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Teles Ag v. Kappos
846 F. Supp. 2d 102
D.D.C.
2012
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Background

  • TELES AG and Sigram Schindler allege BPAI ex parte reexamination of Schindler Patent 6,954,453 B1 resulted in final rejection of claims 34-36 and 38, and pursue judicial review in district court under 35 U.S.C. § 306.
  • The 1999 amendments to 35 U.S.C. §§ 134, 141, and 145 altered rights of patent applicants, patent owners, and third-party requesters, and did not explicitly revise § 306.
  • Pre-1999, patent owners could pursue district court review under § 306 or pursue Federal Circuit review; the amendments began confining patent owners to appellate review and removing district-court review.
  • The Court analyzes legislative history and statutory text to determine whether, after 1999, § 306 remains a vehicle for patent owners to obtain district-court review of BPAI reexamination decisions.
  • The 2011 AIA amended § 306 to remove reference to § 145, aligning § 306 with the post-1999 scheme, reinforcing the lack of district-court jurisdiction for patent owners.
  • The court ultimately grants the defendant’s motion to dismiss for lack of jurisdiction and transfers the case to the Federal Circuit under 28 U.S.C. § 1631.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Do the 1999 amendments strip district court jurisdiction under §306 for patent owners? Schindler argues amendments did not remove rights under §306. Kappos argues amendments removed district-court review for patent owners under §306. Yes, amendments removed district-court jurisdiction for patent owners.
Should §306 be read in pari materia with §§134, 141, and 145? §306 remains viable despite changes to 134-145. §306 must align with post-1999 §§134-145 to limit review. §306 must be read consistently with §134-145, denying district-court review for patent owners.
Does §141’s limitation to appeal to the Federal Circuit apply to patent owners in ex parte reexaminations? Patent owners may still pursue §306 despite §141 limitations. §141 applies to all reexaminations, restricting patent owners to Federal Circuit review. Yes, patent owners may only appeal to the Federal Circuit; no district-court review under §306.
Does the 2011 amendment to §306 support transfer or provide jurisdiction? 2011 amendment is merely conforming; jurisdiction remains. 2011 amendment reinforces lack of district-court jurisdiction. Yes, 2011 amendment confirms lack of jurisdiction in district court; transfer appropriate.

Key Cases Cited

  • Joy Technologies v. Manbeck, 959 F.2d 226 (Fed. Cir. 1992) (patent applicants and owners construed to permit civil action pre-1999)
  • Syntex (U.S.A.) Inc. v. U.S. Patent & Trademark Office, 882 F.2d 1570 (Fed. Cir. 1989) (patent owner review rights via §306 and §134/§145)
  • Patlex Corp. v. Mossinghoff, 758 F.2d 594 (Fed. Cir. 1985) (reexamination framework and agency jurisdiction rationale)
  • Desert Palace Inc. v. Costa, 539 U.S. 90 (2003) (plain-language statutory interpretation standard)
  • Connecticut Nat. Bank v. Germain, 503 U.S. 249 (1992) (plain-language interpretation when statute is unambiguous)
  • Barseback Kraft AB v. United States, 121 F.3d 1475 (Fed. Cir. 1997) (statutory interpretation principles and comprehensive review)
Read the full case

Case Details

Case Name: Teles Ag v. Kappos
Court Name: District Court, District of Columbia
Date Published: Mar 5, 2012
Citation: 846 F. Supp. 2d 102
Docket Number: Civil Action No. 2011-0476
Court Abbreviation: D.D.C.