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`Case 6:20-cv-00667-ADA Document 1 Filed 07/23/20 Page 1 of 7
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`IN THE UNITED STATES DISTRICT COURT
`FOR THE WESTERN DISTRICT OF TEXAS
`WACO DIVISION
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`GALLIO IP LLC,
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`Plaintiff,
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`v.
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`XEROX CORPORATION,
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`Defendant.
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`
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`Civil Action No. 6:20-cv-667
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`Jury Trial Requested
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`PLAINTIFF’S ORIGINAL COMPLAINT FOR PATENT INFRINGEMENT
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`Plaintiff Gallio IP LLC (“Gallio” or “Plaintiff”) files this Original Complaint against
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`Defendant Xerox Corporation (“Xerox” or “Defendant”) for infringement of U.S. Patent No.
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`10,176,332 (the “’332 patent”). The ’332 patent is referred to herein as the “patent-in-suit.”
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`THE PARTIES
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`Plaintiff is a Texas limited liability company with a place of business in Dallas,
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`1.
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`Texas.
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`2.
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`Defendant is a corporation organized and existing under the laws of New York with
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`a principal place of business in Norwalk, Connecticut. Defendant may be served with process
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`through its registered agent Prentice Hall Corporation System, 211 E. 7th Street, Suite 620, Austin,
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`TX 78701.
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`3.
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`JURISDICTION AND VENUE
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`This is an action for patent infringement arising under the patent laws of the United
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`States, Title 35, United States Code. Jurisdiction as to these claims is conferred on this Court by
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`35 U.S.C. §§1331 and 1338(a).
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`PLAINTIFF’S ORIGINAL COMPLAINT FOR PATENT INFRINGEMENT
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`Case 6:20-cv-00667-ADA Document 1 Filed 07/23/20 Page 2 of 7
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`4.
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`Upon information and belief, this Court has personal jurisdiction over Defendant
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`in this action because Defendant has committed acts within this District giving rise to this action
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`and has established minimum contacts with this forum such that the exercise of jurisdiction over
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`Defendant would not offend traditional notions of fair play and substantial justice. Defendant,
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`directly and/or through subsidiaries or intermediaries (including distributors, retailers, and others),
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`has committed and continues to commit acts of infringement in this District by, among other
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`things, offering to sell and selling products and/or services that infringe the patents-in-suit.
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`Moreover, Defendant is registered to do business in the State of Texas, has offices and facilities in
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`the State of Texas and this District, and actively directs its activities to customers located in the
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`State of Texas and this District.
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`5.
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`On information and belief, Defendant has directly financially benefitted from doing
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`business with the State of Texas. Defendant has entered into contracts with the State of Texas
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`valued at millions of dollars. For example, Defendant has entered into contracts (see, e.g., DIR-
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`CPO-4412) with the State of Texas whereby Defendant is paid by the State of Texas to provide
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`Xerox products and services.
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`6.
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`On information and belief, Defendant has also directly benefitted from doing
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`business with cities located within this District. For example, Defendant has entered into contracts
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`with the City of Austin valued at millions of dollars whereby Defendant is paid by the City of
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`Austin to provide Xerox products and services (see, e.g., MA-5600-NC140000016).
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`7.
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`Venue is proper in this District under 28 U.S.C. § 1400(b) because Defendant has
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`committed acts of infringement, including inducing acts of patent infringement by others, in the
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`District and has regular and established places of business within the District, including at least
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`6836 Austin Center Blvd, Suite 300, Austin, TX 78731.
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`PLAINTIFF’S ORIGINAL COMPLAINT FOR PATENT INFRINGEMENT
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`Case 6:20-cv-00667-ADA Document 1 Filed 07/23/20 Page 3 of 7
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`THE PATENT-IN-SUIT
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`8.
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`The ʼ332 patent is titled “Server, Data Output System, Data Output Method, and
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`Output Terminal.” The inventions claimed in the patent-in-suit generally relate to a new and novel
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`systems and methods for securing information intended for output at a shared output terminal (e.g.,
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`a shared office printer) from inadvertent disclosure or theft and preventing, among other things,
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`inadvertent output of information (e.g., accidental printing of a document at an office printer). A
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`copy of the patent-in-suit is attached hereto as Exhibit A.
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`9.
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`The ʼ332 patent issued on January 8, 2019, and stems from Application No.
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`11/452,281.
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`10.
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`The patent-in-suit suit claims priority to Japanese patent application 2005-184854,
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`filed on June 24, 2005.
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`11.
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`The named inventors on the patent-in-suit are Nobuyuki Nonaka and Toshimi
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`Koyama.
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`12.
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`Each claim of the patent-in-suit is directed to patent eligible subject matter and is
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`presumed valid.
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`COUNT I
`(Infringement of U.S. Patent No. 10,176,332)
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`13.
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`14.
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`Plaintiff incorporates paragraphs 1 through 12 herein by reference.
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`This cause of action arises under the patent laws of the United States, and in
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`particular, 35 U.S.C. §§ 271, et seq.
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`15.
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`Plaintiff is the owner of the ’332 patent with all substantial rights to the ’332 patent
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`including the exclusive right to enforce, sue, and recover damages for past and future infringement.
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`PLAINTIFF’S ORIGINAL COMPLAINT FOR PATENT INFRINGEMENT
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`Case 6:20-cv-00667-ADA Document 1 Filed 07/23/20 Page 4 of 7
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`DIRECT INFRINGEMENT (35 U.S.C. §271(a))
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`16.
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`Defendant has, and continues to, infringe one or more claims of the ’332 patent in
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`this judicial district and elsewhere in Texas and the United States.
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`17.
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`Defendant has infringed, and continues to infringe, either by itself or via an agent,
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`at least claim 1 of the ’332 patent by, among other things, making, selling, offering for sale, and/or
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`using systems that implement Xerox Secure Access (the “Accused Systems”).
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`18.
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`Attached hereto as Exhibit B, and incorporated herein by reference, is a claim chart
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`illustrating how Accused Systems infringe the ʼ332 patent.1
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`INDIRECT INFRINGEMENT (INDUCEMENT - 35 U.S.C. §271(b))
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`19.
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`Based on the information presently available to Plaintiff, absent discovery, and in
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`the alternative and in addition to direct infringement, Plaintiff contends that Defendant has, and
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`continues to, indirectly infringe one or more claims of the ’332 patent by inducing direct
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`infringement by customers and end users of systems that implement Xerox Secure Access (e.g., as
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`illustrated in Exhibit B).
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`20.
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`Defendant has had knowledge of the ’332 patent and its infringements since at least
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`April 29, 2020 when it was contacted by Gallio’s licensing agent and provided with a chart
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`illustrating Defendant’s infringement of the ’332 patent and its relevance to the Accused Systems.
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`Defendant also has knowledge of the ’332 patent and its infringements based on this complaint.
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`21.
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`On information and belief, despite having knowledge of the ’332 patent, Defendant
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`has specifically intended for persons who acquire and use the Accused Systems, including
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`1 The chart attached as Exhibit B is illustrative and provided for purposes of satisfying Plaintiff’s
`pleading obligations and should not be construed as limiting. Plaintiff will serve infringement
`contentions in this case in accord with the Local Rules, Court orders, and schedule entered by the
`Court.
`PLAINTIFF’S ORIGINAL COMPLAINT FOR PATENT INFRINGEMENT
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`Case 6:20-cv-00667-ADA Document 1 Filed 07/23/20 Page 5 of 7
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`Defendant’s customers, to make and/or use such systems in a way that infringes the ’332 patent,
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`including at least claim 1, and Defendant knew or should have known that its actions were inducing
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`infringement.
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`22.
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`Defendant instructs and encourages customers and end users to use the Accused
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`Systems in a manner that infringes the ’332 patent. For example, Defendant provides service
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`agents and instructional materials to assist customers and/or end users with making or using the
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`Accused Systems (e.g., Xerox Secure Access Unified ID System Administration Guide, available
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`at
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`http://download.support.xerox.com/pub/docs/SECUREACCESS/userdocs/any-
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`os/en_GB/EN_SecureAccess_Admin_v1.6.pdf).
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`23.
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`Defendant is liable for its infringements of the ’332 patent pursuant to 35 U.S.C. §
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`271.
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`24.
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`Plaintiff has been damaged as a result of Defendant’s infringing conduct described
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`in this Count. Defendant is, thus, liable to Plaintiff in an amount that adequately compensates
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`Plaintiff for Defendant’s infringements, which, by law, cannot be less than a reasonable royalty,
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`together with interest and costs as fixed by this Court under 35 U.S.C. § 284.
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`COUNT II
`(Willful Infringement)
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`25.
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`26.
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`27.
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`Plaintiff incorporates paragraphs 1 through 24 herein by reference.
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`Defendant was aware of the ʼ332 patent before this complaint was filed.
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`On April 29, 2020 Plaintiff’s licensing agent contacted Defendant and provided
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`Defendant with a chart illustrating Defendant’s infringement of the ’332 patent and its relevance
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`to the Accused Systems.
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`28.
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`Defendant has been, or should have been, aware of its infringement of the ʼ332
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`patent since at least its receipt and review of the April 29, 2020 communication.
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`Case 6:20-cv-00667-ADA Document 1 Filed 07/23/20 Page 6 of 7
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`29.
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`On information and belief, despite being aware of the ʼ332 patent and its
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`infringement of the ʼ332 patent, Defendant has not changed or otherwise altered the Accused
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`Systems or its practices in an effort to avoid infringing the ʼ332 patent.
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`30.
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`Defendant did not even respond to the April 29, 2020 communication informing it
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`of its infringements. Rather, despite having notice of the ’332 patent, Defendant has, and continues
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`to, infringe the ’332 patent, directly and/or indirectly, in complete disregard to Plaintiff’s patent
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`rights.
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`31.
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`Defendant has acted recklessly and/or egregiously, and continues to willfully,
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`wantonly, and deliberately engage in acts of infringement of the ʼ332 patent, justifying a finding
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`of willful infringement and an award to Plaintiff of increased damages under 35 U.S.C. § 284, and
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`attorneys’ fees and costs incurred under 35 U.S.C. § 285.
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`JURY DEMAND
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`Plaintiff requests a trial by jury pursuant to Rule 38 of the Federal Rules of Civil
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`Procedure.
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`PRAYER FOR RELIEF
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`Plaintiff asks that the Court find in its favor and against Defendant and that the Court grant
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`Plaintiff the following relief:
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`Judgment that one or more claims of the ’332 patent have been infringed, either
`literally and/or under the doctrine of equivalents, by Defendant;
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`Judgment that one or more claims of the ʼ332 patent have been willfully
`infringed, either literally and/or under the doctrine of equivalents, by Defendant;
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`Judgment that Defendant account for and pay to Plaintiff all damages and costs
`incurred by Plaintiff because of Defendant’s infringing activities and other
`conduct complained of herein, including an accounting for any sales or damages
`not presented at trial;
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`a.
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`b.
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`c.
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`Case 6:20-cv-00667-ADA Document 1 Filed 07/23/20 Page 7 of 7
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`Judgment that Defendant account for and pay to Plaintiff a reasonable, ongoing,
`post judgment royalty because of Defendant’s infringing activities, including
`continuing infringing activities, and other conduct complained of herein;
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`That Plaintiff be granted pre-judgment and post judgment interest on the damages
`caused by Defendant’s infringing activities and other conduct complained of
`herein;
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`Find this case exceptional under the provisions of 35 U.S.C. § 285 and award
`enhanced damages;
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`That Plaintiff be granted such other and further relief as the Court may deem just
`and proper under the circumstances.
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`d.
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`e.
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`f.
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`g.
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`Dated: July 23, 2020
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`Respectfully submitted,
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`/s/ Ryan Griffin
`Ryan Griffin
`Texas Bar No. 24053687
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`GRIFFIN LAW PLLC
`312 W 8th Street
`Dallas, TX 75208
`Tel: (214) 500-1797
`ryan@griffiniplaw.com
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`Attorneys for Plaintiff
`GALLIO IP LLC
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`PLAINTIFF’S ORIGINAL COMPLAINT FOR PATENT INFRINGEMENT
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