- CQV Co., Ltd. v. Merck Patent GmbHNo claims unpatentablePTAB · Oct 14, 2025 · PGR2021-00054 · APJ Kristina M Kalan · PGR · Remand
Claims 1–22 were not shown unpatentable because Sample C was not proven publicly available as prior art, and the original decision found the remaining grounds insufficient.
RulingsRemand decision- Novelty / Anticipation (§102) › Prior-art status of a reference › Printed publication / public accessibilityPrinted publication not establishedNot shown unpatentable
“We agree with Patent Owner that Petitioner’s evidence in Kuntz (Ex. 1026), the Annual Report (Ex. 1028), Masuko (Ex. 1029), and Pfaff (Ex. 1034) is insufficient to show that Xirallic® Sample C was available to the public before the effective filing date of the ’861 patent. Petitioner has not asserted, nor do we find, that any of these documents refer to or describe the lot of Xirallic® from which Sample C was taken. See Final Dec. 26. Kuntz, the Annual Report, Masuko, and Pfaff may support a finding that the Xirallic® line of products was available to the public, but these documents do not support a finding that the lot of Xirallic® from which Sample C was taken was available to the public. We also agree with Patent Owner that the Technical Data Sheets (Exs. 1005–1010), Certificates of Analysis (Exs. 1011–1017), and Material Safety Data Sheet (Ex. 1025) are insufficient to show that Xirallic® Sample C was available to the public. Petitioner has not asserted, nor do we find, that any of these documents refer to or describe the lot of Xirallic® from which Sample C was taken. See Final Dec. 26–27. Regardless of how the Technical Data Sheets were used in the Opposition against the European counterpart of the ’861 patent (Exs. 1040, 1041) and during the prosecution of the application from which the ’861 patent issued (Ex. 1003, 102–104), the Technical Data Sheets do not refer to or describe the lot of Xirallic® from which Sample C was taken. Moreover, as noted by Patent Owner, the Technical Data Sheets (Exs. 1005–1010) indicate that they are “preliminary” and Petitioner has not provided any evidence that the Technical Data Sheets were ever issued to the public, as opposed to just issued internally. See PO Resp. 18–19. We also find persuasive Patent Owner’s argument that the Technical Data Sheets are preliminary because other, later-dated technical data sheets (Exs. 2012, 2013) lack the “preliminary” label and list characteristics that are different from those in Exhibits 1005–1010. See PO Resp. 19 (comparing, e.g., Ex. 1009 and Ex. 2013; Ex. 1005 and Ex. 2012). The Technical Data Sheets may support a finding that the Xirallic® products they describe existed as of the dates on the documents, but they do not support a finding that the lot of Xirallic® from which Sample C was taken was available to the public.” slip op. at 20
- Expert testimonyPetitioner expert discountedPatent owner expert creditedOther
“witnesses. See Elbit Systems of Am., LLC v. Thales Visionix, Inc., 881 F.3d 1354, 1358 (Fed. Cir. 2018) (citing Trs. of Columbia Univ. v. Illumina, Inc., 620 F. App’x 916, 922 (Fed. Cir. 2015); Inwood Labs., Inc. v. Ives Labs., Inc., 456 U.S. 844, 856 (1982)). We have reviewed the witness testimony in the record and, more particularly, Mr. Choi’s deposition answers regarding Petitioner’s purchase of the lot of Xirallic® from which Sample C came. We find that Mr. Choi’s responses cast doubt on the credibility of his declaration testimony, namely with regard to the public availability of Sample C. Mr. Choi represented that he was involved in the purchase of the lot of Xirallic® from which Sample C was taken. Ex. 2011, 48:1–23. Mr. Choi stated that he instructed Petitioner’s marketing team manager to buy the sample from a distributor of Patent Owner’s products located in Europe. Id. at 48:24–49:4. Mr. Choi stated that he has evidence of the transaction, but refused to reveal the name of the company from which Petitioner purportedly purchased the lot of Xirallic® (id. at 49:5–50:3) and refused to produce an email in his possession that would corroborate his testimony regarding Petitioner’s acquisition of the product (id. at 50:8–16, 51:10–23). Mr. Choi represented that he does not remember how much Petitioner paid for Sample B. Id. at 56:4–5. Mr. Choi admitted that the entity from which Petitioner acquired the lot of Xirallic® from which Sample C was taken is “not currently a Merck distributor” (Ex. 2011, 50:4–7) and was not “a Merck distributor at the time” that “samples B and C were purchased” (id. at 51:25–52:2). According to Mr. Choi, the company is a “former distributor” of Patent Owner’s products. Id. at 52:3–6. Mr. Choi did not know, according to his testimony, when that unnamed entity first obtained the lot of Xirallic® (id. at 52:7–10) and he stated that he did not have personal knowledge of how the entity obtained the lot of Xirallic® (id. at 52:12–19). Instead, Mr. Choi assumed the entity was “able to obtain the sample through the routine course or process” the entity uses “to take samples or get samples.” Id. at 52:12–19. Mr. Choi believed the sample of Xirallic® from which Sample C was taken was sealed when Petitioner received it because samples from dealers are sealed, and he remembered observing that the package was from a dealer. Id. at 52:24– 54:25. However, Mr. Choi admitted that he did not obtain a technical data sheet or certificate of analysis for the lot of Xirallic® from which Samples B and C were taken. Id. at 59:6–11. Mr. Choi also answered questions regarding Petitioner’s purchase of Samples D and H. Ex. 2011, 62:20–66:8, 67:7–9, 73:12–13, 73:17–22. Similar to his testimony regarding Samples B and C, Mr. Choi admitted withholding an email regarding the purchase of the lot of Xirallic® from which Sample D was taken. Id. at 62:20–63:9. Mr. Choi also admitted that he did not know how Akzo USA or Axalta obtained the Xirallic® the companies sold to him, and admitted that Akzo USA was not a distributor of Patent Owner’s products at the time Petitioner purchased the product. Id. at 63:10–66:8, 73:17–22. Mr. Choi also admitted that Petitioner did not pay Akzo USA for the lot of Xirallic® from which Sample D was taken, and did not pay Axalta for the lot of Xirallic® from which Sample H was taken. Id. at 67:7–9, 73:12–13. Although Petitioner presents declaration testimony from Mr. Choi representing that he purchased the lot of Xirallic® from which Samples B and C were taken in October 2011 (Ex. 1004 ¶ 16), Mr. Choi’s declaration testimony lacks corroborating evidence, and his deposition testimony does not support that the product was available to the public, as we found in our Final Written Decision. See Final Dec. 27–28. Notably, Petitioner produced corroborating evidence for Mr. Choi’s acquisition of Samples A, H, and I. See Ex. 1004 ¶¶ 13 (citing Ex. 1047), 18 (citing Exs. 1024, 1025). However, Mr. Choi withheld similar evidence for the Xirallic® lots from which Samples B, C, and D were taken. See Ex. 2011, 50:8–16, 51:10–23, 62:20– 63:9; Final Dec. 28. As Patent Owner argues, there is “no information to determine when a contract was established, that there was consideration for the exchange, that the product was available to be delivered when the alleged transaction took place, or even when the product was delivered. Choi has no memory of what was paid for the product.” Sur-Reply 24–25; see also PO Resp. 13–14; PO Br. Rem. 2–4.” slip op. at 34
- Obviousness (§103) › Graham factors (scope of art, differences, level of skill)Not shown unpatentableNot shown unpatentable
“Based on the evidence discussed above, we are not persuaded that Petitioner has shown by a preponderance of the evidence that Sample C was available to the public. Regardless of whether a company avoids wasting shelf life of its products (Ex. 1004 ¶¶ 15–16), there is no persuasive evidence in the record showing that the lot of Xirallic® from which Sample C was taken was released from quality control and then made available to the public by Patent Owner. Mr. Choi’s testimony shows that Petitioner obtained the lot of Xirallic® from which Sample C was taken in an atypical manner (i.e., not from Patent Owner or one of Patent Owner’s current distributors) (Ex. 2011, 49:5–50:7, 50:8–16, 51:10–23, 51:25–52:6, 52:12– 19), and there is no evidence in the record to show that the lot of Xirallic® was intended for sale, rather than for experimental use only or for some other restricted use. Accordingly, we determine Petitioner has not demonstrated by a preponderance of the evidence that Sample C qualifies as prior art against the ’861 patent, and we determine that Petitioner has not shown by a preponderance of the evidence that the ’861 patent is unpatentable over the grounds relying on Sample C.” slip op. at 38
Patent outcomesUS 10,647,861 not shown unpatentable§ 102 anticipation§ 103 obviousnessPatents in suitUS 10,647,861 - Solus Advanced Materials Co., Ltd. v. SK Nexilis Co., Ltd.Rehearing deniedPTAB · Oct 7, 2025 · IPR2024-01462 · APJ Jo-Anne M Kokoski · IPR · Rehearing
The Board denied Solus’s rehearing request, leaving institution denied for claims 1–8 because the petition did not adequately show motivation to combine Hanafusa and Dobashi.
RulingsRehearing decision- RehearingRehearing, deniedDenied
“of the decision de novo, but instead review the decision for an abuse of discretion. 37 C.F.R. § 42.71(c). An abuse of discretion may be determined “if a decision is based on an erroneous interpretation of law, if a factual finding is not supported by substantial evidence, or if the decision represents” slip op. at 2
- Obviousness (§103) › Motivation to combine / reasonable expectation of successNot shown unpatentableMotivation not foundNot shown unpatentable
“In particular, neither Petitioner nor Dr. Josefowicz adequately explain why a POSITA looking for ways to make Hanafusa’s surface roughness low-profile would look to methods to achieve Dobashi’s RSm values. Dobashi teaches that because RSm “can be adopted as the period of waviness, RSm can also be used as an indicator for judgment of the surface.” Ex. 1005, 2:66–3:1, 6:23–26. Dobashi explains that waviness is “an indicator for determining whether the fine pattern forming performance is good or bad,” and “[t]he surface has small waviness and is smooth when RSm is large, and the surface has large waviness Dobashi also teaches that surface roughness Rzjis is used as a low-profile indicator. Ex. 1005, 2:66–3:1. Dobashi, therefore, teaches that RSm is an indicator of surface waviness, which Dobashi explains is different than surface roughness. Id. at 2:66– 3:3, 6:23–29. Given these teachings in Dobashi, neither Petitioner nor Dr. Josefowicz sufficiently explains how or why a POSITA would have been motivated to implement Dobashi’s RSm values to make Hanafusa’s surface roughness low-profile. See Pet. 10–12; Ex. 1003 ¶¶ 46–52.” slip op. at 4
§ 103 obviousnessPatents in suitUS 11,346,014 - Solus Advanced Materials Co., Ltd. v. SK Nexilis Co., Ltd.Rehearing deniedPTAB · Oct 7, 2025 · IPR2024-01461 · APJ Jo-Anne M Kokoski · IPR · Rehearing
The Board denied rehearing and left in place its denial of institution because Petitioner did not show that claims 1–10 were likely obvious over the asserted combinations.
RulingsRehearing decision- RehearingRehearing, deniedDenied
“II. STANDARD OF REVIEW When rehearing a decision on institution, we do not review the merits of the decision de novo, but instead review the decision for an abuse of discretion. 37 C.F.R. § 42.71(c). An abuse of discretion may be determined “if a decision is based on an erroneous interpretation of law, if a factual finding is not supported by substantial evidence, or if the decision represents an unreasonable judgment in weighing relevant factors.” Arnold Partnership v. Dudas, 362 F.3d 1338, 1340 (Fed. Cir. 2004) (citing In re 1 US 2013/0108922 A1, published May 2, 2013 (Ex. 1004, “Shinozaki”). 2 G. Khatibi, Temperature Dependent Elastic and Thermal Properties of Thin Copper Foils, Copper; Proceedings of the International Conference Copper ’06 (2006) (Ex. 1006, “Khatibi”). 3 Korean Patent Pub. No. 10-2012-0003485, published Jan. 10, 2012 (Ex. 1013; Ex. 1014 (English translation), “Toshio”). 4 US 2013/0108887 A1, published May 2, 2013 (Ex. 1012, “Kim”). 5 Griesi, M.B., Characterization of Electrodeposited Copper Foil Surface Roughness for Accurate Conductor Power Loss Modeling (2014) (Master’s Thesis, University of South Carolina) (Ex. 1015, “Griesi”). rehearing has the burden to show that the decision should be modified. 37 C.F.R. § 42.71(d). Additionally, the request for rehearing “must specifically identify all matters the party believes the Board misapprehended or overlooked, and the place where each matter was previously addressed in a motion, an opposition, or a reply.” Id.” slip op. at 2
- PTAB / AIA Trials › Institution threshold (reasonable likelihood / more likely than not)Not shown unpatentable
“For example, Dr. Randall does not provide adequate explanation or objective evidence to support his opinion that Khatibi’s use of a laser speckle based dilatometer instead of the claimed thermomechanical analyzer “is unlikely to significantly impact the CTE[6] value” because “variations in equipment and a heating speed of 5° C/min would not significantly alter the results.” Ex. 1003 ¶ 58. In particular, Dr. Randall neither explains what constitutes a “significant” impact on CTE, nor provides objective evidence to support his contention that equipment variations and heating differences would not “significantly alter” the resulting measurements. And although Dr. Randall opines that “the heating rate (5°C per minute) is typical for certain devices” such as a thermomechanical analyzer or dilatometer, and “[t]ypically, these devices use temperature ramp rates between 2°C and 20°C per minutes, so the ‘5° C./min’ recited in [1d] is common and should not drastically affect the measurement results,” Dr. Randall fails to point us to any evidence showing that these temperatures are “typical” or that the claimed heating rate is “common.” Id. ¶ 59 (emphases added).” slip op. at 4
- Obviousness (§103) › Motivation to combine / reasonable expectation of successMotivation not foundNot shown unpatentable
“Petitioner, however, does not adequately explain why a POSITA would have been motivated to modify Kim’s copper foil surface to have a Pc value of 19.2 as reported in Griesi. In particular, neither Petitioner nor Dr. Randall points us to, nor do we discern, any teaching in Griesi that a peak count of 19.2 provides any particular benefits or properties that would have lead a POSITA to modify Kim’s copper foil surface as Petitioner proposes. Instead, Petitioner’s arguments that a POSITA would have been motivated to modify Kim’s copper foil surface with Griesi’s peak count patent itself. See KSR Int’l Co. v. Teleflex Inc., 550 U.S. 398, 421 (2007) (stating that the fact finder must be aware “of the distortion caused by hindsight bias and must be cautious of arguments reliant upon ex post reasoning”). It was Petitioner’s burden to establish that the combined teachings Kim and Griesi disclose limitation [1g] as proposed. We are not persuaded that we misapprehended Petitioner’s argument when we determined that Petitioner did not meet that burden.” slip op. at 8
- BurdenDecided for patent owner
“It was Petitioner’s burden to establish the Khatibi, alone or in combination with Shinozaki, Toshio, and Kim, discloses limitation [1d]. We concluded that Petitioner failed to meet that burden for the reasons explained in our Decision. We are not persuaded that we overlooked or misapprehended Khatibi’s disclosures, or Petitioner’s evidence and explanation thereof, in doing so.7” slip op. at 5
§ 103 obviousnesscites KSRPatents in suitUS 10,811,689 - PTAB · Sep 25, 2025 · IPR2025-00207 · APJ Gregg I Anderson · IPR · Director review
The Board instituted inter partes review of claims 1–7, 11–14, and 16–19 on all asserted grounds, finding a reasonable likelihood of success on at least one challenged claim.
RulingsDirector review decision- Director reviewDirector review, grantedGranted
“Petitioner filed a request for Director Review of the Decision granting Patent Owner’s request for discretionary denial and denying institution (“Decision,” Paper 10) and Patent Owner filed an authorized response. See Paper 121 (“DR Request”); Paper 13 (“Patent Owner Response”). The Director granted the DR Request and referred the Petition to the Board “to handle the case in the normal course, including by issuing a decision on institution addressing the merits and other non-discretionary considerations, as appropriate.” Paper 14 (“Order Granting Director Review”).” slip op. at 2
- PTAB / AIA Trials › Institution threshold (reasonable likelihood / more likely than not)InstitutedInstituted
“For the reasons stated below, we determine that Petitioner has established a reasonable likelihood that it would prevail with respect to at least one claim. See 35 U.S.C. § 314(a) (inter partes review may not be instituted unless “there is a reasonable likelihood that the petitioner would prevail with respect to at least 1 of the claims challenged in the petition.”) We therefore institute inter partes review as to all of the challenged claims of the ’228 patent and all of the asserted grounds of unpatentability. See SAS Inst. Inc. v Iancu, 584 U.S. 357, 364–65 (2018); 37 C.F.R. § 42.108 (a)” slip op. at 2
- Skill levelSkill level petitioner adoptedDecided for petitioner
“As noted above, Patent Owner did not file a Preliminary Response and thus does not respond at this time. Petitioner’s description is consistent with the prior art before us. See Okajima v. Bourdeau, 261 F.3d 1350, 1355 (Fed. Cir. 2001) (prior art itself may reflect an appropriate level of skill). For the purpose of our Decision, we adopt Petitioner’s proposal.” slip op. at 13
- Claim Construction › Intrinsic evidence (Phillips canons) › Plain and ordinary meaning to a POSITATerm construed board ownDecided for petitioner
“a “single caching agent,” which is recited in claim 1 here. ’1344 IPR, Paper 31 (“Final Written Decision”), 16–18. We concluded that a “‘single caching agent’ means ‘one caching agent for the processor, which may be formed from distributed portions.’” Id. at 18.” slip op. at 14
Claim constructioncites KSR · NautilusPatents in suitUS 8,984,228 - PTAB · Sep 22, 2025 · IPR2025-00954 · APJ Gregg I Anderson · IPR · Institution
The Board instituted review of claims 1–19 on all petition grounds and granted NXP’s motion to join the Samsung IPR, subject to stated conditions.
RulingsInstitution decision- PTAB / AIA Trials › Institution threshold (reasonable likelihood / more likely than not)InstitutedInstituted
“Because Petitioner presents substantively identical challenges to claims 1–19 of the ’886 patent based on the same prior art, evidence, and unpatentability theories in the Samsung IPR, Petitioner satisfies the “reasonable likelihood” standard for instituting trial for the same reasons the “reasonable likelihood” standard for instituting trial was satisfied in the Samsung IPR. See Samsung IPR Inst. Dec. 14–27.” slip op. at 6
- PTAB / AIA Trials › Joinder §315(c) / SAS all-or-nothingJoinder, grantedGranted
“For the reasons stated by Petitioner in the Motion, and in the absence of any opposition by Patent Owner, we agree that Petitioner’s joinder to the Samsung IPR is appropriate and will not materially affect the trial schedule for the Samsung IPR. See Mot. 6.” slip op. at 8
- PTAB / AIA Trials › §315(b) time barNot time barredDecided for petitioner
“2. Timeliness As discussed above, “[a]ny request for joinder must be filed . . . no later than one month after the institution date of any inter partes review for which joinder is requested.” 37 C.F.R. § 42.122(b). We instituted an inter partes review in the Samsung IPR on April 4, 2025. See Samsung IPR Inst. Dec. 1. Petitioner filed the Petition and Motion for Joinder on May 2, 2025. See P-TACTS, Filing Date Papers 1 (Pet.), 3 (Mot.). Under 37 C.F.R. § 42.122(b), Petitioner timely filed the Petition and Motion for Joinder. 3. Conclusion Whether the Petition Warrants Institution Because Petitioner (1) satisfies the “reasonable likelihood” standard for instituting trial; and (2) timely filed the Petition and the Motion for Joinder, the Petition warrants the institution of an inter partes review.” slip op. at 7
NonePatents in suitUS 7,745,886 - Interactive Communications International, Inc. v. Blackhawk Network Inc.All claims unpatentablePTAB · Jul 14, 2025 · IPR2024-00465 · APJ Bart A Gerstenblith · IPR · Final written decision
Claims 1–24 are unpatentable: claims 1–10 and 12–24 as obvious over Szrek and Llach, and claim 11 as obvious over Szrek, Llach, and Gilmore.
RulingsFinal written decision- Skill levelSkill level board ownDecided for petitioner
“B. Level of Ordinary Skill in the Art Petitioner proposes that the level of ordinary skill in the art is an artisan with a working knowledge of POS activation systems and lottery systems that was gained through a mixture of training and work experience in the relevant field such as (i) having a Bachelor’s degree in computer science, computer communications, electrical engineering, or equivalent degree, coupled with at least three years of work experience; (ii) having a Master’s degree in computer science, computer communications, or electrical engineering, but having less work experience; or (iii) having no formal degree, but having experience in the relevant field of at least six years of work experience. Pet. 2–3 (citing Ex. 1003 ¶¶ 13–14).9 Patent Owner states that, “[f]or the purpose of this proceeding, Patent Owner adopts the Petition’s proposed definition of the level of ordinary skill in the art.” PO Resp. 19 (citing Pet. 2–3). We find that the parties’ agreed-upon level of ordinary skill in the art is consistent with the level of ordinary skill in the art reflected by the ’451 patent and the prior art of record. See Inst. Dec. 14; see Okajima v. 9 Petitioner proposes the same level of ordinary skill in the art that the Board adopted in PGR2020-00084 (Pet. 2–3 (citing Ex. 1008, 11)), and IPR2023- 01235 (see IPR2023-01235, Paper 34 at 12–13). Bourdeau, 261 F.3d 1350, 1355 (Fed. Cir. 2001); In re GPAC Inc., 57 F.3d 1573, 1579 (Fed. Cir. 1995); In re Oelrich, 579 F.2d 86, 91 (CCPA 1978). Therefore, we adopt the parties’ agreed-upon level of ordinary skill in the art, as articulated above, in our consideration of the issues presently before us.” slip op. at 13
- Claim Construction › Threshold & procedure › Whether a term needs construction (O2 Micro)No construction neededNot reached
“We need not construe “transaction processor” expressly because its meaning is not in dispute and its construction is not necessary to resolve the controversy before us.” slip op. at 16
- Obviousness (§103) › Motivation to combine / reasonable expectation of successMotivation foundReasonable expectation foundDecided for petitioner
“On balance, we find that even with the alleged disadvantages identified by Patent Owner, one of ordinary skill in the art would have been motivated to modify Szrek with Llach’s third-party transaction processor because the advantage of having a “centralized intermediary” allows Szrek’s system to support different game providers, such as different lottery companies, which would reduce some implementation costs and allow the system to be more easily and cheaply extended. Pet. 47 (citing Ex. 1003 ¶ 181); see Medichem, S.A. v. Rolabo, S.L., 437 F.3d 1157, 1165 (Fed. Cir. 2006) (“a given course of action often has simultaneous advantages and disadvantages, and this does not necessarily obviate motivation to combine”) (citing Winner Int’l Royalty Corp. v. Wang, 202 F.3d 1340, 1349 n.8 (Fed. Cir. 2000)); see also Intel Corp. v. Qualcomm Inc., 21 F.4th 784, 795 (Fed. Cir. 2021) (stating the same). We acknowledge that the combination comes with some disadvantages, including “add[ed] delay, reduce[d] efficiency, and . . . implementation complexities by converting a simple, direct communication exchange into an exchange that traverses multiple systems.” PO Resp. 52 (citing Ex. 2052 ¶ 163). But, “[t]he fact that the motivating benefit comes at the expense of another benefit, however, should not nullify its use as a basis to modify the disclosure of one reference with the teachings of another. Instead, the benefits, both lost and gained, should be weighed against one another.” Winner, 202 F.3d at 1349 n.8. Here, Szrek expressly teaches indirect communication as a possible implementation of its system and Petitioner’s combination—employing Llach’s third-party transaction processor as part of the indirect communication channel—offers the attractive benefit of allowing Szrek’s system to support different game providers, which would reduce some implementation costs even if it might increase other costs, e.g., by having to program certain components (e.g., the cash registers) differently. Specifically, we find that the ability to expand Szrek’s system to support different game providers provides advantages that outweigh the disadvantages discussed above in the circumstance where one desires a more robust and comprehensive system. See Pet. Reply 23 (noting three advantages of the combination— (1) “allow[ing] Szrek’s system to use ‘a centralized system for activating lottery tickets from different retailers and different locations,’” (2) “allow[ing] support for different game providers, such as different lottery companies,” “reduc[ing] implementation costs,” and (3) “allow[ing] Szrek’s system to ‘communicate with individual card” slip op. at 37
- Obviousness (§103) › Motivation to combine / reasonable expectation of success › HindsightMotivation foundDecided for petitioner
“On balance, we find that even with the alleged disadvantages identified by Patent Owner, one of ordinary skill in the art would have been motivated to modify Szrek with Llach’s third-party transaction processor because the advantage of having a “centralized intermediary” allows Szrek’s system to support different game providers, such as different lottery companies, which would reduce some implementation costs and allow the system to be more easily and cheaply extended. Pet. 47 (citing Ex. 1003 ¶ 181); see Medichem, S.A. v. Rolabo, S.L., 437 F.3d 1157, 1165 (Fed. Cir. 2006) (“a given course of action often has simultaneous advantages and disadvantages, and this does not necessarily obviate motivation to combine”) (citing Winner Int’l Royalty Corp. v. Wang, 202 F.3d 1340, 1349 n.8 (Fed. Cir. 2000)); see also Intel Corp. v. Qualcomm Inc., 21 F.4th 784, 795 (Fed. Cir. 2021) (stating the same). We acknowledge that the combination comes with some disadvantages, including “add[ed] delay, reduce[d] efficiency, and . . . implementation complexities by converting a simple, direct communication exchange into an exchange that traverses multiple systems.” PO Resp. 52 (citing Ex. 2052 ¶ 163). But, “[t]he fact that the motivating benefit comes at the expense of another benefit, however, should not nullify its use as a basis to modify the disclosure of one reference with the teachings of another. Instead, the benefits, both lost and gained, should be weighed against one another.” Winner, 202 F.3d at 1349 n.8. Here, Szrek expressly teaches indirect communication as a possible implementation of its system and Petitioner’s combination—employing Llach’s third-party transaction processor as part of the indirect communication channel—offers the attractive benefit of allowing Szrek’s system to support different game providers, which would reduce some implementation costs even if it might increase other costs, e.g., by having to program certain components (e.g., the cash registers) differently. Specifically, we find that the ability to expand Szrek’s system to support different game providers provides advantages that outweigh the disadvantages discussed above in the circumstance where one desires a more robust and comprehensive system. See Pet. Reply 23 (noting three advantages of the combination— (1) “allow[ing] Szrek’s system to use ‘a centralized system for activating lottery tickets from different retailers and different locations,’” (2) “allow[ing] support for different game providers, such as different lottery companies,” “reduc[ing] implementation costs,” and (3) “allow[ing] Szrek’s system to ‘communicate with individual card” slip op. at 37
Patent outcomesUS 11,488,451 unpatentableClaim construction§ 103 obviousnesscites Phillips · KSR · GrahamPatents in suitUS 11,488,451 - Apple Inc. v. Carbyne Biometrics, LLCAll claims unpatentablePTAB · Jul 14, 2025 · IPR2024-00329 · APJ Steven M Amundson · IPR · Final written decision
Claims 1, 2, 4–7, 9, 10, 12–15, 17, and 20–23 are unpatentable as obvious over Stone and Hoyos, with Varghese additionally applied to claims 7, 15, and 22.
RulingsFinal written decision- Skill levelOther
“B. Level of Ordinary Skill in the Art Factors pertinent to determining the level of ordinary skill in the art include (1) the educational level of the inventor; (2) the type of problems encountered in the art; (3) prior-art solutions to those problems; (4) the rapidity with which innovations are made; (5) the sophistication of the technology; and (6) the educational level of workers active in the field. Envtl. Designs, Ltd. v. Union Oil Co., 713 F.2d 693, 696–97 (Fed. Cir. 1983). Not all factors may exist in every case, and one or more of these or other factors may predominate in a particular case. Id. These factors are not exhaustive, but merely a guide to determining the level of ordinary skill in the art. Daiichi Sankyo Co. v. Apotex, Inc., 501 F.3d 1254, 1256 (Fed. Cir. 2007). Moreover, the prior art itself may reflect an appropriate skill level. Okajima v. Bourdeau, 261 F.3d 1350, 1355 (Fed. Cir. 2001). Petitioner asserts that a person of ordinary skill in the art at the time of the alleged invention would have had “a bachelor’s degree in electrical engineering, computer engineering, computer science, or a related field, and at least two years of experience in the research, design, development, and/or testing of biometric authentication techniques, and related firmware and software, or the equivalent, with additional education substituting for experience and vice versa.” Pet. 4. Petitioner also asserts that “a person with less formal education but more experience, or more formal education but less experience, could have also met the relevant standard” for an ordinarily skilled artisan. Id. at 4–5. Dr. Jones’s testimony supports Petitioner’s assertions. See Ex. 1003 ¶¶ 19–20. In the Institution Decision, we adopted Petitioner’s description of an ordinarily skilled artisan except for the language “at least” that qualifies the experience level and allows the experience level to encompass an expert’s level of skill. Inst. Dec. 21. We explained that except for the language “at least” that qualifies the experience level, “Petitioner’s description of an ordinarily skilled artisan comports with the technology and claims of the ’010 patent as well as the asserted references.” Id. (citing Ex. 1003 ¶ 20). In the Response, Patent Owner notes that for “the purposes of this” slip op. at 18
- Obviousness (§103) › Analogous artAnalogous artDecided for petitioner
“3. WHETHER STONE IS ANALOGOUS ART (a) General Principles “A reference qualifies as prior art for an obviousness determination only when it is analogous to the claimed invention.” Airbus S.A.S. v. Firepass Corp., 941 F.3d 1374, 1379 (Fed. Cir. 2019). According to the Federal Circuit, the Supreme Court’s KSR decision “directs us to construe the scope of analogous art broadly, stating that ‘familiar items may have obvious uses beyond their primary purposes, and a person of ordinary skill often will be able to fit the teachings of multiple patents together like pieces of a puzzle.’” Wyers v. Master Lock Co., 616 F.3d 1231, 1238 (Fed. Cir. 2010) (emphasis by the court) (quoting KSR, 550 U.S. at 402). In an inter partes review, the petitioner bears the burden of establishing that a reference is analogous art. See Sanofi-Aventis Deutschland GmbH v. Mylan Pharms. Inc., 66 F.4th 1373, 1377 (Fed. Cir. 2023). The scope of analogous art includes references “from the same field of endeavor” and references “reasonably pertinent to the particular problem with which the inventor is involved.” In re Bigio, 381 F.3d 1320, 1325 (Fed. Cir. 2004); see In re Wood, 599 F.2d 1032, 1036 (CCPA 1979). When evaluating the field of endeavor, a “factfinder must consider each reference’s disclosure in view of the ‘the reality of the circumstances,’ and ‘weigh those circumstances from the vantage point of the common sense likely to be exerted by one of ordinary skill in the art in assessing the scope of the endeavor.’” Airbus, 941 F.3d at 1380 (citations omitted) (quoting Bigio, 381 F.3d at 1326); see id. at 1381. Hence, a field-of-endeavor analysis should consider a patent’s claims and written description. See id. at 1380–81.” slip op. at 35
- Obviousness (§103) › Motivation to combine / reasonable expectation of successMotivation foundDecided for petitioner
“4. WHETHER AN ORDINARILY SKILLED ARTISAN WOULD HAVE BEEN MOTIVATED TO COMBINE THE TEACHINGS OF THE REFERENCES WITH A REASONABLE EXPECTATION OF SUCCESS (a) Petitioner’s Contentions (i) Motivation to Combine: The Proposed Combination To show the proposed combination, Petitioner provides the following annotated version of Stone’s Figure 2 combined with Stone’s Figure 3 together with additional steps according to Hoyos (Pet. 20): The above illustration includes Stone’s Figure 2 showing display 200 on an electronic device, Stone’s Figure 3 showing steps 300 through 318 for transferring funds to a recipient, and the following annotations in red: (1) a dashed line from the “$ Send money” button in Figure 2 to step 300 for “Select Currency for Display” in Figure 3; (2) a dashed line from name box 202 in Figure 2 to step 312 for “Enter Recipient Information” in Figure 3; (3) a dashed line from funding source box 206 in Figure 2 to step 314 for “Enter Funding Source” in Figure 3; (4) a dashed line from the “Send” button 214 in Figure 2 to step 316 for “Confirm?” in Figure 3; and (5) additional steps after a “Yes” determination in step 316 for “Confirm?” as follows: (i) “Capture biometric info”; (ii) “Perform fraud detection”; (iii) “Trans authenticated?”; and (iv) “Stop transaction.” Pet. 20; see Ex. 1003 ¶ 62; Ex. 1008 ¶¶ 11–12, 16, 23–24, 29–35, Figs. 2–3.” slip op. at 42
- Obviousness (§103) › Graham factors (scope of art, differences, level of skill)UnpatentableUnpatentable
“5. INDEPENDENT CLAIM 1 (a) Preamble 1.0 Claim 1 recites “[a] system.” Ex. 1001, 13:56. Petitioner contends that Stone teaches claim 1’s preamble because Stone discloses “system 400 configured to utilize the currency display over a network 402.” Pet. 22 (emphasis omitted) (quoting Ex. 1008 ¶ 40). According to Petitioner, “Stone further describes that its system includes software ‘such as program code and/or data . . . stored on one or more computer readable mediums.’” Id. at 23 (alteration by Petitioner) (quoting Ex. 1008 ¶ 54). Patent Owner makes no arguments specific to claim 1’s preamble. See, e.g., Resp. 14–34; Sur-reply 2–26. Nonetheless, the burden remains on Petitioner to demonstrate unpatentability. See Dynamic Drinkware, 800 F.3d at 1378. Generally, a preamble does not limit a claim. Allen Eng’g Corp. v. Bartell Indus., Inc., 299 F.3d 1336, 1346 (Fed. Cir. 2002). We need not decide whether claim 1’s preamble limits the claim because, for the reasons stated by Petitioner and supported by Dr. Jones’s testimony, we agree with” slip op. at 62
Patent outcomesUS 9,972,010 unpatentable§ 103 obviousnesscites Phillips · KSR · GrahamPatents in suitUS 9,972,010 - Apple Inc. v. Carbyne Biometrics, LLCAll claims unpatentablePTAB · Jul 14, 2025 · IPR2024-00331 · APJ Steven M Amundson · IPR · Final written decision
Claims 1–12, 14–18, and 20–23 are unpatentable as obvious over Stone, Hoyos, and Varghese; the Board did not reach the other asserted grounds.
RulingsFinal written decision- Skill levelOther
“B. Level of Ordinary Skill in the Art Factors pertinent to determining the level of ordinary skill in the art include (1) the educational level of the inventor; (2) the type of problems encountered in the art; (3) prior-art solutions to those problems; (4) the rapidity with which innovations are made; (5) the sophistication of the technology; and (6) the educational level of workers active in the field. Envtl. Designs, Ltd. v. Union Oil Co., 713 F.2d 693, 696–97 (Fed. Cir. 1983). Not all factors may exist in every case, and one or more of these or other factors may predominate in a particular case. Id. These factors are not exhaustive, but merely a guide to determining the level of ordinary skill in the art. Daiichi Sankyo Co. v. Apotex, Inc., 501 F.3d 1254, 1256 (Fed. Cir. 2007). Moreover, the prior art itself may reflect an appropriate skill level. Okajima v. Bourdeau, 261 F.3d 1350, 1355 (Fed. Cir. 2001). Petitioner asserts that a person of ordinary skill in the art at the time of the alleged invention would have had “a bachelor’s degree in electrical engineering, computer engineering, computer science, or a related field, and at least two years of experience in the research, design, development, and/or testing of biometric authentication techniques, and related firmware and software, or the equivalent, with additional education substituting for experience and vice versa.” Pet. 4. Petitioner also asserts that “a person with less formal education but more experience, or more formal education but less experience, could have also met the relevant standard” for an ordinarily skilled artisan. Id. Dr. Jones’s testimony supports Petitioner’s assertions. See Ex. 1003 ¶¶ 19–20. In the Institution Decision, we adopted Petitioner’s description of an ordinarily skilled artisan except for the language “at least” that qualifies the experience level and allows the experience level to encompass an expert’s level of skill. Inst. Dec. 21. We explained that except for the language “at least” that qualifies the experience level, “Petitioner’s description of an ordinarily skilled artisan comports with the technology and claims of the ’886 patent as well as the asserted references.” Id. (citing Ex. 1003 ¶ 20). In the Response, Patent Owner notes that for “the purposes of this” slip op. at 18
- Obviousness (§103) › Analogous artOther
“4. WHETHER STONE IS ANALOGOUS ART (a) General Principles “A reference qualifies as prior art for an obviousness determination only when it is analogous to the claimed invention.” Airbus S.A.S. v. Firepass Corp., 941 F.3d 1374, 1379 (Fed. Cir. 2019). According to the Federal Circuit, the Supreme Court’s KSR decision “directs us to construe the scope of analogous art broadly, stating that ‘familiar items may have obvious uses beyond their primary purposes, and a person of ordinary skill often will be able to fit the teachings of multiple patents together like pieces of a puzzle.’” Wyers v. Master Lock Co., 616 F.3d 1231, 1238 (Fed. Cir. 2010) (emphasis by the court) (quoting KSR, 550 U.S. at 402). In an inter partes review, the petitioner bears the burden of establishing that a reference is analogous art. See Sanofi-Aventis Deutschland GmbH v. Mylan Pharms. Inc., 66 F.4th 1373, 1377 (Fed. Cir. 2023). The scope of analogous art includes references “from the same field of endeavor” and references “reasonably pertinent to the particular problem with which the inventor is involved.” In re Bigio, 381 F.3d 1320, 1325 (Fed. Cir. 2004); see In re Wood, 599 F.2d 1032, 1036 (CCPA 1979). When evaluating the field of endeavor, a “factfinder must consider each reference’s disclosure in view of the ‘the reality of the circumstances,’ and ‘weigh those circumstances from the vantage point of the common sense likely to be exerted by one of ordinary skill in the art in assessing the scope of the endeavor.’” Airbus, 941 F.3d at 1380 (citations omitted) (quoting” slip op. at 40
- Obviousness (§103) › Motivation to combine / reasonable expectation of successOther
“5. WHETHER AN ORDINARILY SKILLED ARTISAN WOULD HAVE BEEN MOTIVATED TO COMBINE THE TEACHINGS OF THE REFERENCES WITH A REASONABLE EXPECTATION OF SUCCESS (a) Petitioner’s Contentions (i) Motivation to Combine: The Proposed Combination To show the proposed combination, Petitioner provides the following annotated version of Stone’s Figure 2 combined with Stone’s Figure 3 together with additional steps according to Hoyos and Varghese (Pet. 22): The above illustration includes Stone’s Figure 2 showing display 200 on an electronic device, Stone’s Figure 3 showing steps 300 through 318 for transferring funds to a recipient, and the following annotations in red: (1) a dashed line from the “$ Send money” button in Figure 2 to step 300 for “Select Currency for Display” in Figure 3; (2) a dashed line from name box 202 in Figure 2 to step 312 for “Enter Recipient Information” in Figure 3; (3) a dashed line from funds box 204 in Figure 2 to step 304 for “Enter Amount” in Figure 3; (4) a dashed line from funding source box 206 in Figure 2 to step 314 for “Enter Funding Source” in Figure 3; (5) a dashed line from the “Send” button 214 in Figure 2 to step 316 for “Confirm?” in Figure 3; and (6) additional steps after a “Yes” determination in step 316 for “Confirm?” as follows: (i) “Capture biometric info” followed by “Perform fraud detection”; (ii) “Capture location” followed by “Perform fraud detection”; (iii) “Trans authenticated?”; and (iv) “Stop transaction.” Pet. 22; see Ex. 1003 ¶ 68; Ex. 1008 ¶¶ 11–12, 16, 23–24, 29–35, Figs. 2–3.” slip op. at 46
- Obviousness (§103) › Graham factors (scope of art, differences, level of skill)UnpatentableUnpatentable
“6. INDEPENDENT CLAIM 1 (a) Preamble 1.0 Claim 1 recites “[a] system.” Ex. 1001, 14:2. Petitioner contends that Stone teaches claim 1’s preamble because Stone discloses system 400 “configured to utilize the currency display over a network 402.” Pet. 23 (emphasis omitted) (quoting Ex. 1008 ¶ 40); see id. at 70. According to Petitioner, system 400 includes “at least a user device 404,” one or more recipient devices 406, and “at least one payment provider server 408” communicating “over the network 402.” Id. (quoting Ex. 1008 ¶ 40). Patent Owner makes no arguments specific to claim 1’s preamble. See, e.g., Resp. 14–36; Sur-reply 2–22. Nonetheless, the burden remains on Petitioner to demonstrate unpatentability. See Dynamic Drinkware, 800 F.3d at 1378. Generally, a preamble does not limit a claim. Allen Eng’g Corp. v. Bartell Indus., Inc., 299 F.3d 1336, 1346 (Fed. Cir. 2002). We need not decide whether claim 1’s preamble limits the claim because, for the reasons stated by Petitioner and supported by Dr. Jones’s testimony, we agree with Petitioner that Stone teaches claim 1’s preamble. See Pet. 23–24; Ex. 1003 ¶¶ 85–88. (b)” slip op. at 76
Patent outcomesUS 11,526,886 unpatentable§ 103 obviousnesscites Phillips · KSR · GrahamPatents in suitUS 11,526,886 - Apple Inc. v. Carbyne Biometrics, LLCAll claims unpatentablePTAB · Jul 14, 2025 · IPR2024-00330 · APJ Arthur M Peslak · IPR · Final written decision
Claims 1–19 are unpatentable: claims 1, 4–10, and 13–19 over Stone, Hoyos, and Varghese; claims 2, 3, 11, and 12 over Stone, Varghese, and Borovsky.
RulingsFinal written decision- Obviousness (§103) › Motivation to combine / reasonable expectation of successMotivation foundDecided for petitioner
“all the evidence in the record, for the foregoing reasons, we find that a preponderance of the evidence supports Petitioner’s position that an ordinarily skilled artisan would have been motivated to combine Stone and Hoyos. Ex. 1003 ¶¶ 59–69; Ex. 1056 ¶¶ 15–16.” slip op. at 33
- Skill levelSkill level petitioner adoptedDecided for petitioner
“B. Level of Ordinary Skill in the Art Petitioner contends that “a Person of Ordinary Skill in the Art (‘POSITA’) at the time of the claimed invention would have had a bachelor’s degree in electrical engineering, computer engineering, computer science, or a related field, and at least two years of experience in the research, design, development, and/or testing of biometric authentication techniques, and related firmware and software, or the equivalent, with additional education substituting for experience and vice versa.” Pet. 4 (citing Ex. 1003 ¶ 21). Petitioner further states that “a person with less formal education but more experience, or more formal education but less experience, could have also met the relevant standard for POSITA.” Id. at 4–5 (citing Ex. 1003 ¶ 21). Patent Owner has applied Petitioner’s definition of the level of skill of a person of ordinary skill in the art. PO Resp. 14. We apply Petitioner’s undisputed level of skill in the art with the exception of the phrase “at least” which injects potential ambiguity into the level of skill, because Petitioner’s proposed level of skill appears consistent with the problems addressed in the ’656 patent and the prior art. C. Claim Construction We apply the same claim construction standard used by Article III” slip op. at 9
- BurdenFwd all claims unpatentableUnpatentable
“III. CONCLUSION14 Weighing the competing evidence and testimony, we determine that Petitioner establishes by a preponderance of the evidence that the Challenged Claims of the ’656 patent are unpatentable. In summary: 35 Claim(s) Claim(s) Reference(s)/ Claim(s) U.S.C. Shown Not Shown Basis § Unpatentable Unpatentable 1, 4–10, 103(a) Stone, Hoyos, 1, 4–10, 13– 13–19 Varghese 19” slip op. at 86
Patent outcomesUS 10,713,656 unpatentable§ 103 obviousnesscites Phillips · KSR · GrahamPatents in suitUS 10,713,656 - Apple Inc. v. Carbyne Biometrics, LLCAll claims unpatentablePTAB · Jul 1, 2025 · IPR2024-00332 · APJ Arthur M Peslak · IPR · Final written decision
Claims 1–6, 10–16, 20, and 21 are unpatentable as obvious over Kesanupalli, Challener, and Cheng.
RulingsFinal written decision- Skill levelSkill level petitioner adoptedDecided for petitioner
“Patent Owner has applied Petitioner’s definition of the level of skill of a person of ordinary skill in the art. PO Resp. 13. We apply Petitioner’s undisputed level of skill in the art with the exception of the phrase “at least” which injects potential ambiguity into the level of skill, because Petitioner’s proposed level of skill appears consistent with the problems addressed in the ’512 patent and the prior art.” slip op. at 11
- Claim Construction › Threshold & procedure › Whether a term needs construction (O2 Micro)No construction neededOther
“Upon review of the complete record before us, we determine that it is not necessary for us to expressly construe any claim term. See Realtime Data, LLC v. Iancu, 912 F.3d 1368, 1375 (Fed. Cir. 2019) (“The Board is required to construe ‘only those terms . . . that are in controversy, and only to the extent necessary to resolve the controversy.’”) (quoting Vivid Techs., Inc. v. Am. Sci. & Eng’g, Inc., 200 F.3d 795, 803 (Fed. Cir. 1999)). D. Ground 1: Alleged Obviousness of Claims 1–6, 10–16, 20, and 21 over” slip op. at 13
- Obviousness (§103) › Motivation to combine / reasonable expectation of successMotivation foundReasonable expectation foundDecided for petitioner
“For the following reasons, based on the evidence and arguments presented by Petitioner, we are persuaded that Petitioner establishes that an ordinarily skilled artisan would have been motivated to combine Kesanupalli and Challener with a reasonable expectation of success. Pet. 23–24; Ex. 1003 ¶¶ 48–51, 83. First, Patent Owner’s reliance on what Mr. Ramesh Kesanupalli, the individual, allegedly chose not to include in the disclosure of the Kesanupalli patent reference is unavailing. The question of obviousness is determined from the perspective of a hypothetical person of ordinary skill in the art not an actual person who may or may not have been a person of ordinary skill in the art. Ramesh Kesanupalli is one of five named co-inventors on Kesanupalli. Ex. 1006, code (75). 7 Patent Owner’s argument, in essence, is an improper request to limit the Kesanupalli reference to just the explicit problems addressed, solutions proposed, and goals achieved by the Kesanupalli reference. However, “[t]he use of patents as references is not limited to what the patentees describe as their own inventions or to the problems with which they are concerned. They are part of the literature of the art, relevant for all they contain.” In re Heck, 699 F.2d 1331, 1333 (Fed. Cir. 1983) (citing In re Lemelson, 397 F.2d 1006, 1009 (CCPA 1968)). We have reviewed all of the cases cited by Patent Owner regarding the determination of obviousness. None of them is at odds with the principle stated in Heck.” slip op. at 28
- Obviousness (§103) › Graham factors (scope of art, differences, level of skill)UnpatentableUnpatentable
“Summary of Claim 1 For all the foregoing reasons, Petitioner establishes a by a preponderance of the evidence that claim 1 would have been obvious over Kesanupalli, Challener, and Cheng.” slip op. at 62
Patent outcomesUS 10,929,512 unpatentableClaim construction§ 103 obviousnesscites Phillips · KSR · GrahamPatents in suitUS 10,929,512
Holdings, summaries, rulings, issues, outcomes, winners and claim constructions shown for a decision were generated by a large language model reading the opinion. They are a guide to the decision, not the decision. Confirm every one against the court's own text before relying on it. Outcomes read from the patent owner’s side. Party names are extracted from the decision and are missing on about 900 short Director denials and scans, which carry the trial number instead.