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`IN THE UNITED STATES DISTRICT COURT
`FOR THE SOUTHERN DISTRICT OF TEXAS
`HOUSTON DIVISION
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`Civil Case No. 4:13-cv-638
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`Jury demanded
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`e-WATCH, INC.
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`Plaintiff
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`v.
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`FLIR SYSTEMS, INC.
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`Defendant
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`COMPLAINT
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`e-WATCH, INC. files this action complaining of FLIR SYSTEMS, INC. and for cause
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`of action respectfully shows as follows:
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`PARTIES
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`1.
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`Plaintiff e-WATCH, INC. is a Nevada Corporation with its principal office in San
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`Antonio, Texas, and with offices in Houston, Texas.
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`2.
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`Defendant FLIR SYSTEMS, INC. is an Oregon corporation with its principal office
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`at 27700 SW Parkway Ave., Wilsonville, Oregon.
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`SERVICE OF PROCESS
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`3.
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`Defendant FLIR Systems, Inc. may be served with process by serving its
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`Registered Agent for Service of Process, National Registered Agents, Inc. 1021 Main St., Suite
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`1150, Houston, Texas 77002.
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`Page 1
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`Case 4:13-cv-00638 Document 1 Filed in TXSD on 03/08/13 Page 2 of 7
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`JURISDICTION AND VENUE
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`4.
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`This Court has subject matter jurisdiction pursuant to 28 U.S.C. §§ 1331 and
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`1338(a), because plaintiff’s claims arise under federal laws relating to patents and unfair
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`competition.
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`5.
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`This Court has personal jurisdiction over the defendant because it transacts
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`business within the United States, including to consumers within the geographic boundaries of
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`the Southern District of Texas. The Court also has personal jurisdiction because the defendant
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`have committed acts of patent infringement within the geographic boundaries of the Southern
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`District of Texas.
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`6.
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`Venue is proper in the Southern District of Texas under 28 U.S.C. § 1391(b)
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`because, on information and belief, FLIR distributes its allegedly infringing products through a
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`distribution center in Houston, Texas, because it substantial acts of infringement giving rise to
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`plaintiff’s claim occurred and continue to occur within the boundaries of the Southern District of
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`Texas, and because the defendant maintains a registered agent for service of process within the
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`boundaries of the Southern District of Texas.
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`FACTS
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`7.
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`e-Watch develops and markets hardware, software and services designed to
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`centrally manage a multiplicity of safety, security and access control devices using IP protocol
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`over a computer network, including modern professional security surveillance systems and
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`associated cameras. For example, a corporate office campus may include access control by way
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`of still frame pictures of individuals seeking access or full motion cameras monitoring rooms,
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`hallways, or doors. e-Watch also develops and markets digital camera systems, which, among
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`Case 4:13-cv-00638 Document 1 Filed in TXSD on 03/08/13 Page 3 of 7
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`other things, have the capability of creating high resolution still and streaming video signals from
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`a multiplicity of image transducers, compressing the digital image signal, and sending a
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`multiplicity of image signals over a digital network. The advantage of e-Watch’s technology is,
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`among other things, that it allows live monitoring and digital recording of high resolution, full
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`frame rate, color images, either on site, offsite, or in distributed locations.
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`8.
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`e-Watch is the owner of the following United States Patents:
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`Title
`Patent No.
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`6,970,183 (the ’183 patent) Multimedia Surveillance and Monitoring
`System Including Network Configuration
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`Digital Security Multimedia Sensor
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`7,023,913 (the ’913 patent)
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`Issue Date
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`Nov 29,
`2005
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`Apr 4,
`2006
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`The digital camera surveillance systems marketed by e-Watch incorporate claims included these
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`patents.
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`9.
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`FLIR Systems is a world leader in the design, manufacture and distribution of
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`thermal imaging cameras and associated products and systems. It makes, uses and sells, or
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`attempts to make, use or sell, or otherwise provide throughout the United States and within the
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`geographical area covered by the United States District Court for the Southern District of Texas,
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`products which utilize the systems, methods and apparatus in at least one claim in each of the
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`’183, and ’913 Patents. The infringing products include, but are not limited to the FLIR FC-
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`Series Cameras, F-Series Cameras, PT-Series Cameras, D-Series Cameras and Sensor Manager
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`Page 3
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`Software.
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`Case 4:13-cv-00638 Document 1 Filed in TXSD on 03/08/13 Page 4 of 7
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`CLAIM I
`INFRINGEMENT OF THE ’183 PATENT
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`The ‘183 patent describes a surveillance and security system that includes a
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`10.
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`surveillance sensor (such as motion detector) which generates a signal that is converted into a
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`network compatible signal, sent over a network, and logged by a computer. A second security
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`sensor (such as a camera) also generates data which is sent to and logged by the computer. In
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`addition, the computer also communicates back with this second sensor to control a
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`preprogramed function, such as, in the case of a camera, zoom in or out, pan left or right, etc.
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`This is a conceptual summary of the technology described in the patent; a complete list of
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`claims and limitations are found in the patent itself.
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`11.
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`12.
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`The ’183, Patent is valid and enforceable.
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`FLIR has and continues to infringe, contributorily infringe or actively induce the
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`infringement of the ’183 Patent by using, selling and offering for use or sale products and
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`services within this judicial district which incorporate e-Watch’s patented technology. FLIR is
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`offering for sale or use, or selling or using these products without license or authority from e-
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`Watch.
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`13.
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`The claims of the patent are either literally infringed or infringed under the
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`doctrine of equivalents. These infringing acts of FLIR are committed in violation of 35 U.S.C. §
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`271.
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`14.
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`Upon information and belief, plaintiff alleges that the acts of infringement by
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`FLIR are willful, making this an exceptional case under 35 U.S.C. § 285.
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`15.
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`Upon information and belief, plaintiff further alleges that the actions of FLIR
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`have resulted in substantial lost profits to the plaintiff, and substantial unjust profits and
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`enrichment to FLIR, all in amounts yet to be determined. The infringing acts committed by
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`Page 4
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`Case 4:13-cv-00638 Document 1 Filed in TXSD on 03/08/13 Page 5 of 7
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`FLIR have caused irreparable harm to the plaintiff and will continue to do so unless enjoined by
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`the Court.
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`CLAIM II
`INFRINGEMENT OF THE ’913 PATENT
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`16.
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`The ‘913 patent describes a digital security camera capable of generating and
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`transmitting digital high resolution full motion video and still images. It includes at least two
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`high resolution image transducers which generate full motion video signals and still frame image
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`signals. The raw image data is then compressed, and the two compressed signals are then
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`merged by a multiplexer into a single signal. This combined signal is then processed into a
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`format suitable for transmission over a network. This is a conceptual summary of the technology
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`described in the patent; a complete list of claims and limitations are found in the patent itself.
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`17.
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`18.
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`The ’913, Patent is valid and enforceable.
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`FLIR has and continues to infringe, contributorily infringe or actively induce the
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`infringement of the ’913 Patent by using, selling and offering for use or sale products and
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`services within this judicial district which incorporate e-Watch’s patented technology. FLIR is
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`offering for sale or use, or selling or using these products without license or authority from e-
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`Watch.
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`19.
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`The claims of the patent are either literally infringed or infringed under the
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`doctrine of equivalents. These infringing acts of FLIR are committed in violation of 35 U.S.C. §
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`271.
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`20.
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`Upon information and belief, plaintiff alleges that the acts of infringement by
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`FLIR are willful, making this an exceptional case under 35 U.S.C. § 285.
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`Page 5
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`Case 4:13-cv-00638 Document 1 Filed in TXSD on 03/08/13 Page 6 of 7
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`21.
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`Upon information and belief, plaintiff further alleges that the actions of FLIR
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`have resulted in substantial lost profits to the plaintiff, and substantial unjust profits and
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`enrichment to FLIR, all in amounts yet to be determined. The infringing acts committed by
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`FLIR have caused irreparable harm to the plaintiff and will continue to do so unless enjoined by
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`the Court.
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`DAMAGES
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`22.
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`As a result of the infringement described herein, Plaintiff has suffered actual and
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`consequential damages, however, plaintiff does not yet know the full extent of such damages and
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`such extent cannot be ascertained except through discovery and special accounting. To the
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`fullest extent permitted by law, plaintiff seeks recovery of damages for lost profits, reasonable
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`royalties, unjust enrichment, and benefits received by the defendant as a result of using the
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`misappropriated technology. Plaintiff seeks any other damages to which it may be entitled in
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`law or in equity.
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`23.
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`The acts of infringement described herein were committed intentionally,
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`knowingly, and with callous disregard of plaintiff’s legitimate rights. Plaintiff is therefore
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`entitled to and now seeks to recover exemplary damages in an amount not less than the
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`maximum amount permitted by law.
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`ATTORNEYS FEES
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`24.
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`Plaintiff is entitled to recover reasonable and necessary attorneys fees under
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`applicable law.
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`CONDITIONS PRECEDENT
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`25.
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`All conditions precedent to plaintiff’s right to recover as requested herein have
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`Page 6
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`occurred or been satisfied.
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`Case 4:13-cv-00638 Document 1 Filed in TXSD on 03/08/13 Page 7 of 7
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`JURY DEMAND
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`26.
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`Plaintiff demands a trial by jury pursuant to Fed. R. Civ. P. 38.
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`PRAYER
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`WHEREFORE, PREMISES CONSIDERED, plaintiff e-Watch, Inc. asks that
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`defendant FLIR Systems, Inc. be cited to appear and answer and, on final trial, that plaintiff have
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`judgment against each defendant for the following:
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`a.
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`b.
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`c.
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`d.
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`e.
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`f.
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`g.
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`Actual economic damages;
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`Exemplary treble damages as allowed by law;
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`Permanent injunction;
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`Attorney fees;
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`Pre-judgment and post-judgment interest as allowed by law;
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`Costs of suit; and
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`All other relief in law or in equity to which plaintiff may show itself justly
`entitled.
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`Respectfully submitted,
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`__________________________________
`W. Shawn Staples ▪ TBN 00788457
`Michael J. Stanley ▪ TBN 19046600
`Stanley Frank & Rose
`7026 Old Katy Rd., Suite 259
`Houston, Texas 77024
`Tel: 713-980-4381 ▪ Fax: 713-980-1179
`wsstaples@stanleylaw.com
`Attorney in Charge for e-Watch, Inc.
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`Page 7