throbber
Case 2:19-cv-00118-JRG Document 76 Filed 02/27/20 Page 1 of 14 PageID #: 1286
`
`IN THE UNITED STATES DISTRICT COURT
`FOR THE EASTERN DISTRICT OF TEXAS
`MARSHALL DIVISION
`
`
`QUEST NETTECH CORPORATION,
`
`
`Plaintiff,
`
`
`Case No. 2:19-cv-00118-JRG
`
`JURY TRIAL DEMANDED
`











`
`
`
`PLAINTIFF QUEST NETTECH CORPORATION’S
`REPLY CLAIM CONSTRUCTION BRIEF
`
`
`
`
`
`v.
`
`
`APPLE INC.,
`
`
`Defendant.
`
`
`
`
`

`

`Case 2:19-cv-00118-JRG Document 76 Filed 02/27/20 Page 2 of 14 PageID #: 1287
`
`TABLE OF CONTENTS
`
`Page(s)
`
`DISPUTED TERMS ........................................................................................................... 1 
`
`A. 
`
`B. 
`
`C. 
`
`D. 
`
`E. 
`
`“[multiple account] electronic credit card” ............................................................. 1 
`
`“operation of the [credit] card” ............................................................................... 3 
`
`“financial transaction records relative to the multiple accounts” /
`“records relative to the multiple accounts” ............................................................. 3 
`
`“wherein said memory is of sufficient size to store financial transaction
`records related to a predetermined time period of use” .......................................... 7 
`
`“transfer of data stored in the memory to a new multiple account
`electronic credit card” ............................................................................................. 8 
`
`CONCLUSION ................................................................................................................... 9 
`
`
`I. 
`
`II. 
`
`
`
`i
`
`

`

`Case 2:19-cv-00118-JRG Document 76 Filed 02/27/20 Page 3 of 14 PageID #: 1288
`
`TABLE OF AUTHORITIES
`
`
`
`Page(s)
`
`Cases
`
`Alloc, Inc. v. Int’l Trade Comm’n,
`342 F.3d 1361 (Fed. Cir. 2003)..................................................................................................5
`
`Biosonix, LLC v. Hydrowave, LLC,
`230 F. Supp. 3d 598 (E.D. Tex. 2017) ...................................................................................4, 5
`
`Funai Elec. Co., Ltd. v. Daewoo Elecs. Corp.,
`616 F.3d 1357 (Fed. Cir. 2010)..................................................................................................3
`
`Hill-Rom Servs., Inc. v. Stryker Corp.,
`755 F.3d 1367 (Fed. Cir. 2014)..................................................................................................4
`
`NTP, Inc. v. Research In Motion, Ltd.,
`418 F.3d 1282 (Fed. Cir. 2005)..................................................................................................1
`
`Rembrandt Data Techs., LP v. AOL, LLC,
`641 F.3d 1331 (Fed. Cir. 2011)..................................................................................................2
`
`
`
`ii
`
`

`

`Case 2:19-cv-00118-JRG Document 76 Filed 02/27/20 Page 4 of 14 PageID #: 1289
`
`Pursuant to P.R. 4-5(c) and the Court’s First Amended Docket Control Order (Dkt. 73),
`
`Plaintiff Quest NetTech Corporation (“NetTech”) submits its Reply Claim Construction Brief.
`
`I.
`
`DISPUTED TERMS
`
`A.
`
`“[multiple account] electronic credit card”
`
`Defendant does not dispute that this claim term is limiting, that the introduction of this
`
`term in the preambles of independent claims 10 and 23 serves as the antecedent basis for
`
`limitations in the body of the claims, and that this term breathes life into the claims. See NTP,
`
`Inc. v. Research In Motion, Ltd., 418 F.3d 1282, 1305 (Fed. Cir. 2005). However, Defendant
`
`argues that it should be construed according to its plain and ordinary meaning.
`
`Defendant posits that “multiple account electronic credit card” should be construed
`
`according to its plain and ordinary meaning, but does not identify the plain and ordinary meaning
`
`of the term. The reason is obvious: the claimed “multiple account electronic credit card” does not
`
`have a plain and ordinary meaning to one of ordinary skill in the art because it is a coined term to
`
`describe the inventive device. Lacking a plain and ordinary meaning to point to, Defendant offers
`
`dictionary definitions of “credit card” and argues that since jurors would understand the terms
`
`“multiple account” and “electronic,” they would understand the claim term “multiple account
`
`electronic credit card.” Dkt. 75 at 18-19.1 But the term “multiple account electronic credit card”
`
`in the claims does not refer to a common “credit card” that somehow contains multiple accounts
`
`and is electronic. To the contrary, the specification explains that a “credit card” is in the prior art,
`
`stating that “there exist[] known financial data storage methods and apparatus that enable them to
`
`serve as cash substitutes” such as “familiar credit card[s].” Dkt. 70-2 at 1:17-20. The
`
`specification further acknowledges that with the prior art credit card, “the amount and types of
`
`
`1 References to page numbers of Docket Nos. 70 and 75 found throughout this brief refer to page numbers as found
`in the ECF docket entries.
`
`
`
`

`

`Case 2:19-cv-00118-JRG Document 76 Filed 02/27/20 Page 5 of 14 PageID #: 1290
`
`data stores are typically quite limited.” Id. at 1:22-24. Using the prior art understanding of “credit
`
`card” to construe “multiple account electronic credit card” would contradict the specification and
`
`defeat the purpose of the present invention by reading out the essential structure of the invention
`
`as a portable electronic device that enables the user to make purchases using one or more
`
`accounts stored on the device.
`
`Defendant’s argument that NetTech’s construction “attempts to broaden the claims from
`
`the narrower term ‘credit card,’ which has a well-understood plain and ordinary meaning, with
`
`the broader, vague term ‘device’” is flawed because the specification shows that the inventive
`
`device is not structured as a “credit card.” Figure 2 depicts the inventive device as including a
`
`processor, memory circuit, and wireless interface among other components. Dkt. 70-2 at Fig. 2.
`
`No one would mistake this device for a “credit card.”
`
`Finally, Defendant’s argument that NetTech seeks its construction to preserve validity is
`
`false. NetTech stated that construction of this term is necessary to properly capture the thrust of
`
`the invention and to provide antecedent basis and structure to the claims. Dkt. 70 at 6-7. The fact
`
`that the claims, properly construed, cover a device that does more than download and store
`
`transactions is not a reason to reject the construction as preserving validity. The case cited by
`
`Defendant, Rembrandt Data Techs., LP v. AOL, LLC, is wholly irrelevant because there, the
`
`plaintiff sought to insert the phrase “said transmitter section” to correct “an obvious
`
`administrative or typographical error not subject to reasonable debate.” 641 F.3d 1331, 1339
`
`(Fed. Cir. 2011). As the Court stated in its order denying Defendant’s motion to dismiss,
`
`NetTech seeks claim construction of this claim term as it is “necessary to fully understand the
`
`inventive concept of the ʼ137 Patent.” Dkt. 74 at 2. Accordingly, NetTech submits that “multiple
`
`2
`
`

`

`Case 2:19-cv-00118-JRG Document 76 Filed 02/27/20 Page 6 of 14 PageID #: 1291
`
`account electronic credit card” should be construed as “an electronic device for conducting
`
`financial transactions using one or more of the multiple accounts stored on the device.”
`
`B.
`
`“operation of the [credit] card”
`
`NetTech proposes that this term means “the operation of the multiple account electronic
`
`credit card, including the purchase of goods and services using one or more of the multiple credit
`
`card accounts, the authentication of an authorized user of one or more of the multiple credit card
`
`accounts, and the receipt and storage of financial transaction records relative to purchases made
`
`using one or more of the multiple credit card accounts” in order to provide an understanding of
`
`the features of the multiple account electronic credit card which would further assist the jury in
`
`understanding the scope of the invention as disclosed by the patent. See Funai Elec. Co., Ltd. v.
`
`Daewoo Elecs. Corp., 616 F.3d 1357, 1366 (Fed. Cir. 2010).
`
`Defendant attacks the proposed construction by raising non-existent ambiguities. Any
`
`reasonable juror would understand that Plaintiff’s construction requires that the “operation of the
`
`credit card” includes at least all of the operations in its proposed construction and does not
`
`preclude additional operations. Importantly, Defendant does not argue that any of the operations
`
`listed in the construction are incorrect, nor does it argue that other operations should have been
`
`included in the construction. Defendant merely attempts to challenge the correctness of the
`
`proposed construction without taking a position as to the specifics of the construction.
`
`Accordingly, Plaintiff respectfully requests that the Court adopt Plaintiff’s proposed
`
`construction for the “operation of the [credit card]” term.
`
`C.
`
`“financial transaction records relative to the multiple accounts” / “records
`relative to the multiple accounts”
`
`Defendant seeks to inject an additional limitation into “financial transaction records
`
`relative to the multiple accounts” and “records relative to the multiple accounts” to require that
`
`3
`
`

`

`Case 2:19-cv-00118-JRG Document 76 Filed 02/27/20 Page 7 of 14 PageID #: 1292
`
`the claimed memory stores all financial transaction records and all records relative to the
`
`multiple accounts. There is no basis for modifying the claims in this way.
`
`Defendant bases its entire argument on the specification’s use of the term “the present
`
`invention” in a single sentence, but the entire sentence undermines Defendant’s argument that
`
`the patentee intended to limit the invention to a single embodiment that stores all of the holder’s
`
`financial transaction data. The specification states:
`
`The present invention relates to a smart universal financial data card
`which allows its holder to keep track of all his financial data and
`financial transaction data in a highly portable package.
`
`Dkt. 70-2 at 2:5-8 (emphasis added). This sentence does not state that the present invention is or
`
`requires storage of all financial data and financial transaction data, but merely that the invention
`
`relates to a card which allows a user to keep track of all of his financial data and financial
`
`transaction data. Nothing in this sentence requires the inventive card to store all financial data or
`
`financial transaction data, or compels a holder to use the inventive card to keep track of all of
`
`that data in order to practice the invention. This sentence does not clearly and unambiguously
`
`disclaim a multiple account electronic credit card that stores less than all financial transaction
`
`data. See Hill-Rom Servs., Inc. v. Stryker Corp., 755 F.3d 1367, 1372 (Fed. Cir. 2014)
`
`(“Disavowal requires that ‘the specification [or prosecution history] make[] clear that the
`
`invention . . . is clearly limited to a particular form of the invention. . . . For example, we have
`
`held that disclaimer applies when the patentee makes statements such as ‘the present invention
`
`requires . . .’ or ‘the present invention is . . .’ or ‘all embodiments of the present invention
`
`are . . . .’”) (emphases added); Biosonix, LLC v. Hydrowave, LLC, 230 F. Supp. 3d 598, 602
`
`(E.D. Tex. 2017) (“‘A specification may only be used to limit a claim if a patentee has
`
`disavowed or disclaimed scope of coverage by using words or expressions of manifest exclusion
`
`4
`
`

`

`Case 2:19-cv-00118-JRG Document 76 Filed 02/27/20 Page 8 of 14 PageID #: 1293
`
`or restriction, representing a clear disavowal of claim scope.’”) (citing Alloc, Inc. v. Int’l Trade
`
`Comm’n, 342 F.3d 1361, 1377 (Fed. Cir. 2003)).
`
`The fallacy of Defendant’s argument is demonstrated in two ways. First, the very same
`
`sentence also states that the card allows the holder to store all of his “financial data,” which is
`
`different from “financial transaction data.” Is Defendant’s position that the claims are not
`
`infringed unless the holder decides to store all of his financial data (all saving accounts, all
`
`checking accounts, all credit card accounts, all securities accounts, etc.) on the card? No, because
`
`that position would be absurd, but it is no less absurd than interpreting the same language to
`
`require all of the holder’s financial transaction data to be stored on the card.
`
`Second, perhaps in an attempt to ameliorate this absurdity, Defendant’s construction
`
`requires only that all financial transactions conducted with the multiple account electronic credit
`
`card be stored on the card, but the emphasized limitation is nowhere in the “present invention
`
`relates to” sentence or in the remainder of the intrinsic record cited by Defendant. Recognizing
`
`that the “present invention relates to” sentence would require that the multiple account electronic
`
`credit card download transaction information for credit card transactions conducted using the
`
`holder’s traditional credit card, Defendant injects yet another unfounded limitation into its
`
`construction to try to make the “all” limitation more palatable. The entirety of its proposed
`
`construction is illegitimate and should be rejected.
`
`Contrary to Defendant’s contention, the issue that the present invention sought to address
`
`was not the lack of a system that stores all transaction data. See generally Dkt. 70-2 at 1:10-47.
`
`The specification discloses that there existed in the prior art financial data storage methods and
`
`apparatuses, but the challenge that the inventor sought to address was the lack of a method and
`
`apparatus for “a universal financial data system and card that not only serves as a portable cash
`
`5
`
`

`

`Case 2:19-cv-00118-JRG Document 76 Filed 02/27/20 Page 9 of 14 PageID #: 1294
`
`substitute but also has the intelligence to gather transaction data as transactions occur to update
`
`its accounts,” and “storing financial and transaction data related to multiple accounts.” See Dkt.
`
`70-2 at 1:59-67. This does not require storage of all transaction data.
`
`Defendant’s citations to the specification in support of its construction do not support
`
`Defendant’s assertion that the invention must store “all transaction data” or “must be a complete
`
`set of data.” Dkt. 75 at 9. For example, in arguing that the specification discloses that the
`
`invention requires that financial data transactions records are immune from “data tampering,”
`
`Defendant omits key words. Defendant states that “the financial transaction records stored on the
`
`card are immune from ‘data tampering’ and ‘cannot be manipulated by the holder of UFDC 201
`
`independent of a transaction,” but Defendant conveniently omits that the specification states in
`
`full, “[p]referably, the financial transaction records stored in UFDC 201 cannot be manipulated
`
`by the holder of UFDC 201 independent of a transaction.” Dkt. 70-2 at 5:28-31 (emphasis
`
`added). Further, Defendant states that the specification discloses that “[b]ecause the transaction
`
`records form a complete, untampered set, they ‘may be used to satisfy any documentation
`
`requirements.” This is not supported by the specification. See id. at 5:33-36 (“Because the
`
`transaction data UFDC 201 is advantageously secure from user manipulation, that data may be
`
`used to satisfy any documentation requirements regarding those transactions.”) (emphasis
`
`added). A complete set of data is not required.
`
`Defendant dismisses NetTech’s argument that the specification discloses embodiments
`
`that do not require all financial transaction records to be stored on the multiple account electronic
`
`credit card by stating that any such citations from the specification refer to the preceding
`
`description of the present invention.2 However, NetTech’s brief refers to exemplary
`
`
`2 NetTech notes that with respect to this argument, Defendant attempts to misrepresent that the specification
`discloses “’the present invention’ is” by omitting the words “relates to” from the specification. Again, the
`
`6
`
`

`

`Case 2:19-cv-00118-JRG Document 76 Filed 02/27/20 Page 10 of 14 PageID #: 1295
`
`embodiments disclosed by the specification. See Dkt. 70-2 at 2:27-29 (“In one embodiment, the
`
`invention relates to a universal financial data card for compiling and storing financial transaction
`
`records pertaining to a plurality of financial accounts.”) (emphasis added); see also id. at 2:55-57
`
`(“In yet another embodiment, the invention relates to a method for compiling and storing
`
`financial transaction records pertaining to a plurality of financial accounts.”) (emphasis added).
`
`Accordingly, Defendant’s arguments are unavailing.
`
`Defendant has failed to demonstrate that the specification contains a clear and
`
`unmistakable disclaimer of claim scope such that it is necessary to require that all of the user’s
`
`financial transaction data must be stored on the claimed multiple account electronic credit card.
`
`Accordingly, Defendant’s proposed construction should be rejected.
`
`D.
`
`“wherein said memory is of sufficient size to store financial transaction
`records related to a predetermined time period of use”
`
`As stated above with regard to the terms “financial transaction records relative to the
`
`multiple accounts” and “records relative to the multiple accounts,” Defendant seeks to inject the
`
`“all” requirement into the term “wherein said memory is of sufficient size to store financial
`
`transaction records related to a predetermined time period” so that “all transaction records”
`
`related to a predetermined time period of use must be stored in memory. Dkt. 75 at 14.
`
`Defendant explicitly relies on the same evidence and flawed reasoning cited for the
`
`previous claim term, and then states, without intrinsic support, that the “memory is of sufficient
`
`size” limitation assumes that all financial transaction data for the predetermined time period is
`
`stored on the card. This is bootstrapping—Defendant assumes that all financial transaction data
`
`is stored on the card to prove that this claim limitation should require that the memory is of
`
`
`specification specifically discloses “relates to” with regard to its descriptions of the present invention and the
`exemplary embodiments. See Dkt. 70-2 at 1:10; id. at 2:5; id. at 27; id. at 55.
`
`7
`
`

`

`Case 2:19-cv-00118-JRG Document 76 Filed 02/27/20 Page 11 of 14 PageID #: 1296
`
`sufficient size to store all transaction data on the card. Defendant has no support for its
`
`construction other than the same evidence cited for the previous term.
`
`Defendant creates a strawman argument, stating that “[i]t simply would not make sense
`
`for the card to be capable of storing all transaction records for the useful life of the card but not
`
`be capable of storing all transaction records for a particular, predetermined useful life.” Dkt. 75
`
`at 15. To the contrary, NetTech argues that the invention of the patent does not require storage of
`
`all transaction records. Dkt. 70 at 11-13. Indeed, the specification discloses an embodiment
`
`where “enough memory is provided to store the financial data related to one calendar year of
`
`use,” but does not require the memory to store the financial data for all transactions as Defendant
`
`argues. See Dkt. 70-2 at 7:19-21.
`
`Defendant attempts to raise an indefiniteness argument for the first time in a footnote and
`
`then argues that its construction—which injects limitations that do not define “a predetermined
`
`time period of use”—somehow remedies the indefiniteness. Defendant’s arguments are untimely
`
`and not well taken and should be rejected.
`
`E.
`
`“transfer of data stored in the memory to a new multiple account electronic
`credit card”
`
`Defendant’s argument that the “data” be limited to “financial transaction records, holder
`
`information, and/or secondary account information” is not supported by the claims or the
`
`specification. Defendant argues that the plain language of the claim supports Defendant’s
`
`construction because earlier in the claim, it recites “a memory for storing financial transaction
`
`records relative to the multiple accounts, and for storing holder information and secondary
`
`account information.” See Dkt. 75 at 15. While NetTech does not dispute that the memory
`
`contains these three types of data, the claim does not limit the transfer of data to these three data
`
`types, nor does it require that all three types of data be transferred. Rather, the claims simply
`
`8
`
`

`

`Case 2:19-cv-00118-JRG Document 76 Filed 02/27/20 Page 12 of 14 PageID #: 1297
`
`require that the memory contain “a software facility” that “enables transfer of data stored in the
`
`memory to a new multiple account electronic credit card.” Dkt. 70-2 at 21:51-53. If the software
`
`has this data-transfer capability, the claims are met, and there is no need to use a claim term
`
`reciting a software facility to limit the types of data which may be transferred.
`
`Defendant also fails to explain how the transfer of data stored in the memory “when the
`
`initial card’s memory is at, or near, full capacity,” supports its construction. Neither the claims
`
`nor the specification require that transfer occur when the memory is full. They merely support
`
`the concept that the data may be transferred from an old card to a new one. See Dkt. 70-2 at 7:21-
`
`24. Further, Defendant assumes that the only data necessary for operation of the new card is
`
`“holder information” and/or “secondary account information.” See Dkt. 75 at 16. Defendant’s
`
`construction does not contemplate that data transfer to the new card may entail, for example, data
`
`necessary for operation of the new card. Further, Defendant does not explain why a user would
`
`want to transfer financial transaction records from the old card to the new card merely because
`
`the new card has a larger memory. The specification anticipates that the old card “be stored away
`
`to preserve the historical financial data of the user.” Dkt. 70-2 at 7:21-24.
`
`Accordingly, NetTech requests that the Court reject Defendant’s proposal and construe
`
`this term according to its plain and ordinary meaning.
`
`II.
`
`CONCLUSION
`
`For the foregoing reasons, NetTech respectfully requests that the Court adopt its
`
`proposed constructions for the disputed terms and phrases of the ’137 Patent.
`
`
`Dated: February 27, 2020
`
`
`
`
`
`
`
`BROWN RUDNICK LLP
`
` /s/ Alfred R. Fabricant
`Alfred R. Fabricant
`NY Bar No. 2219392
`Email: afabricant@brownrudnick.com
`
`
`
`9
`
`

`

`Case 2:19-cv-00118-JRG Document 76 Filed 02/27/20 Page 13 of 14 PageID #: 1298
`
`Peter Lambrianakos
`NY Bar No. 2894392
`Email: plambrianakos@brownrudnick.com
`Vincent J. Rubino, III
`NY Bar No. 4557435
`Email: vrubino@brownrudnick.com
`Justine Minseon Park
`NY Bar No. 5604483
`Email: apark@brownrudnick.com
`BROWN RUDNICK LLP
`7 Times Square
`New York, NY 10036
`Telephone: (212) 209-4800
`Facsimile: (212) 209-4801
`
`Justin Kurt Truelove
`Texas Bar No. 24013653
`Email: kurt@truelovelawfirm.com
`TRUELOVE LAW FIRM, PLLC
`100 West Houston
`Marshall, Texas 75670
`Telephone: (903) 938-8321
`Facsimile: (903) 215-8510
`
`ATTORNEYS FOR PLAINTIFF,
`QUEST NETTECH CORPORATION
`
`
`
`10
`
`

`

`Case 2:19-cv-00118-JRG Document 76 Filed 02/27/20 Page 14 of 14 PageID #: 1299
`
`CERTIFICATE OF SERVICE
`
`The undersigned hereby certifies that, on February 27, 2020, all counsel of record who
`
`are deemed to have consented to electronic service are being served with a copy of this document
`
`via the Court’s CM/ECF system per Local Rule CV-5(a)(3).
`
`
`
`
`
` /s/ Alfred R. Fabricant
` Alfred R. Fabricant
`
`
`
`
`
`

This document is available on Docket Alarm but you must sign up to view it.


Or .

Accessing this document will incur an additional charge of $.

After purchase, you can access this document again without charge.

Accept $ Charge
throbber

Still Working On It

This document is taking longer than usual to download. This can happen if we need to contact the court directly to obtain the document and their servers are running slowly.

Give it another minute or two to complete, and then try the refresh button.

throbber

A few More Minutes ... Still Working

It can take up to 5 minutes for us to download a document if the court servers are running slowly.

Thank you for your continued patience.

This document could not be displayed.

We could not find this document within its docket. Please go back to the docket page and check the link. If that does not work, go back to the docket and refresh it to pull the newest information.

Your account does not support viewing this document.

You need a Paid Account to view this document. Click here to change your account type.

Your account does not support viewing this document.

Set your membership status to view this document.

With a Docket Alarm membership, you'll get a whole lot more, including:

  • Up-to-date information for this case.
  • Email alerts whenever there is an update.
  • Full text search for other cases.
  • Get email alerts whenever a new case matches your search.

Become a Member

One Moment Please

The filing “” is large (MB) and is being downloaded.

Please refresh this page in a few minutes to see if the filing has been downloaded. The filing will also be emailed to you when the download completes.

Your document is on its way!

If you do not receive the document in five minutes, contact support at support@docketalarm.com.

Sealed Document

We are unable to display this document, it may be under a court ordered seal.

If you have proper credentials to access the file, you may proceed directly to the court's system using your government issued username and password.


Access Government Site

We are redirecting you
to a mobile optimized page.





Document Unreadable or Corrupt

Refresh this Document
Go to the Docket

We are unable to display this document.

Refresh this Document
Go to the Docket