Case 2:18-cv-00546 Document 1 Filed 12/27/18 Page 1 of 48 PageID #: 1
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`IN THE UNITED STATES DISTRICT COURT
`FOR THE EASTERN DISTRICT OF TEXAS
`MARSHALL DIVISION
`
`CANON, INC.,
`
`Plaintiff,
`
`vs.
`
`CIVIL ACTION NO.
`
`TCL ELECTRONICS HOLDINGS LTD.,
`
`JURY TRIAL DEMANDED
`
`Defendant.
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`COMPLAINT FOR PATENT INFRINGEMENT
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`Plaintiff Canon, Inc. (“Canon” or “Plaintiff”) brings this Complaint for Patent
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`Infringement (“Complaint”) and for Jury Trial against TCL Electronics Holdings Ltd. formerly
`
`known as TCL Multimedia Technology Holdings, Ltd. (“TCL” or “Defendant”). Plaintiff
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`alleges as follows:
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`THE PARTIES
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`1.
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`Canon is a corporation organized and existing under the laws of Japan. Its
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`principal place of business is located at 30-2, Shimomaruko 3-chome, Ohta-ku, Tokyo 146-8501,
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`Japan.
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`2.
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`Defendant is a foreign corporation organized and existing under the laws of
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`China. Its principal place of business is located at 7th Floor, Building 22E, 22 Science Park East
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`Avenue, Hong Kong Science Park, Shatin, New Territories, Hong Kong.
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`JURISDICTION AND VENUE
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`3.
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`This is an action for patent infringement arising under the patent laws of the
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`United States, Title 35 of the United States Code. Accordingly, this Court has subject matter
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`jurisdiction pursuant to 28 U.S.C. §§ 1331 and 1338(a).
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`1
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`Roku Exhibit 1026
`Roku, Inc. v. Canon Kabushiki Kaisha
`Page 00001
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`

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`4.
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`This Court has specific personal jurisdiction over Defendant at least in part
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`because Defendant conducts business in this judicial District. Canon’s causes of action arise, at
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`least in part, from Defendant’s contacts with and activities in the State of Texas and this judicial
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`District. Upon information and belief, Defendant has committed acts of infringement within the
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`State of Texas and this judicial District by, inter alia, directly and/or indirectly making, selling,
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`offering for sale, importing, and/or using products that infringe one or more claims of Canon’s
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`patents asserted herein. Defendant, directly and/or through intermediaries, uses, sells, ships,
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`distributes, offers for sale, and/or advertises or otherwise promotes the infringing products in the
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`State of Texas and this judicial District. Defendant also has a number of subsidiaries that
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`Defendant directs and controls that upon information and belief are involved in making, selling,
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`offering for sale, and/or importing into the United States the infringing products.
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`5.
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`Furthermore, upon information and belief, Defendant has purposefully and
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`voluntarily placed one or more infringing products into the stream of commerce with the
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`expectation that they will be purchased and/or used by residents of this judicial District,
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`including by directly and indirectly working with distributors, and other entities located in the
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`State of Texas, to ensure the accused products reach the State of Texas and this judicial District.
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`6.
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`Defendant also maintains commercial websites accessible to residents of the State
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`of Texas and this judicial District, through which Defendant promotes and facilitates sales of the
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`infringing products. For example, Defendant’s website https://www.tclusa.com directs
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`consumers in the United States, including those in the State of Texas and this judicial District, to
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`purchase Defendant’s infringing television systems from online stores such as Amazon, as well
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`as brick-and-mortar stores located in this judicial District, including Target and Walmart (see
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`2
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`Roku Exhibit 1026
`Page 00002
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`Figure 1, below). Defendant’s infringing television systems are also sold by Best Buy and Sam’s
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`Club, which have stores in this judicial District.
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`7.
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`Defendant further availed itself to this District in a separate lawsuit, American
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`Patents LLC v. TCL Corp., et al., 4:18-cv-767 (E.D. Tex) filed on October 26, 2018, where
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`Defendant waived the service of summons. Attached hereto as Exhibit 1 is a true and correct
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`copy of the waiver. In so doing, Defendant used this Court’s judicial resources and received
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`protections from this District’s rules and laws.
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`8.
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`Similarly, Defendant further availed itself to this District in a separate lawsuit,
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`Nichia Corporation v. TCL Multimedia Technology Holdings, Ltd., 2:16-cv-1452-JRG (E.D.
`
`Tex.) filed on December 27, 2016. Upon information and belief, TCL Multimedia Technology
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`Holdings, Ltd. is Defendant’s former name. In so doing, Defendant used this Court’s judicial
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`resources and received protections from this District’s rules and laws. Attached hereto as
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`Exhibit 2 is a true and correct copy of the Court’s order granting agreed stipulation of dismissal
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`of the action between Nichia Corporation on one side and TCL Multimedia Technology
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`Holdings, Ltd. and TTE Technology, Inc. on the other, evidencing that Defendant has availed
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`itself to the protection of this District’s rules and laws.
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`9.
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`Similarly, Defendant availed itself to this District in a separate lawsuit,
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`Personalized Media Communications, LLC, v. TCL Corp. et al., 2:17-cv-433-JRG (E.D. Tex)
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`filed on May 17, 2017, where Defendant filed a counterclaims against Personalized Media
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`Communications, LLC. Attached hereto as Exhibit 3 is a true and correct copy of Defendant’s
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`Answer to and Counterclaims against Personalized Media Communications, LLC, filed on
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`December 4, 2017, evidencing that Defendant has availed itself to the protection of this District’s
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`3
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`Roku Exhibit 1026
`Page 00003
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`rules and laws. Upon information and belief, TCL Multimedia Technology Holdings, Ltd. is
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`Defendant’s former name.
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`10.
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`Thus, Defendant has established minimum contacts with the State of Texas and
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`the exercise of jurisdiction would not offend traditional notions of fair play and substantial
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`justice.
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`11.
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`Venue is proper in this judicial district pursuant to 28 U.S.C. § 1391(b), (c) and
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`1400(b) because (i) Defendant has done and continues to do business in this district; (ii)
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`Defendant has committed and continue to commit acts of patent infringement in this district,
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`including making, using, offering to sell, and/or selling accused products in this district, and/or
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`importing accused products into this district, including by internet sales and sales via retail and
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`wholesale stores, and/or inducing others to commit acts of patent infringement in this district;
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`and (iii) Defendant is foreign entity. 28 U.S.C. § 1391(c)(3) provides that “a defendant not
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`resident in the United States may be sued in any judicial district.”
`
`THE CANON PATENTS
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`12.
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`On June 29, 2010, the United States Patent & Trademark Office (USPTO) issued
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`United States Patent No. 7,746,413 (“the ‘413 Patent”), titled “Operation Screen Controlling
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`Method, Operation Screen Controlling Program, and Display Device” to Canon as assignee of
`
`the inventors, Keiichi Aoyama, Shigeki Mori, and Shuntaro Aratani. A true and correct copy of
`
`the ‘413 Patent is attached as Exhibit 4 to this Complaint and is incorporated by reference herein.
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`13.
`
`The ‘413 Patent is generally directed to a display controlling method or system
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`for displaying operation screens that are suitable for various remote controls with various
`
`attributes. The ‘413 Patent discloses and specifically claims inventive and patentable subject
`
`matters that represent significant improvements over conventional display controlling
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`4
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`Roku Exhibit 1026
`Page 00004
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`method/system that was available at the time of filing of the ‘413 Patent and are more than just
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`generic apparatus or software components performing conventional activities.
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`14.
`
`On December 13, 2011, the USPTO issued United States Patent No. 8,078,767
`
`(“the ’767 Patent”), titled “Display Apparatus, Control Method Thereof, and Program” to Canon
`
`as assignee of the inventor, Junji Kotani. A true and correct copy of the ‘767 Patent is attached
`
`as Exhibit 5 to this Complaint and is incorporated by reference herein.
`
`15.
`
`The ‘767 Patent is generally directed to a display method or system that displays
`
`an image from an external device for some period of time after being disconnected when the
`
`external device is of predetermined class. The ‘767 Patent discloses and specifically claims
`
`inventive and patentable subject matters that represent significant improvements over
`
`conventional display method/system that was available at the time of filing of the ‘767 Patent
`
`and are more than just generic apparatus or software components performing conventional
`
`activities.
`
`16.
`
`On January 1, 2013, the USPTO issued United States Patent No. 8,346,986 (“the
`
`’986 Patent”), titled “Display Apparatus, Control Method Thereof, and Program” to Canon as
`
`assignee of the inventor, Junji Kotani. A true and correct copy of the ‘986 Patent is attached as
`
`Exhibit 6 to this Complaint and is incorporated by reference herein.
`
`17.
`
`The ‘986 Patent is generally directed to a display method or system that displays
`
`an image from an external device for some period of time after being disconnected when the type
`
`of external device is of a class and/or when the disconnection was logical or physical. The ‘986
`
`Patent discloses and specifically claims inventive and patentable subject matters that represent
`
`significant improvements over conventional display method/system that was available at the time
`
`5
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`Roku Exhibit 1026
`Page 00005
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`

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`of filing of the ‘986 Patent and are more than just generic apparatus or software components
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`performing conventional activities.
`
`18.
`
`On April 29, 2014, the USPTO issued United States Patent No. 8,713,206 (“the
`
`‘206 Patent”), titled “Display Apparatus, Control Method Thereof, and Program” to Canon as the
`
`assignee of the inventor, Junji Kotani. A true and correct copy of the ‘206 Patent is attached as
`
`Exhibit 7 to this Complaint and is incorporated by reference herein.
`
`19.
`
`The ‘206 Patent is generally directed to a display method or system that displays
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`an image from an external device for some period of time after being disconnected, the period of
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`time varying based on the type of external device and/or whether the disconnection was logical
`
`or physical. The ‘206 Patent discloses and specifically claims inventive and patentable subject
`
`matters that represent significant improvements over conventional display method/system that
`
`was available at the time of filing of the ‘206 Patent and are more than just generic apparatus or
`
`software components performing conventional activities.
`
`20.
`
`On October 5, 2010, the USPTO issued United States Patent No. 7,810,130 (“the
`
`‘130 Patent”), titled “Method and Apparatus of Power Management for Moving Image-
`
`Streaming Content” to Canon as assignee of the inventors Atsushi Mizutome and Masaki
`
`Kutsuna. A true and correct copy of the ‘130 Patent is attached as Exhibit 8 to this Complaint
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`and is incorporated by reference herein.
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`21.
`
`The ‘130 Patent is generally directed to a method and system for buffering
`
`streaming contents while the contents are not being displayed on a television either while the
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`television’s power is off or while the user is viewing other programs. The ‘130 Patent discloses
`
`and specifically claims inventive and patentable subject matters that represent significant
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`improvements over conventional method/system for streaming internet contents on a television
`
`6
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`Roku Exhibit 1026
`Page 00006
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`

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`that was available at the time of filing of the ‘130 Patent and are more than just generic apparatus
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`or software components performing conventional activities.
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`22.
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`Canon is the sole owner of the entire right, title and interest in and to the ‘413,
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`‘767, ‘986, ‘206 and ‘130 Patents (collectively, the “Asserted Patents”), including the right to sue
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`and recover for any and all infringements thereof. While the Asserted Patents reference “Canon
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`Kabushiki Kaisha” as their Assignee, “Canon Kabushiki Kaisha” is a Japanese translation for
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`Canon Inc. and is an identical entity as Canon Inc., the plaintiff of this action.
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`23.
`
`The Asserted Patents are valid and enforceable.
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`DEFENDANT’S INFRINGING PRODUCTS AND ACTIVITIES
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`24.
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`Defendant makes, uses, sells, offers to sell within the United States and/or imports
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`into the United States and this District infringing television systems that utilize and/or integrate
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`Roku operation system/service referred to as “Roku TV”.
`
`25.
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`Infringing products made, used, imported, offered for sale, and/or sold by
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`Defendant include: 3-series TV systems (e.g., Models 28S305, 32S301, 32S305, 32S327,
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`40S303, 40S305, 43S303, 43S305, 49S303, and 49S305), 4-series TV systems (e.g., Models
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`43S403, 43S405, 43S425, 49S403, 49S405, 49S425, 50S423, 50S425, 55S423, 55S425, 55S401,
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`55S403, 55S405, 65S401, 65S403, 65S405, 65S423 and 65S425), 5-series TV Systems (e.g.,
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`Models 43S515, 43S517, 49S515, 49S517, 55S515, 55S517, 65S515 and 65S517), 6-series TV
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`Systems (e.g., Models 55R615, 55R617, 65R615 and 65R617), P6-series TV Systems (e.g.,
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`Models 55P605 and 55P607), and C8-series TV Systems (e.g., Models 55C803, 55C807,
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`65C807, 75C803 and 75C807), S-series TV systems (e.g., 65US5800, 55US5800, 32S3750,
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`28S3750, 32S3850A, 32S3850B, 32S3850P, 32S3850, 55FS3750, 48FS3750, 55FS3850,
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`50FS3850, 32S3800, 50FS3800, 40FS3800, 40FS3850, 40FS4610R, 48FS3700, 48FS4610R,
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`7
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`Roku Exhibit 1026
`Page 00007
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`

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`55FS3700, 55FS4610R), P-series TV systems (e.g., 55UP130, 43UP130, 50UP130, 55UP120,
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`50UP120, 43UP120, 49FP110, 43FP110) (collectively, the “Accused Products”).
`
`26.
`
`Defendant introduced the first TCL Roku TV in August 2014, combining
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`Defendant’s TV design with the Roku OS. “TCL Roku TVs feature a personalized home screen
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`with access to all entertainment sources, making it easy to navigate between gaming console,
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`cable or satellite box, and the more than 2,000 streaming channels . . .” Ex. 9 (TCL Launches
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`Premium Roku TV Models,” May 13, 2015 Press Release.).
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`27.
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`Defendant’s United States website provides various retail stores in the United
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`States and within this District as options where customers can purchase the Accused Products.
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`For example, the website suggests Defendant’s customers to purchase its Model 55C807 at
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`Amazon, BrandsMart, Walmart, and other retail stores:
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`
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`8
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`Roku Exhibit 1026
`Page 00008
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`Case 2:18-cv-00546 Document 1 Filed 12/27/18 Page 9 of 48 PageID #: 9
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`Ex. 10 (https://www.tclusa.com/products/home-theater/c-series/tcl-55-class-c-series-4k-uhd-hdr-
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`roku-smart-tv-55c807). And these retail stores allow Defendant’s customers to pick up the
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`purchased Accused Product at their local stores such as the Walmart store at 6001 N. Central
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`Expressway, Plano TX 75023 located within this District as shown below.
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`Ex. 11 (https://www.walmart.com/ip/TCL-55-Class-4K-2160P-Dolby-Vision-HDR-
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`
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`Roku-Smart-LED-TV-55C807).
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`COUNT I
`(Direct Infringement of the ‘413 Patent pursuant to 35 U.S.C. § 271(a))
`
`28.
`
`Canon repeats, realleges, and incorporates by reference, as if fully set forth herein,
`
`the allegations of the preceding paragraphs.
`
`29.
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`Defendant has directly infringed and continues to directly infringe Claims 1-5, 7-
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`11 of the ‘413 Patent literally and/or under the doctrine of equivalents, by making, using, selling,
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`or offering to sell within the United States, and/or importing into the United States, models
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`43UP130, 50UP130, 55UP130, 55C807, 65C807, 75C807, 55P607, 55S517, 65S517, 43S517,
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`49S517, 55R617, 65R617, and 55P607 that can be controlled using the TCL Roku Enhanced
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`Remote Control (“the ‘413 Accused Products”).
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`9
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`Roku Exhibit 1026
`Page 00009
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`30.
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`Defendant’s acts of making, using, importing, selling, and offering for sale
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`infringing products and services have been without the permission, consent, authorization or
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`license of Canon.
`
`31.
`
`The ‘413 Accused Products practice the patented invention of the ‘413 Patent and
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`infringe the ‘413 Patent because they make or use the system and perform the steps of displaying
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`operation screens that are suitable for various remote controls with various attributes.
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`32.
`
`To the extent the ‘413 Accused Products contain modules, components or
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`software owned by third parties, including Roku Inc. and various third party Content Delivery
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`Networks (CDNs) service providers, the ‘413 Accused Products still infringe the ‘413 Patent
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`because Defendant uses the ‘413 Accused Products themselves for the purpose of testing and
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`marketing within the United States and/or is vicariously liable for the third parties’ use of the
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`patented system by controlling the entire system and deriving a benefit from the use of every
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`element of the entire accused system.
`
`33.
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`Similarly, to the extent third parties, including Roku Inc. and various CDN
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`service providers, perform a step or steps of the patented method or the ‘413 Accused Products
`
`incorporate the third parties’ modules, components or software that perform one or more
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`patented steps, the ‘413 Accused Products still infringe the ‘413 Patent because the ‘413
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`Accused Products condition receipt by the third parties of a benefit to provide their services to
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`Defendant’s customers upon performance of a step or steps of the patented method and establish
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`the manner or timing of that performance.
`
`34.
`
`The ‘413 Accused Products are televisions that display a number of operation
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`screens, each with a number of operation forms that can be displayed, depending on the remote
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`control device being used. Upon information and belief, the ‘413 Accused Products acquire an
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`10
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`Roku Exhibit 1026
`Page 00010
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`attribute of a remote control device, determine an operation form corresponding to the remote
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`control device from among a plurality of operation forms based on the acquired attribute of the
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`remote control device by evaluating a degree of suitability between the remote control device
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`and the plurality of operation forms and display an operation screen related to the determined
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`operation form displayed.
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`35.
`
`For example, the ‘413 Accused Products display a voice control operation screen
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`for certain remote control devices that have a voice control attribute without a touch panel
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`attribute. Upon information and belief, the ‘413 Accused Products accomplish this by acquiring
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`an attribute of a remote control device and determining the operation form suitable for the
`
`remote control device by evaluating a degree of suitability between the remote control device
`
`and the plurality of operation forms available to them. The ‘413 Accused Products may be
`
`operated through voice commands when the voice command button on an enhanced remote
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`control, such as a magnifying glass button, as shown below, is pressed. An operation screen is
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`then displayed on the television, displaying a microphone and a message to hold the microphone
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`button and speak, also as shown below.1
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`1 All pictures shown in this Complaint are of TCL Model 55C807.
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`
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`11
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`Roku Exhibit 1026
`Page 00011
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`36.
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`As shown below, if the ‘413 Accused Product does not detect or recognize the
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`voice command, a different form is displayed prompting the user to retry the voice search, or to
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`click one of two options: (1) text search, or (2) cancel the voice control process.
`
`
`37.
`
`If “Text search” is selected, another operation form is displayed, allowing the user
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`to type in text by navigating an on-screen keyboard using the enhanced remote control, as shown
`
`
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`below.
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`
`
`
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`12
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`Roku Exhibit 1026
`Page 00012
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`38.
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`The operation forms shown above do not display when the voice control button is
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`pressed on a smartphone’s virtual remote. Instead, the voice prompt and the operation forms are
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`displayed on the smartphone, not the television, as shown below.
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`
`
`
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`If “Use text search instead” is selected, a keyboard appears on the phone, but not
`
`39.
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`on the TV, as shown below.
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`
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`13
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`Roku Exhibit 1026
`Page 00013
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`40.
`
`As a result of Defendant’s infringement of the ‘413 patent, Canon has suffered
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`monetary damages and is entitled to recover from Defendant all damages Canon has sustained as
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`a result of Defendant’s infringement, including without limitation not less than a reasonable
`
`royalty, together with interest and costs as determined by the Court.
`
`41.
`
`Defendant’s infringement of the ‘413 patent has caused and is causing damage
`
`and irreparable injury to Canon and Canon will continue to suffer irreparable injury unless and
`
`until such infringement is enjoined by this Court.
`
`COUNT II
`(Indirect Infringement of the ‘413 Patent pursuant to 35 U.S.C. §271(b))
`
`42.
`
`Canon repeats, realleges and incorporates by reference, as if fully set forth herein,
`
`the allegations of the preceding paragraphs.
`
`43.
`
`In addition to directly infringing the ‘413 Patent, Defendant knowingly or with
`
`willful blindness induces infringement of Claims 1-5, 7-11 of the ‘413 Patent under 35 U.S.C. §
`
`271(b) by instructing, directing and requiring its customers to use the system or perform the steps
`
`disclosed in the ‘413 Patent, either literally or under the doctrine of equivalents. Defendant’s
`
`knowledge of the ‘413 Patent is based on filing of this Complaint.
`
`44.
`
`Such instructions and directions to its customers include advising them to use the
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`‘413 Accused Products in an infringing manner and distributing user guides, manuals and
`
`instructions on how to use the ‘413 Accused Products in an infringing manner. See Ex. 12 (TCL
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`C-Series User Guide 8.0); Ex. 13 (TCL C-Series Quick Start Guide);
`
`Ex. 14 (https://www.tclusa.com/blog/youtube-tv-streaming-channel);
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`Ex. 15 (https://www.tclusa.com/blog/how-to-watch-local-channels-without-cable);
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`Ex. 16 (https://www.tclusa.com/blog/essential-cord-cutting-apps);
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`14
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`Roku Exhibit 1026
`Page 00014
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`Case 2:18-cv-00546 Document 1 Filed 12/27/18 Page 15 of 48 PageID #: 15
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`Ex. 10 (https://www.tclusa.com/products/home-theater/c-series/tcl-55-class-c-series-4k-uhd-hdr-
`
`roku-smart-tv-55c807).
`
`45.
`
`Upon information and belief, Defendant’s customers act in an infringing manner
`
`because of Defendant’s inducement.
`
`COUNT III
`(Direct Infringement of the ‘767 Patent pursuant to 35 U.S.C. §271(a))
`
`
`46.
`
`Canon repeats, realleges, and incorporates by reference, as if fully set forth herein,
`
`the allegations of the preceding paragraphs.
`
`47.
`
`Defendant has directly infringed and continues to directly infringe Claims 1-14 of
`
`the ‘767 Patent literally and/or under the doctrine of equivalents, by making, using, selling, or
`
`offering to sell within the United States, and/or importing into the United States, 3-series TV
`
`systems (e.g., Models 28S305, 32S301, 32S305, 32S327, 40S303, 40S305, 43S303, 43S305,
`
`49S303, and 49S305), 4-series TV systems (e.g., Models 43S403, 43S405, 43S425, 49S403,
`
`49S405, 49S425, 50S423, 50S425, 55S423, 55S425, 55S401, 55S403, 55S405, 65S401, 65S403,
`
`65S405, 65S423 and 65S425), 5-series TV Systems (e.g., Models 43S515, 43S517, 49S515,
`
`49S517, 55S515, 55S517, 65S515 and 65S517), 6-series TV Systems (e.g., Models 55R615,
`
`55R617, 65R615 and 65R617), P6-series TV Systems (e.g., Models 55P605 and 55P607), and
`
`C8-series TV Systems (e.g., Models 55C803, 55C807, 65C807, 75C803 and 75C807), S-series
`
`TV systems (e.g., 65US5800, 55US5800, 32S3750, 28S3750, 32S3850A, 32S3850B, 32S3850P,
`
`32S3850, 55FS3750, 48FS3750, 55FS3850, 50FS3850, 32S3800, 50FS3800, 40FS3800,
`
`40FS3850, 40FS4610R, 48FS3700, 48FS4610R, 55FS3700, 55FS4610R), P-series TV systems
`
`(e.g., 55UP130, 43UP130, 50UP130, 55UP120, 50UP120, 43UP120, 49FP110, 43FP110) that
`
`utilize or integrate Roku operation systems or services (“the ‘767 Accused Product”).
`
`15
`
`Roku Exhibit 1026
`Page 00015
`
`

`

`Case 2:18-cv-00546 Document 1 Filed 12/27/18 Page 16 of 48 PageID #: 16
`
`48.
`
`Defendant’s acts of making, using, importing, selling, and offering for sale
`
`infringing products and services have been without the permission, consent, authorization or
`
`license of Canon.
`
`49.
`
`The ‘767 Accused Products practice the patented invention of the ‘767 Patent and
`
`infringe the ‘767 Patent because they make or use the system and perform the steps of displaying
`
`an image from an external device for some period of time after being disconnected when the
`
`external device is of predetermined class.
`
`50.
`
`To the extent the ‘767 Accused Products contain modules, components or
`
`software owned by third parties, including Roku Inc. and various CDN service providers, the
`
`‘767 Accused Products still infringe the ‘767 Patent because Defendant uses the ‘767 Accused
`
`Products themselves for the purpose of testing and marketing within the United States and/or is
`
`vicariously liable for the third parties’ use of the patented system by controlling the entire system
`
`and deriving a benefit from the use of every element of the entire system.
`
`51.
`
`Similarly, to the extent the third parties perform a step or steps of the patented
`
`method or the ‘767 Accused Products incorporate the third parties’ modules, components or
`
`software that perform one or more patented steps, the ‘767 Accused Products still infringe the
`
`‘767 Patent because the ‘767 Accused Products condition receipt by the third parties of a benefit
`
`of providing their services to Defendant’s customers upon performance of a step or steps of the
`
`patented method and establish the manner or timing of that performance.
`
`52.
`
`Each ‘767 Accused Product has a screen for a display unit and a central
`
`processing unit (CPU) for a control unit, and, as shown below, multiple inputs, such as USB and
`
`HDMI ports, for connecting and communicating with various external devices.2
`
`
`2 Ex. 13 (TCL C-Series Quick Start Guide) at p. 8
`
`16
`
`Roku Exhibit 1026
`Page 00016
`
`

`

`Case 2:18-cv-00546 Document 1 Filed 12/27/18 Page 17 of 48 PageID #: 17
`
`
`
`
`53.
`
`There are a number of different external devices that may be connected to the
`
`‘767 Accused Products both wirelessly and via cables, including Blu-ray players, laptop
`
`computers, cameras, gaming systems, smartphones, DVRs, Cloud DVRs and CDNs. For
`
`example, Cloud DVRs and CDNs can be connected to the ‘767 Accused Products wirelessly via
`
`Internet:
`
`Ex. 12 (https://www.tclusa.com/sites/default/files/2017-12/8.0_User_Manual_C_Series_Final_1.pdf)
`
`
`
`
`
`17
`
`Roku Exhibit 1026
`Page 00017
`
`

`

`Case 2:18-cv-00546 Document 1 Filed 12/27/18 Page 18 of 48 PageID #: 18
`
`Ex. 17 (https://www.tclusa.com/sites/default/files/2017-12/8.0_User_Manual_S_Series_Final_4.pdf)
`
`
`
`
`
`
`
`Ex. 14 (https://www.tclusa.com/blog/youtube-tv-streaming-channel).
`
`54.
`
`As a further example, a smartphone can be wirelessly connected to the ‘767
`
`Accused Products and display certain streaming contents provided by CDNs such as YouTube
`
`and Netflix onto the Accused Products’ display unit through screen casting technology:
`
`
`
`Ex. 18 (https://support.roku.com/article/360002990094-how-do-i-cast-apps-like-youtube-or-
`netflix-from-my-phone-to-my-tv-).
`
`18
`
`Roku Exhibit 1026
`Page 00018
`
`

`

`Case 2:18-cv-00546 Document 1 Filed 12/27/18 Page 19 of 48 PageID #: 19
`
`55.
`
`The ‘767 Accused Products display images from these external devices, which
`
`send the images through the ports or wireless connection. The ‘767 Accused Products’ CPUs
`
`cause the images received from the external devices to be displayed on the screen. Upon
`
`information and belief, the ‘767 Accused Products’ CPUs acquire class information indicating a
`
`class of the external device from the external device and control the display unit to continue or
`
`end the display based on the data received from the external device at the time of disconnection
`
`of the communication connection with the external device if the class of the external device
`
`indicated by the class information is a predetermined class.
`
`56.
`
`For example, when certain external devices are disconnected, the ‘767 Accused
`
`Products continue to display the image being displayed at the time of the disconnection. For
`
`other external devices, the ‘767 Accused Products immediately discontinue displaying the image
`
`upon disconnection. For example, when a laptop connected to the ‘767 Accused Products’ USB
`
`or HDMI port is disconnected, the display of the image from the laptop will cease.
`
`Contrastingly, images displayed by streaming content via CDNs or Cloud DVRs on the ‘767
`
`Accused Products obtained over the wireless connection continue to display for a period of time
`
`after disconnecting the wireless network. Upon and information and belief each ‘767 Accused
`
`Product contains a CPU and software that perform these functions.
`
`57.
`
`As a result of Defendant’s infringement of the ‘767 Patent, Canon has suffered
`
`monetary damages and is entitled to recover from Defendant all damages Canon has sustained as
`
`a result of Defendant’s infringement, including without limitation not less than a reasonable
`
`royalty, together with interest and costs as determined by the Court.
`
`19
`
`Roku Exhibit 1026
`Page 00019
`
`

`

`Case 2:18-cv-00546 Document 1 Filed 12/27/18 Page 20 of 48 PageID #: 20
`
`58.
`
`Defendant’s infringement of the ‘767 Patent has caused and is causing damage
`
`and irreparable injury to Canon and Canon will continue to suffer irreparable injury unless and
`
`until such infringement is enjoined by this Court.
`
`COUNT IV
`(Indirect Infringement of the ‘767 Patent pursuant to 35 U.S.C. §271(b))
`
`59.
`
`Canon repeats, realleges and incorporates by reference, as if fully set forth herein,
`
`the allegations of the preceding paragraphs.
`
`60.
`
`In addition to directly infringing the ‘767 Patent, Defendant knowingly or with
`
`willful blindness induces infringement of Claims 1-14 of the ‘767 Patent under 35 U.S.C. §
`
`271(b) by instructing, directing and requiring its customers to use the system or perform the steps
`
`disclosed in the ‘767 Patent, either literally or under the doctrine of equivalents. Defendant’s
`
`knowledge of the ‘767 Patent is based on filing of this Complaint.
`
`61.
`
`Such instructions and directions to its customers include advising them to use the
`
`‘767 Accused Products in an infringing manner and distributing user guides, manuals and
`
`instructions on how to use the ‘767 Accused Products in an infringing manner. See Ex. 12 (TCL
`
`C-Series User Guide 8.0); Ex. 13 (TCL C-Series Quick Start Guide);
`
`Ex. 14 (https://www.tclusa.com/blog/youtube-tv-streaming-channel);
`
`Ex. 15 (https://www.tclusa.com/blog/how-to-watch-local-channels-without-cable);
`
`Ex. 16 (https://www.tclusa.com/blog/essential-cord-cutting-apps);
`
`Ex. 10 (https://www.tclusa.com/products/home-theater/c-series/tcl-55-class-c-series-4k-uhd-hdr-
`
`roku-smart-tv-55c807).
`
`62.
`
`Upon information and belief, Defendant’s customers act in an infringing manner
`
`because of Defendant’s inducement.
`
`
`
`20
`
`Roku Exhibit 1026
`Page 00020
`
`

`

`Case 2:18-cv-00546 Document 1 Filed 12/27/18 Page 21 of 48 PageID #: 21
`
`COUNT V
`(Direct Infringement of the ‘986 Patent pursuant to 35 U.S.C. §271(a))
`
`63.
`
`Canon repeats, realleges, and incorporates by reference, as if fully set forth herein,
`
`the allegations of the preceding paragraphs.
`
`64.
`
`Defendant has directly infringed and continues to directly infringe Claims 1-11 of
`
`the ‘986 Patent literally and/or under the doctrine of equivalents, by making, using, selling, or
`
`offering to sell within the United States, and/or imp