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Ricoh Co., Ltd. v. Quanta Computer Inc.

Citations: 550 F.3d 1325; 89 U.S.P.Q. 2d (BNA) 1577; 2008 U.S. App. LEXIS 25850; 2008 WL 5336903Docket: 2007-1567

Court: Court of Appeals for the Federal Circuit; December 22, 2008; Federal Appellate Court

Original Court Document: View Document

Narrative Opinion Summary

In this case, Ricoh Company, Ltd. appealed the district court's summary judgment dismissing its patent infringement claims against Quanta Computer Inc. and other defendants. Ricoh alleged infringement of several patents related to optical disc drive technology. The district court ruled that claims of U.S. Patent No. 6,631,109 were invalid due to obviousness and that the accused devices did not infringe U.S. Patent No. 6,172,955. Moreover, Ricoh did not sufficiently prove direct or indirect infringement for U.S. Patent Nos. 5,063,552 and 6,661,755. The appellate court found that incorrect legal standards were applied regarding contributory infringement and inducement of infringement, leading to partial vacatur and remand for further proceedings. The court affirmed the invalidity of the ’109 patent claims based on prior art overlaps. It also upheld the noninfringement finding for the ’955 patent as Ricoh failed to show the claimed method was practiced. The case was remanded for further examination of potential contributory infringement by Quanta and inducement by QSI. The appellate court addressed significant legal principles concerning patent obviousness, direct and indirect infringement under 35 U.S.C. § 271, and the interpretation of substantial noninfringing uses. The decision included a dissent concerning the contributory infringement analysis.

Legal Issues Addressed

Contributory Infringement under 35 U.S.C. § 271(c)

Application: Summary judgment of no contributory infringement was vacated due to the need for further examination of whether Quanta’s drives contain components without substantial noninfringing uses.

Reasoning: The district court's decision to grant summary judgment of no contributory infringement under 35 U.S.C. § 271(c) against Quanta is vacated and remanded due to the need for further examination of whether Quanta’s optical disc drives contain components that lack substantial noninfringing uses.

Inducement of Infringement under 35 U.S.C. § 271(b)

Application: The appellate court vacated the summary judgment of no inducement against QSI, remanding for further consideration of material factual issues regarding QSI's intent for infringement.

Reasoning: The court has refrained from evaluating the factual sufficiency of Ricoh’s evidence due to legal discounting and has remanded the inducement claim against QSI for further consideration.

Noninfringement of Patent Claims

Application: The court held that the accused devices did not infringe upon the '955 patent claims because Ricoh failed to demonstrate that any accused devices practiced the claimed method as a background process.

Reasoning: The district court determined that Ricoh failed to provide evidence demonstrating that any of the accused devices initiated a formatting process as a background process.

Patent Invalidity Due to Obviousness

Application: The district court found claims 1 and 4 of the ’109 patent obvious based on prior art overlaps, specifically with Ricoh's European patents.

Reasoning: The court found claims 1 and 4 of the ’109 patent obvious based on overlaps with Ricoh's own European patents, which disclosed similar methods but at different recording speeds.