Apple Inc. v. Samsung Electronics Co. Ltd. et al

Filing 86

MOTION for Preliminary Injunction filed by Apple Inc.. Motion Hearing set for 8/5/2011 01:30 PM in Courtroom 4, 5th Floor, San Jose before Hon. Lucy H. Koh. Responses due by 7/15/2011. Replies due by 7/22/2011. (Attachments: #1 Proposed Order)(Bartlett, Jason) (Filed on 7/1/2011)

1
2
3
4
5
6
7
8
9
10

HAROLD J. MCELHINNY (CA SBN 66781)
[e-mail]
MICHAEL A. JACOBS (CA SBN 111664)
[e-mail]
JENNIFER LEE TAYLOR (CA SBN 161368)
[e-mail]
ALISON M. TUCHER (CA SBN 171363)
[e-mail]
RICHARD S.J. HUNG (CA SBN 197425)
[e-mail]
JASON R. BARTLETT (CA SBN 214530)
[e-mail]
MORRISON & FOERSTER LLP
425 Market Street
San Francisco, California 94105-2482
Telephone: [phone]
Facsimile: [phone]

KENNETH H. BRIDGES (CA SBN 243541)
[e-mail]
MICHAEL T. PIEJA (CA SBN 250351)
[e-mail]
BRIDGES & MAVRAKAKIS LLP
3000 El Camino Real
One Palo Alto Square, 2nd Floor
Palo Alto, CA 94306
Telephone: [phone]
Facsimile: [phone]

Attorneys for Plaintiff
APPLE INC.

11
12

UNITED STATES DISTRICT COURT

13

NORTHERN DISTRICT OF CALIFORNIA

14

SAN JOSE DIVISION

15
16

APPLE INC., a California corporation,

17
18
19
20
21

Plaintiff,

Case No. 11-cv-01846-LHK
APPLE INC.’S MOTION FOR A
PRELIMINARY INJUNCTION

v.
SAMSUNG ELECTRONICS CO., LTD., a
Korean corporation; SAMSUNG
ELECTRONICS AMERICA, INC., a New
York corporation; and SAMSUNG
TELECOMMUNICATIONS AMERICA,
LLC, a Delaware limited liability company,

22
Defendants.
23
24
25
26
27
28
APPLE’S MOTION FOR A PRELIMINARY INJUNCTION
CASE NO. 11-CV-01846-LHK
sf-3006623

Date:
Time:
Place:
Judge:

August 5, 2011
1:30 p.m.
Courtroom 4, 5th Floor
Hon. Lucy H. Koh

1

TO DEFENDANTS AND THEIR ATTORNEYS OF RECORD:

2

PLEASE TAKE NOTICE that on August 5, 2011 at 1:30 p.m., or as soon thereafter as the

3

matter may be heard, in the courtroom of the Honorable Lucy H. Koh at the United States District

4

Court for the Northern District of California, 280 South 1st Street, Courtroom 4, 5th Floor, San

5

Jose, Plaintiff Apple Inc. shall and hereby does move the Court for a preliminary injunction

6

prohibiting Defendants Samsung Electronics Co., Ltd., Samsung Electronics America, Inc., and

7

Samsung Telecommunications America, Inc. (collectively “Samsung” or “Defendants”), from

8

making, using, offering to sell, or selling within the United States, or importing into the United

9

States, the following recently released products: the Galaxy S 4G, Infuse 4G, and Droid Charge

10

smartphones, and the Galaxy Tab 10.1 tablet computer. This motion is based on this notice of

11

motion and supporting memorandum of points and authorities; the supporting declarations and

12

exhibits of Cooper C. Woodring, Ravin Balakrishnan, Patrick J. Zhang, Jason R. Bartlett, Richard

13

J. Lutton, Jr., and Sissie Twiggs; and such other written or oral argument as may be presented at

14

or before the time this motion is taken under submission by the Court.

15
16

Dated: July 1, 2011

17
18
19

HAROLD J. MCELHINNY
MICHAEL A. JACOBS
JENNIFER LEE TAYLOR
ALISON M. TUCHER
RICHARD S.J. HUNG
JASON R. BARTLETT
MORRISON & FOERSTER LLP

20
21

By:

22

/s/ Michael A. Jacobs
MICHAEL A. JACOBS
Attorneys for Plaintiff
APPLE INC.

23
24
25
26
27
28
APPLE’S MOTION FOR A PRELIMINARY INJUNCTION
CASE NO. 11-CV-01846-LHK
sf- 3006623

i

1

TABLE OF CONTENTS

2

Page

3

INTRODUCTION .......................................................................................................................... 1

4

ARGUMENT .................................................................................................................................. 5

5

I.

PRELIMINARY INJUNCTION STANDARD.................................................................. 5

II.

APPLE IS LIKELY TO SUCCEED ON THE MERITS OF ITS CLAIM
FOR DESIGN PATENT INFRINGEMENT ...................................................................... 5

6
7

A.

8

Apple Is Likely to Prove Design Patent Infringement at Trial ............................... 6
1.
2.

The Samsung Infuse 4G and Galaxy S 4G Phones Infringe
the ’D087 Patent........................................................................................ 11

3.

9

The Samsung Infuse 4G and Galaxy S 4G Phones Infringe
the ’D677 Patent.......................................................................................... 7

Samsung’s Galaxy Tab 10.1 Infringes the ’D889 Patent.......................... 13

10
11
B.

12
13

III.

14

Apple is Likely to Prevail on Design Patent Validity at Trial .............................. 16

APPLE IS ENTITLED TO A PRELIMINARY INJUNCTION BASED
ON SAMSUNG’S INFRINGEMENT OF THE ’381 PATENT ...................................... 17
A.

The ’381 Patent Has Survived Reexamination and Does Not Present
Any Claim Terms Requiring Construction ........................................................... 17

B.

Apple Is Likely to Succeed on the Merits............................................................. 18

15
16

1.

18

IV.

19

22

25

A PRELIMINARY INJUNCTION IS NECESSARY TO PREVENT
IRREPARABLE HARM .................................................................................................. 24
Apple Will Be Irreparably Harmed if Samsung Continues to Erode
the Distinctiveness of Apple’s Designs and to Take Market Share ...................... 24

B.

21

24

Samsung Is Unlikely to Prevail on Invalidity at Trial............................... 23

A.

20

23

Samsung Infringes the Claims of the ’381 Patent..................................... 18

2.

17

Because Apple Is Seeking a Preliminary Injunction Against
Samsung’s Newly Released Products, Its Alleged Delays in
Enforcing Its Rights Are Irrelevant....................................................................... 27

V.

THE BALANCE OF EQUITIES WEIGHS DECIDEDLY IN APPLE’S
FAVOR ............................................................................................................................. 29

VI.

A PRELIMINARY INJUNCTION SERVES THE PUBLIC INTEREST ....................... 30

VII.

CONCLUSION ................................................................................................................. 30

26
27
28
APPLE’S MOTION FOR A PRELIMINARY INJUNCTION
CASE NO. 11-CV-01846-LHK
sf- 3006623

ii

1

TABLE OF AUTHORITIES

2

Page(s)

3

CASES

4

Abbott Labs. v. Sandoz, Inc.,
544 F.3d 1341 (Fed. Cir. 2008)........................................................................................... 5, 24

5
6
7
8
9
10
11
12
13
14

Amini Innovation Corp. v. Anthony California, Inc.,
439 F.3d 1365 (Fed. Cir. 2006)................................................................................................. 6
Apple Inc. v. Brilliant Store, Inc.,
10-cv-2996-SBA, slip. op. (N.D. Cal. Jan. 5, 2011) ............................................................... 16
AstraZeneca LP v. Apotex Corp.,
633 F.3d 1042 (Fed. Cir. 2010)..................................................................................... 5, 18, 24
Blumenthal Distrib. v. Exec. Chair, Inc.,
No. 10-CV-1280, 2011 U.S. Dist. LEXIS 28203 (E.D.N.Y. Mar. 3, 2011) ............................. 5
Brown v. 3M,
265 F.3d 1349 (Fed. Cir. 2001)............................................................................................... 18
Egyptian Goddess, Inc. v. Swisa, Inc.,
543 F.3d 665 (Fed. Cir. 2008).......................................................................................... passim

15
16
17
18
19

Elantech Devices Corp. v. Synaptics, Inc.,
C06cv1839 CRB, 2008 U.S. Dist. LEXIS 120024 (N.D. Cal. Mar. 13, 2008)....................... 28
Fred Hutchinson Cancer Research Ctr. v. BioPet Vet Lab, Inc.,
10-cv-616, 2011 WL 1119563 (E.D. Va. Mar. 17, 2011)................................................. 29, 30
Gorham Mfg. Co. v. White,
81 U.S. 511 (1872) .................................................................................................................... 7

20
21
22
23
24

Hoop v. Hoop,
279 F.3d 1004 (Fed. Cir. 2002)............................................................................................. 5, 6
Int’l Seaway Trading Corp. v. Walgreens Corp.,
589 F.3d 1234 (Fed. Cir. 2009)..................................................................................... 6, 10, 13
iRise v. Axure Software Solutions, Inc.,
No. CV 08-3601-SJO, 2009 WL 3615075 (C.D. Cal. Sept. 11, 2009)................................... 23

25
26
27
28

L.A. Gear, Inc. v. Thom McAn Shoe Co.,
988 F.2d 1117 (Fed. Cir. 1993)........................................................................................... 9, 12
Microsoft Corp. v. i4i Ltd. P’shp,
564 U.S. --, 180 L. Ed. 131 (2011) ......................................................................................... 16
APPLE’S MOTION FOR A PRELIMINARY INJUNCTION
CASE NO. 11-CV-01846-LHK
sf- 3006623

iii

1
2
3
4
5

Nanoexa Corp. v. Univ. of Chicago,
No. 10-CV-2631-LHK, 2010 WL 3398532 (N.D. Cal. Aug. 27, 2010) ................................. 24
Nokia Corp. v. Apple Inc.,
Case No. 1:09cv791 (D. Del.) (the “Nokia Action”) ........................................................ 17, 18
Oakley, Inc. v. Sunglass Hut Int’l,
No. SA CV 01-1065-AHS, 2001 WL 1683252 (C.D. Cal. Dec. 7, 2001),
aff’d, 316 F.3d 1331, 1339 (Fed. Cir. 2003); .......................................................................... 23

6
7
8
9
10

Oscar Mayer Foods Corp. v. Sara Lee Corp.,
No. 90-D-42-C, 1990 U.S. Dist. LEXIS 10032 (W.D. Wis. Mar. 20, 1990).......................... 24
Payless Shoesource, Inc. v. Reebok Int'l, Ltd.,
998 F.2d 985 (Fed. Cir. 1993)................................................................................................... 7
Procter & Gamble Co. v. Kraft Foods Global, Inc.,
549 F.3d 842 (Fed. Cir. 2008)................................................................................................. 23

11
12
13
14
15

Reebok Int’l Ltd. v. J. Baker, Inc.,
32 F.3d 1552 (Fed. Cir. 1994)................................................................................................. 24
Rexnord, Inc. v. Laitram Corp.,
1 U.S.P.Q.2d 1923 (E.D. Wis. 1986) ................................................................................ 28, 29
Telebrands Direct Response Corp. v. Ovation Commc’ns, Inc.,
802 F. Supp. 1169 (D.N.J. 1992) ................................................................................ 24, 29, 30

16
17
18
19
20
21
22

Titan Tire Corp. v. Case New Holland, Inc.,
566 F.3d 1372 (Fed. Cir. 2009)..................................................................................... 5, 16, 23
Trak, Inc. v. Benner Ski KG,
475 F. Supp. 1076 (D. Mass. 1979) ........................................................................................ 30
U.S. Surgical Corp. v. Ethicon, Inc.,
103 F.3d 1554 (Fed. Cir. 1997)............................................................................................... 18
Whistler Corp. v. Dynascan Corp.,
9 U.S.P.Q.2d 2087 (N.D. Ill. 1988)................................................................................... 28, 29

23
24
25
26
27
28
APPLE’S MOTION FOR A PRELIMINARY INJUNCTION
CASE NO. 11-CV-01846-LHK
sf- 3006623

iv

1
2

MEMORANDUM OF POINTS AND AUTHORITIES
Apple moves for a preliminary injunction to prevent Defendants from infringing three

3

Apple design patents and one utility patent by selling four recently released products: the Infuse

4

4G, Galaxy S 4G, and Droid Charge smartphones, and the Galaxy Tab 10.1 tablet computer.

5
6

INTRODUCTION
Apple’s iPhone and iPad mobile devices are among the most distinctive and commercially

7

successful products in the world. The success of these products is no accident. It was earned

8

through Apple’s substantial investment in design innovation, product development, and

9

worldwide marketing and advertising. Apple’s Amended Complaint explains the significance of

10

Apple’s elegant and distinctive product designs. The unique and refined “Apple look” of Apple’s

11

iPhone and iPad products has become recognizable around the globe and has played a critical role

12

in their extraordinary commercial success.

13

The look and operation of the Samsung smartphones and tablet computer that are the

14

subject of this motion are likewise no accident. As described in the Amended Complaint,

15

Samsung chose to copy Apple, not to innovate. The message that Samsung conveys to consumers

16

with its imitative smartphone design is simple: “It’s just like an iPhone.” Samsung’s Galaxy Tab

17

10.1 tablet sends a similar message: “It’s just like an iPad.” With the benefit of those messages,

18

Samsung is seeking to take market share by trading off of the popularity of Apple’s products.

19

When Apple became aware of Samsung’s copying, it attempted to persuade Samsung to

20

stop. Those pleas fell on deaf ears. Samsung’s recent products confirm that Samsung is

21

continuing its deliberate policy of releasing products in the United States that mimic Apple’s

22

iPhone and iPad products. The similarity is unmistakable:

23
24
25
26
27
28
APPLE’S MOTION FOR A PRELIMINARY INJUNCTION
CASE NO. 11-CV-01846-LHK
sf- 3006623

1

1

APPLE’S PRODUCTS1

SAMSUNG’S PRODUCTS2

iPhone 3GS
Released June 2009

Galaxy S 4G
Released February 2011

iPhone 4
Released June 2010

Infuse 4G
Released May 2011

2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28

1

The iPhone 3GS was released in June 2009, the iPhone 4 was released in June 2010, and the
iPad 2 was released in March 2011. (See Declaration of Patrick J. Zhang in Support of Apple’s
Motion for Preliminary Injunction (“Zhang Decl.”), Exs. 23-26.)
2
The Samsung Galaxy S 4G was released in February 2011, the Infuse 4G was released in May
2011, and the Tab 10.1 was released in June 2011. (See Zhang Decl. Exs. 33-37.)
APPLE’S MOTION FOR A PRELIMINARY INJUNCTION
CASE NO. 11-CV-01846-LHK
sf- 3006623

2

1
2
3
4
5
6
7
8
9
10
11
12
13

iPad 2
Released March 2011

Galaxy Tab 10.1
Released June 2011 (with promise of
new user interface in future update)

14
15

In article after article, the media has reported on the striking similarity of Samsung’s

16

phones and tablets to Apple’s iPhone and iPad. (See Zhang Decl. ¶¶ 2-5 and Exs. 1-4.) Samsung

17

has been copying competitors for years. (See id. at ¶¶ 6-7 and Exs. 5-6.) Samsung’s conduct

18

makes clear that it has adopted “cloning” as its business strategy for the mobile device field.

19

Apple’s substantial investment in product design and function is protected by a range of

20

intellectual property rights. Apple’s Amended Complaint asserts seven design patents and eight

21

utility patents against Samsung products, as well as Apple’s trademark and trade dress rights.

22

Apple brings this preliminary injunction motion because Samsung’s latest product releases show

23

that Samsung is ramping up a massive assault on Apple’s market and is doing so with products

24

that blatantly infringe Apple’s intellectual property rights. Preventing that assault from

25

irreparably harming Apple is a matter of the utmost urgency.

26

In order to expedite resolution of this motion, Apple has selected intellectual property

27

rights that lend themselves readily to adjudication without trial. To protect its iconic product

28

designs, Apple demonstrates in this motion that Samsung’s products infringe Apple’s iPhone and
APPLE’S MOTION FOR A PRELIMINARY INJUNCTION
CASE NO. 11-CV-01846-LHK
sf- 3006623

3

1

iPad Design Patent Nos. D618,677 (the “’D677 patent”), D593,087 (the “’D087 patent”), and

2

D504,889 (the “’D889 patent”). Deciding infringement of these design patents is as simple as

3

comparing Apple’s design patents to images of the Samsung products and observing the

4

substantial similarity between the two. The same is true for validity: a visual comparison of prior

5

art designs with Apple’s design patents confirms that Apple’s patented designs are radically

6

different from the prior art.

7

To protect its pioneering advances in user interface functionality, Apple demonstrates in

8

this motion that the Samsung products infringe U.S. Patent No. 7,469,381 (the “’381 patent”).

9

The ’381 patent is a strong, easily understood patent. It is directed to a clever method for

10

displaying images on touch screens: when one uses a finger to drag a displayed page past its

11

bottom edge, for example, and releases the finger, the page bounces back to fill the full screen.

12

The claims of the ’381 patent are so clear that in recent litigation between Apple and Nokia

13

Corporation, neither side asked the court to construe any terms. A simple demonstration proves

14

that Samsung’s products infringe. Moreover, the Patent Office confirmed the validity of all

15

twenty claims of this patent in a reexamination initiated by Nokia, which included the best prior

16

art references Nokia could find.

17

For even greater simplicity, Apple is limiting this motion to new products that Samsung

18

recently released in the U.S. Apple has not targeted the unreleased Galaxy S 2 phone and Galaxy

19

Tab 8.9 tablet computer. Apple reserves the right to seek a preliminary injunction against those

20

two products as their release becomes imminent.

21

While Apple’s other claims are equally strong, they potentially raise additional issues that

22

could delay the prompt issuance of a preliminary injunction. But the urgency of resolving all of

23

Apple’s claims remains. Accordingly, Apple is filing a concurrent motion for an expedited trial

24

on all of its claims.

25

It is hard to imagine a more compelling case for issuing a preliminary injunction.

26

Samsung’s copying is blatant. Apple’s innovations are renowned, and are the result of substantial

27

investment in research and development. Apple is likely to prevail on the merits of the design

28

and utility patent claims presented in this motion. Unless enjoined, Samsung’s sales of a new
APPLE’S MOTION FOR A PRELIMINARY INJUNCTION
CASE NO. 11-CV-01846-LHK
sf- 3006623

4

1

round of copycat products will cause irreparable harm to Apple that cannot be adequately

2

compensated by damages. Accordingly, Apple requests that the Court issue a preliminary

3

injunction and ensure that innovation — not unlawful imitation — is protected.

4
5

ARGUMENT
I.

PRELIMINARY INJUNCTION STANDARD

6

“A plaintiff seeking a preliminary injunction must establish that [it] is likely to succeed on

7

the merits, that [it] is likely to suffer irreparable harm in the absence of preliminary relief, that the

8

balance of equities tips in [its] favor, and that an injunction is in the public interest.” AstraZeneca

9

LP v. Apotex Corp., 633 F.3d 1042, 1050 (Fed. Cir. 2010) (citing Winter v. Natural Res. Def.

10

Council, Inc., 555 U.S. 7, 25 (2008).) When this standard is met, courts have issued preliminary

11

injunctions prohibiting the sale of products in both utility and design patent cases. Id. at 1045

12

(affirming preliminary injunction against launch of generic drug in utility patent case); Abbott

13

Labs. v. Sandoz, Inc., 544 F.3d 1341, 1343 (Fed. Cir. 2008) (affirming preliminary injunction in

14

utility patent case); Hoop v. Hoop, 279 F.3d 1004, 1008 (Fed. Cir. 2002) (affirming preliminary

15

injunction against sale of products likely to infringe design patent); Blumenthal Distrib. v. Exec.

16

Chair, Inc., No. 10-CV-1280, 2011 U.S. Dist. LEXIS 28203, at *5 (E.D.N.Y. Mar. 3, 2011)

17

(granting preliminary injunction based on likely infringement of design patent). Apple has met

18

this standard for each of the patents at issue in this motion.

19

II.

20

APPLE IS LIKELY TO SUCCEED ON THE MERITS OF ITS CLAIM FOR
DESIGN PATENT INFRINGEMENT

21

To establish a reasonable likelihood of success on a design patent, “the patentee seeking a

22

preliminary injunction in a patent infringement suit must show that it will likely prove

23

infringement, and that it will likely withstand challenges, if any, to the validity of the patent.”

24

Titan Tire Corp. v. Case New Holland, Inc., 566 F.3d 1372, 1376 (Fed. Cir. 2009). Apple is

25

likely to prevail on infringement and is also likely to withstand challenges to the validity of its

26

’D677, ’D087 and ’D889 design patents.

27
28
APPLE’S MOTION FOR A PRELIMINARY INJUNCTION
CASE NO. 11-CV-01846-LHK
sf- 3006623

5

1

A.

2

Apple is likely to prove at trial that Samsung’s products infringe Apple’s patented

Apple Is Likely to Prove Design Patent Infringement at Trial

3

designs. The Federal Circuit clarified the design patent infringement standard in its en banc

4

decision in Egyptian Goddess, Inc. v. Swisa, Inc., 543 F.3d 665 (Fed. Cir. 2008). The central

5

inquiry is whether an “ordinary observer,” who is “familiar with the prior art,” would find the

6

overall appearance of the accused product to be “substantially the same” as the overall

7

appearance of the patented design, or to “embody the claimed design or any colorable imitation

8

thereof.”3 Id. at 677-78; see also Amini Innovation Corp. v. Anthony California, Inc., 439 F.3d

9

1365, 1372 (Fed. Cir. 2006) (court must “analyz[e] the design as a whole” and not “mistakenly

10

analyze[] each element separately”).

11

An infringing product need not be an exact copy of the patented design, and Samsung

12

cannot escape infringement by introducing minor variations into otherwise copycat products.

13

Egyptian Goddess, 543 F.3d at 670 (“[T]he [infringing design and patented design] need not be

14

the same ‘to the eye of an expert,’ because if that were the test, ‘[t]here never could be piracy of a

15

patented design, for human ingenuity has never yet produced a design, in all its details, exactly

16

like another, so like, that an expert could not distinguish them’”) (quoting Gorham, 81 U.S. at

17

527). “[T]he mandated overall comparison is a comparison taking into account significant

18

differences between the two designs, not minor or trivial differences that necessarily exist

19

between any two designs that are not exact copies of one another.” Int’l Seaway Trading Corp. v.

20

Walgreens Corp., 589 F.3d 1234, 1243 (Fed. Cir. 2009) (emphasis added). The critical issue is

21

whether “the effect of the whole design [is] substantially the same” – “minor differences between

22

a patent design and an accused article’s design cannot, and shall not, prevent a finding of

23
24
25
26
27
28

3

Some decisions use “substantially similar” to describe the ordinary observer test. See, e.g.,
Hoop v. Hoop, 279 F.3d 1004, 1007 (Fed. Cir. 2002) (“The ultimate test for design-patent
inventorship, like the test for anticipation and infringement, is whether the second asserted
invention is ‘substantially similar’ to the first”) (citing Gorham Mfg. Co. v. White, 81 U.S. 511,
528 (1872)).
APPLE’S MOTION FOR A PRELIMINARY INJUNCTION
CASE NO. 11-CV-01846-LHK
sf- 3006623

6

1

infringement.” Payless Shoesource, Inc. v. Reebok Int'l, Ltd., 998 F.2d 985, 991 (Fed. Cir. 1993)

2

(citations and internal quotes omitted).4

3

The hypothetical ordinary observer is deemed to be “conversant with the prior art,” which

4

may be relevant to infringement. Egyptian Goddess, 543 F.3d at 678. For example, “[w]hen the

5

differences between the claimed and accused design are viewed in light of the prior art, the

6

attention of the hypothetical ordinary observer will be drawn to those aspects of the claimed

7

design that differ from the prior art.” Id. at 676. “If the accused design has copied a particular

8

feature of the claimed design that departs conspicuously from the prior art, the accused design is

9

naturally more likely to be regarded as deceptively similar to the claimed design, and thus

10

infringing.” Id. at 677. The accused infringer, not the patentee, bears the burden of pointing out

11

prior art that it considers pertinent to the comparison between the claimed and accused designs,

12

although the patentee is also free to make such comparisons. Id. at 678-79.

13

Easing adjudication of design patents on a preliminary injunction motion, there is no need

14

for the district court “to attempt to provide a detailed verbal description of the claimed design, as

15

is typically done in the case of utility patents.” Id. at 679. For this reason, no formal claim

16

construction is required.

17

1.

18
19

The Samsung Infuse 4G and Galaxy S 4G Phones Infringe the ’D677
Patent

The ’D677 patent, attached as Zhang Decl. Ex. 48, is directed to the ornamental

20

appearance of the Apple iPhone’s distinctive front face—a design that is instantly recognizable as

21

“Apple” and “iPhone.” As shown, Samsung’s Galaxy S 4G and Infuse 4G phones copy Apple’s

22

patented design and appear to the ordinary observer to be “substantially the same.”5 (See

23

Woodring Decl., ¶¶ 13-27 and Exs. 8-13.)

24
25
26
27

4

In fact, in the Supreme Court’s landmark Gorham case, the accused spoon had noticeable
differences from the patented design. It was nevertheless held to infringe under the “ordinary
observer” test based on overall impression. (See Declaration of Cooper C. Woodring (“Woodring
Decl.”), filed herewith, ¶¶ 51-52 and Ex. 22 (Cooper C. Woodring, One Man’s Crusade: How a
Spoon Revolutionized Design Protection in America, Innovation, Summer 2010, at 55).)
5

28

As explained in the Manual on Patent Examining Procedure (“MPEP”) and the design patent
itself, broken lines in the figures are directed to unclaimed environment and form no part of the

APPLE’S MOTION FOR A PRELIMINARY INJUNCTION
CASE NO. 11-CV-01846-LHK
sf- 3006623

7

1
Galaxy S 4G

2

’D677 patent

Infuse 4G

3
4
5
6
7
8
9
10
11
12
13
14
15

Closely comparing Apple’s patented design with Samsung’s products reinforces the

16

conclusion of substantial similarity. Samsung copied every major element of Apple’s patented

17

design:

18
19

a flat, clear, black-colored, rectangular front surface with four evenly
rounded corners;

21

an inset rectangular display screen centered on the front surface that
leaves very narrow borders on either side of the display screen and
substantial borders above and below the display screen; and

22

a rounded, horizontal speaker slot centered on the front surface above
the display screen,

23

where the rectangular front surface is otherwise substantially free of
ornamentation outside of an optional button area centrally located
below the display.

20

24
25

(See Woodring Decl. ¶¶ 16, 22 and Exs. 8, 11.)

26
27
28

claimed design. MPEP 1530.02. Oblique line shading is used to show “transparent, translucent
and highly polished or reflective surfaces.” Id.
APPLE’S MOTION FOR A PRELIMINARY INJUNCTION
CASE NO. 11-CV-01846-LHK
sf- 3006623

8

1

A comparison of an Apple iPhone 4 embodying the patented design and the accused

2

Samsung phones is also telling. See L.A. Gear, Inc. v. Thom McAn Shoe Co., 988 F.2d 1117,

3

1125-26 (Fed. Cir. 1993) (“When the patented design and the design of the article sold by the

4

patentee are substantially the same, it is not error to compare the patentee’s and the accused

5

articles directly”); Woodring Decl. ¶¶ 17, 23 and Exs. 9, 12.

6
Galaxy S 4G

Apple iPhone 4

Infuse 4G

7
8
9
10
11
12
13
14
15
16
17
18
19
20

Samsung’s infringement (and intentional imitation) becomes even more apparent when

21

viewed in the context of prior art designs. At the May 12, 2011 hearing on Apple’s motion for

22

expedited discovery, Samsung submitted a handout that identified several alleged prior art

23

designs. (See Zhang Decl. Ex. 8.) But a side by side comparison of the Samsung-identified art,

24

Samsung’s accused phones, and Apple’s patented design shows that the Samsung phones are

25

substantially the same as Apple’s patented design and far afield from those prior art designs. (See

26

Woodring Decl. ¶¶ 18, 24 and Exs. 10, 13.)

27
28
APPLE’S MOTION FOR A PRELIMINARY INJUNCTION
CASE NO. 11-CV-01846-LHK
sf- 3006623

9

1
2

’D677

Galaxy S 4G

Infuse 4G

D563,929 (LG)

D498,754
(Alloy)

3
4
5
6
7
8
9
10
11
When a patented design “departs conspicuously from the prior art,” and an accused

12
13
14
15

product copies the conspicuously different features, “the accused design is naturally more likely
to be regarded as deceptively similar to the claimed design, and thus infringing.” Egyptian
Goddess, 543 F.3d at 677.
Minor differences between the Samsung phones and the patented design are trivial and

16
17
18
19
20
21
22
23
24
25
26
27
28

legally insignificant: (1) slightly thinner bands above and below the display screen; (2) in the
Infuse 4G, rounded corners with slightly smaller radius of curvature; (3) in the Galaxy S 4G, a
small camera aperture in the upper right corner; (4) a slightly wider and flatter speaker slot; and
(5) the use of small graphical icons to denote touch-sensitive areas below the display screen. (See
Woodring Decl. ¶¶ 19, 25.) These minor variations do not negate the overwhelming similarity
between the Samsung phones and Apple’s patented design when viewed as a whole. This is
especially true in light of the significant differences between Apple’s patented design and the
prior art, and Samsung’s concerted effort to mimic Apple’s distinctive design while rejecting a
bevy of other design options. (Id. at ¶¶ 20-21, 26-27.) Samsung cannot escape design patent
infringement by introducing insignificant differences after copying wholesale Apple’s overall
design. Int’l Seaway Trading Corp., 589 F.3d at 1243; see also Woodring Decl. ¶¶ 51-52 and
Ex. 22.
APPLE’S MOTION FOR A PRELIMINARY INJUNCTION
CASE NO. 11-CV-01846-LHK
sf- 3006623

10

1

2.

2
3

The Samsung Infuse 4G and Galaxy S 4G Phones Infringe the ’D087
Patent

The ’D087 patent, attached as Zhang Decl. Ex. 49, is also directed to the distinctive facial

4

appearance of Apple’s instantly-recognized iPhone. Samsung’s Infuse 4G and Galaxy S 4G

5

phones copy Apple’s distinctive iPhone appearance and to the ordinary observer appear

6

“substantially the same” as the patented design. (See Woodring Decl. ¶¶ 28-42 and Exs. 14-19.)

7

Galaxy S 4G

’D087 patent

Infuse 4G

8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28

Each of these Samsung phones copies the iPhone and includes the same major features as
Apple’s patented design:
a flat rectangular front surface with four evenly rounded corners;
an inset rectangular display screen centered on the front surface that
leaves very narrow borders on either side of the display screen and
substantial borders above and below the display screen;
a rounded, horizontal speaker slot centered on the front surface above
the display screen,
where the rectangular front surface is otherwise substantially free of
ornamentation outside of an optional button area centrally located
below the display; and
APPLE’S MOTION FOR A PRELIMINARY INJUNCTION
CASE NO. 11-CV-01846-LHK
sf- 3006623

11

1
2
3

a thin, continuous bezel surrounding the rectangular front surface that is
substantially uniform in appearance and having an inwardly sloping
profile.
(See Woodring Decl. ¶¶ 31, 37 and Exs. 14, 17.)

4

A comparison of the original Apple iPhone embodying the patented design and the

5

accused Samsung phones showcases the extent of Samsung’s copying. See LA Gear, 988 F.2d at

6

1125-26; Woodring Decl. ¶¶ 32, 38 and Exs. 15, 18.

7

Galaxy S 4G

iPhone

Infuse 4G

8
9
10
11
12
13
14
15
16
17
18
19
20
21

As with the ’D677 patent, a side by side comparison with the Samsung-identified prior art

22

shows that the accused Samsung phones copy the patented iPhone design and conspicuously

23

depart from the prior art. (See Woodring Decl. ¶¶ 33, 39 and Exs. 16, 19.) Because the accused

24

Samsung designs are substantially the same as Apple’s patented design, yet depart from prior

25

designs in the same way, the accused Samsung designs are “naturally more likely to be regarded

26

as deceptively similar to the [patented Apple] design, and thus infringing.” Egyptian Goddess,

27

543 F.3d at 677.

28
APPLE’S MOTION FOR A PRELIMINARY INJUNCTION
CASE NO. 11-CV-01846-LHK
sf- 3006623

12

1

’D087

Galaxy S 4G

Infuse 4G

D563,929 (LG)

2

D498,754
(Alloy)

3
4
5
6
7
8
9
10
11

The minor differences between the Samsung phones and the claimed design are trivial and

12

legally insignificant. See Int’l Seaway Trading Corp., 589 F.3d at 1243; Woodring Decl.

13

¶¶ 34-36 and 40-42. To the ordinary observer, the design of Samsung’s products as a whole

14

embody the claimed design and are substantially the same as Apple’s patented design.

15
16

3.

Samsung’s Galaxy Tab 10.1 Infringes the ’D889 Patent

The ’D889 patent, attached as Zhang Decl. Ex. 50, is directed to the appearance of an

17

electronic tablet device with minimal adornment. Samsung’s Galaxy Tab 10.1 clearly mimics,

18

and is substantially the same as, the ’D889 patent’s minimalist design. (See Woodring Decl.

19

¶¶ 43-50 and Exs. 20-21.)

20

’D889 patent

Galaxy Tab 10.1

21
22
23
24
25
26
27
28
APPLE’S MOTION FOR A PRELIMINARY INJUNCTION
CASE NO. 11-CV-01846-LHK
sf- 3006623

13

1
’D889 patent

Galaxy Tab 10.1

2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22

The overall appearance of the Galaxy Tab 10.1 is strikingly similar to the ’D889 patent

23

and shows Samsung’s copying. Every major element of Apple’s patented design is found in the

24

Galaxy Tab 10.1:

25
26

an overall rectangular shape with four evenly rounded corners;

27

a flat clear surface covering the front of the device that is without any
ornamentation;

28

a thin rim surrounding the front surface;
APPLE’S MOTION FOR A PRELIMINARY INJUNCTION
CASE NO. 11-CV-01846-LHK
sf- 3006623

14

1

a substantially flat back panel that rounds up near the edges to form the
thin rim around the front surface; and

2

a thin form factor.

3
4
5

(See Woodring Decl. ¶¶ 46 and Ex. 20.)
Apple’s infringement case is further bolstered by consideration of the prior art. Apple’s

6

patented ’D889 design was a leap forward in minimalist computer tablet design and departed

7

conspicuously from prior designs. When the Samsung Galaxy Tab 10.1 is examined against the

8

prior art that was cited in the ’D889 patent on the one hand, and Apple’s patented design on the

9

other, Samsung’s infringement again becomes self-evident. As shown below, the Samsung

10

Galaxy Tab 10.1 is substantially, even strikingly, similar to Apple’s minimalist, patented ’D889

11

design, which in turn looks very different from the prior art. (Id. at ¶¶ 47 and Ex. 21.)

12

Samsung’s copying of the novel and distinctive features in Apple’s patented design further

13

supports a finding of infringement. Egyptian Goddess, 543 F.3d at 677.

14

’D889

Galaxy Tab 10.1

D451,505 (Hitachi)

D345,346 (IBM)

15
16
17
18
19
20
21
22
23
24
25
26
27

Differences between the Samsung Galaxy Tab 10.1 and Apple’s patented design are trivial
and legally insignificant: the aspect ratio, thickness, and edge profiles do not appear to be

28
APPLE’S MOTION FOR A PRELIMINARY INJUNCTION
CASE NO. 11-CV-01846-LHK
sf- 3006623

15

1

absolutely identical in the Tab 10.1 and Apple’s patented design. (Id. at ¶¶ 48-50.) But as

2

discussed above, a product infringes a design patent even if it differs in several details, so long as

3

an ordinary observer would view the overall appearance to be substantially the same. These

4

minor differences do not affect the substantial similarity between Samsung’s tablets and Apple’s

5

claimed design when viewed as a whole, especially in light of the prior art.

6

B.

7

A defendant at trial must prove invalidity by “clear and convincing evidence.” Microsoft

Apple is Likely to Prevail on Design Patent Validity at Trial

8

Corp. v. i4i Ltd. P’shp, 564 U.S. --, 180 L. Ed. 131, 136 (2011). A “patent enjoys the same

9

presumption of validity during preliminary injunction proceedings as at other stages of litigation.”

10

Titan Tire Corp., 566 F.3d at 1376. “Thus, if a patentee moves for a preliminary injunction and

11

the alleged infringer does not challenge validity, the very existence of the patent with its

12

concomitant presumption of validity satisfies the patentee’s burden of showing a likelihood of

13

success on the validity issue.” Id. at 1377. If Samsung comes forward with evidence of

14

invalidity, Apple is entitled to respond. Id. The Federal Circuit summarized the proper approach

15

to analyzing invalidity at the preliminary injunction stage as follows:

16
17
18
19
20

Thus, when analyzing the likelihood of success factor, the trial
court, after considering all the evidence available at this early stage
of the litigation, must determine whether it is more likely than not
that the challenger will be able to prove at trial, by clear and
convincing evidence, that the patent is invalid.
Id. at 1379 (emphasis added).
Samsung has identified no prior art that would raise a serious question of design patent

21

invalidity, let alone make it likely to meet the “clear and convincing” burden of proof at trial. To

22

the contrary, all of the smartphones in Samsung’s May 12th demonstrative exhibit purporting to

23

show that Apple’s designs were “standard” were released after Apple’s January 2007 design

24

patent filing date. (See Zhang Decl. Exs. 7, 10-21.) Moreover, the ’D087, ’D677, and ’D889

25

patents were allowed by the Patent Office over a large number of cited prior art references. The

26

’D087 patent was also decreed valid and enforceable via consent judgment and formed the basis

27

for injunctive relief against another copier of Apple’s patented designs. See Apple Inc. v.

28
APPLE’S MOTION FOR A PRELIMINARY INJUNCTION
CASE NO. 11-CV-01846-LHK
sf- 3006623

16

1

Brilliant Store, Inc., 10-cv-2996-SBA, slip. op. at 2-4 (N.D. Cal. Jan. 5, 2011) (attached hereto as

2

Zhang Decl. Ex. 22).

3

The overwhelming public and media reaction to the revolutionary and distinctive “look”

4

of the iPhone and iPad further confirms the novelty of Apple’s patented designs. (See Zhang

5

Decl. ¶¶ 32-37, Exs. 27-32.) The New York Times likened Apple’s creation of the iPhone design

6

to the work of “the fairy godmother in ‘Cinderella’”: transformation of a “homely and utilitarian

7

object, like a pumpkin or a mouse, into something glamorous and amazing, like a carriage or fully

8

accessorized coachman.” (See id. at Ex. 27.) Walt Mossberg of the Wall Street Journal

9

described Apple’s iPad design as “sleek” and “beautiful,” while Wired.com simply concluded:

10

“there’s something seriously different about Apple’s tablet.” (See id. at Exs. 31-32.)

11

Accordingly, Apple, not Samsung, is likely to prevail on the validity of Apple’s three design

12

patents.

13

III.

14

APPLE IS ENTITLED TO A PRELIMINARY INJUNCTION BASED ON
SAMSUNG’S INFRINGEMENT OF THE ’381 PATENT

15

A.

The ’381 Patent Has Survived Reexamination and Does Not Present Any
Claim Terms Requiring Construction

16
17
18
19
20
21
22
23
24
25
26

Apple’s ’381 patent, attached as Zhang Decl. Ex. 51, is an easily understood patent that is
clearly infringed by all four Samsung products at issue. iPhone and iPad users may be familiar
with the relevant functionality — pull a web page past its edge with one’s finger and let go, and
watch the page bounce back to fill the screen. Apple did not lightly decide to seek preliminary
relief on a utility patent, but this patent and Samsung’s infringement present a paradigmatic case
for such relief both because infringement is clear under the plain language of the claims and also
because the patent has survived reexamination.
The ’381 patent has previously been litigated and withstood a serious challenge to its
validity by a highly motivated adversary. On December 11, 2009, Apple asserted the ’381 patent
as a counterclaim against Nokia in Nokia Corp. v. Apple Inc., Case No. 1:09cv791 (D. Del.) (the

27
28
APPLE’S MOTION FOR A PRELIMINARY INJUNCTION
CASE NO. 11-CV-01846-LHK
sf- 3006623

17

1

“Nokia Action”).6 (Zhang Decl. Ex. 38.) In view of the easily understood and straightforward

2

language of the claims of the ’381 patent, neither party asked the Delaware court to construe any

3

of its terms during the May 15, 2011 Markman hearing. (See Zhang Decl. Ex. 39 (Nokia Action

4

2/23/11 Joint Claim Construction Chart.) While patent claims should be construed before they

5

are applied, not every claim limitation requires construction. See U.S. Surgical Corp. v. Ethicon,

6

Inc., 103 F.3d 1554, 1568 (Fed. Cir. 1997) (claim construction is appropriate to “clarify and when

7

necessary to explain what the patentee covered by the claims” but is not an “obligatory exercise

8

in redundancy”). Here, no formal claim construction is necessary because the claims of the ’381

9

patent employ simple terms that should be accorded their ordinary meaning. See Brown v. 3M,

10

265 F.3d 1349, 1352 (Fed. Cir. 2001) (recognizing that non-technical claim terms do not require

11

elaborate interpretation).

12

On April 28, 2010, Nokia requested ex parte reexamination of all twenty claims of the

13

’381 patent based on four prior art references, three of which were not cited in the original

14

prosecution. (Zhang Decl., Ex. 40.) Nokia relied on the same prior art for its invalidity

15

contentions in supplemental interrogatory responses that it provided six months later, in effect

16

conceding that it had not been able to find any better prior art, despite a year of litigation. (Id.,

17

Ex. 41.) The Patent Office subsequently found Nokia’s arguments unpersuasive and confirmed

18

the patentability of all twenty claims. (Id., Ex. 42.)

19

B.

20

Likelihood of success on the merits requires Apple to show it will likely prove

Apple Is Likely to Succeed on the Merits

21

infringement of one or more claims of the ’381 patent and that one or more of those claims will

22

likely withstand validity challenges presented by Samsung. AstraZeneca LP, 633 F.3d at 1050.

23

1.

24
25
26
27
28

Samsung Infringes the Claims of the ’381 Patent

Samsung’s products clearly infringe the claims of the ’381 patent based on the plain
language of those claims. The ’381 patent is generally directed to a method and a related device
6

On June 14, 2011, Nokia reported that the Nokia action had been settled. Apple also asserted
the ’381 patent against High Tech Computer Corp. (”HTC”) in an action it filed in Delaware on
March 2, 2010. (Zhang Decl. Ex. 43 at ¶ 41).) HTC and Apple have not yet exchanged
disclosures relating to the validity or interpretation of the ’381 patent.
APPLE’S MOTION FOR A PRELIMINARY INJUNCTION
CASE NO. 11-CV-01846-LHK
sf- 3006623

18

1

for displaying electronic documents on a touch screen display, in which (a) a document can be

2

translated (e.g., moved or scrolled) across the screen in response to the movement of a finger or

3

other object on the touch screen; (b) if the document is moved beyond its edge, an area beyond

4

that edge will be displayed (such as a black or “empty” screen); and (c) when the finger or other

5

object is lifted from the touch screen, the document will scroll back so that the area beyond its

6

edge is no longer displayed. The result of this method is that the image scrolls back into view.

7

Claim 1 of the ’381 patent is an independent method claim directed to use of the scroll

8

back feature, while claims 19 and 20 are independent apparatus claims directed to devices that

9

incorporate this feature. Use of the Samsung products for their intended purpose infringes claim

10

1 (and its dependent claims), and sale of these products infringes claims 19 and 20. A detailed

11

infringement analysis is set forth in the Declaration of Ravin Balakrishnan, Ph.D in Support of

12

Apple’s Motion for a Preliminary Injunction (“Balakrishnan Decl.”). Apple summarizes this

13

analysis below, using the Infuse 4G as an exemplary product. The Galaxy S 4G and Droid

14

Charge phones and the Samsung Galaxy Tab 10.1 tablet computer operate in the same manner,

15

and thus infringe for the same reasons. (See Balakrishnan Decl. ¶¶ 28-148; Exs. 10-12.)

16

Claim 1 of the ’381 patent begins by reciting “a computer-implemented method

17

comprising: at a device with a touch screen display.” The Infuse 4G is a computing device that

18

runs software that can display images on its touch screen display. (See Balakrishnan Decl.

19

¶¶ 28-34; Exs. 10-12.) Thus, use of the Infuse 4G meets this preamble and first limitation.

20

The next four limitations of claim 1 involve sequential displays of first, second, third, and

21

fourth portions of an electronic document, such as a photo. Samsung’s infringement is clear from

22

the photos in the charts below, which are taken from the video clips attached as Exhibits 13a-13h

23

to the Balakrishnan Declaration.

24
25
26
27
28
APPLE’S MOTION FOR A PRELIMINARY INJUNCTION
CASE NO. 11-CV-01846-LHK
sf- 3006623

19

1
CLAIM 1

SAMSUNG INFUSE 4G

2
3

displaying a first portion of an
electronic document;

The Infuse 4G displays a “first portion” of an electronic
document such as a photo through its “Gallery” application.
(See Balakrishnan Decl. ¶¶ 35-38, Ex. 13a.)

detecting a movement of an
object on or near the touch
screen display; in response to
detecting the movement,
translating the electronic
document displayed on the
touch screen display in a first
direction to display a second
portion of the electronic
document, wherein the second
portion is different from the
first portion;

The Infuse 4G detects the movement of a finger on its touch
screen, and in response, scrolls the electronic document in the
same direction, displaying a different “second portion” of the
document. (See Balakrishnan Decl. ¶¶ 39-41, Ex. 13a.)

4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28

APPLE’S MOTION FOR A PRELIMINARY INJUNCTION
CASE NO. 11-CV-01846-LHK
sf- 3006623

20

1
CLAIM 1

SAMSUNG INFUSE 4G

in response to an edge of the
electronic document being
reached while translating the
electronic document in the first
direction while the object is still
detected on or near the touch
screen display: displaying an
area beyond the edge of the
document, and displaying a
third portion of the electronic
document, wherein the third
portion is smaller than the first
portion; and

In response to reaching the edge of an electronic document
while it is moving in the first direction and the finger is still on
the touch screen, the Infuse 4G displays a black region beyond
the edge, and thus displays a smaller “third portion” of the
document. (See Balakrishnan Decl. ¶¶ 42-46, Ex. 13a.)

in response to detecting that the
object is no longer on or near
the touch screen display,
translating the electronic
document in a second direction
until the area beyond the edge
of the electronic document is no
longer displayed to display a
fourth portion of the electronic
document, wherein the fourth
portion is different from the
first portion.

In response to detecting that the finger is no longer on its touch
screen, the Infuse 4G scrolls the electronic document in a
second direction until it no longer displays the area beyond the
document’s edge, and instead displays a “fourth portion” of the
document that is different from the first portion. (See
Balakrishnan Decl. ¶¶ 47-53, Ex. 13a.)

2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
APPLE’S MOTION FOR A PRELIMINARY INJUNCTION
CASE NO. 11-CV-01846-LHK
sf- 3006623

21

1

The entire sequence is depicted below in a side by side comparison, showing the first,

2

second, third, and fourth portions of the photograph in Figures 1 to 4. Neither the second nor the

3

fourth portion is the same as the first portion.

4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26

Use of the Samsung devices also infringes dependent claims 2-5, 7, 9-10, 13, 14, and 16
of the ’381 patent. (Balakrishnan Decl. ¶¶ 54-87.) These dependent claims add various
limitations, such as specifying that the “object” on the touch screen device is a finger (claim 2);
the “second direction” is opposite the “first direction” (claim 10); the area beyond the edge is
displayed as black or a solid color (claim 13); and the change in direction makes the edge of the
electronic document appear to be “elastically attached” to the edge of the touch screen (claim 16).
Claim 19 claims a device with a touch screen display, processor, and memory, with
program instructions to perform the steps of claim 1. Each of the accused Samsung devices

27
28
APPLE’S MOTION FOR A PRELIMINARY INJUNCTION
CASE NO. 11-CV-01846-LHK
sf- 3006623

22

1

performs the steps described in claim 1 and has a program with instructions for performing the

2

tasks as recited in claim 19.7 (Balakrishnan Decl. ¶¶ 88-124.)

3

Similarly, claim 20 claims a computer readable storage medium with stored instructions

4

that, when executed, cause a device with a touch screen display to perform the steps of claim 1.

5

Again, each of the accused Samsung devices performs the steps described in claim 1 and has a

6

computer readable storage medium with instructions for performing the tasks as recited in

7

claim 20. (Balakrishnan Decl. ¶¶ 125-148.)

8

2.

9

Samsung Is Unlikely to Prevail on Invalidity at Trial

As discussed above, “the trial court, after considering all the evidence available at this

10

early stage of the litigation, must determine whether it is more likely than not that the challenger

11

will be able to prove at trial, by clear and convincing evidence, that the patent is invalid.” Titan

12

Tire, 566 F.3d at 1379. Samsung is not likely to meet that heavy burden of proof at trial for

13

the ’381 patent.

14

The ’381 patent survived reexamination over all of Nokia’s identified prior art. Nokia,

15

which was in litigation with Apple, was highly motivated to uncover the best prior art and

16

undoubtedly conducted an exhaustive prior art search. Nevertheless, eleven months after Apple

17

first asserted the ’381 patent against Nokia, and more than six months after the reexamination

18

petition was filed, Nokia relied on the same prior art in its November 2010 invalidity contentions.

19

(Zhang Decl. Ex. 41.) Because the claims were confirmed during reexamination over the

20

strongest known prior art, there is an even greater likelihood that Apple will prevail on invalidity

21

challenges at trial. See Oakley, Inc. v. Sunglass Hut Int’l, No. SA CV 01-1065-AHS, 2001 WL

22

1683252, at *5 (C.D. Cal. Dec. 7, 2001) (grant of reexamination certificate supports clear case of

23

validity for preliminary injunction); aff’d, 316 F.3d 1331, 1339 (Fed. Cir. 2003); see also Procter

24

& Gamble Co. v. Kraft Foods Global, Inc., 549 F.3d 842, 847-48 (Fed. Cir. 2008) (ordering

25
26
27
28

7

See, e.g., iRise v. Axure Software Solutions, Inc., No. CV 08-3601-SJO, 2009 WL 3615075, at
*36 (C.D. Cal. Sept. 11, 2009) (“because the Court has found that Axure RP Pro includes the
functions specified in each of the claim limitations, it necessarily follows that Axure RP Pro
contains the instructions for performing these functions . . . As such, no reasonable jury could
find that this additional “instructions” limitation of Claim 40 is not satisfied”).
APPLE’S MOTION FOR A PRELIMINARY INJUNCTION
CASE NO. 11-CV-01846-LHK
sf- 3006623

23

1

district court to consider preliminary injunction motion and noting court should consider status of

2

reexamination proceedings when evaluating likelihood of success).

3

IV.

4

A PRELIMINARY INJUNCTION IS NECESSARY TO PREVENT
IRREPARABLE HARM

5

A.

6

The Federal Circuit has repeatedly held that threatened loss of market share and goodwill

7

supports a finding of irreparable harm in patent cases. For example, the Federal Circuit recently

8

affirmed a preliminary injunction, agreeing with the district court that the availability of damages

9

and the fact that other competitors were already in the market “do not negate” the irreparable

10

harm from lost market share that would ensue absent a preliminary injunction. Abbott Labs.,

11

544 F.3d at 1361-62. The Federal Circuit relied on its prior holding that “loss of revenue,

12

goodwill, and research and development support constitute irreparable harm.” Id. (citing Bio-

13

Technology Gen. Corp. v. Genentech, Inc., 80 F.3d 1553, 1566 (Fed. Cir. 1996)).8

14

Apple Will Be Irreparably Harmed if Samsung Continues to Erode the
Distinctiveness of Apple’s Designs and to Take Market Share

The Federal Circuit also recently affirmed a preliminary injunction that was based, in part,

15

on the finding that sale of infringing products would cause “incalculable harm to [the patent

16

holder’s] goodwill.” AstraZeneca , 633 F.3d at 1063; see also Nanoexa Corp. v. Univ. of

17

Chicago, No. 10-CV-2631-LHK, 2010 WL 3398532, at *4 (N.D. Cal. Aug. 27, 2010) (noting in a

18

patent licensing dispute that “intangible injuries such as damage to reputation, advertising efforts,

19

or goodwill may constitute irreparable harm”); Reebok Int’l Ltd. v. J. Baker, Inc., 32 F.3d 1552,

20

1558 (Fed. Cir. 1994) (“Harm to reputation resulting from confusion between an inferior accused

21

product and a patentee’s superior product is a type of harm that is often not fully compensable by

22

money because the damages caused are speculative and difficult to measure”).

23
24
8

25
26
27
28

The same irreparable harm analysis applies for design patent infringement. See Telebrands
Direct Response Corp. v. Ovation Commc’ns, Inc., 802 F. Supp. 1169, 1178-79 (D.N.J. 1992)
(granting preliminary injunction based on likely infringement of design patent and finding
irreparable harm because patentee had spent “substantial sums” to promote its product, the
infringement would damage patentee’s market share and reputation, and would encourage others
to create “knock-off” products); Oscar Mayer Foods Corp. v. Sara Lee Corp., No. 90-D-42-C,
1990 U.S. Dist. LEXIS 10032, at *24-25 (W.D. Wis. Mar. 20, 1990) (finding irreparable harm
due to potential loss of market share and significant marketing expenditures).

APPLE’S MOTION FOR A PRELIMINARY INJUNCTION
CASE NO. 11-CV-01846-LHK
sf- 3006623

24

1

Samsung’s continued infringement of Apple’s patented designs and utility patents

2

threatens irreparable harm to fundamental elements of Apple’s business. Apple has a focused

3

product offering of iPhones, iPads, and iPods, desktop and notebook computers and displays, and

4

media and software that runs on them. (See Declaration of Jason R. Bartlett in Support of

5

Apple’s Motion for a Preliminary Injunction (“Bartlett Decl.”), filed herewith, Ex. 1.) Of these,

6

perhaps none is more iconic than the phenomenally successful iPhone. The iPhone immediately

7

caught the public’s eye when it was announced on January 9, 2007. The next day, it was featured

8

in the pages of the New York Times, the USA Today, and the Wall Street Journal. In a survey

9

conducted just three months later, nineteen million mobile phone users in the United States

10

considered themselves “strongly interested” in buying an iPhone. Time Magazine named it the

11

Invention of the Year. (See Bartlett Decl. ¶¶ 3-5, 16.)

12

When the iPhone shipped in September 2007, Apple sold a million of them in just

13

74 days. It took just three days to sell a million iPhone 3Gs in 2008 and three days to sell a

14

million iPhone 3GSs in 2009. The iPhone 4 shattered these records, selling 1.7 million units in its

15

first three days in June 2010. (See Bartlett Decl. ¶¶ 13, 19-21.)

16

More remarkable still is the iPad. In roughly the time it took Apple to sell its first million

17

iPhones, Apple sold three million iPads. (See Bartlett Decl. Ex. 32.) The iPad created an entirely

18

new market. As the technology review website CNET observed:

19
20
21
22

The Apple iPad wasn’t just a successful tablet computer in 2010—it
was the tablet computer. In one fell swoop, Apple created the new
tablet market and sold tens of millions of iPads in spite of a global
economic downturn and considerable skepticism.
(See Bartlett Decl. Ex. 43.)

23

Apple has invested heavily to develop the public’s awareness of the designs of the iPhone

24

and iPad. Apple’s advertising expenditures were in the range of a half a billion dollars in each of

25

the last three years. (Declaration of Sissie Twiggs in Support of Apple’s Motion for a

26

Preliminary Injunction (“Twiggs Decl.”), filed herewith, ¶ 2.) Apple’s advertising is ubiquitous.

27

Television, newspapers, magazines, websites, billboards, and transit stations around the world

28

carry images of Apple’s products. (Twiggs Decl. ¶¶ 3-7.) Apple’s iPhone and iPad advertising
APPLE’S MOTION FOR A PRELIMINARY INJUNCTION
CASE NO. 11-CV-01846-LHK
sf- 3006623

25

1

famously eschews bright colors, spokespersons, and sometimes even words. The product design

2

is allowed to speak for itself:

3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28

(Twiggs Decl. ¶ 8, Ex. 2.)
Wide product distribution and extensive design-centric advertising have generated
goodwill in the iPhone and iPad designs of incalculable value. Samsung’s sale of products that
mimic Apple’s designs threatens to erode the value of the designs and attenuate the hard-won link
in the public’s mind between the designs and Apple.
Samsung has made clear that it is aiming straight for the heart of Apple’s product line
with its “Galaxy” line of smartphones and tablets. Samsung has already characterized itself in
this litigation as Apple’s “avowed competitor.” (D.N. 44 at 1.) Last year, Samsung promised its
shareholders:
We will bolster our leadership in mobile phones as we aim to
become the world’s No. 1 handset producer. In 2010, Samsung
Electronics reinforced our market leadership by achieving sales of
280 million mobile phones worldwide, up 23% over 2009 and a
APPLE’S MOTION FOR A PRELIMINARY INJUNCTION
CASE NO. 11-CV-01846-LHK
sf- 3006623

26

1

double-digit increase in operating profits. Our flagship GALAXY S
model posted sales of 10 million units, while the GALAXY Tab
also led the Android tablet PC market, earning glowing customer
reviews. . . . In 2011, we plan to aggressively challenge a market
that grows ever more competitive. By launching GALAXY S II,
our flagship strategy smartphone, we will emphasize our category
leadership and provide readily available lineup options for global
customers.

2
3
4
5
6

(Samsung 2010 Annual Report, Bartlett Decl. Ex. 45 (emphasis added).) As intended, Samsung’s

7

iPhone and iPad clones are beginning to hit their mark. In May 2011, the research group

8

International Data Corporation reported that Samsung had achieved a huge, 350% year-over-year

9

increase in the number of smartphone units sold worldwide in the year since it started selling its

10

iPhone-imitating Galaxy S, resulting in surging market share (which more than doubled from

11

4.3% to 10.8% year-over-year). (Bartlett Decl. Ex. 46.)

12

Absent injunctive relief, Samsung’s sales of its Galaxy Tab tablet computers also are

13

likely to undercut Apple’s iPad sales. Samsung’s introduction of its copycat Galaxy Tab tablet in

14

the fall of 2010 (see Zhang Decl. Ex. 36) directly harmed sales of the original iPad. (Bartlett

15

Decl. Ex. 47 (noting that Samsung’s Galaxy Tab captured more than 17% of tablet sales during

16

the holiday season while Apple’s market share declined).) A similar impact will likely result

17

from Samsung’s recent release of its Galaxy Tab 10.1 tablet (Zhang Decl. Exs. 37) -- a product

18

that Samsung redesigned after the iPad 2’s release to more closely mirror its profile. (See

19

May 18, 2011 Order (D.N. 52) at 3-4 (noting media reports that “Samsung ‘overhaul[ed]’ its

20

forthcoming Galaxy Tab 10.1 in response to Apple’s recently unveiled iPad 2”).

21

Thus, allowing Samsung to sell a new round of infringing products will cause Apple

22

irreparable harm. Samsung’s infringement is eroding the distinctiveness of Apple’s designs.

23

Apple is losing market share and customer goodwill. Money damages cannot adequately

24

compensate Apple for the harm Samsung is causing.

25
26
27
28

B.

Because Apple Is Seeking a Preliminary Injunction Against Samsung’s Newly
Released Products, Its Alleged Delays in Enforcing Its Rights Are Irrelevant

Samsung argued at the hearing on Apple’s Motion to Expedite Discovery that Apple
cannot show irreparable harm because it allegedly delayed in seeking a preliminary injunction
APPLE’S MOTION FOR A PRELIMINARY INJUNCTION
CASE NO. 11-CV-01846-LHK
sf- 3006623

27

1

against “Galaxy S” phones released from July through November 2010. (See Zhang Decl.

2

Ex. 7.) Whatever the merits of Samsung’s argument with respect to the release of the first

3

generation of Galaxy phones – and it has none – this motion is directed to products that Samsung

4

has just released in the past several months, as to which there can be no claim of delay.9

5

Because Apple’s preliminary injunction motion is directed to Samsung’s new products,

6

any alleged delay as to older products is irrelevant.10 Directly on point is Rexnord, Inc. v.

7

Laitram Corp., 1 U.S.P.Q.2d 1923 (E.D. Wis. 1986). There, the court denied a motion for

8

preliminary injunction as to Rexnord’s older “4802, 4803, and 4809” products on the ground that

9

the patent holder did not sue until “sixteen months after discovering that the Rexnord products

10

may be infringing its patents.” Id. at 1923. The court held, however, that “there is no such undue

11

delay” on a later motion for a preliminary injunction against new “4813” and “4819” products.

12

Id. at 1924. The court granted a preliminary injunction against these new products, even though

13

they were “essentially of the same design.” Id. at 1924; accord Whistler Corp. v. Dynascan

14

Corp., 9 U.S.P.Q.2d 2087, 2088 (N.D. Ill. 1988) (citing Rexnord for the principle that “a patent

15

owner may seek a preliminary injunction in connection with newly introduced products even if

16

the products are essentially the same as previously marketed products”).

17

The rationale of Rexnord applies with even greater force here, given that Samsung’s

18

newly released products include significant upgrades to its older products. (Zhang Decl. ¶¶ 52-

19

57, Exs. 33, 35, 44-47.) Samsung’s release of a new round of infringing products causes

20
21

9

22

The “official” release dates of the Samsung Galaxy S 4G, Droid Charge, Infuse 4G, and Galaxy
Tab 10.1 products were February 23, May 14, May 15, and June 8, 2011, respectively. (See
Zhang Decl., Exs. 33-35, 37.)

23

10

24
25
26
27
28

Even if Apple were seeking a preliminary injunction against Samsung’s older smartphones,
Apple did not unduly delay because it immediately notified Samsung of its infringement claims
when Samsung released them in July 2010, and was then involved in settlement negotiations with
Samsung. (Declaration of Richard J. Lutton, Jr. in Support of Apple’s Motion for a Preliminary
Injunction, filed herewith, at ¶¶ 2-9.) Courts have held that even a delay of more than one year
does not preclude a preliminary injunction when the patent holder has been engaged in periodic
settlement negotiations with other infringers. See Elantech Devices Corp. v. Synaptics, Inc.,
C06cv1839 CRB, 2008 U.S. Dist. LEXIS 120024, at *25 (N.D. Cal. Mar. 13, 2008) (granting
preliminary injunction where “parties periodically engaged in settlement discussions over the
previous two years”) (citations omitted).
APPLE’S MOTION FOR A PRELIMINARY INJUNCTION
CASE NO. 11-CV-01846-LHK
sf- 3006623

28

1

significantly more serious harm — both qualitatively and quantitatively — than continuing sales

2

of older products.

3

Samsung’s position that Apple is forever barred from seeking a preliminary injunction

4

against future generations of infringing devices merely because Apple did not seek such relief in

5

2010 against Samsung’s first generation products is illogical and contrary to case law. Samsung

6

does not get a “free pass” to release a new round of infringing products. On the contrary, Apple

7

may seek a preliminary injunction in connection with “newly introduced products,” regardless of

8

any alleged delay with regard to Samsung’s older smartphones. See Whistler, 9 U.S.P.Q.2d at

9

2088; Rexnord, 1 U.S.P.Q.2d at 1925.

10
11

V.

THE BALANCE OF EQUITIES WEIGHS DECIDEDLY IN APPLE’S FAVOR
The substantial and irreparable harm that Apple is suffering and will continue to suffer

12

without immediate injunctive relief far outweighs any potential harm to Samsung, which

13

deliberately continues to mimic Apple’s designs and to infringe its patents.

14

The fact that Samsung might have to expend resources or suffer inconvenience to design

15

its own products and to remove their infringing functionality is a consequence of Samsung’s

16

decision to copy Apple’s patented designs and products; it does not weigh against entry of an

17

injunction. This is especially true here, where Samsung has been on notice of its infringement for

18

approximately a year. Under these circumstances, Samsung cannot now fairly claim that it would

19

suffer economic harm if restrained. See, e.g., Telebrands Direct Response Corp., 802 F. Supp. at

20

1179 (balance of equities favors preliminary injunction in design patent case, since “[o]ne who

21

elects to build a business on a product found to infringe cannot be heard to complaint if an

22

injunction against a continuing infringement destroys the business so elected”) (quoting

23

Windsurfing Int’l, Inc. v. AMF, Inc., 782 F.2d 995, 1003 n.12 (Fed. Cir. 1986)); Fred Hutchinson

24

Cancer Research Ctr. v. BioPet Vet Lab, Inc., 10-cv-616, 2011 WL 1119563, at *8 (E.D. Va.

25

Mar. 17, 2011) (granting preliminary injunction and finding balance of equities favored patentee

26

even where defendants alleged economic harm and potential “bankruptcy or termination” if

27

enjoined).

28
APPLE’S MOTION FOR A PRELIMINARY INJUNCTION
CASE NO. 11-CV-01846-LHK
sf- 3006623

29

1

Indeed, courts have recognized that it may be less prejudicial to enjoin a defendant that

2

has invested fewer resources in an infringing product than to wait until the defendant has invested

3

more resources in a product, and then later enjoin its use. See, e.g., Trak, Inc. v. Benner Ski KG,

4

475 F. Supp. 1076, 1078 (D. Mass. 1979) (holding that enjoining defendant at commencement of

5

sales campaign would “nip[] the operation in the bud” whereas denial of preliminary relief would

6

result in defendant’s entrenchment, “making permanent relief more problematical”).

7

VI.

8

A PRELIMINARY INJUNCTION SERVES THE PUBLIC INTEREST
A preliminary injunction is necessary not only to protect Apple’s rights, but also to protect

9

the public interest. Because Apple has demonstrated a likelihood of success on its claims, the

10

public interest would be served by prohibiting Samsung from infringing Apple’s patents. See,

11

e.g., Fred Hutchinson Cancer Research Ctr., 2011 WL 1119563, at *8 (granting preliminary

12

injunction and finding “there is a strong public interest in preserving the rights of patent

13

holders”). As one court noted in preliminarily enjoining infringement of a design patent:

14

No public interest is served by allowing patent infringement. While
this Court certainly favors vigorous competition in the marketplace,
it also recognizes the importance of rewarding inventors for their
creative genius and protecting their intellectual property rights from
infringers. Rather than stifle competition, such protection
encourages the innovation that leads to new products.

15
16
17
18

Telebrands Direct Response Corp., 802 F. Supp. at 1179.

19

VII.

20

CONCLUSION
Apple has shown that it is likely to prevail on the merits and has met the other criteria for

21

injunctive relief. Apple’s motion seeks to prevent further irreparable harm on account of

22

Samsung’s blatant and continuous copying of Apple’s products. The violation of Apple’s

23

intellectual property rights and the harm to Apple are clear. Apple urgently requests that the

24

Court issue a preliminary injunction.

25
26
27
28
APPLE’S MOTION FOR A PRELIMINARY INJUNCTION
CASE NO. 11-CV-01846-LHK
sf- 3006623

30

1

Dated: July 1, 2011

MORRISON & FOERSTER LLP

2
3

By:

4

/s/ Michael A. Jacobs
Michael A. Jacobs

5

Attorneys for Plaintiff
APPLE INC.

6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
APPLE’S MOTION FOR A PRELIMINARY INJUNCTION
CASE NO. 11-CV-01846-LHK
sf- 3006623

31

1

ECF ATTESTATION

2

I, JASON R. BARTLETT, am the ECF User whose ID and password are being used to

3

file the following document: APPLE’S MOTION FOR A PRELIMINARY INJUNCTION. In

4

compliance with General Order 45, X.B., I hereby attest that Michael A. Jacobs has concurred in

5

this filing.

6
7

Dated: July 1, 2011

MORRISON & FOERSTER LLP
By: /s/ Jason R. Bartlett
JASON R. BARTLETT

8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
APPLE’S MOTION FOR A PRELIMINARY INJUNCTION
CASE NO. 11-CV-01846-LHK
sf- 3006623

32