Opinion

Sonrai Memory Limited v. Google LLC

Court
District Court, W.D. Texas
Filed
Mar 30, 2022
Cited by
0 cases

The opinion

IN THE UNITED STATES DISTRICT COURT

FOR THE WESTERN DISTRICT OF TEXAS

WACO DIVISION

SONRAI MEMORY LIMITED,

Plaintiff,

v. 6:21-cv-00167-ADA

GOOGLE LLC,

Defendant.

ORDER RECONSIDERING, ALTERING, AND AMENDING THE ORDER DEYING

GOOGLE LLC’S OPPOSED MOTION TO STAY PENDING FINAL RESOLUTION OF

PLAINTIFF’S MANUFACTURER LAWSUIT [ECF NO. 49]

Under Federal Rule of Civil Procedure 52, this Court “is free to reconsider and reverse its

decision” in an interlocutory order “for any reason it deems sufficient, even in the absence of new

evidence or an intervening change in or clarification of the substantive law.” Lavespere v. Niagara

Mach. & Tool Works, Inc., 910 F.2d 167, 185 (5th Cir. 1990). The Court will, in view of new

representations by Defendant Google LLC, exercise that discretion here to reconsider and vacate

its order at ECF No. 49 denying Google’s requested stay (the “Original Order”).

I. DISCUSSION

Plaintiff Sonrai Memory Limited is prosecuting eight patent infringement actions, all of

which are before this Court. Sonrai is suing entities the Court will refer to as “the Manufacturers”:

Kioxia Corporation and Kioxia America, Inc. (collectively, “Kioxia”); Western Digital

Technologies, Inc. (“Western Digital”); and Samsung Electronics Co., Ltd. (“SEC”). It is also

suing several entities the Court will refer to as “the Customers”: SEC and Samsung Electronics

America, Inc. (collectively “Samsung”);1 Google LLC; LG Electronics Inc. and LG Electronics

1 SEC is both a Customer Defendant, because it manufactures and sells downstream products

that incorporate the Accused Kioxia and Western Digital Chip,” and a Manufacturer Defendant,

U.S.A., Inc. (collectively, “LG”); Dell Technologies Inc.; Apple Inc.; Kingston Technology

Company, Inc. and Kingston Technology Corporation (collectively, “Kingston”); and

Amazon.com, Inc.

Sonrai initiated suit against Kioxia, No. 6:21-cv-00400-ADA (the “Kioxia Action”),

Western Digital, No. 6:21-cv-01168 (the “Western Digital Action”), and Samsung, No. 6:21-cv-

00169-ADA (the “Samsung Action) (collectively the “Manufacturer Actions”). Sonrai initiated

suit against Google, LG, 6:21-cv-00168 (the “LG Action”), Dell (the “Dell Action”), Apple (the

“Apple Action”), Kingston (the “Kingston Action”), and Amazon, No. 6:21-cv-00991 (the

“Amazon Action”) (collectively, the “Customer Actions”). In each case, Sonrai is accusing NAND

flash memory chips of infringing certain Sonrai patents. One such chip is the SanDisk/Toshiba

64L 3D NAND flash chip with the die identifier FRN1256G. The Court will refer to this chip as

the “Accused Kioxia and Western Digital Chip” because Kioxia Corporation and Western Digital

co-designed it. Another is a NAND flash memory with package marking SEC 110 BOE1

KLUDG4UHDC SD3P300B. The Court will refer to this chip as the “Accused Samsung Chip”

because SEC designed it.

Google joined an Omnibus Motion filed by all the Customers, ECF No. 32, to request that

certain infringement claims against it be severed from this Action and stayed pending resolution

of the relevant Manufacturer Actions pursuant to the customer-suit exception.

In the Kioxia Action, Sonrai alleges that Kioxia infringes U.S. Patent Nos. 6,724,241 (the

“’241 patent”) and 7,436,232 (the “’232 patent”) by commercializing the Accused Kioxia and

Western Digital Chip and downstream products including that chip. In the Western Digital Action,

because it also manufactures the Accused Samsung Chip Sonrai separately accuses of

infringement.

Sonrai alleges that Western Digital infringes the ’241 patent and ’232 patent by commercializing

the Accused Kioxia and Western Digital Chip and downstream products including that chip.

In this Action, Sonrai alleges that Google infringes the ’241 patent by commercializing

downstream products including the Accused Kioxia and Western Digital Chip. Google requests

that the ’241 patent claim against it be stayed pending resolution of the Kioxia Action and the

Western Digital Action. Omnibus Motion at 20. (Sonrai has also accused Google of infringing the

’014 patent; Google requests that that claim be severed. Id.) Google agrees to be bound by any

infringement determination in the Kioxia Action and the Western Digital Action as to the Accused

Kioxia and Western Digital Chips. Id. at 15.

On February 23, 2022, the Court issued the Original Order denying Google’s requested

stay because Google did not agree to be bound by any validity/invalidity determination in the

Manufacturer Actions as to the ’241 patent. See Original Order at 7. Yet the Court granted similar

stays requested by LG, Dell, Apple, and Kingston, at least because each agreed to be bound by

such validity/invalidity determinations. See, e.g., LG Action, ECF No. 40. On March 18, 2022,

counsel for Google contacted the Court’s clerk via email, representing that “Google will agree to

be bound by any validity or invalidity determination as to the ’241 patent in the KIOXIA

Manufacturer Action if the Court would stay the Google case as to the ’241 patent pending

resolution of the KIOXIA Manufacturer Action.” Sonrai’s counsel opposed Google’s renewed

request for a stay. On March 23, 2022, the Court inquired as to whether Google is “willing to be

bound by any validity or invalidity determination as to the ’241 patent in the Western Digital

Manufacturer Action.” That same day, Counsel for Google responded:

KIOXIA is the exclusive supplier of the KIOXIA/Toshiba-branded

flash memory chips that are accused against Google in this case. See

Dkt. 32-5 (Decl. of M. Chitlu) at ¶4. Therefore, in this case, Google

is only a customer of KIOXIA and is not a customer of Western

Digital. However, to obtain the requested stay, Google will agree to

be bound by any validity or invalidity determination as to the ’241

patent in both the KIOXIA and Western Digital Manufacturer

Actions, on the terms of the original moving defendants.

In this Court’s judgment, Google has shown that, like LG, Dell, Apple, and Kingston (and

later, Amazon), it too 1s entitled to a stay. Accord LG Action, ECF No. 40; Amazon Action, ECF

No. 34.

II. CONCLUSION

For the foregoing reasons, the Court reconsiders the Original Order at ECF No. 49 in the

above-captioned Action. It is therefore ORDERED that the Orginal Order at ECF No. 49 in the

above-captioned Action is VACATED and SUPERSEDED by the Instant Order. It is further

ORDERED that Sonrai’s °241 patent claims against Google (Count I) are severed pursuant to

Federal Rule of Civil Procedure 21. That severed action shall be STAYED (1) as to Accused

Kioxia and Western Digital Chip pending resolution of the Kioxia Action and Western Digital

Action. This Action will otherwise proceed.

The Court’s Clerk is instructed to:

e VACATE ECF No. 49 in this Action;

e SEVER Count I, as described in ECF No. 1, from this Action; and

e STAY the Severed Action (which should include all the parties at issue in this

Action).

SIGNED this 30th day of March, 2022.

CDrm O\or st

ALAN D ALBRIGHT

UNITED STATES DISTRICT GE

This is a copy of a public record, reproduced as it was published. It is not legal advice, and it may not be the version a court would rely on. Check the official source before you cite it.

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