Case 3:20-cv-05153-NC Document 1 Filed 07/27/20 Page 1 of 10
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`
`
`FAEGRE DRINKER BIDDLE & REATH LLP
`Helen E. Chacon (CA SBN: 293067)
`1950 University Ave, Suite 450
`East Palo Alto, CA 94303-2279
`Telephone: (650) 324-6700
`Facsimile: (650) 324-6701
`Email: helen.chacon@faegredrinker.com
`
`R. Trevor Carter (pro hac vice pending)
`Reid E. Dodge (pro hac vice pending)
`300 North Meridian Street, Suite 2500
`Indianapolis, IN 46024-1750
`Telephone: (317) 237-0300
`Facsimile: (317) 237-1100
`Email: trevor.carter@faegredrinker.com
`Email: reid.dodge@faegredrinker.com
`
`JD Schneider (pro hac vice pending)
`1144 15th Street, Suite 3400
`Denver, CO 80202
`Telephone: (303) 607-3500
`Facsimile: (303) 607-3600
`Email: jd.schneider@faegredrinker.com
`
`Counsel for Plaintiff Linquet Technologies, Inc.
`
`Defendant.
`
`
`
`UNITED STATES DISTRICT COURT
`
`NORTHERN DISTRICT OF CALIFORNIA
`
`LINQUET TECHNOLOGIES, INC.,
` Case No.: 3:20-cv-5153
`
`
`
`Plaintiff,
`COMPLAINT FOR PATENT
`
`INFRINGEMENT
`v.
`
`
`
`TILE, INC.,
`
`
`DEMAND FOR JURY TRIAL
`
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`COMPLAINT FOR PATENT INFRINGEMENT
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`

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`Case 3:20-cv-05153-NC Document 1 Filed 07/27/20 Page 2 of 10
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`Plaintiff Linquet Technologies, Inc. (“Linquet”), for its complaint against Defendant Tile, Inc.
`(“Tile”), alleges as follows:
`
`I.
`NATURE OF THE ACTION
`1.
`This is a civil action for infringement of U.S. Patent No. 10,163,318 (the “’318
`Patent”). A true and correct copy of the ’318 Patent is attached hereto as Exhibit A.
`II.
`THE PARTIES
`2.
`Linquet realleges and incorporates by reference, as if fully set forth herein, the
`allegations in paragraph 1, above.
`3.
`Linquet is a corporation organized and existing under the laws of Canada with a
`principal place of business at 2604-950 Cambie St., Vancouver, British Columbia.
`4.
`Upon information and belief, Tile is a privately held company, incorporated and
`organized under the laws of the State of Delaware. Tile is registered and conducts business in the
`State of California with a principal place of business at 2121 South El Camino Real, Suite 900, San
`Mateo, California 94403.
`
`III.
`JURISDICTION AND VENUE
`5.
`Linquet realleges and incorporates by reference, as if fully set forth herein, the
`allegations in paragraphs 1–4, above.
`6.
`This Court has exclusive subject matter jurisdiction over this action pursuant to 28
`U.S.C. §§ 1331 and 1338(a).
`7.
`Venue is proper in this District under 28 U.S.C. § 1400(b). Tile has committed acts
`of patent infringement complained of herein in this District, and Tile has a regular and established
`place of business in this District.
`8.
`This Court has personal jurisdiction over Tile. Tile’s principal place of business is in
`this District, and Tile regularly conducts business in this District. Tile has purposefully availed itself
`of the privilege of conducting activities within this District, and Tile’s activities in this District are
`continuous and systematic and give rise to the liabilities sued upon herein. On information and belief,
`Tile’s activities in this District include, inter alia, making, selling, and/or offering to sell infringing
`products in this District, and marketing and advertising infringing products in this District. On
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`COMPLAINT FOR PATENT INFRINGEMENT
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`Case 3:20-cv-05153-NC Document 1 Filed 07/27/20 Page 3 of 10
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`information and behalf, Tile does extensive business within the State of California and this District
`and earns substantial revenue through its contacts with this District.
`IV.
`FACTUAL BACKGROUND
`9.
`Linquet realleges and incorporates by reference, as if fully set forth herein, the
`allegations in paragraphs 1–8, above.
`A. Background on Linquet
`10.
`Founded in 2010, Linquet is an innovator in location technologies solutions, including,
`in particular, cloud-based/community-based solutions for locating and protecting mobile devices,
`keys, pets, luggage, and other items.
`11.
`In April 2012, Linquet released the first cloud-based solution for protecting and
`tracking mobile devices and other items. Public praise for Linquet’s innovative solution was swift
`and widespread, with positive press in publications including the Huffington Post, Techvibes, and
`TheNextWeb, and, soon thereafter, the New York Times and CNBC.
`12.
`Linquet currently offers its innovative products and services for sale online
`(www.linquet.com) and through various third parties. In addition, the Linquet app is available for
`iOS and Android devices through the Apple and Google app stores.
`13.
`Linquet’s innovative solution permits users to attach Linquet tags to items (e.g., keys,
`wallets, luggage, pets, etc.) they wish to protect and locate. When the tag attached to the owner’s
`item goes out-of-range, the owner’s mobile device and/or tag attached to the item alarm, preventing
`the owner from forgetting or losing/misplacing the item. In addition, Linquet uploads the time and
`location to the cloud in real-time, giving the owner the ability to locate the item at a later time. Using
`the Linquet network, if another Linquet user passes within range of a tag attached to a misplaced item,
`the item’s location will be automatically, anonymously, and securely uploaded to the cloud, and the
`owner can be notified. Furthermore, a tag attached to an item is privately detectable by another
`Linquet user’s mobile device when the tag is out-of-range of the owner’s mobile device, greatly
`increasing the privacy, efficiency, and scalability of Linquet’s innovative solution.
`
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`B. The ’318 Patent
`14.
`Linquet has invested heavily in developing its innovative cloud-based solution to
`protect and locate items. In doing so, Linquet has acquired an array of intellectual property rights,
`including but not limited to multiple patent rights for its innovations. Those patents include, for
`example, the ’318 Patent, which are and have been published at https://linquet.com/patents since at
`least December 25, 2018.
`15.
`The ’318 Patent, entitled “COMPREHENSIVE SYSTEM AND METHOD OF
`UNIVERSAL REAL-TIME LINKING OF REAL OBJECTS TO A MACHINE, NETWORK,
`INTERNET, OR SOFTWARE SERVICE,” was duly and legally issued to Mr. Pooya H. Kazerouni
`on December 25, 2018. Mr. Kazerouni is the founder of Linquet and currently serves as its President.
`16.
`The ’318 Patent includes claims, including at least claims 1 and 2, that cover Linquet’s
`innovative products and services for sale online (www.linquet.com) and through various third parties.
`17.
`On information and belief, at the time of the ’318 Patent, there existed, for example,
`no cloud-based community-powered solutions for protecting and locating mobile devices, keys,
`luggage, pets, and other items, as claimed and disclosed in the ’318 Patent, including as claimed in at
`least claims 1 and 2 of the ’318 Patent. To solve this problem, Mr. Kazerouni created the novel
`system claimed and disclosed in the ’318 Patent.
`18.
`As part of this novel system, for example, when a wireless tag attached to an item goes
`out-of-range of the owner’s mobile device, the system automatically uploads the time and location to
`the cloud in real-time, giving the owner the ability to locate the item at a later time. (See, e.g., ’318
`Patent, 8:49–9:14; 28:10–26, claim 1.) If another user’s mobile device passes within range of a
`misplaced item, the system enables the item’s location to be automatically, anonymously, and
`securely uploaded to the cloud, thereby allowing the owner to be notified. (See, e.g., ’318 Patent,
`27:42–57; 28:27–38, claim 1.) In addition, the novel system allows a wireless tag to become
`detectible by another user’s mobile device when the wireless tag goes out-of-range of the owner’s
`mobile device. (See, e.g., ’318 Patent, 27:42–57; 28:39:52, claim 2.)
`19.
`At least based on the above, it is apparent that the claims of the ’318 Patent, including
`as a whole and where applicable in ordered combination, presented a technical solution and
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`improvement over the prior art, including using the claimed elements in a non-conventional, non-
`generic, and non-routine manner to arrive at a novel technical solution. In fact, the Examiner
`considered this novel system as being allowable over the “closest prior art,” explaining that this “prior
`art fails to disclose each and every claimed limitation, alone, or in reasonable combination with other
`references, in the context as claimed.” (See Oct. 4, 2018, Notice of Allowability, at 2–4, 8.)
`Moreover, throughout prosecution, the Examiner never rejected any claims of the ’318 Patent as being
`directed to patent ineligible subject matter under 35 U.S.C. § 101. (See generally id.) The claims of
`the ’318 Patent amount to an inventive concept for overcoming the particular problems noted above,
`including, but not limited to, in connection with a private, efficient, and scalable community-based
`solution for protecting and locating items.
`C. Tile and Its Infringing Activities
`20.
`Despite its pioneering innovations, Linquet has struggled to obtain significant sales or
`funding. On information and belief, this is at least partly due to Tile’s infringing products and
`services, which, as described in more detail in § V, below, include substantially the same features as
`Linquet’s
`innovative
`solution,
`as
`shown,
`for
`example,
`at
`the
`following
`link:
`https://www.youtube.com/watch?v=zzpkWFhOqIk. Tile’s infringing products include, for example
`and without limitation, the Tile Sticker, Tile Slim, Tile Pro, Tile Mate, and Tile embeddable
`technology (collectively, “Tile’s Tags”), which are designed for use with Tile’s App/Software and
`Tile’s cloud, which include, for example, Tile’s community find feature. Hereinafter, Tile’s Tags,
`Tile’s App/Software, and Tile’s cloud, are collectively referred to as the “Tile System.”
`21.
`As described in more detail in § V, below, Tile has infringed and continues to infringe
`directly, jointly, contributorily, and/or by inducement one or more claims of the ’318 Patent by its
`actions in connection with the Tile System.
`22.
`Tile’s past and ongoing infringement is significant. According to Tile, the Tile System
`is the “world’s best-selling Bluetooth tracker,” having sold over 30 million units, which constitute
`80% of the U.S. retail market share. https://www.thetileapp.com/en-us/about-tile. Public sources
`suggest that between 2016 and 2018, Tile generated at least $100 million per year in revenue.
`https://venturebeat.com/2017/05/16/tile-raises-25-million-and-crosses-10-million-bluetooth-
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`trackers-sold/, https://www.usatoday.com/story/tech/talkingtech/2018/07/24/tiles-customers-swear-
`and-swear-too/798602002/.
`23.
`Tile also sells and offers for sale accessories specifically designed for and sold with
`the Tile System, including, for example, custom adhesives, zip straps, iron-on pockets, and money
`clips. https://www.thetileapp.com/en-us/products/accessories.
`24.
`Tile’s infringement has been, and continues to be, willful and deliberate.
`25.
`Tile has known of the ’318 Patent at least due to Linquet’s own competing products
`and services (www.linquet.com), Linquet’s patent marking (https://linquet.com/patents), and Tile’s
`prosecution of its own intellectual property and general awareness of related patents, including, e.g.,
`the ’318 Patent.
`26.
`On January 27, 2020, Linquet, through counsel, also notified Tile of its infringing
`conduct. With this letter, Linquet provided a copy of the ’318 Patent and a claim chart specifically
`describing how the Tile System infringed at least claim 1 of the ’318 Patent. A true and correct copy
`of this correspondence is attached hereto as Exhibit B.
`27.
`At a minimum, Tile has actual notice of its infringing conduct as of the date of filing
`and/or service of this Complaint.
`28.
`Despite Linquet’s best efforts, Tile has so far refused to engage in reasonable and
`good-faith discussions to resolve this matter outside of litigation. As a result, and to prevent further
`harm to itself, Linquet was forced to bring this action.
`V.
`COUNT I: INFRINGEMENT OF U.S. PATENT NO. 10,163,318
`29.
`Linquet realleges and incorporates by reference, as if fully set forth herein, the
`allegations in paragraphs 1–28, above.
`A. Direct Infringement
`30.
`Pursuant to 35 U.S.C. § 271(a), Tile has directly infringed—either individually, as part
`of a joint enterprise, or through the exercise of direction and control over at least one other third
`party—and is still directly infringing at least claims 1 and 2 of the ’318 Patent by at least making
`and/or using relevant configurations of the Tile System in the United States.
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`31.
`As detailed in the claim chart of Exhibit C, the Tile System satisfies each limitation of
`claims 1 and 2 of the ’318 Patent literally or, at the very least, under the doctrine of equivalents. On
`information and belief, Tile makes and/or uses (and has made and/or used) the system recited by
`claims 1 and 2 of the ’318 Patent at least when it tests and/or demonstrates the Tile System.
`32.
`Linquet has been substantially and irreparably harmed by Tile’s direct infringement of
`at least claims 1 and 2 of the ’318 Patent, and will continue to be substantially and irreparably harmed
`if Tile is not enjoined from its infringing conduct.
`33.
`Linquet has been and continues to be injured financially and otherwise by Tile’s direct
`infringement of at least claims 1 and 2 of the ’318 Patent. As a result, Tile is liable to Linquet for this
`harm, including, for example and without limitation, damages in the form of lost profits and a
`reasonable royalty pursuant to 35 U.S.C. § 284.
`34.
`On information and belief, Tile’s direct infringement of at least claims 1 and 2 of the
`’318 Patent has been and continues to be willful. As described in § IV.C, above, despite having
`knowledge of the ’318 Patent and its infringing conduct, Tile has and continues to make and use
`relevant configurations of the Tile System. As a result, Linquet is entitled to increased damages under
`35 U.S.C. § 284 and to attorneys’ fees and costs incurred in prosecuting this action under 35 U.S.C.
`§ 285.
`B. Induced Infringement
`35.
`Pursuant to 35 U.S.C. § 271(b), Tile has indirectly infringed and is still indirectly
`infringing by actively inducing infringement of at least claims 1 and 2 of the ’318 Patent.
`36. With knowledge of the ’318 Patent and knowing that the Tile System infringes at least
`claims 1 and 2 of the ’318 Patent (or with willful blindness of that fact), as described in § IV.C, above,
`Tile has induced and continues to induce its customers and users to directly infringe at least claims 1
`and 2 of the ’318 Patent by, for example, specifically instructing such customers and users, via its
`website and/or Tile’s App/Software, to make and/or use relevant configurations of the Tile System,
`as described in the claim chart of Exhibit C. In so doing, such customers and users put every element
`of the system recited in at least claims 1 and 2 of the ’318 Patent into service, thereby controlling the
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`system as a whole and obtaining benefit from it. On information and belief, Tile intends to cause
`infringement by its customers and users.
`37.
`Linquet has been substantially and irreparably harmed by Tile’s induced infringement
`of at least claims 1 and 2 of the ’318 Patent, and will continue to be substantially and irreparably
`harmed if Tile is not enjoined from its infringing conduct.
`38.
`Linquet has been and continues to be injured financially and otherwise by Tile’s
`induced infringement of at least claims 1 and 2 of the ’318 Patent. As a result, Tile is liable to Linquet
`for this harm, including, for example and without limitation, damages in the form of lost profits and
`a reasonable royalty pursuant to 35 U.S.C. § 284.
`39.
`On information and belief, Tile’s induced infringement of at least claims 1 and 2 of
`the ’318 Patent has been and continues to be willful. As described in § IV.C, above, despite having
`knowledge of the ’318 Patent and its infringing conduct, Tile has and continues to make and use
`relevant configurations of the Tile System. As a result, Linquet is entitled to increased damages under
`35 U.S.C. § 284 and to attorneys’ fees and costs incurred in prosecution this action under 35 U.S.C.
`§ 285.
`C. Contributory Infringement
`40.
`Pursuant to 35 U.S.C. § 271(c), Tile has indirectly infringed and is still indirectly
`infringing by contributing to infringement of at least claims 1 and 2 of the ’318 Patent.
`41. With knowledge of the ’318 Patent and knowing that the Tile System infringes at least
`claims 1 and 2 of the ’318 Patent (or with willful blindness of that fact), as described in § IV.C, above,
`Tile has contributed and continues to contribute to its customers’ and users’ direct infringement of at
`least claims 1 and 2 of the ’318 Patent by, for example, selling and/or offering for sale the Tile System.
`42.
`Each portion of the Tile System constitutes a material part of the invention claimed in
`at least claims 1 and 2 of the ’318 Patent, as described in the claim chart of Exhibit C, and is not a
`staple article or commodity of commerce suitable for substantial noninfringing uses. Tile knows and
`has known that each portion of the Tile System is especially made and/or adapted for a use that
`constitutes infringement of at least claims 1 and 2 of the ’318 Patent, as described in the claim chart
`of Exhibit C.
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`43.
`Linquet has been substantially and irreparably harmed by Tile’s contributory
`infringement of at least claims 1 and 2 of the ’318 Patent, and will continue to be substantially and
`irreparably harmed if Tile is not enjoined from its infringing conduct.
`44.
`Linquet has been, and continues to be, injured financially and otherwise by Tile’s
`contributory infringement of at least claims 1 and 2 of the ’318 Patent. As a result, Tile is liable to
`Linquet for this harm, including, for example and without limitation, damages in the form of lost
`profits and a reasonable royalty pursuant to 35 U.S.C. § 284.
`45.
`On information and belief, Tile’s contributory infringement of at least claims 1 and 2
`of the ’318 Patent has been, and continues to be, willful. As described in § IV.C, above, despite
`having knowledge of the ’318 Patent and its infringing conduct, Tile has and continues to make and
`use relevant configurations of the Tile System. As a result, Linquet is entitled to increased damages
`under 35 U.S.C. § 284 and to attorneys’ fees and costs incurred in prosecution of this action under 35
`U.S.C. § 285.
`
`VI.
`PRAYER FOR RELIEF
`WHEREFORE, Plaintiff Linquet Technologies, Inc. respectfully requests that the Court enter
`judgment in its favor and against Defendant Tile, Inc., and provide Linquet the following relief:
`1.
`Order, adjudge, and decree that U.S. Patent No. 10,163,318 is valid, enforceable, and
`infringed by Tile;
`2.
`Enter a permanent injunction against Tile enjoining it, its directors, officers, agents,
`employees, successors, subsidiaries, assigns, and all persons acting in privity or in concert or
`participation with Tile from making, using, selling, or offering for sale in the United States, or
`importing into the United States, any and all products and/or services embodying the patented
`inventions claimed in U.S. Patent No. 10,163,318;
`3.
`Award Linquet its damages for patent infringement pursuant to 35 U.S.C. § 284 and,
`to the extent applicable, 35 U.S.C. § 154(d), and pre- and post-judgment interest as allowed by law;
`4.
`Order, adjudge, and decree that Tile’s infringement of U.S. Patent No. 10,163,318 has
`been deliberate and willful, and award Linquet treble damages under 35 U.S.C. § 284;
`
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`COMPLAINT FOR PATENT INFRINGEMENT
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`Case 3:20-cv-05153-NC Document 1 Filed 07/27/20 Page 10 of 10
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`5.
`Find that this case is “exceptional” under 35 U.S.C. § 285, and award Linquet its costs
`and reasonable attorney’s fees as provided in 35 U.S.C. § 285;
`6.
`Award such other and further relief as the Court deems just and proper.
`VII. REQUEST FOR TRIAL BY JURY
`Pursuant to Federal Rule of Civil Procedure 38(b), Linquet respectfully requests a trial by jury
`for all issues so triable that are raised herein or which hereinafter may be raised in this action.
`
`
`
`Dated: July 27, 2020
`
`
`
`
`
`
`
`Respectfully submitted,
`
`/s/ Helen E. Chacon .
`R. Trevor Carter (pro hac vice pending)
`Reid E. Dodge (pro hac vice pending)
`FAEGRE DRINKER BIDDLE & REATH LLP
`300 North Meridian Street, Suite 2500
`Indianapolis, IN 46024-1750
`Telephone: (317) 237-0300
`Facsimile: (317) 237-1100
`Email: trevor.carter@faegredrinker.com
`Email: reid.dodge@faegredrinker.com
`
`JD Schneider (pro hac vice pending)
`FAEGRE DRINKER BIDDLE & REATH LLP
`1144 15th Street, Suite 3400
`Denver, CO 80202
`Telephone: (303) 607-3500
`Facsimile: (303) 607-3600
`Email: jd.schneider@faegredrinker.com
`
`Helen E. Chacon (CA SBN: 293067)
`FAEGRE DRINKER BIDDLE & REATH LLP
`1950 University Ave, Suite 450
`East Palo Alto, CA 94303-2279
`Telephone: (650) 324-6700
`Facsimile: (650) 324-6701
`Email: helen.chacon@faegredrinker.com
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`COMPLAINT FOR PATENT INFRINGEMENT
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