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`UNITED STATES DISTRICT COURT
`FOR THE DISTRICT OF MASSACHUSETTS
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`PHILIPS NORTH AMERICA LLC,
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`Plaintiff,
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`Defendant.
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`v.
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`FITBIT, INC.,
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`Civil Action No. 1:19-cv-11586-IT
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`JURY TRIAL DEMANDED
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`RESPONSE TO FITBIT’S MOTION FOR LEAVE TO SUBMIT SUPPLEMENTAL
`AUTHORITY RELATING TO CLAIM CONSTRUCTION (DKT. 128)
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`Because of the reversible error in the California claim construction as to the ‘007 patent,
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`Philips North America, LLC (“Philips”) asked the California Court to convert its interlocutory
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`order to a final judgment under Rule 54 thereby permitting the Federal Circuit to review and correct
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`the error. The Federal Circuit has cautioned time and again against modifying the functional
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`language in a means-plus-function elements, especially to narrow broad functional statements,
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`because such modifications improperly force the claim to be broader than the statutory scope of
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`the claim which narrows it to supporting structure; finding it reversible error. (See discussion in
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`Philips’ brief at 3-5, C.D. Cal. Dkt. 110, attached as Exhibit 1.)1 This Court earlier received the
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`California claim construction order noting that “the court understands Defendant to have
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`proffered the interlocutory opinion for any persuasive value it may have and not for any
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`preclusive effect.” (See Dkt. 105, emphasis added.) The claim construction order has not changed
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`1 This court should also have Philips’ brief on the Rule 54(b) motion as it explains the reasons for seeking to convert
`the interlocutory order into a final judgment for immediate appeal.
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`Case 1:19-cv-11586-IT Document 129 Filed 01/04/21 Page 2 of 5
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`since then—it is still interlocutory. That the California court declined to convert the claim
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`construction to a final judgement merely highlights that it can be reviewed as an interlocutory
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`order, and that this court need not follow the same error in claim construction found in the
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`California court’s order.
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`The California court’s Rule 54 analysis focused on whether there was just reason for
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`delaying entry of final judgment as to the ’007 Patent in view of the similarity of the products at
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`issue—concluding there was reason to delay. Judge Birotte’s characterization of the claim
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`construction order in California as “a final judgment that can be certified for a Rule 54(b) appeal”
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`does not change the fact that the Court elected not to enter final judgment at this stage leaving the
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`order interlocutory and maintaining jurisdiction with the district court including for any further
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`interlocutory review. To the extent Fitbit intends to suggest that the California court’s
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`determinations as to the ’007 Patent have preclusive effect in this case, Fitbit invites error. The
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`Federal Circuit applies the law of the regional circuit in determining when issue preclusion applies.
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`See Soverain Software LLC v. Victoria’s Secret Direct Brand Management, LLC, 778 F.3d 1311
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`(Fed. Cir. 2015). In the First Circuit, issue preclusion only applies where “(1) the issue sought to
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`be precluded in the later action is the same as that involved in the earlier action; (2) the issue was
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`actually litigated; (3) the issue was determined by a valid and binding final judgment; and (4)
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`the determination of the issue was essential to the judgment.” See Rodriguez-Garcia v. Miranda-
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`Marin, 610 F.3d 756, 770 (1st Cir. 2010) (quoting Ramalto Bros. Printing, Inc. v. El Dia, Inc., 490
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`F.3d 86, 90 (1st Cir. 2007)).
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`The California Claim Construction order is not a “binding final judgment” with respect to
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`the ’007 Patent. When assessing the “finality” of a decision for the purposes of applying issue
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`preclusion, the First Circuit has applied the same standard as applied for the purposes of
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`Case 1:19-cv-11586-IT Document 129 Filed 01/04/21 Page 3 of 5
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`appealability and claim preclusion purposes—namely—whether the judgment or order resolves all
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`claims is appealable. See Lopez & Medina Corp. v. March USA, Inc., No. 05-1595, 2009 WL
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`8633205, *7 (1st Cir. Sept. 22, 2009) (citing AVX Corp. v. Cabot Corp., 424 F.3d 28 (1st Cir.
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`2005)). By the virtue of the Rule 54(b) decision, the invalidity determination in the Central District
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`of California is definitively not final and does not preclude this court from making its own decision
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`avoiding the reversible error of the California court.
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`To the extent Fitbit’s submission implies that the California court somehow reaffirmed its
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`claim construction ruling on some new grounds, this is also incorrect. Indeed, Philips presented
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`compelling arguments in its briefing on the motion as to why the claim construction order should
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`be overturned on appeal (Ex.1, pp. 3-5), and the Court did not address these at all in its ruling.
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`3
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`Case 1:19-cv-11586-IT Document 129 Filed 01/04/21 Page 4 of 5
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`Dated: January 4, 2021
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`Respectfully Submitted,
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` /s/ Eley O. Thompson
`Lucas I. Silva (BBO 673,935)
`Ruben J. Rodrigues (BBO 676,573)
`John Custer (BBO 705,258)
`FOLEY & LARDNER LLP
`111 Huntington Avenue
`Suite 2500
`Boston, MA 02199-7610
`Phone: (617) 342-4000
`Fax: (617) 342-4001
`lsilva@foley.com
`rrodrigues@foley.com
`jcuster@foley.com
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`Eley O. Thompson (pro hac vice)
`FOLEY & LARDNER LLP
`321 N. Clark Street
`Suite 2800
`Chicago, IL 60654-5313
`Phone: (312) 832-4359
`Fax: (312) 832-4700
`ethompson@foley.com
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`Counsel for Plaintiff
` Philips North America LLC
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`4
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`Case 1:19-cv-11586-IT Document 129 Filed 01/04/21 Page 5 of 5
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`CERTIFICATE OF SERVICE
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`The undersigned hereby certifies that a true and correct copy of the above document was
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`served on January 4, 2021 on counsel for Defendant via electronic mail.
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`By: /s/ Eley O Thompson
` Eley O. Thompson
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`5
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