Unisone Strategic IP, Inc. (“Unisone”) filed a patent infringement action against Tracelink, Inc. (“Tracelink”). Tracelink filed a motion to dismiss the claims for indirect (induced and contributory) infringement because Unisone had alleged no facts demonstrating Tracelink “had the intent to cause infringement . . . or that [Defendant] willfully infringed the patent.” Tracelink further asserted that Unisone “does not even allege that [Defendant] had knowledge of the ‘538 patent.” In addition, Tracelink argued that Unisone’s contributory infringement claim failed because Plaintiff had not alleged the necessary facts detailing how the accused product is made or adapted for use in an infringement of the patent-in-suit.
The district court began its analysis of the inducing claim by quoting the relevant statutory language and the standard set out by the Federal Circuit. “Whoever actively induces infringement of a patent shall be liable as an infringer.” 35 U.S.C. § 271(b). To state a claim for induced infringement, a plaintiff must allege facts showing the alleged infringer (1) knew of the patent, (2) knowingly induced the infringing acts, and (3) possessed a specific intent to encourage another’s infringement of the patent. DSU Med. Corp. v. JMS Co., 471 F.3d 1293, 1304 (Fed. Cir. 2006); Pacing Techs., LLC v. Garmin Int’l, Inc., 2013 WL 444642, at *2 (S.D. Cal. Feb. 5, 2013).
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