throbber
Case 6:21-cv-00916-ADA-DTG Document 104 Filed 09/26/22 Page 1 of 55
`
`IN THE UNITED STATES DISTRICT COURT
`FOR THE WESTERN DISTRICT OF TEXAS
`WACO DIVISION
`
`RFCYBER CORP.,
`
`Plaintiff,
`
`v.
`
`APPLE INC.,
`
`Defendant.
`
`Civil Action No. 6:21-cv-00916-ADA
`
`JURY TRIAL DEMANDED
`
`DEFENDANT APPLE INC.’S ANSWER TO AMENDED COMPLAINT FOR PATENT
`INFRINGEMENT
`
`Defendant Apple Inc. (“Apple”) respectfully submits this response to the Amended
`
`Complaint filed by Plaintiff RFCyber Corp. (“RFCyber”). Except as expressly admitted below,
`
`Apple denies each and every allegation set forth in the Amended Complaint. Apple responds to
`
`the numbered paragraphs of the Amended Complaint and the prayer for relief as follows:
`
`THE PARTIES1
`
`Complaint No. 1: RFCyber is a Texas corporation with a place of business at 600
`
`Columbus Avenue, Suite 106, Waco, Texas 76701. RFCyber is the owner of all right, title, and
`
`interest in and to, or is the exclusive licensee with the right to sue for U.S. Patent Nos. 8,118,218,
`
`8,448,855, 9,189,787, 9,240,009, 10,600,046, and 11,018,724 (collectively, the “Patents-in-Suit”
`
`or “Asserted Patents”).
`
`1 Apple is adopting all headings used in RFCyber’s Amended Complaint for ease of reference.
`To the extent these headings contain any allegations to which a response is required, Apple
`denies any such allegations.
`
`WEST/300046833
`
`1
`
`

`

`Case 6:21-cv-00916-ADA-DTG Document 104 Filed 09/26/22 Page 2 of 55
`
`1.
`
`Apple lacks sufficient information to form a belief as to the truth of the allegations
`
`set forth in Paragraph 1 and on that basis denies them.
`
`Complaint No. 2: Defendant Apple, Inc. is a corporation organized and existing under the
`
`laws of California, with one or more regular and established places of business in this District at
`
`least at 12545 Riata Vista Circle, Austin, Texas 78727; 12801 Delcour Drive, Austin, Texas
`
`78727; 6800 W Parmer Lane, Austin, Texas 78729, and 3121 Palm Way, Austin, Texas 78758.
`
`Apple may be served with process through its registered agent, the CT Corp System, at 1999
`
`Bryan St., Ste. 900 Dallas, Texas 75201-3136. In November 2019, Apple stated that it had
`
`approximately 7,000 employees in Austin and that it expected to open, in 2022, a $1 billion, 3
`
`million-square-foot campus with capacity for 15,000 employees. See
`
`https://www.apple.com/newsroom/2019/11/apple-expands-in-austin/. Apple is registered to do
`
`business in the State of Texas and has been since at least May 16, 1980.
`
`2.
`
`Apple admits that it is a corporation organized under the laws of the state of
`
`California. Apple admits that it has one or more regular and established places of business in
`
`Austin, Texas. Apple admits that it is registered to do business in the State of Texas and may be
`
`served through its registered agent, the CT Corp System, at 1999 Bryan St., Ste. 900 in Dallas,
`
`Texas 75201. Apple admits that it has offices in Austin, Texas. Apple denies the remaining
`
`allegations contained in Paragraph 2.
`
`JURISDICTION AND VENUE
`
`Complaint No. 3: This is an action for patent infringement arising under the patent laws
`
`of the United States, 35 U.S.C. §§ 1, et seq. This Court has subject matter jurisdiction over this
`
`action pursuant to 28 U.S.C. §§ 1331, 1332, 1338, and 1367.
`
`3.
`
`Apple admits that this Court has jurisdiction over the subject matter of this action.
`
`WEST/300046833
`
`2
`
`

`

`Case 6:21-cv-00916-ADA-DTG Document 104 Filed 09/26/22 Page 3 of 55
`
`Complaint No. 4: The amount in controversy exceeds $75,000.
`
`4.
`
`Apple lacks sufficient information to form a belief as to the truth of the allegations
`
`set forth in Paragraph 4 and on that basis denies them.
`
`Complaint No. 5: This Court has specific and personal jurisdiction over Defendant
`
`consistent with the requirements of the Due Process Clause of the United States Constitution and
`
`the Texas Long Arm Statute. Upon information and belief, Defendant has sufficient minimum
`
`contacts with the forum because Defendant has physical locations and transacts substantial
`
`business in the State of Texas and in this Judicial District. Further, Defendant has, directly or
`
`through subsidiaries or intermediaries, committed and continues to commit acts of patent
`
`infringement in the State of Texas and in this Judicial District as alleged in this Complaint, as
`
`alleged more particularly below.
`
`5.
`
`Apple admits that this Court has general jurisdiction over Apple in this action.
`
`Apple denies the remaining allegations contained in Paragraph 5 and specifically denies that it has
`
`committed any acts of infringement in this District or elsewhere.
`
`Complaint No. 6: Venue is proper in this Judicial District pursuant to 28 U.S.C. §§
`
`1400(b) and 1391(b) and (c) because Defendant is subject to personal jurisdiction in this Judicial
`
`District, has committed acts of patent infringement in this Judicial District, and has a regular and
`
`established place of business in this Judicial District. Defendant, through its own acts, makes,
`
`uses, sells, and/or offers to sell infringing products within this Judicial District, regularly does and
`
`solicits business in this Judicial District, and has the requisite minimum contacts with the Judicial
`
`District such that this venue is a fair and reasonable one.
`
`WEST/300046833
`
`3
`
`

`

`Case 6:21-cv-00916-ADA-DTG Document 104 Filed 09/26/22 Page 4 of 55
`
`6.
`
`For the purposes of this litigation only, Apple admits venue is proper in the Austin
`
`Division of this District. Apple denies that it has committed any acts of patent infringement in this
`
`District or elsewhere. Apple denies all remaining allegations in Paragraph 6.
`
`PATENTS-IN-SUIT
`
`Complaint No. 7: On February 21, 2012, the United States Patent and Trademark Office
`
`duly and legally issued U.S. Patent No. 8,118,218 (the “’218 Patent”) entitled “Method and
`
`Apparatus for Providing Electronic Purse.” A true and correct copy of the ’218 Patent is attached
`
`as Exhibit A.
`
`7.
`
`Apple admits that U.S. Patent No. 8,118,218 is titled “Method and Apparatus for
`
`Providing Electronic Purse.” Apple admits that a document that purports to be a copy of the ’218
`
`patent is attached as Exhibit A. Apple lacks sufficient information to form a belief as to the truth
`
`of the remaining allegations set forth in Paragraph 7 and on that basis denies them.
`
`Complaint No. 8: On May 28, 2013, the United States Patent and Trademark Office duly
`
`and legally issued U.S. Patent No. 8,448,855 (the “’855 Patent”) entitled “Method and Apparatus
`
`For Funding An Electronic Purse.” A true and correct copy of the ’855 Patent is attached as
`
`Exhibit B.
`
`8.
`
`Apple admits that U.S. Patent No. 8,448,855 is titled “Method and Apparatus For
`
`Funding An Electronic Purse.” Apple admits that a document that purports to be a copy of the
`
`’855 patent is attached as Exhibit B. Apple lacks sufficient information to form a belief as to the
`
`truth of the remaining allegations set forth in Paragraph 8 and on that basis denies them.
`
`Complaint No. 9: On November 17, 2015, the United States Patent and Trademark Office
`
`duly and legally issued U.S. Patent No. 9,189,787 (the “’787 Patent”) entitled “Method and
`
`WEST/300046833
`
`4
`
`

`

`Case 6:21-cv-00916-ADA-DTG Document 104 Filed 09/26/22 Page 5 of 55
`
`Apparatus for Conducting E-Commerce and M-Commerce.” A true and correct copy of the ’787
`
`Patent is attached as Exhibit C.
`
`9.
`
`Apple admits that U.S. Patent No. 9,189,787 is titled “Method and Apparatus for
`
`Conducting E-Commerce and M-Commerce.” Apple admits that a document that purports to be a
`
`copy of the ’787 patent is attached as Exhibit C. Apple lacks sufficient information to form a
`
`belief as to the truth of the remaining allegations set forth in Paragraph 9 and on that basis denies
`
`them.
`
`Complaint No. 10: On January 19, 2016, the United States Patent and Trademark Office
`
`duly and legally issued U.S. Patent No. 9,240,009 (the “’009 Patent”) entitled “Mobile Devices
`
`for Commerce Over Unsecured Networks.” A true and correct copy of the ’009 Patent is attached
`
`as Exhibit D.
`
`10.
`
`Apple admits that U.S. Patent No. 9,240,009 is titled “Mobile Devices for
`
`Commerce Over Unsecured Networks.” Apple admits that a document that purports to be a copy
`
`of the ’009 patent is attached as Exhibit D. Apple lacks sufficient information to form a belief as
`
`to the truth of the remaining allegations set forth in Paragraph 10 and on that basis denies them.
`
`Complaint No. 11: On January March 24, 2020, the United States Patent and Trademark
`
`Office duly and legally issued U.S. Patent No. 10,600,046 (the “’046 Patent”) entitled “Method
`
`and Apparatus for Mobile Payments.” A true and correct copy of the ’046 Patent is attached as
`
`Exhibit E.
`
`11.
`
`Apple admits that U.S. Patent No. 10,600,046 is titled “Method and Apparatus for
`
`Mobile Payments.” Apple admits that a document that purports to be a copy of the ’046 patent is
`
`attached as Exhibit E. Apple lacks sufficient information to form a belief as to the truth of the
`
`remaining allegations set forth in Paragraph 11 and on that basis denies them.
`
`WEST/300046833
`
`5
`
`

`

`Case 6:21-cv-00916-ADA-DTG Document 104 Filed 09/26/22 Page 6 of 55
`
`Complaint No. 12: On May 25, 2021, the United States Patent and Trademark Office duly
`
`and legally issued U.S. Patent No. 11,018,724 (the “’724 Patent”) entitled “Method and
`
`Apparatus for Emulating Multiple Cards in Mobile Devices.” A true and correct copy of the ’724
`
`Patent is attached as Exhibit F.
`
`12.
`
`Apple admits that U.S. Patent No. 11,018,724 is titled “Method and Apparatus for
`
`Emulating Multiple Cards in Mobile Devices.” Apple admits that a document that purports to be
`
`a copy of the ’724 patent is attached as Exhibit F. Apple lacks sufficient information to form a
`
`belief as to the truth of the remaining allegations set forth in Paragraph 12 and on that basis denies
`
`them.
`
`Complaint No. 13: RFCyber is the sole and exclusive owner of all right, title and interest
`
`to and in, or is the exclusive licensee with the right to sue for, the ’218, ’855, ’787, ’009, ’046,
`
`and ’724 Patents, and holds the exclusive right to take all actions necessary to enforce its rights to
`
`the Patents-in-Suit, including the filing of this patent infringement lawsuit. RFCyber also has the
`
`right to recover all damages for past, present, and future infringement of the Patents-in-Suit and to
`
`seek injunctive relief as appropriate under the law.
`
`13.
`
`Apple lacks sufficient information to form a belief as to the truth of the allegations
`
`set forth in Paragraph 13 and on that basis denies them.
`
`INFRINGEMENT ALLEGATIONS
`
`Complaint No. 14: The technologies of the Patents-in-Suit were variously invented by
`
`Liang Seng Koh, Hsin Pan, Xiangzhen Xie, Futong Cho, and Fuliang Cho. The Patents-in-Suit
`
`generally cover apparatus and methods for enabling secure contactless payment with a portable
`
`device. In one exemplary embodiment, a smart card module including a secure element may
`
`emulate a payment card over near field communications (“NFC”). For example, users may select
`
`WEST/300046833
`
`6
`
`

`

`Case 6:21-cv-00916-ADA-DTG Document 104 Filed 09/26/22 Page 7 of 55
`
`one of a plurality of payment cards stored in a memory of the secure element, and carry out a
`
`transaction via NFC at a point of service (“POS”). In another embodiment, the device may
`
`securely conduct transactions over an open network with a payment server. By facilitating the
`
`settlement of charges using an NFC mobile device to read off data pertaining to an electronic
`
`invoice, the inventions of the Patents-in-Suit provide significant time-savings, particularly in
`
`situations where a payment process would otherwise involve more than one contact between a
`
`merchant and consumer.
`
`14.
`
`Apple lacks sufficient information to form a belief as to the truth of the allegations
`
`set forth in Paragraph 14 and on that basis denies them.
`
`Complaint No. 15: Apple has manufactured, used, marketed, distributed, sold, offered for
`
`sale, and exported from and imported into the United States devices and software that infringe the
`
`Patents-in-Suit. Apple has distributed variants of Apple Pay that have included functionality to
`
`emulate a payment card and settle a transaction via NFC and/or MST at least since October
`
`2014.1 Apple Pay is operable on a range of Apple devices, including at least all devices from the
`
`iPhone 6, iPhone 6 Plus, and above, including, at least all variants of the following Apple devices:
`
`iPhone 6, iPhone 6 Plus, iPhone SE, iPhone 7, iPhone 7Plus, iPhone 8, iPhone 8 Plus, iPhone X,
`
`iPhone 11, iPhone 12, iPad Pro, iPad Air, iPad, and iPad mini models with Touch ID or Face ID,
`
`Apple Watch Series 1 and later, Mac models with Touch ID, Mac computers with Apple Silicon
`
`that are paired with a Magic Keyboard with Touch ID, and all Apple devices released since
`
`October 2014.2 The current and previous versions of Apple Pay and devices running Apple Pay,
`
`alone and together, are non-limiting instances of the Accused Products. The Accused Products
`
`include, for example, the representative iPhone X running Apple Pay. The Accused Products
`
`WEST/300046833
`
`7
`
`

`

`Case 6:21-cv-00916-ADA-DTG Document 104 Filed 09/26/22 Page 8 of 55
`
`practice the claims of the Patents-in-Suit to improve the shopping experience of their users, and to
`
`improve Apple’s position in the market.
`
`15.
`
`Apple denies that any of its devices or software infringe the asserted patents.
`
`Apple admits that Apple Pay is operable on certain Apple devices including certain iPhone, iPad,
`
`Apple Watch, and Mac computers. Apple denies the remaining allegations contained in Paragraph
`
`15.
`
`Complaint No. 16: In August of 2016, LogicPatents, a broker, contacted Apple regarding
`
`the RFCyber patent portfolio, specifically the ’218, ’855, ’787, and ’009 Patents, as well as the
`
`applications that eventually issued as the ’046 and ’724 Patents.
`
`16.
`
`Pursuant to the Court’s Order granting Apple’s Renewed Motion to Dismiss
`
`RFCyber’s indirect and willful infringement claims (ECF No. 98), Apple understands that it need
`
`not respond to these allegations. To the extent a response is required, Apple denies all allegations
`
`contained in Paragraph 16.
`
`Complaint No. 17: No agreement was reached with Apple regarding any of the Patents-
`
`in-Suit.
`
`17.
`
`Pursuant to the Court’s Order granting Apple’s Renewed Motion to Dismiss
`
`RFCyber’s indirect and willful infringement claims (ECF No. 98), Apple understands that it need
`
`not respond to these allegations. To the extent a response is required, Apple denies all allegations
`
`contained in Paragraph 17.
`
`Complaint No. 18: At least as a result of LogicPatents contacting Apple, Apple has had
`
`knowledge of the ’218, ’855, ’787, and ’009 Patents since at least August 2016.
`
`18.
`
`Pursuant to the Court’s Order granting Apple’s Renewed Motion to Dismiss
`
`RFCyber’s indirect and willful infringement claims (ECF No. 98), Apple understands that it need
`
`WEST/300046833
`
`8
`
`

`

`Case 6:21-cv-00916-ADA-DTG Document 104 Filed 09/26/22 Page 9 of 55
`
`not respond to these allegations. To the extent a response is required, Apple denies all allegations
`
`contained in Paragraph 18.
`
`Complaint No. 19: On information and belief, as a result of LogicPatents contacting
`
`Apple, Apple has had knowledge of the ’046 and ’724 Patents since they issued on March 24,
`
`2020 and May 25, 2021, respectively.
`
`19.
`
`Pursuant to the Court’s Order granting Apple’s Renewed Motion to Dismiss
`
`RFCyber’s indirect and willful infringement claims (ECF No. 98), Apple understands that it need
`
`not respond to these allegations. To the extent a response is required, Apple denies all allegations
`
`contained in Paragraph 19.
`
`Complaint No. 20: Apple is the assignee of U.S. Patent No. 10,878,414 (“the ’414
`
`Patent”). On September 23, 2016, during prosecution of the ’414 Patent, Apple listed the
`
`publication of the ’009 Patent’s application in an information disclosure statement to the United
`
`States Patent Office. Apple therefore had knowledge of the ’009 Patent since at least September
`
`23, 2016. On information and belief, Apple’s investigation that discovered the ’009 Patent
`
`provided it with knowledge of the other Patents-in-Suit at least as of the same time.
`
`20.
`
`Pursuant to the Court’s Order granting Apple’s Renewed Motion to Dismiss
`
`RFCyber’s indirect and willful infringement claims (ECF No. 98), Apple understands that it need
`
`not respond to these allegations. To the extent a response is required, Apple denies all allegations
`
`contained in Paragraph 20.
`
`Complaint No. 21: Apple is the assignee of U.S. Patent No. 10,929,843 (“the ’843
`
`Patent”). During prosecution, the Patent Examiner cited 15 RFCyber patents and applications,
`
`including the ’009 and ’046 Patents. Apple therefore had knowledge of at least the ’009 and ’046
`
`WEST/300046833
`
`9
`
`

`

`Case 6:21-cv-00916-ADA-DTG Document 104 Filed 09/26/22 Page 10 of 55
`
`Patents at least as of April 29, 2020, when the Examiner cited them during prosecution of the ’843
`
`Patent.
`
`21.
`
`Pursuant to the Court’s Order granting Apple’s Renewed Motion to Dismiss
`
`RFCyber’s indirect and willful infringement claims (ECF No. 98), Apple understands that it need
`
`not respond to these allegations. To the extent a response is required, Apple denies all allegations
`
`contained in Paragraph 21.
`
`Complaint No. 22: On information and belief, as a sophisticated company with an
`
`experienced legal department, Apple investigated RFCyber’s issued patents after seeing numerous
`
`RFCyber patents and applications cited during prosecution of the ’843 Patent. On information and
`
`belief, Apple further had knowledge of the Patents-in-Suit at least since November 29, 2017,
`
`when the Examiner cited six RFCyber patent applications during prosecution of the ’843 Patent.
`
`22.
`
`Pursuant to the Court’s Order granting Apple’s Renewed Motion to Dismiss
`
`RFCyber’s indirect and willful infringement claims (ECF No. 98), Apple understands that it need
`
`not respond to these allegations. To the extent a response is required, Apple denies all allegations
`
`contained in Paragraph 22.
`
`Complaint No. 23: Apple has also had knowledge of the Patents-in-Suit, and the way that
`
`its products infringe those patents, since it received the original Complaint in this case, filed on
`
`September 7, 2021 and served on September 13, 2021.
`
`23.
`
`Pursuant to the Court’s Order granting Apple’s Renewed Motion to Dismiss
`
`RFCyber’s indirect and willful infringement claims (ECF No. 98), Apple understands that it need
`
`not respond to these allegations. To the extent a response is required, Apple denies all allegations
`
`contained in Paragraph 16.
`
`WEST/300046833
`
`10
`
`

`

`Case 6:21-cv-00916-ADA-DTG Document 104 Filed 09/26/22 Page 11 of 55
`
`Complaint No. 24: Apple’s infringement of the Patents-in-Suit is willful. Apple continues
`
`to commit acts of infringement despite a high likelihood that its actions constitute infringement,
`
`and Apple knew or should have known that its actions constituted an unjustifiably high risk of
`
`infringement. Apple’s infringement of patents that were specifically disclosed to it, and that it
`
`declined to reach an agreement on, and its continuing infringement after the filing of the original
`
`Complaint, is particularly egregious.
`
`24.
`
`Apple denies the allegations contained in Paragraph 24.
`
`Complaint No. 25: RFCyber has at all times complied with the marking provisions of 35
`
`U.S.C. § 287 with respect to the Patents-in-Suit. On information and belief, any prior assignees
`
`and licensees have also complied with the marking provisions of 35 U.S.C. § 287.
`
`25.
`
`Apple lacks sufficient information to form a belief as to the truth of the allegations
`
`set forth in Paragraph 25 and on that basis denies them.
`
`COUNT I
`(Infringement of the ’218 Patent)
`
`Complaint No. 26: Paragraphs 1 through 25 are incorporated herein by reference as if
`
`fully set forth in their entireties.
`
`26.
`
`Apple incorporates its responses to Paragraphs 1 through 25 herein by reference.
`
`Complaint No. 27: RFCyber has not licensed or otherwise authorized Apple to make, use,
`
`offer for sale, sell, or import any products that embody the inventions of the ’218 Patent.
`
`27.
`
`Apple lacks sufficient information to form a belief as to the truth of the allegations
`
`set forth in Paragraph 27 and on that basis denies them.
`
`Complaint No. 28: Apple infringes, contributes to the infringement of, and/or induces
`
`infringement of the ’218 Patent by making, using, selling, offering for sale, distributing, exporting
`
`WEST/300046833
`
`11
`
`

`

`Case 6:21-cv-00916-ADA-DTG Document 104 Filed 09/26/22 Page 12 of 55
`
`from, and/or importing into the United States products and/or methods covered by one or more
`
`claims of the ’218 Patent, including, but not limited to, at least the Accused Products.
`
`28.
`
`Apple denies the allegations contained in Paragraph 28.
`
`Complaint No. 29: Apple has directly infringed and continues to directly infringe the
`
`’218 Patent, either literally or under the doctrine of equivalents, without authority and in violation
`
`of 35 U.S.C. § 271, by making, using, offering to sell, selling and/or importing into the United
`
`States products that satisfy each and every limitation of one or more claims of the ’218 Patent.
`
`Upon information and belief, these products include the Accused Products that practice the
`
`methods and systems covered by the ’218 Patent, including, for example, card emulation and
`
`NFC payment functionality implemented by Apple Pay running on an Apple device, such as the
`
`representative iPhone X. For example, these products infringe at least claim 1 of the ’218 Patent.
`
`29.
`
`Apple denies the allegations contained in Paragraph 29.
`
`Complaint No. 30: For example, Apple has and continues to directly infringe at least
`
`claim 1 of the ‘218 Patent by making, using, offering to sell, selling and/or importing into the
`
`United States products that implement a method for providing an e-purse, the method comprising:
`
`providing a portable device including or communicating with a smart card pre-loaded with an
`
`emulator configured to execute a request from an e-purse applet and provide a response the e-
`
`purse applet is configured to expect, the portable device including a memory space loaded with a
`
`midlet that is configured to facilitate communication between the e-purse applet and a payment
`
`server over a wireless network, wherein the e-purse applet is downloaded and installed in the
`
`smart card when the smart card is in communication with the payment server, the portable device
`
`further includes a contactless interface that facilitates communication between the e-purse applet
`
`in the smart card and the payment server over a wired network; personalizing the e-purse applet
`
`WEST/300046833
`
`12
`
`

`

`Case 6:21-cv-00916-ADA-DTG Document 104 Filed 09/26/22 Page 13 of 55
`
`by reading off data from the smart card to generate in the smart card one or more operation keys
`
`that are subsequently used to establish a secured channel between the e-purse applet and an e-
`
`purse security authentication module (SAM) external to the smart card, wherein said
`
`personalizing the e-purse applet comprises: establishing an initial security channel between the
`
`smart card and the e-purse SAM to install and personalize the e-purse applet in the smart card,
`
`and creating a security channel on top of the initial security channel to protect subsequent
`
`operations of the smart card with the e-purse SAM, wherein any subsequent operation of the
`
`emulator is conducted over the security channel via the e-purse applet.
`
`30.
`
`Apple denies the allegations contained in Paragraph 30.
`
`Complaint No. 31: The Accused Products provide a portable device, such as the Apple
`
`iPhone X, including or communicating with a smart card pre-loaded with an emulator configured
`
`to execute a request from an e-purse applet and provide a response the e-purse applet is
`
`configured to expect. For example, the iPhone X includes or communicates with a smart card
`
`such as an NFC module, and/or assembly of an NFC module, secure element, processor,
`
`microcontroller, and/or memory, such as an NXP 80V18 PN80V NFC Controller. On information
`
`and belief, the smart card (e.g. NFC module) of the iPhone X is pre-loaded with an emulator
`
`configured to execute a request from an e-purse applet, such as a payment card applet within
`
`Apple Pay, and provide a response that the applet is configured to expect.
`
`31.
`
`Apple denies the allegations contained in Paragraph 31.
`
`Complaint No. 32: For example, Accused Products, such as the iPhone X, include a
`
`memory space loaded with a midlet, such as Apple Wallet or other software, that is configured to
`
`facilitate communication between the e-purse applet, such as a payment card stored on the
`
`product, and a payment server, such as a merchant and/or financial institution payment server,
`
`WEST/300046833
`
`13
`
`

`

`Case 6:21-cv-00916-ADA-DTG Document 104 Filed 09/26/22 Page 14 of 55
`
`over a wireless network. For example, on information and belief, the Apple iPhone X comprises
`
`memory such as RAM, ROM, Flash, and/or EEPROM, including in both the NFC module and
`
`secure element. For example, on information and belief, the secure element of the Apple iPhone
`
`X running Apple Pay further comprises a memory such as RAM, ROM, Flash, and/or EEPROM.
`
`32.
`
`Apple denies the allegations contained in Paragraph 32.
`
`Complaint No. 33: The Accused Products further perform a method wherein the e-purse
`
`applet is downloaded and installed in the smart card when the smart card is in communication
`
`with the payment server. For example, the Apple iPhone X running Apple Pay operates to
`
`download and install a payment card applet when the NFC module is in communication with the
`
`payment institution’s server:
`
`33.
`
`Apple denies the allegations contained in Paragraph 33.
`
`Complaint No. 34: The Accused Products further include a contactless interface that
`
`facilitates communication between the e-purse applet in the smart card and the payment server
`
`over a wired network. For example, on information and belief, the NFC module of the Apple
`
`iPhone X includes a contactless NFC interface that facilitates communication between a payment
`
`card applet and a payment server over a wired network, such as via a payment card reader at a
`
`POS connected to a payment server via wired network:
`
`34.
`
`Apple denies the allegations contained in Paragraph 34.
`
`Complaint No. 35: The Accused Products further personalize the e-purse applet (e.g.
`
`payment card applet within Apple Pay) by reading off data from the smart card (e.g. NFC Module
`
`or secure element) to generate in the smart card one or more operation keys that are subsequently
`
`used to establish a secured channel between the e-purse applet and an e-purse security
`
`authentication module (SAM) external to the smart card. For example, on information and belief,
`
`WEST/300046833
`
`14
`
`

`

`Case 6:21-cv-00916-ADA-DTG Document 104 Filed 09/26/22 Page 15 of 55
`
`Apple Pay establishes operations keys that operate to establish secure connections between a
`
`stored payment card and an authentication module at a server of the card issuer and/or merchant
`
`when adding a given card to the device for the first time, and/or subsequently during transactions:
`
`35.
`
`Apple denies the allegations contained in Paragraph 35.
`
`Complaint No. 36: The Accused Products further practice a method wherein
`
`personalizing the e-purse applet (e.g. configuring the payment card applet within Apple Pay)
`
`comprises establishing an initial security channel between the smart card and the e-purse SAM to
`
`install and personalize the e-purse applet in the smart card. For example, on information and
`
`belief, Apple Pay operates to establish a security channel with at least an Apple server after a user
`
`enters details for a given payment card, and operates to install and personalize the applet in the
`
`smart card, such as to install the card with the user’s personal information in the secure element:
`
`36.
`
`Apple denies the allegations contained in Paragraph 36.
`
`Complaint No. 37: The Accused Products create a security channel on top of the initial
`
`security channel to protect subsequent operations of the smart card within the e-purse SAM,
`
`wherein any subsequent operation of the emulator is conducted over the security channel via the
`
`e-purse applet. For example, on information and belief, once a payment card applet is installed,
`
`operation of the emulator is conducted via operation of the e-purse applet using the security key
`
`installed during the personalization process.
`
`37.
`
`Apple denies the allegations contained in Paragraph 37.
`
`Complaint No. 38: Apple has had knowledge and notice of the ‘218 Patent at least as of
`
`August 2016.
`
`38.
`
`Pursuant to the Court’s Order granting Apple’s Renewed Motion to Dismiss
`
`RFCyber’s indirect and willful infringement claims (ECF No. 98), Apple understands that it need
`
`WEST/300046833
`
`15
`
`

`

`Case 6:21-cv-00916-ADA-DTG Document 104 Filed 09/26/22 Page 16 of 55
`
`not respond to these allegations. To the extent a response is required, Apple denies all allegations
`
`contained in Paragraph 38.
`
`Complaint No. 39: Apple has had knowledge of how its products infringe the ’218 Patent
`
`since at least September 7, 2021. Despite that knowledge, Apple continues to infringe the ’218
`
`Patent both directly and indirectly.
`
`39.
`
`Pursuant to the Court’s Order granting Apple’s Renewed Motion to Dismiss
`
`RFCyber’s indirect and willful infringement claims (ECF No. 98), Apple understands that it need
`
`not respond to these allegations. To the extent a response is required, Apple denies all allegations
`
`contained in Paragraph 39.
`
`Complaint No. 40: Apple has indirectly infringed and continues to indirectly infringe one
`
`or more claims of the ’218 Patent, as provided by 35 U.S.C. § 271(b), by inducing infringement
`
`by others, such as Apple’s customers and end-users, in this District and elsewhere in the United
`
`States. For example, Apple’s customers and end-users directly infringe, either literally or under
`
`the doctrine of equivalents, through their use of the inventions claimed in the ’218 Patent. Apple
`
`induces this direct infringement through its affirmative acts of manufacturing, selling,
`
`distributing, and/or otherwise making available the Accused Products, and providing instructions,
`
`documentation, and other information to customers and end-users suggesting that they use the
`
`Accused Products in an infringing manner, including technical support, marketing, product
`
`manuals, advertisements, and online documentation. Because of Apple’s inducement, Apple’s
`
`customers and end-users use Accused Products in a way Apple intends and directly infringe the
`
`’218 Patent. Apple performs these affirmative acts with knowledge of the ’218 Patent and with
`
`the intent, or willful blindness, that the induced acts directly infringe the ’218 Patent.
`
`40.
`
`Apple denies the allegations contained in Paragraph 40.
`
`WEST/300046833
`
`16
`
`

`

`Case 6:21-cv-00916-ADA-DTG Document 104 Filed 09/26/22 Page 17 of 55
`
`Complaint No. 41: Apple has indirectly infringed and continues to indirectly infringe one
`
`or more claims of the ’218 Patent, as provided by 35 U.S.C. § 271(c), by contributing to direct
`
`infringement by others, such as customers and end-users, in this District and elsewhere in the
`
`United States. Apple’s affirmative acts of selling and offering to sell the Accused Products in this
`
`District and elsewhere in the United States and causing the Accused Products to be manufactured,
`
`used, sold and offered for sale contributes to others’ use and manufacture of the Accused Products
`
`such that the ’218 Patent is directly infringed by others. The accused components within the
`
`Accused Products are material to the invention of the ’218 Patent, are not staple articles or
`
`commodities of commerce, have no substantial non-infringing uses, and are known by Apple to
`
`be especially made or adapted for use in the infringement of the ’218 Patent. Apple performs
`
`these affirmative acts with knowledge of the ’218 Patent and with intent, or willful blindness, that
`
`they cause the direct infringement of the ’218 Patent.
`
`41.
`
`Apple denies the allegations contained in Paragraph 41.
`
`Complaint No. 42: Because of Apple’s direct and indirect infringement of the ’218
`
`Patent

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