`Joint Motion to Terminate
`
`
`
`UNITED STATES PATENT AND TRADEMARK OFFICE
`____________________________
`BEFORE THE PATENT TRIAL AND APPEAL BOARD
`____________________________
`
`
`
`
`
`
`
`ZTE (USA), INC.,
`Petitioner,
`v.
`SEVEN NETWORKS, LLC,
`Patent Owner.
`
`____________________________
`Case No. IPR2019-00461
`
`Patent No.
`9,516,129
`____________________________
`
`JOINT MOTION TO TERMINATE PURSUANT TO 35 U.S.C. § 317
`
`
`
`
`
`Pursuant to 35 U.S.C. § 317(a) and 37 C.F.R. § 42.74, the parties to this
`
`IPR2019-00461
`Joint Motion to Terminate
`
`
`case, Petitioner ZTE (USA), Inc. (“ZTE” or “Petitioner”) and Patent Owner
`
`SEVEN Networks, LLC (“SEVEN” or “Patent Owner”) (collectively “the
`
`Parties”), jointly request termination of inter partes review (IPR) in the following
`
`pending cases between the Parties (“the ZTE-SEVEN IPR Proceedings”). For the
`
`Board’s convenience, it is noted that a Joint Motion substantially identical to this
`
`one is being filed today in each of these three cases.
`
`IPR2019-00412 (Patent 9,351,254)
`IPR2019-00585 (Patent 9,247,019)
`
`
`
`IPR2019-00461 (Patent 9,516,129)
`
`The Parties have resolved their disputes and, pursuant to a Patent License
`
`And Settlement Agreement (“Settlement Agreement”) that resolves their disputes,
`
`now move to terminate this IPR. In accordance with 37 C.F.R. § 42.20(b), the
`
`Parties jointly sought authorization to file this motion, and received such
`
`authorization from the Board on June 12, 2019.
`
`Termination is proper for at least the following reasons:
`
`• The Board has not yet “decided the merits of the proceeding before the
`
`request for termination is filed.” 35 U.S.C. § 317(a) (emphasis added); 77
`
`Fed. Reg. at 48,768 (“The Board expects that a proceeding will terminate
`
`after the filing of a settlement agreement, unless the Board has already
`
`
`
`1
`
`
`
`decided the merits of the proceeding.”). In each of these cases, no decision
`
`IPR2019-00461
`Joint Motion to Terminate
`
`
`regarding whether to deny institution has yet been entered. This supports the
`
`propriety of terminating this proceeding. 77 Fed. Reg. 48,680, 48,686 (Aug.
`
`14, 2012). And 35 U.S.C. § 317(a) provides that “[a]n inter partes review
`
`instituted under this chapter shall be terminated with respect to any
`
`petitioner upon the joint request of the petitioner and the patent owner,
`
`unless the Office has decided the merits of the proceeding before the request
`
`for termination is filed.”
`
`• The Parties are jointly requesting termination. 77 Fed. Reg. 48,756, 48,768
`
`(Aug. 14, 2012) (“There are strong public policy reasons to favor settlement
`
`between the parties to a proceeding”).
`
`• The Parties have settled their disputes and agreed to voluntary dismissal of
`
`the pending related district court litigation between the Parties regarding the
`
`patents-at-issue. This case is SEVEN Networks, LLC v. ZTE (USA), Inc. et
`
`al., No. 3-17-cv-01495 (N.D. Tex.) (transferred from SEVEN Networks, LLC
`
`v. ZTE (USA), Inc., No. 2:17-cv-00440 (E.D. Tex.)), as noted in both Parties’
`
`Mandatory Notices. Other pending proceedings between the Parties, or
`
`entities related to the parties, involve foreign patents related to one or more
`
`of the Patents at issue, including ZTE’s pending European opposition
`
`proceeding with respect to European Patent No. EP 3008946; Email Seven
`
`
`
`
`2
`
`
`
`Networks Ireland Limited v. ZTE Deutschland GmbH, District Court of
`
`IPR2019-00461
`Joint Motion to Terminate
`
`
`Mannheim, Germany, court reference 2 O 42/19; and Email Seven Networks
`
`Ireland Limited v. ZTE Deutschland GmbH, District Court of Mannheim,
`
`Germany, court reference 2 O 43/19. The Parties have agreed to effect
`
`voluntary dismissal of these proceedings as well.
`
`• Any pending proceedings that involve one of the patents involved in the
`
`pending related district court litigation between the Parties, and the status of
`
`those proceedings (see Google Inc. v. PersonalWeb Techs., LLC, IPR2014-
`
`00977/78/79/80, Paper 9, 34 (PTAB Oct. 23, 2014)), are listed in the
`
`margin.1 No litigation or proceeding involving the challenged patent is
`
`contemplated between the Parties. It is also noted that Patent Owner has
`
`continuation applications pending before the USPTO related to the Patents at
`
`issue. Petitioner is not a party to any of those proceedings. Aside from the
`
`
`1 The Patents-at-issue in the ZTE-SEVEN IPR Proceedings are not involved in
`
`other pending proceedings. Patents related to one or more of the Patents-at-
`
`issue are involved in SEVEN Networks, LLC v. Apple Inc., No. 2-19-cv-00115
`
`(E.D. Tex.) (answer not yet filed, trial not yet scheduled, no substantive motions
`
`yet filed).
`
`
`
`
`3
`
`
`
`proceedings identified above, the Parties are unaware of any other pending
`
`IPR2019-00461
`Joint Motion to Terminate
`
`
`related proceedings regarding the Patent before the Board, or any other
`
`matter before the USPTO that would be affected by the requested
`
`termination of this proceeding.
`
`• Terminations, forgoing a Final Written Decision, have been granted even
`
`where oral argument had already taken place before the Board. See Callidus
`
`Software Inc. v. Versata Software, Inc., et al., CBM2013-00052, Paper 50
`
`(PTAB Nov. 24, 2014) (terminating proceeding after Oral Argument); Clio
`
`USA, Inc. v. Procter and Gamble Co., IPR2013-00438, Paper 57 (PTAB
`
`Oct. 31, 2014) (same); Volusion, Inc. v. Versata Software, Inc., CBM2013-
`
`00017, Paper 53 (PTAB June 17, 2014) and CBM2013-00018, Paper 52
`
`(PTAB June 17, 2014) (same).
`
`• Pursuant to the Settlement Agreement, the Parties are required to seek
`
`authorization from the Board to file this Motion to Terminate, and have
`
`received such authorization. Petitioner has also agreed not to participate in
`
`the IPR proceedings involving the Patent.
`
`The Settlement Agreement, Exhibit 2101, has been made in writing, and a
`
`true and correct copy shall be filed with this Office as business confidential
`
`information pursuant to 35 U.S.C. § 317(b) and 37 C.F.R. § 42.74(b)-(c). The
`
`Parties certify that there are no collateral agreements or understandings made in
`
`
`
`
`4
`
`
`
`connection with, or in contemplation of, the termination of the inter partes review.
`
`IPR2019-00461
`Joint Motion to Terminate
`
`
`For the foregoing reasons, the Parties jointly and respectfully request that the
`
`Board terminate the instant proceeding.
`
`Date: June 20, 2019
`
`Date: June 20, 2019
`
`
`
`Respectfully submitted,
`
`/s/ James R. Sobieraj
`James R. Sobieraj, Reg. No. 30,805
`BRINKS GILSON & LIONE
`NBC Tower, Suite 3600
`455 N. Cityfront Plaza Dr.
`Chicago, Illinois 60611-5599
`Telephone +1-312-4200
`jsobieraj@brinksgilson.com
`
`Lead Counsel For Petitioner
`
`/s/ Kenneth J. Weatherwax
`
`Kenneth J. Weatherwax (Reg. No. 54,528)
`LOWENSTEIN & WEATHERWAX LLP
`1880 Century Park East, Suite 815
`Los Angeles, CA 90067
`Telephone: +1 310-307-4500
`weatherwax@lowensteinweatherwax.com
`
`Lead Counsel for Patent Owner
`
`
`
`
`
`
`
`
`
`
`
`5
`
`
`
`IPR2019-00461
`Joint Motion to Terminate
`
`
`CERTIFICATE OF SERVICE
`
`The undersigned hereby certifies that a true copy of the following document(s)
`
`was served on the date signed below:
`
`
`JOINT MOTION TO TERMINATE PURSUANT TO 35 U.S.C. § 317
`EXHIBIT 2101
`The names and addresses of the parties being served are as follows:
`
`
`
`
`
`James R. Sobieraj
`Jon H. Beaupré
`
`Yuezhong Feng
`
`Andrea Shoffstall
`
`
`
`
`
`jsobieraj@brinksgilson.com
`jbeaupre@brinksgilson.com
`yfeng@brinksgilson.com
`ashoffstall@brinksgilson.com
`ZTE_SevenIPRs@brinksgilson.com
`
`Respectfully submitted,
`
` / Patrick Maloney /
`
`Date: June 20, 2019
`
`
`
`
`
`
`
`
`6
`
`