throbber
Trials@uspto.gov Paper 31
`571-272-7822 Entered: November 30, 2021
`
`
`
`UNITED STATES PATENT AND TRADEMARK OFFICE
`____________
`
`BEFORE THE PATENT TRIAL AND APPEAL BOARD
`____________
`
`TARGET CORPORATION,
`Petitioner,
`
`v.
`
`PROXICOM WIRELESS, LLC,
`Patent Owner.
`____________
`
`IPR2020-00934
`Patent 8,385,896 B2
`____________
`
`
`
`Before BRIAN J. McNAMARA, CHARLES J. BOUDREAU, and
`SEAN P. O’HANLON, Administrative Patent Judges.
`
`BOUDREAU, Administrative Patent Judge.
`
`
`
`JUDGMENT
`Final Written Decision
`Determining All Challenged Claims Unpatentable
`35 U.S.C. § 318(a)
`
`Google Exhibit 1025
`Google v. SecCommTech
`
`
`
`
`
`
`
`IPR2020-00934
`Patent 8,385,896 B2
`
`2
`I. INTRODUCTION
`A. Background
`Target Corporation (“Petitioner”) filed a Petition for inter partes
`review of claims 1–3, 5, 6, 8, 9, 17, 18, 40, 41, 44, 48–53, and 56 (“the
`challenged claims”) of U.S. Patent No. 8,385,896 B2 (Ex. 1001, “the
`’896 patent”). Paper 2 (“Pet.”). Proxicom Wireless, LLC (“Patent Owner”)
`filed a Preliminary Response. Paper 9. On December 4, 2020, we instituted
`an inter partes review of the challenged claims on all grounds raised in the
`Petition. Paper 10 (“Institution Decision” or “Inst. Dec.”).
`Subsequent to institution, Patent Owner filed a Patent Owner
`Response (Paper 19, “PO Resp.”), Petitioner filed a Reply to the Patent
`Owner Response (Paper 22, “Pet. Reply”), and Patent Owner filed a
`Sur-reply (Paper 23, “PO Sur-reply”). An oral hearing was held on
`September 1, 2021. A transcript of the hearing has been entered into the
`record. Paper 29 (“Tr.”).
`For the reasons that follow, we conclude that Petitioner has proven by
`a preponderance of the evidence that all of the challenged claims are
`unpatentable.
`B. Real Parties in Interest
`Petitioner identifies itself as the sole real party in interest. Pet. 5–6.
`Patent Owner identifies itself as the sole real party in interest. Paper 4, 2
`(Patent Owner’s Mandatory Notice).
`C. Related Matter
`The parties indicate that the ’896 patent is involved in Proxicom
`Wireless, LLC v. Target Corporation, No. 6:19-cv-1886 (M.D. Fla. filed
`
`
`
`
`
`
`
`IPR2020-00934
`Patent 8,385,896 B2
`
`3
`Oct. 2, 2019). Pet. 6; Paper 4, 2. We understand that litigation to have been
`stayed on June 18, 2020, pending resolution of this proceeding and other
`inter partes review proceedings involving other patents asserted in the same
`litigation. Paper 6 (Notice of District Court Decision Granting Petitioner’s
`Motion to Stay the Related District Court Litigation.
`D. The Challenged Patent
`The ’896 patent is titled “Exchanged Identifiers Between Wireless
`Communication to Determine Further Information to be Exchanged or
`Further Services to be Provided.” Ex. 1001, code (54). The ’896 patent
`disclosure “is generally concerned with facilitating the exchange of
`information and transactions between two entities associated with two
`wireless devices when the devices are in close proximity to each other
`utilizing both a short range and a long range wireless capability.” Id.
`at 2:55–59. One wireless device detects the presence of another wireless
`device located within a certain proximity by using a short range
`communications protocol, such as Bluetooth or Wi-Fi, to receive transmitted
`identifying information. Id. at 2:64–3:4. The devices may then employ the
`use of a wide area wireless connection to communicate and establish data
`flow with a server to facilitate and perform the substantive communications
`between the devices. Id. at 6:35–55. This use of peer-to-peer short range
`communication beneficially allows proximity between devices to be
`determined without the need of a global positioning system (GPS), which
`may not always be present or available for use. Id. at 3:57–64. Use of a
`central server to mediate communications between the devices beneficially
`provides security to the transaction, allows for anonymity between the
`parties, and implements policy enforcement. Id. at 4:6–50.
`
`
`
`
`
`
`
`IPR2020-00934
`Patent 8,385,896 B2
`
`4
`In one application, only a user’s device is capable of long range
`communication and the second device is only capable of broadcasting its
`identifier information. Ex. 1001, 7:22–31. This application is illustrated in
`Figure 2, which is reproduced below:
`
`Figure 2 shows a block diagram of fixed broadcast device 204 and mobile
`device 202. Id. at 5:8–9. The user’s mobile device detects the broadcast
`device and transmits the broadcast device’s identifier information, along
`with a request for information regarding the broadcast device, to central
`server 100. Id. at 14:47–60. The server determines what information
`regarding the broadcast device is available and transmits a description of the
`information to the user’s device. Id. at 14:61–63. The user then has the
`
`
`
`
`
`
`
`
`IPR2020-00934
`Patent 8,385,896 B2
`
`5
`option to download the information. Id. at 14:63–15:3. The server may also
`coordinate the several steps of an electronic commerce transaction between
`the user’s device and the broadcast device. Id. at 17:36–18:64.
`E. Illustrative Claim
`Of the challenged claims, claims 1 and 40 are independent. Claim 1 is
`illustrative and is reproduced below.
`1. A method for a server to exchange information with one or more
`wireless devices comprising the steps of:
`receiving identifier information from a first wireless device
`related to a second wireless device or an entity associated with said
`second wireless device, said identifier information having been
`received by the first wireless device using short range wireless
`communication;
`said server using the identifier information to determine
`information concerning an entity or object located in proximity to the
`second wireless device;
`the server delivering first information to the first wireless
`device based at least in part upon the identifier information related to
`the second wireless device;
`the server receiving second information from either said first
`wireless device or said second wireless device indicating selection of
`one or more goods for purchase;
`the server transmitting a request to either said first or said
`second wireless device for confirmation of said purchase;
`the server receiving confirmation that a user wishes to complete
`said purchase; and
`the server transmitting a receipt to either said second wireless
`device or to an entity associated with said second wireless device.
`Ex. 1001, 23:35–58.
`
`
`
`
`
`
`
`IPR2020-00934
`Patent 8,385,896 B2
`
`6
`F. Instituted Grounds of Unpatentability
`We instituted trial based on the grounds of unpatentability asserted in
`the Petition:
`Claim(s) Challenged 35 U.S.C. § Reference(s)/Basis
`1–3, 5, 6, 8, 17, 18,
`40, 41, 44, 48–53, 56 1031 Perttila, 2 Emmons3
`9 103 Perttila, Emmons, Insolia 4
`Petitioner also relies on a declaration of Mr. David Hilliard Williams
`(Ex. 1003, “Williams Declaration”) in support of its contentions. Patent
`Owner relies on a declaration of Michael Foley, Ph.D. (Ex. 2020, “Foley
`Declaration”) in support of its contentions.
`II. ANALYSIS
`A. Principles of Law
`To prevail in its challenges to the patentability of the challenged
`claims of the ’896 patent, Petitioner must demonstrate by a preponderance of
`the evidence that the claims are unpatentable. 35 U.S.C. § 316(e); 37 C.F.R.
`§ 42.1(d) (2019). “In an [inter partes review], the petitioner has the burden
`
`1 The Leahy-Smith America Invents Act, Pub. L. No. 112-29, 125 Stat. 284
`(2011), amended 35 U.S.C. §§ 102 and 103 effective March 16, 2013.
`Because the ’896 patent has an effective filing date prior to the effective date
`of the applicable AIA amendments, we refer to the pre-AIA versions of
`§§ 102 and 103.
`2 Perttila et al., US 2004/0243519 A1, published Dec. 2, 2004 (Ex. 1006).
`3 Emmons et al., US 7,963,441 B2, issued June 21, 2011 (Ex. 1010).
`Petitioner further relies upon Emmons as incorporating by reference Attia et
`al., US 7,156,311 B2, issued Jan. 2, 2007 (Ex. 1011) and Recktenwald et al.,
`US 6,439,345 B1, issued Aug. 27, 2002 (Ex. 1012). Pet. 8–10.
`4 Insolia et al., US 8,121,917 B2, issued Feb. 21, 2012 (Ex. 1008).
`
`
`
`
`
`
`
`IPR2020-00934
`Patent 8,385,896 B2
`
`7
`from the onset to show with particularity why the patent it challenges is
`unpatentable.” Harmonic Inc. v. Avid Tech., Inc., 815 F.3d 1356, 1363 (Fed.
`Cir. 2016) (citing 35 U.S.C. § 312(a)(3) (2012) (requiring inter partes
`review petitions to identify “with particularity . . . the evidence that supports
`the grounds for the challenge to each claim”)). This burden of persuasion
`never shifts to patent owner. See Dynamic Drinkware, LLC v. Nat’l
`Graphics, Inc., 800 F.3d 1375, 1378 (Fed. Cir. 2015); see also In re
`Magnum Oil Tools Int’l, Ltd., 829 F.3d 1364, 1375–78 (Fed. Cir. 2016)
`(discussing the burden of proof in inter partes review).
`A claim is unpatentable for obviousness if, to one of ordinary skill in
`the pertinent art, “the differences between the subject matter sought to be
`patented and the prior art are such that the subject matter as a whole would
`have been obvious at the time the invention was made.” 35 U.S.C. § 103(a)
`(2006); see also KSR Int’l Co. v. Teleflex Inc., 550 U.S. 398, 406 (2007).
`The question of obviousness is resolved on the basis of underlying factual
`determinations including (1) the scope and content of the prior art; (2) any
`differences between the claimed subject matter and the prior art; (3) the level
`of ordinary skill in the art; and (4) when in evidence, objective evidence of
`nonobviousness.
`5 Graham v. John Deere Co., 383 U.S. 1, 17–18 (1966).
`Additionally, the obviousness inquiry typically requires an analysis of
`“whether there was an apparent reason to combine the known elements in
`the fashion claimed by the patent at issue.” KSR, 550 U.S. at 418 (citing In
`re Kahn, 441 F.3d 977, 988 (Fed. Cir. 2006) (requiring “articulated
`reasoning with some rational underpinning to support the legal conclusion of
`
`5 The parties do not direct our attention to any evidence of objective indicia
`of nonobviousness.
`
`
`
`
`
`
`
`IPR2020-00934
`Patent 8,385,896 B2
`
`8
`obviousness”)); see also In re Warsaw Orthopedic, Inc., 832 F.3d 1327,
`1333 (Fed. Cir. 2016) (citing DyStar Textilfarben GmbH & Co. Deutschland
`KG v. C. H. Patrick Co., 464 F.3d 1356, 1360 (Fed. Cir. 2006)).
`An obviousness analysis “need not seek out precise teachings directed
`to the specific subject matter of the challenged claim, for a court can take
`account of the inferences and creative steps that a person of ordinary skill in
`the art would employ.” KSR, 550 U.S. at 418; accord In re Translogic
`Tech., Inc., 504 F.3d 1249, 1259 (Fed. Cir. 2007). Petitioner cannot satisfy
`its burden of proving obviousness by employing “mere conclusory
`statements.” In re Magnum Oil Tools Int’l, Ltd., 829 F.3d 1364, 1380 (Fed.
`Cir. 2016). Instead, Petitioner must articulate a reason why a person of
`ordinary skill in the art would have combined the prior art references. In re
`NuVasive, 842 F.3d 1376, 1382 (Fed. Cir. 2016).
`A reason to combine or modify the prior art may be found explicitly
`or implicitly in market forces; design incentives; the “interrelated teachings
`of multiple patents”; “any need or problem known in the field of endeavor at
`the time of invention and addressed by the patent”; and the background
`knowledge, creativity, and common sense of the person of ordinary skill.
`Perfect Web Techs., Inc. v. InfoUSA, Inc., 587 F.3d 1324, 1328–29 (Fed. Cir.
`2009) (quoting KSR, 550 U.S. at 418–21).
`We analyze the asserted grounds of unpatentability in accordance with
`the above-stated principles.
`B. Level of Ordinary Skill in the Art
`Petitioner contends that a person having ordinary skill in the art at the
`time of the invention “would have had a minimum of a Bachelor’s degree in
`Electrical Engineering, or a related field, and approximately 3–5 years of
`
`
`
`
`
`
`
`IPR2020-00934
`Patent 8,385,896 B2
`
`9
`professional experience in the field of wireless communications.” Pet. 14
`(citing Ex. 1003 ¶¶ 36–38). Petitioner also asserts that “graduate education
`could substitute for professional experience” or that “significant experience
`in the field could substitute for formal education.” Id. (citing Ex. 1003
`¶¶ 36–38).
`While contending that a person of ordinary skill in the art with respect
`to the challenged claims “should also have 1–2 years of experience
`designing or implementing systems for electronic commerce including the
`use of wireless communications,” Patent Owner concedes that the level of
`skill as defined by Petitioner “is generally sufficient for the Board to
`evaluate the Petition Grounds.” PO Resp. 10–11.
`The level of ordinary skill in the art may be evidenced by the
`references themselves. See Okajima v. Bourdeau, 261 F.3d 1350, 1355
`(Fed. Cir. 2001); In re GPAC Inc., 57 F.3d 1573, 1579 (Fed. Cir. 1995); In
`re Oelrich, 579 F.2d 86, 91 (CCPA 1978). The level of ordinary skill
`proposed by Petitioner appears to be consistent with that of the references,
`and we apply Petitioner’s proposed level of ordinary skill for purposes of
`this Decision.
`C. Claim Construction
`In an inter partes review, claims are construed using the same claim
`construction standard that would be used to construe the claims in a civil
`action under 35 U.S.C. § 282(b), including construing the claims in
`accordance with the ordinary and customary meaning of such claims as
`understood by one of ordinary skill in the art and the prosecution history
`pertaining to the patent. 37 C.F.R. § 42.100(b). Thus, we apply the claim
`
`
`
`
`
`
`
`IPR2020-00934
`Patent 8,385,896 B2
`
`10
`construction standard as set forth in Phillips v. AWH Corp., 415 F.3d 1303
`(Fed. Cir. 2005) (en banc).
`Claim terms are generally given their ordinary and customary
`meaning as would be understood by one with ordinary skill in the art in the
`context of the specification, the prosecution history, other claims, and even
`extrinsic evidence including expert and inventor testimony, dictionaries, and
`learned treatises, although extrinsic evidence is less significant than the
`intrinsic record. Phillips, 415 F.3d at 1312–17. Usually, the specification is
`dispositive, and it is the single best guide to the meaning of a disputed term.
`Id. at 1315.
`Only those terms that are in controversy need be construed, and only
`to the extent necessary to resolve the controversy. Nidec Motor Corp. v.
`Zhongshan Broad Ocean Motor Co., 868 F.3d 1013, 1017 (Fed. Cir. 2017)
`(citing Vivid Techs., Inc. v. Am. Sci. & Eng’g, Inc., 200 F.3d 795, 803 (Fed.
`Cir. 1999)).
`Petitioner did not assert construction of any specific terms in its
`Petition, instead contending simply that it “interprets the claim terms
`according to their plain and ordinary meaning consistent with the
`specification.” Pet. 15. Petitioner acknowledges that “[a] district court in
`another proceeding has construed terms of a related patent,” but argues that
`those “constructions do not impact the outcome of this IPR as the prior
`art . . . meets the limitations under these constructions.” Id. (citing Ex. 1003
`¶ 71; Ex. 1021). Patent Owner raised arguments with respect to two phrases
`in the Patent Owner Response, “an entity or object located in proximity to
`the second wireless device” and “wireless device.” PO Resp. 13–21. We
`address these phrases in turn below.
`
`
`
`
`
`
`
`IPR2020-00934
`Patent 8,385,896 B2
`
`11
`1. “an entity or object located in proximity to the second wireless
`device”
`Patent Owner contends that the phrase “an entity or object located in
`proximity to the second wireless device,” recited in independent claims 1
`and 40 of the ’896 patent, should be construed “to require that the claimed
`‘entity or object’ must have a physical presence.” PO Resp. 13. According
`to Patent Owner, “the reference to the object being ‘located in proximity to
`the second wireless device’ makes clear that the claimed ‘object’ of that
`phrase must be physically present.” Id. at 14. Patent Owner argues
`similarly that “located in proximity to the second wireless device” also
`applies to the recited “entity,” thus requiring “that the ‘entity’ referred to in
`this claim element must be physically present, so that it may be ‘located
`in . . . proximity to the second wireless device’ as claimed.” Id. at 14–15.
`Patent Owner argues that “proximity” is used in accordance with its plain
`and ordinary meaning and “unquestionably refers to physical placement.”
`Id. at 16–18.
`In its Reply, Petitioner responds that we need not construe “entity or
`object” to require a physical presence as proposed by Patent Owner because
`a device can be in proximity to an intangible object, such as music being
`played or a video or image displayed on a billboard. Pet. Reply 2–3.
`Further, Petitioner argues, each of Patent Owner’s citations to instances of
`the term “proximity” in the specification of the ’896 patent refers only to the
`proximity of either two individuals or two wireless devices to each other, not
`to the proximity of an object to the second wireless device, as recited in
`claims 1 and 40. Id. at 3–4 (citing PO Resp. 16–18). Still further, Petitioner
`argues that Patent Owner’s declarant conceded in a deposition concerning a
`
`
`
`
`
`
`
`IPR2020-00934
`Patent 8,385,896 B2
`
`12
`related patent having substantially the same specification of the ’896 patent
`that he did not base his interpretation of “proximity” on how the term is used
`in the specification, testifying that the usage of proximity in the specification
`“is not” relevant to his understanding of the usage of proximity in the
`claims. Id. at 4–5 (quoting Ex. 1040, 75:18–21) (citing Ex. 1040, 69:17–25,
`70:11–71:9, 72:16–73:9).
`Patent Owner replies that “object” must be construed to have a
`physical presence because “the claimed ‘object’ is limited by the
`requirement that it be ‘located in proximity to the second wireless device.’”
`PO Sur-reply 1; see also id. at 1–4 (presenting similar arguments). Patent
`Owner contends that Petitioner’s assertions regarding Patent Owner’s
`declarant take the testimony out of context. Id. at 5–9. According to Patent
`Owner, “the issue here [is] whether the claimed ‘entity or object’ can be
`‘located in proximity to the second wireless device’ if the ‘entity or object’
`is not physically present.” Id. at 5–6.
`Notwithstanding the arguments in its briefing, Petitioner’s counsel
`acknowledged during the hearing that the claims require the entity or object
`to have a physical presence. See, e.g., Tr. 7:25–8:11 (“Patent Owner says on
`the one hand, ‘Located in proximity to requires some physical
`manifestation.’ No argument about that. Of course, it does. But . . . Patent
`Owner ignores that an intangible can have a physical presence and
`location.”).
`6 There is, accordingly, no controversy regarding whether “an
`
`6 In related IPR2020-00931, referenced by Petition in the hearing of this
`proceeding (see, e.g., Tr. 8:7–9), Petitioner’s counsel similarly represented
`that “there’s no debate . . . that physical presence is connoted by the word
`‘proximity’ and by ‘located.’” IPR2020-00931, Paper 28 at 8:17–19 (oral
`hearing transcript).
`
`
`
`
`
`
`
`IPR2020-00934
`Patent 8,385,896 B2
`
`13
`entity or object located in proximity to the second device” requires the entity
`or object to have a physical presence. Moreover, our decision does not
`depend on an express construction of this term or on whether the recited
`“entity” or “object” may be intangible. We conclude, therefore, that there is
`no need for us to construe this term.
`2. “wireless device”
`Patent Owner argues that, as recited in the challenged claims,
`“wireless device” “refer[s] to wireless communication capabilities, not that a
`wireless device would be precluded from having any external wires
`whatsoever.” PO Resp. 21. However, Patent Owner concedes that
`construction of “wireless device” is “not necessary to resolve the dispute
`here.” Id. at 20–21.
`Petitioner argues that “‘wireless device’ should be construed as a
`device without external wires,” noting that the claims of the ’896 patent
`recite a “wireless device” rather than a “wireless communication device.”
`Pet. Reply 6. However, Petitioner also concedes that construction of this
`term is unnecessary. Id. at 5–6.
`No construction of this term is necessary. The parties both agree that
`no construction is needed, and our decision does not depend on a
`construction of this term.
`D. Overview of the Asserted Prior Art
`1. Perttila
`Perttila describes “a system, apparatus, and method for sending
`service data in response to electronic communications between a user
`
`
`
`
`
`
`
`IPR2020-00934
`Patent 8,385,896 B2
`
`14
`communications device and a merchant-media arrangement.” Ex. 1006 ¶ 8.
`Figure 1a shows such a system and is reproduced below:
`
`Figure 1a shows coupon-retrieval system 20 for the communication of
`an electronic coupon to user 28 via link 42 established with source server 24
`by mobile communications device 28a. Id. ¶¶ 19, 36. When the user’s
`mobile device is within proximity of merchant-media arrangement 36, which
`may be a poster or the like, the arrangement transmits to the mobile device a
`merchant ID code and, optionally, link information for connecting to the
`server. Id. ¶ 37. This transmission may be via radio frequency identification
`(RFID) or Bluetooth. Id. The mobile device establishes a communication
`link with the server through a mobile network or the Internet and transmits a
`merchant-information-request signal to the server. Id. ¶ 38. The server first
`extracts the mobile device ID and the merchant ID code from the request.
`Id. The server then generates an electronic coupon based on the merchant
`
`
`
`
`
`
`
`
`IPR2020-00934
`Patent 8,385,896 B2
`
`15
`ID code and provides the user with an option to download the coupon. Id.
`¶¶ 28, 37–39.
`2. Emmons
`Emmons describes “a system and method for providing self service
`checkout and product delivery using a mobile device.” Ex. 1010, 2:45–63.
`Figures 1 and 2 of Emmons are reproduced below.
`
`
`
`
`
`
`
`
`
`IPR2020-00934
`Patent 8,385,896 B2
`
`16
`
`FIG. 2
`Figure 1 shows an exemplary system as utilized by Emmons’s method
`depicted in Figure 2. Ex. 1010, 3:10–14. Specifically, Figure 2 shows how
`a mobile device 10 is used to extract information from product display
`
`
`
`
`
`
`
`
`IPR2020-00934
`Patent 8,385,896 B2
`
`17
`indicia 11, then send appropriate extracted information to server 14 via
`network 12 where associated data repositories 16 allow the mobile device to
`be redirected to a desired information page 30, 32. Id. at 3:47–60, 4:26–31.
`From there, a customer can add a product to virtual cart 34, see the contents
`of their cart before purchase, pay for selected products 38, and receive a
`receipt 40. Id. at 4:45–5:3.
`Emmons incorporates by reference Recktenwald and Attia. Ex. 1010,
`4:26–31, 5:4–13; see also Ex. 1011, 1012. Recktenwald describes a
`kiosk-driven product pickup procedure that allows customers to pick up
`purchased items. Ex. 1012, 3:48–60. Attia describes a cellular telephone
`application that is able to analyze an image of a barcode or information
`carrying indicia in order to access a Web/WAP page with content associated
`with the information carrying indicia. Ex. 1011, 3:35–4:29.
`3. Insolia
`Insolia discloses “systems and methods for implementing a loyalty
`program.” Ex. 1008, 1:7–8. Insolia recognizes that, regarding the
`immediate consumption channel, which provides food and beverages that
`are immediately available and ready to consume from vending machines and
`the like, the diverse nature of the equipment used and of the consumer’s
`interaction with the equipment can complicate the implementation of broad
`marketing opportunities. Id. at 1:12–55. Insolia purports to provide a
`system that overcomes these drawbacks. Id. at 2:7–11. Figure 1 illustrates
`Insolia’s system and is reproduced below:
`
`
`
`
`
`
`
`IPR2020-00934
`Patent 8,385,896 B2
`
`18
`
`Figure 1 shows a block diagram illustrating a system for
`implementing a loyalty network. Id. at 3:49–50. Loyalty program
`management system 10 includes personal terminal 12, interaction
`terminal 14, and loyalty server 24. Id. at 5:47–64. The personal terminal is
`transported by user 16. Id. at 5:65–66. The interaction terminal can be
`associated with product 18, such as a beverage, equipment 20, such as a
`vending machine, or promotional object 22, such as a poster. Id. at 5:51–53,
`6:9–37. The personal terminal and the interaction terminal communicate
`when the personal terminal is brought within proximity of the interaction
`terminal. Id. at 9:12–18. A benefit, such as a loyalty point, can be awarded
`to the user for interacting with the interaction terminal. Id. at 9:58–64. The
`benefit can be stored on one or both of the personal terminal and the loyalty
`server. Id. at 13:35–38. When used, the benefit is communicated to the
`equipment to provide the user with a product for free or at a reduced price.
`Id. at 14:31–35. In some embodiments, the rate at which the loyalty points
`are awarded can be filtered to limit the accrual of rewards to a predefined
`rate. Id. at 36:19–20.
`
`
`
`
`
`
`
`
`IPR2020-00934
`Patent 8,385,896 B2
`
`19
`E. Asserted Obviousness of Claims 1–3, 5, 6, 8, 17, 18, 40, 41, 44, 48–53,
`and 56 over Perttila and Emmons
`Petitioner contends claims 1–3, 5, 6, 8, 17, 18, 40, 41, 44, 48–53,
`and 56 are unpatentable as obvious over Perttila and Emmons (incorporating
`by reference Recktenwald and Attia). Pet. 17–66. In support of its showing,
`Petitioner relies upon the Williams Declaration. Id. (citing Ex. 1003). We
`have reviewed the Petition, Patent Owner Response, Petitioner Reply, Patent
`Owner Sur-reply, and evidence of record and determine that, for the reasons
`explained below, Petitioner has shown, by a preponderance of the evidence,
`that claims 1–3, 5, 6, 8, 17, 18, 40, 41, 44, 48–53, and 56 would have been
`obvious in view of Perttila and Emmons and that Petitioner has set forth
`reasoning with rational underpinnings why it would have been obvious to
`combine the teachings of Perttila and Emmons.
`1. Motivation to Combine Perttila and Emmons
`Citing Mr. Williams’s supporting testimony, Petitioner contends that a
`person of ordinary skill in the art “would have been motivated to apply
`Emmons’s implementation detail teachings for purchasing goods on a
`mobile device while ‘travers[ing a] store’ in implementing Perttila’s
`e-commerce arrangement, which uses ‘tag or beacons located at the store
`itself’ to enable a mobile device to purchase particular products after
`receiving e-coupon offerings.” Pet. 28 (alteration in original) (emphases
`omitted) (citing Ex. 1003 ¶ 102; Ex. 1006 ¶¶ 9, 25, 39; Ex. 1010, Fig. 2).
`For example, Petitioner contends, “Perttila teaches that the in-store
`arrangement provides ‘coupon offerings’ to [a] user’s mobile device,” and a
`person of ordinary skill in the art “would have understood that it would have
`advantageously benefitted Perttila’s system to allow a user to easily and
`
`
`
`
`
`
`
`IPR2020-00934
`Patent 8,385,896 B2
`
`20
`quickly use his/her mobile device to purchase the products for which
`information was received, as taught by Emmons.” Id. (emphases omitted)
`(citing Ex. 1003 ¶¶ 103–104; Ex. 1006 ¶¶ 25, 39).
`Petitioner further contends that Emmons provides additional
`implementation details for purchasing goods on-line from the merchant and
`that “[i]mplementing Perttila’s ‘electronic commerce arrangement’ by
`allowing the purchase of goods directly from a user’s mobile device as
`taught by Emmons would have further enhanced Perttila’s e-commerce
`system.” Pet. 28–29 (emphases omitted) (citing Ex. 1003 ¶¶ 104–105;
`Ex. 1006 ¶¶ 28, 70; Ex. 1010, 4:16–5:3). In light of such teachings,
`Petitioner alleges, a person of ordinary skill in the art “would have found it
`obvious and straightforward” to apply Emmons’s teachings of a mobile self-
`service checkout and delivery system in implementing Perttila’s system for
`processing e-commerce transactions and “would have known that such a
`combination (yielding the claimed limitations) would predictably work and
`provide the expected functionality.” Id. at 29–30 (citing Ex. 1003 ¶ 108).
`In the Institution Decision, we noted that Patent Owner had raised
`certain arguments in its Preliminary Response with respect to
`implementation of Emmons’s teachings (including those of Recktenwald
`and Attia, incorporated by reference in Emmons) with Perttila’s commerce
`arrangement, but we found, notwithstanding those arguments, that Petitioner
`sufficiently supported its proposed rationale for the combination for
`purposes of institution of trial and that Patent Owner’s arguments were not
`sufficiently persuasive to undermine Petitioner’s showing. Inst. Dec. 20–21.
`We found, for example, that Emmons describes a system for “self service
`checkout and product delivery,” allowing a user to complete the purchase
`
`
`
`
`
`
`
`IPR2020-00934
`Patent 8,385,896 B2
`
`21
`and delivery of products utilizing a mobile telephone to scan product
`information from information carrying indicia, attain information, and allow
`for mobile purchase; that Perttila suggests that electronic coupons and
`merchant-media arrangements may be located at or near the same location
`where such a coupon would be redeemed and validated to facilitate merchant
`transactions; and that Petitioner’s reliance on Emmons’s system and method
`to allow for full purchase of goods at a redemption site where an e-coupon
`can be used, as in Perttila, is supported by the testimony of Mr. Williams and
`the cited references. Id. (citing Ex. 1003 ¶¶ 102–104; Ex. 1006 ¶¶ 28, 39,
`40; Ex. 1010, 2:45–63).
`In its post-institution briefing, Patent Owner repeats substantively the
`same arguments that we found unpersuasive in the Institution Decision (see
`PO Resp. 45–58; PO Sur-reply 25–28), and we remain persuaded by
`Petitioner’s evidence in support of the combination, including the testimony
`of Mr. Williams and the disclosures of the cited references (see, e.g.,
`Ex. 1003 ¶¶ 102–108, 147; Ex. 1006 ¶¶ 9, 25, 28, 39, 42, 70; Ex. 1010,
`2:47–55, 3:18–25, 3:56–60, 4:16–5:13, Fig. 2; Pet. 28–30; see also Pet.
`Reply 17–23).
`2. Independent Claim 1
`a. Preamble
`Claim 1 recites “[a] method for a server to exchange information with
`one or more wireless devices.” Ex. 1001, 23:35–36. Petitioner contends
`Perttila teaches this preamble recitation, mapping Perttila’s source server 24
`to the recited server and user-communication device 28 and merchant-media
`arrangement 36 to the recited wireless devices. Pet. 30 (citing Ex. 1006
`¶¶ 8–9); see also id. at 30–31 (citing Ex. 1003 ¶¶ 119–121; Ex. 1006 ¶¶ 8–9,
`
`
`
`
`
`
`
`IPR2020-00934
`Patent 8,385,896 B2
`
`22
`11–15, 19, 25–27, 37, 41, 60, Fig. 1a). Petitioner argues that a person of
`ordinary skill in the art “would have understood that Perttila discloses a
`wireless merchant-media arrangement and at minimum it would have been
`obvious to use a wireless merchant-media arrangement, such as a mobile
`battery-powered device that communicates wirelessly, to advantageously
`enable ‘portab[ility].’” Id. at 30 (emphasis omitted) (alteration in original)
`(citing Ex. 1003 ¶ 121; Ex. 1006 ¶ 60).
`Patent Owner does not contest Petitioner’s contentions with respect to
`the preamble of claim 1. See generally PO Resp.; PO Sur-reply.
`We are persuaded by Petitioner’s arguments and cited evidence that
`Perttila teaches or at least suggests a method for a central server to exchange
`information with one or more wireless devices. As cited by Petitioner,
`Perttila discloses that, when a user’s mobile communications device 28 is
`within proximity of merchant-media arrangement 36, the arrangement
`transmits a merchant ID code to the mobile device. Ex. 1006 ¶ 37. The
`mobile device then establishes a communication link with source server 24
`and transmits a request containing the ID code to the server, and the server
`generates an electronic coupon based on the merchant ID code and provides
`the user with an option to download the coupon. Id. ¶¶ 36–39. Perttila at
`least suggests that the user’s mobile communications device and the
`merchant-media arrangement communicate wirelessly. See id. ¶ 37
`(disclosing that the merchant-media arrangement can transmit the merchant
`ID code to the mobile device vi

This document is available on Docket Alarm but you must sign up to view it.


Or .

Accessing this document will incur an additional charge of $.

After purchase, you can access this document again without charge.

Accept $ Charge
throbber

Still Working On It

This document is taking longer than usual to download. This can happen if we need to contact the court directly to obtain the document and their servers are running slowly.

Give it another minute or two to complete, and then try the refresh button.

throbber

A few More Minutes ... Still Working

It can take up to 5 minutes for us to download a document if the court servers are running slowly.

Thank you for your continued patience.

This document could not be displayed.

We could not find this document within its docket. Please go back to the docket page and check the link. If that does not work, go back to the docket and refresh it to pull the newest information.

Your account does not support viewing this document.

You need a Paid Account to view this document. Click here to change your account type.

Your account does not support viewing this document.

Set your membership status to view this document.

With a Docket Alarm membership, you'll get a whole lot more, including:

  • Up-to-date information for this case.
  • Email alerts whenever there is an update.
  • Full text search for other cases.
  • Get email alerts whenever a new case matches your search.

Become a Member

One Moment Please

The filing “” is large (MB) and is being downloaded.

Please refresh this page in a few minutes to see if the filing has been downloaded. The filing will also be emailed to you when the download completes.

Your document is on its way!

If you do not receive the document in five minutes, contact support at support@docketalarm.com.

Sealed Document

We are unable to display this document, it may be under a court ordered seal.

If you have proper credentials to access the file, you may proceed directly to the court's system using your government issued username and password.


Access Government Site

We are redirecting you
to a mobile optimized page.





Document Unreadable or Corrupt

Refresh this Document
Go to the Docket

We are unable to display this document.

Refresh this Document
Go to the Docket