Judge Sleet stays case pending inter partes review

In Cirrex Systems LLC v. Verizon Services Corp., et al, C.A. No. 13-921-GMS (D. Del. Oct. 1, 2014), Judge Gregory M. Sleet recently granted defendants’ motion to stay the case, which was brought by a non-practicing entity, pending inter partes review.

The Court had previously advised on a July 2014 teleconference that it may grant defendants’ request for a stay.  Id. at 1 n.1.  During that conference, plaintiff had argued that a stay may impede its access to third-party discovery.  However, the Court now found the prejudice to plaintiff to be neutral here, where plaintiff “may seek to recoup its damages and, as a non-practicing entity, may seek adequate redress for potential ongoing infringement during the length of the stay.”  Id. at 2 n.1.  The Court further concluded that the PTO proceedings would likely aid in simplifying the case, even if the PTO does not find any claims invalid.  Id.  Finally, the stage of the case favored a stay, as the case was still in its early phases, with fact discovery closing in January 2015 and trial set for February 2016.

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