A Blog About Intellectual Property Litigation and the District of Delaware


CFC
The Honorable Colm F. Connolly

A Creek View
AI-Generated, displayed with permission

We've posted a lot about the Mavexar hearings. Earlier this month, two of the plaintiffs in cases that had hearings scheduled, Creekview IP LLC and Waverly Licensing LLC, filed nearly-identical petitions for mandamus.

The petitions are linked below. In each, the petitioner seeks to reverse Chief Judge Connolly's order scheduling an evidentiary hearing to investigate compliance with the Court's standing orders:

Petitioner respectfully requests that the Court issue a writ of mandamus reversing the Memorandum Order and ending the judicial inquisition of Petitioner.

The petitions argue that the Court lacked Article III standing, because the cases had been dismissed, that Chief Judge Connolly abuse his discretion in issuing the standing order, and that Congress has …

Hasnain Sikora, Unsplash

The Federal Circuit made its second foray into the Mavexar (I think) saga on Friday when it ruled on a new petition for Mandamus is In re: Swirlate IP LLC.

The plaintiff in Swirlate filed a petition for mandamus on November 30, seeking to stop a scheduled December 6 hearing.

I should note at the outset the while the Swirlate case seems to mimic the M.O. of a Mavexar entity—a Texas LLC with a single managing partner with no apparent connection to the patent—the Court has not yet held a hearing on the issue, so we can't say conclusively that the matter is related. It was, however, scheduled for a hearing in December that that sole …

Charging Bull
AI-Generated, displayed with permission

Well this clears things up.

Background of the Mandamus Petition

We've talked about how Chief Judge Connolly has held multiple hearings in the Mavexar actions, examining the owners of several patent assertion LLCs and discovering that the real party in interest seems to be Mavexar LLC. The witnesses testified that Mavexar recruits people to serve as plaintiffs, but then runs the litigation themselves—including seemingly all substantive decisions, even settlement.

After the most recent hearings, Chief Judge Connolly issued a series of orders requiring production to the Court of various communications between the LLCs, their attorneys, and Mavexar. One of the entities involved, Nimitz, immediately filed a petition for a writ of mandamus to stop the Court's …

Space Fighters
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I saw this case come in just now, and thought it was worth a post. Today, Power Integrations, Inc. brought an action against Waverly Licensing LLC, Mavexar LLC, Array IP LLC, and IP Edge LLC, alleging that those companies had engaged in a harassment campaign against Power Integrations over alleged patent infringement, and seeking a declaratory judgment of non-infringement.

According to the complaint, Waverly Licensing, LLC—by itself—sued Power Integrations late last month in the Western District of Texas. That case is still pending, according to the docket, and is assigned to Judge Robert Pitman (not Judge Albright). The answer deadline is set for January.

Now, Power Integrations brought a DJ action here in Delaware against …

"Lamplight" isn't the worst name for a patent assertion entity. Riley Bourdon, Unsplash

Today brought yet another twist in the ongoing Mavexar saga. In one of the cases, a defendant—not the plaintiff—moved unopposed for a protective order to prevent the Mavexar-related LLC from producing the documents that the defendant sent to it (and that, presumably, the Mavexar-related LLC may have sent to Mavexar itself).

Specifically, the defendant moved for a protective order to "prevent the public filing of three categories of information that ABB expects to be provided by Plaintiff and its counsel in response to the Court’s Memorandum Order," including (1) documents related to sales and royalty rates, (2) communications related to the terms of the settlement agreement, and (3) the agreement itself.

As to those three categories, the defendant asked the Court to issue a protective order that protects the info from disclosure in both filings and in future hearings or ...

Stop
Markus Spiske, Unsplash

These Mavexar-related cases are developing so fast, we can hardly keep up!

We've talked about how Chief Judge Connolly issued an order directing certain of the Mavexar-related entities to produce documents, including materials related to their communications with Mavexar. We also discussed the Nimitz entities' petition for a writ of mandamus to stop enforcement of the order and to stop the Court's "judicial inquisition."

Yesterday, the Federal Circuit responded and stayed the order:

IT IS ORDERED THAT:
Defendants CNET Media, Inc., Bloomberg L.P.; BuzzFeed, Inc.; and Imagine Learning, Inc. are directed to respond to the petition no later than November 30, 2022, whether defendants fully defend, partly defend, or decline to defend the challenged order. …

Nimitz-Class Aircraft Carrier
Nimitz-Class Aircraft Carrier Unknown

Yesterday, Nimitz Technologies LLC, one of the entities involved in the recent Mavexar hearings, filed a petition for a writ of mandamus with the Federal Circuit to "review and reverse" the Court's most recent memorandum order in those cases, and to "direct[] the district court to terminate its judicial inquisition of the Petitioner."

If you recall from our post last week, the Court issued an order in three of the Mavexar-related cases directing Nimitz and two other plaintiffs to disclose a broad range of communications and documents, including things like retention agreements, bank account statements, and communications between the plaintiffs or their principals or attorneys and Mavexar.

Nimitz argues that the documents and communications …

"If we don't consent, which visiting judge do you think we'll get?" Hush Naidoo Jade Photography, Unsplash

We've talked before about Chief Judge Connolly's orders that allow parties to choose to either consent to a specific magistrate judge or to have the case assigned to a visiting judge.

Last month, the Court issued those orders in six patent cases. All of the orders followed the same pattern as last time, giving the choice between a specific magistrate judge or an unknown visiting judge:

ORAL ORDER: It is HEREBY ORDERED that on or before November 1, 2022, the parties shall either (1) submit to the Clerk of Court an executed Form AO 85 Notice, Consent, and Reference of a Civil Action to a Magistrate Judge, indicating their consent to have a United States Magistrate Judge conduct all proceedings in this case including trial, the entry of final judgment, and post-trial proceedings; or (2) file a joint letter indicating that all the parties do not consent to a referral of this action to a Magistrate Judge. The letter should not indicate which party or parties did not consent. If all the parties consent, the case will be referred to Magistrate Judge Burke. Because of the Court's caseload, if the parties do not consent, the Court intends to assign the case to a visiting judge from another district. Ordered by Judge Colm F. Connolly on 10/18/2022.

These orders started last year, before Judge Stark's departure for the Federal Circuit. It makes sense that the Court is sticking with ...

We're sad to see it go, but honestly the case is probably happier in Florida
We're sad to see it go, but honestly the case is probably happier in Florida Joël de Vriend, Unsplash

A few weeks ago, we discussed a case where Judge Noreika transferred a trademark case under 1404, citing court congestion. This week, Chief Judge Connolly made a similar move, transferring a contract claim to Florida based largely on the relative congestion of the two courts.

The plaintiff in Arthrex, Inc. v. Nat'l Union Fire Insurance Co. of Pittsburgh, PA , C.A. No. 22-465 (D. Del. Nov. 8, 2022), was a Delaware entity, headquartered elsewhere and none of the defendants had any particular Delaware connection. As is often the case in a patent action, the facts of the dispute …