DCT
2:22-cv-00487
Tiare Technology Inc v. Albertsons LLC
I. Executive Summary and Procedural Information
- Parties & Counsel:
- Plaintiff: Tiare Technology, Inc. (Delaware)
- Defendant: Albertsons, LLC and Albertsons Companies, Inc. (Delaware)
- Plaintiff’s Counsel: The Davis Firm, PC
- Case Identification: 2:22-cv-00487, E.D. Tex., 12/23/2022
- Venue Allegations: Plaintiff alleges venue is proper in the Eastern District of Texas because Defendant is registered to do business in Texas, operates regular and established places of business (stores) within the District, and commits the alleged acts of infringement in the District.
- Core Dispute: Plaintiff alleges that Defendant’s mobile ordering applications infringe patents related to systems and methods for mobile ordering that incorporate location-tracking functionalities.
- Technical Context: The technology concerns mobile e-commerce systems that determine and utilize a user's physical location to facilitate the fulfillment of orders for goods or services.
- Key Procedural History: The complaint notes that Plaintiff has previously resolved patent disputes with numerous other companies. It also details an extensive prosecution history for the patent family, particularly for the applications leading to the ’414 and ’224 patents, where the U.S. Patent and Trademark Office issued and later withdrew subject-matter eligibility rejections under 35 U.S.C. § 101 after claim amendments were made.
Case Timeline
| Date | Event |
|---|---|
| 2002-09-23 | Earliest Priority Date for ’729, ’414, and ’224 Patents |
| 2014-03-25 | U.S. Patent No. 8,682,729 Issues |
| 2017-12-29 | Non-Final Rejection in application for ’414 Patent |
| 2018-03-28 | Response to Non-Final Rejection in application for ’414 Patent |
| 2018-08-28 | Final Rejection in application for ’414 Patent |
| 2018-10-22 | Claim Amendment in application for ’414 Patent |
| 2018-10-31 | Notice of Allowance for ’414 Patent |
| 2018-12-18 | U.S. Patent No. 10,157,414 Issues |
| 2020-04-29 | Non-Final Rejection in application for ’224 Patent |
| 2020-09-29 | Claim Amendments in application for ’224 Patent |
| 2021-12-07 | U.S. Patent No. 11,195,224 Issues |
| 2022-12-23 | Complaint Filed |
II. Technology and Patent(s)-in-Suit Analysis
U.S. Patent No. 8,682,729 - "Patron Service System and Method," issued March 25, 2014
The Invention Explained
- Problem Addressed: The patent’s background section describes inefficiencies in service environments like resorts, where patrons face difficulties ordering items and staff struggle to locate patrons for delivery (’729 Patent, col. 2:21-60). Conventional systems, such as centrally-located kiosks or staff-operated handheld terminals, did not allow patrons to place orders from their location and lacked the ability to track patrons after an order was placed (Compl. ¶¶35-36).
- The Patented Solution: The invention is a method utilizing a "wireless patron unit" (e.g., a modern smartphone) that runs a venue-specific application program (’729 Patent, Abstract). This unit connects to a server, allowing a patron to place an order, and the system determines the unit's current location to facilitate service. The system is also described as updating both the order status and the patron's location as the patron moves (’729 Patent, col. 27:41-45).
- Technical Importance: The invention provided a technical solution for the centralized, real-time electronic location tracking of distributed mobile devices to improve service fulfillment, a capability the complaint alleges was unconventional at the time of invention in the early 2000s (Compl. ¶¶37, 39).
Key Claims at a Glance
- The complaint asserts independent claim 1 (Compl. ¶57).
- The essential elements of claim 1 include:
- Providing a patron with a wireless patron unit (e.g., by providing a venue-specific application for download).
- Connecting the wireless patron unit to a server.
- Entering a patron order for an item or service into the unit.
- Determining a current location of the wireless patron unit.
- Updating a status of the patron order, and the current location of the unit when the patron moves to a different location.
- Displaying the patron order on the unit's display.
- The complaint does not explicitly reserve the right to assert dependent claims for this patent.
U.S. Patent No. 10,157,414 - "Patron Service System and Method," issued December 18, 2018
The Invention Explained
- Problem Addressed: The patent addresses the same technical problems as its parent, the ’729 Patent, namely the limitations of fixed kiosks and staff-operated POS systems that are unable to track a mobile patron's location to enable efficient service delivery (’414 Patent, col. 1:23-57).
- The Patented Solution: The invention claims a computer-implemented method, executed by one or more processors (e.g., a server system), that manages the mobile ordering process (’414 Patent, col. 26:8-40). The method involves providing a venue-specific application to a mobile device, authenticating the user, receiving location information from the device at a first time, mapping that location to a venue, receiving an order, and then receiving and determining an updated location at a second time (’414 Patent, Abstract).
- Technical Importance: This patent claims the server-side implementation of the technical solution, focusing on the centralized processing of location and order data from mobile devices to overcome the architectural limitations of prior art systems (Compl. ¶¶37, 39).
Key Claims at a Glance
- The complaint asserts independent claim 8 (Compl. ¶76).
- The essential elements of claim 8 include:
- Providing a venue-specific application to a mobile computing device over a wireless channel.
- Communicating with the device to authenticate a user based on a security protocol.
- Receiving location information from the device.
- Determining a location of the device at a first time.
- Mapping the location to a region associated with a venue.
- Receiving order information from the device.
- Receiving updated location information from the device.
- Determining an updated location of the device at a second time based on the updated location information.
- The complaint does not explicitly reserve the right to assert dependent claims for this patent.
U.S. Patent No. 11,195,224 - "Patron Service System and Method," issued December 7, 2021
Technology Synopsis
This patent describes a system for locating a plurality of mobile electronic devices. The system provides a venue-specific application to each device, receives location signals from them, and determines their locations (’224 Patent, col. 25:56-26:22). When an order is received from one particular device, the system sends data indicating the updated location of that specific device to a computing system associated with the venue for display in a graphical user interface (Compl. ¶¶103, 112).
Asserted Claims
Independent claim 10 (Compl. ¶96).
Accused Features
The complaint accuses Defendant's mobile application system, which comprises one or more processors and data stores that provide the application to a plurality of mobile devices, receive location information from them, and determine their updated locations in connection with order information (Compl. ¶¶103-114).
III. The Accused Instrumentality
Product Identification
- The accused products are Defendant's mobile applications, including the "Albertson's application and related applications, such as the Tom Thumb application" (Compl. ¶10 n.1).
Functionality and Market Context
- The complaint describes the accused product as a "mobile-ordering solution" that provides a "venue-specific application" associated with either the entire store-chain or a single store (Compl. ¶¶51-52).
- The application's relevant functionality includes allowing a user to select a store, order items for pickup, and track the user's location (Compl. ¶19, 53). The complaint alleges the location tracking is used for functions such as "finding the nearest store" and "bringing your groceries out faster during pickup," which involves determining a current location and updating that location in connection with a mobile order (Compl. ¶53). The screenshots provided in the complaint show a user interface for browsing products, adding them to a cart, and completing an order for pickup at a specific store location (Compl. p. 15).
IV. Analysis of Infringement Allegations
’729 Patent Infringement Allegations
| Claim Element (from Independent Claim 1) | Alleged Infringing Functionality | Complaint Citation | Patent Citation |
|---|---|---|---|
| providing at least one patron with a wireless patron unit... by providing at least one venue specific application program to the at least one patron for downloading into a patron-owned wireless communication device | Defendant provides its mobile application for download onto a patron's smartphone or tablet. | ¶66 | col. 27:23-31 |
| connecting the wireless patron unit to a server enabling communication between the wireless patron unit and the server | The application on the smartphone connects to a server via a Wi-Fi or cellular connection. | ¶67 | col. 7:4-7 |
| entering a patron order for at least one item or service provided by the venue into the wireless patron unit | A user enters an order for an item from a store menu into the application on their smartphone. A provided screenshot shows a shopping cart with an item added (Compl. p. 19). | ¶68 | col. 3:30-32 |
| determining a current location of the wireless patron unit | The Defendant's system determines the current location of the smartphone or tablet. | ¶69 | col. 15:9-20 |
| updating a status of the patron order, and the current location of the wireless patron unit when the patron moves to a different location, on the wireless patron unit | The application updates the order status and tracks the user's location as they move, for example, to determine when a mobile device is in proximity to the store for pickup. | ¶¶71, 73 | col. 2:60-64 |
| displaying the patron order on a display of the wireless patron unit | The application displays the patron's order on the smartphone's screen. | ¶74 | col. 4:38-54 |
Identified Points of Contention
- Scope Questions: A central question may be whether a retail grocery store or store-chain constitutes a "venue" within the meaning of the patent, whose specification focuses heavily on hospitality environments like resorts and beaches.
- Technical Questions: The analysis may focus on whether the accused application's method for determining proximity to a store for pickup performs the claimed function of "updating...the current location of the wireless patron unit when the patron moves to a different location." The specific mechanism and frequency of this location updating will be a key factual question.
’414 Patent Infringement Allegations
| Claim Element (from Independent Claim 8) | Alleged Infringing Functionality | Complaint Citation | Patent Citation |
|---|---|---|---|
| providing, over a wireless communications channel..., a venue-specific application to a mobile computing device | Defendant provides its mobile application to users over cellular or WiFi networks. A screenshot shows the application's store-centric user interface (Compl. p. 15). | ¶84 | col. 26:10-13 |
| communicating... with the mobile computing device... to authenticate, based on a security protocol, a user of the venue-specific application | The system authenticates a user via a login and password for the application. | ¶¶85-87 | col. 9:36-43 |
| receiving, by the one or more processors, location information from the mobile computing device | The system's processors receive location information from the mobile device, for example, through the device's location services. | ¶88 | col. 15:9-20 |
| determining, by the one or more processors, a location of the mobile computing device at a first time based on the location information | Based on the received information, the system's processors determine the location of the smartphone or tablet. | ¶90 | col. 26:23-26 |
| mapping, by the one or more processors, the location to a region that is associated with a venue | The system maps the device's location to a region associated with a store or group of stores, such as nearby stores. | ¶91 | col. 15:21-31 |
| receiving, from the mobile computing device, order information for the venue that indicates a user selection of an order option | The system receives order information when a user places an order for store items through the application. | ¶92 | col. 3:30-32 |
| receiving, by the one or more processors, updated location information from the mobile computing device | The system receives updated location information from the mobile device as it approaches the store. | ¶93 | col. 26:34-36 |
| determining, by the one or more processors, an updated location of the mobile computing device at a second time based on the updated location information | The system determines updated locations of the smartphone at multiple points after receiving the updated data, such as when the device approaches the pickup site. | ¶94 | col. 26:37-40 |
Identified Points of Contention
- Scope Questions: The dispute may turn on the construction of "mapping the location to a region that is associated with a venue." The question will be whether using GPS data to identify nearby stores on a map constitutes "mapping to a region" as contemplated by the patent.
- Technical Questions: The complaint alleges the system determines updated locations "at multiple points" as the device approaches the store (Compl. ¶¶94, 110). A key factual issue will be what evidence exists to show that the accused system performs this multi-point, updated location determination at a "second time," as opposed to a single location check upon arrival or "check in."
V. Key Claim Terms for Construction
The Term: "venue"
- Context and Importance: This term is foundational to infringement for all asserted patents. Its interpretation will determine whether the patents, whose specifications are replete with examples from the hospitality industry (resorts, pools, beaches), can be applied to a retail grocery store chain. Practitioners may focus on this term because the factual context of the accused infringer (a supermarket) differs significantly from the primary embodiments described in the patents.
- Intrinsic Evidence for Interpretation:
- Evidence for a Broader Interpretation: The claims themselves do not restrict "venue" to any particular type of business. The term is used generally, and the patents' technical solution to locating a mobile customer for service fulfillment is not inherently limited to hospitality. The ’414 Patent specification mentions "stadiums, arenas, retail locations, zoos, transportation centers" as other possible venues (’414 Patent, col. 4:5-6).
- Evidence for a Narrower Interpretation: The "Background" and "Detailed Description" sections of the asserted patents heavily frame the problem and solution in the context of a "resort" (’414 Patent, col. 1:20-22, col. 3:58-67). Specific problems solved, such as a patron leaving belongings on a beach to order food, may suggest the invention was intended for that specific environment.
The Term: "venue-specific application"
- Context and Importance: This limitation appears in the asserted claims of the ’414 and ’224 patents and is part of the method in the ’729 patent. The accused Albertsons app functions across thousands of store locations nationwide. The question is whether such a broadly applicable application can be considered "venue-specific."
- Intrinsic Evidence for Interpretation:
- Evidence for a Broader Interpretation: The complaint alleges the application is "specifically configured for a venue (e.g., a Defendant store) but may apply to more than one location" (Compl. ¶52). An application branded for a specific chain (Albertsons), which interacts with that chain's backend systems and store data, could be argued to be "specific" to that "venue" (the chain).
- Evidence for a Narrower Interpretation: An opposing interpretation might argue that "venue-specific" implies an application tailored to a single physical location or a very limited set of locations, which is consistent with the specification's focus on a single "resort" as the exemplary environment (’414 Patent, col. 3:58-67).
VI. Other Allegations
- Indirect Infringement: The complaint alleges active inducement of infringement for all three patents. The factual basis is Defendant's act of supplying the accused mobile applications to consumers and providing instructions on how to use their features (e.g., via app stores), allegedly with the specific intent to encourage infringement (Compl. ¶¶61, 80, 100).
- Willful Infringement: The complaint alleges willful infringement based on Defendant having actual knowledge of the asserted patents since at least the filing of the complaint. It also alleges Defendant "was willfully blind to the existence of the" patents prior to the suit (Compl. ¶¶62, 81, 101).
VII. Analyst’s Conclusion: Key Questions for the Case
- A core issue will be one of definitional scope: can the term "venue," rooted in the patent specifications' context of on-site hospitality services like resorts and beaches, be construed to cover a retail grocery store chain where orders are placed for pickup?
- A key evidentiary question will be one of technical operation: does the accused application's functionality for finding nearby stores and facilitating pickup check-in perform the specific, multi-step location tracking required by the claims, such as determining an "updated location... at a second time" as a user approaches the store?
- A third question will be one of prosecution history: how will the extensive examination regarding patent eligibility under 35 U.S.C. § 101, where the patentee distinguished its claims as a technical solution to a technical problem, influence the construction of key claim terms and the overall infringement analysis?