throbber
Case 2:16-cv-00681-JRG Document 34 Filed 09/29/16 Page 1 of 30 PageID #: 373
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`UNITED STATES DISTRICT COURT
`FOR THE EASTERN DISTRICT OF TEXAS
`MARSHALL DIVISION
`
`T-REX PROPERTY AB,
`
`Plaintiff,
`
`v.
`
`NATIONAL CINEMEDIA, LLC,
`
`Defendant.
`
`Civil Action No.: 2:16-cv-681
`
`JURY TRIAL DEMANDED
`
`PLAINTIFF’S FIRST AMENDED COMPLAINT FOR PATENT INFRINGEMENT
`
`Plaintiff T-Rex Property AB, by and through its undersigned counsel, files this First
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`Amended Complaint against Defendant National CineMedia, LLC as follows:
`
`NATURE OF THE ACTION
`
`1.
`
`This is an action for patent infringement arising under the patent laws of the
`
`United States, 35 U.S.C. § 1 et seq., including 35 U.S.C. §§ 271, 281, 283, 284 and 285.
`
`PARTIES
`
`2.
`
`Plaintiff T-Rex Property AB is a company organized and existing under the laws
`
`of Sweden with its principal place of business at Vårvägen 6, 18274 Stocksund, Sweden.
`
`3.
`
`On information and belief, Defendant National CineMedia, LLC (“NCM”) is a
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`Delaware limited liability company with its Principal Executive Offices located at 9110 East
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`Nichols Avenue, Suite 200, Centennial, Colorado 80112, and has C T Corporation System, 1999
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`Bryan Street, Suite 900, Dallas, Texas 75201 as its registered agent.
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`JURISDICTION AND VENUE
`
`4.
`
`This Court has subject matter jurisdiction over this patent infringement action
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`under 28 U.S.C. §§ 1331 and 1338(a).
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`5.
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`This Court has personal jurisdiction over Defendant because, on information and
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`belief, Defendant has systematic and continuous contacts with Texas and this judicial district
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`because Defendant regularly transacts business in the State of Texas and in this judicial district
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`because it has long term services agreements with multiple theaters that are located in this
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`judicial district as well as other theaters that are located elsewhere in the State of Texas, it has
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`thereby purposefully availed itself of the benefits and protections of the laws of the State of
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`Texas. Furthermore, this Court has personal jurisdiction over Defendant because, as described
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`further below, Defendant has committed acts of patent infringement giving rise to this action
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`within the State of Texas and this judicial district and has thus established minimum contacts
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`such that the exercise of personal jurisdiction over Defendant does not offend traditional notions
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`of fair play and substantial justice.
`
`6.
`
`7.
`
`Venue is proper in this Judicial District under 28 U.S.C. §§ 1391 and 1400(b).
`
`THE PATENTS-IN-SUIT
`
`The allegations set forth in the foregoing paragraphs 1 through 6 are hereby re-
`
`alleged and incorporated herein by reference.
`
`8.
`
`On January 16, 2007, U.S. Patent Number RE39,470, entitled “Digital
`
`Information System,” was duly and legally issued by the United States Patent and Trademark
`
`Office. A true and correct copy of the ’470 Patent is attached as Exhibit A to this First Amended
`
`Complaint.
`
`9.
`
`The ’470 Patent is a reissue of U.S. Patent Number 6,005,534, which was filed on
`
`July 2, 1996 and which claims priority under 35 U.S.C. § 119(e) to U.S. Provisional Patent
`
`Application Number 60/017,403, which was filed on May 14, 1996. The ’534 Patent also claims
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`priority under 35 U.S.C. § 119(a)-(d) to foreign patent application number 9601603-5, which
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`was filed on April 26, 1996 in Sweden. As “[p]riority under section 119, 365(a), 365(b), 386(a),
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`2
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`or 386(b) shall not be taken into account in determining the term of a patent,” (35 U.S.C. §
`
`154(a)(3)) the ’470 Patent expires 20 years from July 2, 1996.
`
`10.
`
`The innovations described by the ’470 Patent “relate[] to a method and apparatus
`
`for controlling and coordinating” electronic displays “in a digital information system for
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`displaying information on at least one display device . . . said information being displayed in
`
`places that are accessible to and frequented by a general public.” (’470 Patent at 1:15-21; 6:25-
`
`29.) “An object of the present invention is to provide a flexible system in which external
`
`information mediators are able to dynamically control in real time the transmission of display
`
`instructions to a larger public in different places” “and to enable similar or specific information
`
`to be displayed in places that are mutually far apart.” (Id. at 2:39-42; 2:52-54.)
`
`11.
`
`A system operating according to an embodiment of the ’470 Patent can include a
`
`control center with a communication interface that connects devices to create and update a
`
`display list in real time using control instruction fields sent from external mediators and to
`
`transmit and display the desired images to one or more electronic displays that can be controlled
`
`independently of other electronic displays. (Id. at 3:4-19; 4:42-45.) In embodiments, the control
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`center can include one or more servers, workstations, and databases stored on one or more
`
`physical storage devices, and can include redundancy, of both computer hardware and the
`
`information stored, where the devices can be connected using a network, such as a LAN (Local
`
`Area Network) or by using a cable-carried ISDN solution (Integrated Services Digital Network)
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`or other fixed lines that have a similar capacity. (Id. at 4:57-5:16; 5:59-67; 6:41-59; 12:55-13:7.)
`
`12.
`
`In one embodiment of the invention, personnel operating a work station can enter
`
`information to be displayed from an external mediator via projector control instructions in the
`
`exposure list created by the server. (Id. at 8:10-26.) Operators are able to interrupt a queue in the
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`3
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`server in order to update the exposure list with information generated centrally from the control
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`center or with information from an external information mediator. (Id.)
`
`13.
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`Information mediators can use an exposure program to deliver complete images
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`(e.g. an image, a series of images or a video clip) for display which would not require processing
`
`by the control center. (Id. at 11:19-28.) These can be dynamically added to the exposure list by
`
`the exposure handler. (Id.) External information mediators can thus deliver a complete image for
`
`display (an image, a series of images or a video clip) which can be processed automatically and
`
`inserted into the exposure list, or an administrator can select information from an external
`
`mediator and process the information so that it can be inserted into the exposure list via the
`
`exposure handler. (Id. at 8:27-41.)
`
`14. Multiple benefits flow from the implementation of certain embodiments of the
`
`innovations described by the ’470 Patent, such as controlling and coordinating digital signage
`
`displays dynamically—beyond merely scheduling content to be displayed on remote screens.
`
`Other benefits include permitting an advertiser to monitor the results of an ad campaign, and in
`
`response to those results, to dynamically alter the presented ad message as part of a feedback
`
`loop. This also enables an advertiser to gather important data for creating the next ad campaign,
`
`or the next iteration of the ad campaign. The innovations described by the ’470 Patent thus
`
`function differently from traditional or conventional methods of operation for digital signage.
`
`15.
`
`On June 3, 2008, U.S. Patent Number 7,382,334, entitled “Digital Information
`
`System,” was duly and legally issued by the United States Patent and Trademark Office. A true
`
`and correct copy of the ’334 Patent is attached as Exhibit B to this First Amended Complaint.
`
`16.
`
`The innovations described by the ’334 Patent relate to methods and arrangements
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`“for controlling and coordinating” digital display devices “in a digital information system for
`
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`4
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`displaying information on at least one display device” “wherein the information is displayed in
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`places that are accessible to and frequented by a general public.” (’334 Patent at Abstract; 1:13-
`
`24; 5:20-32.) The present invention is able “to provide a flexible system in which external
`
`information mediators are able to dynamically control in real time the transmission of display
`
`instructions to a larger public in different places” “and to enable similar or specific information
`
`to be displayed in places that are mutually far apart.” (Id. at 2:56-60; 3:5-11.)
`
`17.
`
`A system operating according to an embodiment of the ’334 Patent can include a
`
`control center with a communication interface that connects devices to create and update a
`
`display list in real time using control instruction fields sent from external mediators and to
`
`transmit and display the desired images to one or more electronic displays that can be controlled
`
`independently of other electronic displays. (Id. at 3:38-60; 5:29-30.) In embodiments, the control
`
`center can include one or more servers, workstations, and databases stored on one or more
`
`physical storage devices, and can include redundancy, of both computer hardware and the
`
`information stored, where the devices can be connected using a network, such as a LAN (Local
`
`Area Network) or by using a cable-carried ISDN solution (Integrated Services Digital Network)
`
`or other fixed lines that have a similar capacity. (Id. at 6:17-45; 7:17-29; 11:60-67.) In some
`
`embodiments, a relational database can be used to store image and video data and each electronic
`
`display can be assigned a unique TCP/IP (Transmission Control Protocol /Internet Protocol)
`
`address such that each display can be individually addressed and sent content for display. (Id. at
`
`14:50-15:8.)
`
`18.
`
`In one embodiment of the invention, personnel operating a work station can enter
`
`information to be displayed from an external mediator via projector control instructions in the
`
`exposure list created by the server. (Id. at 9:45-61.) Operators are able to interrupt a queue in the
`
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`5
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`server in order to update the exposure list with information generated centrally from the control
`
`center or with information from an external information mediator. (Id.)
`
`19.
`
`Information mediators can use an exposure program to deliver complete images
`
`(e.g. an image, a series of images or a video clip) for display which would not require processing
`
`by the control center. (Id. at 12:12-22.) These can be dynamically added to the exposure list by
`
`the exposure handler. (Id.) External information mediators can thus deliver a complete image for
`
`display (an image, a series of images or a video clip) which can be processed automatically and
`
`inserted into the exposure list, or an administrator can select information from an external
`
`mediator and process the information so that it can be inserted into the exposure list via the
`
`exposure handler. (Id. at 9:62-10:9.)
`
`20. Multiple benefits flow from the implementation of certain embodiments of the
`
`innovations described by the ’334 Patent, such as controlling and coordinating digital signage
`
`displays dynamically—beyond merely scheduling content to be displayed on remote screens.
`
`Other benefits include permitting an advertiser to monitor the results of an ad campaign, and in
`
`response to those results, to dynamically alter the presented ad message as part of a feedback
`
`loop. This also enables an advertiser to gather important data for creating the next ad campaign,
`
`or the next iteration of the ad campaign. The innovations described by the ’334 Patent thus
`
`function differently from traditional or conventional methods of operation for digital signage.
`
`21.
`
`On August 6, 2002, U.S. Patent Number 6,430,603, entitled “System for Direct
`
`Placement of Commercial Advertising, Public Service Announcements and Other Content on
`
`Electronic Billboard Displays” was duly and legally issued by the United States Patent and
`
`Trademark Office. A true and correct copy of the ’603 Patent is attached as Exhibit C to this
`
`First Amended Complaint.
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`6
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`22.
`
`The innovations described by the ’603 Patent “relate[] to systems permitting
`
`advertisers to target geographical regions and demographic groups with ever changing, current
`
`advertising content without incurring the high fixed cost of traditional single-message
`
`billboards.” (’603 Patent at 1:7-10.)
`
`23.
`
`A system operating according to an embodiment of the ’603 Patent can include “a
`
`central information processing center,” a network of “high resolution electronic displays located
`
`in high traffic areas.” (Id. at 2:7; 1:15-16.) “The electronic displays preferably are large (e.g.,
`
`23×33½ ft.) flat LED displays that are driven by their own video or image servers. (Id. at 2:16-
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`18.) “In preferred embodiments, each display is a . . . high resolution, full color display that
`
`provides brilliant light emission from a flat panel screen.” (Id. at 2:62-65.) “Commercial
`
`advertisers” can “directly send their own advertisements electronically to the network to be
`
`displayed at locations and times selected by the advertiser.” (Id. at 1:12-18.)
`
`24.
`
`A typical system can include a network that connects a central information
`
`processing center with a number of electronic displays. (Id. at 2:7; 2:54-56.) “The means for
`
`transmitting content information” from the central information processing center “to the display
`
`locations may take a number of forms.” (Id. at 3:31-32.) “[T]he means include: [a] High speed
`
`cable [b] Satellite [c] Dedicated phone [d] High speed line (e.g., ISDN) [e] Cellular or PCS [f]
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`Internet [g] Radio/radio pulse transmission [h] High speed optical fiber.” (Id. at 3:35-45.) “[A]ny
`
`form” of network “may be utilized” depending on the system requirements “at various locations
`
`within the network,” which can include combinations of the examples listed. (Id. at 3:32-33.)
`
`25.
`
`In one embodiment, a display “takes the form of a 23 feet by 33½ feet seamless
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`flat screen display including multiple flat panel display modules.” (Id. at 4:49-51.) “The panels
`
`utilize advanced semiconductor technology to provide high resolution, full color images utilizing
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`7
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`light emitting diodes” that can provide “a high spatial resolution” that is “easily viewable in
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`bright sunlight.” (Id. at 4:51-53, 62-65.) In such a display device, LEDs can be “aligned in an
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`integrated array with each pixel having a red, green and blue LED” and that if each “red, green
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`and blue emitter is accessed with 24 bit resolution” the resulting display “provid[es] 16.7 million
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`colors for every pixel” “produc[ing] the desired light output.” (Id. at 4:54-65.)
`
`26.
`
`T-Rex is the assignee and owner of the right, title and interest in and to the ’470,
`
`the ’334 and the ’603 Patents (henceforth collectively the “patents-in-suit”), including the right
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`to assert all causes of action arising under the patents-in-suit and the right to any remedies for
`
`infringement.
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`THE NCM ACCUSED SYSTEM
`
`27.
`
`The allegations set forth in the foregoing paragraphs 1 through 26 are hereby re-
`
`alleged and incorporated herein by reference.
`
`28.
`
`NCM is an entity co-founded in 2005 and operated by cinema operators and end-
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`users AMC, Regal, and Cinemark. NCM, in conjunction with the founding members, makes,
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`uses, and sells, among other things, its FirstLook, NCM Interactive, Mobile Networks, Movie
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`Night Out, FirstLook Sync, and Fathom systems to provide advertising and/or other digital
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`events in theater lobbies, on theater screens pre- and/or post-show, and across a mobile network
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`and through online apps. NCM’s Cinema Advertising Network is the largest digital in-theater
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`network in North America, allowing for the targeted distribution of advertising, including
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`through FirstLook, as well as via other forms of advertising in theater lobbies, online, and on
`
`mobile devices, to over 40 leading theater affiliates including AMC, Cinemark, and Regal.
`
`29.
`
`The same three cinema entities which co-founded NCM, in 2007 also co-founded
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`Digital Cinema Implementation Partners, LLC (“DCIP”) to “continue to build off of the digital
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`8
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`Case 2:16-cv-00681-JRG Document 34 Filed 09/29/16 Page 9 of 30 PageID #: 381
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`cinema business plan that was developed by National CineMedia (NCM) on behalf of the three
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`DCIP founding partners.”
`
`30.
`
`In October 2010, NCM and its founding members executed an amended Exhibitor
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`Services Agreement that allowed NCM to connect its advertising and Fathom networks to the
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`founding members’ new higher quality digital projection systems, allowing the display of 3D ads
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`and Fathom Events, along with other digital advertising.
`
`31.
`
`The NCM advertising system includes security management, whereby each
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`auditorium/projector requires some form of unique key to unlock encrypted files, and each key
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`includes a specified play period. Each key specifies a start time and stop time, which represents a
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`negotiated authorization window
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`COUNT I – INFRINGEMENT OF U.S. PATENT NO. RE39,470
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`32.
`
`The allegations set forth in the foregoing paragraphs 1 through 31 are hereby re-
`
`alleged and incorporated herein by reference.
`
`33.
`
`In violation of 35 U.S.C. § 271(a), Defendant has directly infringed and continues
`
`to directly infringe, literally or under the doctrine of equivalents, one or more claims of the ’470
`
`Patent by making, using, offering for sale, selling, or importing devices or systems, in this
`
`judicial district and elsewhere in the United States (directly or through intermediaries), that
`
`perform the steps of receiving control instructions from at least one external information
`
`mediator, using the control instructions to generate an exposure list that specifies three or more
`
`of the following items: i) what information content is to be displayed; ii) at which of a plurality
`
`of locations the information content is to be displayed; iii) when the information content is to be
`
`displayed for each location at which content is to be displayed; and iv) how long the information
`
`content is to be displayed for each location at which content is to be displayed, displaying images
`
`at one or more of the locations in accordance with the exposure list, and permitting the exposure
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`9
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`list to be dynamically updated as claimed in at least claim 25 of the ’470 Patent, without the
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`authority of T-Rex.
`
`34.
`
`In violation of 35 U.S.C. § 271(a), Defendant has directly infringed and continues
`
`to directly infringe, literally or under the doctrine of equivalents, one or more claims of the ’470
`
`Patent by making, using, offering for sale, selling, or importing devices or systems, in this
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`judicial district and elsewhere in the United States (directly or through intermediaries), that
`
`comprise a computerized control center that has a plurality of communication interfaces for
`
`receiving control instructions from at least one external information mediator, the computerized
`
`control center includes a means for generating and dynamically updating an exposure list from
`
`the control instructions, the exposure list specifying three or more of the following items: i) what
`
`information content is to be displayed; ii) at which of the plurality of locations the information
`
`content is to be displayed; iii) when the information content is to be displayed for each location
`
`at which content is to be displayed; and iv) how long the information content is to be displayed
`
`for each location at which content is to be displayed, a computerized device situated at each one
`
`of the plurality of locations and electronically coupled to the computerized control center, and a
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`means for displaying images in accordance with the exposure list associated with each one of the
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`computerized devices as claimed in at least claim 26 of the ’470 Patent, without the authority of
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`T-Rex.
`
`35.
`
`To the extent NCM may be found not to infringe claims of the ’470 Patent
`
`directly, including in privity with its founding members, NCM infringes indirectly, through
`
`contributory and/or induced infringement, by providing its founding members and other affiliates
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`with a system that has no substantial non-infringing use, and/or by providing the system with
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`knowledge of T-Rex’s patent claims.
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`10
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`36. More specifically, the infringing devices and systems include NCM’s Cinema
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`Advertising Network, as described, for example, in paragraphs 27 to 31, which allows for the
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`dynamic placement of digital advertising and events in theater lobbies, on screens pre- and/or
`
`post-show, online, and/or on mobile devices.
`
`37.
`
`Defendant has directly infringed and continues to directly infringe one or more
`
`claims of the ’470 Patent, including at least claims 25 and 26, by operating its digital in-theatre
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`media network in theaters located in this judicial district, elsewhere in Texas and throughout the
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`United States.
`
`38.
`
`In 1994, the traditional Out-of-Home advertising industry was in need of a
`
`change, an evolutionary improvement. See Declaration of Mats Hylin (“Hylin Decl.”) at ¶ 8
`
`(attached as Exhibit D, and hereby incorporated, in its entirety, by reference herein at paragraph
`
`38). Mats Hylin, the first named inventor of the ’470 and the ’334 Patents, recognized that the
`
`“demands from advertisers” were not being met; what advertisers wanted was “more flexibility
`
`and speed” and “the possibility of changing the message” instead of “having the same
`
`advertisement [displayed] during the whole period.” Id. This may be because advertisers wish to
`
`avoid a stagnant message, or because advertisers desire campaign evaluation feedback —“the
`
`results of a first campaign are fundamental in order to create the next campaign.” Id. at ¶ 15. Mr.
`
`Hylin also recognized that in order “to increase the revenue from” the “most attractiv[ely
`
`situated] billboards,” an approach that extended beyond merely increasing the rates was required.
`
`Id. In addition to addressing these revenue issues, distribution efficiencies was “one of the most
`
`important areas to create higher margins.” Id. at ¶ 6. One method to address this was through the
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`use of digital advertising copy—which could be distributed via “the internet, or any other
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`network”—rather than incur the costs associated with physical distribution and display of paper
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`or other printed advertising copy. Id. at ¶¶ 8-9.
`
`39. More particularly, claim 25 “solves specific needs and problems over other
`
`technologies that existed in 1996.” Declaration of Zaydoon Jawadi (“Jawadi Decl.”) ¶ 22
`
`(attached as Exhibit E, and hereby incorporated, in its entirety, by reference herein at paragraph
`
`39). Such problems and shortcomings included “controlling and coordinating digital signage
`
`displays in concrete, specific ways beyond merely scheduling content to be displayed on remote
`
`screens.” Id. More specifically, “[p]rior to the inventions disclosed in claim 25 . . . there was no
`
`flexible way for external information mediators . . . to dynamically control and coordinate,
`
`display devices located in different places.” Id. at ¶ 23. “Content from external information
`
`mediators could not be directly displayed; instead, displaying such content required
`
`administrative processing and manual intervention to update the display systems.” Id.
`
`40.
`
`Claim 25 thus expresses certain innovations that are directed to specific
`
`implementations of solutions to problems that existed in software that controls digital signage
`
`displays. For example, prior to the ’470 Patent, advertisers wanted more flexibility in the display
`
`and control of digital signs as well as an increase in the speed of such controls. Advertisers also
`
`wanted the ability to dynamically change the message, rather than display the same
`
`advertisement during a fixed period. These demands from advertisers were not being met prior to
`
`the ’470 Patent.
`
`41.
`
`The inventions embodied in claim 25 “improved the operation of digital signage
`
`that existed in 1996” by “impos[ing] meaningful limitations” that “allow[ed] external
`
`information mediator(s) to dynamically control and coordinate display devices located in
`
`different places, extending the usefulness of the digital signage technology.” Id. at ¶¶ 26-27.
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`12
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`“[C]laim 25 of the ’470 Patent incorporates unique, innovative, non-conventional, non-generic
`
`elements” that work together to improve the operation of a digital signage system. Id. at ¶ 28.
`
`“The functions, application, and implementations of these elements inherently and necessarily
`
`are rooted in and require computer technology, communication technology, and digital display
`
`technology in order to overcome specific problems arising in the realm of digital signage in
`
`1996.” Id. at ¶ 29. Importantly, “the claim goes beyond the mere concept of simply using a
`
`computer to perform distributed signage.” Id. “This is because computers, communication
`
`interfaces, and digital display devices are not ancillary or incidental additions but germane and
`
`integral parts of the inventions disclosed by claim 25 of the ’470 Patent.” Id. The limitations of
`
`claim 25 “relate to the functioning of hardware and software” that are “inextricably tied to digital
`
`signage computer technology, communication technology, and digital display technology” such
`
`that the “unique, innovative, non-conventional, non-generic” hardware and software incorporated
`
`in claim 25 are used to achieve these technological innovations. Id. at ¶¶ 28, 30.
`
`42.
`
`The innovations embodied in claim 25 thus improved the then-existing
`
`technological process for controlling electronic displays. These improvements include: (i) an
`
`electronic display where an external information mediator can be enabled to dynamically control,
`
`in real time, the transmission of display instructions; (ii) displays that can be updated in response
`
`to changes in, for example, external conditions and/or information and where such updates can
`
`be controlled by an external information mediator; and (iii) an overall display control process
`
`that incorporated fundamental flexibility of operation.
`
`43.
`
`The physical combination of elements that are referenced in claim 25 represent an
`
`innovation over the prior art. More particularly, claim 25 references an “information mediator.”
`
`At the time of the invention, in about the 1995 to 1996 time frame, the term “information
`
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`13
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`Case 2:16-cv-00681-JRG Document 34 Filed 09/29/16 Page 14 of 30 PageID #: 386
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`mediator,” within the context of the field of art, could have referred to “an agent between
`
`producer and consumer of information” where the “agent could be a software component,
`
`software with accompanying hardware, a system, an organization (such as advertising agency) or
`
`an individual.” Id. at ¶ 33. Claim 25 also references “location(s)” which at the time of the
`
`invention could have referred, again within the context of the field of art, to “a particular
`
`physical or geographical place or position where the message or advertisement is displayed on an
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`electronic display device.” Id. at ¶ 34. Taking into account the meaning of these terms, as well as
`
`the claim as a whole, implementation of claim 25 would require “industrial computers, servers,
`
`PCs, networking routers or switches, networking cables, computer graphics capabilities, display
`
`devices . . . database management systems as well as specialized software drivers to interface
`
`between mediators and system computers, to decipher control lists, to create and update exposure
`
`lists, and to decipher and act upon exposure lists.” Id. at ¶ 35. Such a combination of elements
`
`represented a significant and non-conventional innovation over the prior art which resulted in an
`
`improvement in the operation of digital signage. Id. at ¶ 38.
`
`44.
`
`“Furthermore, claim 25 . . . is distinct and different from the other claims of the
`
`’470 Patent.” Id. at ¶ 37. “In particular, claim 25 . . . is distinct and different from claim 26 of the
`
`’470 Patent.” Id. For example, “[c]laim 26 discloses a computerized control center,
`
`communication interfaces, means for generating and dynamically updating an exposure list, a
`
`means for displaying images and a computerized device situated at each location—limitations
`
`that claim 25 does not disclose.” Id.
`
`45.
`
`Claim 25 embodies an entirely new combination of special purpose and
`
`interconnected physical equipment to present information publicly. The inventions embodied in
`
`claim 25 arose in a specialized context—back in or about the 1995 to 1996 time frame—and the
`
`
`
`14
`
`

`

`Case 2:16-cv-00681-JRG Document 34 Filed 09/29/16 Page 15 of 30 PageID #: 387
`
`inventors came up with a specific solution, manifested in a concrete combination of devices,
`
`interfaces, and software, networked together with physical displays viewable by the target
`
`audience, to resolve particular problems.
`
`46.
`
`The inventions embodied in claim 26 also “improved the operation of digital
`
`signage that existed in 1996” Id. at ¶ 45. “[C]laim 26 of the ’470 Patent incorporates unique,
`
`innovative, non-conventional, non-generic elements.” Id. at ¶ 47. These elements include a
`
`“computerized control center[,] . . . means (within the computerized control center) for
`
`generating and dynamically updating an exposure list . . . [and] computerized devices” which are
`
`situated at “a plurality of locations.” Id. at ¶¶ 40, 47. The computerized devices are
`
`“electronically coupled to the computerized control center” and include a means “for displaying
`
`images in accordance with the exposure list.” Id. at ¶ 47. The limitations of claim 26 “relate to
`
`both the hardware and software technology for digital signage, as well as to the functioning of
`
`hardware and software technology for digital signage” and are “manifested in a concrete
`
`combination of devices, interfaces, and software, networked together with physical displays
`
`viewable by the target audience.” Id. at ¶¶ 41, 49.
`
`47.
`
`Claim 26 thus expresses certain innovations that are directed to specific systems
`
`implementation of solutions to problems that existed in the software that controls digital signage
`
`displays. For example, prior to the ’470 Patent, advertisers wanted more flexibility in the display
`
`and control of digital signs as well as an increase in the speed of such controls. Advertisers also
`
`wanted the ability to dynamically change the message, rather than display the same
`
`advertisement during a fixed period. These demands from advertisers were not being met prior to
`
`the ’470 Patent.
`
`
`
`15
`
`

`

`Case 2:16-cv-00681-JRG Document 34 Filed 09/29/16 Page 16 of 30 PageID #: 388
`
`48.
`
`The physical combination of elements that are referenced in claim 26 represent an
`
`innovation over the prior art. More particularly, in addition to “information mediator” and
`
`“location(s),” claim 26 references “communication interfaces.” At the time of the invention, in
`
`about the 1995 to 1996 time frame, the term communication interfaces, within the context of the
`
`field of art, could have referred to “electronic hardware, software, and protocols allowing
`
`systems (such as computers) to communicate and exchange data.” Id. at ¶ 54. Claim 26 also
`
`references a “computerized control center” which at the time of the invention could have
`
`referred, again within the context of the field of art, to “a computer or set of computers that
`
`control and coordinate the interaction between networked computers or equipment.” Id. at ¶ 55.
`
`Such a combination of elements represented a significant and non-conventional innovation over
`
`the prior art which resulted in an improvement in the operation of digital signage. Id. at ¶ 59.
`
`49.
`
`The innovations embodied in claim 26 thus improved the then-existing systems
`
`for controlling electronic

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