PTAB Rejects Argument of Alleged Master Plan to Circumvent IPR Time Bar

October 23, 2023

Reading Time : 2 min

The Patent Trial and Appeal Board rejected a patent owner’s argument that the Board should exercise its discretion to deny a petitioner’s inter partes review (IPR) petition because Petitioner failed to name a time-barred real party-in-interest (RPI). The PTAB concluded that the evidence of record—including overlapping but minimal legal representation, different accused products and no proof of a preexisting relationship between parties—supported the conclusion that Petitioner had met its burden of identifying all RPIs.

In an IPR over a patent related to managing digital files across networks, Patent Owner argued that Petitioner failed to identify a time-barred party as an RPI, and that as such, the petition should be denied. According to Patent Owner, Petitioner and the alleged RPI shared litigation counsel, pursued a single and unified invalidity defense strategy, were parties to a joint defense agreement and submitted identical invalidity contentions. Patent Owner alleged that Petitioner and the alleged RPI entered a back-room, off-the-books deal to circumvent the IPR statutory time bar and estoppel provisions. Petitioner responded, submitting a declaration from counsel explaining that her limited involvement in the parallel litigation was to argue a Section 101 motion to dismiss, something she had extensive experience doing in that jurisdiction. She also addressed the joint defense agreement and emphasized that neither she nor anyone from her firm advised the alleged RPI in its invalidity contentions—nor did Petitioner receive any input or collaboration from the alleged RPI in preparing the IPRs. The PTAB found no evidence of any back-room, off-the-books deal. Instead, the PTAB recognized that sharing trial counsel in district court by a non-party to an IPR is common and by itself is insufficient to make the non-party an RPI, particularly where the representation was narrow and the accused products in the litigations were different, which was the case here.

The PTAB then rejected Patent Owner’s characterization of the case law as requiring only an analysis of whether the alleged RPI would benefit from having claims canceled or invalidated. The PTAB emphasized that the case law requires more than that, including making a determination as to whether the non-party had a preexisting, established relationship with the petitioner. In those cases, among other things, the parties communicated about the litigation and patents, the petitioners’ business model was to file patent challenges on behalf of other entities and the RPI made a significant payment to the petitioner shortly before the petition was filed. None of these elements were present here and there was no support for a finding that the petition and alleged RPI had an established relationship. Accordingly, the PTAB denied Patent Owner’s request to dismiss the petition because of a failure to name an RPI. Finally, the PTAB rejected Patent Owner’s undeveloped, passing argument that the alleged RPI was a privy of Petitioner.

Practice Tip: A petitioner responding to allegations that they did not disclose an RPI in a PTAB proceeding should emphasize lack of cooperation with an alleged RPI and provide evidentiary support, including in the form of declaration testimony. Conversely, a patent owner challenging an omission of an alleged RPI should focus on showing, for example, a preexisting, established relationship as well as collaboration between the petitioner and the omitted party.

Box Inc. v. Topia Tech. Inc., No. 2023-00427, Paper 17 (P.T.A.B. Aug. 4, 2023).

Share This Insight

Previous Entries

IP Newsflash

March 24, 2025

The Federal Circuit affirmed a Patent Trial and Appeal Board (PTAB) final written decision holding that the prior art exception of AIA Section 102(b)(2)(B) does not apply to a prior sale by an inventor when the sale is conducted in private. According to the Federal Circuit, a sale must disclose the relevant aspects of the invention to the public to qualify for the prior art exception of Section 102(b)(2)(B).

...

Read More

IP Newsflash

March 21, 2025

Under the Lanham Act, a plaintiff who prevails on a trademark infringement claim may be entitled to recover the “defendant’s profits” as damages. The Supreme Court in Dewberry Group, Inc. v. Dewberry Engineers Inc. unanimously construed “defendant’s profits” in 35 USC § 1117(a) to mean that only the named defendant’s profits can be awarded, not the profits of other related corporate entities. The Court, however, left open the possibility that other language in § 1117(a) may allow for damages linked to the profits of related entities, if properly raised and supported.

...

Read More

IP Newsflash

March 13, 2025

In a series of rulings on a motion in limine, the District of Delaware recently distinguished between what qualifies as being incorporated by reference and what does not for the purposes of an anticipation defense. In short, a parenthetical citation was held to be insufficient, while three passages discussing a cited reference met the test.

...

Read More

IP Newsflash

March 4, 2025

On February 28, 2025, the USPTO announced that it was rescinding former Director Vidal’s 2022 memorandum on discretionary denials by the Patent Trial and Appeal Board. The 2022 memorandum effectively narrowed the application of discretionary denials in cases with parallel district court litigation by specifying instances where discretionary denial could not be issued. With the withdrawal of the memorandum, individual PTAB panels will regain flexibility in weighing discretionary denials. While the long-term effect of that increased flexibility is not yet known, the immediate effect is likely to be a shift towards the discretionary analysis applied by PTAB panels before the issuance of the memorandum.

...

Read More

IP Newsflash

March 3, 2025

A District of Delaware judge recently granted a defendant’s motion to include a patent prosecution bar in its proposed protective order after determining that litigation counsel’s ability to practice before the Patent Office—without ever having represented the plaintiffs at the Patent Office in the past—weighed heavily in favor of the bar.

...

Read More

IP Newsflash

February 12, 2025

The Federal Circuit recently reversed a district court decision that found a patent that did not describe after-arising technology failed to satisfy the written description requirement. In so doing, the Federal Circuit explained that written description and enablement are evaluated based on the subject matter that is claimed, not the products that practice those claims. As a result, the patentee was not required to describe unclaimed, later-discovered features of the accused products despite the broad language in the claims that undisputedly covered the products.

...

Read More

IP Newsflash

January 24, 2025

The District of Delaware recently rejected a patentee’s argument that non-production of an opinion letter from counsel, combined with knowledge of the patent, warranted a finding that defendant induced infringement.

...

Read More

IP Newsflash

January 17, 2025

The District of Delaware recently denied a motion to dismiss a patent infringement complaint involving gene editing technology that sought relief under the Safe Harbor Provision of the Hatch-Waxman Act. Specifically, the court found the patentee’s complaint sufficiently alleged at least some uses of the claimed technology that, when taken as true, were not solely uses of a “patented invention” that were “reasonably related” to an FDA submission.

...

Read More

© 2025 Akin Gump Strauss Hauer & Feld LLP. All rights reserved. Attorney advertising. This document is distributed for informational use only; it does not constitute legal advice and should not be used as such. Prior results do not guarantee a similar outcome. Akin is the practicing name of Akin Gump LLP, a New York limited liability partnership authorized and regulated by the Solicitors Regulation Authority under number 267321. A list of the partners is available for inspection at Eighth Floor, Ten Bishops Square, London E1 6EG. For more information about Akin Gump LLP, Akin Gump Strauss Hauer & Feld LLP and other associated entities under which the Akin Gump network operates worldwide, please see our Legal Notices page.