive vehicles, and all past,
`
`current and future Tesla products that operate in the same or substantially similar manner as the
`
`specifically identified products and components (collectively, “Example Count I Automotive
`
`Vehicles”). The Accused Products identified in the example charts incorporated in Example
`
`Count I Automotive Vehicles infringe at least the exemplary claims of the ’805 Patent identified
`
`in the charts incorporated into this Count I (the “Example ’805 Patent Claims”) literally and/or by
`
`the doctrine of equivalents.
`
`49.
`
`On information and belief, Defendant has also infringed and continues to directly
`
`infringe, literally and/or under the doctrine of equivalents, the Exemplary ’805 Patent Claims, by
`
`internal testing and use of the Example Count I Automotive Vehicles.
`
`19
`
`
`Ex.1017 / Page 19 of 58Ex.1017 / Page 19 of 58
`
`TESLA, INC.TESLA, INC.
`
`

`

`50. Willful Blindness. Defendant knew of the ’805 Patent, or should have known of
`
`the ’805 Patent, but was willfully blind to its existence. Defendant has had actual knowledge of
`
`the ’805 Patent not later than receipt of a letter, dated August 7, 2020, and received on the same
`
`date. Defendant also has had actual knowledge of the ’805 Patent not later than receipt of a letter,
`
`dated April 11, 2024, and received on the same date. By the time of trial, Defendant will have
`
`known and intended (since receiving such notice) that its continued actions would infringe and
`
`actively induce and contribute to the infringement of one or more claims of the ’805 Patent.
`
`See Exhibits 19 & 20.
`
`51.
`
`Induced Infringement. Defendant has also induced, and continues to induce, the
`
`infringement of the ’805 Patent by others – including, but not limited to, inducing their consumers,
`
`partners, vendors, and/or third parties to use their Accused Products, such as Example Count I
`
`Automotive Vehicles, in an infringing manner as described above, including encouraging and
`
`instructing their consumers, partners, vendors, and/or third parties to infringe the ’805 Patent.
`
`52.
`
`Defendant therefore actively, knowingly, and intentionally has committed, and
`
`continues to commit, affirmative acts that cause infringement, literally and/or by the doctrine of
`
`equivalents, of one or more claims of the ’805 Patent with knowledge of the ’805 Patent and
`
`knowledge that the induced acts constitute infringement of one or more claims of the ’805 Patent.
`
`Defendant has actively induced others, including, but not limited to, consumers, partners, vendors,
`
`and/or third parties, who use the Example Count I Automotive Vehicles to infringe the ’805 Patent,
`
`literally and/or by the doctrine of equivalents, throughout the United States, including within this
`
`District, by, among other things, advertising, promoting, and instructing the infringing use of the
`
`Example Count I Automotive Vehicles.
`
`20
`
`
`Ex.1017 / Page 20 of 58Ex.1017 / Page 20 of 58
`
`TESLA, INC.TESLA, INC.
`
`

`

`53.
`
`Contributory Infringement. Defendant actively, knowingly, and intentionally has
`
`committed, and continues to commit contributory infringement, literally and/or by the doctrine of
`
`equivalents, by, inter alia, knowingly providing software and technologies that when used, cause
`
`the direct infringement of one or more claims of the ’805 Patent by their consumers, partners,
`
`vendors, and/or third parties, and which have no substantial non-infringing uses, or include a
`
`separate and distinct technology that is especially made or especially adapted for use in
`
`infringement of the ’805 Patent, and is not a staple article or commodity of commerce suitable for
`
`substantial non-infringing use.
`
`54.
`
`Defendant therefore actively, knowingly, and intentionally has been and continues
`
`to materially contribute to their consumers’, partners’, vendors’, and/or third-parties’ infringement
`
`of the ’805 Patent, literally and/or by the doctrine of equivalents, by designing, developing,
`
`making, manufacturing, utilizing, distributing, providing, testing, selling, and/or offering for sale
`
`and/or importing into the United States the Example Count I Automotive Vehicles for use in a
`
`manner that infringes one or more claims of the ’805 Patent. Example Count I Automotive
`
`Vehicles are especially made or adapted for infringing the ’805 Patent and have no substantial
`
`non-infringing use.
`
`55.
`
`Exhibit 21 (claim charts) includes the Example Count I Automotive Vehicles and
`
`Example ’805 Patent Claims. As set forth in these charts, the Example Count I Automotive
`
`Vehicles practice the technology claimed by the ’805 Patent. Accordingly, the Example Count I
`
`Automotive Vehicles incorporated in these charts satisfy all elements of the Example ’805 Patent
`
`Claims.
`
`56.
`
`Intellectual Ventures therefore incorporates by reference in its allegations herein
`
`the claim charts of Exhibit 21.
`
`21
`
`
`Ex.1017 / Page 21 of 58Ex.1017 / Page 21 of 58
`
`TESLA, INC.TESLA, INC.
`
`

`

`57.
`
`Intellectual Ventures is entitled to recover damages adequate to compensate for
`
`Defendant’s infringement of the ’805 Patent and will continue to be damaged by such
`
`infringement. Intellectual Ventures is entitled to recover damages from Defendant to compensate
`
`them for Defendant’s infringement, as alleged above, in an amount measured by no less than a
`
`reasonable royalty under 35 U.S.C. § 284, as well as enhanced damages pursuant to 35 U.S.C.
`
`§ 284.
`
`58.
`
`Further, Defendant’s infringement of Intellectual Ventures’s rights under the
`
`’805 Patent will continue to damage Intellectual Ventures’s business, causing irreparable harm for
`
`which there is no adequate remedy at law, unless enjoined by the Court.
`
`59.
`
`As a result of Defendant’s acts of infringement, Plaintiff has suffered and will
`
`continue to suffer damages in an amount to be proven at trial.
`
`COUNT II
`(Tesla’s Infringement of U.S. Patent No. 11,206,670)
`
`60.
`
`61.
`
`Paragraphs 1 through 59 are incorporated by reference as if fully set forth herein.
`
`Direct Infringement. Defendant directly infringed, and continues to directly
`
`infringe, literally and/or by the doctrine of equivalents, individually and/or jointly, the ’670 Patent,
`
`by designing, developing, making, manufacturing, utilizing, distributing, providing, testing,
`
`selling, and/or offering for sale and/or importing into the United States the Accused Products that
`
`infringe the ’670 Patent including, but not limited to, Tesla automotive vehicles, and all past,
`
`current and future Tesla products that operate in the same or substantially similar manner as the
`
`specifically identified products and components (collectively, “Example Count II Automotive
`
`Vehicles”). The Accused Products identified in the example charts incorporated in Example
`
`Count II Automotive Vehicles infringe at least the exemplary claims of the ’670 Patent identified
`
`22
`
`
`Ex.1017 / Page 22 of 58Ex.1017 / Page 22 of 58
`
`TESLA, INC.TESLA, INC.
`
`

`

`in the charts incorporated into this Count II (the “Example ’670 Patent Claims”) literally and/or
`
`by the doctrine of equivalents.
`
`62.
`
`On information and belief, Defendant has also infringed and continues to directly
`
`infringe, literally and/or under the doctrine of equivalents, the Exemplary ’670 Patent Claims, by
`
`internal testing and use of the Example Count II Automotive Vehicles.
`
`63. Willful Blindness. Defendant knew of the ’670 Patent, or should have known of
`
`the ’670 Patent, but was willfully blind to its existence. Defendant has had actual knowledge of
`
`the ’670 Patent not later than receipt of a letter, dated April 11, 2024, and received on the same
`
`date. By the time of trial, Defendant will have known and intended (since receiving such notice)
`
`that its continued actions would infringe and actively induce and contribute to the infringement of
`
`one or more claims of the ’670 Patent. See Exhibit 20.
`
`64.
`
`Induced Infringement. Defendant has also induced, and continues to induce, the
`
`infringement of the ’670 Patent by others – including, but not limited to, inducing their consumers,
`
`partners, vendors, and/or third parties to use their Accused Products, such as Example Count II
`
`Automotive Vehicles, in an infringing manner as described above, including encouraging and
`
`instructing their consumers, partners, vendors, and/or third parties to infrin

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