pathway innovations and technologies itc complaint

8/20/2019 Pathway Innovations and Technologies ITC Complaint

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SAN DIEGO IP LAW GROUP LLP

12526 High Bluff Drive, Suite

300

San

Diego, CA 92130

T:

(858) 792-3446

F:

(858) 792-3501

www sand i e ao ip l aw com

[email protected]

August 18, 2015

BY FEDEX

DELIVERY

The Honorab le Lisa R. Barton

Secretary to the Commission

U.S. In ternat ional Trade

Commission

500 E Street, S.W., Room 112

Washington, D.C. 20436

RE:

In the

Matter ofCertain

Document Cameras andSoftware for Use

Therewith ITC

Investigation No.: 337-TA-

Dear Secretary Barton:

Enclosed for filingon behalf of PathwayInnovationsandTechnologies,

Inc.

( Complainant )

are the

following documents

in support of Complainant's

request that

the

Commission commence an investigation pursuant to the provisions

of

Section 337 of the Tariff

Act of 1930, as amended, 19 U.S.C. §1337. Please note that Confidential Exhibit No. 23 to the

ComplaintcontainsConfidential Business Information andpursuant to the Commission'sRules

ofPractice and Procedure, a request for confidential treatment of the information in that exhibit

accompanies this filing. Accordingly,Complainant submits the following:

1. One original and eleven (11) paper copies

of

Complainant's non-confidential

Verified Complaint (including an original and eleven (11) copies.ofthis cover letter, and

Complainant'spublicinterest statement, of which eight (8)copiesare for the

Commission

and

three

(3) copies arefor service on each ofthe three (3) Proposed Respondents).

2. Four (4)copies ofthe accompanying non-confidential exhibit on separate CDs, of

whichone (1)

copy

is for the Commission and three (3) copiesare for

service

on

each

ofthe

three (3) ProposedRespondents.

3. Certified copies of the asserted patents,

file

histories and

assignment

records from

the United States Patent Trademark Office in the

manner

received from the PTO are included

in the Appendices.

P a g e 1

o f

2

CBI

l.5 -25*o

DOCKET

NUMBER

o

L

Int

Office ofthe

Secretary

Trade

Commission


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{Hi SAN DIEGO

IP LAW

GROUP LLP

We are available at your convenience to answer any questions. Thank you for your

a tten tion to this mat te r.

Sincerely,

Trevor Coddington

of

SanDiego IPLaw GroupLLP

enc

Page 2

o f

2


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SAN DIEGO IP LAW

GROUP

LLP

12526 High Bluff Drive, Suite 300

San Diego, CA 92130

T: (858) 792-3446 F: (858) 792-3501

www sandieaoiDlaw com

[email protected]

August

18,2015

BY FEDEX DELIVERY

The Honorable Lisa R. Barton

-. Secretary to the Commission

U.S. International

Trade

Commission

500 E Street, S.W., Room 112

Washington, D.C. 20436

RE: In the Matter ofCertain Document Cameras and Softwarefor Use

Therewith

ITC

Investigation No.: 337-TA-

Dear Secretary Barton:

Pursuant toU.S.

International Trade Commission

Rules210.5 and210.6, 19

C.F.R.-

§§210.5-210.6, Pathway Innovations and Technologies, Inc. ( Complainant ) respectfully

requests that the Commission grant confidential treatment to the confidential business and

financial information contained in Confidential Exhibit 23 and its exhibits.

The information

for

which

confidential

treatment

is

requested

is

proprietary commercial

information nototherwise publically available. Specifically, theconfidential

information

concerns confidential business,

sales

and financial information of significant

commercial

value

to

Complainant

that has been

submitted to support

Complainant's

domestic

industry

allegations

and comply withotherCommission requirements.

The

information described above

qualifies as

confidential

business information pursuant

to Rule 201.6(a) because:

1. It is not availableto the general public.

2. Unauthorized disclosure of such information

could

cause substantial harm to the

competitive position of Complainant; and

3. The

disclosure

of

such

information couldimpairthe Commission's

ability

to

obtain

informationnecessary to perform its statutory function.

Pag e

1

o f

2


4/40

(j§Q SAN DIEGO

IP

LAW

GROUP LLP

Icertify that substantially identical

information is

not reasonably available

to

the public.

Sincerely,

Trevor Coddington

of SanDiegoIPLawGroupLLP

Page 2

of

2


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UNITED STATES INTERNATIONAL TRADE COMMISSION

WASHINGTON, D.C.

In

t he Ma tt er o f

CERTAIN DOCUMENT

CAMERAS

AND

SOFTWARE FOR

USE

THEREWITH

Investigation No.

S TA TEMENT

O N TH E

PUBLIC INTEREST

Pursuant to International Trade Commission

( Commission )

Rule §210.8(b),

Complainant Pathway Innovations and Technologies,

Inc.

( Pathway ) respectfully submits this

separate Statement OnThe

Public

Interest withrespect to the remedial orders it seeks against

Respondents

Adesso, Inc.,

Recordex

USA,

Inc.

and QOMO HiteVision ( Respondents ).

The

relief sought by

Pathway would

serve

the

strong public

interest in

protecting

significant

intellectual property rights

ofPathway, an

innovative

corporation

headquartered

in

San Diego,

California, and

will have

no adverse effect on

public

health and

welfare, competitive conditions

in the

United States economy,

theproduction of like or directly competitive articles in the

United

States, or United

States

consumers. Pathwaystands readyto supplythe

needs

of

United States

customers with

high-resolution

document cameras

with

real-time

video

and zooming capabilities

that

practice

each of the asserted

Pathway

patents. Moreover, there are several

other

companies

supplying competitive products in the United States. Accordingly, this is not a casewhere the

Commission should delegate

public interest fact-finding to theALJthereby

requiring

the

Commission, theparties, andthe publicto undergo the timeand expense fora

Recommended

Determination by the ALJ.

Pathwayseeks a limited exclusionorder under 19U.S.C. §1337(d) specifically directed

to Respondents excluding fromentryinto theUnitedStates certain full-size andportable

document

cameras

andvisualpresentation equipmentandsoftware for use therewith ( Accused

1


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Products ) that infringe four

Pathway patents:

U.S. PatentNos. 8,508,751, D647,906,

D674,389,

and D715,300 (the

AssertedPatents ). Pathway also seeks

a

cease and desist order under 19

U.S.C.

§

1337(f)

prohibiting Respondents

from

marketing,

distributing, selling,

offering

for sale,

warehousing inventory for distribution, or otherwise

transferring or

bringing infringing products

into t he Un it ed States.

The

Commission's granting

of

these

orders would serve thepublic's strong

interest

in

protecting intellectual property rights. Respondents are unlawfully making

and

selling

document

cameras and visual presentation equipment with real-time video and zooming

capabilities

innovated

and

patented

by

Pathway. Pathway has

invested

hundreds

of

thousands

of

dollars

and

years

ofresearch, development,

personnel

and

engineering effort beginning in

or about

2008 to

design,

develop, test,

and

manufacture

its

innovations. Pathway's flagship product

that

practices

theAsserted Patents isthe

HoverCam®

- a revolutionary product thatcombines the features of a

digital camera

and ascanner into anew form factor

that

is

already used

in over 100,000 North

American classrooms. Pathway has also made substantial investments in labor

and

capital inthe

United States to design and develop

products

that practice

the Asserted Patents in that

all

of

Pathway's research and

development

activities since

its

inception

in

2008 have

been conducted

by Pathway employees and contractors residing in the United States.

Granting

the orders sought

by

Complainant

is necessary to

protect these substantial investments,

innovation,

and

the

domestic industry they support. Respondents' infringement stifles innovation

and

should

be

stopped.

Moreover, granting these orders would have no adverse effect

on

public health

and

welfare, competitive conditions in the United States

economy,

the production oflike or

directly

competitive articles in

the

United States,

or

United States consumers.

Pathway,

together

with at


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least several other

competitors

in the

market

for

the

Accused

Products,

supply large quantities of

like

or

directly competitive products

in the

United States and could readily replace

the Accused

Products

ina

commercially reasonable amount

of time if the ITC

excludes

these products.

Pathway

brings

this action against the Respondents

for the

infringement

of

technology

proprietary to Pathway, which ensures that neither consumers of the Accused Products nor the

' market will be unduly affected by the relief sought.

The Requested

Relief

Serves

The

Public Interest

Pathway,

an

innovative document

camera

company,

isa

leader

in

developing and selling

innovative high-resolution

cameras

with

unique

real-time

video

and

zooming capabilities,

employs dozens

of

employees and has invested hundreds of thousands of dollars and tens

of

thousands of

hours

in

research

and

development

to

design, develop

and create newcamera

technologies. At least Respondent RecordexUSA has been on actual notice of the Asserted

Patents for overa yearbut all Respondents are on constructive (if not actual) noticeof the

Asserted Patents because Pathway's products are marked with the Asserted Patent numbers. If

Respondents unauthorized use ofPathway

technologies

allows them to avoid having

to

develop

new

technologies

on their own, others willbe

encouraged

to infringe

proprietary technologies

rather

thando

what Pathway

has done andhire

engineers, invest

in

innovation

anddevelop new

technologies in theUnited States. TheCommission has recognized a strong public interest in

enforcing intellectual property rights. See Certain

Baseband Processor Chips

and

Chipsets

Inv.

No. 337-TA-543, Comm'nOp., 2007 ITC

LEXIS

621 at *240

(Jun.

19,

2007).

1)

The

Accused

Products Infringe the Asserted Patents

The

Accused

Products are document cameras and/or software fo r use therewith that

infringe theAsserted

Patents

by

(among

otherthings) enabling real-time

video

zooming.


8/40

2) No Public

Health,

Safety, OrWelfare Concerns Are

Implicated

By

The

Requested Remedial Orders

The

requested

remedial orders would not have an adverse effect

on the

public health,

safety, or

welfare

in the

United

States. In

fact, there

is

no indication that

the

Asserted Products

(which essentially cover high-resolution document

camera

designs and software for

use

:therewith) implicate public health,

safety orwelfare at

all.

As

such, excluding

the

Accused

Products would not,

for

example, leave medical

needs unfilled,

impede

scientific

research, or

interfere with important national

interests.

Moreover, there are other

document

camera solutions

available

in the

United States

including those

supplied by

Pathway

and

other

competitors,

which

would

not

be subject

to

the

limited

exclusion order.

In

other words, Pathway and other

competitors could readily

meet

the

needs

of

any

consumers ofthe Accused Products.

3) Likeor Directly Competitive Articles From Pathway and

Other

Vendors Are

ReadilyAvailable to Replace the Accused Products

Pathway's HoverCam® and

related

products that

practice the

Asserted Patents compete

directly

with

the Accused Products and are

readily

available

replacements

for the

Accused

Products

if they

are excluded. Moreover, the document camera market

is a

highly-competitive

market

with

intense

competition.

Several

major companies such as LG, Samsung, Apple, Nokia

and

HTC make

devices including high-resolution cameras withzoom-in-video

capability;

byany

measure, Respondents

are

minor competitors with only a small

percentage

ofthis market.

4)

Pathway

is

Capable

of Fulfilling the

Demand

for

the

Accused

Products

In A

Commercially Reasonable

Time

Pathway is

an

innovator and

leader

in the

document

camera

market. Pathway

made the

first

3-MegaPixel

document

camera priced under 200

for

schools and created

the

world's first


9/40

super-speed camera

with

8-MegaPixel

resolution anda

30-frame

per

second refresh rate.

www.thehovercam.com/about.

With existing resources, Pathway has

the

capital and

manufacturing resources to quickly

scale

production to meet any increased demand for directly

competitive products in a commerciallyreasonable time period if the Accused Products are

excluded from

th e United

States.

5) The Requested Remedial OrdersWould Only Minimally Affect

Consumers

Although the requested remedial

orders

may have some limited

effect

onconsumers, the

document camera

industry is

highly-competitive and has a

demonstrated capacity to handle

rapid

growth.

Pathway

supplies

directly competitive products

thatcan

readily

replace

the Accused

Products, minimizing any negative

consumer effect.

The Commission does not require that there

be no public

impact

ofremedial relief, only that

such

impact cannot outweigh

the

strong

public

interest in enforcing intellectual property rights.

See Certain

Baseband Processor Chips

2007

ITC

LEXIS 621 at

*240.

While the requested remedial orders may reduce consumer choice, that

is not a basis for denyingrelief.

See

Certain

PersonalData and

Mobile Communications

Devices and

Related

Software Inv.

No.337-TA-710, Comm'nOp.,2011 ITC

LEXIS 2874

at

*

111

(Dec. 29,2011). Here, the

only public

impact ofthe

remedial

reliefis beneficial; without

the

relief

requested

by Pathway, significant

domestic industry

and.

innovation

will

be

harmed

by

infringing, inferiorproducts.


10/40

Dated: August 18, 2015

JAMESV.

FAZIO,

II|_

TREVOR Q. CODDINGTON, PH.D.

MARTY

B.

READY

SAN DIEGO IP LAW GROUP

LLP

12526 High BluffDrive, Suite 300

San Diego, California 92130

Telephone: (858) 792-3446

Facsimile: (858) 792-3501

Counsel for Complainant

PATHWAY

INNOVATIONS AND TECHNOLOGIES,

INC.


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UNITED STATES INTERNATIONAL TRADE COMMISSION

WASHINGTON, D.C.

Investigation No.

In

the Matter o f

CERTAIN DOCUMENT

CAMERAS

AND

SOFTWARE

FOR

USE THEREWITH

COMPLAINT OF PATHWAY INNOVATIONS AND TECHNOLOGIES, INC.

UNDER SECTION

337

OF THE

TARIFF

ACT OF 1930.

AS

AMENDED

COMPLAINANT

Pathway Innovations Technologies, Inc.

10211 Pacific Mesa Blvd., Ste. 412


(858)224-1489

COUNSEL FOR COMPLAINANT

James

V.

Fazio

Trevor Q. Coddington, Ph.D.

Marty B. Ready

SAN

DIEGO

IP LAW

GROUP

LLP

12526 High BluffDrive, Suite 300


Telephone: (858) 792-3446

Facsimile: (858) 792-3501

PROPOSED RESPONDENTS

Recordex USA, Inc.

10-50 46th Avenue

Long Island City,

New

York 11101

(718)392-5380

Registered Service Address: Same

QOMO HiteVision, LLC

46950 MagellanDrive

Wixom, Michigan 48393

(248) 960-0985

Registered Service Address:

Wilton

A. Horn

30833 Northwestern Highway, Suite 203

FarmingtonHills,Michigan

48334

Adesso, Inc.

160 Commerce Way

Walnut, California 91789

(909) 839-2929

Registered

Service Address:

All en Ku

160 Commerce Way

Walnut, California 91789


12/40

TABLE

OF SUPPORTING

MATERIALS

EXHIB ITS

Exhibit No. Description

1 Certified copy ofU.S. Patent

No.

8,508,751

2

Certified

copy ofU.S. Patent No. D647,906

3 Certified copy of

U.S.

Patent

No. D674,389

,

4 Certified copy ofU.S. Patent No. D715,300

5

Certified

copy of

assignment records

for U.S.

Patent No. 8,508,751

6 Certified

copy

of

assignment

records

for U.S.

Patent

No.

D647,906

7

Certified

copy of

assignment

records for U.S. Patent

No.

D674,3 89

8 Certified

copy

ofassignment records for U.S. Patent No. D715,300

9 U.S.

Patent

No.

D647,906

Infringement

Claim

Chart Against Recordex

10 U.S.

Patent

No.

D674,389 Infringement Claim Chart Against

Recordex

11 U.S.

Patent

No. 8,508,751 Infringement

Claim

Chart Against Recordex

12 U.S. Patent No. D715,300 Infringement Claim

Chart

Against Recordex

13

TJ.S. Patent No. 8,508,751 Infringement

Claim

Chart

Against

QOMO

14 U.S.

Patent

No.

D647,906

Infringement Claim Chart Against Adesso

15 U.S.

Patent No. D674,389

Infringement

Claim Chart Against Adesso

16 Import records forRecordex

17

Purchase/Shipment

confirmation

and

package/product

labeling

for

Recordex

18 Alibaba.com records for QOMO

19 Import

records

for QOMO

u


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20 Purchase/Shipment

confirmation

and package/product labeling for QOMO

21 Import records for Adesso

22 Purchase/Shipment confirmation and package/product

labeling

for Adesso

23

Confidential

Declarationof Ji Shen filedunder seal)

24 Pathway s Practice of

U.S. Patent

No.

D647,906

25 Pathway's Practice ofU.S. Patent No. D674,389

26 Pathway's Practice ofU.S. Patent No. 8,508,751

27 Pathway's Practice

of

U.S. Patent No. D715,300

m


14/40

APPENDICES

Appendix

Item Description

A Certified

copy

of file

wrapper

forU.S. PatentNo.

D647,906

B Certified copy of file wrapper for U.S. PatentNo.

D674,3

89

C Certifiedcopy

of

file wrapper for U.S. PatentNo. 8,508,751

D Certified copy of file wrapper for U.S. Patent No. D715,300

E

Teclmical

references citedin filewrapper forU.S. PatentNo. D647,906

F Technical references cited in file wrapperfor U.S. Patent No.D674,389

G Technical references cited in file wrapper for U.S. Patent No.

8,508,751

H Technical references cited in filewrapper for U.S. PatentNo.D715,300

1Due

to their

volume, the technical

references cited

in the

Asserted

Patents

are on the

enclosed

DVDs

IV


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TABLE OF CONTENTS

I.

INTRODUCTION

1

II.

COMPLAINANT

4

III. THE

PROPOSED RESPONDENTS :

5

IV .

THE TECHNOLOGY AND PRODUCTS AT

ISSUE

6

V.

THE

PATENTS IN SUIT AND NONTECHNICAL DESCRIPTIONS OF THE

•

INVENTIONS 7

A. Nontechnical Description of the 'D906 Patent 7

B. Nontechnical Description

of

the

D389

Patent 7

C. Nontechnical Description of the '751 Patent 8

D. Nontechnical Description of the

D300

Patent 9

E. Foreign Counterparts 9

F. United States Counterparts 9

G. No Licenses

9

VI. UNLAWFUL ACTS OF RESPONDENT RECORDEX USA, INC 10

A. Infringement

of

the 'D906 Patent 10

B. . Infringement

of

the

D389

Patent 10

C. Infringement of the '751 Patent 10

D. Infringement

of

the

D300

Patent 11

VII.

UNLAWFUL

ACTS OF

RESPONDENT QOMO

HITEVISION, LLC 12

A. Infringement of the '751 Patent . 12

VIII.

UNLAWFUL

ACTS OF RESPONDENT

ADESSO,

INC 13

A. Infringement

of the D906

Patent ....13

B. Infringement of the 'D389 Patent

' 13

LX. SPECIFIC INSTANCES OF

UNFAIR IMPORTATION AND

SALE 14

A. Unfair Importation and Sale By Recordex USA, Inc 14

B. Unfair Importation and Sale By QOMO HiteVision 15

C. Unfair Importation and Sale By Adesso, Inc 16

X. HARMONIZED

TARIFF SCHEDULE ITEM NUMBERS

16

XL

THE

DOMESTIC INDUSTRY

17

A. Pathway's Practice of Pathway's Asserted Patents 17

B. United States Investments in the Domestic Industry 18

1. Domestic Industry Under 19 U.S.C. § 1337(a)(3)(A) 19

v


16/40

2. Domestic Industry Under 19 U.S.C. § 1337(a)(3)(B) 19

3. Domestic Industry Under 19 U.S.C. § 1337(a)(3)(C) 20

XII. RELATED LITIGATION • 21

XIII. RELIEF REQUESTED

21


17/40

I.

INTRODUCTION

1. This Complaint is filed byPathway Innovations and Technologies, Inc.

. ( Pathway or Complainant )

under

Section 337 oftheTariffAct of 1930, as

amended, 19

U.S.C.

§1337, based on the unlawful importation into

the

United States, the

sale

for importation

into theUnited States, the sale within theUnited States after importation,

and/or

theuse within

theUnited Statesafter importationby the proposed Respondentsof certain documentcameras

andsoftware forusetherewith, whichinfringe oneormore

claims

ofU.S. Patent

Nos. D647,906

( the 'D906

patent );

D674,389 ( the 'D389

patent );

8,508,751 ( the '751 patent );

and

D715,300 ( the 'D300 patent )(collectively, the Asserted Patents ).

2. Formed in 2009, Pathway is a privately-held

company

that

designs,

develops and

sells

innovative products that

enhance learning,

improve communication, andhelp people save

time. The company is the designer and manufacturer ofHoverCam® branded software and

document cameras—a revolutionary productthat combines the features of a digital

camera

anda

scanner into a new form factor. Pathway has a strong track record for developinginnovative

products, especially for the education market. A HoverCam® document camera hovers over a

teacher's deskunobtrusively and is used by teachers to capture, manipulateandpresent seamless

video of documents and objects to students in real-time.

3.

Traditional scanners are

too slow for the c lass room and

conventional cameras

lack sufficient resolution, zoom video, annotation capability, and other functions needed for an

effective learning environment. However, a HoverCam® documentcameracaptures, digitizes

and displays documents immediately at an incredibly high resolution

of

8 megapixels, which is

about 4 times the resolution of a typical HD television. Moreover, HoverCam® users can

manipulate, annotate, zoom and resize documents and video without any loss in resolution, and

can record and playback seamless video at a remarkable 30 frames per second. HoverCam®

1


18/40

document

cameras

have

won numerous awards andare

presently

used in

over 150,000

classrooms around the world.

4.

The proposed

Respondent Recordex

USA,

Inc. ( Recordex ) develops,

manufactures, imports, sells

for importation

into

the

United States, sells after

importation

into the

United States,

and

uses after

importation into

the

United States

document

cameras and

visual

'presentation equipment

and software for

use

therewith, including without

limitation

Recordex's

document cameras SimplicityCam

2i,

SimplicityCam 5e,

SimplicityCam

5i+, SimplicityCam 5z,

SimplicityCam

5z

AF, SimplicityCam

8z AF, andXSight

software, which is designed

specifically

for

Recordex's

document cameras

(collectively,

Recordex

Accused Products ).

As

set forth below,

the

Recordex Accused Products

are

sourced and manufactured abroad

in

locations

such

as

China

and

are

imported for saleinto theUnited

States.

5. The

proposed

Respondent QOMO HiteVision, LLC ( QOMO ) develops,

manufactures,

imports, sells for

importation

into

the

United

States,

sells

after importation

into the

United States,

and

uses

after

importation

into the United States document cameras

and

visual

presentation

equipment, and software for use

therewith,

including without limitation

QOMO's

portable

document

cameras

QView

QPC20, QPC20 Fl Flip Cam, CornerCam QPC30M,

QPC35

Caterpillar Cam, QView

QPC60A,

HDMI

QPC70, QPC80 Full

FT D

Document

Camera, and

Visualizer software, which isdesigned specifically

for

QOMO's document

cameras

(collectively,

QOxMOAccused Products ). As set

forth

below, the QOMO

Accused

Products are sourced and

manufactured

abroad

in

locations

suchas

China

andare

imported

for

sale

intothe

United States.

6. The proposed

Respondent

Adesso,

Inc. ( Adesso ) develops, manufactures,

imports, sells

for

importation into the United States, sells after importation into

the

United States,

and

uses

after importation

into the

United

States

document

cameras and visual

presentation


19/40

equipment, including without

limitation Adesso's

NuScan 510 Visual Presenter (the Adesso

AccusedProduct )(the RecordexAccused Products, QOMOAccusedProducts,and theAdesso

Accused Product shall

be referred to collectively hereinas the Accused Products ). Asset forth

below, the AdessoAccused Product is sourced and manufactured abroad in locations such as

Chinaand is imported for sale into theUnitedStates.

7. The AccusedProducts incorporate, without any license from Pathway, many

technologies developed and patented by Pathway. The Asserted Patents and their asserted claims

(independent claims in

bold)

are listed below:

Patent

Number

Asser ted Cla ims

(independent

claims in bold)

'D906 patent

1

D389 patent 1

'751 patent

1,2,3,4-7,8, 9-17,18, and 20

D300

patent 1

8. Certified copies

of

Pathway's Asserted Patents are included at Exs. 1-4. Pathway

owns all rights, title and interest in each of the Asserted Patents, including the right to sue for

infringement. Certified copies

of

the assignment records for each

of

the Asserted Patents are

i n cluded a t

Exs.

5-8.

9.

As detailed in the Confident ial Declaration

o f

Ji

Shen

and

exhibits

A-F

thereto

submitted concurrently herewith (all as to which confidential treatment is respectfully requested),

a domestic industry as required by 19U.S.C. §§1337(a)(3)(A), (B), (C) exists in the United

States relating to articles protected by Pathway's Asserted Patents, including quantitatively

significant and demonstrable investments in plant and equipment; employment

of

labor and


20/40

capital,

and

investment in the exploitation ofthe inventions claimed in the Asserted Patents,

including through engineering, research and development inthe

United

States.

10. Pathway seeks as relief

a permanent

limited

exclusion

order under

19

U.S.C.

§1337(d) barring from entry into the United States

that directly

and/or indirectly infringe the

Asserted

Patents,

specifically certain document cameras and software manufactured,

sold

and/or

imported

by Respondents. Pathway

further

seeks as relief a

permanent

cease and desist order

under 19 U.S.C.

§

1337(f)

prohibiting

Respondents from marketing, distributing, selling, offering

for

sale, warehousing inventory

for

distribution,

or

otherwise transferring

or bringing

into the

United States infringing

document

cameras

and

visual

presentation

equipment

and/or

their

components and software.

II. COMPLA INANT

11. Pathway is a

corporation organized and

existing

under the laws

of

the State

of

California,

having its

principal place

of

business located

at

10211 Pacific

Mesa

Blvd., Ste. 412,

San Diego,

California

92121.

Pathway

is the

assignee

of

the Asserted Patents,

with

the

sole right

to sue for all infringement thereof.

12. Pathway employs over

a

dozen engineers and other personnel

at

its

headquarters

inSan Diego, California. Moreover, since its formation in2009, Pathway has expended millions

of dollars andtensof thousands of hoursdesigning, researching, developing, engineering and

manufacturing its document camera products and software, which Pathway

continues

to refine

and improve to this day.

13. All

ofPathway's products practice

one

or

more claims

of

the inventions

disclosed

in

the Asserted Patents. As explained

in

more detail

in

the charts included as

Exhibits

24-27, one

ormore claims of the AssertedPatents is implemented in Pathway's HoverCam® T3document


21/40

camera, FloverCam Solo 5 document camera, HoverCam Solo 8 camera, and HoverCamFlex

software.

14. Pathway hasmade and continues to invest millions of dollars in the design and

development of productsprotected by Pathway's AssertedPatents. In the UnitedStates,

Pathway exploits the technologies covered by the AssertedPatentsthroughvarious activities,

including

substantial

research and development, engineering, tooling, and product and warranty

support

among others.

In connection withthe exploitation of

these

technologies,

Pathway

has

made significantinvestments in the United States in facilities, engineering, equipment, labor and

capital as further described below.

III. THE PROPOSED RESPONDENTS

15. Oninformationand belief, proposed RespondentRecordex is a corporation

organized and existing under the laws of the State ofGeorgia with its principal place ofbusiness

at 10-50 46th Avenue, Long Island City, New

York

11101.

According

to New York Secretary of

State business records, Recordex has authorized the Department

of

State to mail service

of

process to

Recordex

USA,

Inc.,

10-50

46th

Avenue, Long

Island

City, New

York

11101.

Recordex develops, manufactures, imports, sells for importation into the United States, sells after

importation into the United States, and/or uses after importation into the United States the

Recordex Accused Products that infringe one or more claims of the Asserted Patents. Recordex

has willfully copied Pathway's products and has no patents or pending patent applications of its

own

16. On information and belief, proposed Respondent QOMO is a limited liability

company organized and existing under the laws of the State ofMichigan with its principal place

of

business at 46950 Magellan Drive, Wixom, Michigan 48393. QOMO may be servedvia its

registered agent for service

of

process Wilton A. Horn, 30833 Northwestern Highway, Suite 203,


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Farmington

Hills, Michigan

48334.

QOMO

develops, manufactures, imports, sells for

importation

into the United

States, sells

after importation into

the

United States, and/or uses after

importation into the United States the

QOMO

Accused Products that infringe

one or

more claims

of the

'751

patent. QOMO has

willfully copied

Pathway's products and software, and has no

patents or pending patent applications of its own.

17. On information and belief, proposed Respondent Adesso is a corporation

organized

and

existing under

the laws ofthe

State

of California withitsprincipal

place

of

business located at 160 CommerceWay, Walnut, CA 91789. Adessomay be servedvia its

registered

agent

for

service

of

process

AllenKu,

Adesso,

Inc.,

160

Commerce

Way,

Walnut,

CA

91789.

Adesso

develops,

manufactures,

imports, sells for importation into theUnited States,

sells

after importation

into the United

States,

and/or uses

after

importation

into

the

United

States

the Adesso Accused Product that infringes the 'D906 patent and 'D389 patent. Adesso has

willfully copied Pathway's

products. Adesso owns

andoperates a research and development

facility in

Shenzhen,

China. Adesso also

owns

and operates a factory inGuangdong, China.

18. On information and belief, Adesso manufactures abroad and imports into the

United States,

white

label

products including, butnot limited toQOMO's QView QPC20 and

Recordex' SimplicityCam 2i.

IV

THE

TE HNOLOGY

ND PRODU TS T

ISSUE

19. Thetechnology at issue relatesto high-resolution document

cameras

and

software

for use

therewith.

20. Specifically, theAccused Products include full-size and portable

document

cameras and

software

for use therewith.

The

Accused Products are manufactured abroad and

imported into

the

United

States to

enable users (among

other

things)

to

display, manipulate,

zoom and resize high-resolution

images

and video without any loss in resolution

and

toprovide


23/40

real-time zoom-in-video and other

capabilities.

The Accused Products

are

sold for importation

into, imported

into,

sold after importation into,

and used

within the United States

by

oronbehalf

of the Respondents.

V. THE PATENTS IN SUIT AND NONTECHNICAL DESCRIPTIONS OF THE

INVENTIONS

21. As set forth

below,

Pathwayownsby assignment theentireright, title, andinterest

inandto

each

of Pathway's Asserted Patents.

See

Exs. 5-8.

22. Pursuant to CommissionRule 210.12(e), certified copies

of

the prosecution

histories of each oftheAsserted

Patents

have been

submitted with

this

Complaint

asAppendices

A-D. Pursuant to Commission Rule 210.12(c), the references cited in each of the Asserted

Patents have also been submitted with this Complaint as Appendices E-H. Due to their volume,

the technical

references ci ted

in th e

Asserted Patents ar e

included on DVDs.

A.

Nontechnical Description

of the D906 Patent

23. United States Design Patent No. D647,906, entitled Portable and Small Form

Factor Document Camera and Scanner with Extendible Folding Arms, issued on November 1,

2011, and lists Ji Shen as the sole inventor. The D906 patent expires on November 1,2025.

The 'D906 patent issuedfromUnited States Patent ApplicationNo. 29/354,427filed onJanuary

25,2010.

24. The 'D906 patent claims the ornamental design shown in figure nos. 1-3.

Pathway asserts that the design of one or more ofRecordex's and Adesso's document cameras is

substantially the same as the design shown in the D906 patent.

B. Nontechnical Description

of

the

D389

Patent

25. United States Design Patent No. D674,389, entitled Document Imaging

Instrument, issued on January 15, 2013, and lists Ji Shen as the sole inventor. The 'D389 patent


24/40

expires

on

January

15, 2027. The

'D389 patent issued from United States Patent Application

No. 29/396

689

filed onJuly 5, 2011. The

'D389 patent

is a

continuation

inpart ofUnited States

Patent Application No.

29/354,427 filed

on January 25, 2010 (now U.S. Patent No. D647,906).

26.

The

'D389 patent claims the ornamental design

shown in

figure nos. 1-14.

Pathway asserts that the design ofone

or

more ofRecordex's

and

Adesso's document cameras is

substantially the

same

as the design

shown in

the

'D389 patent.

C. Nontechnical Description ofthe

751 Patent2

27. United States PatentNo. 8,508,751, entitled CapturingReal-Time

Video

With

Zooming

Capability

and

Scanning High

Resolution

Still

Images of

Documents Using

the Same

Apparatus,

issued

on August 13, 2013, and

lists

Ji Shen

and

Dongbing

Zhang

as co-inventors.

The

'751

patent expires

on January 28, 2030. The '751

patent issued from

United

States Patent

Application

No.

13/506,208

filed

on

April

4, 2012,

which

isa continuation of

International

Patent Application

No.

PCT/US2011/022549 filed on January

26, 2011,

which claims priority to

the U.S. Provisional Patent Application No.-

61/298,912

filed onJanuary 28,2010.

28. The '751 patent contains 20

claims,

including

4

independent

claims and

16

dependent claims. Pathway asserts

that

the Respondents Recordex's

and

QOMO's document

cameras and

software

foruse

therewith infringe

one or

more

claims ofthe

'751 patent,

directly

and/or

indirectly, either literally or under the doctrine of

equivalents.

29. The

'751

patent relates generally

to

document

cameras

and

software

for

use

therewith

capable

of

capturing

real-time

video

with

zooming capability.

The '751

patent

can,

among other

things, allow

users to capture, display, manipulate,

annotate,

zoom and re-size

images and video in

real-time

at very

high resolution

and frame rates.

2These

descriptions

and any other

descriptions

inthis Complaint are for illustrative purposes only.

Nothing

contained herein is

intended

to, either implicitly

or

explicitly,

express

any position regarding

the

proper construction

or

scope of

any claim.


25/40

D.

Nontechnical Description of

the

D300 Patent

30.

United States Design

Patent

No.

D715,300,

entitled Imaging Device, issued on

October

14,

2014,

and lists Ji Shen asthe

sole inventor. The 'D300 patent

expires on

October

14, 2028. The

'D300

patent issued from United States

Patent

Application No. 29/371,908 filed

on January 12, 2012.

31. The 'D300patent

claims

theornamental design shown in figure nos. 1-4.

Pathway asserts that the design

ofone or

more

ofRecordex's

document cameras

is

substantially

the same as the design shown in the 'D389 patent.

E. Foreign

Counterparts

32. Thereare fourforeignpatent counterparts to the '751 patent,

namely,

China

Patent Application No.

201180004161,

Canada Patent Application No.

2,787,377, Europe Patent

Application No.

20110737562;

andJapanApplication No.

2012551257. These four

patent

applications are currentlypending. There are no foreign counterpartsto the 'D906, 'D389, and

'D300 patents.

F. United States Counterparts

33. United States Patent Application No. 13/948,650, filed on July 23, 2013, is a

continuation

of the 751

patent.

34. United States Patent Application No. 14/382,181, filed on August 29, 2014, is a

national stage entry

of

PCT/US2013/067444, filed on October 30, 2013, which is a continuation

of

the '751 patent. The '181 patent application also claims priority to United States Provisional

Patent Application No. 61/722,966, filed on November 6, 2012.

G.

No License s

35. No license to any of the Asserted Patents has been granted.


26/40

V UNL WFUL TS

OF

RESPONDENT

RE ORDEX

USA

INC

A. Infringement of the D906 Patent

36.

Recordex

has engaged in unlawful andunfair acts including the

sale

for

importation into

the

United

States,

importation

into

the United

States,

sale within

the

United

States

after

importation, and/or

usewithin theUnited

States

after

importation

of

products

that

-infringe the D906 patent.

37. Recordex's SimplicityCam 5e embodies the design

covered

bythe 'D906

patent.

See

Ex. 9. In the eye ofanordinary observer, thedesign of

Recordex's

SimplicityCam 5eis

substantially

the

same

as

the

design

covered

bythe

'D906 patent.

See

id

B. Infringement of the D389 Patent

38. Recordex has engaged in unlawful andunfair acts including the sale for

importation into the

United States,

importation

into

the

United

States, sale within the United

States after

importation,

and/or use within

the

United States after importation

ofproducts that

infringe the D389 patent.

39. Recordex's SimplicityCam 5eembodies the design

covered

by the 'D389

patent.

See Ex. 10. Intheeyeofan

ordinary observer,

the design of Recordex's

SimplicityCam

5eis

substantially the same asthe

design covered

bythe 'D389patent. See id

C. Infringement

of

the 751 Patent

40. Recordexhas engaged in unlawful and unfair acts includingthe sale for

importation

into

the

United States,

importation intotheUnited

States,

sale

within

the

United

States

after

importation, and/or use

within

the United States after importation of the Recordex

Accused

Products

that

directly and/or

contributorily infringe claims 1-18 and20of the '751

patent.

10


27/40

41. Respondent

Recordex directly infringes

at

least independent

claims 1,

3,and 8of

the '751 patent. See Ex. 11. Recordex's XSight software implements every step

of

claims 1, 3,

and 8. See id Any oneofthe accused Recordex document

cameras operated

in'connection with

Recordex's XSight software implements every step

of

claims 1, 3, and 8. See id. TheRecordex

Accused Products,

atthe

time

of

importation,

are

programmed

to perform all the steps ofmethod

claims 1, 3, and 8.

42.

Recordex

contributorily infringes at least independent

claims

1,3, 8, and18of the

'751

patent.

See

id

Recordex's XSight

software implements every

step of

claims

1,3, and 8

whenusedwith a customer's personal computer.See

id

Any one

of

the accusedRecordex

document cameras operated in connection with

Recordex's

XSight software implements every

step of claims 1,3, and 8 or embodies every element of claim 18 when used with a customer's

personal computer. See id Recordex

sells

theRecordex Accused Products knowing that those

products

are

especially

made or

especially adapted for

use in

infringement

of the '751

patent, and

nota staple article or commodity of commerce suitable for substantial

non-infringing

use. On

information and belief, there are no

non-infringing

uses. Recordex.has had actual knowledge of

the

'751 patent

at

least as

of

July

13,

2015, when Pathway filed

a

Complaint

asserting

the '751

patent against Recordex in the Southern District ofCalifornia, as discussed below.

D. Infringement of

the

D300 Patent

43. Recordex has engaged in unlawful and unfair acts including the salefor

importation into the United States, importation into the United States, sale within the United

States

after importation,

and/or

usewithin theUnited

States

after

importation

ofproducts that

infringe the 'D300 patent.

11


28/40

44. Recordex's SimplicityCam 5i+embodies the design

covered

by the 'D300

patent.

See Ex.

12.

In

the

eye ofan

ordinary observer, the design

of

Recordex's

SimplicityCam 5i+

is

substantially the same

as

the

design covered

by

the

'D300

patent. See id.

VII. UNLAWFUL ACTS OF RESPONDENT

QOMO

HITEVISION, LLC

A. Infringement of the

751

Patent

45. QOMO

has engaged inunlawful

and

unfair acts

including

the

sale

for

importation

into

the United States,

importation

into the United

States,

sale within

the

United States

after

importation, and/or

use within the

United States

after importation

of

the QOMO Accused

Products

that

directly and/or

contributorily infringe

at

least

claims

1-10,

12-18,

and

20

ofthe

'751 patent.

46. Respondent

QOMO

directly

infringes

at

least independent claims 1, 3,

and

8of

the '751 patent. See Ex. 13. QOMO's Visualizer software implements every step of

claims 1, 3,

and 8.

See

id. Any one

of

the

accused

QOMO document

cameras operated in

connection with

QOMO's Visualizer

software

implements every

step

ofclaims

1,

3, and 8. See

id.

The QOMO

Accused Products, atthe time of

importation,

are

programmed

toperform all the steps ofmethod

claims 1, 3,

and

8.

47. QOMO contributorily

infringes

at least independent claims 1, 3,

8,

and

18

ofthe

'751 patent. See id.

QOMO's

Visualizer software implements every step ofclaims

1,

3, and 8

when used with

a

customer's personal computer.

See id

Any one

of the

accused QOMO

document cameras operated in connection with

QOMO's

Visualizer software

implements

every

step of

claims

1,

3,

and 8

or embodies

every element of

claim

18 when used

with

a customer's

personal computer. See id. QOMO

sells

the QOMO Accused Products knowing that those

products

are especially made or

especially

adapted for use in

infringement

ofthe '751

patent,

and

not a

staple article

orcommodity of commerce suitable for substantial

non-infringing

use. On

12


29/40

information

and

belief,

there are no non-infringing uses. QOMO

has

had actual knowledge ofthe

'751 patent at least as

of

July 13, 2015, when Pathway filed

a

Complaint asserting the

'751

patent against QOMO in the Southern District of California, as discussed below.

VIII. U NLAWFUL ACT S OF RESPONDENT ADESSO. INC.

A.

Infringement

of

the

D906

Patent

48.

Adesso has engaged

inunlawful and unfair

acts

including the sale

for importation

into the

United States,

importation into theUnited States, salewithinthe United

States

after

importation,

and/or

use

within the United

States after importation

of

products that

infringe

the

D906

patent.

49.

Adesso's NuScan 510

Visual

Presenter embodies the design

covered

by the.

'D906 patent. See Ex. 14. In the eye of an ordinary observer, the design ofAdesso's NuScan 510

Visual Presenter

is

substantially

the same as the

design covered

by the 'D906

patent. See id

50. Recordex's SimplicityCam 5e embodies the designcovered by the 'D906patent.

SeeEx. 9. In the eye of an ordinary observer, the designof Recordex's SimplicityCam 5e is

substantially the same as the design covered by the 'D906 patent.

See id.

On information and

belief, Adesso manufacturesthe SimplicityCam 5e in China.

B.

Infringement

ofthe D389 Patent

51. Adessohas engaged inunlawful and unfair acts including the salefor importation

into the United States, importation into the United States, sale within the United States after

importation, and/orusewithinthe UnitedStates after importation

of

products that infringe the

D389 patent.

52. Adesso's NuScan 510 Visual Presenter embodies the design covered by the

'D389 patent. SeeEx. 15. In the eye of an ordinary observer, the design ofAdesso's NuScan510

Visual Presenter is substantially the sameas the design covered by the 'D389 patent. See

id

13


30/40

53. Recordex's SimplicityCam 5e embodies the design covered by the 'D389 patent.

See

Ex.

10. In

the eye of

an ordinary

observer,

the design

of

Recordex's

SimplicityCam 5e is

substantially

the same as the design covered by the

'D389 patent. See

id.

On

information

and

belief,

Adesso

manufactures

the SimplicityCam 5e inChina.

IX.

SPECIFIC INSTANCES OF UNFAIR IMPORTATION AND SALE

A. Unfair Importation and Sale By Recordex USA, Inc.

54.

Recordex, either itselfor through

third parties

acting onbehalfof

Recordex,

is

engaged

inthe importation, sale for importation, sale after

importation

into the

United

States,

and/or

use

after importation into the United States

of

infringing document

cameras,

visual

presentation equipment and

software

for use therewith. Recordex Accused Products

are

manufactured in Chinaandimportedfor sale into theUnitedStates.

55. Forexample, according to import records available at

importgenius.com,

Recordex imported 508

cartons

from Yantian,

China

of visual presenter; parts for repair

products

on February

11,

2014. See Ex.

16

at 1.

Recordex

imported 491

cartons

from

Yantian,

China of visual presenter; parts for repair products onDecember. 28, 2013. See

id

at3.

Recordex imported

612 cartons

from Yantian,

China

of visual

presenter parts for

repair

products on March 2, 2013. See id. at 5. Recordex imported 134 cartons

from

Yantian, China of

visual

presenter, webcam,

3d

glasses, parts for repair products

on

August 25,

2012. See

id. at

7. The term

visual presenter

isused

synonymously with document camera

and todenote a

Recordex SimplicityCam. See e g id. at9. 3D

glasses

are included with a Recordex

SimplicityCam.

56. Moreover,

Complainant has

purchased

the

SimplicityCam

5e

and the

Simplicity

5i+ from a retailer in the United States.

See

Ex. 17. Both

of

these accused products include a

m a de in China label.

id.

14


31/40

B. Unfair Importation and Sale By

QOMO

HiteVision

57. QOMO,

either

itself

or through third parties

acting on

behalfof

QOMO,

is

engaged

in

the

importation, sale for

importation,-sale

after importation into the

United

States,

and/or use

after

importation

into the

United States ofinfringing document cameras, visual

presentation

equipment,

and

components

and software thereof. QOMO Accused Products are

manufactured abroad and imported for sale into the United States.

58. For example, QOMO's

QPC35

Catepillar

Cam is

available for

purchase at

alibaba.com.

See e g Ex. 18. The QPC35 originates

from

Fujian,

China.

See id

59.

Moreover, according

to

import records available

at

importgenius.com,

QOMO

imported 31

cartons

from

Shanghai, China

of document

camera

products on

January

19, 2015.

SeeEx. 19at 1.QOMO imported 70 cartons from

Fuzhou,

Chinaof document

camera

products on

October

28, 2014.

See id at3.QOMO

imported

25 cartons

from Fuzliou,

China of

document

camera

products on

October 23, 2014.

See id.

at

5.

QOMO

imported 566

cartons

from

Yantian,

China

of

document

camera...

products on August 30, 2014. See

id. at

7.

QOMO imported 3

packages from

Shanghai,

China

of

document

..camera specification

QPC60A

products onNovember 14,2013. See id at 9.

QOMO's

QPC60A

document camera

is

an

accused product. QOMO imported 23 cartons from

Yantian,

China

of

portable document

camera-

QPC20 products

onMarch 2,

2013. See

id at 11. QOMO's

QPC20 document camera

is an accused product.

60.

Furthermore,

Complainant has purchased the

QPC20 document camera

from

a

retailer in the United

States.

See Ex. 20.

The

packaging oftheQPC20 includes a

made

in

China

label. id.

15


32/40

C.

Unfair

Importation

and Sale

By

Adesso, Inc.

61. Adesso, either

itself

orthrough third parties

acting on behalf

ofAdesso, is

engaged

in the

importation,

sale for

importation,

sale

after importation into

the

United States,

and/or

use

after

importation

into the United States ofinfringing document cameras, visual

presentation

equipment,

and components and software thereof.

The

Adesso Accused Product is

; manufactured

abroad

and imported for sale into theUnited States.

62. For

example,

according to import

records

available at importgenius.com, Adesso

imported 283 cartons

from

Yantian, China of ..

.visual

presenter...

products on

February 4,

2014.

See

Ex.

21

at

1.

Adesso

imported

956

cartons from Yantian,

China of ...visual

presenter... products on January 17, 2014.

See

id. at 3. Adesso imported 940 cartons from

Fuzhou, China of

...visual

presenter... products on January 6, 2014.

See id.

at5. Adesso

imported 110 cartons

from

Yantian,

China

of .. .visual presenter products on December

23,

2013.

See

id

at 7. The

term

visual presenter is

used synonymously

with

document

camera

and to denote an Adesso NuScan 510. See, e.g.,

id

at 9.

63. Furthermore,

Complainant

has

purchased the NuScan 510 Visual

Presenter

from

a

retailerin the

United States.

SeeEx. 22. Thepackaging of theNuScan

510 Visual

Presenter

includes

an

Assembled

in

China label.

See

id

TheNuScan510

Visual Presenter product

itself

includes

a Made in

China

label. id.

X.

HARMONIZED TARIFF

SCHEDULE ITEM

NUMBERS

64. On informationandbelief, all Accused Products fall withinat least the

9006.59.91

(cameras,

not

instant

print,

not for roll

offilm,

not

fixed focus,

valued over 10

each);

9008.50.50 (photographic,

not cinematographic, enlargers/reducers) and/or 8521.90.00

(video recording and reproducing

apparatus,

not magnetic tape-type) classifications ofthe

Harmonized

Tariff Schedule ( HTS ) of

the

United

States.

These

identified HTS

numbers are

16


33/40

intended solely for illustrative purposes and are not

exhaustive

or

exclusive of the products

accused of infringement

in

this Complaint. The

HTS

numbers

are

not intended to limit

the scope

of the investigation.

XI. THE DOMESTIC INDUSTRY

65.

As shown

by

the Confidential Declaration

ofJi

Shen

and

exhibits A-F thereto

• submitted

concurrently herewith

(all

to which

confidential

treatment

is

respectfully requested),

there

is

adomestic industry, as defined under

19

U.S.C.

§§

1337(a)(3)(A), (B), and/or (C),

comprising quantitatively significant

and

demonstrable

investments in

plant

and equipment,

employment

of

labor

and

capital, and

substantial investment

in the

exploitation

of

Pathway's

Asserted Patents

in

the United States,

including

through

research and

development, and

engineering in the United States.

A. Pathway s Practice of Pathway s Asserted Patents

66.

Pathway

makes extensive

use

of

the

inventions claimed

in

Pathway's

Asserted

Patents in numerous products, including

without

limitation Pathway's HoverCam®

S0I08,

S0I08

Wireless, Neo3, Mini5, Solo5, 3PO,

T3

and Ultra8

document

cameras, and has made and

continues to make significant domestic investments inthese products, as

more

fully set forth in

the

accompanying Confidential

Declaration of

Ji Shen

attached as

Ex. 23.

For

example,

Pathway

has sold in the United States millions

of dollars worth of

its HoverCam® S0I08,

S0I08

Wireless,

Neo3,

Mini5,

Solo5, 3PO, T3 and

Ultra8 document

cameras that

practice one

or

more

claims

of

the '751, 'D906, 'D389,

and 'D300

patents (the

Domestic

Industry Products ).

Pathway's

investments and expenditures initsdomestic

industries

for Pathway's Asserted

Patents

are

significant, continuing and

ongoing.

67.

Complainant's

HoverCam T3

document camera

embodies the design covered by

the 'D906 patent.

See

Ex. 24.

17


34/40

68 Complainant's HoverCam T3 document camera embodies the design covered

by

the 'D389 patent.SeeEx. 25.

69. Complainant's HoverCam Flex software embodies method

claims

1, 3, and 8. See

Ex. 26. Any one

of

the accused Complainant's

document

cameras operated in connection with

the

HoverCam Flex

software

embodies

method claims 1, 3, and 8. See id. Complainant's

s

HoverCam Flex software used in connection

with

one ofComplainant's document cameras

and

personal computer embodies method claims 1, 3, and 8, and apparatus claim 18. See

id.

70. Complainant's HoverCam

Solo 5and Solo 8

document cameras

embody the

design covered

by

the

'D300 patent.

See

Ex. 27.

B. United States Investments in the Domestic Industry

71.

Pathway

has invested millions

of dollars

and years

of

effort in

the

engineering,

research, development, exploitation, advertising and promotion

of

the

Domestic Industry

Products in the United States. See

Ex.

23

(Confidential Declaration

ofJi

Shen).

72. As

discussed further below, and

as shown

by the Confidential

Declaration

ofJi

Shen and

exhibits A-F

thereto,

there is

a

domestic industry as defined

under

19 U.S.C.

§

1337(a)(3)(A)

because Pathway has made and continues to make significant

and

quantitatively

demonstrable investments in plant

and

equipment in the United States regarding

the

Domestic

Industry Products.

There is also

adomestic

industry as defined

under

19

U.S.C. §

1337(a)(3)(B)

because

Pathway

has

made

and

continues to

make

significant

and

quantitatively

demonstrable

investments in the employment

of

United States labor and capital in connection with the

Domestic Industry Products.

There is also adomestic

industry as defined

under 19

U.S.C.

§1337(a)(3)(C) because

Pathway

has

made

and

continues

to

make substantial

and quantitatively

demonstrable investments in the exploitation ofPathway's Asserted Patents through engineering,

18


35/40

research

and development, advertising and promotion directed to the Domestic Industry Products

in

the

United States.

Domestic

Industry

Under

19

U.S.C.

§

1337 a) 3) A)

73. There is

a

domestic

industry

as

defined under Subsection

(A)

because Pathway

has

made and continues to make significant

and

quantitatively demonstrable

investments in

plant

andequipment

in

the

United States with respect to the

Domestic

Industry Products. Since 2010,

Pathway has invested a

significant

amount ofmoney

in connection

with

plant

and equipment

comprising operating

expenses, such as

equipment leasing,

product

production and

related costs

related

to

the Domestic Industry Products.

See

Ex.

23at

| f

6-7

Exs. A-F. All

of

Pathway's

U.S.-based

plant

and

equipment

are used

simultaneously

to

design,

sell and support

all Domestic

Industry

Products,

so it

is not possible

to

break-down

Pathway's

investments

in

plant

and

equipment ona

product-by-product basis.

Ex. 23, f 6.

74. Pathway's U.S.-based staffdesigns, develops, markets and sells the

Domestic

Industry

Products

in the

United

States from

its

headquarters in San Diego, California. Pathway's

U.S.-based

staff team

assists with research, design, development, planning, logistics,

sales,

marketing, order

processing, customer and technical support, and other activities associated with

the Domestic IndustryProducts. SeeEx. 23, |f 6, 7, 10.

2. Domestic Industry Under 19U.S.C. §

1337 a) 3) B)

75.

There isa domestic industry asdefined under Subsection (B)

because Pathway

hasmadeandcontinues tomakesignificant and quantitatively demonstrable investments in the

employment of labor and capital in the United States

with respect

to the Domestic Industry

Products. Further, since at least 2010, Pathway has employed dozens

of

research, development,

engineering,

human resources,

executive, sales,

marketing and

support

personnel,

and

Pathway's

investments include millions

of

dollars

in

compensation

paidto

such

personnel

related

to the

19


36/40

Domestic

Industry Products.

Because all

of

Pathway's

staff

work

simultaneously

and

interchangeably on all Domestic

hidustry

Products,

it

is not possible

to

break-down Pathway's

labor and capital investments

on

aproduct-by-product basis. Instead, all ofPathway's labor

and

capital investments

are

properly

attributable to all

Domestic Industry

Products. Ex. 23,

f

11.

Pathway's

investments also include

millions

ofdollars in

capital

expenses related to the purchase

'and lease of office

space,

tooling, equipment, computers

and

other supplies, and of engineers in

connection

with the Domestic Industry

Products.

Ex.

23, fIf 8-12

Exs.

A-F.

3.

Domestic

Industry Under 19

U.S.C.

§

1337 a) 3) C)

76.

There is also a

domestic industry as defined under Subsection

(C)

because

Pathway has made and continues to make substantial and

quantitatively

demonstrable U.S.

investments in the exploitation

of

Pathway's

Asserted Patents through

the Domestic Industry

Products, including without

limitation

investments in the engineering, research, development,

sales,

marketing, product and

technical

support

for the Domestic

Industry Products. Ex. 23,

Tit

13-15 Exs. A-F. .

77.

Since 2010,

Pathway

has

spent millions ofdollars

in

research

and

development

costs, engineering and product production, advertising and promotion

related

to

the

Domestic

Industry Products. Ex. 23, ^ 13-15 Exs. A-F.

It

is virtually impossible to break-down

research and development or engineering costs

on

a

patent-by-patent

basis because Pathway's

engineering

team

works interchangeably and simultaneously on all Domestic

Industry

Products.

Ex. 23,115.

However, Pathway's

CEO estimates

that approximately

87

ofPathway's

U.S.

research

and development,

engineering and promotion

costs

are attributable to the

'751

patent.

Approximately 10 of

Pathway's

U.S.

research

and development,

engineering

and promotion

costs are attributable

to

the 'D300 patent. Approximately 2% of

Pathway's

U.S. research

and

development, engineering and promotion costs are attributable to

the

'D906

patent.

2


37/40

Approximately 1

ofPathway's U.S.

research and development, engineering

and

promotion

costs are attributable to the 'D389 patent. Ex. 23,

^

15.

XII.

RELATED LITIGAT ION

78.

On July 13,2015,

Pathway filed

acomplaint for patent

infringement

against

Recordex in the

United

States District Court

for

theSouthern District ofCalifornia. See Civil

Action

No. 3:15-cv-01536-JLS-JLB.

In

that

action, Pathway

asserts

infringement

ofthe

'751,

'D906, 'D389,

and

'D300 patents. Pathway

has not yet

served

the

complaint on Recordex.

79.

On July 13, 2015, Pathway filed a complaint

for

patent infringement against

QOMO

inthe

United States

District

Court

forthe

Southern District

of

California.

See

Civil

Action No. 3:15-cv-01540-GPC-NLS. Inthat

action,

Pathway

asserts

infringement ofthe '751

patent. Pathwayhas not yet servedthe complaint on QOMO.

80.

On

July 13, 2015, Pathway filed

a

complaint for patent infringement against

Adesso

in theUnited

States

District Courtfor the Southern District of California. See Civil

Action No. 3:15-cv-01538-JAH-NLS.

In

that action, Pathway asserts infringement

ofthe

'D906

and 'D389

patents. Pathway

hasnot yet

served

the

complaint

on

Adesso.

XIII. RELIEF REQUESTED

81. WHEREFORE,

by reason

of the foregoing,

Pathway respectfully requests

that the

United States International Trade Commission:

a) Institute an immediate investigation,pursuant to Section337 of the TariffActof

1930, as

amended,

19

U.S.C.

§1337(a)(l)(B)(i) and

(ii), with respect

to

violations

of Section27 based upon the importation, sale for importation, sale after

importation, and

use after importation into theUnited States of the

Respondents'

document cameras, visual

presentation

equipment

and

related components

and

21


38/40

software for use therewith that infringe

one or more asserted claims of

Complainant's '751,

'D906, 'D389, and 'D300

patents;

b) Schedule

and conduct a

hearing pursuant

to

19

U.S.C. §

1337 for the

purposes

of

(i)

receiving evidence and

hearing

argument concerning whether there

has

been a

violation

of

19

U.S.C.

§1337,

and

(ii) following the hearing, determining that

there

hasbeena violation of 19

U.S.C. §1337;

c) Issue apermanent limited

exclusion

order,

pursuant

to 19 U.S.C.

§1337(d)(l),

barring from entry into the United States

all

certain document cameras,

visual

presentation equipment

and

related

components and software

thereof

made

by or

on behalfofthe

Respondents,

that infringe one

or more

claims ofComplainant's

'751,

'D906,

'D389,and 'D300patents;

d) Issue a

permanent

cease and

desist

order,

pursuant

to

19

U.S.C. §

1337(f)

prohibiting Respondents, or others acting on

their

behalf,

from

importing,

marketing, advertising, demonstrating, warehousing inventory for distribution,

distributing, offering for sale, selling, licensing,

using,

or

transferring

outside

the

United States

for sale in

the United

States

any document

cameras, visual

presentation equipment and components and software

thereof

that

infringe one

or

more

claims

of

Complainant's

'751,

'D906,

'D389, and

'D300

patents;

e) Impose abond, pursuant to 19 U.S.C.

§13370),

upon importation of

any

document cameras, visual presentation

equipment

and components and

software

thereof that infringe one or more

claims

ofComplainant's '751,

'D906,

'D389,

and

'D300 patents during any Presidential

Review;

and

22


39/40

f)

Grant such

other and furtlier

relief

as

the

Commission deems

just and

proper

based on

the

facts determined

by

the

investigation

and the authority of the

Commission.

Dated: August 18, 2015

23

JAMESV.FAZIO,

UK

.

TREVOR Q. CODDINGTON, PHD

MARTY B. READY

SAN DIEGO IP LAW GROUP LLP

12526High BluffDrive, Suite 300


Telephone: (858) 792-3446

Facsimile: (858) 792-3501

Counsel for Complainant

PATHWAY

INNOVATIONS

AND

TECHNOLOGIES

INC

V


40/40

VERIFICATION

OF COMPLAINT

a

with

19 CF

R.

§§

210.4(c) and

210.12(a),

under

penalty

I, Ji

Shen,

declare,

in

accordance with iy

ur^ ^

of

perjury,

that

the

following

statements

are

true:

-, .rhief Executive Officer ofPathway Innovations and

1.

I am the President

and

Cruet

axecuuvc

a1 authorized by Pathway Innovations and Technologies,

Technologies,

Inc.

and

as

such, am

duly

authorized oy

r

Inc.

to

verify

the

foregoing Complaint.

2. ^C0mp amtis» W*