DCT

1:24-cv-00699

Shenzhen Yihong Technology Co Ltd v. InterDesign Inc

I. Executive Summary and Procedural Information

  • Parties & Counsel:
  • Case Identification: 1:24-cv-00699, N.D. Ohio, 04/18/2024
  • Venue Allegations: Venue is alleged to be proper based on Defendant being a corporation organized under the laws of Ohio with its principal place of business in the district.
  • Core Dispute: Plaintiff seeks a declaratory judgment that its storage bin product does not infringe Defendant's design patent, and that the patent is invalid and unenforceable due to prosecution laches.
  • Technical Context: The dispute concerns the ornamental design of mass-market consumer goods, specifically plastic storage containers.
  • Key Procedural History: The complaint alleges that the patent-in-suit is the result of prosecution laches, asserting that Defendant filed a parent application with hundreds of figures in 2018 and then waited five years to file the continuation application for the asserted design, allegedly to ambush competitors who had already entered the market. This allegation of "submarine patenting" forms the basis of the unenforceability claim.

Case Timeline

Date Event
2018-02-15 Filing date of the earliest parent application (No. 29/635,457)
2020-09-17 Filing date of intermediate parent application (No. 29/750,965)
2023-01-23 Filing date of the application for the '293 Patent (No. 29/883,016)
2024-04-02 U.S. Patent No. D1,020,293 issues
2024-04-18 Complaint for Declaratory Judgment filed

II. Technology and Patent(s)-in-Suit Analysis

U.S. Patent No. D1,020,293 - "Bin"

  • Patent Identification: U.S. Patent No. D1,020,293, "Bin," issued April 2, 2024.

The Invention Explained

  • Problem Addressed: As a design patent, the patent does not articulate a technical problem. Instead, it seeks to protect a new, original, and ornamental design for an article of manufacture, in this case, a bin (’293 Patent, Claim).
  • The Patented Solution: The patent claims the ornamental design for a bin, characterized by its overall visual appearance. Key features shown in the patent's figures include a generally rectangular container with four vertical walls tapering slightly towards the base, an open top with a defined surrounding lip, and inset, oblong handle apertures on the two shorter end walls (’293 Patent, FIG. 1). The drawings also depict specific proportional relationships between the height, width, and depth of the bin, as well as the curvature of its corners and edges (’293 Patent, FIGS. 2-7).
  • Technical Importance: The complaint alleges that Defendant's prosecution strategy is to wait and patent designs that have "achieved commercial success in the market by third parties," suggesting the aesthetic design has significant market appeal (Compl. ¶21).

Key Claims at a Glance

  • Design patents contain a single claim. The asserted claim is: "The ornamental design for a bin, as shown and described" (’293 Patent, Claim).
  • The scope of this claim is defined by the visual features depicted in solid lines in the patent's drawings. The essential visual elements include:
    • The overall configuration and proportions of the bin.
    • The slightly tapered side walls.
    • The continuous rim around the open top.
    • The shape and placement of the inset handle cutouts.

III. The Accused Instrumentality

Product Identification

  • The accused instrumentality is a storage bin sold by Plaintiff Vtopmart (Compl. ¶29).

Functionality and Market Context

  • The product is a clear plastic storage bin intended for general organizational use, sold on Amazon.com (Compl. ¶29, ¶30). The complaint alleges that Defendant waited to take legal action until the product "reached its peak commercial value," suggesting it has achieved a notable position in the market (Compl. ¶36). The complaint provides a photograph of the accused product, a clear rectangular bin with integrated handles and dimensional callouts (Compl. p. 8).

IV. Analysis of Infringement Allegations

As this is a declaratory judgment action for non-infringement, the following table outlines the visual correspondence between the patented design and the accused product that would likely form the basis of an infringement analysis under the "ordinary observer" test.

D1,020,293 Comparative Analysis

Patented Design Feature (from Claim 1) Corresponding Feature in Accused Product Complaint Citation Patent Citation
The ornamental design for a bin, as shown and described The accused product is a bin with a visually similar overall appearance, featuring a rectangular shape, tapered sides, an upper rim, and inset handles. ¶29 (and image) FIG. 1
  • Identified Points of Contention:
    • Visual Similarity vs. Prior Art: The central infringement question will be whether an ordinary observer, viewing the patented design and the accused product in the context of the prior art, would find the two designs to be substantially the same. The complaint provides a table of sixteen prior art references, including designs for a "Tote box" (USD404571S1) and "Storage box" (USD746593S1), which appear to share general characteristics with the patented design (Compl. ¶43).
    • Scope Questions: The dispute may turn on how broadly the design claim is interpreted. Given the numerous prior art references for storage containers cited in the complaint, a court may be asked to construe the patent's scope narrowly to cover only the precise ornamental features shown, distinguishing it from the prior art. The question then becomes whether the accused product is close enough to this narrowed scope.

V. Key Claim Terms for Construction

In a design patent case, the "claim" is the visual design itself, so there are no textual terms to construe in the traditional sense. The analysis focuses on the scope of the design as a whole.

  • The Term: The overall visual appearance of the "ornamental design for a bin."
  • Context and Importance: The scope of protection is critical. The determination of infringement will depend on whether the accused product's design is "substantially the same" as the claimed design. In a field potentially crowded with prior art, as alleged by the Plaintiff (Compl. ¶43), even small differences can be sufficient to avoid infringement, making the effective scope of the patent a central issue.
  • Intrinsic Evidence for Interpretation:
    • Evidence for a Broader Interpretation: A party alleging infringement could argue that the patent protects the overall visual impression created by the unique combination of the bin's proportions, tapered walls, rim, and specific handle design, and that minor variations should not defeat a finding of infringement (’293 Patent, FIG. 1).
    • Evidence for a Narrower Interpretation: The declaratory judgment Plaintiff may argue that the existence of numerous similar prior art bins (Compl. ¶43) requires the patent's scope to be limited to its exact ornamental details. Any perceptible differences in the accused product's proportions, handle shape, or corner radii could therefore be argued to place it outside the patent's narrow scope.

VI. Unenforceability and Invalidity Allegations

  • Prosecution Laches (Unenforceability): The complaint's primary allegation is that the ’293 patent is unenforceable due to prosecution laches (Compl. ¶¶ 32-40). The asserted factual basis includes:
    • An alleged "unreasonable and unexplained" five-year delay between the filing of a broad parent application containing over 50 designs and the filing of the continuation application that matured into the ’293 Patent (Compl. ¶34, ¶35, ¶39).
    • An allegation that this delay was an intentional "dilatory prosecution strategy" to "ambush companies like Plaintiff" after their products became commercially successful (Compl. ¶37).
    • An allegation of intervening prejudice, stating that Plaintiff "invested in developing, manufacturing, and selling its product on Amazon" during the period of Defendant's alleged delay (Compl. ¶39).
  • Invalidity: The complaint alleges the ’293 patent is invalid as anticipated under 35 U.S.C. § 102 and/or obvious under § 103 (Compl. ¶42). This claim is supported by a list of sixteen prior art patents asserted to "disclose the limitations of the claims of the '293 patent" or render them obvious to one of ordinary skill in the art (Compl. ¶43, ¶44, ¶45). The complaint includes images from this prior art, such as a 1999 "Tote box" design (USD404571S1) and a 2016 "Storage box" design (USD746593S1) (Compl. pp. 12-13).

VII. Analyst’s Conclusion: Key Questions for the Case

The resolution of this declaratory judgment action will likely depend on the court's findings on two primary issues:

  • A central question will be one of equity and timing: Did the five-year period between the filing of a multi-design parent application and the application for the patent-in-suit constitute an unreasonable and prejudicial delay sufficient to render the patent unenforceable under the doctrine of prosecution laches?
  • A key substantive question will be one of novelty and scope: In light of the crowded field of prior art alleged by the Plaintiff, is the claimed ornamental design for a bin valid? If it is, is its scope of protection so narrow that the visual differences in the accused product are sufficient to avoid infringement under the ordinary observer test?