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UNITED STATES DISTRICT COURT FOR THE DISTRICT OF NEW HAMPSHIRE VIDEOJET TECHNOLOGIES (NOTTINGHAM) LIMITED and VIDEOJET

TECHNOLOGIES INC. Plaintiffs, v. MARKEM-IMAJE CORPORATION, Defendant. Civil Action No. _________ DEMAND FOR JURY TRIAL

COMPLAINT FOR PATENT INFRINGEMENT AND DEMAND FOR JURY TRIAL Plaintiffs Videojet Technologies (Nottingham) Limited and Videojet Technologies Inc. (collectively, Videojet), by and through the undersigned attorneys, in complaint against Defendant Markem-Imaje Corporation (Markem), hereby allege as follows: NATURE OF THE CASE 1. This is an action for patent infringement arising under the patent laws of the United States, 35 U.S.C. 1 et seq. for infringement by Markem of U.S. Patent No. 7,682,094 (the 094 patent); U.S. Patent No. 7,748,917 (the 917 patent); U.S. Patent No. 7,753,605 (the 605 patent); and U.S. Patent No. 8,096,715 (the 715 patent). THE PARTIES 2. Plaintiff Videojet Technologies (Nottingham) Limited (formerly known as Zipher Ltd.) is a corporation organized and existing under the laws of England, having a principal place of business located at 7 Faraday Building, Nottingham Science & Technology Park, University Boulevard, Nottingham NG7 2QP, United Kingdom. 1

3. Plaintiff Videojet Technologies Inc. is a corporation organized and existing under the laws of the State of Delaware, having a principal place of business located at 500 Mittel Boulevard, Wood Dale, Illinois 60191. 4. On information and belief, Defendant Markem is a corporation organized and existing under the law of the State of New Hampshire, having a place of business at 150 Congress Street, Keene, New Hampshire 03431. JURISDICTION AND VENUE 5. These claims are for patent infringement arising under the patent laws of the United States, 35 U.S.C. 1, et seq. This court has subject matter jurisdiction over these claims based on 28 U.S.C. 1331 and 1338(a). 6. This Court has personal jurisdiction over Markem at least because Markem has purposefully availed itself of this Courts jurisdiction by bringing two complaints seeking declaratory judgment against Videojet in this judicial district for some of the same patents involved here. See Markem-Imaje Corp. v. Zipher Ltd., Case No. 1:07-cv-6-PB (involving U.S. Patent No. 7,150,572 (the 572 patent)); Markem-Image Corp. v. Zipher Ltd, Case No. 1:10cv-00112-PB (involving the 094, 917, and 605 patents). The cases are now consolidated and pending before this Court as Case No. 1:07-cv-6-PB.1 This Court also has personal jurisdiction over Markem because it is a citizen of the State of New Hampshire. 7. Venue is proper in this judicial district pursuant to 28 U.S.C. 1391 and 1400(b).

The Court granted the parties joint request for consolidation of both cases into one case, 1:07-cv-6-PB, on December 28, 2011. 2

FACTS 8. On information and belief, Markem imports into the United States, makes, offers for sale, sells, and/or uses in the United States, including within this judicial district, thermal transfer printers including, but not limited to, the Smart Date X40, the SmartDate 5, and the 8018. 9. The 094 patent, entitled Tape Drive and Printing Apparatus was duly and legally issued by the USPTO on March 23, 2010. The 094 patent is a continuation of the 572 patent. A copy of the 094 patent is attached as Exhibit A. 10. The 917 patent, entitled Tape Drive and Printing Apparatus was duly and legally issued by the USPTO on July 6, 2010. The 917 patent is a continuation of the 094 patent, which is a continuation of the 572 patent. A copy of the 917 patent is attached as Exhibit B. 11. The 605 patent, entitled Tape Drive and Printing Apparatus was duly and legally issued by the USPTO on July 13, 2010. The 605 patent is a continuation of the 094 patent, which is a continuation of the 572 patent. A copy of the 605 patent is attached as Exhibit C. 12. The 715 patent entitled Tape Drive and Printing Apparatus was duly and legally issued by the USPTO on January 17, 2012. The 715 patent is a continuation of the 917 patent, which is a continuation of the 094 patent, which is a continuation of the 572 patent. A copy of the 715 patent is attached as Exhibit D. 13. The 094 patent, the 917 patent, the 605 patent, and the 715 patent are directed to thermal transfer printing technology.

14. The 094 patent, the 917 patent, the 605 patent, and the 715 patent are assigned on their faces to Zipher Ltd. which, as stated above, is now known as Videojet Technologies (Nottingham) Limited. 15. Videojet Technologies Inc. is the exclusive licensee of the 094 patent, the 917 patent, the 605 patent, and the 715 patent. 16. Videojet Technologies Inc. manufactures, offers for sale, and sells in the United States thermal transfer printers developed by Videojet Technologies (Nottingham) Limited and covered by the 094 patent, the 917 patent, the 605 patent, and the 715 patent. 17. Markem has sought declarations in this Court that it does not infringe the 094 patent, the 917 patent, and the 605 patent. This Court excluded the SmartDate X40 from Case No. 1:10-cv-00112-PB involving the 094 patent, the 917 patent, and the 605 patent. In an order dated November 14, 2011, the Court denied Videojets Motion for Reconsideration requesting that the SmartDate X40 remain in the case. (Doc. No. 83, Case No. 1:10-cv-00112PB.) In the order, this Court determined that Markem was not seeking a declaratory judgment that the X40 printer did not infringe Ziphers patents . . . . This ruling does not bar Zipher from claiming in a separate lawsuit that the X40 printer infringes Ziphers patents. COUNT I (Infringement of the 094 patent) 18. Videojet incorporates by reference the allegations of the preceding paragraphs of this Complaint as if fully set forth herein. 19. Markem has directly infringed, contributorily infringed, and/or actively induced infringement of the 094 patent literally and/or under the doctrine of equivalents by importing into the United States, making, offering for sale, selling, and/or using in the United

States thermal transfer printers including, but not limited to, the SmartDate X40 covered by one or more claims of the 094 patent. 20. On information and belief, Markems infringement of the 094 patent is and will be deliberate and willful, and such infringement will continue unless Markem is enjoined from importing into the United States, making, offering for sale, selling, and/or using in the United States thermal transfer printers including, but not limited to, the SmartDate X40 by this Court. 21. As a consequence of Markems infringement of the 094 patent, Videojet has been damaged and will continue to sustain damages by such act in an amount to be determined at trial and will continue to suffer irreparable harm and injury. 22. Pursuant to Supplemental Patent Rule 2.1(a)(2), Videojet identifies claim 18 of the 094 patent as illustrative of Markems infringement. Claim 18 recites: A tape drive for a transfer printing apparatus in which tape is selectively transported past a print head for transferring material on the tape onto a substrate intended to receive printing, the tape drive comprising: two motors, at least one of which is a stepper motor; two tape spool supports on which spools of tape are to be mounted, each tape spool being moveable by a respective one of said motors; a controller controlling energization of each of said two motors to selectively rotate the respective tape spool supports and tape spools positioned on the tape spool supports; the controller further determining a correction amount of tape to be added to or subtracted from tape extending between the tape spools in order to maintain tension in the tape extending between the tape spools at an acceptable level; wherein with tape spools mounted on the tape spool supports and with tape extending between the tape spools past a print head positioned between the tape spools, the controller energizes at least one of said motors to rotate the spools to advance the tape in a tape transport direction past the print head, and wherein said controller energizes at least one of said motors to rotate at least one of the

spools to add the correction amount of tape to the tape extending between said spools to decrease tension in the tape between the spools or to subtract the correction amount of tape from the tape extending between said spools to increase tension in the tape extending between the spools, so as to maintain tension in the tape extending between the spools at the acceptable level. COUNT II (Infringement of the 917 patent) 23. Videojet incorporates by reference the allegations of the preceding paragraphs of this Complaint as if fully set forth herein. 24. Markem has directly infringed, contributorily infringed, and/or actively induced infringement of the 917 patent literally and/or under the doctrine of equivalents by importing into the United States, making, offering for sale, selling, and/or using in the United States thermal transfer printers including, but not limited to, the SmartDate X40 covered by one or more claims of the 917 patent. 25. On information and belief, Markems infringement of the 917 patent will be deliberate and willful, and such infringement will continue unless Markem is enjoined from importing into the United States, making, offering for sale, selling, and/or using in the United States thermal transfer printers including, but not limited to, the SmartDate X40 by this Court. 26. As a consequence of Markems infringement of the 917 patent, Videojet has been damaged and will continue to sustain damages by such act in an amount to be determined at trial and will continue to suffer irreparable harm and injury. 27. Pursuant to Supplemental Patent Rule 2.1(a)(2), Videojet identifies claim 1 of the 917 patent as illustrative of Markems infringement. Claim 1 recites: A transfer printing apparatus having a tape drive for selectively moving tape past a print head, with the print head operating to transfer material on the tape onto a substrate intended to receive printing, the tape drive comprising: 6

two motors, both of which are stepper motors; two tape spool supports on which spools of tape are mounted, with each spool support being operatively connected to a respective one of the motors, and with the tape extending between the spools and adjacent to the print head; a controller for controlling energization of each of the motors to selectively rotate its respective spool of tape one or more angular steps or to selectively hold its respective spool of tape steady against rotation; with the controller energizing both motors to selectively rotate one of the motors one or more angular steps in a direction of rotation to rotate its respective spool of tape in a tape transport direction for supplying tape in the tape transport direction and to selectively rotate the other motor one or more angular steps in a direction of rotation to rotate its respective spool of tape in the tape transport direction for taking up tape for tape transport, thereby moving tape a predetermined distance in the tape transport direction between the spools and past the print head; a monitor monitoring a parameter indicative of tension in the tape extending between the spools; and with the controller, in response to the monitored parameter indicating that tension in the tape is not at an acceptable level, controlling the operation of the motors to add an amount of tape to the tape extending between said spools to decrease tension in the tape between the spools or to subtract an amount of tape from the tape extending between said spools to increase tension in the tape between the spools so as to correct the tension in the tape between the spools. COUNT III (Infringement of the 605 patent) 28. Videojet incorporates by reference the allegations of the preceding paragraphs of this Complaint as if fully set forth herein. 29. Markem has directly infringed, contributorily infringed, and/or actively induced infringement of the 605 patent literally and/or under the doctrine of equivalents by importing into the United States, making, offering for sale, selling, and/or using in the United

States thermal transfer printers including, but not limited to, the SmartDate X40 covered by one or more claims of the 605 patent. 30. On information and belief, Markems infringement of the 605 patent will be deliberate and willful, and such infringement will continue unless Markem is enjoined from importing into the United States, making, offering for sale, selling, and/or using in the United States thermal transfer printers including, but not limited to, the SmartDate X40 by this Court. 31. As a consequence of Markems infringement of the 605 patent, Videojet has been damaged and will continue to sustain damages by such act in an amount to be determined at trial and will continue to suffer irreparable harm and injury. 32. Pursuant to Supplemental Patent Rule 2.1(a)(2), Videojet identifies claim 1 of the 605 patent as illustrative of Markems infringement. Claim 1 recites: A tape drive for a transfer printing apparatus in which tape is selectively transported past a print head for transferring material on the tape onto a substrate intended to receive printing, the tape drive comprising: two stepper motors, each motor having a rotor shaft and being operable to rotate its rotor shaft in discrete angular steps upon command; two tape spool supports on which spools of tape are to be mounted, each spool support being rotatable by the rotor shaft of a respective one of the motors; a controller controlling energization of the motors to selectively transport tape extending between the spools; with the controller energizing both motors to selectively rotate one of the motors for one or more angular steps in a direction of rotation to rotate its respective spool of tape for supplying tape in a tape transport direction, and to selectively rotate the other motor for one or more angular steps in a direction of rotation to rotate its respective spool of tape for taking up tape for tape transport, thereby moving the tape between the spools in a tape transport direction;

a monitor monitoring a parameter indicative of the diameter of at least one of the spools of tape; and with the controller controlling the number of steps each motor advances during a tape transport operation based at least in part on the parameter indicative of spool diameter to transport the tape between the spools a predetermined distance so as to position a second region of tape, from which material is to be transferred and that is adjacent to a first region of tape from which at least some material has been previously transferred, at the print head for transferring at least some material from the second region of tape to the substrate for efficient usage of the tape. COUNT IV (Infringement of the 715 patent) 33. Videojet incorporates by reference the allegations of the preceding paragraphs of this Complaint as if fully set forth herein. 34. Markem has directly infringed, contributorily infringed, and/or actively induced infringement of the 715 patent literally and/or under the doctrine of equivalents by importing into the United States, making, offering for sale, selling, and/or using in the United States thermal transfer printers including, but not limited to, the SmartDate X40, the SmartDate 5, and the 8018 covered by one or more claims of the 715 patent. 35. On information and belief, Markems infringement of the 715 patent will be deliberate and willful, and such infringement will continue unless Markem is enjoined from importing into the United States, making, offering for sale, selling, and/or using in the United States thermal transfer printers including, but not limited to, the SmartDate X40, the SmartDate 5, and the 8018 by this Court. 36. As a consequence of Markems infringement of the 715 patent, Videojet has have been damaged and will continue to sustain damages by such act in an amount to be determined at trial and will continue to suffer irreparable harm and injury.

37. Pursuant to Supplemental Patent Rule 2.1(a)(2), Videojet identifies claim 1 of the 715 patent as illustrative of Markems infringement as to each of the SmartDate X40, the SmartDate 5, and the 8018. Claim 1 recites: A thermal transfer printer for selectively transferring a meltable ink material carried on a tape to a substrate intended to receive ink for printing an image on the substrate, the printer comprising: two spool supports on which two spools of tape carrying meltable ink material may be mounted for rotation, with the tape being wound on the spools and with a span of tape being held in tension between the spools, with a region of unused tape to be made available for each image to be printed on the substrate; a print head positioned adjacent to the span of tape between the spools comprising a plurality of heating elements selectively energizable to transfer the meltable ink material on the span of tape extending between the spools to the substrate when the heating elements are energized and are in contact with the tape, with the tape in contact with the substrate; a print head drive configured to selectively move the print head between an extended position adjacent the span of tape to transfer ink on the tape to the substrate to print an image and a retracted position spaced apart from the span of tape during each time period between each successive printing of adjacent images on the substrate for enabling transport of the tape and movement of the substrate relative to the print head to present the region of unused tape at the print head for printing a next image on the substrate, and for enabling transport of the tape independently of movement of the substrate so that the tape may be transported a distance different from a distance the substrate is to be moved for receiving the next image to be printed; a monitor configured to monitor a parameter indicative of a diameter of at least one of the spools of tape; a tape drive comprising two stepper motors one for each tape spool support, with each stepper motor being selectively energizeable to rotate in either direction of rotation to rotate its respective spool of tape one or more angular steps to a commanded angular position and being selectively energizeable to hold its respective spool of tape at the commanded angular position against tension in the tape extending between the spools;

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each stepper motor being coupled to its respective tape spool support by a respective drive coupling providing a fixed transmission ratio between rotary motion of the stepper motor and rotary motion of the respective spool support; the tape drive further comprising a motor controller operatively associated with the stepper motors and configured to control energization of one of the stepper motors to rotate its respective spool of tape one or more angular steps in a tape transport direction for supplying tape in the tape transport direction past the print head and to control energization of the other stepper motor to rotate its respective spool of tape one or more angular steps in the tape transport direction for taking up tape for transporting tape in the tape transport direction between the spools of tape; the motor controller further being configured to control energization of each of the stepper motors to rotate its respective spool of tape one or more angular steps in the tape transport direction to a commanded angular position based at least in part on the parameter indicative of spool diameter to transport the tape a predetermined distance in the tape transport direction between the spools of tape and relative to the print head to position the region of unused tape, from which meltable ink material is to be transferred and that is adjacent to a region of used tape from which at least some of the meltable ink material has been previously transferred, at the print head for enabling the print head to transfer at least some of the meltable ink material from the region of unused tape to the substrate; the motor controller further being configured to control energization of each of the stepper motors to rotate their respective spools of tape one or more angular steps in the tape transport direction when the print head is in a retracted position to transport the tape relative to the print head to present the region of unused tape at the print head for printing the next image on the substrate and independently of movement of the substrate so that the tape may be transported a distance different from a distance the substrate is to be moved for receiving the next image to be printed; and a print head controller operatively associated with the heating elements and configured to control energization of the heating elements on the print head to be heated in a predetermined sequence for transferring meltable ink material from the region of unused tape to the substrate for printing an image onto the substrate.

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PRAYER FOR RELIEF WHEREFORE, Plaintiffs Videojet Technologies (Nottingham) Limited and Videojet Technologies Inc. pray for entry of judgment: A. Pursuant to 35 U.S.C. 271, a determination that Markem and those in concert

with Markem have directly infringed, contributorily infringed, and/or actively induced infringement of the 094 patent literally and/or under the doctrine of equivalents by importing into the United States, making, offering for sale, selling, and/or using in the United States thermal transfer printers including, but not limited to, the SmartDate X40; B. Pursuant to 35 U.S.C. 271, a determination that Markem and those in concert

with Markem have directly infringed, contributorily infringed, and/or actively induced infringement of the 917 patent literally and/or under the doctrine of equivalents by importing into the United States, making, offering for sale, selling, and/or using in the United States thermal transfer printers including, but not limited to, the SmartDate X40; C. Pursuant to 35 U.S.C. 271, a determination that Markem and those in concert

with Markem have directly infringed, contributorily infringed, and/or actively induced infringement of the 605 patent literally and/or under the doctrine of equivalents by importing into the United States, making, offering for sale, selling, and/or using in the United States thermal transfer printers including, but not limited to, the SmartDate X40; D. Pursuant to 35 U.S.C. 271, a determination that Markem and those in concert

with Markem have directly infringed, contributorily infringed, and/or actively induced infringement of the 715 patent literally and/or under the doctrine of equivalents by importing into the United States, making, offering for sale, selling, and/or using in the United States thermal transfer printers including, but not limited to, the SmartDate X40, the SmartDate 5, and the 8018; 12

E.

Pursuant to 35 U.S.C. 283, injunctive relief, both preliminary and permanent,

enjoining Markem and those acting in concert with Markem from infringing the 094 patent; F. Pursuant to 35 U.S.C. 283, injunctive relief, both preliminary and permanent,

enjoining Markem and those acting in concert with Markem from infringing the 917 patent; G. Pursuant to 35 U.S.C. 283, injunctive relief, both preliminary and permanent,

enjoining Markem and those acting in concert with Markem from infringing the 605 patent; H. Pursuant to 35 U.S.C. 283, injunctive relief, both preliminary and permanent,

enjoining Markem and those acting in concert with Markem from infringing the 715 patent; I. Awarding Videojet damages to fully compensate them for Markems

infringement of the 094 patent, but in no event less than a reasonable royalty, together with prejudgment interest, costs and disbursements as fixed by the Court in accordance with 35 U.S.C. 284; J. Awarding Videojet increased damages up to three times the amount found for

infringement of the 094 patent by Markem due to the willful and deliberate nature of the infringement in accordance with 35 U.S.C. 284; K. Awarding Videojet damages to fully compensate them for Markems

infringement of the 917 patent, but in no event less than a reasonable royalty, together with prejudgment interest, costs and disbursements as fixed by the Court in accordance with 35 U.S.C. 284; L. Awarding Videojet increased damages up to three times the amount found for

infringement of the 917 patent by Markem due to the willful and deliberate nature of the infringement in accordance with 35 U.S.C. 284;

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M.

Awarding Videojet damages to fully compensate them for Markems

infringement of the 605 patent, but in no event less that a reasonable royalty, together with prejudgment interest, costs and disbursements as fixed by the Court in accordance with 35 U.S.C. 284; N. Awarding Videojet increased damages up to three times the amount found for

infringement of the 605 patent by Markem due to the willful and deliberate nature of the infringement in accordance with 35 U.S.C. 284; O. Awarding Videojet damages to fully compensate them for Markems

infringement of the 715 patent, but in no event less that a reasonable royalty, together with prejudgment interest, costs and disbursements as fixed by the Court in accordance with 35 U.S.C. 284; P. Awarding Videojet increased damages up to three times the amount found for

infringement of the 715 patent by Markem due to the willful and deliberate nature of the infringement in accordance with 35 U.S.C. 284; Q. Declaring this case to be exceptional within the meaning of 35 U.S.C. 285 and

awarding Videojet their reasonable attorneys fees, costs, and expenses they incur in connection with this action; and R. proper. DEMAND FOR JURY TRIAL Pursuant to Federal Rule of Civil Procedure 38, Plaintiffs Videojet Technologies (Nottingham) Limited and Videojet Technologies Inc. hereby demand a trial by jury for all the issues so triable in this action. Awarding Videojet such other and further relief as the Court deems just and

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Respectfully submitted, VIDEOJET TECHNOLOGIES (NOTTINGHAM) LIMITED and VIDEOJET TECHNOLOGIES INC. Date: January 27, 2012 /s/ Philip R. Braley Bryan K. Gould, Esq. (Bar No. 8165) Philip R. Braley, Esq. (Bar No. 9276) OLSON & GOULD, P.C. 5 Chenell Drive, Box 6 Concord, NH 03301 Telephone: (603) 225-9716 Facsimile: (603) 225-4760 bgould@bowlaw.com pbraley@bowlaw.com

Of Counsel: J. Michael Jakes, Esq. Kara F. Stoll, Esq. Michael V. OShaughnessy, Esq. Raymond M. Gabriel, Esq. Garth D. Baer, Esq. FINNEGAN, HENDERSON, FARABOW, GARRETT & DUNNER, LLP 901 New York Avenue, N.W. Washington, DC 20001-4413 Telephone: (202) 408-4000 Facsimile: (202) 408-4400 Attorneys for Plaintiffs Videojet Technologies (Nottingham) Limited Videojet Technologies Inc.

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