Kyocera Senco Indus. Tools Inc v. ItcKyocera Senco Indus. Tools Inc v. Itc
Appeals from the United States International Trade Commission in Investigation No. 337-TA-1082.
Decided: January 21, 2022
DANIEL SHULMAN, Vedder Price P.C., Chicago, IL, argued for Kyocera Senco Industrial Tools Inc. Also represented by DAVID BERNARD, JOHN K. BURKE, ROBERT STEPHAN RIGG.
CLINT A. GERDINE, Office of the General Counsel, United States International Trade Commission, Washington, DC, argued for appellee. Also represented by DOMINIC L. BIANCHI, WAYNE W. HERRINGTON, SIDNEY A. ROSENZWEIG.
AMOL A. PARIKH, McDermott Will & Emery LLP, Chicago, IL, argued for Koki Holdings America Ltd. Also represented by PAUL DEVINSKY, ALEXANDER OTT, JAY REIZISS, Washington, DC; JOSEPH H. PAQUIN, JR., Barnes & Thornburg LLP, Chicago, IL.
Before MOORE, Chief Judge, DYK and CUNNINGHAM, Circuit Judges.
Kyocera Senco Industrial Tools Inc. and Koki Holdings America Ltd. each appeal from an International Trade Commission decision. See Certain Gas Spring Nailer Prods. & Components Thereof, Inv. No. 337-TA-1082, 2020 WL 2093834 (Apr. 28, 2020) (Commission opinion). For the following reasons, we vacate and remand.
BACKGROUND
I
In 2017, Kyocera filed a complaint with the Commission. It alleged Koki was violating
A fastener driving tool, comprising:
(a) a guide body that has a receiving end, an exit end, and a passageway therebetween, said guide body being configured to receive a fastener that is to be driven from said exit end;
(b) a driver actuation device having a movable member that creates a displacement volume;
(c) an elongated driver member having a first end and a second end, said first end being in mechanical communication with said movable member of the driver actuation device, said second end being sized and shaped to push a fastener from said exit
end of the guide body through at least a portion of said passageway of the guide body, and said driver member having at least one longitudinal edge with a plurality of spaced-apart protrusions;
(d) a lifter member which exhibits a contact surface that, at predetermined locations along said contact surface, makes contact with said plurality of spaced-apart protrusions of said driver member such that, when said lifter member is moved in a first direction, it causes a return stroke of an operating cycle and moves said driver member from a driven position toward a ready position, and when said lifter member is moved to a holding position, it temporarily holds said driver member at said ready position by use of a holding contact between said lifter member and said driver member; and
(e) a main storage chamber that is in fluidic communication with said displacement volume of the driver actuation device, wherein:
(i) said main storage chamber and said displacement volume are charged with a pressurized gas,
(ii) when actuated for a driving stroke of said operating cycle, said lifter member moves in said first direction from said holding position and releases said driver member from said holding contact, and said movable member of the driver actuation device is moved by said pressurized gas and moves said driver
member from said ready position to said driven position, and
(iii) said pressurized gas is not exhausted to atmosphere after said driving stroke, but instead is reused for a plurality of said operating cycles;
(f) an energy source used for causing movement of said lifter member; and
(g) a housing that substantially contains said driver actuation device, said elongated driver member, said lifter member, and said main storage chamber, with no external energy source cable and no external hose.
See also, e.g., ‘296 patent claim 11; ‘722 patent claims 1, 16. Other asserted claims cover methods for controlling fastener
A method for controlling a fastener driving tool, said method comprising:
(a) providing a fastener driving tool that includes: (i) a housing; (ii) a system controller; (iii) a safety contact element; (iv) a user-actuated trigger; (v) a fastener; (vi) a prime mover that moves a lifter member which moves a driver member away from an exit end of the mechanism; and (vii) a fastener driving mechanism that moves said driver member toward said exit end of the mechanism, said fastener driving mechanism including:
(A) a hollow cylinder comprising a cylindrical wall with a movable piston therewithin, said hollow
cylinder containing a displacement volume created by a stroke of said piston, and
(B) a main storage chamber that is in fluidic communication with said displacement volume of the cylinder, wherein said main storage chamber and said displacement volume are initially charged with a pressurized gas;
(b) selecting, by a user, an operating mode of said driving cycle to be one of: a “bottom firing mode,” and a “restrictive firing mode;” wherein: (i) if said restrictive firing mode is selected, said tool will operate if said safety contact element has been actuated before said trigger actuator has been operated; and (ii) if said bottom firing mode is selected, said tool will operate if both:
(A) said trigger actuator has been operated, and
(B) said safety contact element has been actuated,
in either sequence;
(c) initiating a driving cycle by pressing said exit end against a workpiece and actuating said trigger, thereby causing said fastener driving mechanism to force the driver member to move toward said exit end and drive a fastener into said workpiece; and
(d) actuating said prime mover, thereby moving said lifter member and causing said driver member to move away from said exit end toward a ready position.
See also, e.g., ‘718 patent claims 10, 16.
II
Based on Kyocera‘s complaint, the Commission instituted an investigation to determine whether Koki was violating Section 337. Notice of Investigation, 82 Fed. Reg. 55,118 (Nov. 20, 2017). After institution, Koki had an opportunity to answer Kyocera‘s complaint; it denied infringement and argued the asserted claims are invalid.
The ALJ construed various claim terms, ruled on evidentiary issues, and held an evidentiary hearing. During claim construction, the ALJ adopted Koki‘s construction of “driven position” and Kyocera‘s construction of “lifter member.” He also adopted the parties’ agreed-upon construction of “main storage chamber.” Later, the ALJ excluded testimony from Dr. John Pratt (Kyocera‘s technical expert) on infringement under the doctrine of equivalents.2
After that hearing, the ALJ issued an initial determination finding Koki‘s products did not infringe claims 1, 10, and 16 of the ‘718 patent. J.A. 155. Specifically, without reaching any other infringement issues, he found those products lacked the claimed “system controller.” J.A. 120-24. The ALJ also rejected Koki‘s invalidity challenges, in
part because a prior art reference Pedicini3 did not teach the “main storage chamber” limitation. J.A. 136-41.
Kyocera petitioned, and Koki contingently petitioned, for the Commission to review the ALJ‘s initial decision. See J.A. 3. The Commission elected to review only the ALJ‘s noninfringement finding. J.A. 3-4. But, rather than consider the ALJ‘s decision on the merits, the Commission remanded. It directed the ALJ to address whether the accused products met the unaddressed claim limitations and whether Koki induced its customers to infringe.
On remand, the ALJ found the accused products met all but two of the other limitations in the asserted claims. Specifically, Koki‘s products lacked the claimed “displacement volume,” J.A. 182-84, and did not “initiat[e] a driving cycle by pressing [an] exit end [of the mechanism] against a workpiece,” J.A. 189-91. In analyzing the “lifter member” limitation, the ALJ cited Dr. Pratt‘s testimony on literal infringement. J.A. 178. Notwithstanding his noninfringement findings, the ALJ also addressed inducement. J.A. 192-93. He found that, even if direct infringement were shown, Kyocera failed to prove the intent required to induce infringement.
Again, Kyocera petitioned for review, and Koki contingently petitioned for review. J.A. 4-5. This time, however, the Commission reached the merits and reversed the ALJ‘s noninfringement finding. It found the accused products met the “system controller,” “displacement volume,” and “initiating a driving cycle” limitations. J.A. 5. It also found that Koki induced infringement. J.A. 6. Kyocera and Koki separately appeal. We have jurisdiction under
DISCUSSION
These appeals challenge various parts of the Commission‘s opinion, which was limited to the ‘718 patent, and several of the ALJ‘s decisions, which implicate the other asserted patents. All told, these appeals address five parts of the investigation below: (I) the exclusion of Dr. Pratt‘s testimony, (II) the construction of “driven position,” (III) the construction of “lifter member,” (IV) the construction of “initiating a driving cycle,” and (V) whether Pedicini teaches the “main storage chamber.”
I. Dr. Pratt‘s Testimony
During claim construction, the ALJ adopted Koki‘s definition of a skilled artisan:
A person of ordinary skill in the art relevant to the Asserted Patents would have either (i) a Master‘s Degree in mechanical engineering with at least two years of experience in power nailer design; (ii) a Bachelor‘s Degree in mechanical engineering with at least five years of experience in powered nailer design; or, (iii) ten or more years of experience in powered nailer design. This experience in powered nailer design would include mechanical design, tool design, manufacturing, mechanics of materials, stress analysis, ergonomics, and human factors.
J.A. 1476 (emphases added). That definition requires, at minimum, two years’ experience designing power nailers. In adopting this definition, the ALJ noted how Kyocera chose not to contest, and even seemed to adopt, Koki‘s articulation of the ordinary level of skill in the art. See J.A. 217-18; J.A. 1676 (Dr. Pratt opining that he “m[et] [Koki‘s] level of skill and [applied] it in reaching [his] conclusions found in [his] [rebuttal] declaration“).
Kyocera offered Dr. Pratt as a technical expert on claim construction, J.A. 1669; invalidity, J.A. 756; literal
infringement, id.; and infringement under the doctrine of equivalents, id. Dr. Pratt has advanced degrees in engineering and extensive experience in the design and manufacture of fastener driving tools. J.A. 754-75. But he lacks experience in power nailer design. J.A. 2260 (“Q[:] Dr. Pratt, do you have experience designing powered nailers? A[:] Not nailers.“).
Because of Dr. Pratt‘s lack of experience, the ALJ excluded his testimony on infringement under the doctrine of equivalents. J.A. 262-68. He found that Kyocera failed to preserve any challenge to the level of ordinary skill in the art and that Dr. Pratt lacked that skill. He also reasoned that, because testimony from a skilled artisan is required, Kyocera would be unable to prove doctrine-of-equivalents infringement using Dr. Pratt‘s testimony. While excluding Dr. Pratt‘s testimony under the doctrine of equivalents because he was not at a minimum an ordinarily skilled artisan, the ALJ admitted Dr. Pratt‘s testimony as to literal infringement.
Both Kyocera and Koki challenge the ALJ‘s order partially excluding Dr. Pratt‘s testimony. Kyocera argues that Dr. Pratt should have been permitted to testify on both literal and doctrine-of-equivalents infringement. Koki argues Dr. Pratt should not have been permitted to testify at all.4 The Commission, responding to both Kyocera and Koki, defends the ALJ‘s order partially excluding the testimony.
We “review the admission of expert testimony for an abuse of discretion.” Sundance, Inc. v. DeMonte Fabricating Ltd., 550 F.3d 1356, 1360 (Fed. Cir. 2008); see also
Winbond Elecs. Corp. v. Int‘l Trade Comm‘n, 262 F.3d 1363, 1370 (Fed. Cir. 2001) (reviewing an evidentiary determination by the Commission for an abuse of discretion). Because Dr. Pratt lacked ordinary skill in the art, the ALJ abused his discretion by admitting any of Dr. Pratt‘s testimony.
A
To offer expert testimony from the perspective of a skilled artisan in a patent