Carrier Corp. v. Goodman Global, Inc.

162 F.Supp.3d 345

Carrier Corporation, Plaintiff,

v.Goodman Global, Inc., Goodman Manufacturing Company, L.P., Goodman Global Holdings, Inc., Goodman Distribution, Inc., and Goodman Sales Company, Defendants.

Civ. No. 12–930–SLR

United States District Court, D. Delaware.

Signed February 22, 2016

Jack B. Blumenfeld, Esquire and Maryellen Noreika, Esquire of Morris, Nichols, Arsht & Tunnell LLP, Wilmington, Delaware. Counsel for Plaintiff. Of counsel: Gregg F. Locascio, P.C., Esquire, Sean M. McEldowney, Esquire, Anders P. Fjellstedt, Esquire, Joseph Edell, Esquire, Abigail E. Lauer, Esquire of Kirkland & Ellis LLP.

Frederick L. Cottrell, III, Esquire and Jason J. Rawnsley, Esquire of Richards, Layton & Finger, P.A., Wilmington, Delaware. Counsel for Defendants. Of Counsel: Scott F. Partridge, Esquire, Paul R. Morico, Esquire, Robinson Vu, Esquire, Ali Dhanani, Esquire, Lisa Maria Thomas, Esquire, and Michelle J. Eber, Esquire of Baker Botts L.L.P.

MEMORANDUM OPINION

SUE L. ROBINSON, District Judge

I. INTRODUCTION

On July 19, 2012, plaintiff Carrier Corporation (“Carrier”) commenced this litigation against defendants Goodman Global, Inc., Goodman Manufacturing Company, L.P., Goodman Global Holdings, Inc., Goodman Distribution, Inc., and Goodman Sales Company (collectively, “Goodman”) alleging infringement of U.S. Patent No. 7,243,004 (“the '004 patent”).¹ (D.I.1) Carrier filed an unopposed motion for leave to file a first amended complaint on January 31, 2013, which amended complaint was filed on February 5, 2013.² (D.I. 50; D.I. 51) On November 22, 2013, the court granted Goodman's unopposed motion to file first amended answers, which amended answers were filed the same day. (D.I. 173; D.I. 174; D.I. 175) On December 9, 2013, Carrier answered the counterclaims in the amended answers. (D.I. 185)

On June 19, 2014, the court denied Goodman's motion for leave to file second amended answers. (D.I. 304) In opinions issued August 14, 2014, the court resolved the parties' claim construction disputes and several summary judgment motions.³ (D.I. 315; D.I. 316; D.I. 317) The parties proceeded to trial on September 8, 2014, arguing infringement and invalidity of certain claims of the '004 patent. On September 15, 2014, the jury returned a verdict for Carrier, finding the '004 patent valid and infringed. (D.I. 383) Presently before the court are Carrier's motion for permanent injunction (D.I. 393) and Goodman's motion for judgment as a matter of law (“JMOL”) and, in the alternative, for a new trial (D.I. 394). The court has jurisdiction pursuant to 28 U.S.C. §§ 1331 and 1338(a).

II. BACKGROUND

A. Parties

Carrier is a corporation organized under the laws of the State of Delaware with a principal place of business in Farmington, Connecticut. Goodman Global, Inc. is a corporation organized under the laws of the State of Delaware. Goodman Manufacturing Company, L.P. is a partnership organized under the laws of the State of Texas. Goodman Global Holdings, Inc. is a corporation organized under the laws of the State of Delaware. Goodman Distribution, Inc. is a corporation organized under the laws of the State of Texas and qualified with the Delaware Secretary of State to do business in Delaware. Goodman Distribution, Inc. has a registered agent in Delaware, The Corporation Trust Company, located in Wilmington, Delaware. Goodman Sales Company is a corporation organized under the laws of the State of Texas. Each of the Goodman defendants has a principal place of business in Houston, Texas. (D.I. 51 at ¶¶ 1–6; D.I. 174 at ¶¶ 2–6)

B. The '004 Patent

The '004 patent, titled “Self–Configuring Controls for Heating, Ventilating and Air Conditioning Systems,” was filed January 7, 2004 and issued July 10, 2007. The '004 patent is directed to a self-configuring heating, ventilation and air conditioning (“HVAC”) system, wherein HVAC “units are provided with an electronic control that reports the unit's particular characteristics to a central control. The central control takes in the characteristics of each of the several units, and has available to it optimum operational strategies based upon the combination of several units that have reported.” (1:51–58) At trial, Carrier asserted that certain of Goodman's products—the ComfortNet indoor and outdoor units with one of a CTK01 thermostat, CTK02 thermostat, or CTK03 thermostat (collectively, “the ComfortNet system”)—infringe claims 6, 8, and 13 of the '004 patent.

III. STANDARDS OF REVIEW

A. Renewed Motion for JMOL

To prevail on a renewed motion for judgment as a matter of law following a jury trial, the moving party “ 'must show that the jury's findings, presumed or express, are not supported by substantial evidence or, if they were, that the legal conclusions implied [by] the jury's verdict cannot in law be supported by those findings.' ” Pannu v. Iolab Corp., 155 F.3d 1344, 1348 (Fed.Cir.1998) (quoting Perkin–Elmer Corp. v. Computervision Corp., 732 F.2d 888, 893 (Fed.Cir.1984) ). “ 'Substantial' evidence is such relevant evidence from the record taken as a whole as might be acceptable by a reasonable mind as adequate to support the finding under review.” Perkin–Elmer Corp., 732 F.2d at 893. In assessing the sufficiency of the evidence, the court must give the non-moving party, “as [the] verdict winner, the benefit of all logical inferences that could be drawn from the evidence presented, resolve all conflicts in the evidence in his favor, and in general, view the record in the light most favorable to him.” Williamson v. Consol. Rail Corp., 926 F.2d 1344, 1348 (3d Cir.1991) ; Perkin–Elmer Corp., 732 F.2d at 893. The court may not determine the credibility of the witnesses nor “substitute its choice for that of the jury between conflicting elements of the evidence.” Perkin–Elmer Corp., 732 F.2d at 893. In sum, the court must determine whether the evidence reasonably supports the jury's verdict. See Dawn Equip. Co. v. Kentucky Farms Inc., 140 F.3d 1009, 1014 (Fed.Cir.1998).

B. Motion for a New Trial

Federal Rule of Civil Procedure 59(a) provides, in pertinent part:

A new trial may be granted to all or any of the parties and on all or part of the issues in an action in which there has been a trial by jury, for any of the reasons for which new trials have heretofore been granted in actions at law in the courts of the United States.

Fed. R. Civ. P. 59(a). The decision to grant or deny a new trial is within the sound discretion of the trial court and, unlike the standard for determining judgment as a matter of law, the court need not view the evidence in the light most favorable to the verdict winner. See Allied Chem. Corp. v. Daiflon, Inc., 449 U.S. 33, 36, 101 S.Ct. 188, 66 L.Ed.2d 193 (1980) ; Olefins Trading, Inc. v. Han Yang Chem. Corp., 9 F.3d 282 (3d Cir.1993) ; LifeScan Inc. v. Home Diagnostics, Inc., 103 F.Supp.2d 345, 350 (D.Del.2000) (citations omitted); see also 9A Wright & Miller, Federal Practice and Procedure § 2531 (2d ed. 1994) (“On a motion for new trial the court may consider the credibility of witnesses and the weight of the evidence.”). Among the most common reasons for granting a new trial are: (1) the jury's verdict is against the clear weight of the evidence, and a new trial must be granted to prevent a miscarriage of justice; (2) newly-discovered evidence exists that would likely alter the outcome of the trial; (3) improper conduct by an attorney or the court unfairly influenced the verdict; or (4) the jury's verdict was facially inconsistent. See Zarow–Smith v. N.J. Transit Rail Operations, 953 F.Supp. 581, 584–85 (D.N.J.1997) (citations omitted). The court must proceed cautiously, mindful that it should not simply substitute its own judgment of the facts and the credibility of the witnesses for those of the jury. Rather, the court should grant a new trial on the basis that the verdict was against the weight of the evidence only where a miscarriage of justice would result if the verdict were to stand. See Williamson, 926 F.2d at 1352 ; EEOC v. Del. Dep't of Health & Soc. Servs., 865 F.2d 1408, 1413 (3d Cir.1989).

IV. MOTION FOR JMOL

A. Infringement Standard

A patent is infringed when a person “without authority makes, uses or sells any patented invention, within the United States ... during the term of the patent.” 35 U.S.C. § 271(a). To prove direct infringement, the patentee must establish, by a preponderance of the evidence, that one or more claims of the patent read on the accused device literally or under the doctrine of equivalents. See Advanced Cardiovascular Sys., Inc. v. Scimed Life Sys., Inc., 261 F.3d 1329, 1336 (Fed.Cir.2001). A two-step analysis is employed in making an infringement determination. See Markman v. Westview Instruments, Inc. , 52 F.3d 967, 976 (Fed.Cir.1995). First, the court must construe the asserted claims to ascertain their meaning and scope. See id. Construction of the claims is a question of law subject to de novo review. See Cybor Corp. v. FAS Techs., 138 F.3d 1448, 1454 (Fed.Cir.1998). The trier of fact must then compare the properly construed claims with the accused infringing product. See Markman, 52 F.3d at 976. This second step is a question of fact. See Bai v. L & L Wings, Inc., 160 F.3d 1350, 1353 (Fed.Cir.1998).

“Direct infringement requires a party to perform each and every step or element of a claimed method or product.” Exergen Corp. v. Wal–Mart Stores, Inc., 575 F.3d 1312, 1320 (Fed.Cir.2009) (internal quotation marks omitted). “If any claim limitation is absent from the accused device, there is no literal infringement as a matter of law.” Bayer AG v. Elan Pharm. Research Corp., 212 F.3d 1241, 1247 (Fed.Cir.2000). If an accused product does not infringe an independent claim, it also does not infringe any claim depending thereon. See Wahpeton Canvas Co. v. Frontier, Inc., 870 F.2d 1546, 1553 (Fed.Cir.1989). However, “[o]ne may infringe an independent claim and not infringe a claim dependent on that claim.” Monsanto Co. v....