`Tel: 571-272-7822
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`Paper 8
`Date: December 8, 2020
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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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`SQUARE, INC.,
`Petitioner,
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`v.
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`SENDSIG, LLC,
`Patent Owner.
`_____________
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`IPR2020-00930
`Patent 6,564,249 B2
`____________
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`
`Before DAVID C. McKONE, JOHN P. PINKERTON, and
`MELISSA A. HAAPALA, Administrative Patent Judges.
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`PINKERTON, Administrative Patent Judge.
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`TERMINATION
`Due to Settlement After Institution of Trial
`35 U.S.C. § 317; 37 C.F.R. § 42.74
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`IPR2020-00930
`Patents 6,564,249 B2
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`I. INTRODUCTION
`On November 18, 2020, the Decision Granting Institution of Inter
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`Partes Review was entered in this proceeding in which Petitioner challenges
`claims 1, 2, 4, 5, 11, 12, 14, and 15 of U.S. Patent No. 6,564,249 B2 (“the
`’249 patent”). Paper 5. On December 1, 2020, the parties filed a Joint
`Motion to Terminate Inter Partes Review in which they jointly move to
`terminate this proceeding based on an agreement between the parties. Paper
`7, 1 (“Joint Motion”). Concurrently, the parties also filed their Confidential
`Agreement. Ex. 1020 (“Agreement”). The parties jointly request under 37
`C.F.R. § 42.74(c) that Exhibit 1020 be treated as business confidential
`information. Joint Motion, 1. We authorized the filing of these papers in an
`email to counsel for the parties dated November 24, 2020.
`II. DISCUSSION
`Under 35 U.S.C. § 317(a), “[a]n inter partes review instituted under
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`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.”
`Section 317(b) requires that any agreement between the parties, including
`collateral agreements, made in connection with the termination of an inter
`partes review “shall be in writing and a true copy of such agreement or
`understanding shall be filed in the Office before the termination of the inter
`partes review as between the parties.”
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`In the Joint Motion, the parties state they have “agreed to resolve their
`disputes relating to United States Patent No. 6,564,249, to dismiss with
`prejudice the co-pending litigation (SendSig, LLC v. Square, Inc., No. 1:19-
`cv-03733-JPB) and request termination of this proceeding.” Joint Motion, 1.
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`2
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`IPR2020-00930
`Patents 6,564,249 B2
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`The parties also represent that there “are no other agreements or
`understandings, oral or written, between the parties made in connection with,
`or in contemplation of, the termination of . . . [this] proceeding. Id. The
`parties request that we grant the joint motion for termination because no
`dispute remains between the parties regarding the ’249 patent, a final written
`decision has not yet been entered, no discovery has taken place, and
`termination would be consistent with with the “strong public policy
`reasons favoring settlement between the parties to a proceeding.” Id. at 2
`(citing Office Patent Trial Practice Guide, 77 Fed. Reg. 48756, 48768 (Aug.
`14, 2012)).
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`Although we recently instituted an inter partes review in this
`proceeding, the proceeding has not reached due date 1 of the scheduling
`order (see Paper 6, 10), and we have not yet decided the merits of, or entered
`a final written decision in, this proceeding. Given the early stage of the
`proceeding, the parties have shown adequately that termination is
`appropriate. Under these circumstances, we determine that good cause
`exists to terminate the proceeding. We further determine that the Agreement
`complies with the requirements for written agreements regarding termination
`set forth in 35 U.S.C. § 317(b).
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`With respect to the parties joint request to treat the Agreement as
`business confidential information, we have reviewed the Agreement and find
`that it contains confidential business information of the parties regarding the
`terms of settlement. Thus, we determine that good cause exists to treat the
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`IPR2020-00930
`Patents 6,564,249 B2
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`Agreement as business confidential information pursuant to 35 U.S.C.
`§ 317(b) and 37 C.F.R. § 42.74(c).
`III. CONCLUSION
`For the foregoing reasons, we grant the parties’ Joint Motion to
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`terminate this proceeding and their joint request to treat the Agreement as
`business confidential information. This determination does not constitute a
`final written decision pursuant to 35 U.S.C. § 318(a).
`IV. ORDER
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`Accordingly, it is:
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`ORDERED that the Joint Motion to Terminate is granted, and
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`IPR2020-00930 is terminated due to settlement after institution decision
`with respect to Petitioner and Patent Owner pursuant to 35 U.S.C. § 317(a)
`and 37 C.F.R. § 42.72; and,
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`FURTHER ORDERED that the parties’ joint request that the
`Agreement be treated as business confidential information is granted, and
`the Agreement shall be kept separate from the files of U.S. Patent No.
`6,654,249 B2, and made available only to Federal Government agencies on
`written request, or to any person on a showing of good cause, pursuant to 37
`C.F.R. § 42.74(c).
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`IPR2020-00930
`Patents 6,564,249 B2
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`For PETITIONER:
`Sasha G. Rao
`Brandon H. Stroy
`MAYNARD, COOPER & GALE, LLP
`srao@maynardcooper.com
`bstroy@maynardcooper.com
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`For PATENT OWNER:
`Lawrence A. Aaronson
`Warren J. Thomas
`MEUNIER CARLIN & CURFMAN LLC
`laaronson@mcciplaw.com
`wthomas@mcciplaw.com
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