`PATENT NO. 6,088,802
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`UNITED STATES PATENT AND TRADEMARK OFFICE
`__________________
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`BEFORE THE PATENT TRIAL AND APPEAL BOARD
`__________________________________________________________________
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`KINGSTON TECHNOLOGY COMPANY, INC.,
`Petitioner,
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`v.
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`SPEX TECHNOLOGIES, INC.,
`Patent Owner.
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`
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`Patent No. 6,088,802
`Filing Date: June 4, 1997
`Issue Date: July 11, 2000
`Title: PERIPHERAL DEVICE WITH
`INTEGRATED SECURITY FUNCTIONALITY
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`__________________________________________________________________
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`SPEX TECHNOLOGIES, INC.’S OPPOSITION TO PETITIONER’S
`MOTION FOR JOINDER, COORDINATION, AND A SHORTENED TIME
`TO FILE A PRELIMINARY RESPONSE
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`Case No. IPR2018-01003
`__________________________________________________________________
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`IPR2018-01003
`PATENT NO. 6,088,802
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`I.
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`Introduction
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`Petitioner Kingston’s motion exceeds the scope of a request for joinder and
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`requests relief for which the rules expressly require prior authorization. Absent
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`authorization, which Kingston neither sought nor received, the Board must deny
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`entry of this omnibus motion. Should the Board grant authorization
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`notwithstanding the violation of the Board’s rules, the Board should deny each of
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`Kingston’s three requests. First, the Board should deny Kingston’s request for
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`coordination of proceedings because Kingston’s petition is time-barred absent
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`joinder. Second, the Board should deny Kingston’s request for a shortened
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`preliminary response period because Kingston has not met its burden to show a
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`sufficient need or any entitlement to impose such an unfairly prejudicial limitation
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`on SPEX. Third, the Board should exercise its discretion to deny joinder because
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`Kingston has not identified a legitimate reason why it should be given a second
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`bite at the ’802 Patent when (a) Kingston’s own challenges to the ’802 Patent have
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`been denied institution; and (b) Petitioners’ serial challenges to the ’802 Patent
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`used this Board’s prior institution decisions as a road map to ultimately attain
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`institution. Thus, for the reasons set forth herein, SPEX respectfully submits that
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`the motion should be denied in its entirety.
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`II. Kingston’s Omnibus Motion Must Be Denied Entry
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`Kingston’s motion must be denied entry in its entirety because it requests
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`1
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`IPR2018-01003
`PATENT NO. 6,088,802
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`relief for which it did not seek authorization. 37 C.F.R. § 42.20(a)-(b) (“Relief,
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`other than a petition requesting the institution of trial, must be requested in the
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`form of a motion. . . . A motion will not be entered without Board authorization.”).
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`Without obtaining SPEX’s position and the Board’s prior authorization, Kingston
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`moved for two forms of relief that require prior authorization: a coordination of
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`parallel proceedings and a shortened preliminary response period. Neither motion
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`constitutes the kind for which authorization is automatically granted. Seeking
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`authorization would not have been impractical, because at the time of filing this
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`petition, Kingston’s counsel was aware of SPEX’s representation by the same
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`counsel in case numbers IPR2017-00430 (institution denied), IPR2017-00824
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`(institution denied), IPR2017-00825 (institution denied), IPR2017-01021
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`(pending), IPR2018-00082 (pending), and IPR2018-00084 (pending), and
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`Kingston’s counsel knew that the same Panel presided over the preceding pending
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`IPRs, particularly the IPR to which Kingston seeks to join. The rules are clear:
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`without prior authorization, this motion will not be entered into the record.
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`Because Kington’s motion must be denied entry, the Petition must be denied
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`institution as time-barred under 35 U.S.C. 315(b).
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`III. Kingston’s Motion to Shorten the Time to File a Preliminary Response
`Is Improper and Should Be Denied
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`Kingston’s request to shorten the time to file a preliminary response should
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`be denied because it is improper, and Kingston has failed to meet its burden to
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`2
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`IPR2018-01003
`PATENT NO. 6,088,802
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`show any entitlement to the requested relief. Despite being in regular contact with
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`SPEX’s counsel in related proceedings (e.g., IPR2017-01021), Kingston did not
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`seek SPEX’s position or attempt to contact the Panel regarding this request.
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`Additionally, Kingston cites no authority supporting its request and identifies no
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`urgency that sufficiently merits deprivation of the full three months typically
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`prescribed to patent owners under similar circumstances. Petitioner’s arguments
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`regarding the similarity of petitions are irrelevant. See, e.g., IPR2018-00090,
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`Paper 12 at 2.
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`SPEX does not waive any portion of the 3-month period to file a preliminary
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`response as prescribed by 37 C.F.R. § 42.107(b) and intends to file a preliminary
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`response1 by August 10, 2018. In addition to addressing whether institution should
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`be denied under the General Plastic factors, SPEX may file a preliminary response
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`raising additional arguments responding to the records relating to the ’802 Patent
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`and presenting additional evidence in the form of expert testimony. Accordingly,
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`Kingston’s motion places an undue burden and unfairly prejudices SPEX and
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`should be denied.
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`IV. Kingston’s Motion for Coordination Is Improper and Should Be Denied
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`Kingston’s alternative motion for coordination incorrectly presumes that
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`institution is proper without joinder to an instituted proceeding. However, absent
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`1 Patent Owner acknowledges the Board’s discretion to deny these motions and to deny institution of the
`accompanying petition prior to the filing of a preliminary response, and Patent Owner would not oppose such action
`by the Board.
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`3
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`IPR2018-01003
`PATENT NO. 6,088,802
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`joinder, Kingston’s petition is time-barred under 35 U.C.S. § 315(b), and Kingston
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`identifies no authority to the contrary. Accordingly, Kingston has not shown any
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`entitlement to coordination as an alternative form a relief absent joinder, and the
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`motion should be denied.
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`V.
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` Kingston’s Motion for Joinder Should Be Denied
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`Joinder may be authorized when warranted, but the decision to grant
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`joinder is discretionary. 35 U.S.C. § 315(c); 37 C.F.R. § 42.122(b). When
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`exercising that discretion, the Board construes the relevant authorities to secure the
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`just, speedy, and inexpensive resolution of every proceeding. 37 C.F.R. § 42.1(b).
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`As shown herein, the circumstances here warrant a denial of joinder.
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`A. The ’802 Patent’s History at the PTAB Identifies a Clear Trend of
`Improper Road-Mapping at the Expense of Patent Owner and the
`Board
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`In September 2016, SPEX concurrently filed seven complaints alleging
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`infringement of the ’802 Patent by certain defendants, including Kingston and
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`Western Digital. Paper 9 at 2. Shortly thereafter, defendants embarked on what
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`will amount to a two-and-a-half-year road-mapping campaign against the ’802
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`Patent before the PTAB.
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`On December 14, 2016, Unified Patents filed a petition in case number
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`IPR2017-00430 (“430-IPR”) alleging that claims 1-39 of the ’802 Patent were
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`unpatentable, in part, over Jones and Harari. 430-IPR, Paper 2 at 3-4. The Board
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`PATENT NO. 6,088,802
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`denied institution on all grounds. 430-IPR, Paper 8.
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`On January 31, 2017, Kingston filed a second petition in case number
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`IPR2017-00824 (“824-IPR”) alleging that claims 1-3. 6-8, 11-15, 23-28, and 36-39
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`of the ’802 Patent were unpatentable over Jones and other references. 824-IPR,
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`Paper 2 at 3-4. The Board again denied institution on all grounds. 824-IPR, Paper
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`8.
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`On October 16, 2017, after having reviewed two preliminary responses by
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`SPEX and two institution denials by the PTAB, Western Digital filed a third
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`petition in case number IPR2018-00082 (“82-IPR”) alleging that claims 1-2, 6-7,
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`11-12, 23-25, and 38-39 of the ’802 Patent were unpatentable over Harari and
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`other references. 82-IPR, Paper 1. In compliance with post-SAS procedures, the
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`Board instituted the 82-IPR while finding that Western Digital failed to establish a
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`reasonable likelihood that claims 1-2, 6-7, 11-12, and 23-25 were unpatentable.
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`82-IPR, Paper 11.
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`On May 9, 2018, SPEX timely requested reconsideration and reversal of
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`institution of the 82-IPR. 82-IPR, Paper 15. In its rehearing request, SPEX
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`informed the Board that it no longer asserted claims 38 and 39 in the district court
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`proceeding, and accordingly, that substantial judicial resources would be spared by
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`denying a petition in which the petitioner no longer held an interest in the
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`invalidity of the only two claims that met the institution standard. 82-IPR, Paper
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`5
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`PATENT NO. 6,088,802
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`15 at 2-3. The rehearing request remains pending at this time.
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`Along the way, defendants have inefficiently consumed the limited
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`resources of Patent Owner SPEX and the PTAB. Kingston and its joint defense
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`group have engaged in incremental petitioning which has allowed it to
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`impermissibly benefit from SPEX’s prior arguments and the Board’s prior
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`decisions. No efficiencies will be gained by allowing otherwise time-barred
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`Kingston (or any other co-defendant who received a complaint in September 2016)
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`to insert itself into this proceeding. SPEX respectfully urges the Board to deny the
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`request for joinder and the underlying petition before SPEX and the Board waste
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`additional resources.2
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`B. Kingston Is an Otherwise Time-Barred Petitioner and Has
`Identified No Legitimate Reason for Joinder
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`Joinder should be denied because Kingston fails to identify a legitimate basis
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`for joinder to the 1003-IPR. Instead, Kingston lists boilerplate answers to other
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`factors (i.e., new grounds, impact, and simplification), conceding that the 1003-
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`IPR involves redundant grounds on the same prior art and same claims.
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`In its motion, Kingston relies on a frequently-cited Kyocera case to set forth
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`the requirements for joinder, including that the petitioner articulate a reason to join
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`the proceeding. Mot. at 3. In IPR2013-00004, the joining party expressed its
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`2 As noted herein, Patent Owner intends to submit a preliminary response addressing General Plastic factors and
`additional reasons why the Board should deny institution. However, the Board is well-aware of the record of the 82-
`IPR and the related proceedings. Patent Owner respectfully requests the Board exercise its discretion to deny
`institution before the preliminary response is due on August 10, 2018.
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`6
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`PATENT NO. 6,088,802
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`belief that joinder was the only option to participate in the review of the challenged
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`patents and that the petitioner’s reliance on the joining party’s expert’s testimony
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`in the proceeding necessitated the joining party’s participation in any cross-
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`examination of its expert. IPR2013-00004, Paper 15 at 2-3.
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`Here, Kingston presents no such rationale. This is not Kingston’s only
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`chance at review. Kingston admits knowledge of the 82-IPR prior art, including
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`Harari, when it filed its previous 824-IPR. Mot. at 8. Instead of including the
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`invalidity arguments raised in the 82-IPR when it filed its previous 824-IPR,
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`Kingston sat on its hands and engaged in a wait-and-see strategy. Kingston does
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`not identify any new arguments, testimony, evidence, and/or issues, admitting that
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`it will not introduce any argument or discovery not already introduced by Western
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`Digital. Mot. at 8-9. While Kingston’s boilerplate points go to the impact of
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`joinder and simplification of already-joined proceedings, it presents no reason why
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`it requests joinder. Other than increasing expenses for SPEX, Kingston has no
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`legitimate reason to join this proceeding.
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`As explained in Section V-A above, the Board has already ruled that
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`Western Digital failed to show a reasonable likelihood that claims 1-2, 6-7, 11-12,
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`and 23-25 were unpatentable. 82-IPR, Paper 11. If the Board grants SPEX’s
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`rehearing request and denies institution on the 82-IPR, there are no efficiencies to
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`be gained by joining the 1002-IPR to a non-instituted proceeding. Moreover, if the
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`IPR2018-01003
`PATENT NO. 6,088,802
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`Board denies institution on the 82-IPR, the 1002-IPR should be denied for the
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`same reasons because Kingston admits that the 82-IPR and the 1002-IPR are
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`substantially the same and involve the same challenged grounds and prior art.
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`Without any legitimate reason to join a proceeding (and potentially no proceeding
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`to join), the Board should exercise its discretion to deny this motion and deny
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`institution of the petition.
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`VI. Conclusion
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`For the reasons stated above, and any additional reasons the Board may
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`deem relevant to the motion, Patent Owner SPEX respectfully requests denial of
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`the motion in its entirety and denial of institution.
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`Dated: June 4, 2018
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`
`
`By: /Peter Lambrianakos /
`Peter Lambrianakos (Reg. No. 58,279)
`Lead Counsel for Patent Owner
`Brown Rudnick LLP
`7 Times Square
`New York, NY 10036
`Telephone: 212-209-4800
`Facsimile: 212-209-4801
`Email: plambrianakos@brownrudnick.com
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`8
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`IPR2018-01003
`PATENT NO. 6,088,802
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`CERTIFICATE OF SERVICE
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`A copy of SPEX TECHNOLOGIES, INC.’S OPPOSITION TO
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`PETITIONER’S MOTION FOR JOINDER, COORDINATION, AND A
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`SHORTENED TIME TO FILE A PRELIMINARY RESPONSE has been served
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`on Petitioner’s counsel of record as follows:
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`David Hoffman (Reg. No. 54,174)
`Fish & Richardson P.C.
`3200 RBC Plaza
`60 South Sixth Street
`Minneapolis, MN 55402
`IPR37307-0012IP3@fr.com
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`Martha Hopkins (Reg. No. 46,277)
`Law Offices of S. J. Christine Yang
`17220 Newhope Street
`Suites 101-102
`Fountain Valley, CA 92708
`IPR@sjclawpc.com
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`
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`June 4, 2018
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`By:
`
`/Peter Lambrianakos /
`Peter Lambrianakos (Reg. No. 58,279)
`Brown Rudnick LLP
`7 Times Square
`New York, NY 10036
`Telephone: 212-209-4800
`Facsimile: 212-209-4801
`Email: plambrianakos@brownrudnick.com
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