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Case 3:17-cv-01781-HZ Document 378 Filed 09/29/17 PageID.

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IN THE UNITED STATES DISTRICT COURT

FOR THE SOUTHERN DISTRICT OF CALIFORNIA

COLUMBIA SPORTSWEAR NORTH No. 3:17-cv-01781-HZ

AMERICA, INC., an Oregon Corporation, JURY INSTRUCTIONS

Plaintiff,

v.

SEIRUS INNOVATIVE ACCESSORIES,

INC., a Utah corporation,

Defendant.

//

//

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Table of Contents
No. 1. Final Jury Instructions Instructions on Your Duties ................................................ 4
No. 2. What is Evidence ........................................................................................................... 5
No. 3. What is Not Evidence .................................................................................................... 6
No. 4. Direct and Circumstantial Evidence .............................................................................. 7
No. 5. Depositions .................................................................................................................... 8
No. 6. Credibility of Witnesses ................................................................................................ 9
No. 7. Expert Opinion ............................................................................................................ 10
No. 8. Summary of Contentions ............................................................................................. 12
No. 9. Measure of Damages ................................................................................................... 14
No. 10. Measure of Damages Article of Manufacture ...................................................... 15
No. 11. Measure of Damages Defendants Total Profit .................................................... 17
No. 12. Design Patent Damages Reasonable Royalty Entitlement .............................. 18
No. 13. Reasonable Royalty Definition ............................................................................ 19
No. 14. Design Patent Willful Infringement ..................................................................... 24
No. 15. Interpretation of Claims............................................................................................. 26
No. 16. Utility Patents Infringement Generally ................................................................ 28
No. 17. Direct Infringement ................................................................................................... 29
No. 18. Literal Infringement .................................................................................................. 31
No. 19. Invalidity Burden of Proof ................................................................................... 33
No. 20. Utility Patent Anticipation.................................................................................... 34
No. 21. Utility Patent Obviousness ................................................................................... 36
No. 22. Utility Patent Damages Burden of Proof .............................................................. 41
No. 23. Utility Patent Damages Reasonable Royalty Definition ................................. 42
No. 24. Utility Patent Willful Infringement ...................................................................... 44
No. 25. Deliberations ............................................................................................................. 46

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GENERAL INSTRUCTIONS

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No. 1. Final Jury Instructions Instructions on Your Duties

Members of the Jury: Now that you have heard all of the evidence and the arguments of

the attorneys, it is my duty to instruct you as to the law of the case.

It is your duty to find the facts from all the evidence in the case. You must follow the law

as I give it to you whether you agree with it or not. You must not be influenced by your own

likes or dislikes, opinions, prejudices, sympathy or public opinion. They have no place in your

deliberations, for all parties are equal before the law. Likewise, do not decide this case on guess

work, conjecture, or speculation.

This means that you must decide the case solely on the evidence before you and

according to the law. You will recall that you took an oath promising to do so at the beginning of

the case.

In following my instructions, you must follow all of them and not single out some and

ignore others; they are all equally important. And you must not read into these instructions or

into anything I may have said or done during the trial, any suggestion as to what verdict you

should returnthat is a matter entirely for you to decide.

You may use your notes taken during the trial to assist your memory. Notes, however,

should not be a substitute for your memory and you should not be overly influenced by them.

Keep in mind that each party is entitled to the considered decision of each juror. Therefore you

should not give undue weight to another jurors notes if those notes conflict with your

recollection of the evidence.

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No. 2. What is Evidence

The evidence you are to consider in deciding what the facts are consists of:

1. The sworn testimony of witnesses, both on direct and cross-examination, including


testimony in depositions, regardless of who called the witness;

2. The exhibits which have been received into evidence; and

3. Any facts to which all the lawyers have agreed by stipulation.

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No. 3. What is Not Evidence

In reaching your verdict, you may consider only the testimony and exhibits received into

evidence. Certain things are not evidence and you may not consider them in deciding what the

facts are. I will list them for you:

1. Arguments and statements by lawyers are not evidence. The lawyers are not
witnesses. What they have said in their opening statements, closing arguments and at
other times is intended to help you interpret the evidence, but it is not evidence. If the
facts as you remember them differ from the way the lawyers have stated them, your
memory of them controls.

2. Questions and objections by lawyers are not evidence. Attorneys have a duty to their
clients to object when they believe a question is improper under the rules of evidence.
You should not be influenced by the objection or by the court's ruling on it.

3. Testimony that has been excluded or stricken, or that you have been instructed to
disregard, is not evidence and must not be considered. In addition, sometimes
testimony or exhibits are received only for a limited purpose; when I have given a
limiting instruction, you must follow it.

4. Anything you may have seen or heard when the court was not in session is not
evidence. You are to decide the case solely on the evidence received at trial.

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No. 4. Direct and Circumstantial Evidence

Evidence may be direct or circumstantial. Direct evidence is direct proof of a fact, such

as testimony by a witness about what that witness personally saw or heard or did. Circumstantial

evidence is proof of one or more facts from which you could find another fact. You should

consider both kinds of evidence. The law makes no distinction between the weight to be given to

either direct or circumstantial evidence. It is for you to decide how much weight to give to any

evidence.

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No. 5. Depositions

A deposition is the sworn testimony of a witness taken before trial. The witness is placed

under oath to tell the truth and lawyers for each party may ask questions. The questions and

answers are recorded.

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No. 6. Credibility of Witnesses

In deciding the facts in this case, you may have to decide which testimony to believe and

which testimony not to believe. You may believe everything a witness says, or part of it, or none

of it. Proof of a fact does not necessarily depend on the number of witnesses who testify about it.

In considering the testimony of any witness, you may take into account:

1. The opportunity and ability of the witness to see or hear or know the things testified
to;

2. The witness's memory;

3. The witness's manner while testifying;

4. The witness's interest in the outcome of this case or any bias or prejudice;

5. Whether other evidence contradicted the witness's testimony;

6. The reasonableness of the witness's testimony in light of all the evidence; and

7. Any other factors that bear on believability.

The weight of the evidence as to a fact does not necessarily depend on the number of

witnesses who testify about it.

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No. 7. Expert Opinion

Some witnesses, because of education or experience, are permitted to state opinions and

the reasons for their opinions.

Opinion testimony should be judged just like any other testimony. You may accept it or

reject it, and give it as much weight as you think it deserves, considering the witness's education

and experience, the reasons given for the opinions, and all the other evidence in the case.

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No. 8. Summary of Contentions

I will first give you a summary of each sides contentions in this case. I will then tell you

what each side must prove to win on each of its contentions. As I previously told you, Columbia

seeks money damages from Seirus for allegedly infringing U.S. Patent No. 8,453, 270 (Utility

Patent). by importing, selling, and offering for sale products that Columbia argues are covered

by claims 2 and 23 of the Utility Patent These are the asserted claims of the Utility Patent. The

products that are alleged to infringe contain the HeatWave material.

Seirus denies that it has infringed the asserted claims of the Utility Patent and argues that,

in addition, the claims are invalid.

Your job is to decide whether the asserted claims of the Utility Patent have been

infringed and whether any of the asserted claims of the Utility Patent are invalid.

You will then need to decide any money damages to be awarded to Columbia to

compensate it for the infringement of U.S. Patent No. D657,093 (Design Patent), as well as for

any claim of the Utility Patent that you decide have been infringed and are not invalid. In

addition, you will also need to make a finding as to whether infringement of the Design Patent or

the Utility Patent was willful. If you decide that any infringement was willful, that decision

should not affect any damage award you make. I will take willfulness into account later.

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DESIGN PATENT

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No. 9. Measure of Damages

The Court has previously found that Seirus infringes the Design Patent by importing,

offering for sale, and selling products that incorporate its HeatWave material. I will now instruct

you about the measure of damages for Seiruss infringement of Columbia Design Patent.

You must determine the amount of money damages to award to Columbia to adequately

compensate it for Seiruss infringement. In relation to design patents, the patent law provides by

statute that Columbia is entitled to either the total profits made by Seirus from sales of any

articles of manufacture to which the patented design is applied or a reasonable royalty as the

measure of recovery with respect to the sale of each unit of an infringing product.

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No. 10. Measure of Damages Article of Manufacture

Determining Seiruss total profit attributable to the infringement of the Design Patent

involves two steps. First, identify the article of manufacture to which the infringed design has

been applied. The article of manufacture may be the product as a whole or a component of that

product. Second, calculate the infringers total profit made on that article of manufacture.

Columbia bears the initial burden of producing evidence identifying the article of

manufacture for which it seeks profits. Columbia may meet that burden by showing that Seirus

applied the patented design to a product that was sold and further proving Seiruss total profit

from the sale. Seirus bears the burden of proving that the article of manufacture is something less

than the entire product. If the product as sold to consumers is a single-component product then

that product is the relevant article of manufacture. If the product as sold to consumer is a multi-

component product then you must use the factors listed below to determine whether the article

of manufacture is the whole product or a component of that product.

1. The scope of the design in the Design Patent, including the drawings and written
description. This factor provides insight into which portions of the underlying
product the design is intended to cover, and how the design relates to the product
as a whole.
2. The relative prominence of the design within the product as a whole. If a design is
a minor component of a product, for example a latch on a refrigerator, or if the
product has many other components unaffected by the design, that fact suggests
that the article of manufacture should be the component bearing the design. On
the other hand, if the design is a significant attribute of the entire product,
affecting the appearance of the product as a whole, that fact might suggest that the
article of manufacture should be the entire product.
3. Whether the design is conceptually distinct from the product as a whole. If a
product contains other components that are conceptually distinct, it may be
appropriate to conclude that the component is the article of manufacture. For
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example, a book binding and the literary work contained within it are
conceptually distinct and different articles of manufacture.
4. The physical relationship between the patented design and the rest of the product.
If the component bearing the design can be physically separated from the product
as a whole by the user or seller, that fact suggests that the article of manufacture
may be the component.
In weighing these factors, your objective should be to identify the article of manufacture

that most fairly can be said to embody Seiruss appropriation of Columbias innovation.

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No. 11. Measure of Damages Defendants Total Profit

A stated above, the second step is to calculate the total profit Seirus made from sales of

any articles of manufacture bearing the patented design.

The term total profit means the entire profit on the sale of the article of manufacture to

which the patented design is applied. Profit is determined by deducting certain expenses from

gross revenue. Gross revenue is all of Seiruss receipts from the sales of any articles of

manufacture using the Design Patents design. Columbia bears the burden of proving Seiruss

gross revenue from the article of manufacture by a preponderance of the evidence.

Deductible expenses include costs incurred in producing the article of manufacture, such

as the cost of the goods, packing costs, and shipping costs. Certain fixed costs that do not vary

with increases in the production or sale, such as taxes, insurance, rent, and administrative

overhead, should not be subtracted from the gross revenue. Other costs may be included as

deductible expenses if they are directly attributable to the sale or manufacture of the infringing

products resulting in a nexus between the infringing products and the expense. Seirus bears the

burden of proving deductible expenses by a preponderance of the evidence.

If you determine that the article of manufacture is the entire product as sold to the

consumer, then you must determine the amount of Seiruss total profit that is attributable to the

entire product. If you determine that the article of manufacture is something less than what

Columbia claims it is, in other words a component of the entire product, then you must determine

the amount of Seiruss total profit that is attributable to that component.

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No. 12. Design Patent Damages Reasonable Royalty Entitlement

Columbia seeks a reasonable royalty for the infringement of its Design Patent. Total

profit and reasonable royalty are alternative remedies available to Columbia. They are not both

available in the same case. However, you must determine the amounts for both Seiruss total

profit and a reasonable royalty. The Court will determine which is available in this case after you

provide the Court with the amounts.

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No. 13. Reasonable Royalty Definition

A royalty is a payment made to a patent holder in exchange for the right to make, use or

sell the claimed invention. This right is called a license. A reasonable royalty is the payment

for the license that would have resulted from a hypothetical negotiation between the patent

holder and the infringer taking place at the time when the infringing activity first began. In

considering the nature of this negotiation, you must assume that the patent holder and the

infringer would have acted reasonably and would have entered into a license agreement. You

must also assume that both parties believed the patent was valid and infringed. Your role is to

determine what the result of that negotiation would have been. The test for damages is what

royalty would have resulted from the hypothetical negotiation and not simply what either party

would have preferred.

A royalty can be calculated in several different ways and it is for you to determine which

way is the most appropriate based on the evidence you have heard. One way to calculate a

royalty is to determine what is called an ongoing royalty. To calculate an ongoing royalty, you

must first determine the base, that is, the product on which the infringer is to pay. You then

need to multiply the revenue the defendant obtained from that base by the rate or percentage

that you find would have resulted from the hypothetical negotiation. For example, if the patent

covers a nail, and the nail sells for $1, and the licensee sold 200 nails, the base revenue would be

$200. If the rate you find would have resulted from the hypothetical negotiation is 1%, then the

royalty would be $2, or the rate of 0.01 times the base revenue of $200. By contrast, if you find

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the rate to be 5%, the royalty would be $10, or the rate of 0.05 times the base revenue of $200.

These numbers are only examples, and are not intended to suggest the appropriate royalty rate.

If the claimed invention covers only part of the product that the infringer sells, then the

base would normally be only that feature or component. For example, if you find that for a $100

car, the patented feature is the tire which sells for $5, the base revenue would be $5. However, if

Columbia proves that the claimed invention creates the basis for customer demand or

substantially creates the value of the component parts, the base revenue would be the value of the

whole product.

In determining a reasonable royalty, you may consider the following factors:

(1) The royalties received by the patentee for the licensing of the patent-in-suit,

proving or tending to prove an established royalty.

(2) The rates paid by the licensee for the use of other patents comparable to the

patent-in-suit.

(3) The nature and scope of the license, as exclusive or nonexclusive, or as restricted

or nonrestricted in terms of territory or with respect to whom the manufactured

product may be sold.

(4) The licensors established policy and marketing program to maintain his or her

patent monopoly by not licensing others to use the invention or by granting

licenses under special conditions designed to preserve that monopoly.

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(5) The commercial relationship between the licensor and licensee, such as whether

they are competitors in the same territory in the same line of business, or whether

they are inventor and promoter.

(6) The effect of selling the patented specialty in promoting sales of other products of

the licensee, the existing value of the invention to the licensor as a generator of

sales of his nonpatented items, and the extent of such derivative or convoyed

sales.

(7) The duration of the patent and the term of the license.

(8) The established profitability of the product made under the patents, its

commercial success, and its current popularity.

(9) The utility and advantages of the patented property over the old modes or devices,

if any, that had been used for working out similar results.

(10) The nature of the patented invention, the character of the commercial embodiment

of it as owned and produced by the licensor, and the benefits to those who have

used the invention.

(11) The extent to which the infringer has made use of the invention and any evidence

probative of the value of that use.

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(12) The portion of the profit or of the selling price that may be customary in the

particular business or in comparable business to allow for the use of the invention

or analogous inventions.

(13) The portion of the realizable profits that should be credited to the invention as

distinguished from nonpatented elements, the manufacturing process, business

risks, or significant features or improvements added by the infringer.

(14) The opinion and testimony of qualified experts.

(15) The amount that a licensor (such as the patentee) and a licensee (such as the

infringer) would have agreed upon (at the time the infringement began) if both

had been reasonably and voluntarily trying to reach an agreement; that is, the

amount which a prudent licenseewho desired, as a business proposition, to

obtain a license to manufacture and sell a particular article embodying the

patented inventionwould have been willing to pay as a royalty and yet be able

to make a reasonable profit and which amount would have been acceptable by a

prudent patentee who was willing to grant a license.

It is up to you, based on the evidence, to decide what type of royalty is appropriate in this

case.

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DESIGN PATENT

Willfulness

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No. 14. Design Patent Willful Infringement

In this case, Columbia argues that Seirus willfully infringed the Design Patent. The Court

has already determined that Seirus infringed the Design Patent. You must determine whether

Columbia has proven willful infringement by a preponderance of the evidence. Willful

infringement means that Seiruss infringement was done intentionally or recklessly. When

making this determination, you should keep in mind Seiruss knowledge and subjective intent at

the time of the challenged conduct. Acting intentionally means that the actor desires to cause the

consequences of its act or believes them to be substantially certain to result from it. Acting

recklessly means knowing or having reason to know of the facts that would lead a reasonable

actor to realize that its actions are unreasonably risky.

In deciding whether Seirus willfully infringed the Design Patent, you should consider all

of the facts surrounding the alleged infringement, including, but not limited to, the following

factors.

(1) Whether Seirus acted in a manner consistent with the standards of commerce for its
industry.
(2) Whether Seirus intentionally copied a product of Columbia covered by the patent.
(3) Whether Seirus reasonably believed that the Design Patent was invalid or that it did not
infringe the patent.
(4) Whether Seirus tried to cover up its infringement.

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UTILITY PATENT

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No. 15. Interpretation of Claims

Before you decide whether Seirus has infringed claims 2 or 23 of the Utility Patent or

whether the claims are invalid, you will need to understand the patent claims. As I mentioned,

the patent claims are numbered sentences at the end of the patent that describes the boundaries of

the patents protection. It is my job as judge to explain to you the meaning of any language in the

claims that needs interpretation.

I have interpreted the meaning of some of the language in the patent claims involved in

this case. You must accept those interpretations as correct. My interpretation of the language

should not be taken as an indication that I have a view regarding the issues of infringement or

invalidity. The decisions regarding infringement and invalidity are yours to make.

For claim language where I have not provided you with any meaning, you should apply

the claims plain and ordinary meaning.

Claim Term Meaning


2 & 23 surface area ratio of the amount of surface area of a side of the base material

heat-directing elements that is covered by the heat directing elements divided by the

to base material total surface area of the side of the base material onto which

the elements are attached.

2 & 23 heat heat seen as a form of energy that may be transferred by

conduction, convection or radiation.

2 & 23 adapted to or suited by design to or suited by design for.

adapted for

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2 & 23 adapted for use with suited by design for use with body gear.

body gear

2& 23 adapted to allow, suited by design to allow, impede, and/or restrict passage.

impede, and/or restrict

passage

2& 23 direct heat alter the direction of heat;

2& 23 heat-directing elements that alter the direction of heat;

elements

2& 23 reflect heat alter the direction of heat by reflection;

2& 23 heat-reflecting elements that alter the direction of heat by reflection.

elements

2& 23 discontinuous array an arrangement of multiple, [discrete heat-directing

elements], whereby some of the base fabric is exposed

between adjacent elements.

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No. 16. Utility Patents Infringement Generally

I will now instruct you on the rules you must follow in deciding whether Columbia has

proven that Seirus has infringed one or more of the asserted claims of the Utility Patent. To

prove infringement of any claim, Columbia must persuade you that it is more likely than not that

Seirus has infringed that claim.

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No. 17. Direct Infringement

A patents claims define what is covered by the patent. A product directly infringes a

patent if it is covered by at least one claim of the patent.

Deciding whether a claim has been directly infringed is a two-step process. The first step

is to decide the meaning of the patent claim. I have already made this decision and I have already

instructed you as to the meaning of the asserted patent claims. The second step is to decide

whether Seirus has sold, offered for sale or imported within the United States a products covered

by a claim of the Utility Patent. If it has, it infringes. You, the jury, make this decision.

With one exception, you must consider each of the asserted claims of the patent

individually, and decide whether Seiruss product infringes that claim. The one exception to

considering claims individually concerns dependent claims. A dependent claim includes all of

the requirements of a particular independent claim, plus additional requirements of its own.

Claim 2 from the Utility Patent is a dependent claim. Claim 2 includes all of the requirements

from claim 1. As a result, if you find that an independent claim is not infringed, you must also

find that its dependent claims are not infringed. On the other hand, if you find that an

independent claim has been infringed, you must still separately decide whether the additional

requirements of its dependent claims have also been infringed.

You have heard evidence about both Columbias commercial product and Seiruss

accused products. However, in deciding the issue of infringement you may not compare Seiruss

accused products to Columbias commercial product. Rather, you must compare the Seiruss

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accused products to the claims of the claims of the Utility Patent when making your decision

regarding infringement

Whether or not Seirus knew its products infringed or even knew of the patent does not

matter in determining direct infringement.

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No. 18. Literal Infringement

To decide whether Seiruss products literally infringe a claim of the Utility Patent, you

must compare that product with the patent claim and determine whether every requirement of the

claim is included in that product. If so, Seiruss product literally infringes that claim. If, however,

Seiruss product does not have every requirement in the patent claim, Seiruss product does not

literally infringe that claim. You must decide literal infringement for each asserted claim

separately.

If the patent claim uses the term comprising, that patent claim is to be understood as an

open claim. An open claim is infringed as long as every requirement in the claim is present in

Seiruss product. The fact that Seiruss product also includes other parts will not avoid

infringement as long as it has every requirement in the patent claim.

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UTILITY PATENT

Validity

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No. 19. Invalidity Burden of Proof

I will now instruct you on the rules you must follow in deciding whether Seirus has

proven that claims 2 or 23 of the Utility Patent are invalid. Before discussing the specific rules, I

want to remind you about the standard of proof that applies to this defense. To prove invalidity

of any patent claim, Seirus must persuade you that the claim is invalid by clear and convincing

evidence, in other words, that it is highly probable that the claim is invalid.

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No. 20. Utility Patent Anticipation

A patent claim is invalid if the claimed invention is not new. If a patent claim is not new

we say it is anticipated by a prior art reference. In patent law, prior art references refer to

previous devices, methods, publications or patents. In order for a patent claim to be anticipated

by the prior art, each and every limitation of the claim must be present within a single item of

prior art. You may not find that the prior art anticipates a patent claim by combining two or more

items of prior art.

A prior art reference will not anticipate unless it contains a description of the invention

covered by the patent claims that is sufficiently detailed to teach a person of ordinary skill in the

art how to make and use the invention without undue experimentation. That means that a person

skilled in the field of the claimed invention reading the printed publication or patent would be

able to make and use the invention using only an amount of experimentation that is appropriate

for the complexity of the field of the invention and for the level of expertise and knowledge of

persons skilled in that field.

In deciding whether or not a single item of prior art anticipates a patent claim, you should

consider that which is expressly stated or present in the item of prior art, and also that which is

inherently present. Something is inherent in an item of prior art if it is always present in the prior

art or always the result from the practice of the prior art, and if a person skilled in the field of the

invention would understand that to be the case.

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In this case, Seirus contends that claims 2 and 23 of the Utility Patent are invalid because

they are anticipated by Fottinger. If you find that Seirus has proved by clear and convincing

evidence that claims 2 and 23 are anticipated, then you must find that the claims are invalid.

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No. 21. Utility Patent Obviousness

Not all innovations are patentable. A patent claim is invalid if the claimed invention

would have been obvious to a person of ordinary skill in the field at the time the claimed

invention was made. This means that even if all of the requirements of the claim cannot be found

in a single prior art reference that would anticipate the claim or constitute a statutory bar to that

claim, a person of ordinary skill in the relevant field who knew about all this prior art would

have come up with the claimed invention. You are to consider only the following prior art

references when determining obviousness: Fottinger in view of Halley and/or Blauer and/or

Worley and/or Vaughn.

The ultimate conclusion of whether a claim is obvious should be based upon your

determination of several factual decisions.

First, you must decide the level of ordinary skill in the field that someone would have had

at the time the claimed invention was made. In deciding the level of ordinary skill, you should

consider all the evidence introduced at trial, including:

(1) the levels of education and experience of persons working in the field;

(2) the types of problems encountered in the field; and

(3) the sophistication of the technology.

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Second, you must decide the scope and content of the prior art. The parties disagree as to

whether certain prior art references should be included in the prior art you use to decide the

validity of claims 2 and 23 of the Utility Patent. In order to be considered as prior art to the

patent at issue here, these references must be reasonably related to the claimed invention of that

patent. A reference is reasonably related if it is in the same field as the claimed invention or is

from another field to which a person of ordinary skill in the field would look to solve a known

problem.

Third, you must decide what difference, if any, existed between the claimed invention

and the prior art.

Finally, you should consider any of the following factors that you find have been shown

by the evidence:

(1) commercial success of a product due to the merits of the claimed invention;
(2) a long felt need for the solution provided by the claimed invention;
(3) unsuccessful attempts by others to find the solution provided by the claimed invention;
(4) copying of the claimed invention by others;
(5) unexpected and superior results from the claimed invention;
(6) acceptance by others of the claimed invention as shown by praise from others in the field
or from the licensing of the claimed invention; and
(7) independent invention of the claimed invention by others before or at about the same time
as the named inventor thought of it.
The presence of factors 16 may be considered by you as an indication that the claimed

invention would not have been obvious at the time the claimed invention was made, and the

presence of the factor 7 may be considered by you as an indication that the claimed invention
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would have been obvious at such time. Although you should consider any evidence of these

factors, the relevance and importance of any of them to your decision on whether the claimed

invention would have been obvious is up to you.

A patent claim composed of several elements is not proved obvious merely by

demonstrating that each of its elements was independently known in the prior art. In evaluating

whether such a claim would have been obvious, you should consider whether Seirus has

identified a reason that would have prompted a person of ordinary skill in the field to combine

the elements or concepts from the prior art in the same way as in the claimed invention. There is

no single way to define the line between true inventiveness on the one hand (which is patentable)

and the application of common sense and ordinary skill to solve a problem on the other hand

(which is not patentable). For example, market forces or other design incentives may be what

produced a change, rather than true inventiveness. You may consider whether the change was

merely the predictable result of using prior art elements according to their known functions, or

whether it was the result of true inventiveness. You may also consider whether there is some

teaching or suggestion in the prior art to make the modification or combination of elements

claimed in the patent. Also, you may consider whether the innovation applies a known technique

that had been used to improve a similar device or method in a similar way. You may also

consider whether the claimed invention would have been obvious to try, meaning that the

claimed innovation was one of a relatively small number of possible approaches to the problem

with a reasonable expectation of success by those skilled in the art. However, you must be

careful not to determine obviousness using the benefit of hindsight; many true inventions might

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seem obvious after the fact. You should put yourself in the position of a person of ordinary skill

in the field at the time the claimed invention was made and you should not consider what is

known today or what is learned from the teaching of the patent.

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UTILITY PATENT

Damages

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Case 3:17-cv-01781-HZ Document 378 Filed 09/29/17 PageID.16600 Page 41 of 48

No. 22. Utility Patent Damages Burden of Proof

I will instruct you about the measure of damages for claims of Utility Patent

infringement. By instructing you on damages, I am not suggesting which party should win on

any issue. If you find that Seirus infringed any valid claim of the Utility Patent, you must then

determine the amount of money damages to be awarded to Columbia to compensate it for the

infringement.

The amount of those damages must be adequate to compensate Columbia for the

infringement but in no event may the damages award be less than a reasonable royalty. You

should keep in mind that the damages you award are meant to compensate the patent holder and

not to punish an infringer.

Columbia has the burden to persuade you of the amount of its damages. While Columbia

is not required to prove its damages with mathematical precision, it must prove them with

reasonable certainty. Columbia is not entitled to damages that are remote or speculative.

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No. 23. Utility Patent Damages Reasonable Royalty Definition

Columbia seeks a reasonable royalty for the infringement of its Utility Patent. The

definition of a reasonable royalty for Utility Patent infringement is the same as the definition I

explained to you in Jury Instruction No. 13 for Design Patent damages. However, wherever in

that instruction I referred to the patented design or a Design Patent, you should now focus on the

patented invention or the Utility Patent.

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UTILITY PATENT

Willfulness

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Case 3:17-cv-01781-HZ Document 378 Filed 09/29/17 PageID.16603 Page 44 of 48

No. 24. Utility Patent Willful Infringement

If you determine that Seirus has infringed any of the Utility Patents asserted claims and

that those claims are valid, you must then determine whether that infringement was willful. You

are only to consider whether infringement of the Utility Patent was willful from June 4, 2013,

through December 4, 2013.The definition of willfulness for Utility Patent infringement is the

same as the definition explained to you in Jury Instruction No. 14 for Design Patent

infringement. However, wherever in that instruction I referred to the patented design or a Design

Patent, you should now focus on the patented invention or the Utility Patent.

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DELIBERATIONS

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No. 25. Deliberations

Upon returning to the jury room, you should elect one member of the jury as your

presiding juror. That person will preside over the deliberations and speak for you here in court.

The presiding juror presides over the deliberations and votes, but has no greater weight or voice

than any other juror. After selecting your presiding juror, deliberate until you reach your verdict.

Your verdict must be unanimous.

Each of you must decide the case for yourself, but you should do so only after you have

considered all the evidence, discussed it fully with the other jurors, and listened to the views of

your fellow jurors.

Do not be afraid to change your opinion if the discussion persuades you that you should.

But do not come to a decision simply because other jurors think it is right.

It is important that you attempt to reach a unanimous verdict but, of course, only if each

of you can do so after having made your own conscientious decision. Do not change an honest

belief about the weight and effect of the evidence simply to reach a verdict.

A special verdict form has been prepared for you. It provides you with a road map of the

specific questions that you must determine and answer to reach a complete verdict. After you

have reached unanimous agreement on a verdict, your presiding juror should complete the

special verdict form according to your deliberations, sign and date it, and advise the bailiff that

you are ready to return to the courtroom.

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You will note that there are questions. The answer to each question must be the

unanimous answer of the jury. Your presiding juror will write the unanimous answer of the jury

in the spaces provided opposite each question. All jurors should participate in all deliberations

and vote on each question.

The presiding juror will then date and sign the special verdict form as completed and you

will advise the bailiff outside your door that you are ready to return to the courtroom. Court will

then be reconvened and your verdict will be received.

Your verdict must be based solely on the evidence and on the law as I have given it to

you in these instructions. Nothing that I have said or done is intended to suggest what your

verdict should be - that is entirely for you to decide.

Because you must base your verdict only on the evidence received in the case and on

these instructions, I remind you that you must not be exposed to any other information about the

case or to the issues it involves. Except for discussing the case with your fellow jurors during

your deliberations:

Do not communicate with anyone in any way and do not let anyone else communicate

with you in any way about the merits of the case or anything to do with it. This includes

discussing the case in person, in writing, by phone or electronic means, via email, text

messaging, or any Internet chat room, blog, website or other feature. This applies to

communicating with your family members, your employer, the media or press, and the people

involved in the trial. If you are asked or approached in any way about your jury service or

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anything about this case, you must respond that you have been ordered not to discuss the matter

and to report the contact to the court.

Do not read, watch, or listen to any news or media accounts or commentary about the

case or anything to do with it; do not do any research, such as consulting dictionaries, searching

the Internet or using other reference materials; and do not make any investigation or in any other

way try to learn about the case on your own.

The law requires these restrictions to ensure the parties have a fair trial based on the same

evidence that each party has had an opportunity to address. A juror who violates these

restrictions jeopardizes the fairness of these proceedings. If any juror is exposed to any outside

information, please notify the court immediately.

If it becomes necessary during your deliberations to communicate with me, you may send

a note through the bailiff, signed by your presiding juror or by one or more members of the jury.

No member of the jury should ever attempt to communicate with me except by a signed writing.

Until you have reached your verdict, I will only communicate with jury members on anything

concerning the case either in writing, or orally here in open court. If you send out a question, I

will consult with the parties before answering it, which may take some time. You may continue

your deliberations while waiting for the answer to any question. Remember that you are not to

tell anyone--including me--how the jury stands, numerically or otherwise, until after you have

reached a unanimous verdict or have been discharged.

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