MOLLY M. REZAC
`Nevada Bar No. 7435
`molly.rezac@ogletreedeakins.com
`ERICA J. CHEE
`Nevada Bar No. 12238
`erica.chee@ogletreedeakins.com
`OGLETREE, DEAKINS, NASH, SMOAK & STEWART, P.C.
`3800 Howard Hughes Parkway, Suite 1500
`Las Vegas, NV 89169
`Telephone: 702.369-6800
`Fax: 702.369.6888
`
`Robert F. Shaffer
`robert.shaffer@finnegan.com
`District of Columbia Bar No. 472423 (Pro Hac Vice Pending – will comply with LR IA 10-2 within 14 days)
`James R. Barney
`james.barney@finnegan.com
`District of Columbia Bar No. 473732 (Pro Hac Vice Pending – will comply with LR IA 10-2 within 14 days)
`Anthony D. Del Monaco
`anthony.delmonaco@finnegan.com
`District of Columbia Bar No. 978164 (Pro Hac Vice Pending – will comply with LR IA 10-2 within 14 days)
`FINNEGAN, HENDERSON, FARABOW, GARRETT & DUNNER, LLP
`901 New York Avenue, NW
`Washington, DC 20001-4413
`Telephone: 202.408.4000
`Fax: 202.408.4400
`
`Attorneys for Plaintiffs CG Technology Development, LLC,
`Interactive Games Limited, and Interactive Games LLC
`
`UNITED STATES DISTRICT COURT
`FOR THE DISTRICT OF NEVADA
`
`CG TECHNOLOGY DEVELOPMENT, LLC,
`INTERACTIVE GAMES LIMITED, and
`INTERACTIVE GAMES LLC,
`
`vs.
`
`FANDUEL, INC.,
`
`Plaintiffs,
`
`Defendant.
`
`Case No.:
`
`PLAINTIFFS’ COMPLAINT FOR
`PATENT INFRINGEMENT
`
`DEMAND FOR JURY TRIAL
`
`Plaintiffs CG Technology Development, LLC (“CG Tech”), Interactive Games Limited
`
`(“IG Limited”), and Interactive Games LLC (“IG LLC”) (collectively “Plaintiffs”), by and through
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`Telephone:702.369.6800
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`LasVegas,NV89169
`
`Suite1500,3800HowardHughesParkway
`
`WellsFargoTower
`
`Ogletree,Deakins,Nash,Smoak&Stewart,P.C.
`
`

`

`their counsel, hereby bring this Complaint against Defendant FanDuel, Inc. (“Defendant” or
`
`“FanDuel”), and allege as follows:
`
`NATURE OF ACTION
`This is an action for patent infringement under 35 U.S.C. § 271 et seq. by Plaintiffs
`
`1.
`
`against Defendant
`
`for
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`infringement of U.S. Patent Nos. RE39,818; 6,899,628; 9,111,417;
`
`8,641,511; 8,342,924; 7,029,394; 6,884,166; and 7,534,169 (collectively the “Patents-in-Suit”).
`PARTIES
`
`2.
`
`CG Tech is a wholly-owned subsidiary of CG Technology, L.P. (“CG”), a limited
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`partnership, with its principal place of business at 2575 South Highland Drive, Las Vegas, Nevada,
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`89109. CG and CG Tech are both incorporated in Nevada. CG is an innovative gaming
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`technology solutions provider for lottery, gaming, racing, and sports wagering worldwide.
`
`It
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`specializes in providing secure, scalable, mobile technology and risk management solutions to
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`integrated resorts, gaming partners, race and sports books, and lottery industries. Headquartered in
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`Las Vegas, Nevada, CG and CG Tech continue to expand into new global markets in response to
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`partner demand for their gaming and manufacturing expertise and superior technology solutions.
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`Their products include Android™- and Apple®-compatible applications for sports wagering and
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`real-money casino gaming, as well as state-of-the-art, account-based wagering systems.
`
`3.
`
`IG LLC is a limited liability company incorporated in Nevada with its principal
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`place of business at 110 East 59th Street, New York, New York, 10022.
`
`4.
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`IG Limited is a private limited company with its principal place of business at One
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`Churchill Place, Canary Wharf, London, UK E14 5RB.
`
`5.
`
`Upon information and belief, FanDuel is a corporation organized and existing under
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`the laws of the State of Delaware, with its principal place of business located at 1375 Broadway,
`6th Floor, New York, New York, 10018.
`JURISDICTION AND VENUE
`
`This is a civil action for patent infringement arising under the patent laws of the
`6.
`United States, 35 U.S.C. § 271 et seq.
`
`7.
`
`This Court has subject matter jurisdiction under 28 U.S.C. §§ 1331 and 1338(a).
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`Telephone:702.369.6800
`
`Telephone:702.369.6800
`
`LasVegas,NV89169
`
`LasVegas,NV89169
`
`Suite1500,3800HowardHughesParkway
`
`Suite1500,3800HowardHughesParkway
`
`WellsFargoTower
`
`WellsFargoTower
`
`Ogletree,Deakins,Nash,Smoak&Stewart,P.C.
`
`Deakins,Nash,Smoak&Stewart,P.C.
`
`

`

`8.
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`FanDuel
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`is subject
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`to personal
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`jurisdiction in this District because, based on
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`information and belief, Defendant has transacted business in this District and has committed, by
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`itself or in concert with others, acts of patent infringement in this District. On information and
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`belief, Defendant has conducted business within the State of Nevada.
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`In addition, Defendant
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`offered for sale, sells, advertises, and/or uses its products and services (including the products
`
`accused of infringement in this lawsuit) in the United States, the State of Nevada, and this District.
`
`Further, Defendant purposefully and voluntarily placed one or more infringing products and
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`services into the stream of commerce with the expectation that they will be used by consumers in
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`the State of Nevada. Defendant also advertises and has transacted business throughout the United
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`States, including in the State of Nevada, and specifically in this District. Defendant has purposely
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`availed itself of the laws of this District by, among other things, advertising and selling its products
`
`and services in this District.
`
`9.
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`Defendant is subject to this Court’s specific and general personal jurisdiction
`
`pursuant to due process and/or the Nevada Long Arm Statute, due at least to Defendant’s
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`substantial business in this forum, including: (i) at least a portion of the infringements alleged
`
`herein; and/or (ii) regularly doing or soliciting business, engaging in other persistent courses of
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`conduct, and/or deriving substantial revenue from goods and services provided to individuals in the
`
`State of Nevada and in this District.
`
`10.
`
`On information and belief, Defendant has operated and continues to operate an
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`interactive website (www.fanduel.com) and mobile application that are accessible to all residents
`
`of the State of Nevada, including in this District, through which Defendant advertises and makes
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`available for use certain services and electronic daily fantasy sports contests that are herein accused
`of infringement. (See https://www.fanduel.com/games.) On information and belief, Defendant has
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`repeatedly held events promoting and utilizing its products and services accused of infringement in
`this District. (See, e.g., https://www.fanduel.com/dfbc, https://rotogrinders.com/articles/2014-fffc-
`
`fanduel-awarding-2-million-to-1st-place-357388, https://vimeo.com/101472951.)
`
`11.
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`Venue is proper in this District pursuant to 28 U.S.C. §§ 1391(b) and (c), and/or
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`1400(b), as FanDuel is subject to personal jurisdiction in this District.
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`Telephone:702.369.6800
`
`Telephone:702.369.6800
`
`LasVegas,NV89169
`
`LasVegas,NV89169
`
`Suite1500,3800HowardHughesParkway
`
`Suite1500,3800HowardHughesParkway
`
`WellsFargoTower
`
`WellsFargoTower
`
`Ogletree,Deakins,Nash,Smoak&Stewart,P.C.
`
`Deakins,Nash,Smoak&Stewart,P.C.
`
`

`

`GENERAL ALLEGATIONS
`
`12.
`
`Plaintiffs own innovative technology that is being used by Defendant in its daily
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`fantasy sports business. Like traditional fantasy sports, players draft a team of real-world athletes
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`who then score fantasy points according to set scoring rules. Daily fantasy sports, however, offer
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`contests that may last just one day, instead of being stuck with the same team (or drafted players)
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`throughout a whole season. Accordingly, daily fantasy sports are quicker, more numbers-driven,
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`and provide more “action” for the daily fantasy sports entrants. Before the advent of the Internet,
`
`the ability of hundreds of thousands of people participating in daily fantasy sports together in the
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`same contest did not exist.
`
`13.
`
`On information and belief, and based on its own admissions, FanDuel is one of the
`
`largest on-line sites to offer daily fantasy sports contests, alleging that it is the birthplace of Daily
`Fantasy. (See https://www.fanduel.com/about.) FanDuel provides access to its daily fantasy sports
`
`gaming platform through its web-based interface and/or mobile applications. FanDuel determines
`
`whether its users are over the age of 18 (or 19 in certain jurisdictions) before authorizing the users
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`(or contest entrants) to pay an entry fee for one of its contests.
`
`14.
`
`FanDuel offers various types of daily fantasy sports contests that authorize users to
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`choose a contest with an entry fee, pick their team, score the most points, and win.
`
`Its gaming
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`platform also allows users to create their own contests where users may specify the amount of
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`money for entry into a contest and the contest parameters before FanDuel offers the contest to
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`other users for acceptance. In this and other ways, users are then matched in contests to compete
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`against one another for the entry-fee dollar amounts according to each contest’s payout rules (or
`
`against one another in a head-to-head contest). FanDuel also monitors multiple games and game
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`events on which play is based. This platform generates statistics on game events, payments for
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`various contests and users, and determines outcomes for each contest where the winners of each
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`contest are awarded the winning dollar amounts according to each contest’s payout rules. After the
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`contest is completed, each user’s account is managed or updated to reflect the appropriate transfer
`of funds based on a winning or losing entry. (See, e.g., https://www.fanduel.com/how-it-works.)
`
`15.
`
`On July 15, 2014, a letter was sent
`
`to Defendant notifying Defendant of its
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`Telephone:702.369.6800
`
`Telephone:702.369.6800
`
`LasVegas,NV89169
`
`LasVegas,NV89169
`
`Suite1500,3800HowardHughesParkway
`
`Suite1500,3800HowardHughesParkway
`
`WellsFargoTower
`
`WellsFargoTower
`
`Ogletree,Deakins,Nash,Smoak&Stewart,P.C.
`
`Deakins,Nash,Smoak&Stewart,P.C.
`
`

`

`infringement of numerous patents. Specifically, at least the following patents were identified as
`
`being infringed: U.S. Patent Nos. RE39,818; 6,899,628; 8,641,511; 8,342,924; 7,029,394;
`
`6,884,166; and 7,534,169.1 As noted in the letter, Plaintiffs wanted to reach a negotiated non-
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`litigation arrangement with Defendant for the identified patents. An agreement was never reached,
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`and Defendant has not ceased infringing Plaintiffs’ patents.
`
`CLAIMS FOR RELIEF
`
`FIRST CLAIM FOR RELIEF
`(INFRINGEMENT OF U.S. PATENT NO. RE39,818)
`
`16.
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`17.
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`Plaintiffs incorporate by reference paragraphs 1-15 as if fully set forth herein.
`
`On September 4, 2007, U.S. Patent No. RE39,818 (“the RE’818 patent”) was duly
`
`and legally issued by the U.S. Patent and Trademark Office (“PTO”) for an invention titled
`
`“Personalized Wireless Video Game System” to the listed inventor, Russell D. Slifer. A certified
`copy of the RE’818 patent is attached as Exhibit A.
`
`18.
`
`CG Tech is the assignee and owner of the RE’818 patent, with all substantive rights
`
`in and to that patent, including the sole and exclusive right to bring this action and enforce the
`
`RE’818 patent against infringers, and to collect damages for all relevant times.
`
`19.
`
`Defendant, directly or through its agents, customers, and/or intermediaries, has
`
`made, used, tested, imported, provided, supplied, distributed, sold, and/or offered for sale products
`
`and/or systems that infringe (either directly or under the doctrine of equivalents) one or more
`
`claims of the RE’818 patent. For instance, on information and belief, Defendant’s accused
`
`products and/or systems have certain features that transmit both identification code and game
`
`control signals to a processor executing an interactive game. Here, the identification code is used
`
`by the processor to retrieve identification data and authorize game play based at least in part on an
`
`age of a player. This is done in a manner that infringes at least claims 1, 20, 24, and 25 of the
`
`RE’818 patent.
`
`1 U.S. Patent No. 9,111,417 did not issue until August 18, 2015, and was therefore not in the notice
`letter.
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`Telephone:702.369.6800
`
`Telephone:702.369.6800
`
`LasVegas,NV89169
`
`LasVegas,NV89169
`
`Suite1500,3800HowardHughesParkway
`
`Suite1500,3800HowardHughesParkway
`
`WellsFargoTower
`
`WellsFargoTower
`
`Ogletree,Deakins,Nash,Smoak&Stewart,P.C.
`
`Deakins,Nash,Smoak&Stewart,P.C.
`
`

`

`20.
`
`FanDuel’s on-line fantasy sports contests contain each limitation of at least one
`
`asserted claim of the RE’818 patent. By way of example only:
`
`21.
`
`FanDuel’s on-line fantasy sports contests meet all requirements of claim 20, which
`
`include (as shown below) “[a] game apparatus comprising: a wireless transmitter to transmit both
`
`an identification code and game control signals to a processor executing a game.” (RE’818 patent,
`
`col. 7, ll. 25-28.)
`
`22.
`
`FanDuel’s on-line fantasy sports contests include an “identification code . . . used
`
`by the processor to retrieve identification data and authorize game play based at least in part on an
`age of a player.” (Id. at col. 7, ll. 28-30.)
`
`6
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`Telephone:702.369.6800
`
`Telephone:702.369.6800
`
`LasVegas,NV89169
`
`LasVegas,NV89169
`
`Suite1500,3800HowardHughesParkway
`
`Suite1500,3800HowardHughesParkway
`
`WellsFargoTower
`
`WellsFargoTower
`
`Ogletree,Deakins,Nash,Smoak&Stewart,P.C.
`
`Deakins,Nash,Smoak&Stewart,P.C.
`
`

`

`23.
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`FanDuel’s on-line fantasy sports contests include “a plurality of input controls to
`
`allow the player to interact with the processor to play the game.” (Id. at col. 7, ll. 31-32.)
`
`24.
`
`25.
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`Defendant does not have a license or permission to use the RE’818 patent.
`
`As a result of Defendant’s infringement of the RE’818 patent, CG Tech has suffered
`
`and continues to suffer damages, in an amount not yet determined, of at least a reasonable royalty
`
`and/or lost profits.
`
`26.
`
`In a letter dated July 15, 2014, notice was provided to Defendant of the RE’818
`
`patent and Defendant’s infringing conduct.
`
`27.
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`Despite the knowledge of the RE’818 patent, Defendant has continued to infringe
`
`this patent. Defendant acted with reckless disregard of the RE’818 patent by continuing to infringe
`
`the patent when it knew or should have known that its actions constituted infringement.
`
`SECOND CLAIM FOR RELIEF
`(INFRINGEMENT OF U.S. PATENT NO. 6,899,628)
`
`28.
`
`29.
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`Plaintiffs incorporate by reference paragraphs 1-27 as if fully set forth herein.
`
`On May 31, 2005, U.S. Patent No. 6,899,628 (“the ’628 patent”) was duly and
`
`legally issued by the PTO for an invention titled “System and Method for Providing Game Event
`
`7
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`Telephone:702.369.6800
`
`Telephone:702.369.6800
`
`LasVegas,NV89169
`
`LasVegas,NV89169
`
`Suite1500,3800HowardHughesParkway
`
`Suite1500,3800HowardHughesParkway
`
`WellsFargoTower
`
`WellsFargoTower
`
`Ogletree,Deakins,Nash,Smoak&Stewart,P.C.
`
`Deakins,Nash,Smoak&Stewart,P.C.
`
`

`

`Management to a User of a Gaming Application” to the listed inventors Fergus A. Leen, Sam B.
`
`Lawrence, David G. McNally, Clive Hetherington, David M. McDowell, and Kevin R. O’Neal. A
`certified copy of the ’628 patent is attached as Exhibit B.
`
`30.
`
`IG Limited is the assignee and sole owner of the ’628 patent, with all substantive
`
`rights in and to that patent, including the sole and exclusive right to bring this action and enforce
`
`the ’628 patent against infringers, and to collect damages for all relevant times.
`
`31.
`
`Defendant, directly or through its agents, customers, and/or intermediaries, has
`
`made, used, tested, imported, provided, supplied, distributed, sold, and/or offered for sale products
`
`and/or systems that infringe (either directly or under the doctrine of equivalents) one or more
`
`claims of the ’628 patent. For instance, on information and belief, Defendant’s accused products
`
`and/or systems have certain features that manage game events through a gaming application
`
`accessible to remote users. Here, the gaming application monitors a plurality of game events,
`
`communicates event information associated with at least one game event, and generates a pay
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`record based on the event information, where the pay record is associated with an entry fee
`
`between a plurality of users. This is done in a manner that infringes at least claim 31 of the ’628
`
`patent.
`
`32.
`
`FanDuel’s on-line fantasy sports contests contain each limitation of at least claim 31
`
`of the ’628 patent. By way of example only:
`
`33.
`
`FanDuel’s on-line fantasy sports contests meet all requirements of claim 31, which
`
`include (as shown below) “[a] server for managing game events, comprising: a processor that
`
`executes a gaming application that is accessed by a remote user via a network.” (’628 patent,
`
`col. 23, ll. 62-64.)
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`Telephone:702.369.6800
`
`Telephone:702.369.6800
`
`LasVegas,NV89169
`
`LasVegas,NV89169
`
`Suite1500,3800HowardHughesParkway
`
`Suite1500,3800HowardHughesParkway
`
`WellsFargoTower
`
`WellsFargoTower
`
`Ogletree,Deakins,Nash,Smoak&Stewart,P.C.
`
`Deakins,Nash,Smoak&Stewart,P.C.
`
`8
`
`

`

`34.
`
`FanDuel’s on-line fantasy sports contests include “a monitor module coupled to the
`
`processor that monitors a plurality of game events during the execution of the gaming application
`
`by the user.” (Id. at col. 23, ll. 65-67.)
`
`35.
`
`FanDuel’s on-line fantasy sports contests include “an interface coupled to the
`
`processor that communicates event information associated with at least one of the game events to
`an enhanced services platform remote from the server.” (Id. at col. 24, ll. 1-4.)
`
`36.
`
`FanDuel’s on-line fantasy sports contests include “generat[ing] a wager record
`
`associated with a wager between a plurality of users based on at least one of the first event
`information and the second event information.” (Id. at col. 24, ll. 4-7.)
`
`37.
`
`38.
`
`Defendant does not have a license or permission to use the ’628 patent.
`
`As a result of Defendant’s infringement of the ’628 patent, IG Limited has suffered
`
`and continues to suffer damages, in an amount not yet determined, of at least a reasonable royalty
`
`and/or lost profits.
`
`9
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`Telephone:702.369.6800
`
`Telephone:702.369.6800
`
`LasVegas,NV89169
`
`LasVegas,NV89169
`
`Suite1500,3800HowardHughesParkway
`
`Suite1500,3800HowardHughesParkway
`
`WellsFargoTower
`
`WellsFargoTower
`
`Ogletree,Deakins,Nash,Smoak&Stewart,P.C.
`
`Deakins,Nash,Smoak&Stewart,P.C.
`
`

`

`39.
`
`In a letter dated July 15, 2014, notice was provided to Defendant of the ’628 patent
`
`and Defendant’s infringing conduct.
`
`40.
`
`Despite the knowledge of the ’628 patent, Defendant has continued to infringe this
`
`patent. Defendant acted with reckless disregard of the ’628 patent by continuing to infringe the
`
`patent when it knew or should have known that its actions constituted infringement.
`
`THIRD CLAIM FOR RELIEF
`(INFRINGEMENT OF U.S. PATENT NO. 9,111,417)
`
`41.
`
`42.
`
`Plaintiffs incorporate by reference paragraphs 1-40 as if fully set forth herein.
`
`On August 18, 2015, U.S. Patent No. 9,111,417 (“the ’417 patent”) was duly and
`
`legally issued by the PTO for an invention titled “System and Method for Providing Enhanced
`
`Services to a User of a Gaming Application” to the listed inventors Fergus A. Leen, Sam B.
`
`Lawrence, David G. McNally, Clive Hetherington, David M. McDowell, and Kevin R. O’Neal. A
`certified copy of the ’417 patent is attached as Exhibit C.
`
`43.
`
`IG Limited is the assignee and sole owner of the ’417 patent, with all substantive
`
`rights in and to that patent, including the sole and exclusive right to bring this action and enforce
`
`the ’417 patent against infringers, and to collect damages for all relevant times.
`
`44.
`
`Defendant, directly or through its agents, customers, and/or intermediaries, has
`
`made, used, tested, imported, provided, supplied, distributed, sold, and/or offered for sale products
`
`and/or systems that infringe (either directly or under the doctrine of equivalents) one or more
`
`claims of the ’417 patent. For instance, on information and belief, Defendant’s accused products
`
`and/or systems have certain features that provide a sports game to users through its respective
`
`computing devices over a communications network. On information and belief, Defendant’s
`
`accused products and/or systems present users with a graphical user interface that allows users to
`
`generate an entry fee where an offer includes a payment amount, an option to present the entry fee
`
`offer to other users, and receive from a plurality of other users an acceptance of the entry fee. In
`
`addition, during the playing of the game, Defendant’s accused products and/or systems offer
`
`certain features that generate statistics for multiple users of the game, including presenting a
`
`portion of the statistics information for the users. At the end of the game, an outcome is
`
`1 2 3 4 5 6 7 8 9
`1 2 3 4 5 6 7 8 9
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`10
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`Telephone:702.369.6800
`
`Telephone:702.369.6800
`
`LasVegas,NV89169
`
`LasVegas,NV89169
`
`Suite1500,3800HowardHughesParkway
`
`Suite1500,3800HowardHughesParkway
`
`WellsFargoTower
`
`WellsFargoTower
`
`Ogletree,Deakins,Nash,Smoak&Stewart,P.C.
`
`Deakins,Nash,Smoak&Stewart,P.C.
`
`

`

`determined and funds are transferred to at least one user who played (and “won”) the game. This
`
`is done in a manner that infringes at least claim 1 of the ’417 patent.
`
`45.
`
`FanDuel’s on-line fantasy sports contests contain each limitation of at least claim 1
`
`of the ’417 patent. By way of example only:
`
`46.
`
`FanDuel’s on-line fantasy sports contests meet all requirements of claim 1, which
`
`include (as shown below) “[a] system comprising at least one processor and at least one non-
`
`volatile memory having software stored thereon that when executed by the at least one processor
`
`directs the at least one processor to: provide a game via a communications network to users via
`
`respective computing devices of the users, wherein the game is a sports game, an arcade game, a
`
`card game, or an adventure game.” (’417 patent, col. 20, ll. 20-27.)
`
`47.
`
`FanDuel’s on-line fantasy sports contests include, “responsive to a request from one
`
`of the users, caus[ing] a graphical user interface to be presented to the user at the user’s computing
`device, wherein the graphical user interface allows the user to offer a wager to other users.” (Id. at
`
`col. 20, ll. 28-31.)
`
`. . .
`
`. . .
`
`. . .
`
`. . .
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`. . .
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`. . .
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`Telephone:702.369.6800
`
`Telephone:702.369.6800
`
`LasVegas,NV89169
`
`LasVegas,NV89169
`
`Suite1500,3800HowardHughesParkway
`
`Suite1500,3800HowardHughesParkway
`
`WellsFargoTower
`
`WellsFargoTower
`
`Ogletree,Deakins,Nash,Smoak&Stewart,P.C.
`
`Deakins,Nash,Smoak&Stewart,P.C.
`
`

`

`48.
`
`FanDuel’s on-line fantasy sports contests include, “responsive to presenting the
`
`graphical user interface to the user, receiv[ing] from that user a request to generate a wager offer,
`wherein the wager offer includes a wager amount.” (Id. at col. 20, ll. 32-34.)
`
`. . .
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`1 2 3 4 5 6 7 8 9
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`28
`
`Telephone:702.369.6800
`
`Telephone:702.369.6800
`
`LasVegas,NV89169
`
`LasVegas,NV89169
`
`Suite1500,3800HowardHughesParkway
`
`Suite1500,3800HowardHughesParkway
`
`WellsFargoTower
`
`WellsFargoTower
`
`Ogletree,Deakins,Nash,Smoak&Stewart,P.C.
`
`Deakins,Nash,Smoak&Stewart,P.C.
`
`

`

`49.
`
`FanDuel’s on-line fantasy sports contests include, “responsive to receiving the
`
`request to generate the wager offer, present[ing] the wager offer to other users via respective
`computing devices of the other users.” (Id. at col. 20, ll. 35-37.)
`
`FanDuel’s on-line fantasy sports contests include “receiv[ing] from a plurality of
`50.
`the other users an acceptance of the wager offer, each acceptance at the wager amount.” (Id. at col.
`
`20, ll. 38-39.)
`
`51.
`
`FanDuel’s on-line fantasy sports contests include, “during a playing of the game by
`
`a plurality of the users: generat[ing] statistics information related to at least a first and a second of
`the users playing the game.” (Id. at col. 20, ll. 40-42.)
`
`. . .
`
`. . .
`
`. . .
`
`. . .
`
`. . .
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`1 2 3 4 5 6 7 8 9
`1 2 3 4 5 6 7 8 9
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`23
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`26
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`27
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`28
`
`Telephone:702.369.6800
`
`Telephone:702.369.6800
`
`LasVegas,NV89169
`
`LasVegas,NV89169
`
`Suite1500,3800HowardHughesParkway
`
`Suite1500,3800HowardHughesParkway
`
`WellsFargoTower
`
`WellsFargoTower
`
`Ogletree,Deakins,Nash,Smoak&Stewart,P.C.
`
`Deakins,Nash,Smoak&Stewart,P.C.
`
`

`

`52.
`
`FanDuel’s on-line fantasy sports contests
`
`include, “at end of
`
`the game,
`
`determin[ing] an outcome of the wagers resulting from the users that accepted the wager offer,
`
`wherein . . . determin[ing] the outcome of the wagers includes . . . transfer[ring] funds to at least
`one user who played the game.” (Id. at col. 20, ll. 49-53.)
`
`53.
`
`54.
`
`Defendant does not have a license or permission to use the ’417 patent.
`
`As a result of Defendant’s infringement of the ’417 patent, IG Limited has suffered
`
`and continues to suffer damages, in an amount not yet determined, of at least a reasonable royalty
`
`and/or lost profits.
`
`FOURTH CLAIM FOR RELIEF
`(INFRINGEMENT OF U.S. PATENT NO. 8,641,511)
`
`55.
`
`Plaintiffs incorporate by reference paragraphs 1-54 as if fully set forth herein.
`
`14
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`1 2 3 4 5 6 7 8 9
`1 2 3 4 5 6 7 8 9
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`28
`
`Telephone:702.369.6800
`
`Telephone:702.369.6800
`
`LasVegas,NV89169
`
`LasVegas,NV89169
`
`Suite1500,3800HowardHughesParkway
`
`Suite1500,3800HowardHughesParkway
`
`WellsFargoTower
`
`WellsFargoTower
`
`Ogletree,Deakins,Nash,Smoak&Stewart,P.C.
`
`Deakins,Nash,Smoak&Stewart,P.C.
`
`

`

`56.
`
`On February 4, 2014, U.S. Patent No. 8,641,511 (“the ’511 patent”) was duly and
`
`legally issued by the PTO for an invention titled “Real-Time Interactive Wagering on Event
`
`Outcomes” to the listed inventors Philip M. Ginsberg, Howard W. Lutnick, Andrew C. Gilbert, and
`Lewis Findlay. A certified copy of the ’511 patent is attached as Exhibit D.
`
`57.
`
`IG LLC is the assignee and sole owner of the ’511 patent, with all substantive rights
`
`in and to that patent, including the sole and exclusive right to bring this action and enforce the ’511
`
`patent against infringers, and to collect damages for all relevant times.
`
`58.
`
`Defendant, directly or through its agents, customers, and/or intermediaries, has
`
`made, used, tested, imported, provided, supplied, distributed, sold, and/or offered for sale products
`
`and/or systems that infringe (either directly or under the doctrine of equivalents) one or more
`
`claims of the ’511 patent. For instance, on information and belief, Defendant’s accused products
`
`and/or systems have certain features that open a gaming account for a user and establish an amount
`
`of funds in the gaming account that may be used to play games. The system allows the user to
`
`access the gaming account from a computing device after verifying login credentials. The system
`
`displays a set of events on which games are based and receives requests from users to enter into a
`
`game based on at least one event. Here, the system matches requests from users to enter into
`
`opposite sides of a game, thereby forming an obligation to pay the users for winning the game.
`
`The infringing system also manages the account funds based on placement of entry fees by the
`
`users as well as the final outcomes of any of the games. This is done in a manner that infringes at
`
`least claim 16 of the ’511 patent.
`
`59.
`
`FanDuel’s on-line fantasy sports contests contain each limitation of at least claim 16
`
`of the ’511 patent. By way of example only:
`
`60.
`
`FanDuel’s on-line fantasy sports contests meet all requirements of claim 16, which
`
`include (as shown below) “[a] method comprising: opening, by a computer system, a gaming
`
`account for a client; [and] establishing, by the computer system, an amount of consideration in the
`
`gaming account of the client, in which the money may be used to play games.” (’511 patent,
`
`col. 13, ll. 17-22.)
`
`. . .
`
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`
`Telephone:702.369.6800
`
`Telephone:702.369.6800
`
`LasVegas,NV89169
`
`LasVegas,NV89169
`
`Suite1500,3800HowardHughesParkway
`
`Suite1500,3800HowardHughesParkway
`
`WellsFargoTower
`
`WellsFargoTower
`
`Ogletree,Deakins,Nash,Smoak&Stewart,P.C.
`
`Deakins,Nash,Smoak&Stewart,P.C.
`
`

`

`61.
`
`FanDuel’s on-line fantasy sports contests include “authorizing, by the computer
`
`system, the client to access the gaming account from a computing device by verifying login
`credentials of the client received from the computing device.” (Id. at col. 13, ll. 24-27.)
`
`62.
`
`FanDuel’s on-line fantasy sports contests include “receiving, by the computer
`
`system, a first request from the client to enter into a game based on at least one event; receiving, by
`
`the computer system, a second request from another client to enter into an opposite side of the
`
`game based on the at least one event; [and] matching, by the computer system, the first request and
`
`the second request in response to receiving the first offer and the second offer into the game, in
`which the game includes a game between the client and the other client.” (Id. at col. 13, l. 33 to
`
`col. 14, l. 2.)
`
`. . .
`
`. . .
`
`. . .
`
`16
`
`1 2 3 4 5 6 7 8 9
`1 2 3 4 5 6 7 8 9
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`16
`17
`17
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`19
`20
`20
`21
`21
`22
`22
`23
`23
`24
`24
`25
`25
`26
`26
`27
`27
`28
`28
`
`Telephone:702.369.6800
`
`Telephone:702.369.6800
`
`LasVegas,NV89169
`
`LasVegas,NV89169
`
`Suite1500,3800HowardHughesParkway
`
`Suite1500,3800HowardHughesParkway
`
`WellsFargoTower
`
`WellsFargoTower
`
`Ogletree,Deakins,Nash,Smoak&Stewart,P.C.
`
`Deakins,Nash,Smoak&Stewart,P.C.
`
`

`

`63.
`
`FanDuel’s on-line fantasy sports contests include “forming, by the computer
`
`system, one obligation with a gaming operator to pay the first client for winning the game with the
`
`client and forming one other obligation with the gaming operator to pay the second client for
`winning the game with the other client.” (Id. at col. 14, ll. 3-7.)
`
`64.
`
`FanDuel’s on-line fantasy sports contests include “managing, by the computer
`
`system, the amount of consideration in the wagering account credits based on placement of the one
`or more wagers and outcomes of the one or more wagers.” (Id. at col. 14, ll. 8-11.)
`
`. . .
`
`17
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`1 2 3 4 5 6 7 8 9
`1 2 3 4 5 6 7 8 9
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`22
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`23
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`24
`25
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`26
`27
`27
`28
`28
`
`Telephone:702.369.6800
`
`Telephone:702.369.6800
`
`LasVegas,NV89169
`
`LasVegas,NV89169
`
`Suite1500,3800HowardHughesParkway
`
`Suite1500,3800HowardHughesParkway
`
`WellsFargoTower
`
`WellsFargoTower
`
`Ogletree,Deakins,Nash,Smoak&Stewart,P.C.
`
`Deakins,Nash,Smoak&Stewart,P.C.
`
`

`

`65.
`
`66.
`
`Defendant does not have a license or permission to use the ’511 patent.
`
`As a result of Defendant’s infringement of the ’511 patent, IG LLC has suffered and
`
`continues to suffer damages, in an amount not yet determined, of at least a reasonable royalty
`
`and/or lost profits.
`
`67.
`
`In a letter dated July 15, 2014, notice was provided to Defendant of the ’511 patent
`
`and Defendant’s infringing conduct.
`
`68.
`
`Despite the knowledge of the ’511 patent, Defendant has continued to infringe this
`
`patent. Defendant acted with reckless disregard of the ’511 patent by continuing to infringe the
`
`patent when it knew or should have known that its actions constituted infringement.
`
`69.
`
`Defendant has indirectly infringed the ’511 patent, both via contributory and
`
`induced infringement. The direct infringement underlying Defendant’s indirect infringement of the
`
`’511 patent consists of its end-user custom