`12983
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`THE UNITED STATES DISTRICT COURT
`FOR THE EASTERN DISTRICT OF TEXAS
`MARSHALL DIVISION
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`TOUCHSTREAM TECHNOLOGIES, INC.,
`Plaintiff,
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`v.
`CHARTER COMMUNICATIONS, INC., et al.,
`Defendants.
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`TOUCHSTREAM TECHNOLOGIES, INC.,
`Plaintiff,
`
`v.
`COMCAST CABLE COMMUNICATIONS,
`LLC, d/b/a XFINITY, et al.,
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`Defendants.
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`Lead Case No. 2:23-cv-00059-JRG
`Member Case No. 2:23-cv-00062-JRG
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`COMCAST’S OBJECTIONS TO MAGISTRATE JUDGE PAYNE’S
`DENIAL OF COMCAST MIL NO. 3
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`Case 2:23-cv-00059-JRG-RSP Document 243 Filed 01/02/25 Page 2 of 9 PageID #:
`12984
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`TABLE OF CONTENTS
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`PAGE
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`I.
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`ARGUMENT ...................................................................................................................... 1
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`A.
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`B.
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`C.
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`D.
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`The Order Clearly And Legally Erred By Failing To Address The
`Prejudice To Comcast Or Risk Of Misleading The Jury ........................................ 1
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`The Order Clearly Erred By Ignoring This Court’s Dismissal of Pre-Suit
`Willful Infringement Claims With Respect To The ’751 And ’934 Patents .......... 3
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`The Order Further Erred By Allowing Testimony, Evidence, And
`Argument From Before The Asserted Patents Issued ............................................. 3
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`Comcast Reserves The Right To Argue That Willfulness Should Not Be
`Decided By The Jury .............................................................................................. 4
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`II.
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`CONCLUSION ................................................................................................................... 5
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`i
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`Case 2:23-cv-00059-JRG-RSP Document 243 Filed 01/02/25 Page 3 of 9 PageID #:
`12985
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`TABLE OF AUTHORITIES
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`
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`PAGE
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`Cases
`
`Conopco, Inc. v. May Dep’t Stores Co.,
`46 F.3d 1556 (Fed. Cir. 1994) .................................................................................................... 4
`
`Eko Brands, LLC v. Adrian Rivera Maynez Enter., Inc.,
`946 F.3d 1367 (Fed. Cir. 2020) .................................................................................................. 4
`
`Halo Elecs., Inc. v. Pulse Elecs., Inc.,
`579 U.S. 93 (2016) ...................................................................................................................... 5
`
`HOYA Corp. v. Alcon Inc.,
`713 F.Supp.3d 291 (N.D. Tex. 2024) ......................................................................................... 4
`
`SB IP Holdings LLC v. Vivint, Inc.,
`2023 WL 6799020 (E.D. Tex. Oct. 13, 2023) ............................................................................ 3
`
`State Indus., Inc. v. A.O. Smith Corp.,
`751 F.2d 1226 (Fed. Cir. 1985) .................................................................................................. 4
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`WBIP, LLC v. Kohler Co.,
`829 F.3d 1317 (Fed. Cir. 2016) .................................................................................................. 4
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`Statutes
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`28 U.S.C. § 636 ............................................................................................................................... 1
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`35 U.S.C. § 284 ............................................................................................................................... 4
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`35 U.S.C. § 286 ............................................................................................................................... 2
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`Rules
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`E.D. Tex. Local Rule CV-72 .......................................................................................................... 1
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`Fed. R. Civ. P. 72 ............................................................................................................................ 1
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`Fed. R. Evid. 401 ............................................................................................................................ 3
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`Fed. R. Evid. 402 ............................................................................................................................ 3
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`Fed. R. Evid. 403 .................................................................................................................... 1, 2, 3
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`Other Authorities
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`D. Atkins, Baker Botts Atty Says Halo Drastically Tilted Patent Trial Odds, Law360,
`Dec. 13, 2019 .............................................................................................................................. 5
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`ii
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`Case 2:23-cv-00059-JRG-RSP Document 243 Filed 01/02/25 Page 4 of 9 PageID #:
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`Comcast respectfully objects pursuant to 28 U.S.C. § 636(b)(1)(A), Federal Rule of Civil
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`Procedure 72(a), and Local Rule CV-72(b) to Magistrate Judge Payne’s denial of Comcast’s
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`motion in limine No. 3 (the “Order”) regarding willful infringement evidence before February
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`2017.1 Pursuant to Rule 72(a), this Court reviews this denial for clear or legal error. As set forth
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`below, the Order clearly and legally erred for several independent reasons. Comcast therefore
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`respectfully requests that this Court preclude all testimony, evidence, and argument regarding
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`purported pre-February 2017 knowledge of Touchstream’s technology, the asserted patents, or
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`the alleged infringement because such testimony, evidence, and argument is unduly prejudicial
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`and risks misleading the jury. Fed. R. Evid. 403.
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`I.
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`ARGUMENT
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`A.
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`The Order Clearly And Legally Erred By Failing To Address The Prejudice
`To Comcast Or Risk Of Misleading The Jury
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`Under Federal Rule of Evidence 403, a court may exclude relevant evidence if its
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`probative value is substantially outweighed by unfair prejudice or risk of misleading the jury.
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`Fed. R. Evid. 403. The Order clearly erred and was contrary to law because it addressed only the
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`purported relevance of pre-February 2017 evidence and not the substantial prejudice to Comcast
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`or the risk of misleading the jury if this evidence is admitted.
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`Willfulness is only relevant to enhancement of damages under 35 U.S.C. § 284. In turn,
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`enhancement can only be considered with respect to the damages period. Here, the damages
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`1 Out of an abundance of caution, Comcast is filing these objections within 14 days of Magistrate
`Judge Payne’s December 19, 2024 oral ruling on Comcast’s motion in limine. Judge Payne has
`not issued a written order ruling on the parties’ pretrial motions. Comcast reserves the right to
`supplement its objections following issuance of any such order.
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`1
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`Case 2:23-cv-00059-JRG-RSP Document 243 Filed 01/02/25 Page 5 of 9 PageID #:
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`period begins no earlier than February 2017 for U.S. Patent No. 8,356,251 (the “’251 Patent”).2
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`35 U.S.C. § 286 (“[N]o recovery shall be had for any infringement committed more than six
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`years prior to the filing of the complaint or counterclaim for infringement in the action.”); 2:23-
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`cv-00062, Dkt. No. 1 (Complaint against Comcast dated February 17, 2023). Thus, evidence of
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`purported knowledge from before February 2017 is substantially more prejudicial than probative
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`because it risks misleading the jury regarding the correct time period to evaluate willfulness.
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`Fed. R. Evid. 403.
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`The Order did not address the prejudice to Comcast. Ex. 1 (Dkt. No. 233, Transcript of
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`Proceedings Held on December 19, 2024) at 138:21-139:5. Instead, the Order considered only
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`whether there is a per-se rule prohibiting willfulness evidence that predates the damages period.
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`Id. at 135:17-21. This was error. Comcast did not ask the Court to impose a per-se rule. Rather,
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`the specific evidence Touchstream seeks to introduce is substantially more prejudicial than
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`probative and risks misleading the jury. Dkt. No. 192 at 8; see also Ex. 1 at 135:22-25.
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`Touchstream reaches back “at least to 2011, six years before the earliest damages period” and
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`“two years before the issuance of the earliest patent in this suit.” Id. at 135:23-136:7 (emphasis
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`added). Such attenuated evidence risks confusing the jury into focusing on the wrong period of
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`time for determining willfulness. Moreover, much of this evidence has very little, if any,
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`probative value because it concerns communications and meetings that did not refer to any of the
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`asserted patents. Id. at 136:16-20. Further, the prejudice to Comcast is heightened because
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`Touchstream has resisted any instructions that would provide the jury with the relevant time
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`period for willfulness. Id. at 137:6-12. Thus, under the specific facts of the case, evidence of
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`2 The ’251 Patent is the only patent for which Touchstream is permitted to argue pre-suit willful
`infringement. Dkt. No. 44.
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`2
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`Case 2:23-cv-00059-JRG-RSP Document 243 Filed 01/02/25 Page 6 of 9 PageID #:
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`pre-February 2017 evidence knowledge of Touchstream’s technology, patents, or alleged
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`infringement would be unduly prejudicial and risk misleading the jury. The Order clearly and
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`legally erred by failing to consider this risk.
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`B.
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`The Order Clearly Erred By Ignoring This Court’s Dismissal of Pre-Suit
`Willful Infringement Claims With Respect To The ’751 And ’934 Patents
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`The Order clearly erred by failing to preclude Touchstream from presenting pre-February
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`2017 testimony, evidence, and argument in support of its claims for willful infringement of U.S.
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`Patent Nos. 11,048,751 (the “’751 Patent”) and 11,086,934 (the “’934 Patent”). This Court
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`already dismissed Touchstream’s claims of pre-suit willful infringement with respect to the ’751
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`and ’932 Patents. Dkt. No. 44. Thus, at minimum, pre-suit testimony, evidence, and argument
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`has no probative value with respect to those patents. Fed. R. Evid. 401-402; see also, e.g., SB IP
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`Holdings LLC v. Vivint, Inc., 2023 WL 6799020, at *2 (E.D. Tex. Oct. 13, 2023) (precluding
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`plaintiff from offering evidence of defendant’s “pre-suit conduct as evidence of post-filing
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`willful infringement, as pre-suit willful infringement is not before the Court”). Further, even if
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`there were probative value, it would be substantially outweighed by the risk of confusing the jury
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`into believing that pre-suit willfulness can be considered with respect to the ’751 and ’934
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`Patents. Fed. R. Evid. 403. Thus, the Order clearly erred by failing to preclude Touchstream
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`from relying on pre-February 2017 testimony, evidence, and argument in support of the
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`purported willful infringement of the ’751 and ’934 Patents.
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`C.
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`The Order Further Erred By Allowing Testimony, Evidence, And Argument
`From Before The Asserted Patents Issued
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`The Order further clearly erred by failing to preclude, at minimum, Touchstream’s pre-
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`January 15, 2013 willfulness testimony, evidence, and argument. The ’251 Patent issued on
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`January 15, 2013. Before that time, Comcast could have had, at most, knowledge of a pending
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`patent application. Knowledge of a patent application is “insufficient to support a finding of
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`3
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`Case 2:23-cv-00059-JRG-RSP Document 243 Filed 01/02/25 Page 7 of 9 PageID #:
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`willfulness.” Conopco, Inc. v. May Dep’t Stores Co., 46 F.3d 1556, 1562 (Fed. Cir. 1994); see
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`also State Indus., Inc. v. A.O. Smith Corp., 751 F.2d 1226, 1236 (Fed. Cir. 1985) (“To willfully
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`infringe a patent, the patent must exist and one must have knowledge of it.” (emphasis in
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`original)). This is because “the scope of claims in patents that do issue” from a pending
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`application “is something totally unforeseeable.” Id. at 1236; see also HOYA Corp. v. Alcon
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`Inc., 713 F.Supp.3d 291, 317 (N.D. Tex. 2024) (“all but one of the emails relied on by [plaintiff]
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`predate by several years the 2017 and 2018 issuance dates of the ’718, ’826, and ’442 patents,
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`and thus are not probative of knowledge or willful infringement of those patents”). Nevertheless,
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`the Order did not address Comcast’s arguments with respect to evidence that precedes the
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`issuance of the ’251 Patent. Ex. 1 at 135:17-21, 138:21-25. This was clear error. Such
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`evidence risks misleading the jury into believing that having a pending application is the same as
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`having a patent for purposes of willful infringement. Comcast respectfully requests that, at
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`minimum, this Court preclude all evidence, testimony, or argument regarding Comcast’s
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`purported knowledge from before January 15, 2013.
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`D.
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`Comcast Reserves The Right To Argue That Willfulness Should Not Be
`Decided By The Jury
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`While Comcast acknowledges the Federal Circuit’s holding that “the factual components
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`of the willfulness question should be resolved by the jury,” WBIP, LLC v. Kohler Co., 829 F.3d
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`1317, 1341 (Fed. Cir. 2016), it preserves the right to argue at an appropriate time that willfulness
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`should be decided by the Court. Willful infringement was not presented to the jury at common
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`law, and willfulness is only relevant to enhancement, which is assigned by statute to “the court.”
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`35 U.S.C. § 284; see also Eko Brands, LLC v. Adrian Rivera Maynez Enter., Inc., 946 F.3d 1367,
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`1378 (Fed. Cir. 2020) (“enhancement is for the court and not the jury”); Brief of Mentor
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`Graphics Corp. et al. as Amici Curiae in Support of Neither Party at 20–27, Halo Elecs., Inc. v.
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`4
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`Case 2:23-cv-00059-JRG-RSP Document 243 Filed 01/02/25 Page 8 of 9 PageID #:
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`Pulse Elecs., Inc., 579 U.S. 93 (2016). Thus, any relevant fact findings are properly for the
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`Court to decide. Further, unnecessarily submitting the issue of willfulness to the jury is highly
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`prejudicial because empirical studies have shown that the odds of the jury finding infringement
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`substantially increase when willfulness is presented to the jury. See D. Atkins, Baker Botts Atty
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`Says Halo Drastically Tilted Patent Trial Odds, Law360, Dec. 13, 2019.
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`II.
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`CONCLUSION
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`For the foregoing reasons, Comcast respectfully requests that the Court preclude
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`testimony, evidence, and argument regarding purported pre-February 2017 knowledge of
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`Touchstream’s technology, patents, or the alleged infringement, or, alternatively, evidence,
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`testimony, or argument regarding purported knowledge from before the ’251 Patent issued on
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`January 15, 2013.
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`Dated: January 2, 2025
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`Respectfully submitted,
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`/s/ David J. Lisson
`Deron Dacus (State Bar No. 00790553)
`THE DACUS FIRM, P.C.
`821 ESE Loop 323, Suite 430
`Tyler, TX 75701
`Tel:
`(903) 705-1117
`ddacus@dacusfirm.com
`
`DAVIS POLK & WARDWELL LLP
`Ashok Ramani (CA Bar No. 200020)
`David J. Lisson (CA Bar No. 250994)
`James Y. Park (CA Bar No. 343659)
`Micayla Hardisty (CA Bar No. 333246)
`900 Middlefield Road, Suite 200
`Redwood City, CA 94063
`ashok.ramani@davispolk.com
`david.lisson@davispolk.com
`james.park@davispolk.com
`micayla.hardisty@davispolk.com
`
`Alena Farber (NY Bar No. 5896170)
`450 Lexington Avenue
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`5
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`Case 2:23-cv-00059-JRG-RSP Document 243 Filed 01/02/25 Page 9 of 9 PageID #:
`12991
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`New York, NY 10017
`alena.farber@davispolk.com
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`WILMER CUTLER PICKERING HALE AND
`DORR LLP
`Thomas G. Saunders (DC Bar No. 503012)
`2100 Pennsylvania Avenue, NW
`Washington, DC 20037
`thomas.saunders@wilmerhale.com
`
`Lauren Matlock-Colangelo
`(NY Bar No. 5771340)
`7 World Trade Center
`250 Greenwich Street
`New York, NY 10007
`lauren.matlock-colangelo@wilmerhale.com
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`Counsel for Defendants Comcast
`Corporation, Comcast Cable
`Communications, LLC, Comcast Cable
`Communications Management, LLC, and
`Comcast of Houston, LLC
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`CERTIFICATE OF SERVICE
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`The undersigned hereby certifies that on January 2, 2025 a true and correct copy of the
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`above and foregoing document has been served on all counsel of record who are deemed to have
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`consented to electronic service via the Court’s CM/ECF system per Local Rule CV-5(a)(3)(A).
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`/s/ David J. Lisson
`David J. Lisson
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`6
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