Case 1:18-cv-00725-VAC-SRF Document 1 Filed 05/14/18 Page 1 of 12 PageID #: 1
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`IN THE UNITED STATES DISTRICT COURT
`FOR THE DISTRICT OF DELAWARE
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`SYNCHVIEW TECHNOLOGIES, LLC,
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`Plaintiff,
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`v.
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` CIVIL ACTION FILE
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` NO.
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` Jury Trial Demanded
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`___________________
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`
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`Defendant.
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`CHANNEL MASTER, LLC,
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`COMPLAINT FOR PATENT INFRINGEMENT
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`Plaintiff SynchView Technologies, LLC (“SynchView” or “Plaintiff”) files this
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`Complaint for Patent Infringement against Defendant Channel Master, LLC (“Channel Master”
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`or “Defendant”), and states as follows:
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`THE PARTIES
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`1.
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`Plaintiff is a limited liability company organized and existing under the laws of
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`the State of Georgia, having its principal office at 3930 E. Jones Bridge Road, Suite 140,
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`Peachtree Corners, GA 30092.
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`2.
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`Defendant is a limited liability company organized and existing under the laws of
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`the State of Delaware, having its principal office at 2065 W. Obispo Ave., Suite 102, Gilbert, AZ
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`85233, and having a listed registered agent of National Registered Agents, Inc., 160 Greentree
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`Drive, Suite 101, DE 19904.
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`JURISDICTION AND VENUE
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`3.
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`This Court has exclusive subject matter jurisdiction over this case pursuant to 28
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`U.S.C. §§ 1331 and 1338(a) on the grounds that this action arises under the Patent Laws of the
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`United States, 35 U.S.C. § 1 et seq., including, without limitation, 35 U.S.C. §§ 271, 281, 284,
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`and 285.
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`4.
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`This Court has personal jurisdiction over Defendant on the grounds that
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`Defendant is an entity formed and existing under the laws of the State of Delaware.
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`5.
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`Furthermore, this Court has personal jurisdiction over Defendant on the grounds
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`that Defendant has minimum contacts with the State of Delaware, and Defendant has
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`purposefully availed itself of the privileges of conducting business in the State of Delaware. For
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`example, on information and belief, Defendant has offered to sell and ship products into the State
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`of Delaware and this Judicial District through its website, and on information and belief has sold
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`Accused Products into the State of Delaware and this Judicial District.
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`6.
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`Further, this Court has personal jurisdiction over Defendant because Defendant
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`has placed Accused Products into the stream of commerce; knew or should have known that
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`Accused Products would have ended up in and been sold in Delaware; and Defendant’s conduct
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`and connections with the State of Delaware are such that it could reasonably foresee being haled
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`into court within the State of Delaware and this Judicial District. including through the sale and
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`offer for sale of Accused Products.
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`7.
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`Venue is proper in this Court pursuant to 28 U.S.C. § 1400(b) on the grounds that
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`Defendant resides in this Judicial District because it is an entity formed and existing under the
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`laws of the State of Delaware.
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`2
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`FACTUAL BACKGROUND
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`8.
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`Plaintiff is the owner by assignment of all right, title and interest in and to United
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`States Patent Number 6,788,882 B1, entitled “Systems and Methods for Storing a Plurality of
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`Video Streams on Re-Writable Random-Access Media and Time -and Channel-Based Retrieval
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`Thereof” (“the ’882 Patent”), including the right to sue for all past, present, and future
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`infringement, which assignment was duly recorded in the United States Patent and Trademark
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`Office (“USPTO”).
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`9.
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`10.
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`A true and correct copy of the ’882 Patent is attached hereto as Exhibit A.
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`The application that became the ’882 Patent was filed on April 17, 1998, and was
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`assigned U.S. patent application number 09/062,022 (“the ’022 Application”).
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`11.
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`The ’882 Patent issued on September 7, 2004, after a full and fair examination by
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`the United States Patent Office.
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`12.
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`The ’882 Patent is valid and enforceable.
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`SUBJECT MATTER OF THE ’882 PATENT
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`13.
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`The ’882 Patent recognized that, by the time the ’022 Application was filed in
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`1998, television viewers wanted to have greater control over their viewing experience: “As
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`viewer habits change and the choice of programming (channels) grows, people want to adapt
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`television programming to their schedule, rather than the other way around.” [’882 Patent 1:20-
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`23].
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`14. Moreover, by the time the ’022 Application was filed in 1998, viewers had grown
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`accustomed to the capability of VCRs to record a program for later viewing. However, VCRs
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`offered limited flexibility in how a user could record programs, advance forward or backward
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`within a program, and “surf” between programs:
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`The VCR, although extremely successful as a consumer device, has limited
`flexibility when the number of television channels increases. Also, the consumer
`has to remember to program the VCR to record the event. Commercially-
`available VCR+® technology has somewhat facilitated the process, but still
`requires tape management, scheduling and remembering when and what to
`program.
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`One frequently employed method of viewing television involves rapidly browsing
`(“surfing”) television channels to search for a program of interest, to watch
`several programs at once, or to skip ubiquitous commercials. Surfing has become
`even more popular given the advent of cable and satellite television, wherein
`many dozens of channels are available for viewing at any given time. On
`currently available single-screen systems, surfing must be done in real time and as
`time progresses. In other words, a user can watch one channel and record another
`channel on a VCR, but the user cannot watch a recorded program and
`simultaneously record another (unless the user is endowed with multiple VCRs).
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`[’882 Patent at 1:24-48].
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`15.
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`The ’882 Patent recognized that these problems required a technical solution:
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`Therefore, what is needed in the art is a fundamental increase in the flexibility afforded a
`user in viewing programs aired over multiple channels. Moreover, what is needed in the
`art is a way of harnessing the power of digital computers to give the user more power in
`determining what he wants to watch,” in order to provide “a fundamental increase in the
`flexibility afforded a user in viewing programs aired over multiple channels.
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`[’882 Patent at 1:54-60].
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`16.
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`The ’882 Patent provides technical solutions to these and other deficiencies in the
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`prior art: “To address the above-discussed deficiencies of the prior art, the present invention
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`provides a digital video recorder (DVR) and a method of operating the same.” [’882 Patent at
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`1:63-65.]
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`17.
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`For example, the ’882 Patent addresses one deficiency in the art by providing that:
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`In one embodiment, the DVR includes: (1) a mass data storage unit that
`concurrently and continuously receives and digitally stores a plurality of channels
`and (2) a channel viewer, coupled to the mass data storage unit, that retrieves a
`portion of one of the plurality of channels from the mass data storage unit based
`on a received command and presents the portion on a video display device.
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`[’882 Patent at 1:65-2:5.]
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`18.
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`As the ’882 Patent explains, this addresses a deficiency in VCR technology:
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`The digital video recorder of the present invention remedies the shortcomings of
`traditional video recording methods. The DVR does this by combining an essentially
`limitless (only limited by the cost of the equipment) capability concurrently to record a
`number of channels on a random-access medium while being able concurrently to play
`back any of these channels for viewing.
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`[’882 Patent at 2:9-16.]
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`19.
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`The specification identifies other technological deficiencies addressed by the
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`subject matter disclosed and claimed in the ’882 Patent. For example, “In one embodiment of
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`the present invention, the mass data storage unit stores the plurality of channels together with
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`time information to allow the plurality of channels to be synchronized with respect to one
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`another.” [’882 Patent at 2:63-66.]
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`20.
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`The independent claims of the ’882 Patent likewise address these technological
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`deficiencies of the prior art.
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`21.
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`Claim 1 of the ’882 Patent claims:
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`1. A digital video recorder (DVR) for recording a plurality of television broadcast
`programs, comprising:
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`a mass data storage unit that concurrently and continuously receives and digitally
`stores a plurality of television broadcast programs together with time information
`to allow said plurality of stored television broadcast programs to be synchronized
`with respect to one another; and
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`a channel viewer, coupled to said mass storage unit, that retrieves a portion of one
`of said plurality of stored television broadcast programs from said mass data
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`storage unit based on a received command and presents said portion on a video
`display device.
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`22.
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`Claim 19 claims:
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`19. A method of operating a digital video recorder, comprising the steps of:
`receiving a plurality of television broadcasts, each television broadcast including a video
`signal; and
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`concurrently and continuously digitally storing said plurality of television broadcasts on a
`mass data storage unit and storing said plurality of television broadcasts together with
`time information to allow said plurality of stored television broadcasts to be synchronized
`with respect to one another upon replay of said stored television broadcasts.
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`23.
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`The subject matter disclosed and claimed in the ’882 Patent provides solutions to
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`other deficiencies in the art, as well.
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`24.
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`For example, the ’882 Patent discloses that in one embodiment, “the mass data
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`storage unit stores the plurality of channels on a first-in first-out basis.” ’882 Patent at 2:44-45.
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`This addresses a technological limitation regarding the volume of content that can be stored.
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`Claim 2 of the ’882 Patent also addresses this deficiency in the prior art.
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`25.
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`In another example, the ’882 Patent discloses that “[i]n one embodiment of the
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`present invention, the mass data storage unit stores the plurality of channels in separate files
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`based on channel and timeslot identification.” [’882 Patent at 2:53-55.] This addresses a
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`technological limitation of prior-art VCR technology regarding tape management and accessing
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`recorded content. Claim 3 of the ’882 Patent addresses this deficiency in the prior art.
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`26.
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`In yet another example, the ’882 Patent discloses that “[i]n one embodiment of the
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`present invention, the channel viewer comprises a channel guide database containing pointers to
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`locations in the mass data storage unit.” The ’882 Patent states that this “allows individual
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`programs to be selected efficiently.” [’882 Patent at 3:9-10.]
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`27.
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`Similarly, the ’882 Patent states that “[i]n a more specific embodiment, the
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`channel guide contains links to locations in the mass data storage unit. The links may be
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`hypertext links, wherein a user can initiate a retrieval and presentation of a particular portion of a
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`selected channel simply by clicking on a particular location in the channel guide.” [’882 Patent
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`at 3:5-8, 14-19.]
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`28.
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`Various claims of the ’882 Patent address this deficiency in the prior art regarding
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`the efficiency of selecting programs, including programs being stored on the DVR (e.g., claims
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`5, 7, 20, and 22).
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`29.
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`The subject matter disclosed in the ’882 Patent also addresses the deficiency in
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`prior-art technology relating to advancing or rewinding through programs. For example, the
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`’882 Patent describes harnessing the power of digital computers to provide the user more
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`flexibility in advancing through programs:
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`In one embodiment of the present invention, the channel viewer presents the
`portion nonlinearly. Sections of the portion may therefore be skipped, repeated,
`reversed, randomized or presented at a rate that differs from real-time. In an
`embodiment to be illustrated and described, commercials or other tedious content
`may be skipped to advantage. This gives rise to viewing concepts, such as “catch-
`up viewing” as described hereinafter.
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`’882 Patent at 3:31-38.
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`30.
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`The ’882 Patent further discloses that “[i]n one embodiment of the present
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`invention, the DVR selectively moves by one commercial time unit (CTU) within the one of the
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`plurality of channels in response to the received command. The DVR can move forward or
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`backward. In a more specific embodiment, the received command is employable to achieve
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`catch-up viewing.” [’882 Patent at 4:16-21.]
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`31.
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`These technological improvements to the prior art providing greater flexibility in
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`advancing through a television program are reflected in various claims of the ’882 Patent,
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`including claims 9, 17, 18, 24, 32, and 33.
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`32.
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`The subject matter disclosed in the ’882 Patent also addresses a technological
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`limitation relating to the volume of content that may be stored on a DVR. For example, the ’882
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`Patent discloses that “[i]n one embodiment of the present invention, the mass data storage unit
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`receives, digitally compresses and digitally stores the plurality of channels.” [’882 Patent at
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`3:39-43.] This technological problem with the prior art is also addressed in the claims of the
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`’882 Patent, including claims 10 and 25.
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`33.
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`Plaintiff notified Defendant of the ’882 Patent and Defendant’s infringement of
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`the ’882 Patent prior to filing this action, but Defendant has not yet responded.
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`COUNT I – DIRECT PATENT INFRINGEMENT
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`34.
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`Plaintiff realleges and incorporates by reference the allegations set forth above, as
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`if set forth verbatim herein.
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`35.
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`Defendant has directly infringed the ’882 Patent in violation of 35 U.S.C. § 271(a)
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`by making, importing, using, selling, or offering for sale in the United States products that
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`embody the patented invention, including at least claims 1, 5-10, 12, 13, 16-25, 27, 28, and 31-
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`33.
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`36.
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`Defendant’s infringing Accused Products include, without limitation, its Channel
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`Master DVR+ (CM-7500TB1) and Channel Master TV (CM-7400).
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`37.
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`The Accused Products satisfy each and every element of each asserted claim of
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`the ’882 Patent, as detailed in the preliminary claim charts attached hereto as Exhibit B and
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`Exhibit C, and incorporated herein by reference, either literally or under the doctrine of
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`equivalents.
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`38.
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`Defendant conditions the receipt of benefits from using the Accused Products for
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`which its customers have paid upon the use of the DVR recited in claims 1, 5-10, 12, 13, 16-18,
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`as well as performance of the steps of the methods recited in at least claims 19-25, 27, 28, and
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`31-33 of the ’882 Patent.
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`39.
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`For example, Defendant not only instructs its customers to use the Accused
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`Products in an infringing manner, but if its customers want to obtain the benefits of the Accused
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`Products for which they are paying, they must necessarily operate the Accused Products in an
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`infringing manner due to the design of the Accused Products.
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`40.
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`Therefore, the acts of Defendant’s customers in using the DVR recited in claims
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`1, 5-10, 12, 13, and 16-18, as well as in performing the steps of at least method claims 19-25, 27,
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`28, and 31-33 of the ’882 Patent, are attributable to Defendant.
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`41.
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`Defendant’s infringing activities are and have been without authority or license
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`under the ’882 Patent.
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`42.
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`Defendant has had actual knowledge of the ’882 Patent and Plaintiff’s claims of
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`infringement prior to the filing of this action, at least since receiving pre-suit notice of the ’882
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`Patent from Plaintiff.
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`43.
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`Defendant’s infringement of the ’882 Patent has been willful and deliberate.
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`Plaintiff is entitled to recover from Defendant the damages sustained by Plaintiff as a result of
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`Defendant’s infringing acts in an amount subject to proof at trial, which, by law, cannot be less
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`than a reasonable royalty, together with interest and costs as fixed by this Court, pursuant to 35
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`U.S.C. § 284.
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`COUNT II – INDUCED PATENT INFRINGEMENT
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`44.
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`Plaintiff realleges and incorporates by reference the allegations set forth above, as
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`if set forth verbatim herein.
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`45.
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`Defendant has actively and intentionally, with prior knowledge of the ’882 Patent
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`and Plaintiff’s claims of infringement, induced the direct infringement by others of at least
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`claims 1, 5-10, 12, 13, 16-25, 27, 28, and 31-33 of the ’882 Patent in violation of 35 U.S.C. §
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`271(b), in making, importing, using, selling, or offering for sale in the United States Accused
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`Products that embody the patented invention as described in Count I, above.
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`46.
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`Furthermore, as detailed in Exhibit B and Exhibit C, Defendant has instructed its
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`customers to use the Accused Products in an infringing manner.
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`JURY DEMAND
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`47.
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`Plaintiff hereby demands a trial by jury of all issues so triable pursuant to Fed. R.
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`Civ. P. 38.
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`PRAYER FOR RELIEF
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`Plaintiff respectfully requests that the Court find in its favor and against Defendant, and
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`that the Court grant Plaintiff the following relief:
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`A.
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`An adjudication that one or more claims of the ’882 patent have been infringed,
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`either literally and/or under the doctrine of equivalents, by Defendant;
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`B.
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`An accounting and an award to Plaintiff of damages adequate to compensate
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`Plaintiff for the Defendant’s acts of infringement, together with pre-judgment and
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`post-judgment interest and costs pursuant to 35 U.S.C. § 284;
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`C.
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`That Defendant’s infringement be found to be willful, and that the Court award
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`enhanced damages pursuant to 35 U.S.C. § 284;
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`D.
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`That this Court declare this to be an exceptional case and award Plaintiff its
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`reasonable attorneys’ fees and expenses in accordance with 35 U.S.C. § 285; and
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`E.
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`Any further relief that this Court deems just and proper.
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`This 14th day of May, 2018.
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`STAMOULIS & WEINBLATT LLC
`
`/s/Stamatios Stamoulis
`Stamatios Stamoulis #4606
`Richard C. Weinblatt #5080
`Two Fox Point Centre
`6 Denny Road, Suite 307
`Wilmington, DE 19809
`Telephone: (302) 999-1540
`Facsimile: (302) 762-1688
`stamoulis@swdelaw.com
`weinblatt@swdelaw.com
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`Of Counsel:
`
`Daniel A. Kent
`dankent@kentrisley.com
`Tel: (404) 585-4214
`Fax: (404) 829-2412
`Stephen R. Risley
`steverisley@kentrisley.com
`Tel: (404) 585-2101
`Fax: (404) 389-9402
`Cortney S. Alexander
`cortneyalexander@kentrisley.com
`Tel: (404) 855-3867
`Fax: (770) 462-3299
`KENT & RISLEY LLC
`5755 N Point Pkwy Ste 57
`Alpharetta, GA 30022
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`Attorneys for Plaintiff
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