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Case 6:21-cv-00898-ADA Document 146 Filed 08/30/23 Page 1 of 11
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`UNITED STATES DISTRICT COURT
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`FOR THE WESTERN DISTRICT OF TEXAS
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`WACO DIVISION
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`Plaintiffs,
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`v.
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`Case No. 6:21-cv-00898-ADA
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`JURY TRIAL DEMANDED
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`ALMONDNET, INC,
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`AMAZON.COM, INC.; AMAZON.COM
`SERVICES LLC; and AMAZON WEB
`SERVICES, INC.,
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`Defendants.
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`PLAINTIFF’S MOTION FOR SUMMARY JUDGMENT OF NO INVALIDITY FOR
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`PUBLIC VERSION
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`Case 6:21-cv-00898-ADA Document 146 Filed 08/30/23 Page 2 of 11
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`TABLE OF CONTENTS
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`I.
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`Introduction .............................................................................................................................1
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`II. Legal Standards .......................................................................................................................1
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`III. Dr. Hanson provides no evidence that
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`IV. There is no evidence that a POSITA would have reasonably expected to
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`Case 6:21-cv-00898-ADA Document 146 Filed 08/30/23 Page 3 of 11
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`Cases
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`TABLE OF AUTHORITIES
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`Arctic Cat Inc. v. Bombardier Recreational Prod. Inc.,
`876 F.3d 1350 (Fed. Cir. 2017) ................................................................................................. 2
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`Asetek Danmark A/S v. CooIT Systems, Inc.,
`Case No. 19-cv-00410-EMC, Dkt. 504 (N.D. Cal. Sept. 11, 2022) .......................................... 4
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`Autoliv ASP, Inc. v. Hyundai Mobis Co.,
`552 F. Supp. 3d 1215 (M.D. Ala. 2021) .................................................................................... 2
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`Duffy v. Leading Edge Prods.,
`44 F.3d 308 (5th Cir. 1995) ............................................................................................... 2, 4, 6
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`Guangzhou Yucheng Trading Co. v. Dbest Prod., Inc.,
`No. CV214758JVSJDEX, 2022 WL 17886016 (C.D. Cal. Dec. 6, 2022) ................................ 2
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`In re Cyclobenzaprine Hydrochloride Extended-Release Capsule Pat. Litig.,
`676 F.3d 1063 (Fed. Cir. 2012) ................................................................................................. 2
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`MobileMedia Ideas LLC v. Apple Inc.,
`780 F.3d 1159 (Fed. Cir. 2015) ................................................................................................. 2
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`OSI Pharms., LLC v. Apotex Inc.,
`939 F.3d 1375 (Fed. Cir. 2019) ................................................................................................. 2
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`Procter & Gamble Co. v. Teva Pharms. USA, Inc.,
`566 F.3d 989 (Fed. Cir. 2009) ................................................................................................... 2
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`Schumer v. Lab’y Computer Sys., Inc.,
`308 F.3d 1304 (Fed. Cir. 2002) ................................................................................................. 2
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`Case 6:21-cv-00898-ADA Document 146 Filed 08/30/23 Page 4 of 11
`Case 6:21-cv-00898-ADA Document 146 Filed 08/30/23 Page 4 of 11
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`PUBLIC VERSION
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`I.
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`Introduction
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`Dr. Hanson’s invalidity theories rely, in part, 0)3
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`ES which ace purported prior art targeted
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`advertising, systems.[lls
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`MEE Sec 0°Connor Dep. (Ex. 2) 63:18-24
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`a P
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`S); ic. at 99:10-21
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`SES); Jaye Dep. (Ex. 3) 28:8-29:14ee
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`eer
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`ee)
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`Hanson Report (Ex. 1) {101 (acknowledging that
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`a a
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`s part of his obviousness theories Dr. Hanson proposes
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`es. 2x. | | 308.
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`Despite|
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`however, Dr. Hanson does not providejars
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`| As such, Amazon cannot
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`meetits burden of establishing obviousness by clear and convincing evidence.
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`IL.
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`Legal Standards
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`Obviousness requires a showing not only of motivation to combine, but also of a
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`reasonable expectation of success. Arctic Cat Inc. v. Bombardier Recreational Prod. Inc., 876
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`Case 6:21-cv-00898-ADA Document 146 Filed 08/30/23 Page 5 of 11
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`F.3d 1350, 1360–61 (Fed. Cir. 2017) (“We have held that where a party argues a skilled artisan
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`would have been motivated to combine references, it must show the artisan ‘would have had a
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`reasonable expectation of success from doing so.’”) (quoting In re Cyclobenzaprine
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`Hydrochloride Extended-Release Capsule Pat. Litig., 676 F.3d 1063, 1069 (Fed. Cir. 2012)).
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`Thus, a finding of obviousness with no corresponding finding of reasonable expectation of
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`success constitutes reversible error. See OSI Pharms., LLC v. Apotex Inc., 939 F.3d 1375, 1385
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`(Fed. Cir. 2019) (reversing obviousness determination where there was no substantial evidence
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`of reasonable expectation of success). It is a defendant’s burden to establish reasonable
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`expectation of success with “clear and convincing evidence.” Procter & Gamble Co. v. Teva
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`Pharms. USA, Inc., 566 F.3d 989, 994 (Fed. Cir. 2009).
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`As the Federal Circuit has explained, “to accept confusing or generalized testimony as
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`evidence of invalidity is improper.” Schumer v. Lab’y Computer Sys., Inc., 308 F.3d 1304, 1316
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`(Fed. Cir. 2002); MobileMedia Ideas LLC v. Apple Inc., 780 F.3d 1159, 1172 (Fed. Cir. 2015)
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`(“Conclusory statements by an expert . . . are insufficient to sustain a jury’s verdict.”). Thus,
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`“[a]n expert’s conclusory assertion does not give rise to a genuine issue of material fact.”
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`Autoliv ASP, Inc. v. Hyundai Mobis Co., 552 F. Supp. 3d 1215, 1235 (M.D. Ala. 2021); Duffy v.
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`Leading Edge Prods., 44 F.3d 308, 312 (5th Cir. 1995) (“Conclusory allegations unsupported
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`by concrete and particular facts will not prevent an award of summary judgment.”); Guangzhou
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`Yucheng Trading Co. v. Dbest Prod., Inc., No. CV214758JVSJDEX, 2022 WL 17886016, at
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`*21 n.13 (C.D. Cal. Dec. 6, 2022) (“incomplete and conclusory opinions cannot create a
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`disputed issue of material fact”).
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`Case 6:21-cv-00898-ADA Document 146 Filed 08/30/23 Page 6 of 11
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`III. Dr. Hanson provides
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`Dr. Hanson explicitly
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`”); see generally id. ¶¶ 778-810 (
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`However, Dr. Hanson provides
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`initial matter, Dr. Hanson
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`. And with regard to his
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`. As an
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`, Dr. Hanson provides only two conclusory sentences regarding
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`Ex. 1 ¶ 308. To the extent the above testimony can be understood as addressing reasonable
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`expectation of success, it is wholly conclusory, and
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`Case 6:21-cv-00898-ADA Document 146 Filed 08/30/23 Page 7 of 11
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`Indeed, Dr. Hanson’s testimony in this regard is no more detailed than the conclusory
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`allegation of reasonable expectation of success rejected in Asetek Danmark A/S v. CooIT
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`Systems, Inc. See Ex. 5, Case No. 19-cv-00410-EMC, Dkt. 504 at 12-13 (N.D. Cal. Sept. 11,
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`2022). There, defendant’s expert testified that “the combination or modification is also based on
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`conventional or known methods that would have yielded predictable results and been
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`reasonably expected to be successful by a POSITA.” Id. (internal alteration omitted). The court
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`evaluated that testimony, but concluded that “[t]his conclusory assertion is insufficient [to]
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`show reasonable expectation of success,” and granted motion for summary judgment of no
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`invalidity. Id.
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`Because Dr. Hanson’s opinion regarding
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` is unexplained and conclusory, it
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`is insufficient to avoid summary judgment on an issue where Amazon bears the burden of proof
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`by clear and convincing evidence. See Duffy, 44 F.3d 308 at 312. Although no other evidence
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`need be considered to grant summary judgment on this issue, here there is a wealth of evidence
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`suggesting that a POSITA would not have reasonably expected to succeed in
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`For instance, AlmondNet’s validity expert, Jason Frankovitz, testified that
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`. Frankovitz Report (Ex. 6) ¶¶ 281, 369. As Mr. Frankovitz
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`explained after reviewing the deposition testimony of DoubleClick’s founder Kevin O’Connor,
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`¶¶ 283, 370. Thus, Mr. Frankovitz provided the reasoned opinion that “
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`Case 6:21-cv-00898-ADA Document 146 Filed 08/30/23 Page 8 of 11
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`” and there is no evidence of record that a POSITA would have
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`reasonably expected to succeed in such experimentation or testing. Id. at ¶¶ 283-284, 370-371.
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`Likewise, even Amazon’s own expert, Dr. Houh, opines that “
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`.” Houh Opening Report ¶ 93 (Ex. 7). Dr. Houh goes on to
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` Id. ¶ 94. These types of real-time bidding
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`systems that
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`. See Ex. 1 ¶¶ 790, 970; Ex. 6 ¶¶ 277, 366 (“
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`”); see also Hanson Dep. (Ex. 8) 124:19-125:8 (“
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`Especially given that the evidence of record shows there would be numerous challenges
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`and difficulties involved in implementing a real-time bidding system in a combination involving
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`, Dr. Hanson’s conclusory opinions that his combination
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`involved only a
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` cannot establish a genuine issue of material fact as to reasonable expectation
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`Case 6:21-cv-00898-ADA Document 146 Filed 08/30/23 Page 9 of 11
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`of success. Duffy, 44 F.3d 308 at 312. Accordingly, the Court should grant summary judgment
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`of no invalidity in view of the theories raised by Dr. Hanson in paragraphs 773-843 and 953-
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`1029 of his report, which rely on
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`IV.
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`There is no evidence that a POSITA would have reasonably expected to succeed in
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`Other than
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`does not identify any specific modifications to
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`report, much less explain why any such unidentified modifications would had a reasonable
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`expectation of success. Normally, this would be the end of the inquiry. However, Dr. Hanson
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`made clear at his deposition that he intended to testify that “
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`” Ex. 8 43:16-
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`44:4.
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`Of course, one cannot show that a POSITA would have reasonably expected to succeed
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`in making modifications to
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`without even
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`explaining what those modifications might entail. And Dr. Hanson’s report fails to
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`reasonable expectation of success for any other modifications to
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`, and Amazon should be prevented from asserting obviousness at trial based on
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`. Accordingly, Amazon cannot show a
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`Date: August 23, 2023
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`Respectfully submitted,
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`By: /s/ Reza Mirzaie
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`Case 6:21-cv-00898-ADA Document 146 Filed 08/30/23 Page 10 of 11
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`Reza Mirzaie
`Marc A. Fenster
`Benjamin T. Wang
`Adam Hoffman
`James A. Milkey
`Amy E. Hayden
`James S. Tsuei
`Jonathan Ma
`Daniel B. Kolko
`Jason M. Wietholter
`RUSS AUGUST & KABAT
`12424 Wilshire Boulevard 12th Floor
`Los Angeles, California 90025
`Tel: 310-826-7474
`Fax: 310-826-6991
`rmirzaie@raklaw.com
`mfenster@raklaw.com
`bwang@raklaw.com
`ahoffman@raklaw.com
`jmilkey@raklaw.com
`ahayden@raklaw.com
`jtsuei@raklaw.com
`jma@raklaw.com
`dkolko@raklaw.com
`jwietholter@raklaw.com
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`Counsel for Plaintiff ALMONDNET, INC.
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`Case 6:21-cv-00898-ADA Document 146 Filed 08/30/23 Page 11 of 11
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`CERTIFICATE OF SERVICE
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`Pursuant to the Federal Rules of Civil Procedure and Local Rule CV-5, I hereby certify
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`that, on August 23, 2023, counsel of record who have appeared in this case are being served with
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`a copy of the foregoing via email.
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`/s/ Reza Mirzaie
`Reza Mirzaie
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`PUBLIC VERSION
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