Vineyard Investigations v. E. & J. Gallo WineryVineyard Investigations v. E. & J. Gallo Winery
Case Information
UNITED STATES DISTRICT COURT FOR THE EASTERN DISTRICT OF CALIFORNIA VINEYARD INVESTIGATIONS, No. 1:19-cv-01482-NONE-SKO Plaintiff,
v. ORDER DENYING DEFENDANT’S MOTION TO DISMISS E. & J. GALLO WINERY,
(Doc. No. 13)
Defendant. INTRODUCTION
Plaintiff Vineyard Investigations initiated this action by filing a complaint on October 18, 2019 against defendant E. & J. Gallo Winery. (Doc. No. 1.) Therein, plaintiff alleges that defendant infringes upon U.S. Patent Nos. 8,528,834 (“’834 Patent”) and 6,947,810 (“’810 Patent”) (collectively, the “Asserted Patents”) relating to the “intelligent monitoring and management of crops such as grapevines.” ( Id. ¶ 33.)
Plaintiff seeks: 1) judgment that the Asserted Patents have been and continue to be infringed by defendant; 2) an accounting of damages resulting from defendant’s infringing acts; 3) a finding that defendant’s infringement is willful and enhancement of damages under 35 U.S.C. § 284; 4) a mandatory future royalty on each and every future sale by defendant of grapes grown using technology that is found to infringe one or more of plaintiff’s patents; 5) attorney’s fees; 6) costs; and 7) any further relief the court deems proper. ( at 43–44.) On December 27, 2019, defendant filed a motion to dismiss on the grounds that the Asserted Patents are patent-ineligible under 35 U.S.C. § 101 (“§ 101”). (Doc. No. 13.) Plaintiff filed its opposition on January 24, 2020. (Doc. No. 17.) Defendant filed its reply on February 7, 2020. (Doc. No. 19.)
The court has determined the motion to dismiss is suitable for decision based on the papers under Local Rule 230(g) and, for the reasons explained below, will deny defendant’s motion to dismiss. [1]
BACKGROUND
A. The Parties
Plaintiff is a corporation organized under California law with its principal place of business in St. Helena, California. (Doc. No. 1 ¶ 4.) Dr. Paul W. Skinner founded plaintiff Vineyard Investigations, a consulting company formerly known as Terra Spase, Inc. ( Id. ¶ 13.) Plaintiff “provides consulting and scientific expertise to the wine industry in California and worldwide” on matters relating to “soil management, irrigation requirements, canopy management, crop load, and fruit and wine quality management.” ( Id. ¶ 5.) Plaintiff “owns a portfolio of patents [including the Asserted Patents] and patent applications claiming inventions of Dr. Skinner in the field of intelligent automated monitoring and maintenance of growing crops.” ( Id. ¶¶ 6, 22.)
Each of plaintiff’s patents and applications, including the Asserted Patents, “derives from, and shares patent specification disclosures with, parent United States Patent No. 6,874,707, which was filed on May 31, 2001 and was issued by the USPTO [United States Patent and Trademark Office] on April 5, 2005.” ( Id. ¶ 23.)
Defendant is a corporation organized under California law with its principal place of business in Modesto, California. ( ¶ 7.) “Defendant grows and sells grapes for use in its own and in others’ wines, in vineyards in California and in the Eastern District of California.” ( Id. ) B. The Idea
In 2000, while on a cross-country flight, Dr. Skinner arrived at an idea to design an automated system to “supply every vine with exactly what it needed from a nutrition, water, canopy vigor, and insect and disease prevention standpoint.” ( Id. ¶ 20.) “He began to develop a ‘smart’ drip irrigation system that would be controlled by an advanced system of sensing technology, along with vine growth and disease risk models, to apply water and potentially multiple other chemicals to individual vines when and where they needed them.” ( Id. ) “On that flight, Dr. Skinner began sketching his ideas for this automated vineyard management system, creating drawings and initial notes of the invention.” ( Id. ) “Dr. Skinner’s original sketches contained core ideas that would eventually make up his invented system, including . . . various sources for sensor and external data inputs on plant growth characteristics used to control the system.” ( Id. ) “Dr. Skinner’s contemplated data sources included sensors for soil moisture, soil N (nitrogen) and K (potassium) status, soil pH, as well as vine canopy density (sun/shaded area, i.e. , NDVI), vine evapo-transpiration (ET o ), vine microclimate ( e.g. , temperature, relative humidity), vine insect populations, cluster volume, growing degree days (GDD), yield and harvest forecasts.” ( Id. )
C. The ’834 Patent
The ’834 Patent is entitled “Plant Growing System Using External Data and Having Sensors Associated with Plants.” ( Id. ¶ 24.) Plaintiff alleges the ’834 Patent “was duly and lawfully issued by the USPTO on September 10, 2013.” ( Id. ) Plaintiff avers it is the owner of all right, title, and interest in the ’834 Patent. ( Id. )
The ’834 Patent claims a “‘system for monitoring and managing plant growth’ in which: ‘Combinations of data from sensors local to a vineyard, and from optional remote stations and sensors, is combined with a control system to accurately control the dispensing of water and chemicals such as insecticides, disease prevention fungicides and fertilizers.’” ( ¶ 25 (citing ’834 Patent at Abstract, 1:15–17, 3:9–15).)
///// Plaintiff alleges that while the innovative systems of the ’834 Patent could be applied to many different crops, “some applications of the system are particularly adapted to improve the growing of grapevines in a vineyard.” ( Id. (citing ’834 Patent at Abstract, 3:9–10, 3:52–55).) “The systems and methods disclosed and claimed in the ’834 patent provide significant advantages in such an environment, where smart automation reduces the high cost of vine growth management, and where soil and vine growth variability need to be addressed to improve yield and fruit quality.” ( Id. (citing ’834 Patent at Abstract, 6:19–26).)
An example configuration of the ’834 Patent “contains various types of in-field sensors . . . and emitters . . . for dispensing water and other materials. In addition to real-time data from the in-field sensors, the controller [] of the example system also can receive and utilize external data from a number of sources .” ( Id. ¶ 26 (emphasis added).) The “external data” in the invented system can include “remotely sensed weather data, evapo-transpiration coefficients, crop development data, and other information.” ( Id. (citing ’834 Patent at Abstract, 5:1–9).) “Sensor and external data can be processed through a number of advanced modeling techniques described in the patent.” ( Id. (citing ’834 Patent at Abstract, 5:10–35).) “This data and modeling are then used as inputs into the automated, fine-grained control of the variable rate irrigation and nutrient application system.” ( at Figure 1.)
Claim 1 of the ’834 Patent recites:
1. An apparatus for dispensing materials to vegetation, the apparatus comprising:
a conduit having a channel, wherein the channel is positioned in proximity to the vegetation; an outlet coupled to the channel for conveying a material from the channel to the vegetation under the control of a central controller, wherein the central controller is responsive to external data for controlling material dispersing from one or more emitters in fixed proximity to the vegetation; one or more sensors in fixed proximity to the vegetation, wherein each sensor is associated with one or more particular ///// /////
plan[t] [2] in the vegetation, wherein signals from me [sic] sensors are transmitted to a central control system and are used to control conveyance of the material to the vegetation.
’834 Patent at 8:62–9:10.
Claim 15 of the ’834 Patent recites:
15. A method for dispensing materials to vegetation, wherein one or more sensors for sensing a growth condition of the one or more plants are in fixed proximity to the one or more plants, wherein each sensor is associated with one or more particular plan[t] in the vegetation, the method comprising:
obtaining external data for controlling material dispensing; using a controller to receive signals from at least one of the sensors; and
using the controller to control dispensing of a material via the one or more emitters in response to the external data.
Id. at 10:16–26.
Plaintiff alleges that the inventions of the ’834 Patent presented an “important advance from existing vineyard drip irrigation systems at the time, which were manually controlled or were automated in simplistic ways with a timer or computer.” ( Id. ¶ 27 (citing ’834 Patent at 1:29–38).) The existing systems “did not ‘provide a high level of automation’ like the systems of the [’834 Patent], and did not address soil variability problems by ‘selectively provid[ing] different amounts of water to different plants’ or plant areas.” ( Id. (citing ’834 Patent at 1:39– 44).) Moreover, plaintiff contends the ’834 Patent provided “new and unconventional ways to automatically integrate ‘sophisticated information’ about plant sizes, weather conditions and forecasts, and soil conditions—which previously had only been used in the growing process, if at all, via ‘human intervention’ that was ‘prone to errors and inefficiencies.’” ( (citing ’834 Patent at 1:44–57).) Plaintiff avers that “Dr. Skinner’s patented innovations advanced the field and solves these and other problems in the prior art—including through his use of real-time sensor and external data, processed according to various agricultural models, as control inputs to a variable rate irrigation system.” ( Id. (citing ’834 Patent at 8:13–22).)
Plaintiff asserts that Dr. Skinner understood at the time he developed his inventions that the “sophisticated sensor and external data to automate vineyard management would have significant positive effects and would be extremely valuable to growers.” ( Id. ¶ 28.) For example, “Dr. Skinner knew that properly adjusting water and chemical application in response to weather data, soil moisture data, and other information can prevent crop failure, improve crop quality and yield, and save growing and harvesting costs.” ( Id. (internal citation omitted).) Additionally, the “patented systems and methods provide the benefit that ‘delivery of materials can be more precisely directed to where it is needed,’” resulting in improvements in yield and grape quality because “each vine receives a more accurate and effective application of nutrients,” further resulting in the ability to grow and sell more grapes at higher prices for those high quality grapes. ( Id. ¶¶ 28–29.) Plaintiff contends this invention was particularly valuable in “drought- prone growing regions where water costs are a significant factor to profitability.” ( Id. ¶ 30.) D. The ’810 Patent
The ’810 Patent is entitled “System for Automated Monitoring and Maintenance of Crops Including Sensors and Emitters Associated with Plants.” ( Id. ¶ 31.) Plaintiff alleges the ’810 Patent “was duly and lawfully issued by the USPTO on September 20, 2005.” ( Id. ) Plaintiff asserts it is the owner of all right, title, and interest in the ’810 Patent. ( Id. )
The ’810 Patent claims inventions relate to the overall system described in the ’834 Patent and “includes specific claims relating to use of in-field sensors providing inputs to the smart automated control system.” ( Id. ¶ 32 (citing ’810 Patent at 9:28–41 (claim 2)).) “These in-field sensors can be attached to the conduit providing water and/or other nutrients.” ( Id. (citing ’810 Patent at 3:24–31).) “They can also be placed at other locations in the vineyard, such as for soil nutrient and moisture monitoring sensors that may need ground contact.” ( (citing ’810 Patent at 5:46–51).) “The [’810 Patent] also discloses that the control for the system can be centralized or distributed, and that control can be associated with individuals or groups of sensors and emitters in order to assess and respond to variability in the vineyard.” ( Id. (citing ’810 Patent at 5:52–67).)
Claim 2 of the ’810 Patent recites:
2. A system for application of a material to a plurality of plants, the system comprising:
a plurality of sensors, wherein each sensor is associated with, and in fixed proximity to, one of the plants; a control system coupled to one or more of the sensors for receiving a signal from the sensors;
emitters for emitting the material to a plant, wherein each emitter is associated with, and in fixed proximity to, one of the plants; and a control system for controlling emission of the material to a particular plant via the particular plant’s associated emitter in response to a signal from the particular plant’s associated sensor. ’810 Patent at 9:28–41.
According to plaintiff, the inventions claimed in the ’810 Patent “improved on the prior art and provided the same benefits as discussed above with respect to the ’834 Patent.” ( Id. ¶ 33.) Plaintiff alleges that “[i]ndividually and together, the claimed inventions provide new and unconventional techniques for intelligent monitoring and management of crops such as grapevines—and do so by enabling the system to variably and ‘accurately control the dispensing of water’ and other chemicals and nutrients.” ( Id. (citing ’810 Patent at Abstract).) E. The Alleged Theft
At an unspecified time after plaintiff obtained patents on Dr. Skinner’s inventions, plaintiff and Dr. Skinner discussed and advertised the benefits of the inventions to winemaking professionals, including defendant’s executives and viticulturists. ( ¶ 34.) Plaintiff alleges that defendant then began infringing the Asserted Patents as early as 2013. ( Id. ¶ 47.)
LEGAL STANDARDS
A. General Patent Concepts
A patent must “describe the exact scope of an invention and its manufacture to secure to
[the patentee] all to which he is entitled, [and] to apprise the public of what is still open to them.”
See Markman v. Westview Instruments, Inc
.,
B. Motions to Dismiss for Patent Eligibility
Under Rule 12(b)(6) of the Federal Rules of Civil Procedure, a defendant may move to
dismiss a cause of action where the plaintiff has failed to “state a claim upon which relief can be
granted.” Fed. R. Civ. P. 12(b)(6);
see also Bell Atl. Corp. v. Twombly
,
Pursuant to statute, “[a] patent shall be presumed valid.” 35 U.S.C § 282. Generally, “[a]
party seeking to establish that particular claims are invalid must overcome the presumption of
validity in 35 U.S.C. § 282 by clear and convincing evidence.”
State Contracting & Eng’g Corp.
v. Condotte Am., Inc.
,
Assuming without holding that the heightened clear and convincing standard does not
apply, “[d]efendant’s burden in seeking to dismiss plaintiff’s claims based on patent ineligibility
is high because of the Patent’s presumptive validity.”
Boar’s Head Corp. v. DirectApps, Inc.
, No.
2:14-cv-01927-KJM-KJN, at *3 (E.D. Cal. July 28, 2015) (citing
CLS Bank Int’l v. Alice Corp.
Pty.
,
C. Section 101
“Section 101 defines the subject matter that may be patented under the Patent Act.”
Bilski
v. Kappos
,
However, the Supreme Court has also recognized that because “all inventions at some
level embody, use, reflect, rest upon, or apply . . . abstract ideas,” this exclusionary principle
cannot be so broad as to make something un-patentable simply because it involves, at some level,
an abstract concept.
Mayo
,
DISCUSSION
In moving to dismiss the complaint in this action, defendant argues that the claims in the Asserted Patents are not patent-eligible under 35 U.S.C. § 101. Defendant argues that the claims are directed to an abstract idea and lack an inventive concept. (Doc. No. 13 at 10.) Defendant also contends that the “abstract idea is delivering water and chemicals to a plant as needed—an activity humans have performed for a long time . . ..” ( Id. at 10, 16.) Defendant further argues that the claims “lack an inventive concept because the claims merely automate the abstract idea using generic computers and conventional irrigation equipment components, and do not claim or disclose any improvements in the computer itself or those components.” ( Id. ) In other words, defendant argues that the “patents simply use a generic computer ( i.e. , control system) and known equipment working conventionally ( i.e. , sensors and emitters) to automate routine irrigation tasks humans have been performing for decades, if not centuries.” ( at 14.) Defendant also asserts that Claim 2 of the ’810 Patent is representative of all the claims in the Asserted Patents.
Plaintiff counters by arguing that defendant has failed to meet its burden of proving patent-ineligibility by clear and convincing evidence. (Doc. No. 17 at 4.) Specifically, plaintiff contends: 1) patents are presumptively valid ( id. at 4–6); 2) improved agricultural systems, including the ones at issue here, are routinely found to be patent eligible ( id. at 12–15); 3) whether claimed inventions are unconventional is a question of law inappropriate for resolution by way of motion to dismiss brought pursuant to Rule 12(b)(6) ( id. at 15–18); 4) defendant failed to meet its burden proving that Claim 2 of the ’810 patent is representative of all the Asserted Claims ( id. at 18–20); 5) defendant has ignored the requirement to consider the claims as ordered combinations ( id. at 20–21); 6) defendant has failed to show claim construction is unnecessary ( id. at 21–23); and 7) the Asserted Patents are patent-eligible ( id. at 23–31).
A. Claim Construction
As a threshold matter, the court must determine whether a claim construction hearing is
necessary in connection with the pending motion. The purpose of claim construction is to
determine the meaning and scope of the patent claims asserted to be infringed.
Oplus Techs., Ltd.
v. Sears Holding Corp
., No. 12-cv-5707-MRP,
“Patent eligibility under § 101 is a question of law that may, in appropriate cases, be
decided on the pleadings without the benefit of a claims construction hearing.”
Earthlink
, 2015
WL 1239992, at *6 (citing
Content Extraction & Transmission LLC v. Wells Fargo Bank, Nat.
Ass’n
,
Based on the undersigned’s review of the claims at issue in this case, the Asserted Patents
concern the relatively non-technical concepts of sensors, external data sources, control systems,
and emitters, which do not appear to be so “opaque such that claim construction would be
necessary to flush out [their] contours” before determining whether the claims are patent eligible.
See Lumen View Tech. v. Findthebest.com, Inc.
,
B. The Alice/Mayo Two-Part Test
The Supreme Court has established a two-step process for resolving § 101 patent
eligibility issues.
Alice
,
The Supreme Court “has not established a definitive rule to determine what constitutes an
‘abstract idea’ sufficient to satisfy the first step of the
Mayo/Alice
inquiry.”
Enfish, LLC v.
Microsoft Corp.
,
C. Patent Eligibility Under § 101
1. Step One of the Alice/Mayo Test
Under the first step of the
Alice/Mayo
test, the court must determine whether the claim at
issue is directed to a “patent-ineligible concept,” including an abstract idea.
See Alice
, 573 U.S.
at 217. When engaging in the first step analysis, courts should not “oversimplif[y]” key inventive
concepts or “downplay” an invention’s benefits.
Enfish
,
Defendant cites the following language from the Asserted Patents: the invention
“automat[es] the growing of crops, such as grapevines,” using “data from sensors local to a
vineyard . . . combined with a control system to accurately control the dispensing of water and
chemicals such as insecticides, disease prevention materials and fertilizers.” (Doc. No. 13 at 18
(quoting ’810 Patent at 3:16–22; ’834 Patent at 3:7–15).) Defendant argues that this language
represents an abstract idea because it is directed to both a “longstanding activity (humans for
centuries have been adjusting the amounts of water and fertilizer provided to plants based on
seeing how well they are growing or the weather) and a fundamental business practice (collecting,
processing, and analyzing data), automated using only generic components.” (Doc. No. 13 at 18–
19 (citing
Valmont Indus., Inc. v. Lindsay Corp.
, No. 15-42-LPS,
In opposition to defendant’s contention in this regard, plaintiff argues that improved
agricultural systems much like the ones plaintiff asserts here are routinely held to be patent
eligible and are not directed to an abstract idea. (Doc. No. 17 at 12–15, 19–28 (citing
Capstan
AG Sys. v. Raven Indus., Inc.
,
The court finds defendant’s argument unpersuasive because it is based on an
oversimplification of the Asserted Patents. In
Capstan AG
, the asserted patents were “directed to
an improved system and method for dispensing controlled amounts of liquid agricultural product
through a plurality of valves that [were] individually controlled or controlled in groups.”
Capstan
AG
,
In
Agri-Labs
, the asserted patent involved a method and system for soil sampling to
determine nutrient levels across various areas in fields.
See Agri-Labs
,
Here, the ’834 Patent contains various types of in-field sensors and emitters for dispensing water, fungicide, pesticide, and other materials to one or more plants while using real-time data from in-field sensors and external data sources. (’834 Patent at Fig. 1; 5:1–9, 5:10–35.) Both the localized sensor and external data can be processed through advanced modeling techniques described in the patent. [3] ( See id. at 5:10–35.) “The data and modeling are then used as inputs into the automated, fine-grained control of the variable rate irrigation and nutrient application system.” ( See e.g. , id. at Fig. 1, 5:42–57 (“This is useful where different parts of a vineyard need different degrees of irrigation”), 3:9–15 (“Combinations of data from sensors local to a vineyard, and from optional remote stations and sensors, is combined with a control system, to accurately control the dispensing of water and chemicals such as insecticides, disease prevention materials, and fertilizers”); Doc. No. 1 ¶ 26.)
The Asserted Patents claim that they made specific improvements to the existing vineyard
drip irrigation systems that existed at the time, which were manually controlled or automated with
timers or computers. (
See
’834 Patent at 1:29–38, 42–44 (“it is difficult to selectively provide
different amounts of water to different plants, or even plant rows or areas”).) As plaintiff argues,
“[s]uch prior systems did not ‘provide a high level of automation’ like the systems of the patented
invention, and did not address soil variability problems by ‘selectively provid[ing] different
amounts of water to different plants’ or plant areas.” (Doc. No. 17 at 25 (citing ’834 Patent at
1:39–44; Doc. No. 1 ¶ 27).) Accepting the claims as true, the Asserted Patents here, like those in
Capstan AG
and
Agri-Labs
, are directed to improve a system and method for the precise
dispensing of water, fungicide, pesticide, and other chemicals to individual plants, in different
areas of agricultural fields, in ways that were previously unavailable.
See Capstan AG
, 228 F.
Supp. at 1239, 1241, 1244–46;
Agri-Labs
,
The court has reviewed the cases that defendant relies upon in support of its argument and
finds that they are distinguishable. In
Valmont
, for instance, the district court held that the
asserted patent which involved the use of a hand-held portable device to remotely display and
control irrigation systems was patent-ineligible.
Valmont
,
In
BSG Tech
, the Federal Circuit held that patents related to systems and methods for
indexing information stored in “wide access” databases were patent-ineligible, reasoning that
“methods of organizing human activity” are abstract.
[The claimed invention] amounts to having users consider previous item descriptions before they describe items to achieve more consistent item descriptions. Whether labeled as a fundamental, long-prevalent practice or a well-established method of organizing activity, this qualifies as an abstract idea. See also CyberSource Corp. v. Retail Decisions, Inc .,654 F.3d 1366 , 1372–73 (Fed. Cir. 2011) (holding that a claim whose “steps can be performed in the human mind, or by a human using a pen and paper” is directed to an “unpatentable mental process[ ]”).
Id .
Here, however, the Asserted Patents do more than merely perform steps that could be accomplished within the human mind or by a human using pen and paper. The Asserted Patents include elements of physical technology, including the use real-time in-field sensors and external data sources to provide the precise delivery of water and certain chemicals to individual plants in different areas of fields as they require. ( See id. at Fig. 1, 5:42–57, 3:9–15; Doc. No. 1 ¶ 26.) As such, BSG Tech does not support defendant’s motion to dismiss in this case.
In
Smart System Innovations
, the Federal Circuit held that patent claims related to a
computerized mass transit payment system were patent ineligible.
For these same reasons, the court finds the decisions in
Content Extraction
and
In re TLI
Communications
, relied upon by defendant, to be distinguishable from this case.
See Content
Extraction
,
2. Step Two of the Alice/Mayo Test
Even assuming, arguendo, that the ’834 Patent is directed to an abstract idea, the
undersigned concludes that in moving to dismiss the complaint defendant has not met its burden
of establishing that the elements of the ’834 Patent, alone
or in combination
, do not contain an
“inventive concept” sufficient to “transform the nature of the claim” from a purported abstract
idea into a patent-eligible application.
Alice
,
“The second step of the
Alice
test is satisfied when the claim limitations involve more than
performance of well-understood, routine, [and] conventional activities previously known to the
industry.”
Berkheimer v. HP, Inc.
,
Defendant argues that the Asserted Claims fail step two for the following reasons: 1) the Asserted Claims do not provide an inventive concept because the claim elements “merely automate a process otherwise performed by humans, using only generic of functionally described generic components operating conventionally” (Doc. No. 13-1 at 17); 2) the “control system” limitations fail to supply an inventive concept because they are simply generic computer components (essentially akin to processors, interfaces, memory, and data that perform basic computing functions without describing any specialized or innovative hardware or software ( id. at 18–20); 3) the “sensor” limitations fail to supply an inventive concept because they are merely generic sensors operating conventionally and do not comprise technological improvements over known sensors, citing three other patents ( id. at 20–24); 4) the “sensor” limitations further fail to supply an inventive concept because the specifications contain no details of how the sensors can be implemented ( id. at 23); and 5) the “emitter” limitations fail to supply an inventive concept because they are merely generic emitters operating conventionally ( id. at 24–25).
In response, plaintiff argues that: 1) defendant fails to consider plaintiff’s claims “as a whole” in light of their claimed advances and specific improvements over existing systems; 2) defendant’s arguments raise questions of fact unsuitable for resolution a motion to dismiss; and 3) use of the external data inputs were inventive and helped solve problems in the prior art. (Doc. No. 17 at 29.)
The court agrees that the question of whether each of the claim elements of the Asserted
Patents (including the control systems, sensors, or emitters), were well-understood, routine, and
conventional at the time of the invention, is a question of fact that is not suitable for resolution by
way of a motion to dismiss. This is particularly true where plaintiff’s complaint (including the
Patents themselves), plausibly alleges facts that would satisfy the second step of
Alice
.
[4]
See
Cellspin Soft, Inc.
,
In any event, the court finds merit in plaintiff’s argument that defendant has failed to adequately acknowledge that each claim in the ’834 patent incorporates external data and appears to use that data, in combination with the in-field sensors, to provide precise watering, pesticide, /////
/////
/////
/////
/////
/////
and other chemicals to the individual plants based on their needs. [5] At the pleadings stage, plaintiff’s plausible assertion that such improvements were not available in the prior art is sufficient. (Doc. No. 17 at 29–31; see also Doc. No. 1 ¶ 33.) For example, the ’834 Patent states: “While such irrigation systems have been proven effective, they do not provide a high level of automation” and “require[] much human participation and [are] prone to errors and inefficiencies.” [6] (’834 Patent at 1:29–57.) Moreover, the “invention provides more accurate timing of applications and better coverage of the vines, resulting in better disease management— one of the primary factors of quality and yield.” (’834 Patent at 6:19–27; see also Doc. No. 1 ¶ 33.) The ’834 Patent further provides:
By using the system of the present invention, efficiencies not possible in the prior art can be realized. The control system can accurately measure the pressure and volume of delivery of water and chemicals. The delivery of materials can be more precisely directed to where it is needed. The delivery is also performed as needed so care of the crops is more accurate and effective and there is less waste. No human intervention is necessary. Heavy mechanical devices are eliminated at a concomitant savings in fuel and maintenance costs. (’834 Patent at 8:13–22.) Accepting plaintiff’s allegations as true, as the court must on a motion to dismiss, the complaint and the patent claims, considered as a whole, sufficiently state an inventive concept. Defendant’s motion to dismiss the complaint therefore fails step two of the Alice/Mayo test as well.
3. Representative Claims
Defendant’s arguments mainly relate to the patent ineligibility of Claim 2 of the ’810 Patent, which defendant argues is “representative” of the Asserted Claims. (Doc. No. 13-1 at 10 n.2.) Plaintiff disputes the representativeness of Claim 2. (Doc. No. 17 at 18–20.)
A court “need not expressly address each asserted claim where the court concludes that
particular claims are representative because all the claims are ‘substantially similar and linked to
the same abstract idea.’”
Voip-pal.com, Inc. v. Apple Inc.
,
CONCLUSION
For the reasons set forth above, defendant’s motion to dismiss (Doc. No. 13) is denied.
IT IS SO ORDERED.
Dated: December 30, 2020
UNITED STATES DISTRICT JUDGE
Notes
[1] The undersigned apologizes for the excessive delay in the issuance of this order. This court’s overwhelming caseload has been well publicized and the long-standing lack of judicial resources in this district has reached crisis proportion. Unfortunately, that situation sometimes results in the court not being able to issue orders in submitted civil matters within an acceptable period of time. This situation is frustrating to the court, which fully realizes how incredibly frustrating it is to the parties and their counsel.
[2] Based upon a review of the ’834 Patent and ’810 Patents, the court assumes the use of the term “plan” in Claim 2 of the ’834 Patent was a typographical error and that the Patent intended to use the term “plant.” The same apparent typographical error occurs in Claim 15 of the ’834 Patent in a similar context. However, Claim 2 of the ’810 Patent references “a plurality of sensors, wherein each sensor is associated with, and in fixed proximity to, one of the plants.” The language in the ’810 Patent strongly suggest that the drafter(s) intended to use the term “plant” in the ’834 Patents. Even if the court is incorrect in this assumption, the distinction does not appear to be material to resolution of the pending motion.
[3] Plaintiff provides several examples of the modeling techniques, including through entering 26 external data manually, receiving external data automatically via a communication link or a network such as the Internet, and using sensor data in combination with methods that are 27 described in certain academic papers regarding the control of irrigation and application of other 28 chemicals and materials. ( See ’834 Patent at 5:10–35.)
[4] Defendant argues that the sensors were conventional at the time of the invention, citing the
Hall, Douglas, and Reusch patents (
see
Doc. No. 13-1 at 22 n.6). While the court may take
judicial notice of the patents as matters of public records,
see Advanced Steel Recovery, LLC v. X-
Body Equipment, Inc.
, No. 2:16-cv-00148-KJM-EFB,
[5] For this same reason, the court finds the decision in
Neochloris, Inc. v. Emerson Process Mgmt.
LLLP,
[6] “[P]lausible and specific factual allegations [in the complaint] that aspects of the claims are
inventive are sufficient” for purposes of a motion to dismiss.
Cellspin Soft Inc.
, 927 F.3d at
1317–18 (holding that plaintiff “made specific, plausible factual allegations about why aspects of
its claimed inventions were not conventional,
e.g.
, its two-step, two-device structure requiring a
connection before data is transmitted” and district court erred by not accepting those allegations
as true) (citing
Aatrix
,
[7] “Erroneously determining that a claim is representative has constitutional consequences.”
Nice
25
Ltd. v. Callminer, Inc.
, No. 18-2024-RGA-SRF,