SURFCAST INC v. MICROSOFT CORPORATION

Filing 1

COMPLAINT against MICROSOFT CORPORATION IF FILING FEE IS BEING PAID WITH A CREDIT CARD, COUNSEL ARE INSTRUCTED TO IMMEDIATELY LOGIN TO CM/ECF AND DOCKET Case Opening Filing Fee Paid FOUND IN THE Complaints and Other Initiating Documents CATEGORY.IF FILING FEE IS BEING PAID WITH A CHECK, THE COURT REQUIRES RECEIPT OF PAYMENT WITHIN 48 HOURS OF THIS FILING., filed by SURFCAST INC. (Service of Process Deadline 2/27/2013) (Attachments: # 1 US Patent 6,724,403, # 2 File History of US Patent 7,933,632, # 3 US Patent 7,933,632, # 4 Windows 8 Product Guide, # 5 Tile and Tile Notification Overview)(bfa)

IN THE UNITED STATES DISTRICT COURT
FOR THE DISTRICT OF MAINE
SURFCAST, INC.,

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Plaintiff,
v.
MICROSOFT CORPORATION,
Defendant.

Case No. _________________

COMPLAINT
Plaintiff SurfCast, Inc. (“SurfCast”) for its Complaint against Defendant Microsoft
Corporation (“Microsoft”), hereby alleges as follows:
NATURE OF THE ACTION
1.

This is an action brought by SurfCast for infringement of U.S. Patent

No. 6,724,403 (“the ’403 patent”), arising under the patent laws of the United States, Title 35,
United States Code, 35 U.S.C. §§ 271 and 281.
PARTIES
2.

SurfCast is a corporation organized and existing under the laws of the State of

Delaware with its principal place of business at 22 Carroll Street, Suite 9, Portland, ME 04102.
3.

On information and belief, Microsoft is a corporation organized and existing

under the laws of the State of Washington, with its corporate headquarters at One Microsoft
Way, Redmond, WA 98052.
JURISDICTION AND VENUE
4.

This action arises under the patent laws of the United States, 35 U.S.C. §§ 100, et

seq., and this Court has jurisdiction over the subject matter of this action under 28 U.S.C.
§§ 1331 and 1338(a).
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5.

Venue is proper in this Court under 28 U.S.C. §§ 1391 and 1400(b).

6.

SurfCast’s office is located at 22 Carroll Street, Suite 9, Portland, ME 04102.

7.

Ovid Santoro, one of the founders of SurfCast and one of the inventors of the ’403

patent resides in Portland and Lincolnville, Maine.
8.

Documents and tangible things concerning SurfCast, the patent-in-suit and

inventor Ovid Santoro all reside in Maine.
9.

This Court has personal jurisdiction over Microsoft with respect to this Complaint

because, inter alia: (1) Microsoft has committed, or aided, abetted, contributed to or participated
in the commission of tortious acts of patent infringement by offering to sell and selling the
accused products. These acts have caused foreseeable harm and injury to SurfCast, a corporation
with its principal place of business located in Maine; (2) Microsoft has had and has systematic
and continuous contacts with Maine; and (3) Microsoft offers to sell, sells and has sold the
accused products in Maine.
FACTUAL BACKGROUND
10.

U.S. Patent No. 6,724,403 is entitled “System and Method For Simultaneous

Display of Multiple Information Sources,” which the U.S. Patent and Trademark Office duly and
legally issued on April 20, 2004. A true and correct copy of the ’403 patent is attached hereto as
Exhibit A.
11.

Ovid Santoro and Klaus Lagermann (collectively “the ’403 patent inventors”) are

the inventors of the ’403 patent.
12.

By virtue of inventor Ovid Santoro’s February 14, 2001 assignment and inventor

Klaus Lagermann’s March 5, 2001 assignment, SurfCast obtained all rights, title and interest in
the inventions of the ’403 patent.
13.
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The claims of the ’403 patent are valid and enforceable.
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14.

Microsoft infringes the ’403 patent by making, using, selling, and offering to sell

devices and software products covered by the ’403 patent including operating systems for
personal computers, phones, tablet devices, and other hardware, mobile devices with the
Windows Phone 7 Operating System (“the Windows Phone 7 Products”), the Microsoft Surface
with the Windows RT Operating System, the Microsoft Windows RT, Microsoft Windows 8,
Microsoft Windows 8 Pro, and Microsoft Windows 8 Enterprise Operating System for personal
computers, and personal computers implementing the Microsoft Windows 8, Windows 8 Pro,
and Windows 8 Enterprise Operating System (“the Windows 8 Accused Products”), and all like
products, collectively “the Accused Products,” in Maine and throughout the United States.
15.

The Accused Products employ a display with a user interface described by

Microsoft as follows: “Through tiles on the Start screen, apps are alive with activity and can
deliver vibrant content, even when they’re not running. Using live tiles, your app can provide
useful, at-a-glance data to the user, while minimizing battery usage. Windows Push Notification
Services (WNS) enables your app to receive messages and send them to your app’s live tile or
provide a notification to the user.”

Windows 8 Product Guide at p. 54 (available at

http://go.microsoft.com/fwlink/?LinkId=251529; attached hereto as Exhibit D).
16.

On information and belief, on or about October 26, 2012, Microsoft began

making, using, offering for sale and selling the Windows 8 Accused Products in Maine and
throughout the United States.
17.

On information and belief, on or about November 8, 2010, Microsoft began

offering for sale and selling the Windows Phone 7 Products in Maine and throughout the United
States.

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COUNT I (DIRECT INFRINGEMENT OF THE ’403 PATENT)
18.

Each of the preceding paragraphs 1 to 18 is incorporated as if fully set forth

19.

Microsoft’s offer to sell and sale of the Accused Products constitutes infringement

herein.

of one or more of the claims of the ’403 patent under 35 U.S.C. § 271(a), including but not
limited to claims 1 and 22.
20.

SurfCast has been injured and continues to be injured by Microsoft’s offer to sell

and sale of the Accused Products.
COUNT II (INDUCING INFRINGEMENT OF THE ’403 PATENT)
21.

Each of the preceding paragraphs 1 to 20 is incorporated as if fully set forth

22.

Microsoft is the assignee of U.S. Patent No. 7,933,632, entitled “Tile Space User

herein.

Interface for Mobile Devices,” (“the ’632 patent”) the abstract of which describes “a user
interface for mobile devices enable data and services available through the mobile device to be
represented as a set of tiles maintained in a display space. The tiles provide a snapshot of the
current state of content available through the mobile device without requiring any interaction by
the user. The tiles and display space are customizable and can be dynamically updated to display
content to a user. In addition, tiles can provide functionality, including simple tasks to a user
without requiring the user to navigate away from the tile display space.” During prosecution of
the application that issued as the ’632 patent, the Patent Examiner cited the ’403 patent as
relevant prior art as part of a Non-Final Rejection dated April 21, 2009. See Exhibit B, File
History of U.S. Patent No. 7,933,632 at Notice of References Cited, p. 2 of 4 (Part of Paper No.
20090414); see also Exhibit C, ’632 Patent at page 2. Accordingly, Microsoft had knowledge of
the ’403 patent at least as early as April 21, 2009.
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23.

Through the conduct alleged above, Microsoft actively and knowingly induced

and will induce its customers and users of its Accused Products for whom Microsoft markets,
offers to sell, sells and distributes its operating systems, including the Windows Phone 7
Operating System, the Microsoft Surface, the Microsoft Windows RT, Microsoft Windows 8,
Microsoft Windows 8 Pro, and Microsoft Windows 8 Enterprise Operating Systems, to directly
infringe one or more claims of the ’403 patent, including but not limited to claims 1 and 22 of the
’403 patent. For example, Microsoft instructs its customers to use the Accused Products and its
“live tiles” to “deliver vibrant content,” including through the Windows Push Notification
Services (WNS). See, e.g., Exhibit D, Windows 8 Product Guide, p. 54. Microsoft also instructs
its customers to connect built-in applications of the Accused Products, such as Photos, to
services by adding them to the user’s Microsoft Account. See, e.g., Exhibit D, Windows 8
Product Guide, pp. 20-21. Microsoft also provides a Windows Store which Microsoft describes
can be used with the Accused Products as follows: “In the Windows Store, you can search for or
browse thousands of apps, all grouped in easy-to-find categories. … After you decide, you can
buy with peace of mind because before an app makes it to the Windows Store, it’s screened and
checked for viruses.” See, e.g., Exhibit D, Windows 8 Product Guide, pp. 23-24. Microsoft
instructs developers that “Live tiles on the Windows Start screen display information from your
website or service and help ensure your app is useful—even when it’s not running.” See, e.g.,
Exhibit D, Windows 8 Product Guide, p. 49.
24.

Microsoft also instructs developers how to write applications that, when

downloaded through the Windows Store and used on an Accused Product, directly infringe one
or more claims of the ’403 patent, including but not limited to claims 1 and 22 of the ’403 patent.
For example, Microsoft instructs that “app tiles … are the Start screen tiles that represent and
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launch your app. An app tile is more than a big icon; it has the ability to display a continuously
changing set of content that can be used to keep the user aware of events associated with that app
(such as new social networking posts, new news headlines, or stock quotes) when the app is not
running. A tile notification can originate either from a local API call or from the cloud.”
Exhibit E, “Tile and Tile Notification Overview (Windows Store Apps),” available at
http://msdn.microsoft.com/en-US/library/windows/apps/hh779724.

Microsoft further instructs

that, in accordance with one or more claims of the ʼ403 patent, including but not limited to
claim 1, “[t]here are 4 ways that an app can update its tile (see Choosing a notification delivery
method in the Dev Center). Apps can use local notifications to update their tile, which is useful if
info changes while the app is running. Apps can schedule tile and toast updates to happen at
precise times. Also, apps can use push or polling tile notifications to update their tiles from the
cloud while they are not running. Polling is great for low-frequency broadcast content. Push is
great for sending toast notifications, which need to arrive immediately, or tile updates that are
targeted to individual users.” Exhibit F, “Creating a Great Tile Experience (Part 2),” (Apr. 18,
2012) available at http://blogs.msdn.com/b/windowsappdev/archive/2012/04/18/creating-a-greattile-experience-part-2.aspx.
25.

Microsoft’s knowing and active inducement of users and customers to directly

infringe the ’403 patent constitutes inducing infringement of one or more of the claims of the
’403 patent under 35 U.S.C. § 271(b), including but not limited to claims 1 and 22 of the ’403
patent.
26.

SurfCast has been and continues to be injured and damaged by Microsoft’s

knowing and active inducement of users and customers to directly infringe the ’403 patent.

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COUNT III (CONTRIBUTORY INFRINGEMENT OF THE ’403 PATENT)
27.

Each of the preceding paragraphs 1 to 26 is incorporated as if fully set forth

28.

Microsoft is the assignee of U.S. Patent No. 7,933,632, entitled “Tile Space User

herein.

Interface for Mobile Devices,” (“the ’632 patent”) the abstract of which describes “a user
interface for mobile devices enable data and services available through the mobile device to be
represented as a set of tiles maintained in a display space. The tiles provide a snapshot of the
current state of content available through the mobile device without requiring any interaction by
the user. The tiles and display space are customizable and can be dynamically updated to display
content to a user. In addition, tiles can provide functionality, including simple tasks to a user
without requiring the user to navigate away from the tile display space.” During prosecution of
the application that issued as the ’632 patent the Patent Examiner cited the ’403 patent as
relevant prior art as part of a Non-Final Rejection dated April 21, 2009. See Exhibit B, File
History of U.S. Patent U.S. Patent No. 7,933,632 at Notice of References Cited, p. 2 of 4 (Part of
Paper No. 20090414); see also Exhibit C, ’632 Patent at page 2. Accordingly, Microsoft had
knowledge of the ’403 patent at least as early as April 21, 2009.
29.

Through the sale, marketing and distribution of the Accused Products, Microsoft

has contributed and continues to contribute to the infringement of one or more claims of the ’403
patent by users and customers for whom Microsoft markets, offers to sell, sells and distributes
the Accused Products and will continue to do so, knowing the same to be especially made or
especially adapted for use in an infringement of the ’403 patent.
30.

Upon information and belief, none of the Accused Products are a staple article or

commodity of commerce suitable for substantial noninfringing use.
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31.

Microsoft’s contribution to the infringement of the ’403 patent by users and

customers constitutes contributory infringement of one or more of the claims of the ’403 patent
under 35 U.S.C. § 271(c), including but not limited to claims 1 and 22 of the ’403 patent.
32.

SurfCast has been and continues to be injured and damaged by Microsoft’s

contribution to the infringement of the ’403 patent by users and customers.
COUNT IV (WILLFUL INFRINGEMENT OF THE ’403 PATENT)
33.

Each of the preceding paragraphs 1 to 32 is incorporated as if fully set forth

34.

Microsoft is the assignee of U.S. Patent No. 7,933,632, entitled “Tile Space User

herein.

Interface for Mobile Devices,” (“the ’632 patent”), the abstract of which describes “a user
interface for mobile devices enable data and services available through the mobile device to be
represented as a set of tiles maintained in a display space. The tiles provide a snapshot of the
current state of content available through the mobile device without requiring any interaction by
the user. The tiles and display space are customizable and can be dynamically updated to display
content to a user. In addition, tiles can provide functionality, including simple tasks to a user
without requiring the user to navigate away from the tile display space.” During prosecution of
the application that issued as the ’632 patent the Patent Examiner cited the ’403 patent as
relevant prior art as part of a Non-Final Rejection dated April 21, 2009. See Exhibit B, File
History of U.S. Patent U.S. Patent No. 7,933,632 at Notice of References Cited, p. 2 of 4 (Part of
Paper No. 20090414); see also Exhibit C, ’632 Patent at page 2. Accordingly, Microsoft had
knowledge of the ’403 patent at least as early as April 21, 2009.
35.

Microsoft’s continued making, using, sales, and offerings to sell the Accused

Products with knowledge of the ’403 patent constitutes willful infringement of one or more of
the claims of the ’403 patent.
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PRAYER FOR RELIEF
WHEREFORE, SurfCast prays that this Court grant the following relief:
a)

An order adjudging and decreeing that Defendant Microsoft has directly

infringed the ’403 patent;
b)

An order adjudging and decreeing that Defendant Microsoft has induced

the direct infringement of the ’403 patent;
c)

An order adjudging and decreeing that Defendant Microsoft has

contributed to the direct infringement of the ’403 patent;
d)

An order directing Microsoft to account for and pay to SurfCast all

damages caused to SurfCast by reason of Microsoft’s patent infringement, pursuant to 35 U.S.C.
§ 284, including increased damages under 35 U.S.C. § 284;
e)

An award of pre-judgment and post-judgment interest on the damages

caused to SurfCast by Microsoft;
f)

A declaration that this case is exceptional and an award of attorneys’ fees

under 35 U.S.C. § 285 and costs and expenses in this action; and
g)

For all other relief the Court deems just and proper.

DATED at Portland, Maine this 30th day of October, 2012
Respectfully submitted,
SurfCast, Inc.
by its attorneys,
PRETI FLAHERTY BELIVEAU &
PACHIOS, LLP
Timothy J. Bryant,
Neal F. Pratt,
and
/s/ Benjamin S. Piper_____________
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Benjamin S. Piper
P.O. Box 9546
Portland, ME 04112-9546
Telephone: [phone]
Facsimile: [phone]
E-Mail: [e-mail]
[e-mail]
[e-mail]

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