• Overland Storage Files New 337 Complaint Regarding Certain Automated Media Library Devices
  • October 27, 2010 | Author: Eric W. Schweibenz
  • Law Firm: Oblon, Spivak, McClelland, Maier & Neustadt, L.L.P. - Alexandria Office
  • On October 19, 2010, Overland Storage, Inc. of San Diego, California (“Overland Storage”) filed a complaint requesting that the ITC commence an investigation pursuant to Section 337.

    The complaint alleges that BDT AG of Germany, BDT-Solutions GmbH & Co. KG of Germany (“BDT-Solutions”), BDT Automation Technology (Zhuhai FTZ) of China, BDT de México, S. de R.L. de C.V. of Mexico, BDT Products, Inc. of Irvine, California (“BDT Products”), Dell Inc. of Round Rock, Texas (“Dell”), and International Business Machines Corp. of Armonk, New York (“IBM”) (collectively, the “Proposed Respondents”) unlawfully import into the U.S., sell for importation, and sell within the U.S. after importation certain automated media library devices that infringe U.S. Patent Nos. 6,328,766 (the ‘766 patent) and 6,353,581 (the ‘581 patent) (collectively, the “asserted patents”).

    According to the complaint, “[t]he infringing articles and the domestic articles protected by the asserted patents are various models and types of automated media library devices, also called tape libraries.”  The automated media library devices have the ability to move tape cartridges from one drive to another without human intervention via robotic arms or actuators inside the media library itself.

    In the complaint, Overland Storage alleges that the Proposed Respondents import and sell products that infringe the asserted patents.  In particular, the complaint names the BDT FlexStor II tape library series — which is marketed and sold in the U.S. as, among other things, the Dell PowerVault TL 2000 Tape Library and the IBM System Storage TS3100 Tape Library — as infringing products.

    Regarding domestic industry, Overland Storage states that a domestic industry exists for the asserted patents as a result of Overland Storage’s significant investment in plant, labor, and capital in the U.S. in connection with articles protected by the asserted patents.  In particular, Overland Storage states that it designs, develops, and manufactures its 2000, 2000e, 4000, 4000e, 8000, and 8000e NEO Series Tape Libraries in San Diego, California.  Further, Overland Storage states that it contracts with Hon Hai/Foxconn to perform final assembly of Overland Storage’s 200s and 400s NEO Series Tape Libraries in Houston, Texas.  With respect to the technical prong of the domestic industry requirement, Overland Storage alleges that the NEO 200s, 400s, 2000, 2000e, 4000, and 4000e are covered by at least one claim of each of the asserted patents and, additionally, that the NEO 8000 and 8000e are covered by at least one claim of the ‘766 patent.

    As to related litigation, Overland Storage states that on August 13, 2010, it filed suit against BDT AG, BDT-Solutions and BDT Products in the U.S. District Court for the Southern District of California alleging infringement of the ‘766 and ‘581 patents.

    With respect to potential remedy, Overland Storage requests that the Commission issue a permanent exclusion order and a permanent cease and desist order directed at the Proposed Respondents.