DCT
1:23-cv-01326
Virtual Creative Artists LLC v. Nextdoor Inc
Key Events
Complaint
I. Executive Summary and Procedural Information
- Parties & Counsel:
- Plaintiff: Virtual Creative Artists, LLC (Delaware)
- Defendant: Nextdoor, Inc. (Delaware)
- Plaintiff’s Counsel: Chong Law Firm, P.A.
- Case Identification: 1:23-cv-01326, D. Del., 11/20/2023
- Venue Allegations: Venue is alleged to be proper in the District of Delaware because Defendant is a Delaware corporation and therefore resides in the district.
- Core Dispute: Plaintiff alleges that Defendant’s neighborhood-based social media platform infringes two patents related to systems and methods for creating and distributing multimedia content from user submissions.
- Technical Context: The technology at issue relates to the architecture of online platforms that solicit, filter, assemble, and display user-generated content, a foundational element of modern social media and crowdsourcing applications.
- Key Procedural History: The complaint notes that arguments similar to those presented in the complaint were used to overcome patent eligibility rejections under 35 U.S.C. §101 during the prosecution of both patents-in-suit. This suggests Plaintiff may preemptively raise prosecution history arguments to defend the patents' validity.
Case Timeline
| Date | Event |
|---|---|
| 1999-05-05 | Earliest Priority Date for ’480 and ’665 Patents |
| 2016-10-25 | U.S. Patent No. 9,477,665 Issues |
| 2016-11-22 | U.S. Patent No. 9,501,480 Issues |
| 2019-11-06 | Publication of YouTube video showing accused functionality |
| 2020-03-07 | Publication of YouTube video showing accused functionality |
| 2020-03-19 | Publication of TechCrunch article describing accused functionality |
| 2020-05-14 | Publication of YouTube video showing accused functionality |
| 2020-08-24 | Publication of YouTube video showing accused functionality |
| 2020-10-14 | Publication of YouTube video showing accused functionality |
| 2023-11-20 | Complaint Filed |
II. Technology and Patent(s)-in-Suit Analysis
U.S. Patent No. 9,501,480 - "Revenue-Generating Electronic Multi-Media Exchange and Process of Operating Same" (Issued Nov. 22, 2016)
The Invention Explained
- Problem Addressed: At the time of the invention, there was a recognized "Internet-centric problem" of how to create a computer system that would allow remote users to contribute, share, and collaborate on electronic content to develop new media content, predating modern crowdsourcing platforms (Compl. ¶11). The patent background describes the logistical challenges faced by media companies in sorting through unsolicited artistic submissions like scripts and songs (’480 Patent, col. 2:48-57).
- The Patented Solution: The invention proposes a comprehensive system architecture composed of a "unique, unconventional, and specially configured combination of 'subsystems'" to manage this process (Compl. ¶11). These subsystems include an "electronic media submissions server subsystem" to receive and store user content, an "electronic multimedia creator server subsystem" to filter and assemble that content, an "electronic release subsystem" to make the assembled content available to users, and an "electronic voting subsystem" to gather user feedback (’480 Patent, col. 39:20-53; Compl. ¶12). The system is designed to create a structured exchange for creative works, rewarding submitters for their contributions (’480 Patent, col. 3:41-52).
- Technical Importance: The claimed invention provides a technical framework for managing the entire lifecycle of crowdsourced media, from submission and storage to filtering, assembly, distribution, and user rating, within a single integrated electronic system (Compl. ¶11).
Key Claims at a Glance
- The complaint asserts infringement of at least independent Claim 1 (Compl. ¶22).
- Essential elements of Claim 1 include:
- An electronic media submissions server subsystem with an interface to receive and a database to store electronic media submissions from a plurality of submitters.
- A user database storing user attributes.
- An electronic multimedia creator server subsystem, operatively coupled to the submissions subsystem, configured to select and retrieve submissions using an electronic content filter based on user attributes.
- An electronic release subsystem, operatively coupled to the creator subsystem, configured to make the resulting multimedia content electronically available.
- An electronic voting subsystem configured to enable a user to electronically vote for or rate the multimedia content or an electronic media submission.
- The complaint does not explicitly reserve the right to assert dependent claims.
U.S. Patent No. 9,477,665 - "Revenue-Generating Electronic Multi-Media Exchange and Process of Operating Same" (Issued Oct. 25, 2016)
The Invention Explained
- Problem Addressed: The ’665 Patent shares an identical specification with the ’480 Patent and addresses the same problem of creating a structured process for developing media from user-submitted content (Compl. ¶36; ’665 Patent, col. 2:41-57).
- The Patented Solution: Rather than claiming the system architecture, the ’665 Patent claims an electronic method performed by the system. The patented method involves the steps of electronically retrieving submissions from a database using a filter based on user attributes, electronically generating a multimedia file from those submissions while maintaining submitter identification, electronically transmitting that file to webservers for viewing, and providing a graphical user interface for users to vote or rate the content (’665 Patent, col. 39:41-col. 40:57).
- Technical Importance: The claimed method provides a specific, unconventional, and non-routine electronic process for transforming raw user submissions into curated, distributable multimedia content based on user criteria, which the complaint alleges is a technical improvement over generic data manipulation (Compl. ¶36, ¶37).
Key Claims at a Glance
- The complaint asserts infringement of at least independent Claim 1 (Compl. ¶44).
- Essential elements of Claim 1 include:
- Electronically retrieving a plurality of electronic media submissions from a database using an electronic content filter based on user attributes.
- Electronically generating a multimedia file from the retrieved submissions in a selected digital format, maintaining the identification of the submitter within the file.
- Electronically transmitting the multimedia file to a plurality of publicly accessible webservers for viewing on user devices.
- Providing a web-based graphical user interface that enables a user to electronically transmit data indicating a vote or rating for the content.
- The complaint does not explicitly reserve the right to assert dependent claims.
III. The Accused Instrumentality
Product Identification
- The Accused Instrumentality is Defendant's computer-based system, including its website (https://nextdoor.com/) and associated applications (Compl. ¶22, ¶44).
Functionality and Market Context
- The Nextdoor platform is a social media service that enables users to create personalized user and business profiles, submit multimedia content (e.g., text, images, listings), and join online groups organized by neighborhood or geographical region (Compl. ¶22, ¶45). The platform displays content to users in a "live feed," which is filtered based on user attributes such as location, neighborhood, and user-selected preferences (Compl. ¶7, ¶26). Users can interact with posts by, for example, selecting a "Thank" button or other reactions (Compl. ¶29). The complaint alleges that Nextdoor utilizes "multiple cloud server providers" and "separate server subsystems for all its meaningfully different functions," including content management, web hosting, and data centers (Compl. ¶22, ¶49). The complaint provides a screenshot from a YouTube video demonstrating how users can create a business profile by inputting a business name and address through a web-based portal (Compl. p. 13).
IV. Analysis of Infringement Allegations
’480 Patent Infringement Allegations
| Claim Element (from Independent Claim 1) | Alleged Infringing Functionality | Complaint Citation | Patent Citation |
|---|---|---|---|
| an electronic media submissions server subsystem having ... a submissions electronic interface configured to receive electronic media submissions from a plurality of submitters over a public network, and store said electronic media submissions in said electronic media submissions database... | The Nextdoor system includes a submissions server subsystem that receives content for user profiles, business profiles, and posts via a web-based portal (the submissions electronic interface) and stores the content in a database. | ¶23 | col. 40:7-14 |
| a user database comprising one or more user attributes stored therein; | Nextdoor allows users to create accounts and profiles, which are stored in a user database and include attributes like name, age, gender, interests, and neighborhood selection. | ¶25 | col. 40:15-16 |
| an electronic multimedia creator server subsystem ... configured to select and retrieve a plurality of electronic media submissions ... using an electronic content filter located on the electronic multimedia creator server, said filter being based at least in part on ... one or more user attributes... | Nextdoor employs a creator server subsystem that selects and retrieves user submissions (e.g., posts and profiles) to display on neighborhood feeds, using a content filter based on user attributes like interests, search range, and geographical region. A screenshot shows how content is filtered and presented based on a user's specific neighborhood (Compl. p. 30). | ¶26 | col. 40:17-29 |
| wherein the identification of the submitter is maintained with each selected and retrieved submission within the multimedia content; | When Nextdoor displays user-submitted content, it maintains the identification of the submitter, such as by displaying the user's name and profile picture alongside their post. A screenshot shows user posts in a feed, each clearly identified with the submitter's name and photo (Compl. p. 35). | ¶27 | col. 40:30-33 |
| an electronic release subsystem ... configured to make the multimedia content electronically available for viewing on one or more user devices; | Nextdoor employs a release subsystem that serves the filtered multimedia content (profiles, posts) to various user devices, such as computers or smartphones with a web browser or app, in response to a user logging in. | ¶28 | col. 40:34-38 |
| an electronic voting subsystem ... configured to enable a user to electronic vote for or electronically rate an electronically available multimedia content... | Nextdoor's platform includes a voting subsystem that allows users to rate content by selecting a "Thank" button, smiley face, heart, or like icon, or by posting a "Recommendation" for a business profile. A screenshot highlights these reaction icons below a user post (Compl. p. 42). | ¶29 | col. 40:39-44 |
- Identified Points of Contention:
- Scope Questions: A central question may be whether Nextdoor's cloud-based infrastructure, as described, constitutes the distinct and separately-defined "subsystems" (submissions, creator, release, voting) required by the claim. The defense may argue that Nextdoor operates as an integrated, monolithic platform rather than a collection of discrete subsystems that are "operatively coupled."
- Technical Questions: The functionality of the "electronic content filter" will be a key point. The analysis will question whether Nextdoor's algorithm for populating a user's feed performs the specific "select and retrieve" function required by the claim and whether it is "located on the electronic multimedia creator server" in a manner consistent with the patent's architecture.
’665 Patent Infringement Allegations
| Claim Element (from Independent Claim 1) | Alleged Infringing Functionality | Complaint Citation | Patent Citation |
|---|---|---|---|
| electronically retrieving a plurality of electronic media submissions from an electronic media submissions database ... using an electronic content filter ... based at least in part on at least one of the one or more user attributes... | Nextdoor's system retrieves user-submitted content (profiles, posts) from its databases. This retrieval is performed using a content filter based on user attributes like neighborhood, interests, and business category to determine which content appears to a given user. | ¶46, ¶55 | col. 39:44-50 |
| electronically generating a multimedia file from the retrieved electronic media submissions in accordance with a selected digital format, wherein the identification of the submitter is maintained with each retrieved submission within the multimedia file; | The Nextdoor system generates multimedia files (e.g., content displayed in a user's browser or app) from the retrieved submissions in a format compatible with the user's device, while maintaining the submitter's identity (name and profile picture) with the content. | ¶49 | col. 39:51-56 |
| electronically transmitting the multimedia file to a plurality of publicly accessible webservers to be electronically available for viewing on one or more user devices over a public network via a web-browser; | Nextdoor transmits the generated multimedia content to geographically distributed webservers to make it available for viewing on user devices (computers, smartphones) over the internet in response to a user logging in. | ¶50 | col. 39:57-62 |
| providing a web-based graphical user interface that enables a user to electronically transmit data indicating a vote or rating for an electronically available multimedia content... | Nextdoor provides a graphical user interface with features like a "Thank" button, reaction icons, and a "Recommendation" function, allowing users to electronically transmit their rating of content on the platform. | ¶51 | col. 39:63-67 |
- Identified Points of Contention:
- Scope Questions: The analysis may focus on the meaning of "electronically generating a multimedia file." The question will be whether dynamically rendering database content for display in a web browser or app constitutes "generating a multimedia file" in the sense contemplated by the patent, or if the patent requires the creation of a discrete, self-contained file (e.g., an MPEG or JPEG file) from the submissions.
- Technical Questions: Evidence will be needed to determine if the accused system performs the step of "transmitting the multimedia file to a plurality of publicly accessible webservers." The defense may argue that content is served directly from a private cloud infrastructure to an authenticated user's device, and not transmitted to "publicly accessible webservers" for general availability.
V. Key Claim Terms for Construction
The Term: "subsystem" (as in "electronic media submissions server subsystem," "electronic multimedia creator server subsystem," etc.) (’480 Patent, Claim 1)
Context and Importance: This term is foundational to the architecture claimed in the ’480 Patent. The infringement case depends on whether Nextdoor's platform can be mapped onto this combination of distinct subsystems. Practitioners may focus on this term because the defense could argue Nextdoor's architecture is integrated and does not contain the specific, structurally separate subsystems as claimed.
Intrinsic Evidence for Interpretation:
- Evidence for a Broader Interpretation: The specification describes the system components functionally. A party could argue that any server or set of servers performing the claimed function (e.g., receiving submissions) qualifies as that "subsystem," regardless of its physical or logical separation from other components.
- Evidence for a Narrower Interpretation: The patent consistently refers to distinct subsystems that are "operatively coupled." Figures 2 and 3 depict separate databases and processors for different functions (e.g., Submitter/Member Database 255 vs. Creator Database 260) (’480 Patent, Fig. 2). This may suggest that the subsystems must be structurally or at least logically distinct components, not merely different software modules running on the same server infrastructure.
The Term: "electronic content filter" (’480 Patent, Claim 1; ’665 Patent, Claim 1)
Context and Importance: The filter is the technical nexus between user data and the content they see. The infringement allegation hinges on showing that Nextdoor's content curation algorithm is the claimed "filter."
Intrinsic Evidence for Interpretation:
- Evidence for a Broader Interpretation: The specification does not define the filter with a specific algorithm, stating only that it is "based at least in part on...user attributes" (’480 Patent, col. 40:26-29). This could support a broad reading covering any algorithm that uses user data to select content.
- Evidence for a Narrower Interpretation: The claim requires the filter to be "located on the electronic multimedia creator server" (’480 Patent, col. 40:25-26). This locational requirement could be used to argue for a narrower construction, potentially excluding filtering algorithms that operate on a different server, on the client-side, or in a distributed manner across the system architecture.
The Term: "electronically generating a multimedia file" (’665 Patent, Claim 1)
Context and Importance: This method step is critical to the ’665 Patent. The infringement question is whether Nextdoor's process for displaying content to a user meets this definition.
Intrinsic Evidence for Interpretation:
- Evidence for a Broader Interpretation: The term could be construed broadly to mean assembling data (text, images, links) from a database for electronic display, which would cover dynamically rendering a webpage or app screen. The specification notes that submission material "can comprise anything which can be stored in an electronic file or digitally transferred" (’665 Patent, col. 4:13-15).
- Evidence for a Narrower Interpretation: The use of "file" could imply the creation of a discrete, self-contained data object, rather than just a transient data stream for rendering. The detailed description refers to content being "adapted into multi-media" and given a "unique tracking number" (’665 Patent, col. 40:54-57), which may suggest a more formal process of creating a new, distinct digital artifact.
VI. Other Allegations
The complaint does not contain allegations of indirect or willful infringement.
VII. Analyst’s Conclusion: Key Questions for the Case
- A core issue will be one of architectural mapping: Can Plaintiff demonstrate that Nextdoor's modern, cloud-based social media platform is built upon the specific, discrete, and operatively coupled "subsystems" recited in the ’480 Patent's system claim, or will the architecture be seen as a functionally integrated system that falls outside the claim's structural limitations?
- A second central issue will be one of definitional scope: Does the term "electronically generating a multimedia file," as used in the ’665 Patent's method claim, cover the common practice of dynamically retrieving data from a database to render content within a user's web browser or app, or does the patent's language require the creation of a distinct, self-contained digital file?
- A key evidentiary question will be one of technical implementation: What evidence exists to show how Nextdoor's content curation and display algorithms actually function? Specifically, does its "electronic content filter" operate in the location and manner claimed, and does its system transmit content to "publicly accessible webservers" as required by the claims, or is content delivered directly to authenticated users from a private infrastructure?