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`Case 6:20-cv-00890 Document 1 Filed 09/29/20 Page 1 of 12
`
`IN THE UNITED STATES DISTRICT COURT
`FOR THE WESTERN DISTRICT OF TEXAS
`WACO DIVISION
`
`WSOU INVESTMENTS, LLC d/b/a
`BRAZOS LICENSING AND
`DEVELOPMENT,
`
`
`Plaintiff,
`
`
`v.
`
`HUAWEI TECHNOLOGIES CO., LTD.
`AND HUAWEI TECHNOLOGIES USA
`INC.,
`
`
`Defendants.
`













`
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`
`
`CIVIL ACTION NO. 6:20-cv-00890
`
`
`JURY TRIAL DEMANDED
`
`ORIGINAL COMPLAINT FOR PATENT INFRINGEMENT
`
`Plaintiff WSOU Investments, LLC d/b/a Brazos Licensing and Development (“Brazos” or
`
`“Plaintiff”), by and through its attorneys, files this Complaint for Patent Infringement against
`
`Defendants Huawei Technologies Co. Ltd. and Huawei Technologies USA Inc. (collectively
`
`“Huawei” or “Defendants”) and alleges:
`
`NATURE OF THE ACTION
`
`1.
`
`This is a civil action for patent infringement arising under the Patent Laws of the
`
`United States, 35 U.S.C. §§ 1, et seq., including §§ 271, 281, 284, and 285.
`
`
`
`
`
`
`
`1
`
`

`

`
`
`Case 6:20-cv-00890 Document 1 Filed 09/29/20 Page 2 of 12
`
`THE PARTIES
`
`2.
`
`Brazos is a limited liability corporation organized and existing under the laws of
`
`Delaware, with its principal place of business at 606 Austin Avenue, Suite 6, Waco, Texas 76701.
`
`3.
`
`On information and belief, Defendant Huawei Technologies Co., Ltd. is a Chinese
`
`corporation that does business in Texas, directly or through intermediaries, with a principal place
`
`of business at Bantian, Longgang District, Shenzhen 518129, People’s Republic of China.
`
`4.
`
`Upon information and belief, Defendant Huawei Technologies USA Inc. is a
`
`corporation organized and existing under the laws of Texas that maintains an established place of
`
`business at 2391 NE Interstate 410 Loop, San Antonio, Texas 78217. Huawei Technologies USA,
`
`Inc. is authorized to do business in Texas and may be served via its registered agent, CT
`
`Corporation System, 1999 Bryan Street, Suite 900, Dallas, Texas 75201-3136.
`
`5.
`
`Defendants operate under and identify with the trade name “Huawei.” Each of the
`
`Defendants may be referred to individually as a “Huawei Defendant” and, collectively, Defendants
`
`may be referred to below as “Huawei” or as the “Huawei Defendants.”
`
`JURISDICTION AND VENUE
`
`6.
`
`This is an action for patent infringement which arises under the Patent Laws of the
`
`United States, in particular, 35 U.S.C. §§271, 281, 284, and 285.
`
`7.
`
`This Court has jurisdiction over the subject matter of this action under 28 U.S.C.
`
`§§ 1331 and 1338(a).
`
`8.
`
`This Court has specific and general personal jurisdiction over each Huawei
`
`Defendant pursuant to due process and/or the Texas Long Arm Statute, because each Huawei
`
`Defendant has committed acts giving rise to this action within Texas and within this judicial
`
`district. The Court’s exercise of jurisdiction over each Huawei Defendant would not offend
`
`
`
`2
`
`

`

`
`
`Case 6:20-cv-00890 Document 1 Filed 09/29/20 Page 3 of 12
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`traditional notions of fair play and substantial justice because Huawei has established minimum
`
`contacts with the forum. For example, on information and belief, Huawei Defendants have
`
`committed acts of infringement in this judicial district, by among other things, selling and offering
`
`for sale products that infringe the asserted patent, directly or through intermediaries, as alleged
`
`herein.
`
`9.
`
`Venue in the Western District of Texas is proper pursuant to 28 U.S.C. §§1391 and
`
`1400(b) because Defendants have committed acts of infringement in this judicial district and have
`
`regular and established places of business in this judicial district and in Texas. As non-limiting
`
`examples, on information and belief, Defendants have sold or offered to sell the Accused Products
`
`in this judicial district and have employees or agents that operate Huawei equipment in this judicial
`
`district, including at 189 CR 265, Georgetown, TX 78626, 1150 S. Bell Blvd., Cedar Park, TX
`
`78613, 1399 S A W Grimes Blvd., Round Rock, TX 78664, 12335 IH 35, Jarrell, TX 76537, 1050
`
`Rabbit Hill Rd., Unit #E, Georgetown, TX 78626, 1602 A W Grimes Blvd., Round Rock, TX
`
`78664, 4120 IH 35 N, Georgetown, TX 78626, 900 CR 272, Leander, TX 78641, 1950 Crystal
`
`Falls Pkwy., Leander, TX 78641, 1101 N. Industrial Blvd., Round Rock, TX 78681, 506 McNeil
`
`Rd., Round Rock, TX 78681, 3210 Chisholm Trail Rd., Round Rock, TX 78681, 112 Roundville
`
`Ln., Round Rock, TX 78664, 202 Central Dr. W, Georgetown, TX 78628, 3595 E. Hwy. 29,
`
`Georgetown, TX 78626, 1402 W Welch St., Taylor, TX 76574, 3801 Oak Ridge Dr., Round Rock,
`
`TX 78681, 1957 Red Bud Ln. #B, Round Rock, TX 78664, 6603 S Lakewood Dr., Georgetown,
`
`TX 78633, 500 W Front, Hutto, TX 78634.
`
`
`
`
`
`
`
`3
`
`
`
`

`

`
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`Case 6:20-cv-00890 Document 1 Filed 09/29/20 Page 4 of 12
`
`COUNT ONE - INFRINGEMENT OF
`U.S. PATENT NO. 6,839,321
`
`10.
`
`Brazos re-alleges and incorporates by reference the preceding paragraphs of this
`
`Complaint.
`
`11.
`
`On January 4, 2005, the United States Patent and Trademark Office duly and
`
`legally issued U.S. Patent No. 6,839,321(“the ’321 Patent”), entitled “Domain based congestion
`
`management.” A true and correct copy of the ’321 Patent is attached as Exhibit A to this
`
`Complaint.
`
`12.
`
`Brazos is the owner of all rights, title, and interest in and to the ’321 Patent,
`
`including the right to assert all causes of action arising under the ’321 Patent and the right to any
`
`remedies for the infringement of the ’321 Patent.
`
`13.
`
`Huawei makes, uses, sells, offers for sale, imports, and/or distributes in the United
`
`States, including within this judicial district, products such as, but not limited to, Huawei Cloud
`
`Engine series switches (collectively, the “Accused Products”).
`
`14.
`
`The Accused Products include Huawei’s Cloud Engine 8800 series switches.
`
`15.
`
`Huawei provides a range of fully managed switches to manage and regulate the
`
`network traffic flow.
`
`16.
`
`Huawei’s Cloud Engine 8800 series switches deliver high performance, high port
`
`density, and low latency for cloud-oriented data center networks and high-end campus networks.
`
`Huawei’s Cloud Engine 8800 series switches support an extensive range of data center features,
`
`Software-Defined Networking (SDN) capabilities, and high-performance stacking technologies.
`
`
`
`
`
`4
`
`

`

`
`
`Case 6:20-cv-00890 Document 1 Filed 09/29/20 Page 5 of 12
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`Source: https://e.huawei.com/us/products/enterprise-networking/switches/data-center-
`
`switches/ce8800
`
`17.
`
`The Accused Products uses Huawei’s algorithm to customize virtual queues based
`
`on services, implementing refined management, and pre-determines uplink and downlink queue
`
`congestion to eliminate packet loss.
`
`
`
`
`
`
`
`Source:
`
`https://e.huawei.com/us/material/networking/dcswitch/0e2b9914aa134aeb9783fbd4d5b18137,
`
`18.
`
`The Accused Products support a QoS model (e.g. Differentiated Services or
`
`
`
`DiffServ), which classifies packets on a network into multiple classes and takes different actions
`
`for the classes. In the DiffServ model, traffic classification and aggregation are completed on
`
`edge nodes. Edge nodes classify packets based on a combination of fields in packets, such as the
`
`
`
`5
`
`

`

`
`
`Case 6:20-cv-00890 Document 1 Filed 09/29/20 Page 6 of 12
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`source and destination addresses, precedence in the Type of Service (ToS) field, and protocol
`
`type, and then mark packets with different priorities.
`
`
`
`Source: https://support.huawei.com/enterprise/en/doc/EDOC1000166640/7ac0d32a/overview-
`of-qos
`
`
`
`19.
`
`In the Accused Products, the DiffServ model includes multiple QoS mechanisms,
`
`one of which is congestion management and congestion avoidance. The congestion management
`
`buffers packets in queues upon network congestion and determines the forwarding order using a
`
`specific scheduling algorithm. The congestion avoidance monitors network resource usage and
`
`drops packets to mitigate network overloading when congestion worsens.
`
`
`
`6
`
`

`

`
`
`Case 6:20-cv-00890 Document 1 Filed 09/29/20 Page 7 of 12
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`
`
`Source: https://support.huawei.com/enterprise/en/doc/EDOC1000166640/7ac0d32a/overview-
`of-qos
`
`
`20.
`
`In the Accused Products, the congestion avoidance mechanism supports a feature
`
`(e.g., WRED or Weighted Random Early Detection). WRED discards packets based on packet
`
`priorities, so the drop probability of packets with higher priorities is low. In addition, WRED
`
`randomly discards packets so that rates of TCP connections are reduced at different times, which
`
`prevents global TCP synchronization. Further, WRED defines upper and lower threshold for the
`
`length of each queue and, based on the threshold levels and the queue sizes, the packet is dropped
`
`or discarded.
`
`21.
`
`In the Accused Products, the Combination of WRED and Explicit Congestion
`
`Notification (ECN) enables a terminal device to detect congestion and notify the source of
`
`congestion. After receiving the notification, the source reduces the rate of sending packets to
`
`prevent congestion from aggravating.
`
`
`
`7
`
`

`

`
`
`Case 6:20-cv-00890 Document 1 Filed 09/29/20 Page 8 of 12
`
`Source: https://support.huawei.com/enterprise/en/doc/EDOC1000166640/8e515729/overview-
`of-congestion-avoidance-and-congestion-management
`
`
`22.
`
`In the Accused Products, when ECN is enabled along with the Weighted Random
`
`Early Detection (WRED), if congestion occurs, the device does not randomly discard packets;
`
`
`
`instead, the device randomly marks packets based on the WRED drop profile.
`
`Source: https://support.huawei.com/enterprise/en/doc/EDOC1000166640/4b49cfb7/configuring-
`
`
`
`ecn
`
`
`
`23.
`
`In the Accused Products, when a queue is congested, the ECN field is updated to
`
`11 (i.e. at least one bit) for the outgoing packets (i.e. sending message to another node) in the
`
`queue. Thus, marking of the packet consists of setting at least the ECN flag bit in the ECN field.
`
`
`
`
`
`8
`
`

`

`
`
`Case 6:20-cv-00890 Document 1 Filed 09/29/20 Page 9 of 12
`
`
`
`
`
`Source: https://support.huawei.com/enterprise/en/doc/EDOC1100137938/2be927d1/fast-ecn
`
`24.
`
` In the Accused Products, the ECN marked packets are received by the receiver,
`
`and then the receiver informs the transmitter of the congestion. This, in turn, indicates to the
`
`transmitter to reduce the rate of transmission. The traffic rate is regulated by notifying the source
`
`about the congestion.
`
`Source: https://support.huawei.com/enterprise/en/doc/EDOC1000102434?section=k008
`
`25.
`
`In the Accused Products, ECN involves sending the marked packets only when
`
`congestion is detected. The clearance of congestion is detected through the receiving of unmarked
`
`packets. When the number of packets in the forwarding queue exceeds the ECN threshold, the
`
`device sends a packet carrying the ECN field to the destination server to notify it of the congestion
`
`on the network. Accordingly, when ECN threshold is not exceeded, no ECN field will be added,
`
`indicating there is no congestion. The receiving node will determine that the congestion is clear
`
`by virtue of no addition of ECN field.
`
`
`
`9
`
`

`

`Case 6:20-cv-00890 Document 1 Filed 09/29/20 Page 10 of 12
`
`
`
`
`
`
`Source: https://support.huawei.com/enterprise/en/doc/EDOC1100137938/2be927d1/fast-ecn
`
`
`26.
`
`In view of preceding paragraphs, each and every element of at least claim 1 of the
`
`
`
`’321 Patent is found in the Accused Products.
`
`27.
`
`Huawei has and continues to directly infringe at least one claim of the ’321 Patent,
`
`literally or under the doctrine of equivalents, by making, using, selling, offering for sale, importing,
`
`and/or distributing the Accused Products in the United States, including within this judicial district,
`
`without the authority of Brazos.
`
`28.
`
`Huawei has received notice and actual or constructive knowledge of the ’321
`
`Patent since at least the date of service of this Complaint.
`
`29.
`
`Since at least the date of service of this Complaint, through its actions, Huawei has
`
`actively induced product makers, distributors, retailers, and/or end users of the Accused Products
`
`to infringe the ’321 Patent throughout the United States, including within this judicial district, by,
`
`among other things, advertising and promoting the use of the Accused Products in various
`
`websites, including providing and disseminating product descriptions, operating manuals, and
`
`other instructions on how to implement and configure the Accused Products. Examples of such
`
`advertising, promoting, and/or instructing include the documents at:
`
`•
`
`•
`
`•
`
`https://e.huawei.com/us/products/enterprise-networking/switches/data-
`center-switches/ce8800
`https://e.huawei.com/us/material/networking/dcswitch/0e2b9914aa134aeb9
`783fbd4d5b18137
`https://support.huawei.com/enterprise/en/doc/EDOC1000166640/7ac0d32a/
`overview-of-qos,
`
`
`
`10
`
`

`

`
`
`Case 6:20-cv-00890 Document 1 Filed 09/29/20 Page 11 of 12
`
`•
`
`•
`
`•
`
`•
`
`
`
`30.
`
`https://support.huawei.com/enterprise/en/doc/EDOC1000166640/8e515729
`/overview-of-congestion-avoidance-and-congestion-management
`https://support.huawei.com/enterprise/en/doc/EDOC1100137938/2be927d1
`/fast-ecn
`https://support.huawei.com/enterprise/en/doc/EDOC1000102434?section=k
`008
`https://support.huawei.com/enterprise/en/doc/EDOC1000166640/4b49cfb7/
`configuring-ecn
`
`Since at least the date of service of this Complaint, through its actions, Huawei
`
`has contributed to the infringement of the ’321 Patent by having others sell, offer for sale, or use
`
`the Accused Products throughout the United States, including within this judicial district, with
`
`knowledge that the Accused Products infringe the ’321 Patent. The Accused Products are
`
`especially made or adapted for infringing the ’321 Patent and have no substantial non-infringing
`
`use. For example, in view of the preceding paragraphs, the Accused Products contain
`
`functionality which is material to at least one claim of the ’321 Patent.
`
`JURY DEMAND
`
`Brazos hereby demands a jury on all issues so triable.
`
`
`
`REQUEST FOR RELIEF
`
`WHEREFORE, Brazos respectfully requests that the Court:
`
`(A)
`
`Enter judgment that Huawei infringes one or more claims of the ’321 Patent
`
`literally and/or under the doctrine of equivalents;
`
`(B)
`
`Enter judgment that Huawei has induced infringement and continues to induce
`
`infringement of one or more claims of the ’321 Patent;
`
`(C)
`
`Enter judgment that Huawei has contributed to and continues to contribute to the
`
`infringement of one or more claims of the ’321 Patent;
`
`
`
`11
`
`

`

`
`
`Case 6:20-cv-00890 Document 1 Filed 09/29/20 Page 12 of 12
`
`(D)
`
`Award Brazos damages, to be paid by Huawei in an amount adequate to
`
`compensate Brazos for such damages, together with pre-judgment and post-
`
`judgment interest for the infringement by Huawei of the ’321 Patent through the
`
`date such judgment is entered in accordance with 35 U.S.C. §284, and increase
`
`such award by up to three times the amount found or assessed in accordance with
`
`35 U.S.C. §284;
`
`(E)
`
`(F)
`
`this
`
`case
`
`exceptional pursuant
`
`Declare
`
`Award Brazos its costs, disbursements, attorneys’ fees, and such further and
`
`to 35 U.S.C. §285;
`
`and
`
`additional relief as is deemed appropriate by this Court.
`
`
`Dated: September 29, 2020
`
`
`
`
`
`
`
`
`
`
`
`Respectfully submitted,
`
`
`
`
`
`/s/ James L. Etheridge
`James L. Etheridge
`Texas State Bar No. 24059147
`Ryan S. Loveless
`Texas State Bar No. 24036997
`Travis L. Richins
`Texas State Bar No. 24061296
`Brett A. Mangrum
`Texas State Bar No. 24065671
`Jeffrey Huang
`ETHERIDGE LAW GROUP, PLLC
`2600 E. Southlake Blvd., Suite 120 / 324
`Southlake, Texas 76092
`Telephone: (817) 470-7249
`Facsimile: (817) 887-5950
`Jim@EtheridgeLaw.com
`Ryan@EtheridgeLaw.com
`Travis@EtheridgeLaw.com
`Brett@EtheridgeLaw.com
`JeffH@EtheridgeLaw.com
`
`COUNSEL FOR PLAINTIFF
`
`
`
`
`
`12
`
`

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