Datatreasury Corporation v. Wells Fargo & Company et al

Filing 795

NOTICE by Datatreasury Corporation, Bank of America Corporation, Bank of America, National Association, U.S. Bancorp, U.S. Bank, National Association, Wachovia Corporation, Wachovia Bank, National Association, UBS Americas, Inc., BB&T Corporation, Branch Banking and Trust Company, The Bank of New York, HSBC North America Holdings Inc, HSBC Bank USA, N.A., National City Corporation, National City Bank, The Bank of New York Co, Inc., Unionbancal Corporation, Union Bank of California National Association, Bank of Tokyo-Mitsubishi UFJ, LTD, Citizens Financial Group, Inc., City National Corporation, Comerica Incorporated, City National Bank, Comerica Bank & Trust, National Association, Deutsche Bank Trust Company Americas, First Citizens Bancshares, Inc., First Citizens Bank & Trust Company, Keycorp, Keybank National Association, Lasalle Bank Corporation, Lasalle Bank NA, M&T Bank, The PNC Financial Services Group, Inc., PNC Bank, National Association, The Clearing House Payments Company, LLC, First Data Corporation, Telecheck Services, Inc., Remitco, LLC Joint Claim Construction Chart (Melsheimer, Thomas)

Datatreasury Corporation v. Wells Fargo & Company et al

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Case 2:06-cv-00072-DF-CMC

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UNITED STATES DISTRICT COURT FOR THE EASTERN DISTRICT OF TEXAS MARSHALL DIVISION DATATREASURY CORPORATION, Plaintiff v. WELLS FARGO & COMPANY, et al. Defendants JOINT CLAIM CONSTRUCTION CHART IN COMPLIANCE WITH PATENT RULE 4-5(d) Pursuant to P.R. 4-5(d) and the Court's Second Amended Docket Control Order, the Parties jointly submit the attached Claim Construction Chart for U.S. Patent Nos. 5,265,007 (the "'007 Patent"); 5,717,868 (the "'868 Patent"); 5,583,759 (the "'759 Patent"); and 5,930,778 (the "'778 Patent"). Defendants' proposed constructions are grouped as follows: "Defendant Group 1": Bank of America Corporation Bank of America, National Association Bank of Tokyo-Mitsubishi UFJ, LTD BB&T Corporation Branch Banking and Trust Company Citizens Financial Group, Inc. City National Bank City National Corporation Comerica Bank & Trust, National Association Comerica Incorporated Deutsche Bank Trust Company Americas First Citizens Bancshares, Inc.1 First Citizens Bank & Trust Company
1

2:06-CV-72 DF

First Citizens Bancshares, Inc. join this Chart subject to, and without waiver of, their lack of personal jurisdiction defenses.

Dockets.Justia.com

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First Data Corporation HSBC Bank USA, National Association HSBC North America Holdings Inc. Lasalle Bank Corporation Lasalle Bank, National Association M&T Bank M&T Bank Corporation National City Bank National City Corporation Remitco, LLC Telecheck Services, Inc. The Bank of New York The Bank of New York Co, Inc. The Clearing House Payments Company, L.L.C. U.S. Bancorp U.S. Bank, National Association UBS Americas, Inc. Union Bank of California, National Association UnionBanCal Corporation Wachovia Bank, National Association Wachovia Corporation "Defendant Group 2": KeyBank, National Association KeyCorp PNC Bank, National Association PNC Financial Services Group, Inc.

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Dated: September 14, 2007 By: /s/ Thomas M. Melsheimer, by permission on behalf of the following counsel: Edward L. Von Hohn, Attorney in Charge State Bar No. 09813240 Rod Cooper State Bar No. 90001628 Edward Chin State Bar No. 50511688 NIX PATTERSON & ROACH LLP 5215 N. O' Connor Blvd. Ste. 1900 Irving, Texas 75039 972.831.1188 (telephone) 972.692.5445 (facsimile) [e-mail] [e-mail] [e-mail] C. Cary Patterson State Bar No. 15587000 Brady Paddock State Bar No. 00791394 Anthony Bruster State Bar No. 24036280 R. Benjamin King State Bar No. 24048592 NIX PATTERSON & ROACH L.L.P. 2900 St. Michael Drive, Suite 500 Texarkana, Texas 75503 903.223.3999 (telephone) 903.223.8520 (facsimile) [e-mail] [e-mail] [e-mail] Joe Kendall State Bar No. 11260700 Karl Rupp State Bar No. 24035243 PROVOST * UMPHREY, L.L.P. 3232 McKinney Avenue, Ste. 700 Dallas, Texas 75204 214.744.3000 (telephone) 214.744.3015 (facsimile)

Respectfully submitted, By: /s/Thomas M. Melsheimer_____ Thomas M. Melsheimer Texas Bar No. 13922550 FISH & RICHARDSON P.C. 1717 Main Street Suite 5000 Dallas, TX 75201 214-747-5070 (Telephone) 214-747-2091 (Telecopy) Robert E. Hillman FISH & RICHARDSON P.C. 225 Franklin Street Boston, MA 02110-2804 617-542-5070 (Telephone) 617-542-8906 (Telecopy) Robert M. Parker Robert Christopher Bunt PARKER & BUNT, P.C. 100 E. Ferguson, Suite 1114 Tyler, Texas 75702 903-531-3535 (Telephone) 903-533-9687 (Telecopy) Michael E. Jones Texas Bar No. 10929400 E. Glenn Thames, Jr. Texas Bar No. 00785097 POTTER MINTON 500 Plaza Tower 110 North College, Suite 500 Tyler, TX 75702 ATTORNEYS FOR DEFENDANTS BANK OF AMERICA CORPORATION, BANK OF AMERICA, NATIONAL ASSOCIATION By: /s/ Thomas M. Melsheimer, by permission on behalf of the following counsel: Danielle Williams KILPATRICK STOCKTON LLP 1001 West Fourth Street Winston-Salem, NC 27101 Bill Boice Audra Dial

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[e-mail] [e-mail] Eric M. Albritton State Bar ;No. 00790215 ALBRITTON LAW FIRM P.O. Box 2649 Longview, Texas 75606 903.757.8449 (telephone) 903.758.7397 (facsimile) [e-mail] T. John Ward, Jr. State Bar No. 00794818 LAW OFFICE OF T. JOHN WARD, JR. P.O. Box 1231 Longview, Texas 75601 903.757.6400 (telephone) 903.757.2323 (facsimile) [e-mail] ATTORNEYS FOR PLAINTIFF DATATREASURY CORPORATION

KILPATRICK STOCKTON LLP 1100 Peachtree Street, Suite 2800 Atlanta, Georgia 30309-4530 Kenneth Godlewski Stephen Baskin KILPATRICK STOCKTON LLP 607 14th Street, NW, Suite 900 Washington, DC 20005-2018 ATTORNEYS FOR DEFENDANTS BB&T CORPORATION, BRANCH BANKING & TRUST CO., COMERICA BANK & TRUST, N.A., COMERICA, INC., M&T BANK, M&T CORPORATION, WACHOVIA CORPORATION, WACHOVIA BANK, N.A. Raymond Sweigart William P. Atkins Scott Pivnick PILLSBURY WINTHROP SHAW PITTMAN LLP 1650 Tysons Blvd. McLean, VA 22102-4859 ATTORNEYS FOR DEFENDANTS BANK OF NEW YORK CO., INC., THE BANK OF NEW YORK, UNION BANK OF CALIFORNIA, N.A., UNIONBANCAL CORPORATION David L. Ward, Jr. Donalt J.Eglinton WARD AND SMITH, P.A. 1001 College Court New Bern, NC 28562 Larry Carlson David Taylor BAKER BOTTS L.L.P. 2001 Ross Avenue Dallas, TX 75201-2980 ATTORNEYS FOR DEFENDANTS FIRST CITIZENS BANCSHARES, INC., FIRST CITIZENS BANK & TRUST CO. Preston W. McGee FLOWERS DAVIS, P.L.L.C. 1021 ESE Loop 323, Suite 200 Tyler, Texas 75701 [phone]

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James H. Carter James T. Williams Jane Jaang SULLIVAN & CROMWELL LLP 125 Broad Street New York, New York 10004-2493 Lawrence F. Scinto Ronald A. Clayton Robert H. Fischer Stephen E. Belisle FITZPATRICK, CELLA, HARPER & SCINTO 30 Rockefeller Plaza New York, New York 10112-3801 [phone] ATTORNEYS FOR DEFENDANTS THE CLEARINGHOUSE PAYMENTS CO., L.L.C. F/K/A SMALL VALUE PAYMENTS CO., L.L.C. Glen Boudreaux Tim Leonard Edward J. Nicholas BOUDREAUX LEONARD HAMMOND CURCIO 2 Houston Center 909 Fannin Street, Suite 2350 Houston, TX 77010 ATTORNEYS FOR DEFENDANTS HSBC NORTH AMERICA HOLDINGS, INC., HSBC BANK USA, N.A. Irah Donner WILMER, CUTLER, PICKERING, HALE & DORR 399 Park Ave. New York, NY 10022 ATTORNEY FOR DEFENDANTS HSBC NORTH AMERICA HOLDINGS, INC., HSBC BANK USA, N.A. Sam Baxter Lead Attorney Texas Bar No. 01938000 [e-mail] McKOOL SMITH, P.C. 505 East Travis Street, Suite 105 Marshall, Texas 75670

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903-927-2111 (Telephone) 903-927-2622 (Telecopy) Theodore Stevenson, III Texas Bar No. 19196650 [e-mail] L. David Anderson Texas Bar No. 00796126 [e-mail] McKOOL SMITH P.C. 300 Crescent Court, Suite 1500 Dallas, TX 75201 214-978-4000 (Telephone) 214-978-4044 (Telecopy) Peter J. Ayers Texas Bar No. 24009882 [e-mail] Geoffrey L. Smith Texas Bar No. 24041939 [e-mail] McKOOL SMITH P.C. 300 W. 6th Street, Suite 1700 Austin, Texas 78701 512-692-8700 (Telephone) 512-692-8744 (Telecopy) ATTORNEYS FOR DEFENDANTS PNC FINANCIAL SERVICES GROUP, INC., PNC BANK NATIONAL ASSOCIATION, KEYCORP, AND KEYBANK NA Edward G. Poplawski (Pro Hac Vice) [e-mail] Jeffrey A. Finn (Pro Hac Vice) [e-mail] Carissa A. Tener (Pro Hac Vice) [e-mail] SIDLEY AUSTIN L.L.P. 555 West Fifth Street, Suite 4000 Los Angeles, California 90013 213-896-6000 (Telephone) 213-896-6600 (Telecopy) Lance Lee [e-mail] Texas Bar No. 240004762 YOUNG, PICKETT & LEE, L.L.P. 4122 Texas Blvd. P.O. Box 1897 Texarkana, Texas 75504 903-794-1303 (Telephone) 903-792-5098 (Telecopy)

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COUNSEL FOR FIRST DATA CORPORATION, TELECHECK SERVICES, INC.;REMITCO, LLC, DEUTSCHE BANK TRUST COMPANY AMERICAS, BANK OF TOKYO-MITSUBISHI UFJ, LTD. Edward G. Poplawski (Pro Hac Vice) [e-mail] Jeffrey A. Finn (Pro Hac Vice) [e-mail] Carissa A. Tener (Pro Hac Vice) [e-mail] SIDLEY AUSTIN L.L.P. 555 West Fifth Street, Suite 4000 Los Angeles, California 90013 213-896-6000 (Telephone) 213-896-6600 (Telecopy) Sidney Calvin Capshaw, III State Bar No. 03783900 Andrew W. Spangler State Bar No. 20401960 Elizabeth L. DeRieux State Bar No. 05770585 Brown McCarroll 1127 Judson Road, Suite 220 Longview, TX 75601 P.O. Box 3999 Longview, TX 75606-3999 903-236-9800 Fax: [phone] [e-mail] [e-mail] [e-mail] COUNSEL FOR LASALLE BANK CORPORATION AND LASALLE BANK NA William L. LaFuze Texas Bar No. 11792500 [e-mail] D. Ferguson McNiel Texas Bar No. 13830300 [e-mail] VINSON & ELKINS LLP 2300 First City Tower 1001 Fannin St. Houston, TX 77002 713-758-2595 (Telephone) 713-615-5017 (Telecopy) Scott W. Breedlove

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Texas Bar No. 00790361 [e-mail] VINSON & ELKINS LLP 3700 Trammell Crow Center 2001 Ross Ave. Dallas, TX 75201-2975 214-220-7700 (Telephone) 214-220-7716 (Telecopy) Harry Lee Gillam, Jr. Texas Bar No. 07921800 [e-mail] Melissa Richards Smith Texas Bar No. 24001351 [e-mail] GILLAM & SMITH LLP 110 South Bolivar, Suite 204 Marshall, TX 75670 903-934-8450 (Telephone) 903-934-9257 (Telecopy) ATTORNEYS FOR UBS AMERICAS, INC. Edward G. Poplawski (Pro Hac Vice) [e-mail] Jeffrey A. Finn (Pro Hac Vice) [e-mail] Carissa A. Tener (Pro Hac Vice) [e-mail] SIDLEY AUSTIN L.L.P. 555 West Fifth Street, Suite 4000 Los Angeles, California 90013 213-896-6000 (Telephone) 213-896-6600 (Telecopy) Kurt M. Sauer DAFFER MCDANIEL The Chase Building 700 Lavaca, Suite 720 Austin, TX 78701-3119 Sidney Calvin Capshaw, III State Bar No. 03783900 Andrew W. Spangler State Bar No. 20401960 Elizabeth L. DeRieux State Bar No. 05770585 Brown McCarroll 1127 Judson Road, Suite 220 Longview, TX 75601 P.O. Box 3999 Longview, TX 75606-3999 903-236-9800

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Fax: [phone] [e-mail] [e-mail] [e-mail] ATTORNEYS FOR CITY NATIONAL BANK CITY NATIONAL CORP. Melvin R. Wilcox, III [e-mail] SMEAD, ANDERSON & DUNN LLP 2110 Horseshoe Lane P.O. Box 3343 Longview, TX 75606 903-232-1892 (Telephone) 903-232-1881 (Telecopy) Of Counsel: John J. Feldhaus [e-mail] Anthony H. Son [e-mail] George C. Beck [e-mail] FOLEY & LARDNER LLP 3000 K Street, N.W. Washington, DC 20007 202-672-5300 (Telephone) ATTORNEYS FOR U.S. BANCORP, U.S. BANK, NATIONAL ASSOCIATION, NATIONAL CITY CORPORATION AND NATIONAL CITY BANK Jeffrey Standley [e-mail] STANDLEY LAW GROUP LLP 495 Metro Place South, Suite 210 Dublin, OH 43017 614-792-5555 (Telephone) 614-792-5536 (Telecopy) Claude Welch [e-mail] 115 W. Shepherd Ave. Lufkin, TX 75904-3808 936-639-3311 (Telephone) 936-639-3049 (Telecopy) ATTORNEYS FOR CITIZENS FINANCIAL GROUP, INC.

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CERTIFICATE OF SERVICE The undersigned hereby certifies that a true and correct copy of the above and foregoing document has been served on September 14, 2007, to all counsel of record who are deemed to have consented to electronic service via the Court' s CM/ECF system per Local Rule CV-5(a)(3). /s/ Tim K. Brown Tim K. Brown

P.R. 4-5(d) JOINT CLAIM CONSTRUCTION CHART DataTreasury Corporation v. Wells Fargo & Company, et al.

U.S. PATENT NO. 5,265,007
'007 Claim Terms

Plaintiff Construction "Defendant Group 1" "Defendant Group 2" Court's Construction Construction Construction Preamble is not limiting Preamble is limiting. and the language in preamble does not need to be construed. Preamble is limiting.

Claims 2 ([Bold] terms being construed) Claim 1 1. A mechanism for physically exchanging Preamble

A document in writing by which some financial obligation by one person to pay another is represented, such as a check, paper, cash items, money orders, share orders, drafts, notes, bonds, coupons.

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[financial instruments] among a number of "financial instrument" (claim 4) AGREED AGREED

3

AGREED

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[pre-selected financial institutions], "pre-selected financial institutions" "pre-selected institutions" Financial institutions which have previously been selected to be members of or participants in a central check clearing system that is not the Federal Reserve System.

Financial institutions that have been previously chosen to be direct participants in a central check clearing system other than the Federal Reserve System.

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each located at a [preselected site], and for effecting the regular periodic settlement of the exchanged instruments among the institutions including: "preselected site"

Members of a centralized clearinghouse association that settle financial transactions with each other, each located in a specific and exclusive geographical region. This language is in the The specific A place within a preamble and does not geographical region of specific and exclusive need to be construed. a financial institution geographical region. that has been Alternatively, Plaintiff's previously chosen to be a direct participant in a construction is: "The

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2

For clarity, only the beginning of each means-plus-function term is bolded.

3

For brevity, claim terms are construed only once, where they first appear. The location of the term in subsequent independent claim(s), if applicable, is indicated in a parenthetical below each claim term.

P.R. 4-5(d) JOINT CLAIM CONSTRUCTION CHART ­ Page 1

Claims 2 ([Bold] terms being construed)

'007 Claim Terms

" Defendant Group 2" Court's Construction Construction

(A) [means This term should be construed under 35 U.S.C. § 112(6). Function: Sending and receiving the instruments.

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Plaintiff Construction " Defendant Group 1" Construction instrument processing central check clearing location of a system other than the participating institution." Federal Reserve System. "means within each of the This term should be This term should be pre-selected institutions...for construed under 35 construed under 35 sending and receiving the U.S.C. § 112(6). U.S.C. § 112(6). instruments, said means for sending including means for Function: Sending and Function: Sending and receiving the receiving the physically transporting the instruments. instruments. instruments from an institution at one site to each Corresponding other of the institutions at the Corresponding Structure: Air or Structure: other sites, said means for receiving including means for ground transportation Specification does not and a pre-selected disclose structure physically accepting the sufficient to perform the instruments transported from institution's physical recited function. facility. the other institutions" is in means-plus-function format subject to 35 U.S.C. § 112(6).

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"within"

AGREED

AGREED

Corresponding Structure: The structure disclosed in the specification of the '007 patent that corresponds to this element is the structure disclosed in the specification for the "means for physically transporting instruments..." and the "means for physically accepting the instruments...," if any. AGREED inside

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[within] each of the pre-selected institutions: (1) for sending and receiving the instruments, said means for sending including [means for physically transporting the instruments from an institution at one site to each other of the institutions at the other sites], AGREED The "means for sending" includes a further meansplus-function limitation of "means for physically transporting the instruments from an institution at one site to each other of the institutions at the other sites" subject to 35 U.S.C. § 112(6)

AGREED

AGREED

This term should be construed under 35 U.S.C. § 112(6).

Function: Physically transporting the instruments from an institution at one site to each other of the institutions at the other sites.

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P.R. 4-5(d) JOINT CLAIM CONSTRUCTION CHART ­ Page 2

Claims 2 ([Bold] terms being construed)

'007 Claim Terms

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said means for receiving including [means for physically accepting the instruments transported from the other institutions]; The "means for receiving" includes a further meansplus-function limitation of "means for receiving including means for physically accepting the instruments transported from the other institutions" subject to 35 U.S.C. § 112(6) Function: Physically accepting the instruments transported from other institutions. Corresponding Structure: a preselected institution's physical facility and its relationship with air or ground transportation. This term should be construed under 35 U.S.C. § 112(6). Function: Sending to and receiving from a central processing unit connected to each institution information reporting in real time in correspondence with the occurrence of an event (a) the value of the instruments transported; and (b) the transport status of the instruments with respect to their having been (i) sent and (ii) received. Corresponding Structure: Electronic This term should be construed under 35 U.S.C. § 112(6). Function: Sending to and receiving from a central processing unit connected to each institution information reporting in real time in correspondence with the occurrence of an event (a) the value of the instruments transported; and (b) the transport status of the instruments with respect to their having been (i) sent and (ii) received. Corresponding Structure: Corresponding Structure: Specification does not disclose structure sufficient to perform the recited function. Function: Physically accepting the instruments transported from other institutions. Function: Physically accepting the instruments transported from the other institutions.

Plaintiff Construction " Defendant Group 1" " Defendant Group 2" Court's Construction Construction Construction Corresponding Structure: Air and/or ground transportation. This term should be This term should be This term should be construed under 35 construed under 35 construed under 35 U.S.C. § 112(6). U.S.C. § 112(6). U.S.C. § 112(6).

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(2) for sending to and receiving from

Corresponding Structure: Specification does not disclose structure sufficient to perform the recited function. This term should be construed under 35 U.S.C. § 112(6). Function: Sending to and receiving from a central processing unit connected to each institution information reporting in real time in correspondence with the occurrence of an event (a) the value of the instruments transported; and (b) the transport status of the instruments with respect to their having been (i) sent and (ii) received. Corresponding Structure: Specification

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"means within each of the pre-selected institutions... for sending to and receiving from a central processing unit connected to each institution information reporting in real time in correspondence with the occurrence of an event (a) the value of the instruments transported; and (b) the transport status of the instruments with respect to their having been (i) sent and (ii) received" is in meansplus-function format subject to 35 U.S.C. § 112(6)

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P.R. 4-5(d) JOINT CLAIM CONSTRUCTION CHART ­ Page 3

Claims 2 ([Bold] terms being construed)

'007 Claim Terms

" Defendant Group 2" Court's Construction Construction does not disclose structure sufficient to perform the recited function. A single master conventional programmable computer.

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a [central processing unit] connected "central processing unit" to each institution information reporting (claim 4)

[[in real time] in correspondence with "real time" the occurrence of an event] (a) the (claim 4)

Plaintiff Construction " Defendant Group 1" Construction communications links, Specification does not which may include disclose structure conventional telephone sufficient to perform the recited function. links by modem connections and the like, and software. A conventional A single central programmable processing unit, computer. connected to all originating and receiving institutions and through which all data files are transmitted. The actual time during Instantaneous, which something takes instantaneously. place. Immediate; immediately. Immediately when the instruments are sent and received.

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The aggregate total dollar amount of the financial instruments physically sent and received.

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This term should be construed under 35 U.S.C. § 112(6). Function: Receiving from the central

"in real time" (claim 4) "real time in correspondence The actual time during Instantaneous in with the occurrence of an which something takes correspondence with event" place. the occurrence of the physical sending and receiving of the financial instruments. [value of the instruments "value of the instruments The construed phrase Does not need to be transported]; and (b) the transport should be just "value of construed separately. transported" the instruments" as that status of the instruments with respect to their having been (i) sent and (ii) "the value of the instruments appears several times in Claim 1. The received; and sent and received" construction should be "the total dollar amount of the financial instruments being delivered." (3) for receiving from the central "means within each of the This term should be This term should be processing unit a calculated value (a) pre-selected institutions... for construed under 35 construed under 35 on a real time basis and (b) on receiving from the central U.S.C. § 112(6). U.S.C. § 112(6). processing unit a calculated value (a) on a real time basis Function: Receiving Function: Receiving from the central and (b) on a regular periodic from the central

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Claims 2 ([Bold] terms being construed)

Plaintiff Construction " Defendant Group 1" Construction processing unit a settlement basis, information processing unit a regarding the debits and calculated value (a) on calculated value (a) on a real time basis and credits owing to or payable a real time basis and (b) on a regular by an institution with respect (b) on a regular periodic settlement to each other of the periodic settlement basis, information institutions with regard to basis, information regarding the debits instruments sent and regarding the debits received" is in means-plus- and credits owing to or and credits owing to or payable by an function format subject to 35 payable by an U.S.C. § 112(6) institution with respect institution with respect to each other of the to each other of the institutions with regard institutions with regard to instruments sent and to instruments sent and received. received. Corresponding Structure: Accounting system; related software; electronic communications links. Settlement of credit and debit balances between institutions. Corresponding Structure: Specification does not disclose structure sufficient to perform the recited function. A calculation and transfer of amounts owed and payable between financial institutions. Corresponding Structure: Specification does not disclose structure sufficient to perform the recited function. A calculation and transfer of amounts owed to and payable between and among financial institutions. Settlement occurring at pre-determined time intervals.

'007 Claim Terms

" Defendant Group 2" Court's Construction Construction processing unit a calculated value (a) on a real time basis and (b) on a regular periodic settlement basis, information regarding the debits and credits owing to or payable by an institution with respect to each other of the institutions with regard to instruments sent and received.

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a [regular periodic [settlement]] "settlement" basis, information regarding the debits (claim 4) and credits owing to or payable by an institution with respect to each other of the institutions with regard to instruments sent and received; (B) a central processing unit connected "regular periodic settlement" to each of the pre-selected institutions including Settlement of credit and debit balances between institutions at predetermined time intervals.

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(1) [means for continuous monitoring on a real time basis, as reported by each institution by the means for sending information within each institution;

A final calculation and transfer of amounts owed to and payable between direct participants in the central check clearing system occurring at pre-determined time intervals. This term should be construed under 35 U.S.C. § 112(6).

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This term should be construed under 35 U.S.C. § 112(6). Function: Continuous monitoring on a real

"means for continuous This term should be monitoring on a real time construed under 35 basis, as reported by each U.S.C. § 112(6). institution by the means for sending information within Function: Continuously Function: Continuously monitoring on a real monitoring on a real each institution (a) (i) the P.R. 4-5(d) JOINT CLAIM CONSTRUCTION CHART ­ Page 5

Claims 2 ([Bold] terms being construed) sending and receipt status of the instruments and (ii) the value of the instruments sent and received, as reported by each of the institutions, and (b) the status in transit of the instruments with respect to their having been (i) sent and (ii) received, as reported by each of the institutions, according to the reporting of an institution's sending and receiving of instruments," is in means-plus-function format subject to 35 U.S.C. § 112(6)

'007 Claim Terms

Plaintiff Construction " Defendant Group 1" Construction time basis, as reported time basis, as reported by each institution by by each institution by the means for sending the means for sending information within each information within each institution (a) (i) the institution (a) (i) the sending and receipt sending and receipt status of the status of the instruments and (ii) the instruments and (ii) the value of the value of the instruments sent and instruments sent and received, as reported received, as reported by each of the by each of the institutions, and (b) the institutions, and (b) the status in transit of the status in transit of the instruments with instruments with respect to their having respect to their having been (i) sent and (ii) been (i) sent and (ii) received, as reported received, as reported by each of the by each of the institutions, according institutions, according to the reporting of an to the reporting of an institution's sending institution's sending and receiving of and receiving of instruments. instruments. Corresponding Structure: Specification does not disclose structure sufficient to perform the recited function. Corresponding Structure: Specification does not disclose structure sufficient to perform the recited function.

" Defendant Group 2" Court's Construction Construction time basis, as reported by each institution by the means for sending information within each institution: (a) (i) the sending and receipt status of the instruments and (ii) the value of the instruments sent and received, as reported by each of the institutions, and (b) the status in transit of the instruments with respect to their having been (i) sent and (ii) received, as reported by each of the institutions, according to the reporting of an institution' sending s and receiving of instruments.

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(a) (i) [the sending and receipt status "the sending and receipt of the instruments] and (ii) the [value status of the instruments"

Corresponding Structure: A conventional programmable computer or central processing unit [1:6265; Fig. 1 (CPU)], electronic communications links [Fig. 1], which may include conventional telephone links by modem connections and the like [6:22-24], and related software Information about the sending and receipt

Does not need to be construed separately.

Information about whether the

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Claims 2 ([Bold] terms being construed) of the instruments sent and received], as reported by each of the institutions, and

'007 Claim Terms

Plaintiff Construction " Defendant Group 1" " Defendant Group 2" Court's Construction Construction Construction status of the instruments have been instruments. physically sent and received. Or, alternatively,

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"the status in transit of the instruments"

Information about whether the instruments have been sent or received. Information about Does not need to be transport of financial construed separately. instruments sent and received by the preselected financial institutions. Electronic tracking information that can be used to identify the location of the instruments in real time. This term should be construed under 35 U.S.C. § 112(6). This term should be construed under 35 U.S.C. § 112(6). Function: Calculating debits and credits among the participating members. This term should be construed under 35 U.S.C. § 112(6).

Document 795

(b) [the status in transit of the instruments] with respect to their having been (i) sent and (ii) received, as reported by each of the institutions, according to the reporting of an institution's sending and receiving of instruments, (2) [means for calculating debits and credits, based on the [value of the instruments sent and received] by the institutions, as monitored on a real time basis from information reported by the institutions, of (a) the amount owing from or payable to each one of the preselected institutions with respect to each of the other institutions and (b) an aggregate amount owing from or payable to each one of the pre-selected institutions with respect to all of the other institutions; and "means for calculating debits and credits, based on the value of the instruments sent and received by the institutions, as monitored on a real time basis from information reported by the institutions, of (a) the amount owing from or payable to each one of the pre-selected institutions with respect to each of the other institutions and (b) an aggregate amount owing from or payable to each one of the pre-selected institutions with respect to all of the other institutions" is in means-plus-function format subject to 35 U.S.C. § 112(6)

Filed 09/14/2007 Page 17 of 62

Function: Calculating debits and credits, based on the value of the instruments sent and received by the Corresponding institutions, as Structure: Software on monitored on a real a conventional time basis from programmable information reported by computer or central the institutions, of (a) processing unit (CPU). the amount owing from or payable to each one of the pre-selected institutions with respect to each of the other institutions and (b) an aggregate amount owing from or payable to each one of the preselected institutions with respect to all of the other institutions.

Function: Calculating debits and credits, based on the value of the instruments sent and received by the institutions, as monitored on a real time basis from information reported by the institutions, of (a) the amount owing from or payable to each one of the pre-selected institutions with respect to each of the other institutions and (b) an aggregate amount owing from or payable to each one of the preselected institutions with respect to all of the other institutions.

P.R. 4-5(d) JOINT CLAIM CONSTRUCTION CHART ­ Page 7

Claims 2 ([Bold] terms being construed) Corresponding Structure: Specification does not disclose structure sufficient to perform the recited function. This term should be construed under 35 U.S.C. § 112(6). Corresponding Structure: Specification does not disclose structure sufficient to perform the recited function. This term should be construed under 35 U.S.C. § 112(6). Function: Sending to each institution the information monitored with respect to instruments sent to an institution and the value of such instruments. Corresponding Structure: Specification does not disclose structure sufficient to perform the recited function. This term should be construed under 35 U.S.C. § 112(6). This term should be construed under 35 U.S.C. § 112(6). Function: Sending to each institution the information monitored with respect to instruments sent to an institution and the value of such instruments. Corresponding Structure: Specification does not disclose structure sufficient to perform the recited function.

'007 Claim Terms

Plaintiff Construction " Defendant Group 1" " Defendant Group 2" Court's Construction Construction Construction

Case 2:06-cv-00072-DF-CMC

(3) [means for sending to each institution the information monitored with respect to instruments sent to an institution and the value of such instruments; and "means for sending to each institution the information monitored with respect to instruments sent to an institution and the value of such instruments" is in means-plus-function format subject to 35 U.S.C. § 112(6) Function: Sending to each institution the information monitored with respect to the instruments sent to an institution and the value of such instruments. This term should be construed under 35 U.S.C. § 112(6).

Document 795 Filed 09/14/2007

(C) [a cycling means interrelated with the central processing unit (a) for controlling the physical transport of the financial instruments among the institutions and (b) for controlling the means for calculating such that

Page 18 of 62

Corresponding Structure: Electronic communications links, which may include conventional telephone links by modem connections and the like. "a cycling means interrelated This term should be construed under 35 with the central processing U.S.C. § 112(6). unit (a) for controlling the physical transport of the financial instruments among Function: Cycling interrelated with the the institutions and (b) for central processing unit controlling the means for calculating such that a final (a) for controlling the calculation of the debits and physical transport of credits owing from or payable the financial to, with respect to each of the instruments among the institutions with regard to institutions and (b) for each other of the institutions, controlling the means comprising the occurrence of for calculating such that a final calculation . . . the regular periodic

Functions: (1)Controlling on a regular and periodic basis the physical transport of the financial instruments among the institutions; and (2) Controlling on a regular and periodic basis the means for

Functions: Controlling the physical transport of the financial instruments among the institutions and controlling the means for calculating such that a final calculation of the debits and credits owing from or payable to, with respect to each

P.R. 4-5(d) JOINT CLAIM CONSTRUCTION CHART ­ Page 8

Claims 2 ([Bold] terms being construed)

'007 Claim Terms

Plaintiff Construction " Defendant Group 1" Construction settlement among the does not occur until calculating such that a institutions, does not occur predetermined local final calculation of the until pre-determined local settlements . . . are debits and credits settlements by the institutions completed. owing from or payable in the pre-selected sites with to, with respect to each institutions that are not Corresponding of the institutions with Structure: Rules and among the number of preregard to each other of selected financial institutions, parameters regarding the institutions, are completed" is in means- time scheduling where comprising the plus-function format subject such rules and occurrence of the schedules are to 35 U.S.C. § 112(6). regular periodic interrelated with the settlement among the central processing unit institutions, does not (CPU). occur until predetermined local settlements by the institutions in the preselected sites with institutions that are not among the number of pre-selected financial institutions, are completed. Corresponding Structure: Specification does not disclose structure sufficient to perform the recited function. Corresponding Structure: Specification does not disclose structure sufficient to perform the recited function.

" Defendant Group 2" Court's Construction Construction of the institutions with regard to each other of the institutions, comprising the occurrence of the regular periodic settlement among the institutions, does not occur until predetermined local settlements by the institutions in the preselected sites with institutions that are not among the number of pre-selected financial institutions, are completed.

Case 2:06-cv-00072-DF-CMC Document 795 Filed 09/14/2007 Page 19 of 62

P.R. 4-5(d) JOINT CLAIM CONSTRUCTION CHART ­ Page 9

'007 Claim Terms "a final calculation of the debits and credits . . ., comprising the occurrence of the regular periodic settlement among the institutions, does not occur until pre-determined local settlements by the institutions in the pre-selected sites with institutions that are not among the number of preselected financial institutions, are completed"

Claims 2 ([Bold] terms being construed) [a final calculation of the debits and credits owing from or payable to, with respect to each of the institutions with regard to each other of the institutions, comprising the occurrence of the regular periodic settlement among the institutions, does not occur until pre-determined local settlements by the institutions in the pre-selected sites with institutions that are not among the number of pre-selected financial institutions, are completed].

Plaintiff Construction " Defendant Group 1" Construction "Final Calculation"--No Settlement among the direct participants in construction is the central check necessary. clearing system occurs "Debits and credits"-- after settlements occurring at regular Credits are the intervals in each amounts owed by an geographical region institution; debits are the amounts payable to between the direct an institution. participants in that region and institutions "Occurrence of the in that region that do regular periodic not directly participate settlement among the in the central check institutions"--No clearing system. construction is necessary. "Predetermined local settlements by the institutions in the preselected sites with institutions that are not among the number of preselected financial institutions"-settlements between a user and non-user of the clearinghouse that occurs at a regular interval. This term should be construed under 35 U.S.C. § 112(6). Functions: 1) Sorting by the site locality of each other of the pre-selected institutions, 2) sending the This term should be construed under 35 U.S.C. § 112(6). Function: Sorting instruments by site locality of each other of the pre-selected institutions and in which the instruments This term should be construed under 35 U.S.C. § 112(6). Function: Sorting instruments by site locality of each other of the pre-selected institutions and in which the instruments

" Defendant Group 2" Court's Construction Construction Settlement between the member institutions occurs, if at all, at regular intervals. The settlement between members does not occur, however, until each member settles with the non-members of the clearinghouse in the member's locality.

Case 2:06-cv-00072-DF-CMC Document 795 Filed 09/14/2007 Page 20 of 62

Claim 2 2. The mechanism of claim 1 further including a [means at an institution by which instruments are sorted by the site locality of each other of the pre-selected institutions and in which the instruments sorted by site are sent by site sort category to institutions at sites within the site sort categories]. "means at an institution by which instruments are sorted by the site locality of each other of the pre-selected institutions and in which the instruments sorted by site are sent by site sort category to institutions at sites within the site sort categories" is in means-plus-function format

P.R. 4-5(d) JOINT CLAIM CONSTRUCTION CHART ­ Page 10

Claims 2 ([Bold] terms being construed)

Plaintiff Construction " Defendant Group 1" Construction subject to 35 U.S.C. § 112(6) instruments sorted by by site are sent by site site category to sort category to institutions at sites institutions at sites within the site sort within the site sort categories categories. Corresponding Structure: A sorter, air and ground transportation. Corresponding Structure: Sorters and air and ground transportation.

'007 Claim Terms

" Defendant Group 2" Court's Construction Construction sorted by site are sent by site sort category to institutions at sites within the site sort categories.

Case 2:06-cv-00072-DF-CMC Document 795

Corresponding Structure: 1) For the first function, sorters [7:3] or sort machines [4:46-7] 2) For the second function, a pre-selected institution's physical facility (i.e., bank, member bank, receiving bank, Participating Bank B), and its relationship with air or ground transportation. [Fig. 1 (solid directional lines); 1:66-2:1; 4:15-22] Preamble is limiting. Preamble is limiting.

Filed 09/14/2007

This term should be construed under § 112(6). Functions: 1) Sending and receiving financial instruments to be cleared; 2) Sending and receiving in real time information reporting

This term should be construed under § 112(6). Functions: 1) Sending and receiving financial instruments to be cleared; 2) Sending and receiving in real time information reporting

Page 21 of 62

Claim 4 4. A system for a financial Preamble Preamble is not limiting clearinghouse comprised of an and the language in association of selected member preamble does not financial institution participants situated need to be construed. in different localities including: A. [means at each of the "means at each of the This term should be participants (1) for sending construed under § and receiving financial 112(6). instruments to be cleared and (2) for sending and Functions: 1) Sending and receiving in real time receiving financial information reporting the value and transit status of the instruments to be financial instruments to be cleared; cleared, to a programmed central processing unit, and 2) Sending and (3) for addressing the central receiving in real time processing unit by which a information reporting P.R. 4-5(d) JOINT CLAIM CONSTRUCTION CHART ­ Page 11

Claims 2 ([Bold] terms being construed)

'007 Claim Terms

" Defendant Group 2" Court's Construction Construction the value and transit status of the financial instruments to be cleared to a programmed central processing unit; and

Case 2:06-cv-00072-DF-CMC Document 795

Plaintiff Construction " Defendant Group 1" Construction participant may determine in the value and transit the value and transit real time the information status of the financial status of the financial received by the processing instruments to be instruments to be unit with respect to that cleared to a cleared to a participant's relative credit programmed central programmed central and debit obligations with processing unit; and processing unit; and respect to other institutions arising from the instruments 3) Addressing the 3) Addressing the that are reported to be sent central processing unit central processing unit and received" is in meansby which a participant by which a participant plus-function format subject may determine in real may determine in real to 35 U.S.C. § 112(6) time the information time the information received by the received by the processing unit with processing unit with respect to that respect to that participant's relative participant's relative credit and debit credit and debit obligations with respect obligations with respect to other institutions to other institutions arising from the arising from the instruments that are instruments that are reported to be sent and reported to be sent and received. received. 3) Addressing the central processing unit by which a participant may determine in real time the information received by the processing unit with respect to that participant's relative credit and debit obligations with respect to other institutions arising from the instruments that are reported to be sent and received. Corresponding Structure: 1) Air and ground transportation. 2) Electronic communications links, which may include conventional telephone links by modem connections and the like. 2) Electronic communications links, which may include conventional telephone links by modem connections and the 3) Electronic communications links, which may include conventional telephone links by modem 2) Specification does not disclose structure sufficient to perform the recited function. 3) Specification does not disclose structure sufficient to perform the recited function. Corresponding Structure: 1) Air or ground transportation and a pre-selected institution's physical facility (i.e., bank, member bank, Participating Bank A/B, sending/receiving bank). Corresponding Structure: 1) Air and ground transportation.

Filed 09/14/2007 Page 22 of 62

P.R. 4-5(d) JOINT CLAIM CONSTRUCTION CHART ­ Page 12

Claims 2 ([Bold] terms being construed)

'007 Claim Terms

" Defendant Group 2" Court's Construction Construction

Case 2:06-cv-00072-DF-CMC

[participants] (1) for sending and receiving financial instruments to be cleared and (2) for sending and receiving in real time information reporting the value and "participants" Financial institutions which have previously been selected to be members of or participants in a central check clearing system that is not the Federal Reserve System. Financial institutions that have been previously chosen to be direct participants in a central check clearing system other than the Federal Reserve System.

Plaintiff Construction " Defendant Group 1" Construction like. connections and the like. 3) Electronic communications links, which may include conventional telephone links by modem connections and the like. (SAME AS: "pre(SAME AS: "preselected financial selected financial institutions" and "pre- institutions" and "preselected institutions" selected institutions" (Claim 1)) (Claim 1)) (SAME AS: "preselected financial institutions" and "preselected institutions" (Claim 1))

Document 795 Filed 09/14/2007

Members of a centralized clearinghouse association that settle financial transactions with each other, each located in a specific and exclusive geographical region. [transit status of the financial "transit status of the financial Information about Information about (SAME AS: "the status instruments to be cleared], to a instruments to be cleared" whether the whether the in transit of the programmed central processing unit, instruments have been instruments have been instruments" (claim 1)) and (3) for addressing the central physically sent and physically sent and processing unit by which a participant received. received. Electronic tracking may determine in real time the information that can be information received by the processing used to identify the unit with respect to that participant' s location of the relative credit and debit obligations with instruments in real respect to other institutions arising from time. the instruments that are reported to be sent and received;

Page 23 of 62

B. a programmed central processing unit including: [means for calculating debits and "means for calculating debits This term should be credits owing from or payable (1) to one and credits owing from or construed under 35 member to another member and (2) payable (1) to one member to U.S.C. § 112(6). P.R. 4-5(d) JOINT CLAIM CONSTRUCTION CHART ­ Page 13

This term should be construed under 35 U.S.C. § 112(6).

This term should be construed under 35 U.S.C. § 112(6).

Claims 2 ([Bold] terms being construed) from or to one member to all other members, based upon the value of instruments reported by a participant as having been sent and received]; another member and (2) from or to one member to all other members, based upon the value of instruments reported by a participant as having been sent and received" is in means-plus-function format subject to 35 U.S.C. § 112(6) Function: Calculating debits and credits among the participating members. Function: Calculating debits and credits owing from or payable (1) to one member to another member and Corresponding (2) from or to one Structure: Software on member to all other a conventional members, based upon programmable the value of instruments reported by computer or central processing unit (CPU). a participant as having been sent and received. Corresponding Structure: Specification does not disclose structure sufficient to perform the recited function. This term should be construed under 35 U.S.C. § 112(6). Function: Receiving and recording a participant's reports of the value and transit status of the instruments to be cleared as having been sent and received with respect to all participants in the system. Corresponding Structure: Software associated with an accounting system This term should be construed under 35 U.S.C. § 112(6). Function: Receiving and recording a participant' reports of s the value and transit status of the instruments to be cleared as having been sent and received with respect to all participants in the system. Corresponding Structure: Specification does not disclose structure Corresponding Structure: The specification of the '007 patent does not disclose structure sufficient to perform the recited function. This term should be construed under 35 U.S.C. § 112(6). Functions: Receiving and recording a participant' reports of s the value and transit status of the instruments to be cleared as having been sent and received with respect to all participants in the system. Corresponding Structure: Specification does not disclose structure sufficient to Function: Calculating debits and credits owing from or payable (1) to one member to another member and (2) from or to one member to all other members, based upon the value of instruments reported by a participant as having been sent and received.

'007 Claim Terms

Plaintiff Construction " Defendant Group 1" " Defendant Group 2" Court's Construction Construction Construction

Case 2:06-cv-00072-DF-CMC Document 795

[means for receiving and recording a participant' reports of the value and s transit status of the instruments to be cleared as having been sent and received with respect to all participants in the system]; and "means for receiving and recording a participant' s reports of the value and transit status of the instruments to be cleared as having been sent and received with respect to all participants in the system" is in means-plus-function format subject to 35 U.S.C. § 112(6).

Filed 09/14/2007 Page 24 of 62

P.R. 4-5(d) JOINT CLAIM CONSTRUCTION CHART ­ Page 14

Claims 2 ([Bold] terms being construed)

'007 Claim Terms

[means for monitoring on a real time as reported basis (1) the actual sending from and receipt by a participant of the value of instruments being cleared as reported by the participants, and (2) the sending from and receipt by a participant of the actual instruments being cleared, said means for monitoring being operatively interconnected to the means for calculating whereby debits and credits owing from one member to another may be determined and monitored on a continuous basis in real time as reports of the value and transit status of the instruments to be cleared are reported by the participants and received by the processing unit]; and "means for monitoring on a real time as reported basis (1) the actual sending from and receipt by a participant of the value of instruments being cleared as reported by the participants, and (2) the sending from and receipt by a participant of the actual instruments being cleared, said means for monitoring being operatively interconnected to the means for calculating whereby debits and credits owing from one member to another may be determined and monitored on a continuous basis in real time as reports of the value and transit status of the instruments to be cleared are reported by the participants and received by the processing unit" is in meansplus-function format subject to 35 U.S.C. § 112(6). Function: Monitoring on Function: Monitoring a real time as reported on a real time as basis. reported basis (1) the actual sending from Corresponding and receipt by a Structure: Software participant of the value associated with a of instruments being conventional cleared as reported by the participants, and (2) programmable the sending from and computer or central processing unit [Fig. 1 receipt by a participant of the actual (CPU)] operably instruments being interconnected with cleared, said means for software associated monitoring being with the accounting operatively system on the CPU. interconnected to the means for calculating whereby debits and credits owing from one member to another may be determined and monitored on a continuous basis in real time as reports of the value and transit status of the instruments to be cleared are reported by the participants and received by the processing unit. Corresponding Structure: Specification does not disclose structure Function: Monitoring on a real time as reported basis (1) the actual sending from and receipt by a participant of the value of instruments being cleared as reported by the participants, and (2) the sending from and receipt by a participant of the actual instruments being cleared, said means for monitoring being operatively interconnected to the means for calculating whereby debits and credits owing from one member to another may be determined and monitored on a continuous basis in real time as reports of the value and transit status of the instruments to be cleared are reported by the participants and received by the processing unit. Corresponding Structure: Specification does not disclose structure

Plaintiff Construction " Defendant Group 1" Construction running on the central sufficient to perform the processing unit (CPU). recited function. This term should be This term should be construed under 35 construed under 35 U.S.C. § 112(6). U.S.C. § 112(6).

" Defendant Group 2" Court's Construction Construction perform the recited function. This term should be construed under 35 U.S.C. § 112(6).

Case 2:06-cv-00072-DF-CMC Document 795 Filed 09/14/2007 Page 25 of 62

P.R. 4-5(d) JOINT CLAIM CONSTRUCTION CHART ­ Page 15

Claims 2 ([Bold] terms being construed)

'007 Claim Terms

Case 2:06-cv-00072-DF-CMC

C. [a time control for

"a time control for determining the time of physical transport of financial instruments between and among the participants according to a predetermined time cycle, and for determining the occurrence of a final settlement by the clearinghouse participants at a pre-determined time until after a time that certain predetermined local settlements in the localities, by the participants in the localities, are completed" Functions: 1) Determining the time of physical transport of financial instruments between and among the participants according to a predetermined time cycle; and 2) Determining the occurrence of a final settlement by the clearinghouse participants at a predetermined time until after a time that certain pre-determined local settlements in the localities, by the participants in the localities, are completed. Corresponding Structure: Specification does not disclose structure sufficient to perform the recited function. Does not need to be construed separately. 2) Determining the occurrence of a final settlement by the clearinghouse participants at a predetermined time until after a time that certain pre-determined local settlements in the localities, by the participants in the localities, are completed.

Plaintiff Construction " Defendant Group 1" Construction sufficient to perform the recited function. Plaintiff contends that This term should be this term is not construed under 35 governed by 35 USC § U.S.C. § 112(6). 112(6). Functions: Predetermined time 1) Determining the time schedule. of physical transport of financial instruments between and among the participants according to a predetermined time cycle; and

" Defendant Group 2" Court's Construction Construction sufficient to perform the recited function. This term should be construed under 35 U.S.C. § 112(6).

Document 795 Filed 09/14/2007 Page 26 of 62

[determining the time of physical transport of financial instruments between and among the participants according to a predetermined time cycle], and for

Predetermined time "determining the time of physical transport of financial schedule. instruments between and among the participants according to a predetermined time cycle"

Corresponding Structure: Specification does not disclose structure sufficient to perform the recited function. Determining on a regular interval when each of the financial instruments was sent and received between and among the

P.R. 4-5(d) JOINT CLAIM CONSTRUCTION CHART ­ Page 16

Claims 2 ([Bold] terms being construed)

'007 Claim Terms

Plaintiff Construction " Defendant Group 1" " Defendant Group 2" Court's Construction Construction Construction participants. [determining the occurrence of a "determining the occurrence Establishing by Settlement among the Initiating a settlement of a final settlement by the participant rules direct participants in between the member clearinghouse participants at settlement time, that the central check institutions, if at all, at a pre-determined time until accommodates clearing system occurs regular intervals. The after a time that certain processing, after settlements settlement between predetermined local procedures, and occurring at regular members does not settlements in the localities, transportation needs of intervals in each occur, however, until by the participants in the all participants geographical region each member settles localities, are completed". regardless of location between the direct with the non-members and time zone. This participants in that of the clearinghouse in final settlement occurs region and institutions the member's locality. after certain in that region that do predetermined local not directly participate settlements. in the central check clearing system. [final settlement] by the "final settlement" Final settlement of (SAME AS: "regular (SAME AS: "regular clearinghouse participants at a precredit and debit periodic settlement" periodic settlement" determined time until after a time that balances between (claim 1)) (claim 1)) certain pre-determined local institutions. settlements in the localities, by the A final calculation and Settlement occurring at participants in the localities, are transfer of amounts pre- determined time completed]. owed to and payable intervals. between direct participants in the central check clearing system occurring at pre-determined time intervals.

Case 2:06-cv-00072-DF-CMC Document 795 Filed 09/14/2007

U.S. PATENT NO. 5,717,868

Plaintiff Construction " Defendant Group 1" " Defendant Group 2" Court's Construction Construction Construction Preamble is not limiting Preamble is limiting. and the language in preamble does not need to be construed. Preamble is limiting.

Page 27 of 62

Claims '868 Claim Terms for ([Bold] terms being construed) Construction Claim 1 1. An electronic payment interchange Preamble concentrator for effecting one or more of the reception, transmission, translation and storage of electronic transaction data files, said files containing

P.R. 4-5(d) JOINT CLAIM CONSTRUCTION CHART ­ Page 17

'868 Claim Terms for Construction "financial instrument" (claims 24, 45, 61, 80) AGREED AGREED AGREED

Claims ([Bold] terms being construed) information relating to [financial instruments]

Plaintiff Construction " Defendant Group 1" " Defendant Group 2" Court's Construction Construction Construction A document in writing by which some financial obligation by one person to pay another is represented, such as a check, paper, cash items, money orders, share orders, drafts, notes, bonds, coupons.

Case 2:06-cv-00072-DF-CMC

exchanged among multiple [institution]s, "financial instruments being exchanged between and among the institutions" (claims 61, 80) Physical transport of financial instruments between and among the institutions.

"institution" (claims 24, 45, 61, 80)

Bank or other financial Financial institution. institution. Physical transport of financial instruments between and among the institutions.

said [financial instruments being exchanged between and among the institutions], comprising:

Document 795

Filed 09/14/2007

a [means for receiving a data file from an originating institution,

A business, bank, or other commercial entity. Documents in writing by which some financial obligation by one person to pay another is represented, such as a check, paper, cash items, money orders, share orders, drafts, notes, bonds, or coupons, that are exchanged between and among institutions. This term should be construed under 35 U.S.C. § 112(6). This term should be construed under 35 U.S.C. § 112(6).

This term should be construed under 35 U.S.C. § 112(6).

Function: Receiving a Function: Receiving a Function: Receiving a data file from an data file from an data file from an originating institution. originating institution. originating institution. Corresponding Structure: Translator 1 [Fig. 1; 6:6-10; Fig. 2 (block 10)]. Corresponding Structure: Specification does not disclose structure sufficient to perform the recited function. Corresponding structure: The specification of the '868 patent does not disclose structure sufficient to perform the

Page 28 of 62

"means for receiving a data file from an originating institution, said data file containing co-mingled records of a plurality of separate financial instruments, said data file being in a first file format established by the originating institution and containing a designation by the originating institution that information in the data file is to be received by one or more than one

P.R. 4-5(d) JOINT CLAIM CONSTRUCTION CHART ­ Page 18

Claims ([Bold] terms being construed)

" Defendant Group 1" " Defendant Group 2" Court's Construction Construction Construction recited function.

Case 2:06-cv-00072-DF-CMC

Multiple records in a single electronic data file having information from multiple financial instruments intended for multiple recipients. Information representing multiple financial instruments intended for multiple recipients mixed together in a single data file.

Document 795 Filed 09/14/2007

'868 Claim Terms for Plaintiff Construction Construction predetermined institution" is in means-plus-function format subject to 35 U.S.C. § 112(6). said data file containing [co-mingled "co-mingled records" Co-mingled: "combined records] of a plurality of separate financial instrument financial instruments, said data file information intended for one or more of a being in multiple of receiving institutions or settlement mechanisms." Records: "portions of files sent and received between financial institutions, which contain various data fields." a first [file format] established by the "file format" The arrangement of originating institution and containing a (claims 24, 45, 61, 80) data fields within a designation by the originating institution record, and the that information in the data file is to be arrangement of, and received by one or more than one definitions of different types of, records within a data file. [predetermined institution]; "predetermined institution" Participant institution (claim 61) that has previously agreed to exchange financial instrument information with another participant institution. "processor" (claims 24, 45) A central processing unit programmed to perform a specified function. A unique arrangement The particular of electronic data fields arrangement of in a settlement record. information within individual data fields or ranges of data fields within a particular record. Does not need to be Participant institution construed separately. that has previously agreed to exchange financial instrument information with other participant institutions by way of the central translator. A single central A central processing processing unit, unit programmed to connected to all perform a specified originating and function located at a receiving institutions common central facility. and through which all data files are transmitted.

Page 29 of 62

a [processor] for separating said comingled records of

P.R. 4-5(d) JOINT CLAIM CONSTRUCTION CHART ­ Page 19

Plaintiff Construction " Defendant Group 1" Construction Information Information derived representing financial from a financial instruments and instrument. electronic funds transfers, and additional system generated information. [translating the records in each "translating the records in Converting the records Converting the records bundle of said financial instrument each bundle of said financial in each bundle from the in each bundle from information records from said first first file format to a one f