Wordtech Systems Inc v. Integrated Network, et al

Filing 439

ORDER signed by Judge Morrison C. England, Jr. on 03/27/12 ORDERING that the Court now bifurcates this action for further proceedings. In phase one, the Court will resolve the question of which issues warrant a new trial before proceeding to phase t wo, in which the Court will hold a trial on any of those remaining issues and damages. Wordtech's Opening Brief as to individual liability, corporate validity and infringement, including whether those issues identified by the Federal Circuit we re preserved for trial, shall be filed within 30 days. The Individual Defendants' Opposition briefs on the above issues shall be filed not later than 30 days following the date Wordtech' s Opening Brief is filed. Wordtech' s Reply Br ief on the above issues shall be filed not later than 15 days following the date the Individual Defendants' Opposition is filed. The Court will not entertain oral argument in the first phase of these proceedings unless a hearing is set by furth er order of this Court. The Opening Brief and Oppositions shall not exceed 20 pages each, and the Reply brief shall not 10 pages. Not later than 45 days following the date this Order is filed, INSC is directed to file an association of counsel with the Court. Failure to comply with this Order will result in sanctions, up to and including the striking of INSC's Answer to Wordtech's First Amended Complaint. (Benson, A.)

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UNITED STATES DISTRICT COURT

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EASTERN DISTRICT OF CALIFORNIA

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WORDTECH SYSTEMS, INC.,

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No. 2:04-cv-01971-MCE-EFB

Plaintiff,
v.

ORDER

INTEGRATED NETWORK SOLUTIONS,
INC., et al.,

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Defendants.
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Plaintiff Wordtech Systems, Inc. (“Wordtech”), filed this

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patent infringement action on September 22, 2004.

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Court found Defendants INSC, Nasser Khatemi and Hamid Assadian

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each liable to Wordtech for direct infringement, contributory

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infringement, and inducement of infringement involving technology

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for automated duplication of compact discs.

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to the Federal Circuit, which reversed this Court’s denial of

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Defendants’ Motion for New Trial and remanded “for a new trial on

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damages” and “for consideration of whether a new trial is

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warranted on [Defendants’] individual liability for direct

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infringement, inducement, and contributory infringement.”
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A jury in this

Defendants appealed

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Wordtech Systems, Inc. v. INSC, 609 F.3d 1308, 1317, 1322 (Fed.

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Cir. 2010).

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things, “the issues of piercing INSC’s corporate veil and INSC’s

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corporate status” and “whether Wordtech preserved these arguments

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for trial.”

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This Court was instructed to address, among other

Id. at 1317-18.

The Court has reviewed the Joint Status Report subsequently

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filed by Wordtech and the Individual Defendants.1

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considered the decision of the Federal Circuit and the entire

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record in this case, the Court now bifurcates this action for

Having

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further proceedings.

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question of which issues warrant a new trial before proceeding to

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phase two, in which the Court will hold a trial on any of those

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remaining issues and damages.

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that:

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1.

In phase one, the Court will resolve the

Accordingly, IT IS HEREBY ORDERED

Wordtech’s Opening Brief as to individual liability,

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corporate validity and infringement, including whether

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those issues identified by the Federal Circuit were

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preserved for trial, shall be filed not later than

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thirty (30) days following the date this Order is

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electronically filed.2

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2.

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The Individual Defendants’ Opposition briefs on the
above issues shall be filed not later than thirty (30)

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INSC did not join in that filing since the entity is
currently unrepresented by counsel. See E.D. Cal. Local Rule
183(a) (“A corporation or other entity may appear only by an
attorney.”).
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Let it be clear that the Court wants to know which issues
should be re-tried. As this Court stated in its prior Memorandum
and Order, this is not an opportunity for the parties to file
dispositive motions on the merits. See ECF No. 437.
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days following the date Wordtech’s Opening Brief is

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electronically filed.

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3.

Wordtech’s Reply Brief on the above issues shall be

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filed not later than fifteen (15) days following the

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date the Individual Defendants’ Opposition is

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electronically filed.

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4.

The Court will not entertain oral argument in the first

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phase of these proceedings unless a hearing is set by

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further order of this Court.

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5.

The Opening Brief and Oppositions shall not exceed

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twenty (20) pages each, and the Reply brief shall not

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exceed ten (10) pages.

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6.

Not later than forty-five (45) days following the date

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this Order is electronically filed, INSC is directed to

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file an association of counsel with the Court.

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to comply with this Order will result in sanctions, up

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to and including the striking of INSC’s Answer to

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Wordtech’s First Amended Complaint.

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Local Rule 110.

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Failure

See E.D. Cal.

IT IS SO ORDERED.
Dated: March 27, 2012

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_____________________________
MORRISON C. ENGLAND, JR.
UNITED STATES DISTRICT JUDGE

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