University of Virginia Patent Foundation v. Dynavox Systems, LLC
Filing
31
MEMORANDUM OPINION. Signed by District Judge Glen E. Conrad on 10/1/15. (jcj)
n Fe : OFFI U. , ST COURT
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DY N AV OX SY STEM S,
LLC.
Def nda .
e nt
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)
c r tacin a i tdee ntDyna Syse ,LLC (û Vox'.Thi matri
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) s te s
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ur e l f e he ul
t
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oc edi n a
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f nda '
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ac
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Fi d unde t Li e e K now el
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t t563 tnt' The 563 tnt s nild tye e rci ac r' nd onti
)
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w ve l i , hr e
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a ee t pay,i e a i ,a r ng r ly ba e on iss l ofLi e e Pr
gr d o
nt r la unni oya t s d
t a es
c ns d oduc s Fr m 2005
t. o
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hr h
ER CA d nnualr yali s a s it d r ya t r pors t U VA PF.
o te nd ubm te o ly e t o
On J nua y 4, 0,Dynavox a qui e a 1ou s a ng s r ofERI . r a t r
a r 201
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c s o yy ont i ng ye tac ng qui nt The Eye a a e s y a l sus r t c r
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M x cc s or low
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t V m a w ih a blnk orby c usng t e t r m ai on a s c i oft s r n.UV A PF a l ges
he
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t tDynav o sEyeM a t c
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ogi , nd el t
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ce i
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ce i
r e nt or aii o y oya te
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t.
TheLi e i Agr e e as c ai a a bir ton clus t tpr dest t
c nsng e m nt lo ont ns n r ta i a e ha ovi ha :
Cl i s dipu es orc r r i c
a m , s t , ontove s es once ni t valdiy,
r ng he i t
c t uc i ors ope ofa oft Li e e Pa e t s l be
ons r ton, c
ny he c ns d t n s ha l
resol i t Feder D it ctCoultr di i Char otes le,
ved n he
al sri
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mpl!
une 0, 4,
niitd r tai
it
vox,purua t t s
s nt o hi
arbir i cl
taton ause,i ordert colectisunpai r tes.Durng t ar t aton pr
n
o l t
d oyali
i he bir i
oceedi
ngs,
Dy a xd nidta i ma e u e o s l a yp o u t s b e tt teLie sn Ag e me to
n vo e e h t t d , s d, r od n r d cs u jc o h c n ig re n n
t gr
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Pa e .l lghtofD yna ox' r s ns w hi h U V APF con e pu t s pe ofa Li e e
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Pa e a i s U VA PF w ihdr w is c a m f t pa d r yali f om a bir ton a fl d is
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t e t l i or m i o tes r
r t a i nd ie t
c pl i i t scou ton M a c 27,201 UV APF s ksda a f non- ym e ofr li
om a nt n hi
r
rh
5.
ee
m ges or
pa nt oya tes
a ape ne ij i agans Dy vo t pr ve f t rs e ofLie e Pr t
nd nna nt nuncton i t na x o e nt urhe als
c ns d oducs
wihoutr t pa e s On M ay 20, 5,D yna
t
oyaly ym nt .
201
vox f l d a m o i n t di m i s or i t
ie
t o o s s , n he
at r tve t sa pr e ngsi f vorofa bir to Thi m otonha bee f l bre e and
le na i , o t y oc edi n a
r tai n. s i
s n uly i f d
w asa g d on Se e be 4, 5.I i now r pe f r vi w .
r ue
pt m r 201 t s
i or e e
Di cuss on
s i
TheFedealAr tai Ac (d 'r fe t aûi rlf dea polcyfvorngar tai
r birton t $FAA' elcs t bea e rl i a i birton
)
l
agre nt. Gre v.Za hr l .l .36F.Supp. 669,672( . Va. 4)( i
e me s' e n
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c y ndus, nc,
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M os sH.ConeMem'Hos v.Mecuy Consr Co1 .460U. 1 24( 983).nt Fourh
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t
Cic i, ltg n c n c mp l r irto u d r h F b s o n f u p ee usts û 1 te
rut a iia t a o e abtain n e t e AA y h wig o r rr q iie :i ) h
(
e se eofadiput bewe t pa tes ( awrte a e me t ti l a abir to
xitnc
s e t en he ri ,2) itn gre nt ha ncudes n r tain
pr sonwhihpur t t co rt diput,( t rlto hi oft ta aci whih i
ovii
c pors o ve he s e 3) he eains p he rns ton, c s
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c a 4) he al e, e t
r f a o te( anif t abtaeteds u e'Ad isv La o Re d I c, 0 F.d4 6
eus l f h plitfl o r i t h ip t . kn . b r a vs n .3 3 3 9 ,
r
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500- 1( hCi.
0 4t r 2002) Onl t s co f cori i diput i t sc s .Unde t sprr uiie,
. y he e nd a t s n s e n hi a e
r hi eeq st
t ea et c i rtons: 1 whehe t r i avalda e o c a eabirtonagee nt
her r wo onsdeai ( ) t r hee s i nd nfr e bl r tai r me ,
a ( whehe t cai asetdi t s ta ewihi t s oft ta e nt A&G Coa
nd 2) t r he l ms s re n he ui r t n he cope ha greme .
l
Cor v.nt rt Coa Saes 600F.Supp.2d709,71 ( . Va. ) s as Gre 3 F.
p. I eg iy l l ,
3 W D. 2009 ; ee lo e n, 6
Supp.3d at673-78.
The FA A doe no e es l i ntf t e de i r s a r a pa t s eki t a d
s t xpr s y de iy he vi nta y t nda d
ry e ng o voi
a bir ton m us m e t butt scou tha a l z d t s a r t t tr quie ofa pa t
r ta i
t e,
hi
r s na ogi e he t nda d o ha e r d
ry
o p igs mmayj d me tu d rRue5 ()o t eFe ea Rulso Ci l o e t e S. e .
p osn u r u g n n e l 6e f h d r l e f viPr c dz . Elc
r
Se v .l v.
r s. nc. Come so De.Pr ds.I , 7:0CV00076, 0W L 2233664, t* ( .
rtne t o . nc.No. 1
201
a 3 W D.
Va. une3,201 . s h, pa t c nnota dabirtonbyi nealy de ngt fcsupon
J
0) As uc a ry a
voi r tai
s r l nyi he a t
ge
w hi h t r g t a bir ton r t ' butm us i t a C de iy s cii e de e de onsr tng a
c he i ht o r t a i es s'
t ns e d k ntf pe tc vi nc m t a i
i
m at i f ualdi e.'1
er al act
sput ' d.
1.
Exi t
s ence ofa Vald.E nf
i
orceabl A rbi i A areem ent
e
traton
l or rt c pela bir to t c t us fr tde er i t tt r i a va i
n de o om
r t a i n, he our m t is t m ne ha he e s
ld,
enf ceabl ar t aton agr entbe w een t partes.I t Fourt Cicui i i 'w el
or
e bir i
eem
t
he i n he
h r t, t s t l
esabls d t tt oblga i t a bir t i a c e t r ofc ntac a t ta pa t ca
t i he ha he i ton o r t a e s r a u e o r t nd ha
ry nnotbe
r qui e t s i t ar ta i unl she hasa ee t do s i a c r c . M a r
e r d o ubm t o bir ton es
gr d o
o n ont a t' r owbone Dev.
'
Co. Dit 1 Unie M i W or r ofAmei ,l F. 296,300( hCi.1 ) ico t
v. s. 7, td ne ke s
rca 47 3d
4t r 998 .s urs
a y o d na y sa e l w pr nc pl s g r ng c r tf m a i t de e m i w he he t
ppl r i r t t - a
i i e ove ni ontac or ton o t r ne
t r he
pa te e e e i o a vald, nf ce bl a e m e t a bir t unde t FAA . M c e lv. e
r i s nt r d nt
i e or a e gr e nt o r ta e
r he
' N i Hal y
'
S.l .No.3:0CV1 2010W L 3670547,a * ( D. Se .1 201 .
.nc,
1
92,
t 3 E. Va. pt 3, 0)
I t sca e, he e i no d s e t tt Li e i A gr e e be w e n t pa te i a
n hi s t r s
i put ha he c nsng
e m nt t e he r i s s
va i c r ta t ti co a nsa e or a e a bir to cl us D yna ox doe notdi put
ld ontac nd ha t nt i n nf ce bl r t a i n a e.
v
s
s e
t ti a s e a lt oblga i o ER I ,ispr dec s or i udi t Li e i
ha t s um d 1 he i tons f CA t e e s , ncl ng he c nsng
Agr m e .M or ove , VA PF i ke t ar t a i c aus w he i or gi ly i ta e
ee nt
e rU
nvo d he bir ton l e
n t i na l nii t d
ar t i proceedi agai tD ynav ox.Over l neiherpart has aleged t t ar t aton
biraton
ngs
ns
al, t
y
l
hat he bir i
cl e i unenf ceabl ort t Li
aus s
or
e hat he censi Agr enti i i Ther ore,t cour fndst
ng
eem
s nvald.
ef
he
t i hat
t e i avald,enf ceabl ar taton agr entbet een U VA PF and Dynav ox.
her s
i
or
e bir i
eem
w
I1.
Scope ofthe A rbirat on A zreem ent
t i
H a ng de e m i t tt pa te 'w rte a bir ton a ee e i va i a
vi
t r ned ha he ri s it n r t a i gr m nt s ld nd
e or e bl t c t us now de e m i whe he t a e m e cove st i s i dipu e,
nf c a e, he our m t
t r ne
t r he gr e nt
r he s ue n s t
w hi h i t c u oft pa tes di a e e .I gene a , r i m a a e t a bir t onl
c s he r x he r i ' s gr em nt n
r l pa tes y gr e o r t a e y
s is .Se Noohiv.Tol Br .l .708F. 5 606( hCi.201 )($T1 Suprme
ome sues e
l os, nc,
3d 99, 4t r 3 i( he e
Co r h sh l t t a t sma a ret l t h is e s be tt abtain. Ho v r te
u t a ed ha p ri y g e o i t e su s u j c o r irto ' we e,h
e
mi
).
FAA cr a e a s r pr um pton i f vorofe or i a bir ton a ee ent a t d
e t s t ong es
i n a
nf c ng r ta i gr m s nd l
any oubt
s
conc r ng t s ope ofar ta e i s s s d be r s ve i f vor o a bir ton. M os s H .
e ni he c
bir bl s ue houl
e ol d n a
f r ta i '
'
e
Cone M em ' H os , U . a 24-25;s e a s A m . e ove y Cor v.Com put rze The m a
l p. 460 S. t
e lo
R c r
p.
ei d
r l
I ng.I ,96F. 88, ( hCi.1 )(kW ) ma notde apa t sr uett abirt
magi nc.
3d 92 4t r 996 $( e y
ny ry' eq s o r tae
a i s l l s i m a be s i w ih postve as ur nc t t a bir ton c aus i no s c ptbl
n s ue m e s t y
ad t
ii
s a e hat he r t a i l e s t us e i e
ofa i eprttont tc r t a s tddiput '(nenalquottonmaksomitdl;s e
n ntr eai ha ove s he sere s e. itr
'
ai
r
te l e
as Pç e $çç, f l .Cc. M onume a Liel .Co.8 F. 809,81 ( hCi.
lo ppls
Lie ns )v.
ntl f ns , 67 2d
2 4t r1989)
(û-l hea p eumptonofabirbiiyrquiest twhe t sopeoft abirtonca e
tg-he vy r s i
l
r ta lt e r ha
n he c
he r tai lus
i ope t queto ac t tde i t queto i fvorofabir to '.I t r i a
s n o sin, our mus cde he sin n a
r tain.' f he e s n
)
e e i t a a bir ton cl us ,t n t polcy f vorng br d c t u ton o ar t a i
xc pton o n r ta i
a e he he i a i
oa ons r c i f bir ton
c a e c pe sna r cons r to ofe e i t a bir ton c a e .Choi e H ot s I t l
l us s om l r ow
t uc i n
xc ptons o r ta i l us s
c
el n ',
l v. Tr c naRes rsl .252F. 707,711( hCi. )(ii Anniov.
nc. BSR opia
o t nc,
3d
4t r 2001 ctng
i
Pr nilI .Co.72F.d 7 8 ( 0t Ci.1 ).
ude ta ns , 3 93, 00 1 h r 995)
I t i t ntca e t Li e i A gr e e pr d t t$ lot rc a m s diput s o
n he ns a
s , he c nsng
e m nt ovi es ha i
a1 he l i , s e r
c r risaii unde , of o i c ci wih (heLie i Agee t's l be
ontove se rsng
r out , r n onne ton t t c nsng r menj' hal
resol by fnaland bi ng ar t aton.Compl Ex.1,at 14.Thi l
ved
i
ndi
bir i
.
s anguage brngs i t
i n he
br
oades poss bl r
t
i e ange ofcl m sw ihi t scope oft ar t ton cl e.A m .Recover Corp.
ai
t n he
he bira i
aus
v
5
v.
Computrze ThemalI ai l .96F. 88,93- (t Ci.1 ( i t tan
ei d r ma nc,nc,
3d
94 4h r 996) notng ha
ar taton cl
bir i
ause t tpr des f ar t aton ofany diput ar sng outofan agr enti ver
ha ovi or bir i
s es i i
eem
s y
br
oad,requii t partest s i t ar t aton i t pl ntf scl m s eiherar s f t
rng he
i o ubm t o bir i f he ai if ai
t
i e rom he
a ee
gr mentorbea açsgniia rltons p't t a ee nt.
r si tc nt eai hi 'o he gr me ) Howe ,heei ane e i
vert r s xc pton
t t abirtonca ei t Li nsngAgreme f dcli ,diput ,orc r ris
o he r tai lus n he ce i
e nt or t jams s es ontovese
r
c nc r i t ev l iy c n tu to , rso eo a yo t Lie s dPae tg 'Co l Ex. ,
o enng h ai t , o sr ci n o c p f n fhe c n e tns .' mp . l
d
l
a 1 U VA PF a guest tt di put a i s ,whe he Dynavox i i br a h ofc r tf
t 4.
r
ha he s e t s ue
t r
s n ec
ontac or
f ii t pa r li s i a que ton a
a lng o y oya te , s
s i boutt s ope oft ; Pa e ,and t r or f lsw ihi
he c
he 563 t nt
he ef e a l t n
tee c p int teabi ainca s . ec u t ee t t i itrr tto
h x e to o h r t to lu e Th o r rjcs hs n ep eain.
r
The t r sCva i t ' k onsr ton,' nd ûs ope' a e t r sofa ' i pa e tl w ,a t i
e m t ldiyr' s tuc i ' a sc ' r e m
c
l n t n a nd he r
t
i l i s
nc us on uppors a na r r a ng oft e e i n t t a bir ton c aus s a t c ronl
t
r ow e di
he xc pto o he r t a i l e o s o ove
y
pa e l w - e a e di put s He e Dyna ox doesno di put t va i t oft $ pa e , n
t nt a r l t d s e . r ,
v
t s e he ldiy he 563 t nt i
such m annerast chalenge is oblgaton t pay r tes.See Lear.l v.A dki 395 U .
o
l
t
i i o
oyali
nc.
ns,
S.
653,67 (1 69)( di t tt lc nsei k r tedt a dt pa tofa1r li 'i i
4 9 hol ng ha he ie e s ' mit o voi he ymen l oyates'f t
pe
c np o ep tn i v ldt) M o e v r Dy a xd e n te piil dip t t s o o te
a r v ae t n ai i . ro e , n vo o s o x l t s u e he c pe f h
y
cy
1 Pa ent The r tc ly,t pa te co d s i a e t t s pe oft pa e a s ilm ai ai
563 t . o e i a l he r i s ul tpul t o he co
he t nt nd tl
nt n
a d s ea
i put boutw he he D yna ox owesU VA PF r li . n ot rw or ,D y vox' a g e
t r
v
oya tes l he
ds na
s r um nt
t i does notow e r test U VA PF doesnotnecess l t on res uton of a diput ast
hat t
oyali o
ariy urn
ol i
s e o
t s pe oft k 3 Pa e .I t d, ynavox a gue t ti do noto e r ya te t U VA PF
he co
he 56 t nt ns ea D
r s ha t es
w o li s o
be a e i di noti e a e U VA PF' pa e e t hnol i o is p od t .A ss h,UV A PF
c us t d
nt gr t
S t nt d ec ogy nt t r uc s
uc
ha notm e isbur n ofs i a k a e i lf c ualdi pu e'r ga di t s ope oft :
s
tt
de
how ng i t r a a t
m
s t ' e r ng he c
he 563
Pat ,whi i r r f t di put t f lwihi t s
ent
ch s equi ed or he s e o al t n he cope oft excepton t t ar taton
he
i o he bir i
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aus
6
M or ove , ft co twer t ag ee w ih UV A PF' i e pr t ton oft na ur oft
e r i he ur
eo r
t
S nt r e a i
he t e he
di put be w e n t pa tes t n t e e i n t t a bir ton c aus w oul c rm or t n
s e t e he r i , he he xc pto o he r ta i l e
d ove
e ha
w ha i lse i t Li e i A gr e e .
t s it d n he c ns ng
e m nt The e e i w oul go be
xc pton
d
yond t va i t
he ldiy,
eo tuc i a s o oft pae ,a woul as c ri rnge ntdipu esaswel Thi
nsr ton, nd c pe he tnt nd
d lo ove nfi me
s t
l. s
w oul occ de pie t l c oft t r ii rnge e ' i t exc pton t t a bir to c a e.
d ur s t he a k he e m 'nf i m nt' n he e i o he r t a i n l us
Se l
ç nnovai Enc' Sol ins l v. io x.I .458F.Supp.2c 11 11 ( Or 2006)
tve
z uto -nc. M s ni nc,
1 90, 96 D. .
(ûIfghepae hol r c i r pae i rnge ntcli t c e f abirton,i
ç(1 t tnt del onsdeed tnt nfi me ams oo omplx or r tai t
s dha i itdonapatnti rnge nte pto t t Ag e me ' abirtonca e.)
houl ve nsse
e nfi me xce in o he r e nts r tai lus '.
'
Thi i e pr t ton goe a i tt br ad h ofc s 1 w t tr ui e a na r r a ng ofa
s nt r e a i
s ga ns he e t
a e a ha eq r s
r ow e di
n
e e i n t a a bir ton c a e.
xc pto o n r t a i l us
l a ton,e i t c t e e t e e t i U VA PF' a gum entt tisbr c of
n ddii ven f he our w r o nt r a n
S r
ha t ea h
c r c cl m c n be r ad t e om pa sa di put a
ont a t ai a
e o nc
s
s e boutt s pe oft $ Pa e , hi c t
he co
he 563 t nt t s our
w oul be lm ie t de i ng onl t quesi oft s ope oft pa en .The c tw oul not
d
i t d o c di
y he
ton he c
he t t
our
d
h v j rs ito t deemiet utmaeb e c o c nrc cam. we e ,ni c mplit
a e u idcin o tr n he li t ra h f o ta t li Ho v r i t o an ,
s
U VA PF a l s o y one c a m a i tD yna ox:br a h ofc ntac f non- ym e of
lege nl
l i ga ns
v
ec
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pa nt
r li . VA PF doesno s e a de e m i i f o t c t i t f m ofa de a a or
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t ek
t r naton r m he our , n he or
cl r t y
j
udgmen,rgadi t vai t c tuci ors o oft 163Pae . r or,t c t
t e r ng he ldiy, onsr ton, c pe he 5
tntTheef e he our
fnds t tt i s t ti hasbe n as t r s ve i s m pl a b e c ofc r tc a m f rnoni ha he s ue ha t
e ked o e ol s i y r a h
ontac l i o
pa e ofr li .
ym nt oya tes
Over l t courtcannots w ih postve as
al, he
ay t
ii
surance t t ar t aton cl
hat he bir i
ause cannotbe
i e pr t d t c rt pa te 'br a h ofco r c diput G i n t polc esi f vo o t
nt r e e o ove he r i s e c
nt a t s e. ve he i i n a r f he
br i ep ret i and enf ceabiiy ofar taton cl
oad nt
aton
or
lt
bir i
auses and nar ow i em r aton of
r nt et i
ar taton cl
bir i
ause exceptons,t cour tndst tt s
i
he
ti
ha he cope oft partes'br ar t aton
he
i
oad bir i
a ee e c
gr m nt over t s t nc ofU VA PF' c a m a i tDyna ox f br a h ofc r t
s he ubs a e
S l i ga ns
v
or e c
ontac .
A ccor ngl t partes ar r r t ar t at t r diput
di y, he i e equied o bir e hei s e.
The Four h Cic tha a kno l ed t ns on i is de i i w ih r pec t w he he
t r ui s c w edg e i n t c sons t es t o
t r
c u t s o l sa o ds s a a to wh nalis e p e e tdt eenaes be t o
o rs h ud ty r imis n cin e l su s rs ne h r i r u j c t
abirton. eAggaaov.MOL Shi M g . ,675F. 355,376n.8( h Ci.201 )
r tai Se
r
p mtCo.
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( i t tLlj r maybes tnsonbewe nourde ii i Hooes i c tngt ta
notng ha tthee
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s a i r quie w he t a bir ton ag e m e i ov r t m a t ri di put a Choi e
ty s e rd
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c
Hoes s nci ngdimis i
tl a toni s sal whenaloft is spr e e .. r abir bl '' ( i
l he sue esntd .ae r ta e.' quotng
)
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otr,nc Philps 73 3d
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r 2013 .
t rui
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tr
dititc tha dicei t dimisrt rt nsa a a tons j c t abirton.' ro,
src our s s rton o s s ahe ha ty n ci ub e t o r tai 'Accaa
675 F. at376 n. 8.G i t s uncert nt t cour w ils ay t sacton pendi ar t aton of
3d
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ai y, he
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UVAPF' cai Se Gr n,36F.Supp.3da 678(tyi c s i fvo ofabir i ;s as
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Pori v.Rua 7:5- 0011 2015W L 393833 a *2( . Va. une26,201 )(a )
ts
n, l cv- 8,
4, t W D. J
5 sme.
Concl i
us on
Fort f e ng r a ons t c t ilgr ntD yna o sm o i t c pela bir ton
he or goi e s , he our w l a
v x' ton o om
r tai
and t say t e pr
o t hes oceedi accor ngl The Cl k i diect t s cer ii copi oft s
ngs
di y.
er s r ed o end tted
es hi
me o a
m r ndum opi on a t a c pa ng or rt a 1cou e ofr c d.
ni nd he c om nyi
de o 1 ns l e or
E E T i (.-dyo Oco e, 0 5
NT R: hs 4 a f tbr2 1.
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Chi Unied St esD i rctJudge
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at
sti
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