In Ford Motor Company v. Paice LLC & The Abell Foundation, Inc., Ford filed a petition seeking inter partes review of U.S. Patent No. 8,214,097 relating to a hybrid vehicle having, among other things, both an internal combustion engine and an electric motor. IPR2014-00570. On September 30, 2014, the Board instituted a trial on the ‘097 patent, finding that Ford’s petition demonstrated that there was a reasonable likelihood that it would prevail in showing unpatentability of claims 30-33, 35, 36 and 39 of the ‘097 patent. The Board denied review (on both anticipation and obviousness grounds) as to claim 38, which requires that the battery supply power to the electric motor “at a peak of at least 500 volts under peak load conditions.”
In reaching its decision to institute a trial, the Board rejected Paice’s argument that Ford is barred or estopped under 37 C.F.R. § 42.104(a) from requesting an inter partes review due to an alleged breach of an arbitration agreement between the parties. “According to Paice, the arbitration agreement includes ‘unambiguous terms’ that purportedly limit Ford’s ability to ‘challenge the claims of the ‘097 patent.'” Paice argues that Ford is in breach of those terms and therefore failed to demonstrate that it had the requisite standing to file the instant petition.
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