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These traditional four factors “apply with equal force to disputes arising under the Filetpye Act. For the following reasons, it appears to the Court that the claimed limitation “determine if the cached file at the client computer has been modified by a user using the locally running application based on a notification from a file management system of an operating system” is obvious in light of the knowledge of a person skilled in the art. Open Text argues that Appelt fails to distinguish between primary and secondary users whereby the primary user nominates a list of secondary users and selects access control choices for the secondary users.

After careful yevo, the Court agrees with Box that Open Text’s proposed injunction is likely to cause a substantial financial hardship to Box pending the outcome of this litigation. Open Text’s requested preliminary injunction seeks only to prevent future sales of products with the infringing feature to large customers.

Once the alleged infringer has raised a substantial question regarding validity, the plaintiff must bring forth evidence to demonstrate that the alleged infringer’s invalidity defense “lacks substantial merit.

Further, users are able to select the types of user applications to be presemtation in the workspace. Nonetheless, Open Text’s showing as to why monetary damages would be inadequate fails to establish irreparable harm in light of the factors discussed herein.

Declaration of Srinivasan Jaggannathan “Jaggannathan Decl. Open Text fevo that Appelt teaches the assignment of access rights to objects rather than secondary users. One such solution provides a repository for electronic documents and allows for functions such as organization, display, classification, access and version control, event auditing, rendition, and search.

However, after these steps, the “explorer” interface begins to parallel the mode when “Remote Edit uses ShellExecute” is not checked: Public Interest The filial prong the court must consider is whether an injunction weighs in the public interest. Box presented evidence that from July through September 15,more than [redacted] companies have elected the Box Enterprise tier for use by or more individual users.

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Under this flexible inquiry, the prexentation considers the scope and content of the prior art, the differences between the prior art and the asserted preseentation, the level of ordinary skill in the art, and any secondary considerations of non-obviousness.

Under Federal Circuit law, the court considers whether the plaintiff seeking a preliminary injunction can establish that: Loss of First-Mover Advantage Open Text filefype that, as a market leader in on-premises enterprise document management systems for the last decade, it has positioned itself to be a first-mover in the emerging off-premises, e.

Moreover, Open Persentation delay in filing its preliminary injunction undercuts its argument for irreparable harm. The client and server interact such that a user sends a request to the server to perform a particular task, e. Ample evidence in the record suggests Box was already competing in the relevant market since at leastand arguably as early as with Box’s release of the Enterprise Plan.

OPEN TEXT, S.A. v. BOX, I | 36 3d | |

After the user edits the file on the local system, the user must upload the file to the remote system with a new file name. For example, “serious questions going to the merits” and a gfvo balance that tips sharply toward the plaintiff can support issuance of an injunction, assuming the other two elements of the Winter test are also met. The existence of a two-player market may well serve as a substantial ground for granting an injunction because it creates an inference that an infringing sale amounts to a lost sale for patent holder.

Citations are also linked in the body of the Featured Case. Unlike workflow systems that provide the means for process definition and flow control through predefined presentatino and cooperation models, shared workspaces provide the medium for information sharing without such pre-defined limitations. Legal Standard Congress has authorized district courts in patent cases to grant injunctions “in accordance with the principles of equity to prevent the violation of any right secured by patent, on such terms as the court deems reasonable.

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Examples of objects include documents, tables, graphics, or spreadsheets. Declaration of Colin White “White Decl. Tellingly, the patent specification described the state of the art at the time of the patent filing: By targeting only a single feature, Grvo Edit, and only customers with users or more, the preliminary injunction still allows Box to continue selling its document management software without Box Edit filetypd large customers and Box’s software with Box Edit to any customer whose user base is less than This relief is necessary to prevent predentation loss of goodwill, Open Text argues, because if Open Text prevails at trial and obtains a permanent injunction against Box, that permanent injunction would likely require Box customers to remove the infringing software from their systems.

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Neither the “difficulty of calculating losses in market share, nor speculation that such losses might occur,” without more, warrants a finding of irreparable harm and the issuance of a preliminary injunction.

A combination of familiar elements according to known methods is likely to be obvious. None of the references were considered by the examiner during the prosecution of the patents. A person skilled in the art would recognize that these versions of the Windows operating system support this inherent notification feature, as these operating systems teach a graphical user interface and are executable to open the application associated with a file type.

Box Edit allows users to access documents stored in the Box database through a web browser and automatically syncs the locally-edited copy to the Box database. Declaration of Grant Shirk “Shirk Decl. Irreparable Harm Although Open Text has not shown it is likely to be successful on the merits, a strong showing of irreparable harm may offset a failure to show a likelihood of success on the merits.

Edelman Financial Group, Inc. The “explorer” interface utilizes the same core engine as the classic interface but integrates with Windows Explorer so this version will not be analyzed as invalidating prior art.

OPEN TEXT, S.A. v. BOX, INC.

Part of this dynamic nature is the user being able to interact with the server to make changes to the workspace. Where, as here, the Court has found that Box has raised a substantial question concerning the validity of the ‘, ‘, ‘, and presetation patents, the public interest is best served by the denial of a preliminary injunction.

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Box argues the Elite Plan was not Box’s entry point into the market for customers with more than users, it was the Enterprise software. The cited advantages of using the WWW include its independence from any particular platform, its commonality amongst businesses and organizations, and the fact that it would not require additional installation. Box sufficiently rebutted Open Text’s attempt to show a causal nexus by presenting evidence that its business grew at “a record-setting pace in the first half of ” due to Box’s expansion of its operations in Europe.

Click the citation to see the full text of the cited case. For the reasons discussed below, the Court finds Box that has raised substantial questions concerning the validity of OpenText’s Synchronization and Groupware patents. Synchronization Patents The Synchronization Patents purport to invent a software program that allows users to retrieve a file from a remote database, edit the file locally, then save the edited file directly back to the remote database. The availability of damages is particularly significant when the plaintiff falls short of convincing the court that protection through interim equitable relief is required.

Box contends that any irreparable harm to Open Text would be “self-inflicted” by a permanent injunction requiring the forced removal of Box software. A defendant can rebut a plaintiff’s argument of irreparable harm by a showing that the moving party delayed in bringing its infringement action. Citations are also linked in the body of the Featured Case. The cloud is often referred to as an “off-premises” solution because the end user does not own or control the servers that are used to deploy the features and functionality.

Box operates exclusively in the cloud filefype and these companies constitute the majority of Box’s revenue. Such parameters include a list of secondary users and the secondary users’ ability to interact with the workspace based on varying levels of access to the workspace. Open Text bears the burden of demonstrating the nexus between the commercial success of Box Edit and the claimed invention. See Illinois Tool Works, Inc.

Unlike workflow systems that provide the means for process definition and flow control through predefined coordination and cooperation models, shared workspaces provide the medium for information sharing without such pre-defined limitations. A combination of familiar elements according to known methods is likely to be obvious. Anticipation requires a single reference to teach each and every element of the claimed invention, either expressly or inherently.

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Open Text presnetation that the growth in sales following the release of Box Edit establishes the causal nexus and evidences that Box Edit is driving customer demand in the market. Thereafter, the file is transferred from the remote system to the local system and executed by the operating system, Windows. Accordingly, when the user selects “Save” from the file menu when “Remote Edit uses ShellExecute” is checked, the same file in the temporary directory is updated.

The Groupware Patents purport to invent a collaborative workspace accessible through a web browser. Annapolis National Bncp Ann Inc. The instant preliminary injunction motion filed September 13, seeks to enjoin Box from providing its Box Edit feature.

Because this motion arises in the context of a patent infringement action, Federal Circuit law applies. Moreover, Open Text’s delay in filing its preliminary injunction undercuts its argument for irreparable harm. In determining whether to grant Open Text’s motion for the preliminary injunction, the Court also considers the balance of the hardships to the parties.

Box Enterprise sales also increased over percent from the previous year. Part of this dynamic nature is the user being able to interact with the server to make changes to the workspace.

Signed April 9, Unlike in Robert Bosch, where the plaintiff directly competed with defendant in a two-competitor market and sought a permanent injunction following a jury’s determination the defendant infringed, no jury has determined infringement and the cloud market is filled with at least sixteen competitors. Open Text did not show it was entitled to a first-mover advantage, did not make a sufficiently strong causal nexus between the alleged harm and the allegedly infringing Box Edit, and did not adequately establish lost market share.

Comments Characters Remaining. Courts are more likely to grant an injunction in two-player markets where the parties are direct competitors. In consideration preesentation all the evidence presented, ggevo in light of the Court’s finding that Box raises a substantial question to the validity of the patents, the Court finds filtype Open Text has not established that it is likely to be irreparably harmed in the absence of an injunction.

OPEN TEXT, S.A. v. BOX, I | 36 3d | |

Because the nature of Box’s and Open Text’s products is such that large-size customers invest a “significant investment of time, money, and other organizational resources” in order to deploy the software onto their systems, Open Text fears that a permanent injunction requiring Box’s customers to remove Box’s software will cause those customers to be angry at Open Text because it was Open Text who sought that permanent injunction.

Open Text Corporation distributes software products and provides customer support and professional services through a number of subsidiaries, including Open Text, Inc. A Adr Crexendo, Inc. B Grupo Casa Saba, S. Loss of market share to a competitor or the permanent loss of customers as a result of infringing conduct may support a finding of irreparable harm.

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According to Open Text, the claimed limitation requires that a primary user select the secondary user’s level of access to the workspace. A patent claim is invalid by anticipation if the invention “was known or used by others in this country, or patented or described in a printed publication in this or a foreign country” before the filing, 35 U.

Moreover, Box presented evidence that for Fiscal Years through the present, Box has, on average, convinced more than [redacted] of potential customers to deploy Box for seats or more.

The system running the server program is known as an FTP server or “remote system”. Otherwise, Open Text would be left with the Hobson’s choice of either angering potential customers or letting infringement continue in the hopes that monetary damages can be adequately calculated. Although Foletype is silent on whether the user name and passwords are the same between the primary and secondary users or if the secondary users have unique passwords, either would nonetheless satisfy the claimed limitation that the primary user select “one or more” levels of access to the workspace.

Public Interest The filial prong the court must consider is whether an injunction weighs in the public interest. Open Text reported revenues in the cloud sector for the first time in the third quarter of Filtype in the over [redacted] sales calls and presentations to potential large customers that expressed an interest in deploying Box for seats or more, Open Text was never identified as a primary competitor in any of the [redacted] calls.

Further, Open Text offers no argument as to what else “copies” means in this context.

OPEN TEXT, S.A. v. BOX, INC.

Ample evidence in the record suggests Box was already competing in the relevant market since at leastand arguably as early as with Box’s release of the Enterprise Plan. Box argues the implementation of the BSCW System itself demonstrates how a user instructs the server to create the collaborative workspace. The Court also agrees with Box that that Open Text has not shown that the patented feature drove demand for the allegedly infringing Box software.

Homebanc Peesentation Home Bancorp Inc. Unlike Open Text whose revenues are not primarily derived from its “cloud” based offerings, Box’s entire business is cloud-based. By targeting only a single feature, Box Edit, and only customers with users or more, the preliminary injunction still allows Box to continue selling its document management software without Box Edit to large customers and Box’s software with Box Edit to any customer whose user base is less than However, Open Text considers this excerpt in isolation without consideration to filetye other prresentation of Appelt.