Free Amended Complaint - District Court of Delaware - Delaware

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IN THE UNITED STATES DISTRICT COURT FOR THE EASTERN DISTRICT OF TEXAS MARSHALL DIVISION REMBRANDT TECHNOLOGIES, LP Plaintiff, v. TIME WARNER CABLE, INC., Defendant. § § § § § § § § §

Case No. 2:06-CV-224 [TJW] JURY TRIAL REQUESTED

FIRST AMENDED COMPLAINT Rembrandt Technologies, LP ("Rembrandt") files this First Amended Complaint for infringement of United States Patent Nos. 5,243,627; 5,852,631; 5,719,858; and 4,937,819 under 35 U.S.C. § 271, and in support thereof would respectfully show the Court the following: THE PARTIES 1. Plaintiff Rembrandt is a limited partnership organized under the laws of the state

of New Jersey with its principal place of business at 401 City Avenue, Suite 815, Bala Cynwyd, PA 19004. 2. Defendant Time Warner Cable Inc. ("TWC") is a corporation organized under the

laws of the state of Delaware with its principal place of business at 290 Harbor Drive, Stamford, Connecticut 06092. TWC's registered agent for service of process in Texas is CT Corporation System, 350 North St. Paul Street, Dallas, Texas 75201. TWC answered the original Complaint and asserted counterclaims. 3. Defendant Time Warner Cable LLC ("TWCL"), is a corporation organized under

the laws of the state of Delaware with its principal place of business at 290 Harbor Drive, 1
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Stamford, Connecticut 06902. TWCL's registered agent for service of process is the Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, Delaware 19801. 4. Defendant Time Warner New York Cable LLC ("TWNY") is a corporation

organized under the laws of the state of Delaware with its principal place of business at 290 Harbor Drive, Stamford, Connecticut 06902. TWNY's registered agent for service of process in Texas is CT Corporation System, 350 North St. Paul Street, Dallas, Texas 75201. 5. Defendant Time Warner Entertainment Company, L.P. ("TWE") is a limited

partnership organized under the laws of the state of Delaware with its principal place of business at 290 Harbor Drive, Stamford, Connecticut 06902 in care of Time Warner Cable. TWE's registered agent for service of process in Texas is CT Corporation System, 1021 Main Street, Suite 1150, Houston, Texas 77002. 6. Defendant Time Warner Entertainment-Advance/Newhouse Partnership

("TWE/AN") is a partnership organized under the laws of the state of New York with its principal place of business at 290 Harbor Drive, Stamford, Connecticut 06902 in care of Time Warner Cable. TWE/AN's registered agent for service of process in Texas is CT Corporation System, 350 N. St. Paul Street, Dallas, Texas 75201. 7. TWC is the direct or indirect parent of each of TWCL, TWNY, TWE, and TWE-

A/N. Through one or more of its subsidiaries, affiliates, partners, or other related parties, TWC owns and/or operates cable systems throughout the United States and in the State of Texas (as Time Warner Cable and/or Road Runner). TWCL, TWNY, TWE, and TWE-A/N, each directly or through one or more subsidiaries, affiliates, partners, or other related parties own and operate 2
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cable systems in Texas and elsewhere (as Time Warner Cable and/or Road Runner). TWC, TWCL, TWNY, TWE, and TWE-A/N (collectively, the "Defendants"), directly or through one or more subsidiaries, affiliates, partners, or other related parties, as set forth herein, have each committed and continue to commit tortuous acts of patent infringement within and outside of Texas and within this judicial district. JURISDICTION AND VENUE 8. This is an action for patent infringement, arising under the patent laws of the

United States, Title 35, United States Code. This Court has exclusive subject matter jurisdiction over this case for patent infringement under 28 U.S.C. §§ 1331 and 1338(a). 9. This Court has personal jurisdiction over all named Defendants. Defendants have

conducted and continue to conduct business in the State of Texas and within this district. Defendants, directly or through subsidiaries or intermediaries, offer for sale, sell, advertise, and market products and services that infringe the patents-in-suit as described more specifically below. Therefore, because Defendants have committed acts of patent infringement in this state and district, or are otherwise present or doing business in this state and district, this Court has personal jurisdiction over Defendants. 10. 1400(b). COUNT I -- INFRINGEMENT OF U.S. PATENT NO. 5,243,627 11. above. Rembrandt refers to and incorporates herein the allegations of Paragraphs 1-10 Venue is proper in this judicial district under 28 U.S.C. §§ 1391(b), (c), and

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12.

Rembrandt is the owner of all right, title and interest, including the right to sue,

enforce and recover damages for all infringements, in U.S. Patent No. 5,243,627, entitled "Signal Point Interleaving Technique" ("the `627 patent"). 13. The `627 patent was duly and legally issued by the United States Patent and

Trademark Office on September 7, 1993, after full and fair examination. 14. Texas. 15. Defendants have directly or indirectly infringed, and are continuing to infringe, Defendants operate cable television systems throughout the United States and in

directly or indirectly, the `627 patent by practicing or causing others to practice (by inducement and contributorily) the inventions claimed in the `627 patent, in this district or otherwise within the United States. For example, Defendants have infringed and continue to infringe the `627 patent by their receipt and retransmission over their cable television systems of digital terrestrial broadcast signals that comply with the ATSC Digital Television Standard. 16. Upon information and belief, Defendants will continue to infringe the `627 patent

unless enjoined by this Court. Upon information and belief, such infringement has been, and will continue to be, willful, making this an exceptional case and entitling Rembrandt to increased damages and reasonable attorneys' fees pursuant to 35 U.S.C. §§ 284 and 285. COUNT II -- INFRINGEMENT OF U.S. PATENT NO. 5,852,631 17. above. Rembrandt refers to and incorporates herein the allegations of Paragraphs 1-16

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18.

Rembrandt is the owner of all right, title and interest, including the right to sue,

enforce and recover damages for all infringements, in U.S. Patent No. 5,852,631, entitled "System and Method for Establishing Link Layer Parameters Based on Physical Layer Modulation ("the `631 patent"). 19. The `631 patent was duly and legally issued by the United Stats Patent and

Trademark Office on December 22, 1998, after full and fair examination. 20. Defendants operate cable systems and provide Internet service throughout the

United States and in Texas. 21. Defendants have directly or indirectly infringed, and are continuing to infringe,

directly or indirectly, the `631 patent by practicing or causing others to practice (by inducement and contributorily) the inventions claimed in the `631 patent, in this district or otherwise within the United States. For example, Defendants have infringed and continue to infringe the `631 patent by providing high speed internet service to subscribers. 22. Upon information and belief, Defendants will continue to infringe the `631 patent

unless enjoined by this Court. Upon information and belief, such infringement has been, and will continue to be, willful, making this an exceptional case and entitling Rembrandt to increased damages and reasonable attorneys' fees pursuant to 35 U.S.C. §§ 284 and 285. COUNT III -- INFRINGEMENT OF U.S. PATENT NO. 5,719,858 23. above. Rembrandt refers to and incorporates herein the allegations of Paragraphs 1-22

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24.

Rembrandt is the owner of all right, title and interest, including the right to sue,

enforce and recover damages for all infringements, in U.S. Patent No. 5,719,858, entitled "TimeDivision Multiple-Access Method for Packet Transmission on Shared Synchronous Serial Busses" (the `858 patent"). 25. The `858 patent was duly and legally issued by the United Stats Patent and

Trademark Office on February 17, 1998, after full and fair examination. 26. Defendants operate cable systems and provide Internet service throughout the

United States and in Texas. 27. Defendants have directly or indirectly infringed, and are continuing to infringe

directly or indirectly, the `858 patent by practicing or causing others to practice (by inducement and contributorily) the inventions claimed in the `858 patent, in this district or otherwise within the United States. For example, Defendants have infringed and continue to infringe the `858 patent by provision of high speed internet services, including such services as Voice over IP (VoIP) to subscribers. 28. Upon information and belief, Defendants will continue to infringe the `858 patent

unless enjoined by this Court. Upon information and belief, such infringement has been, and will continue to be, willful, making this an exceptional case and entitling Rembrandt to increased damages and reasonable attorneys' fees pursuant to 35 U.S.C. §§ 284 and 285. COUNT IV -- INFRINGEMENT OF U.S. PATENT NO. 4,937,819 29. above. Rembrandt refers to and incorporates herein the allegations of Paragraphs 1-28

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30.

Rembrandt is the owner of all right, title and interest, including the right to sue,

enforce and recover damages for all infringements, in U.S. Patent No. 4,937,819, entitled "Time Orthogonal Multiple Virtual DCE for Use in Analog and Digital Networks" (the `819 patent"). 31. The `819 patent was duly and legally issued by the United Stats Patent and

Trademark Office on June 26, 1990, after full and fair examination. 32. Defendants operate cable systems and provide Internet service throughout the

United States and in Texas. 33. Defendants have directly or indirectly infringed, and are continuing to infringe

directly or indirectly, the `819 patent by practicing or causing others to practice (by inducement and contributorily) the inventions claimed in the `819 patent, in this district or otherwise within the United States. For example, Defendants have infringed and continue to infringe the `819 patent by provision of high speed internet services, such as Voice over IP (VoIP) services, to cable television subscribers. 34. Upon information and belief, Defendants will continue to infringe the `819 patent

unless enjoined by this Court. Upon information and belief, such infringement has been, and will continue to be, willful, making this an exceptional case and entitling Rembrandt to increased damages and reasonable attorneys' fees pursuant to 35 U.S.C. §§ 284 and 285. PRAYER FOR RELIEF WHEREFORE, Rembrandt prays that it have judgment against Defendants TWC, TWCL, TWNY, TWE, and TWE-A/N for the following: (1) An order that each Defendant has infringed the patents-in-suit;

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(2)

A permanent injunction enjoining and restraining each Defendant and its agents,

servants, employees, affiliates, divisions, and subsidiaries, and those in association therewith, from making, using, offering to sell, selling, and importing into the United States any product, or using, offering to sell, or selling any service, which falls within the scope of any claim of the patents-in-suit; (3) (4) (5) (6) entitled. JURY DEMAND Rembrandt hereby demands a jury trial on all issues appropriately triable by a jury. DATED: March 14, 2007 Respectfully submitted, An award of damages; An award of increased damages pursuant to 35 U.S.C. § 284; An award of all costs of this action, including attorneys' fees and interest; and Such other and further relief, at law or in equity, to which Rembrandt is justly

/s/ Sam Baxter______________ Sam Baxter State Bar No. 01938000 McKOOL SMITH, P.C. 505 E. Travis, Suite 105 Marshall, Texas 75670 Telephone: (903) 927-2111 Telecopier: (903) 927-2622 [email protected] Jeffrey A. Carter State Bar No. 03919400 McKOOL SMITH, P.C. 300 Crescent Court, Suite 1500 Dallas, Texas 75201 Telephone: (214) 978-4006 Telecopier: (214) 978-4044 [email protected]

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Travis Gordon White State Bar No. 21333000 McKOOL SMITH, P.C. 300 W. 6th Street, Suite 1700 Austin, Texas 78701 Telephone: (512) 692-8700 Telecopier: (512) 692-8744 [email protected] Robert M. Parker State Bar No. 15498000 Robert Christopher Bunt State Bar No. 00787165 PARKER & BUNT, P.C. 100 E. Ferguson, Suite 1114 Tyler, Texas 75702 Telephone: (903) 531-3535 Telecopier: (903) 533-9687 [email protected] [email protected] Otis Carroll State Bar No. 03895700 Patrick Kelley State Bar No. 11202500 Collin Maloney State Bar No. 00794219 IRELAND, CARROLL & KELLEY, P.C. 6101 S. Broadway, Suite 500 Tyler, Texas 75703 Telephone: (903) 561-1600 Telecopier: (903) 581-1071 [email protected]

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Calvin Capshaw State Bar No. 03783900 Elizabeth L. DeRieux State Bar No. 05770585 Andrew W. Spangler State Bar No. 24041960 BROWN McCARROLL LLP 1127 Judson Road, Suite 220 P.O. Box 3999 (75606-3999) Longview, Texas 75601-5157 Telephone: (903) 236-9800 Telecopier: (903) 236-8787 [email protected] [email protected] [email protected] ATTORNEYS FOR PLAINTIFF REMBRANDT TECHNOLOGIES, LP CERTIFICATE OF SERVICE The undersigned certifies that the foregoing document was filed electronically in compliance with Local Rule CV-5(a). As such, this document was served on all counsel who have consented to electronic service. Local Rule CV-5(a)(3)(A). Pursuant to Fed. R. Civ. P. 5(d) and Local Rule CV-5(e), all other counsel of record not deemed to have consented to electronic service were served with a true and correct copy of the foregoing by U.S. mail, on this the 14th day of March, 2007.

/s/ Sam Baxter________________________ Sam Baxter

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