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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.

Open Text explains its filing date of September 13, as timely because it was only after the release of Box’s Elite Plan in August of that Open Text discovered Box was directly competing with them.

However, the converse is not automatically true. 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. 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.

With this standard in mind, Open Text argues that it has made at least a prima preeentation showing of lost market share. Pogo Producing Co Point.

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

The cloud is knvestor referred to as an “off-premises” solution because the end user does not own or control the servers invsstor are used to deploy the features and functionality. Open Text makes a case for nexus circumstantially, grounding its argument on Box’s sales growth following the Box Edit release. According to Box, the Elite Plan does not add any new functionality and instead provides Box customers with multiple enterprise ID’s commonly referred to as a “sandbox environment”Box Premier Support, and the ability to build custom internal applications on the Box platform.

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

In line with the claim limitation that primary users select one or more levels of access, the specification discloses that the password can be the same for the primary user and all the secondary users or that secondary users may be provided with a unique password. However, rather than clear and convincing, the accused infringer need only establish a “substantial question” of invalidity.

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Box provides five versions of its software: After Windows operating system opens the locally cached file in the user’s chosen associated application, the user is free to edit the file. Examples of objects include documents, tables, graphics, or spreadsheets. FTP is based on the client-server model of communication between computers, whereby one computer runs a server program that other computers presebtation systems can request and receive information that the server program retains.

Signed April 9, Declaration of John Bovich “Bovich Decl. Open Text argues that it is difficult to measure the total amount of lost profits attributable to each lost sale of Content Server Products because its business model typically collects revenues from sales of its both its Content Server Products and Complementary Products.

Open Text explains that the remote location of the files are mapped as a remote or virtual drive on the local computer so the remote fi,etype appear as if they are locally available. 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. The user is able to select the type of application where the user wishes to edit by associating a file of a particular extension with any application capable of filetpye that file.

For the reasons discussed below, the Court finds Box that has raised substantial questions concerning the validity of OpenText’s Synchronization and Groupware patents. Consequently, individual users are able to select their editing “tool of choice” without regard to how other users are accessing and editing the same document. Moreover, Open Text alleges Box Edit’s commercial success based on its expert’s analysis of customer sales. However, user interaction with the server does not appear to be limited to pre-existing workspaces.

The software, described as a cache manager, stores the file as a local cached copy presenttion determines if the cached file has been modified based on a notification from the file management system of an operating system.

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.

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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. This is not a sufficient showing that the harm flows from Box’s alleged infringement. The Court has considered the above prior art references and finds that Box raises a substantial question of the Groupware Patents’ validity in light of Appelt.

Cited Cases No Cases Found. If the applications were integrated into the workspace, as Open Text suggests, the purpose of a collaborative workspace whereby users have discretion to include or exclude functions relevant to the collaboration would be defeated. As such, the Court presumes this background knowledge of a person skilled in the art at the time of the patent.

In this mode, the file selected for editing is downloaded from the remote system to the local system so that the user can edit the file on the local system. Such a proposition ignores common sense that a workspace would not exist but for the creator of a workspace requesting the server to create the workspace. Open Text argues that it has lost and will continue to lose market share due to Box’s alleged infringement.

Box disagrees, arguing that Open Text’s loss of good will argument is convoluted because the irreparable harm alleged “depends upon too many unknown contingencies” and is not caused by the alleged infringement itself, but instead a “hypothetical, mandatory permanent injunction. Defense Index Dow Jones U. Under this flexible inquiry, the court considers the scope and content of the prior art, the differences between the prior art and the asserted claims, the level of ordinary skill in the art, and any secondary considerations of non-obviousness.

The allegedly infringing Box Edit prfsentation that Open Text argues is driving consumer demand was not even released until Octoberwell after these large increases in sales were reported. 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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