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`UNITED STATES PATENT AND TRADEMARK OFFICE
`____________
`
`BEFORE THE PATENT TRIAL AND APPEAL BOARD
`____________
`
`TITEFLEX CORPORATION,
`Petitioner,
`
`v.
`
`GOODSON HOLDINGS, LLC,
`Patent Owner.
`____________
`
`Case IPR2016-00730 (Patent 7,562,448 B2)
`Case IPR2016-00731 (Patent 7,821,763 B2)
`____________
`
`Record of Oral Hearing
`Held: May 10, 2017
`____________
`
`
`
`
`Before KALYAN K. DESHPANDE, JUSTIN T. ARBES, and KIMBERLY
`McGRAW, Administrative Patent Judges.
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`
`
`
`

`

`Case IPR2016-00730 (Patent 7,562,448 B2)
`Case IPR2016-00731 (Patent 7,821,763 B2)
`
`APPEARANCES:
`
`ON BEHALF OF THE PETITIONER:
`
`
`JAMES DAY, ESQ.
`DEEPAK GUPTA, ESQ.
`Farella Braun & Martel LLP
`Russ Building
`235 Montgomery Street
`San Francisco, California 94101
`
`
`ON BEHALF OF PATENT OWNER:
`
`
`TED BAROODY, ESQ.
`Carstens & Cahoon, LLP
`13760 Noel Road, Suite 900
`Dallas, Texas 75240
`
`
`
`
`The above-entitled matter came on for hearing on Wednesday, May
`
`10, 2017, commencing at 10:02 a.m., at the U.S. Patent and Trademark
`Office, 600 Dulany Street, Alexandria, Virginia.
`
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`
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`Case IPR2016-00730 (Patent 7,562,448 B2)
`Case IPR2016-00731 (Patent 7,821,763 B2)
`
`
`
`
`P R O C E E D I N G S
`- - - - -
`JUDGE McGRAW: Good morning, everyone. Today we will
`hold oral hearing in two related inter partes review trials, IPR2016-00730,
`and IPR2016-00731 between Titeflex Corporation as Petitioner and
`Goodson Holdings, LLC as Patent Owner. I am Judge McGraw. To my left
`is Judge Arbes and to my right is Judge Deshpande.
`We will begin with the parties' appearances starting with
`Petitioner, please.
`MR. DAY: Good morning, Your Honors, James Day with Farella,
`Braun & Martel on behalf of Petitioner, Titeflex Corporation, and I am
`joined today by my partner, Deepak Gupta, also with Farella, Braun &
`Martel.
`
`MR. GUPTA: Good morning, Your Honors.
`JUDGE McGRAW: Patent Owner?
`MR. BAROODY: Good morning, Your Honors. Ted Baroody
`with Carstens & Cahoon on behalf of the Patent Owner, Goodson Holdings,
`LLC.
`
`JUDGE McGRAW: Welcome. We have set forth our procedure
`that we are going to follow today, but I will review it just to make sure we
`are all on the same page. As requested by the parties, the hearings for the
`730 and the 731 proceeding will be consolidated and will be conducted
`together. Each side will have 60 minutes to present their arguments. You
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`Case IPR2016-00730 (Patent 7,562,448 B2)
`Case IPR2016-00731 (Patent 7,821,763 B2)
`
`can allocate the time between the two cases as you wish. We are not going
`to break up the transcript between the two cases. One transcript will be
`submitted in both cases and it will be part of the record of both.
`The Petitioner, of course, has the burden of proving
`unpatentability, so will argue first, followed by the Patent Owner. Petitioner
`may reserve rebuttal time, but may only use its time to rebut Patent Owner's
`arguments.
`Are there any questions before we begin?
`MR. DAY: No, Your Honor.
`JUDGE McGRAW: Okay, so we will get started with Petitioner.
`Mr. Day, do you wish to reserve any rebuttal time?
`MR. DAY: Yes, Your Honor. We expect to go for about 40
`minutes, maybe a bit less, and reserve the rest of our time for rebuttal, which
`Mr. Gupta will handle.
`Your Honor, I have hard copies of our slides, will that be helpful to
`the panel?
`JUDGE McGRAW: You can pass them up. Just hold on a
`moment.
`Whenever you're ready.
`MR. DAY: Thank you, Your Honor. Again, my name is James
`Day, I'm here on behalf of Petitioner, Titeflex Corporation, and we are going
`to be talking about two different related patents. First we have the '448
`patent, which issued first between the two. It relates to and it claims a
`method for protecting corrugated stainless steel tubing from electrical
`insults, say from a lightning strike. And it does it -- I'm looking here at slide
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`Case IPR2016-00730 (Patent 7,562,448 B2)
`Case IPR2016-00731 (Patent 7,821,763 B2)
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`2, which has some language from the abstract. It does it essentially by
`placing an electrical conductor on the outside of the tubing to provide an
`alternate path for current to go to ground, rather than having all the current
`go along the tubing, potentially damage the tubing, there's an external
`conductor that diverts the current.
`The '763 is a divisional, based on the same application that led to
`the '448. Instead of claiming a method as in the '448, the '763 claims the
`apparatus, essentially the tubing with the external conductor.
`And we're presenting and in our petition we set out an obviousness
`case, and that's what I'm going to talk through today, starting with the '448
`and getting into a little bit more detail. We see on slide 5, we've taken the
`two figures that show the embodiments of the lightning-protected tubing, the
`CSST, with the external conductor.
`In the upper left on slide 5 is figure 6A from the '448 patent, and
`you can see there's a wire that goes from one connector at one end of the
`tubing to a connector on the other end of the tubing, that creates this
`alternate path to ground. In figure 7B on the lower left side, there's a mesh
`that surrounds the tubing, the mesh creates the alternate path to ground.
`The '763 has the same specification, the figures are cleaned up a
`bit, but the same. There's 6A with the ground wire, 6B with the mesh, and in
`both cases, if an electric charge goes to ground, and we have a quote here
`from the '763 patent, obviously the same quote appears in both
`specifications, it talks about how that current from a lightning strike is sent
`to ground. The majority of the current is carried by the conductive wire
`rather than the CSST, and that prevents damage to the CSST.
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`Case IPR2016-00730 (Patent 7,562,448 B2)
`Case IPR2016-00731 (Patent 7,821,763 B2)
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`
`Now, the first piece of prior art I want to talk about is Yamane.
`This is a Japanese patent application, and, frankly, it discloses the same
`invention as shown in figure 6A in the challenged patents. You see there's --
`in figure 1 here on slide 7, figure 1 of Yamane shows there's CSST
`corrugated stainless steel tubing, and there's an external wire or band-shaped
`conductive member. So that's the same wire that we saw in figure 6A of the
`challenged patents.
`And the description of how this invention works is strikingly
`similar to what we see in the challenged patents. It says, if there's a
`lightning strike, most of the lightning current produced by a discharge
`during a lightning strike is guided from this conductive member through the
`connecting joint, that's the connector, the end of the tubing, into the
`electroconductive equipment and to ground. So that there's virtually no
`effect on the tube body.
`So now if we start moving through the claim elements Yamane
`discloses lightning-protected tubing, that's what we're talking about. When
`we get to element (a), it talks affixing connectors to the two ends of the
`tubing using those connectors to connect the tubing to appliances. This is
`just reciting the way that you used CSST in the prior art.
`And Yamane talks about using corrugated stainless steel tubing in
`a gas supply system. We're talking about the same thing. To the extent it
`doesn't get into the details about how you connect CSST to an appliance,
`we've provided a prior art Titeflex Design Guide that does talk about CSST,
`the component parts, how it's installed, how it's tested, how it's used, and
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`Case IPR2016-00730 (Patent 7,562,448 B2)
`Case IPR2016-00731 (Patent 7,821,763 B2)
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`together certainly claim 1 element (a) is disclosed and there's no dispute on
`that point.
`So that takes us to element (b). Element (b) talks about coupling
`this conductive wire from one connector to the other, and in the institution
`decision, the panel construed this element according to its plain meaning.
`Essentially, I won't read the whole thing, but essentially coupling a
`conductive wire to the connectors at the ends of the gas tubing so that the
`connection allows electricity to flow directly from one connector to the other
`through the wire, through the conductive wire.
`And based on its plain meaning, Yamane certainly discloses this
`element, it talks about that conductive member, the thing highlighted in the
`conductive member on the exterior of the tubing may be connected directly
`to the connecting joint. That's the end connector. So we have the same
`thing.
`
`And there's really no dispute on this point under the board's present
`construction, what we'll talk about in a little bit later are some negative
`limitations that the Patent Owner has tried to use to distinguish Yamane and
`the other prior art, but we'll get to those, I think those are unsupported.
`Based on the Board's construction on the present construction, there's no
`dispute here. Yamane discloses element (b).
`When we get to element (c), the institution decision also construed
`this term based on the broadest reasonable interpretation, and again, I'm not
`going to read the whole thing, but essentially to mean a sufficient amount of
`current travels through this external conductor to prevent damage to the
`tubing. And that's exactly what Yamane discloses. The structure is the
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`Case IPR2016-00730 (Patent 7,562,448 B2)
`Case IPR2016-00731 (Patent 7,821,763 B2)
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`same, and it discloses and explicitly states that most of the lightning current
`produced by a discharge travels through the conductor, the connecting joint,
`that's the end connector, again, the equipment to ground, so that there is
`virtually no effect on the tube body. The language is parallel.
`There's no dispute on the dependent claims, so I'm going to move
`quickly through element or claim 2 talks about CSST, both Yamane and the
`Design Guide talk about CSST. The Design Guide explicitly states that the
`end connectors are made of brass. Claims 4, 5 and 6 talk about using an
`electric -- sorry, using copper for the wire. This is an obvious design choice,
`as our expert witness, Dr. Rakov confirmed in his declaration. And, in fact,
`claim 6 talks about the external conductor being a single wire, and Yamane
`specifically states that you can have one conductive member.
`This brings us to claim 7, and while there's no dispute, let me take
`just a moment to talk about this. It says that that conductive wire of claim 1
`can be a mesh. So this is now that element -- embodiment shown in figure
`7B, the one with the mesh surrounding the tubing. And Yamane doesn't
`specifically talk about a mesh, but another prior art reference that we cite,
`Ohki, does. Ohki is another Japanese patent application, it has a very similar
`disclosure, there's some overlap in assignees and inventors, but the main
`difference is, instead of a conductive member, so a wire on the outside of the
`tubing, Ohki discloses the conductive layer that can be a metal mesh.
`And when you take that teaching and you add it to what we have in
`Yamane, you get the limitations of claim 7, and there's no dispute on that
`point.
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`Case IPR2016-00730 (Patent 7,562,448 B2)
`Case IPR2016-00731 (Patent 7,821,763 B2)
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`
`So, Yamane and the Design Guide disclose every limitation of
`claims 1 through 6; claim 7 is disclosed if we add Ohki.
`So now let me get to the '763 patent. Here we've got two elements,
`these are both means plus function elements. And we start with (a),
`connecting means. Both parties agree this is a means plus function
`limitation. In the institution decision, the panel construed it as a means plus
`function limitation. There's really -- there's no dispute on that piece of this.
`And the Court correctly found that the function is, as stated in the claim
`language itself, coupling the tubing to gas lines and appliances, and the
`structure, so the corresponding structure, the piece that matters here, is the
`end connector 610 and 620. Those are the two connectors shown in figure
`6A and 6B. The patent talks about those being just ordinary CSST
`connectors, end connectors.
`And so between Yamane, which discloses connecting joints, which
`are the end connectors, and the Design Guide, which tells us that those end
`connectors are made of brass, which is a conductive material, we have
`element (a) and there is no dispute on that element.
`So, then we look at claim element (b). Again, both parties agree
`this is a means plus function limitation. The panel construed it as a means
`plus function limitation in the institution decision, and while I won't read the
`entire function, it's taken directly from the claim language, and in part at
`least, the function here is providing direct electrical contact between the
`connecting means at either end of the gas tubing, then carrying that current
`to ground to prevent damage to the tubing.
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`Case IPR2016-00730 (Patent 7,562,448 B2)
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`
`And the structure that corresponds to that function, or the
`structures are the wire 601 and the mesh 650 in figures 6A and 6B. Well, as
`we've discussed, Yamane discloses a conducting means because it discloses
`that same wire that connects the end connectors and diverts current from one
`connector to the other, creating an alternate path to ground and creating
`damage to the tubing.
`JUDGE McGRAW: As I understand Patent Owner's arguments,
`the prior art does not provide direct electrical contact between the
`connecting means because, in the event of a lightning strike, there's an
`electrical short and so the current travels over the CSST tube. Can you
`address that issue?
`MR. DAY: Right. So, that's incorrect. The -- an electrical short
`would require the current finding a more conductive or a less resistive path
`to ground. So that's what a short is, is you want current to go through one
`circuit, but because of a break in that circuit, it finds a different path to
`ground that you don't want.
`So in this case, a short would look like the current going along the
`conductor, then touching the stainless steel, and then continuing along the
`stainless steel. That's not the way the prior art works because the stainless
`steel is much less conductive than the external conductor. If the external
`conductor is copper or some other type of ground wire, so if it touches
`something that's much less conductive, the current is going to remain on the
`conductor.
`So this idea -- and this gets to what we're going to refer to as the no
`touching limitation, that you can't have one conductor touch another, is
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`Case IPR2016-00730 (Patent 7,562,448 B2)
`Case IPR2016-00731 (Patent 7,821,763 B2)
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`simply not supported -- first of all, it's not supported by the -- either of the
`patents, the '448 or the '763. Also it's not the way that any of the prior art
`references, or at least the way Yamane and Ohki discuss the way that they
`would operate. What they say is, the current will be diverted and if any --
`and if there's damage to the insulated layer, some current may get to the
`tubing, but it says most of the current will flow through the conductor.
`And this gets back to the construction of element (c) of claim 1, the
`'448 patent, where what we need is a sufficient amount of current to go
`through the conductor to prevent damage to the tubing.
`I'm going to move through these dependent claims quickly. Two,
`3, 4, 5, we've talked about the mesh is in Ohki, if we combine Ohki and
`Yamane, we have the mesh. And then 7 introduces a new term, this gas
`appliance connector, which is essentially just a short piece of CSST that's
`prefabricated. So it already has -- it's already cut to length and it has the end
`connectors installed rather than coming on a big spool.
`And so as our expert witness, Dr. Rakov, confirms in his
`deposition, the same arguments apply for a gas appliance connector. And
`there's no dispute on that. So, Yamane, the Design Guide and with regard to
`claim 6, Ohki, disclose every element of the challenged claims.
`I've mentioned the Ohki reference several times, let me take just a
`minute to talk about it in a little more detail. Again, Ohki is another
`Japanese application, very similar to the Yamane reference. The main
`difference is it has a conductive cover layer, which is highlighted here on
`slide 24, that surrounds the tubing, and Ohki specifically states that that
`conductive cover layer can be constituted by a metal mesh. So it's the same
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`Case IPR2016-00730 (Patent 7,562,448 B2)
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`invention. It discloses the same tubing that we see in figure 6B of the
`challenged patents.
`And for very similar reasons, it discloses, in combination with the
`Design Guide, element (a) of claim 1 in the '448. When we get to elements
`(b) and (c) based on the constructions in the institution decision, the plain
`meaning of element (b), broadest reasonable construction of (c), Ohki
`discloses exactly what's claimed there. It says most of the lightning current
`is guided from the conductive cover layer through the connecting joint, then
`through the connective equipment and to ground. In this, where it says,
`"Most," I think this is just a recognition that some current can get to the wall
`of the tubing, which as I'll mention a little bit later on, is also something
`disclosed in the challenged patents. That even if you have this alternate path
`to ground, some current may get to the tubing wall.
`The dependent claims we talked about and our met in the same
`way, we don't challenge all the dependent claims, but they're met essentially
`in the same way for Yamane, and the Design Guide discloses the dependent
`claims. There's no dispute with regard to the dependent claims, other than
`those raised on claim 1.
`Similarly, claim 1 in the '763, we've got the connecting means,
`both in Ohki and the Design Guide, and we have very similar language
`because the Ohki lightning-proof tubing operates in a very similar way to the
`Yamane tubing, most of the lightning current is guided through that
`conductive cover layer to the end connectors, and to ground, so it prevents
`damage to the body.
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`Case IPR2016-00730 (Patent 7,562,448 B2)
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`
`Dependent claims are met essentially in the same way that we
`discussed with regard to Yamane, and all of the challenged claims that we've
`identified here are rendered -- are disclosed by the prior art with Yamane.
`That brings us to our third primary prior art reference, which is
`Rivest. Now, Rivest discloses CSST, and here in figure 1 from Rivest, on
`slide 36, we see the CSST has end connectors at both ends. You can see a
`cutaway shows the corrugated tubing, and there's a conductive jacket, a
`polymer jacket that goes around the tubing. And Rivest said, well, that
`polymer jacket is going to add some strength, and it's also going to
`essentially disperse current that may get on the side walls or may get to the
`CSST.
`
`Rivest was cited during prosecution of the patent, and what the
`Patent Owner said, or what the applicant said was, well, Rivest is different,
`because in Rivest, you don't have an external conducting wire that will
`divert current. What Rivest does is it takes the current and it allows it to go
`through the jacket to the tubing wall, and then go down to the end
`connectors and on to ground. And that's different. That was the Patent
`Owner's position.
`So when we talk about Rivest, it very clearly discloses (a). When
`we get to elements (b) and (c), if we adopt the Patent Owner's view of
`Rivest, what we need to do then is provide that external conductor and either
`Yamane or Ohki provides it. So here we show, if you take the conductive
`member of Yamane, and you were to add that to Rivest so that now either
`instead of or on top of that polymer jacket you've got a conductive member,
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`Case IPR2016-00730 (Patent 7,562,448 B2)
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`you have exactly what is claimed in -- frankly in both of the challenged
`patents.
`
`And our expert witness explained that one of skill in the art would
`have first considered these references together, they're all addressing the
`same problem, they're addressing it in a similar way, they're all the same
`field of endeavor, and one of skill in the art would have seen the benefit, the
`added protection of providing an alternate path to ground for lightning
`current.
`
`JUDGE ARBES: Counsel, just one question. I think you
`mentioned the person of skill in the art would be motivated to add it on top
`of the jacket in Rivest, is it adding on top or is it a replacement for the
`jacket?
`
`MR. DAY: It could be either, Your Honor. So, if you added it on
`top -- so, in Yamane, there are multiple different embodiments disclosed,
`and in those embodiments, the conductive member can be inside an
`insulative layer and that would be equivalent to putting it inside the polymer
`jacket of Rivest. It also says that it can be on the inside face or the outside
`face of the insulative layer in Yamane. And so any one of those
`embodiments, frankly, would translate over to Rivest, and so our expert
`witness talks about it as alternatives, you could replace -- one thing you
`could do is simply replace the jacket, but another thing that you could do is
`essentially equate that polymer jacket of Rivest with the insulation layer of
`Yamane, put the conductor either under, over or inside of that polymer
`jacket.
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`Case IPR2016-00730 (Patent 7,562,448 B2)
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`
`JUDGE ARBES: If we assume for the moment that Patent
`Owner's proposed interpretation is correct, that they cannot touch, placing
`the conductive member on top of the jacket, would that combination still
`work then? If the conductive member cannot touch the tube, if we agreed
`with Patent Owner on that, does your combination still work, placing it on
`top of the jacket in Rivest?
`MR. DAY: Yeah, so either on top of or inside of the jacket of
`Rivest would mean that it doesn't touch the tubing. And in either case, it
`would still create that alternate path to ground that Yamane talks about.
`JUDGE ARBES: Okay, so the jacket in Rivest does not touch the
`tube, then, I assume?
`MR. DAY: Well, the jacket -- no, that's -- the jacket in Rivest does
`touch the tube, but I think what Patent Owner is talking about is the
`conductor physically touching the tubing. If we assume that construction,
`then Yamane and Ohki both have embodiments where the conductor does
`not touch the tubing.
`JUDGE McGRAW: So just to be clear, your position is that in the
`combination, the conductive wire would be inside of the jacket and that is
`why the conductive wire itself does not touch the tube. Is that correct?
`MR. DAY: Yes. If we were to adopt that no touching
`construction, then putting the conductor inside of the conductive jacket
`would meet it.
`JUDGE McGRAW: Okay.
`MR. DAY: And similarly, and independently, the combination of
`Rivest with Ohki would disclose all the limitations of claim 1, and here what
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`Case IPR2016-00730 (Patent 7,562,448 B2)
`Case IPR2016-00731 (Patent 7,821,763 B2)
`
`we're saying is, Rivest discloses a polymer jacket and the Patent Owner said,
`well, it's not as conductive as a wire. Ohki discloses a conductive layer,
`basically a jacket, that is more conductive, that is -- it's a metal mesh, or it
`can be a metal mesh.
`And so here you could substitute -- and our expert witness talks
`about this, you could substitute the polymer jacket of Rivest with the
`conductive layer and mesh from Ohki, or Ohki discloses an embodiment
`where that conductive layer sits on top of an insulator, and so you could do a
`similar thing with Rivest and have the metal mesh sit on top of the polymer
`jacket. In that embodiment, if we have this no-touching limitation, that
`embodiment would satisfy the no-touching limitation, which as we'll get to
`in a few minutes, I don't think exists.
`The dependent claims are all disclosed, and there's really no
`dispute on the dependent claims.
`The same analysis applies for the '763 patent. You could take
`Rivest and add the conductive member of Yamane, you could add the
`conductive layer of Ohki, and you get every limitation of claim 1 in the '763
`patent, for essentially the same reasons we just talked through in the
`dependent claims.
`Okay. So, in our petition, we provided all of that evidence. We
`just walked through showing how Yamane, Ohki, Rivest and where
`necessary the Titeflex Design Guide discloses every limitation of the
`challenged claims. And in response to that, in the preliminary response, the
`Patent Owner tried to distinguish the prior art based on some negative
`limitations, the tubing and the conductor can't touch each other, they can't
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`Case IPR2016-00730 (Patent 7,562,448 B2)
`Case IPR2016-00731 (Patent 7,821,763 B2)
`
`even be close to each other, and you can't have a resin layer between the
`conductor and the tubing. And in the institution decision, the panel rejected
`those arguments because they're not supported by a specification, it would
`be importing limitations from the specification, at best, and, in fact, they're
`inconsistent with the specification.
`And these two IPRs were instituted, the Patent Owner provided a
`complete response, and made the exact same arguments. So what we see are
`these negative limitations that the Patent Owner is trying to graft onto the
`claims in order to distinguish the prior art. And I want to walk through
`these.
`
`So, there's really three. One, the external conductor must not touch
`the inner gas tubing; the external conductor, 2, can't even be close to the
`inner gas tubing; and three, it can't be separated by a resin from the tube.
`So, we will start with the no touching, which we will talk a little bit
`about. First, I would be very, very clear. Neither of the claims, nor the
`specification of either patent, says the conductive wire can't touch the
`tubing. It doesn't say that. So what Patent Owner has had to do is look for
`other words and phrases and use those to suggest some implicit limitation
`that should be imported into the claims. So, for instance, the specification
`says that the conductive wire is electrically in parallel with the tube.
`So they use that and say, well, they can't touch. Well, we supplied
`prior art texts. Exhibit 1030 is one that comes to mind that says, multiple
`conductors are electrically in parallel, even if they're touching, so we -- the
`example we used was a cable with multiple wires inside of it, so all the wires
`are touching, and the text refers to them as electrically in parallel.
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`Case IPR2016-00730 (Patent 7,562,448 B2)
`Case IPR2016-00731 (Patent 7,821,763 B2)
`
`
`This kind of gets back to the discussion we had, Judge McGraw,
`where I said, even if two conductors touch, if they're of different resistance,
`it doesn't create a short, it just means the current will continue along the
`easier path. It may be -- one of the points that Patent Owner's expert makes
`is, there may be some current transfer, but it will be related to the difference
`in the conductivity of the two materials. One is very conductive, like the
`ground wire, and one is not conductive, like stainless steel, most of the
`current is going to stay in the conductor, in the copper wire of the conductive
`member of Yamane and go to ground, which is exactly what Yamane and
`Ohki both say.
`JUDGE McGRAW: Well, if we agree that direct electrical contact
`means that the conductive wire cannot touch the gas tubing, would the prior
`art still teach compliance?
`MR. DAY: Yeah, so this gets back to the point about the
`embodiments in Yamane and Ohki, where the conductor does not touch the
`tubing. So Yamane says that the conductive member can be integrated
`within an insulative layer, in which case it would not touch the tubing or on
`the outer face of that insulative layer, in which case it would not touch the
`tubing.
`
`And in one embodiment, there's a conductor that actually connects
`the -- the wire to the tubing, but that's one alternate embodiment. The
`embodiment we're talking about is where Yamane says the conductive
`member can be directly connected to the end, the connecting joint, the end
`connector. And in that case, there is no connection, there's no physical --
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`Case IPR2016-00730 (Patent 7,562,448 B2)
`Case IPR2016-00731 (Patent 7,821,763 B2)
`
`there's no touching and there's no conductor connecting the wire to the
`tubing.
`
`JUDGE McGRAW: In the event that there is an electrical insult,
`would the conductive wire at that point touch the CSST tubing?
`MR. DAY: No. So what the Patent Owner is talking about is if
`there were -- if the insulative layer, you know, exploded, and everything
`melted, would that -- you know, in that case, would some current get to the
`tubing? Theoretically, yes, but that's true of any -- anything. If we were to
`take the Goodson -- an embodiment of Goodson and, you know, cause an
`explosion, so that everything melts together, the same thing would happen.
`What we're talking about is what's actually disclosed in the prior
`art, and what's claimed. And what's claimed is that a sufficient amount of
`the current goes through the conductor to ground to prevent damage to the
`tubing, that's exactly -- I mean, in merely identical words, both Yamane and
`Ohki talk about doing the same thing.
`So it's not intended -- there's nothing in Yamane or Ohki that
`suggests it's intended to create some sort of path through the tubing. In fact,
`it says most of the current is going to go through the conductor, confirming
`that it's exactly the opposite of what the Patent Owner says.
`JUDGE McGRAW: How does the current get onto the tube in the
`event there is an electrical insult?
`MR. DAY: Well, there's two ways, Your Honor, and it has to do
`with two different ways that current can get into the tubing. And one is if
`you look at figure 1 and 2 in the Goodson patents, it talks about current
`coming from an appliance, in through an end connector, and onto the tubing
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`Case IPR2016-00730 (Patent 7,562,448 B2)
`Case IPR2016-00731 (Patent 7,821,763 B2)
`
`that way. In that case, the current would split, because the tubing and the
`conductor present two different paths to ground, one greatly preferable to the
`other, but mathematically speaking, at least some current would go on the
`tubing. Most of the current would go on the conductor. So in that way, you
`could get some current on the tubing.
`The other way, if you look at figure 4 in the specification, in the
`common specification, you see that another way electricity can get to the
`tubing is

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