`
`BEFORE THE PATENT TRIAL AND APPEAL BOARD
`
`Parrot S.A. and Parrot, Inc.
`
`Petitioners,
`
`v.
`
`Drone Technologies, Inc.
`
`Patent Owner
`
`
`
`
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`
`
`
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`Case IPR2014-00732
`U.S. Patent No. 8,106,748
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`
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`
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`
`
`Before HOWARD B. BLANKENSHIP, MATTHEW R. CLEMENTS, and
`CHRISTOPHER M. KAISER, Administrative Patent Judges.
`
`
`
`PETITIONER’S REPLY TO PATENT OWNER’S RESPONSE TO
`PETITION FOR INTER PARTES REVIEW
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`
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`Case IPR2014-00732
`Petitioner’s Reply to Patent Owner’s Response to Petition
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`TABLE OF CONTENTS
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`A.
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`Spirov teaches the use of a “configuration switch” ......................................... 1
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`B.
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`C.
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`Bathiche and Shkolnikov are analogous art .................................................... 6
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`Prof. D’Andrea’s testimony is consistent with the Board’s conclusions ........ 7
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`D.
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`Patent Owner’s Objections to Prof. D’Andrea’s Declaration is meritless ...... 7
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`E.
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`Conclusion ....................................................................................................... 8
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`
`
`i
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`Case IPR2014-00732
`Petitioner’s Reply to Patent Owner’s Response to Petition
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`EXHIBIT LIST
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`Exhibit #
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`Reference Name
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`Ex. 1001
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`U.S. Patent No. 8,106,748 (“the ’748 Patent”)
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`Ex. 1002
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`U.S. Patent No. 5,043,646 (“Smith”)
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`Ex. 1003
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`French Patent No. 9901683 to Potiron
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`Ex. 1004
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`Certified Translation of French Patent No. 9901683
`(“Potiron”)
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`Ex. 1005
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`U.S. Pat. Pub. No. 2006/10144994 A1 (“Spirov”)
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`Ex. 1006
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`EXHIBIT INTENTIONALLY LEFT BLANK
`
`Ex. 1007
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`U.S. Pat. No. 7,219,861 (“Barr”)
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`Ex. 1008
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`U.S. Pat. No. 6,751,529 (“Fouche”)
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`Ex. 1009
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`U.S. Pat. No. 7,145,551 (“Bathiche”)
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`Ex. 1010
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`U.S. Pat. Pub. No. 2004/0263479 (“Shkolnikov”)
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`Ex. 1011
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`Expert Declaration of Prof. Raffaello D’Andrea with
`Attachments A-C
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`Ex. 1011, Att. A U.S. Patent No. 613,809 to Tesla (“Tesla”)
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`Ex. 1011, Att. B U.S. Patent No. 3,101,569 to Giardina (“Giardina”)
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`Ex. 1011, Att. C U.S. Patent No. 8,072,417 (“Jouanet”)
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`Ex. 1012
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`Claim Chart Demonstrating Invalidity of the ’748 Patent
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`Ex. 1013
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`Declaration of Deborah A. Skolaski
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`Ex. 1014
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`Declaration of James E. Hopenfeld
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`Ex. 1015
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`Declaration of Prof. Raffaello D’Andrea
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`
`
`ii
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`Case IPR2014-00732
`Petitioner’s Reply to Patent Owner’s Response
`
`In
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`its Patent Owner Response (Paper 15, “POR”), Patent Owner
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`mischaracterizes the primary reference, Spirov, fails to distinguish additional
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`references Bathiche and Shkolnikov, and relies on meritless procedural objections
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`to Prof. D’Andrea’s declaration supporting the obviousness of all claims of the
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`’748 Patent. Patent Owner does not, however, overcome the prima facie case of
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`invalidity already established by Petitioner and recognized by the Board in its
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`Institution Decision. Therefore, Petitioner has met its burden in establishing that
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`all challenged claims of the ’748 Patent are unpatentable in view of prior art and
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`should be cancelled.
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`A.
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`Spirov teaches the use of a “configuration switch”
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`Patent Owner does not dispute that all claims of the ’748 Patent require a
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`“configuration switch” having three modes of operation. In its Petition, supported
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`by the declaration of Prof. D’Andrea, Petitioner demonstrated that Spirov literally
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`teaches every element of claims 1-5 and 10-12, with the exception of the
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`“configuration switch.” Patent Owner does not dispute any of this. Petitioner
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`further demonstrated, and the Board agreed, that Spirov inherently teaches a
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`configuration switch having two modes of operation and, whether or not Spirov so
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`teaches a two mode switch, it would have been obvious to combine Spirov with
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`Bathiche and/or Shkolnikov to include a “three mode” switch. Paper 8, 10-11.
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`1
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`
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`Case IPR2014-00732
`Petitioner’s Reply to Patent Owner’s Response
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`Disregarding the alternative grounds for obviousness found by the Board,
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`Patent Owner argues that Spirov does not teach any configuration switch, and that
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`therefore Spirov cannot be combined with Bathiche and Shkolnikov. Of course, as
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`the Board recognized, Spirov teaches a configuration switch. Even if, however,
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`Spirov does not teach a “configuration switch,” Patent Owner’s argument does not
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`overcome Petitioner’s demonstration of obviousness. The combination of Spirov,
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`Bathiche, and/or Shkolnikov still would yield every element of claims 1-5 and 10-
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`12. The suggestions to combine these references, explained in detail in the Petition
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`and Prof. D’Andrea’s supporting declaration (Ex. 1011), apply just as well even if
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`Spirov is assumed to lack a configuration switch.
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`In its Institution Decision, the Board agreed with Petitioner. The Board
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`found that the asserted claims1 are obvious whether or not Spirov discloses a mode
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`switch. Paper 8, 11. The Board found that Bathiche teaches switch-selectable
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`modes and that, accordingly, the “mode switch” feature is taught by the prior art.
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`Paper 8, 9-10. It follows that the Board’s finding of obviousness can be sustained
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`on an independent ground, not disputed by Patent Owner.
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`Even assuming that whether Spirov teaches a two-mode switch somehow is
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`required to combine the references for purposes of obviousness, the evidence
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`
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`1 The Board used an additional reference, Fouche, for purposes of claim 4.
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`2
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`Case IPR2014-00732
`Petitioner’s Reply to Patent Owner’s Response
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`demonstrates that Spirov does in fact necessarily teach a two-mode switch. Patent
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`Owner’s arguments to the contrary mischaracterize what is taught by Spirov.
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`Patent Owner first argues that Spirov teaches only one mode of operation.
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`POR, 5. In that mode or embodiment, the thumb-activated controller can be tilted
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`to detect pitch and roll motions, while yaw is controlled by the thumb-controller.
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`As Patent Owner reads Spirov, there is no teaching that the remote controller can
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`also be used to detect the “yaw” motion. According to the Patent Owner, yaw
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`detection is accomplished only on the remotely-controlled hovercraft, not on the
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`remote controller, and Patent Owner further argues that all of Petitioner’s citations
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`supporting yaw detection on the remote controller are directed to the hovercraft
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`instead of the remote controller.
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`Patent Owner is incorrect. Spirov explicitly describes the operation of the
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`remote controller in paragraph 72. Ex. 1005, ¶ 72. It states that the remote
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`controller includes a “homeostatic control system” that further includes an “XYZ
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`sensor arrangement.” The hovercraft in Spirov includes the same “homestatic
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`control system” including an “XYZ sensor arrangement.” Ex. 1005 ¶ 73.
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`Paragraph 77 of Spirov then describes the “XYZ sensor” arrangement that is
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`included in both the remote controller and the hovercraft. Paragraph 77 is not, as
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`Patent Owner argues, limited to the homeostatic control system aboard the
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`hovercraft. That would imply that the “homeostatic control systems” and the
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`3
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`Case IPR2014-00732
`Petitioner’s Reply to Patent Owner’s Response
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`“XYZ sensor arrangements” are different in the remote controller and the
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`hovercraft. There is no such teaching in Spirov. In describing the remote
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`controller, paragraph 72 refers to the same “homeostatic control system” and
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`“XYZ sensor arrangement” that is used in the hovercraft. Paragraph 77 expressly
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`refers to the “XYZ sensor arrangement” in a “body,” and paragraph 72 expressly
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`describes the remote controller as including a “body.”
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`It also is clear that the “XYZ sensor arrangement” in Spirov includes yaw
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`detection. Paragraph 77 states: “The Z axis sensor system is positioned in a Z
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`plane of the body and includes at least one sensor that senses yaw in the Z plane.”
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`Ex. 1005, ¶ 77. It necessarily follows that the remote controller senses yaw, as the
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`remote controller is described as having a “body” that includes an “XYZ sensor
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`arrangement.” Ex. 1005, ¶ 72.
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`Patent Owner next turns to Figure 29 and Spirov ¶ 93 for the notion that
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`Spirov teaches only one embodiment, and that embodiment includes only thumb-
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`activated yaw control. POR, 8. The logic of this argument, if there is any, is not
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`entirely clear. Patent Owner seems to be arguing that there is no sensed yaw
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`control because the “tilt switch” transducers operate only in the XY plane. Patent
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`Owner’s argument ignores, however, Fig. 29’s “yaw gyro,” which is indisputably
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`part of Fig. 29’s “homeostatic control system,” which in turn is indisputably part of
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`the remote controller. Indeed, Spirov paragraph 30 expressly states that the
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`4
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`Case IPR2014-00732
`Petitioner’s Reply to Patent Owner’s Response
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`remotely controlled vehicle “mimic[s] the position of the controller in terms of
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`yaw, pitch, roll, and lateral flight maneuvers.”
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`Patent Owner’s argument is, therefore, flatly inconsistent with the express
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`teaching of Spirov. Given Patent Owner’s concession of an embodiment in which
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`yaw is controlled by manual manipulation of a joystick, there can be no reasonable
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`dispute that Spirov teaches two modes of operation: one in which yaw is
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`controlled manually, and another in which yaw in the remote controller is sensed
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`by the “XYZ sensor arrangement.” Ex. 1005, ¶¶ 76 and 77.
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`That leaves the issue of the existence of a switch between the two modes of
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`operation. Patent Owner argues through its declarant, Prof. Sturges, that there is
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`no such switch because the switch is not shown in the block diagrams of the
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`control systems. But a switch need not be expressly disclosed in a block diagram
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`in order to be understood by a person of ordinary skill in the art. The block
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`diagram also does not show the hovercraft’s “on/off (power) switch,” but of course
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`it must have such a switch.
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`That Spirov must have a configuration switch follows from the fact that the
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`two modes of operation taught in Spirov are implemented using the same remote
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`controller (the “hand-held bee controller”) having a thumb-activated controller.
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`Ex. 1005, ¶ 70; Ex. 1011, ¶ 77. A configuration switch must exist to allow the
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`5
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`Case IPR2014-00732
`Petitioner’s Reply to Patent Owner’s Response
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`sensed yaw circuitry (Z-plane sensor) to override the thumb-controlled yaw
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`operation, or vice-versa. Id.
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`B.
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`Bathiche and Shkolnikov are analogous art
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`In its Institution Decision, the Board found that claims 1-3, 5, and 10-12 are
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`obvious over Smith in view of Spirov, Bathiche, and Shkolnikov, and that claims 4
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`and 6-9 are obvious in view of additional references. Patent Owner does not
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`appear to dispute that claims 4 and 6-9 are obvious if the remaining claims are
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`obvious.
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`Instead, Patent Owner argues that Bathiche and Shkolnikov are not
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`analogous art and that, as a result, all obviousness rejections should be withdrawn.
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`Patent Owner’s argument is, in substance, identical to the argument it raised in its
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`Patent Owner Preliminary Response (POPR). The Board already has addressed
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`this argument in its Institution Decision, concluding that “Patent Owner’s
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`arguments regarding non-analogous art are not supported by the facts in this
`
`record.” Paper 8, 10. To its previously rejected argument, Patent Owner adds that
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`Petitioner’s expert, Prof. D’Andrea, had not heard of Bathiche or Shkolnikov prior
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`to this case. That fact has, however, no relevance to the question of whether
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`Bathiche or Shkolnikov are in fact analogous art. Patent Owner’s arguments,
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`which notably are completely unsupported by any evidence, should be given no
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`weight.
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`6
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`Case IPR2014-00732
`Petitioner’s Reply to Patent Owner’s Response
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`C.
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`Prof. D’Andrea’s testimony is consistent with the Board’s conclusions
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`Prof. D’Andrea’s declaration explains, in detail, the basis for Petitioner’s
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`assertion that all of the claims of the ’748 Patent are obvious in view of Spirov in
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`combination with Spirov, Bathiche, and/or Shkolnikov, and other references for
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`purposes of claims 4 and 6-9. In its decision to institute these proceedings, the
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`Board agreed with Petitioner’s assertion. Paper 8, 12-13.
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`Patent Owner now asks the Board to disregard Prof. D’Andrea’s declaration
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`for a variety of reasons that have absolutely no bearing on the technical merits of
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`his declaration, such as Prof. D’Andrea’s pay and the fact that he consulted with
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`Petitioner’s counsel instead of Petitioner’s business or technical people. Being
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`irrelevant to the questions before the Board, they do not merit serious discussion.
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`The remaining arguments by Patent Owner are irrelevant to the question of
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`unpatentability of the challenged claims in the ’748 Patent and do not rebut the
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`overwhelming evidence that the claims ought to be canceled in view of the prior
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`art as discussed in the Petition.
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`D.
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`Patent Owner’s Objections to Prof. D’Andrea’s Declaration is meritless
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`Patent Owner objects to Prof. D’Andrea’s declaration on the baseless charge
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`that he did not actually sign his declaration. Apart from the fact that Patent
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`Owner’s allegation is demonstrably false, Patent Owner’s objection cannot be
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`heard by this Board, because it was not timely made. 37 C.F.R. § 42.64(b)(1)
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`7
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`Case IPR2014-00732
`Petitioner’s Reply to Patent Owner’s Response
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`(“Any objection to evidence submitted during a preliminary proceeding must be
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`served within ten business days of the institution of the trial.”) Patent Owner first
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`raised its Objection on January 22, 2015, but those Objections were required to be
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`made by November 11, 2014. Id. To the extent Patent Owner’s arguments are the
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`same as or similar to those made in opposition to Petitioner’s Motion to Correct
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`Exhibit (Paper 14), those arguments fail for the same reasons explained in
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`Petitioner’s Reply in support of that same motion (see Paper 17).
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`E. Conclusion
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`As discussed in the Petition, claims 1-12 of the ’748 Patent are unpatentable
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`in view of the prior art and should, therefore, be cancelled.
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`Dated: April 28, 2015
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`Respectfully submitted,
`
`
`
`
`
`
`
`/James E. Hopenfeld/
`James E. Hopenfeld (Reg No. 47,661)
`Hopenfeld@oshaliang.com
`Tammy J. Terry (Reg No. 69,167)
`Terry@oshaliang.com
`OSHA LIANG LLP
`909 Fannin Street, Suite 3500
`Houston, Texas 77010
`Tel: 713-228-8600/Fax: 713-228-8778
`Counsel for Petitioner
`
`8
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`
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`Case IPR2014-00732
`Petitioner’s Reply to Patent Owner’s Response
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`CERTIFICATE OF SERVICE
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`The undersigned certifies service pursuant to 37 C.F.R. § 42.6 on the Patent
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`Owner by email and U.S. Mail a copy of this Reply to Patent Owner’s Response to
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`Petition for Inter Partes Review pursuant to 37 C.F.R. § 42.104(c) as follows:
`
`Gene Tabachnick
`James Dilmore
`gtabachnick@beckthomas.com
`jdilmore@beckthomas.com
`docket@beckthomas.com
`BECK & THOMAS, P.C.
`1575 McFarland Road, Suite 100
`Pittsburgh, PA 15216-1808
`
`Respectfully submitted,
`
`Dated: April 28, 2015
`
`/James E. Hopenfeld/
`James E. Hopenfeld (Reg No. 47,661)
`Hopenfeld@oshaliang.com
`Tammy J. Terry (Reg No. 69,167)
`Terry@oshaliang.com
`OSHA LIANG LLP
`909 Fannin Street, Suite 3500
`Houston, Texas 77010
`Tel: 713-228-8600/Fax: 713-228-8778
`Counsel for Petitioner
`
`
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`