criminal activity surveillance v. adt security services et. al

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    IN THE UNITED STATES DISTRICT COURTFOR THE EASTERN DISTRICT OF TEXAS

    TYLER DIVISION

    Civil Action No. ____________________

    CRIMINAL ACTIVITY SURVEILLANCE, LLC,

    Plaintiff,v.

    ADT SECURITY SERVICES, INC.;AMAG TECHNOLOGY, INC.;AMERICAN DYNAMICS, A TYCO INTERNATIONAL COMPANY;BOSCH SECURITY SYSTEMS, INC.;LIGHTHOUSE VIDEO SURVEILLANCE, LLC;

    MANGO DSP, INC.;NEC CORPORATION OF AMERICA;ON-NET SURVEILLANCE SYSTEMS, INC.;PELCO, INC.;SIEMENS INDUSTRY, INC.; andUDP TECHNOLOGY LTD.,

    Defendants.

    COMPLAINT WITH JURY DEMAND

    Plaintiff Criminal Activity Surveillance, LLC, for its Complaint with Jury Demand

    against Defendants ADT Security Services, Inc.; AMAG Technology, Inc.; American Dynamics,

    a Tyco International Company; Bosch Security Systems, Inc.; Lighthouse Video Surveillance,

    LLC; Mango DSP, Inc.; NEC Corporation of America; On-Net Surveillance Systems, Inc.;

    Pelco, Inc.; Siemens Industry, Inc.; and UDP Technology Ltd. (hereinafter referred to

    collectively as "Defendants" unless otherwise specified), alleges as follows:

    I. THE PARTIES

    1. Plaintiff Criminal Activity Surveillance, LLC ("CAS") is a Delaware limitedliability company with a principal place of business at 6136 Frisco Square Boulevard, Suite 385,

    Frisco, Texas 75034.

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    2. Upon information and belief, Defendant ADT Security Services, Inc. ("ADT") isa Delaware corporation with a principal place of business located at One Town Center Road,

    Boca Raton, Florida 3486. ADT may be served through its registered agent, Corporation Service

    Company, 350 North Saint Paul, Suite 2900, Dallas, Texas 75201. Upon further information and

    belief, ADT offers products and services through an authorized dealer located in Tyler, Texas

    and also currently transacts business throughout the Tyler division.

    3. Upon information and belief, Defendant AMAG Technology, Inc. ("AMAG") is aDelaware corporation with a principal place of business located at 20701 Manhattan Place,

    Torrance, California 90501. AMAG may be served through its registered agent, Corporation

    Service Company, 211 East 7th Street, Suite 620, Austin, Texas 78701.

    4. Upon information and belief, Defendant American Dynamics, a TycoInternational Company ("American Dynamics"), is a Nevada corporation with its principal place

    of business located at One Town Center Road, Boca Raton, Florida 33486. American Dynamics

    may be served via its registered agent, CT Corporation System, 1200 South Pine Island Road,

    Plantation, Florida 33324.

    5. Upon information and belief, Defendant Bosch Security Systems, Inc. ("Bosch")is a New York corporation with a principal place of business located at 130 Perinton Parkway,

    Fairport, New York 14450. Bosch may be served through its registered agent, Corporation

    Service Company, 80 State Street, Albany, New York 12207-2543.

    6. Upon information and belief, Defendant Lighthouse Video Surveillance, LLC("Lighthouse") is a Texas limited liability company having a principal place of business located

    at 18222 Point Lookout, Nassau Bay, Texas 77058. Lighthouse may be served through its

    registered agent, Marc H. Schneider, 15150 Middlebrook Drive, Houston, Texas 77058.

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    7. Upon information and belief, Defendant Mango DSP, Inc. ("Mango") is aDelaware corporation having a principal place of business located at 83 East Avenue, Norwalk,

    Connecticut 06851. Mango may be served through its registered agent, Stanley M. Young, 41

    Cranbury Road, Norwalk, Connecticut 06851.

    8. Upon information and belief, Defendant NEC Corporation of America ("NEC") isa Nevada corporation having a principal place of business located at 6535 North State Highway

    161, Irving, Texas 75039. NEC may be served through its registered agent, National Registered

    Agents, Inc., 16055 Space Center Boulevard, Suite 235, Houston, Texas 77062.

    9.

    Upon information and belief, Defendant On-Net Surveillance Systems, Inc.

    ("OnSSI") is a New York corporation with its principal place of business located at One Blue

    Hill Plaza, Seventh Floor, Pearl River, New York 10965. OnSSI may be served at 222 Route 59,

    Suite 303, Suffern, New York 10901.

    10. Upon information and belief, Defendant Pelco, Inc. ("Pelco") is a Delawarecorporation having a principal place of business located at 3500 Pelco Way, Clovis, California

    93612-5699. Pelco may be served through its registered agent, Corporation Service Company,

    211 East 7th Street, Suite 620, Austin, Texas 78701.

    11. Upon information and belief, Defendant Siemens Industry, Inc. ("Siemens") is aDelaware corporation having a principal place of business located at 170 Wood Avenue, South

    Iselin, New Jersey 08830. Siemens may be served through its registered agent, CT Corporation

    System, 350 North Saint Paul Street, Suite 2900, Dallas, Texas 75201.

    12. Upon information and belief, Defendant UDP Technology Ltd. ("UDP") is aforeign corporation registered to do business in Colorado, with a USA headquarters and business

    address of 3553 Clydesdale Parkway, Suite 110, Loveland, Colorado 80538. UDP may be

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    served through its registered agent, Carl Ream, 333 South Federal Boulevard, Suite 212, Denver,

    Colorado 80219.

    II. JURISDICTION AND VENUE

    13. This Court has exclusive jurisdiction of this action for patent infringementpursuant to 28 U.S.C. 1338(a).

    14. Upon information and belief, Defendants each have minimum contacts with theEastern District of Texas such that this forum is a fair and reasonable one. Specifically and also

    upon information and belief, Defendants have each committed such purposeful acts and/or

    transactions in Texas that they reasonably knew and/or expected that they could be hauled into

    court as a future consequence of such activity. Also specifically and upon information and

    belief, Defendants have transacted and/or, at the time of the filing of this Complaint, are

    transacting business within the Eastern District of Texas. For these reasons, personal jurisdiction

    exists over each of the Defendants.

    15. Venue is proper in this Court under 28 U.S.C. 1391(b) and (c) as one or moreDefendants may be found in this judicial district and as each Defendant is subject to personal

    jurisdiction within this judicial district. Venue is also proper in this Court under 28 U.S.C.

    1400(b) as one or more Defendants have committed acts of infringement in this judicial

    district. Venue is proper in this particular district, upon information and belief, because

    Defendants do business here and at least one Defendant has an authorized distributor of

    infringing product in the division.

    III. THE TECHNOLOGY

    16. The technology at the heart of this dispute relates to Video Surveillance andanalysis, which involves the use of intelligent video monitoring equipment (typically a

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    combination of hardware and software) to analyze video images and provide an appropriate

    response signal (referred hereinafter as "Video Surveillance").

    17. In the ten years following the terrorist attacks of September 11, the demand andusage of Video Surveillance systems have exploded. At least several billion dollars have been

    spent to install or upgrade Video Surveillance equipment at airports, train stations, commercial

    ports, national monuments, historic buildings, state capitols, military facilities, museums,

    libraries, factories and private commercial buildings.

    18. The U.S. Department of Homeland Security (the "Department") was created inresponse to the demand for increased domestic security precautions. A significant portion of the

    Department's budget is dedicated to obtaining and analyzing video content to asses potential

    threats and take appropriate action in light of those threats.

    19. One area of focus of the Department is transportation. Upon information andbelief, the Transportation Security Administration ("TSA") has provided grants to over 50

    airports in the United States for improving Video Surveillance technology since 2002. In 2009

    alone, the TSA provided approximately $70 million to fund enhanced closed-circuit television

    technology ("CCTV") installations at 20 U.S. airports, which typically include installation of

    enhanced Video Surveillance technology.

    20. The considerable expansion of Video Surveillance technology over the last tenyears has not been confined to TSA grants or federal government facilities. Video surveillance

    technology has been adapted for use and is now being used in numerous industrial, retail,

    educational and healthcare environments, and is widely used on streets and roads for increasing

    public safety and the operational efficiency of traffic control systems.

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    21. For example, in 2010, the Video Security Business Manager for TexasInstruments, Mr. Danny Petkevich, stated "The video surveillance market is undergoing rapid

    change as intelligent cameras proliferate many diverse markets."

    22. A recent study published by IMS Research reported that the demand for reliableVideo Surveillance is increasing at a compound annual growth rate of 38% and will achieve a

    market value of $4 billion by this end of 2011.

    A. The Inventor And His Technology23. The inventor of original U.S. Patent No. 6,028,626 ("the '626 Patent") and

    subsequent Reissue Patent No. RE42,690 ("the '690 Patent"), Mr. David G. Aviv, has over 50

    years of experience as an electrical engineer and developer of advanced technology systems. In

    particular, Mr. Aviv has an extensive background in developing satellites, satellite systems, and

    laser space communications. As a result of his experience, he has served as the Chairman of the

    Institute of Electrical and Electronics Engineers ("IEEE") Las Vegas Chapter, he was the Vice

    Chairman of the Communications and Computer Division of the IEEE in Los Angeles, and he

    was the Chairman of the Education division of the IEEE in New York. Mr. Aviv has also

    published a book on laser space communications and won various awards in the engineering

    field.

    24. Included with his work experience, Mr. Aviv served as President of AppliedResearch and Consulting, Inc., or A.R.C., Inc. ("ARC"). During his time at ARC, he designed

    and developed several security surveillance technologies for various applications, such as

    monitoring cardiovascular patients and tracking parked automobiles for car-rental organizations.

    Mr. Aviv also designed and developed the Public Eye Security System, which later led to the

    development of technology claimed in the original '626 Patent.

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    25. Public safety became a personal interest of Mr. Aviv in the 1980s. At that time,Mr. Aviv's son was a medical student in New York. His son had told Mr. Aviv of a surgeon

    working at New York Presbyterian hospital that was assaulted and killed leaving the hospital late

    at night. Mr. Aviv believed better, smarter security was needed to protect society.

    26. In the 1990s, when Mr. Aviv's son became an attending physician at the samehospital, Mr. Aviv became very concerned for his son's safety. Mr. Aviv's son worked until very

    late, often leaving the hospital at 2 or 3 a.m. There were very few security guards at the hospital

    and his son walked the same route from the hospital to his car that the murdered surgeon had

    taken.

    27. Due to the continuing lack of security at the hospital, Mr. Aviv conceived of asecurity system that would utilize video sensors and software that could detect suspicious acts as

    they occurred. When a suspicious act was occurring, an alarm or alert could be transmitted to

    law enforcement or security. Mr. Aviv thought such a security system could also be beneficial

    for the public safety at large and perhaps have application in the national security arena.

    B. Mr. Aviv's Licensing Efforts28. The '626 Patent was originally assigned to ARC. Mr. Aviv, on behalf of ARC,

    then made many attempts to commercialize and license the '626 Patent. As part of this process,

    Mr. Aviv approached several companies and gave presentations on the Public Eye Security

    System.

    29. In 1998, Siemens and ARC first came into contact when both were given anopportunity to display their respective security camera systems on a subway platform provided

    by the New York Metropolitan Transit Authority ("MTA"). At that time, since ARC did not

    have its system built, Mr. Aviv sent a letter to Siemens regarding the Public Eye Security System

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    hoping to interest Siemens into perhaps combining the strongest elements of their respective

    systems. Mr. Aviv received no response from Siemens.

    30. In 2006, Mr. Aviv gave a presentation to Siemens regarding the Public EyeSecurity System. During the meeting Siemens seemed very interested in the Public Eye Security

    System, and in fact asked for more information. However, Siemens ultimately stopped returning

    any follow-up phone calls or emails.

    31. In addition to Siemens, Mr. Aviv has contacted other entities in his attempts tocommercialize the original '626 Patent.

    32.

    In 1995, Mr. Aviv briefed a senior executive at then Lockheed Sanders, Inc. and

    had ongoing communications with Lockheed Martin until approximately 2000, which required

    the execution of a nondisclosure agreement. Subsequent communications resumed again in

    2003, when Mr. Aviv contacted BAE Systems, Inc. who acquired Lockheed Sanders, Inc., and

    offered to brief the company on the Public Eye Security System again.

    33. In 2002, Mr. Aviv also presented the Public Eye Security System to an executiveat L-3 Communications in New York City and had subsequent communications.

    34. Also in 2002, Mr. Aviv requested and met with an executive and engineer at theRaytheon Company at its El Segundo, California office. Prior to the meeting, Raytheon

    Company and Mr. Aviv entered into a nondisclosure agreement. After Mr. Aviv's presentation

    to Raytheon Company, Mr. Aviv followed-up on its request for additional information on the

    Public Eye Security System. Ultimately, Mr. Aviv felt that Raytheon was requesting information

    to implement its own system using features of the Public Eye Security System, so he did not

    pursue further communications.

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    35. Mr. Aviv met with an executive at the Motorola headquarters in Illinois also in2002. Motorola was partnering with another company at that time for its Video Surveillance

    systems.

    36. In 2003, Mr. Aviv briefed a team of engineers at Northrop Grumman Corporation.The discussions were detailed enough that Mr. Aviv also entered into a nondisclosure agreement

    with Northrop Grumman Corporation.

    37. Other companies and entities which Mr. Aviv approached and then presented thePublic Eye Security System to were the Defense Advanced Research Projects Agency

    ("DARPA"), an agency within the Department of Defense and Aerospace Corporation in 2003,

    Network Appliance in 2001, the Rand Corporation in 1999 and Citicorp Technology in 1998.

    38. Mr. Aviv believed strongly in this technology disclosed in the '626 Patent and thegood it could provide society. Ultimately, the '626 Patent was assigned to Prophet, in part due to

    Mr. Aviv's deteriorating health.

    39. By assignment from Mr. Aviv, through ARC, Prophet is the owner of the '690Patent.

    40. Through an Exclusive License Agreement, CAS was granted all substantiverights, including the exclusive right to enforce and collect damages for past, present and future

    infringement of the '690 Patent during all relevant times to this action.

    41. A reissue proceeding was initiated by Prophet before filing any patentinfringement actions to thoroughly allow the United States Patent and Trademark Office

    ("USPTO") to vet and address all of the pertinent prior art of which CAS, Prophet and Mr. Aviv

    were aware. The '690 Patent is presumed valid and enforceable pursuant to 35 U.S.C. 282.

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    IV. THE PATENT-IN-SUIT

    42. Prior to Mr. Aviv's groundbreaking innovations, early surveillance systems weredependent on a single person to scan one or more video monitors, in "real" time, and effectively

    monitor an area to be protected. These early systems required a relatively high level of

    dependency on the alertness of the person scanning the monitors to respond to an abnormal act or

    situation observed within the protected area.

    43. Furthermore, these systems are often left to the discretion of security personnel todetermine: (1) if there is any abnormal event in progress within the protected area; (2) the level

    of concern placed on that particular event; and (3) what actions should be taken in response to

    the particular event. The reliability of these early systems were thereafter dependent on the

    decision making capabilities and efficiency of the worker observing the video monitors.

    44. Certain providers attempted to increase a user's efficiency by adding certain"enhancements" to then existing systems, such as a "quaded display" system which allowed

    fewer personnel to adequately supervise the monitors and thereby cover a larger protected area

    by condensing images onto fewer monitors. These enhancements, however, still require the

    constant attention of at least one person. The use of multiple-image/single screen systems also

    suffered from poor resolution and provided the user with complex viewing arrangements. Thus,

    there was and is a great need for trainable surveillance systems which detect and respond to

    abnormal activity captured by video input signals and which do not suffer from the described

    human shortcomings.

    45. On February 22, 2000, the '626 Patent, which is a continuation-in-part of U.S.Patent No. 5,666,157, was duly and legally issued for an "Abnormality Detection and

    Surveillance System" in the name of David G. Aviv. A reissue proceeding of the '626 Patent was

    filed in the USPTO on May 14, 2009. On September 13, 2011, the USPTO issued the '690

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    Patent, with issued independent Claims 1, 4, 6, 29, 40, 41 and 42. A true and correct copy of the

    '690 Patent is attached hereto as Exhibit A.

    46. The '690 Patent generally relates to methods for determining criminal activity byan individual within a field of view of at least one video camera.

    47. The Abstract of the '690 Patent relevantly provides:A surveillance system having at least one primary video camera for

    translating real images of a zone into electronic video signals at a first level ofresolution. The system includes means for sampling movements of an individualor individuals located within the zone from the video signal output from at leastone video camera. Video signals of sampled movements of the individual iselectronically compared with known characteristics of movements which are

    indicative of individuals having a criminal intent. The level of criminal intent ofthe individual or individuals is then determined and an appropriate alarm signal isproduced.

    48. Independent Claim 1 of the '690 Patent reads:1. A method for determining criminal activity by an individual within

    a field of view of [a] at least one video camera, said method comprising:sampling [the] relative movements, from one or more images captured by

    said at least one video camera of said field of view, of an individual with respectto a moved, movable or moving object located within said field of view using saidat least one video camera to generate a video signal;

    electronically comparing said video signal of said at least one videocamera with known characteristics of relative movements of the individual withrespect to the object that are indicative of an individual having criminal intent;

    determining the level of criminal intent of said individual, saiddetermining step being dependent on said electronically comparing step; and

    generating a signal indicating that a predetermined level of criminal intentis present as determined by said determining step. (Bracketed deletions originalin reissued claim.)

    49. Independent Claim 6 of the '690 Patent reads:6. A method for determining criminal activity by an individual within

    a field of view of at least one video camera, the method comprising:generating, using said at least one video camera, a video signal of the

    individual within the field of view of the at least one video camera;sampling a relative movement, from one or more images captured by said

    at least one video camera of said field of view, of the individual with respect to amoved, movable or moving object captured by said at least one video camera ofsaid field of view;

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    electronically comparing the sampled relative movement of the individualwith known characteristics of movements that are indicative of an individualhaving criminal intent;

    determining a level of criminal intent of the individual based on thecompared sampled movement of the individual; and

    generating a signal indicating that a predetermined level of criminal intentis present if the determined level of criminal intent of the individual establishesthat the predetermined level of criminal intent is present.

    V. DEFENDANTS' INFRINGEMENT

    50. Upon information and belief, and as further described below, Defendants havedirectly and/or jointly manufactured, made, had made, used, practiced, imported, provided,

    supplied, distributed, sold, and/or offered for sale products and/or services that are infringing one

    or more claims of the '690 Patent and/or Defendants are inducing and/or contributing to the

    infringement of one or more of the claims of the '690 Patent by others.

    ADT

    51. Upon information and belief, ADT provides video surveillance and securityanalytics, incorporating Bosch intelligent video analytics (IVA). By way of example only and

    upon information and belief, ADT offers for sale and sells video surveillance systems, including

    cameras that incorporate video analytic processing capability that capture, analyze and transfer

    video and allow real time viewing of the video feed. Upon information and belief, the analytics

    is capable of implementing different rules for triggering and forwarding alerts to system

    operators, including object left behind and object removed, among others.

    52. On information and belief, ADT is infringing, literally and/or under the doctrineof equivalents, the '690 patent in Texas and in this District by, among other things, making,

    using, importing, offering for sale and/or video surveillance and security analytics systems,

    including, but not limited to systems that generate, using a video camera, a video signal of an

    individual within a field of view of a camera; sample a relative movement from one or more

    images captures by a video camera of the field of view of the individual with respect to a moved,

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    movable or moving object captured by the video camera of the field of view; electronically

    compare the sampled relative movement of the individual with known characteristics of

    movement that are indicative of an individual having criminal intent; determine a level of

    criminal intent of the individual based upon the compared sampled movement of the individual;

    and generate a signal indicating that the predetermined level of criminal intent is present if the

    determined level of criminal intent of the individual establishes that the predetermined level of

    criminal intent is present.

    53. By way of example only and upon information and belief, the sampling of relativemovement of an individual with respect to an object performed by ADTs video surveillance and

    security analytics systems includes movement of the object with respect to the individual and/or

    a lack of movement of the object with respect to the individual.

    54. Upon information and belief, ADTs products infringe one or more claims of the'690 Patent, literally and/or under the doctrine of equivalents. Upon information and belief,

    ADT's products and activities induce others, including purchasers and users of at least some

    configurations of ADTs video surveillance and security analytics systems to infringe the '690

    Patent.

    AMAG

    55. AMAG holds itself out as a market leader in the design and manufacture of fullyintegrated access control and video security solutions around the world and a company that

    provides a complete security package designed to protect staff, premises and assets. AMAG

    offers for sale and sells a range of Symmetry Security Management Systems which provide

    integrated solutions in the area of automated security. By way of example only and upon

    information and belief, AMAG's Symmetry EN-7500 Series range of high performance network

    cameras with H.264 compression includes Intelligent Detection - a unique tracking engine is

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    used to perform intelligent analysis of motion for intrusion and tamper detection. Upon

    information and belief, cameras within the system also offer sophisticated Video Content

    Analytics (VCA), extending the capabilities of the Intelligent Detection to include additional

    filters for entry/exit, appear/disappear, dwell, direction, abandoned/removed objects and

    counting linked to the detection rule. Upon information and belief, these intelligent analytics

    features can be and are used with AMAG's Symmetry Security Management System linking into

    triggers within the command and control function. Upon information and belief, this capability

    activates alarms and initiates predetermined security level changes, creating a seamless enhanced

    security solution across any site.

    56. By way of example only and upon information and belief, AMAG's Symmetryrange of network cameras with Intelligent Detection and VCA generate, using a video camera, a

    video signal of an individual within a field of view of a camera; sample a relative movement

    from one or more images captures by a video camera of the field of view of the individual with

    respect to a moved, movable or moving object captured by the video camera of the field of view;

    electronically compare the sampled relative movement of the individual with known

    characteristics of movement that are indicative of an individual having criminal intent; determine

    a level of criminal intent of the individual based upon the compared sampled movement of the

    individual; and generate a signal indicating that the predetermined level of criminal intent is

    present if the determined level of criminal intent of the individual establishes that the

    predetermined level of criminal intent is present.

    57. By way of example only and upon information and belief, the sampling of relativemovement of an individual with respect to an object performed by AMAG's Symmetry range of

    network cameras with Intelligent Detection and VCA includes movement of the object with

    respect to the individual and/or a lack of movement of the object with respect to the individual.

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    58. Upon information and belief, AMAG's products infringe one or more claims ofthe '690 Patent, literally and/or under the doctrine of equivalents. Upon information and belief,

    AMAG's products and activities induce others, including purchasers and users of at least some

    configurations of AMAG's Symmetry Security Management Systems (specifically including but

    not limited to those which utilize the Mate Behavior Watch model) to infringe the '690 Patent.

    American Dynamics

    59. American Dynamics holds itself out as having enormous product penetration intothe video security/surveillance market. By way of example only and upon information and

    belief, American Dynamics offers IntelliVid video intelligence solutions. Upon information and

    belief, IntelliVid software provides the tools to generate tangible bottom-line improvements by

    reducing internal and external theft, allowing for more effective and efficient investigations, and

    providing a better understanding of in-store customer behavior. Upon information and belief

    IntelliVid software "watches" all system cameras, 24/7, proactively identifying theft and

    suspicious activity while also indexing the video to simplify forensic analysis. Upon information

    and belief, American Dynamics IntelliVid goes beyond simple motion-based, one-off analytics,

    combining best-in-class intelligent video alerts, forensic search, and tracking into an easy-to-use

    interface, helping achieve better results more quickly. Upon information and belief, features of

    IntelliVid include notification of merchandise wipeouts, dwell, direction, people and object

    removal. Whether trying to protect high-theft merchandise in a busy retail store or watching for

    suspicious bags, intelligent asset alerts provide notice when objects appear or are removed.

    60. By way of example only and upon information and belief, American Dynamics'IntelliVid software includes intelligent video alerts regarding asset placement and removal.

    IntelliVid provides linger alerts when a person or group spends too much time within a defined

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    area. IntelliVid also can provide direction and velocity alerts to tailor the alert region and

    parameters to identify specific behavior of interest.

    61. By further way of example only and upon information and belief, AmericanDynamics' Intellex digital video management system is also offered in combination with third

    party video analytics, including Mate Behavior Watch which, in combination, process video

    streams originating from the Intellex family of digital and/or network video recorders. Upon

    information and belief, Behavior Watch in combination with Intellex digital and/or network

    video recorders create an intelligent Video Surveillance system able to detect intrusion,

    suspicious objects (e.g., objects left behind), removed objects (e.g., a painting) and undesirable

    behavior (e.g., loitering). Upon information and belief, an alarm is generated and sent when an

    alarm condition is detected.

    62. On information and belief, American Dynamics' products infringe the '690 patent,either literally and/or under the doctrine of equivalents. Upon information and belief, American

    Dynamics' products and activities induce others, including purchasers and users of at least the

    IntelliVid system and the Intellex video management system in combination with third party

    video analytics to infringe the '690 Patent.

    Bosch

    63. Upon information and belief, Bosch offers a complete fully integrated intelligentVideo Surveillance system, comprising video capture, video analysis, video compression and

    transmission, real time and historic video viewing, storage, searching and exporting. Embedded

    into Bosch's IP cameras and encoders is intelligent video analysis (IVA). IVA is completely

    self-contained and requires no PCs, servers or other software to function. IVA features various

    detection scenarios: loitering, trip-wire, idle object, object removed, trajectory, speeding, speed

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    & size filters, and color detection. IVA is tightly integrated to Bosch's video management

    software (VMS) so that the VMS can generate a specific response to an alarm.

    64. By way of example only and upon information and belief, Bosch's VideoSurveillance system with IVA and VMS generates, using a video camera, a video signal of an

    individual within a field of view of a camera; sample a relative movement from one or more

    images captures by a video camera of the field of view of the individual with respect to a moved,

    movable or moving object captured by the video camera of the field of view; electronically

    compare the sampled relative movement of the individual with known characteristics of

    movement that are indicative of an individual having criminal intent; determine a level of

    criminal intent of the individual based upon the compared sampled movement of the individual;

    and generate a signal indicating that the predetermined level of criminal intent is present if the

    determined level of criminal intent of the individual establishes that the predetermined level of

    criminal intent is present.

    65. By way of example only and upon information and belief, the sampling of relativemovement of an individual with respect to an object performed by Bosch's Video Surveillance

    system with IVA and VMS includes movement of the object with respect to the individual and/or

    a lack of movement of the object with respect to the individual.

    66. Upon information and belief, Bosch's products infringe one or more claims of the'690 Patent, literally and/or under the doctrine of equivalents. Upon information and belief,

    Bosch's products and activities induce others, including purchasers and users of at least some

    configurations of Bosch's Video Surveillance system with IVA and VMS to infringe the '690

    Patent.

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    Lighthouse

    67. Upon information and belief, Lighthouse offers a variety of wide ranging VideoSurveillance systems designed to meet any imaginable application in any environment. Upon

    information and belief, Lighthouse offers custom Video Surveillance system design and high

    quality equipment, including offering advance technologies for large businesses. By way of

    example only and upon information and belief, Video Surveillance systems offered for sale and

    sold by Lighthouse include video analytic features such as unattended object detection used to

    trace an unattended object that appears in a defined detection perimeter and where the object

    configuration can generate an alarm, missing object detection for keeping an eye on valuable

    objects and where an alarm is generated if the object is missing and crowd detection including

    loitering, among other features.

    68. On information and belief, Lighthouse is infringing, literally and/or under thedoctrine of equivalents, the '690 patent in Texas and in this District by, among other things,

    making, using, importing, offering for sale and/or selling intelligent Video Surveillance systems,

    including, but not limited to systems that generate, using a video camera, a video signal of an

    individual within a field of view of a camera; sample a relative movement from one or more

    images captures by a video camera of the field of view of the individual with respect to a moved,

    movable or moving object captured by the video camera of the field of view; electronically

    compare the sampled relative movement of the individual with known characteristics of

    movement that are indicative of an individual having criminal intent; determine a level of

    criminal intent of the individual based upon the compared sampled movement of the individual;

    and generate a signal indicating that the predetermined level of criminal intent is present if the

    determined level of criminal intent of the individual establishes that the predetermined level of

    criminal intent is present.

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    69. By way of example only and upon information and belief, the sampling of relativemovement of an individual with respect to an object performed by intelligent Video Surveillance

    systems offered for sale and sold by Lighthouse includes movement of the object with respect to

    the individual and/or a lack of movement of the object with respect to the individual.

    70. Upon information and belief, Lighthouse's products infringe one or more claimsof the '690 Patent, literally and/or under the doctrine of equivalents. Upon information and

    belief, Lighthouse's products and activities induce others, including purchasers and users of at

    least some configurations of Lighthouse's intelligent Video Surveillance systems (specifically

    including but not limited to those which utilize the Mate Behavior Watch model) to infringe the

    '690 Patent.

    Mango

    71. Upon information and belief, Mango is a developer and manufacturer ofintelligent Video Surveillance devices. According to its website, Mango provides some of the

    world's leading surveillance OEM manufacturers in the homeland security and defense markets

    with the products to drive their solutions. Mango provides customizable digital video processing

    solutions for Video Surveillance and defense OEMs. Mango's solutions combine video

    encoding, decoding and content analysis. Mango has developed Mango Intelligent Video

    Software (IVS), an open architecture operating system for its video servers. Upon information

    and belief, Mango IVS integrates with Mango's own Mate brand intelligent video analytics and

    also makes integration of video content analysis algorithms from different third party vendors

    possible. Indeed, Mango has partnered with a number of the top video analytic algorithm

    companies in the world to create "Intelligent Video Servers." By embedding real time video

    analysis into the video encoder, operators monitoring the control center are automatically alerted

    each time one of the cameras detects an abnormal behavior.

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    72. Upon Information and belief, video analytic systems provided by Mango work bymonitoring a video feed, recognizing and classifying objects in the picture and matching their

    behavior against a set of predefined rules. When a rule is violated, the video server alerts the

    control center (VMS) and can immediately trigger an action such as sounding an alarm or

    triggering video recording as well as marking the video using a bounding box to help draw the

    attention of the operator. By way of example only and upon information and belief, Mango

    Raven and Pegasus intelligent video servers integrate video analytic algorithms using IVS to

    enable video security devices to analyze video streams and apply a large set of user definable

    rules. Typical algorithms included in Mango Video Surveillance systems are object removed,

    object left behind and tailgating. Upon information and belief, other analytic applications

    include object detection, object classification (human, vehicle, other), object crossing a boundary

    (tripwire), object remaining in certain area (loitering), object counting, license plate recognition

    (LPR) and face recognition. In addition to the video analytics, and upon information and belief,

    Mango's Intelligent Video Servers are able to perform video encoding and connect to PTZ

    cameras, relay and alarms. Mango Intelligent Video Servers are integrated with most major

    video management systems (VMS) or, alternately, work in stand-alone mode, allowing full

    control and viewing of video and alerts using standard web browsers.

    73. By way of example only and upon information and belief, Mango's intelligentVideo Surveillance systems generate, using one or more video cameras, a video signal of an

    individual within a field of view of a camera; sample a relative movement from one or more

    images captured by a video camera of the field of view of the individual with respect to a moved,

    movable or moving object; electronically compare the sampled relative movement of the

    individual with known characteristics of movement that are indicative of an individual having

    criminal intent; determine a level of criminal intent of the individual based upon the compared

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    sampled movement of the individual; and generate a signal indicating that the predetermined

    level of criminal intent is present if the determined level of criminal intent of the individual

    establishes that the predetermined level of criminal intent is present.

    74. By way of example only and upon information and belief, the sampling of relativemovement of an individual with respect to an object performed by Mango's intelligent Video

    Surveillance systems includes movement of the object with respect to the individual and/or a

    lack of movement of the object with respect to the individual.

    75. Upon information and belief, Mango's products infringe one or more claims of the'690 Patent. Upon information and belief, Mango's products and activities induce others,

    including purchasers and users of at least some configurations of Mango's intelligent Video

    Surveillance systems to infringe the '690 Patent.

    NEC

    76. Upon information and belief, NEC offers for sale and sells intelligent VideoSurveillance systems that include video analytics that provide behavior detection solutions that

    monitor behaviors and fag any actions predetermined as unusual. Upon information and belief, a

    video clip is sent instantly to security personnel capturing the activity that triggers an alarm. By

    way of example only and upon information and belief, NEC's intelligent Video Surveillance

    systems utilize Vidient Systems, Inc. (now Agilence, Inc.) analytics which provide real time

    video monitoring and detection and alerting of security violations. Upon information and belief,

    available behavior recognition modules include, but are not limited to, unattended objects,

    removed objects, loitering, tailgating and perimeter intrusion, among others.

    77. By way of example only and upon information and belief, NES's intelligent VideoSurveillance systems generate, using one or more video cameras, a video signal of an individual

    within a field of view of a camera; sample a relative movement from one or more images

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    captured by a video camera of the field of view of the individual with respect to a moved,

    movable or moving object; electronically compare the sampled relative movement of the

    individual with known characteristics of movement that are indicative of an individual having

    criminal intent; determine a level of criminal intent of the individual based upon the compared

    sampled movement of the individual; and generate a signal indicating that the predetermined

    level of criminal intent is present if the determined level of criminal intent of the individual

    establishes that the predetermined level of criminal intent is present.

    78. By way of example only and upon information and belief, the sampling of relativemovement of an individual with respect to an object performed by NEC's intelligent Video

    Surveillance systems includes movement of the object with respect to the individual and/or a

    lack of movement of the object with respect to the individual.

    79. Upon information and belief, NEC's products infringe one or more claims of the'690 Patent. Upon information and belief, NEC's products and activities induce others, including

    purchasers and users of at least some configurations of NEC's intelligent Video Surveillance

    systems to infringe the '690 Patent.

    OnSSI

    80. On information and belief, OnSSI provides Video Surveillance in which intuitivesoftware seamlessly connects and improves security processes and makes up for the limits of

    human capacity. On information and belief, OnSSI's products provide proactive, results oriented

    security solutions that can help to prevent incidents, instead of merely record them. On

    information and belief, OnSSI offers a comprehensive IP Video Surveillance control and

    management software solution, and continues to develop the most advanced IP-based intelligent

    Video Surveillance solutions in the market.

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    81. By way of example only and upon information and belief, OnSSI's flagship IP-video and security platform, named Ocularis, is a comprehensive video management system that

    combines powerful network video recorders (NVRs) with physical security information

    management (PSIM) functionality. Upon information and belief, Ocularis' provides video and

    alerts from across an organization and are converted into meaningful events, for efficient shared

    handling and building a video-evidence case file. By way of example only and upon information

    and belief, automated features of the Ocularis software combine multiple alarms into meaningful

    alerts, which results in better security and less need for operators watching screens, and this in

    turn lowers operating costs. By way of example only and upon information and belief, Ocularis

    Analytics, which comprises numerous configurable software modules, enable the automated

    detection of specific movement and behavior patterns, both human and vehicular, significantly

    increasing the effectiveness and responsiveness of the entire video and security system.

    82. On information and belief, with Ocularis Analytics, alerts are generated onspecific behaviors, rather than for each and every detected motion which reduces false detection

    and false alarm rates, while reducing, and in some cases even eliminating altogether, the need for

    live monitoring of video from large camera systems. By way of example only and upon

    information and belief, Ocularis Analytics configurable detection modules include: Suspicious

    (Abandoned) Object detection of abandoned object in area of interest with filters for size and

    length of time object is present, Asset Protection detects the removal of up to 20 objects from a

    camera's field of view and reports an event when an object is removed or hidden for more than

    the specified amount of time and Tailgating - detection of person or vehicle crossing

    entry/access-point line within a user-defined time interval after another person or vehicle.

    83. By way of example only and upon information and belief, OnSSI's Ocularisintelligent Video Surveillance systems generate, using one or more video cameras, a video signal

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    of an individual within a field of view of a camera; sample a relative movement from one or

    more images captured by a video camera of the field of view of the individual with respect to a

    moved, movable or moving object; electronically compare the sampled relative movement of the

    individual with known characteristics of movement that are indicative of an individual having

    criminal intent; determine a level of criminal intent of the individual based upon the compared

    sampled movement of the individual; and generate a signal indicating that the predetermined

    level of criminal intent is present if the determined level of criminal intent of the individual

    establishes that the predetermined level of criminal intent is present.

    84.

    By way of example only and upon information and belief, the sampling of relative

    movement of an individual with respect to an object performed by OnSSI's Ocularis intelligent

    Video Surveillance systems includes movement of the object with respect to the individual

    and/or a lack of movement of the object with respect to the individual.

    85. On information and belief, OnSSI's products infringe one or more claims of the'690 Patent. Upon information and belief, OnSSI's products and activities induce others,

    including purchasers and users of at least some configurations of OnSSI's intelligent Video

    Surveillance systems (specifically including but not limited to those which utilize the Mate

    Behavior Watch model) to infringe the '690 Patent.

    Pelco

    86. Upon information and belief, Pelco holds itself out as a world leader in the design,development and manufacture of next-generation video and security systems. Pelco further

    states that its security systems trusted to protect the world's most treasured landmarks, watch

    over cities and secure businesses. Pelco further states that its high definition (HD) Video

    Management and Camera Systems offer a complete array of IP, Hybrid and Analog technologies

    and that its systems have and continue to set the benchmark for video security excellence. Upon

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    information and belief, Pelco security systems include intelligent video analytics which, through

    automated digital screening and filtering can identify operators of potential issues. By way of

    example only and upon information and belief, Pelco systems monitor and detect directional

    motion, object removal, abandoned object and loitering, among other conditions.

    87. By way of example only and upon information and belief, Pelco analyticspackages are included with Spectra HD cameras, Sarix EP cameras and NET5400 Series

    encoders at no extra charge. Pelco analytics also work with the Pelco Endura system.

    88. By way of example only and upon information and belief, Pelco also has theability to embed the ObjectVideo suite of analytics behaviors into its Sarix-based megapixel

    cameras. The ObjectVideo analytic suite includes varying behaviors such as tripwire detection,

    inside area detection, camera tamper detection, loitering detection, leave behind detection,

    enters/exits counting, occupancy sensing and dwell-time monitoring.

    89. By way of example only and upon information and belief, Pelco's securitysystems with its own video analytics or incorporating video analytics of ObjectVideo generate,

    using one or more video cameras, a video signal of an individual within a field of view of a

    camera; sample a relative movement from one or more images captured by a video camera of the

    field of view of the individual with respect to a moved, movable or moving object; electronically

    compare the sampled relative movement of the individual with known characteristics of

    movement that are indicative of an individual having criminal intent; determine a level of

    criminal intent of the individual based upon the compared sampled movement of the individual;

    and generate a signal indicating that the predetermined level of criminal intent is present if the

    determined level of criminal intent of the individual establishes that the predetermined level of

    criminal intent is present.

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    90. By way of example only and upon information and belief, the sampling of relativemovement of an individual with respect to an object performed by Pelco's security systems with

    its own video analytics or incorporating video analytics of ObjectVideo includes movement of

    the object with respect to the individual and/or a lack of movement of the object with respect to

    the individual.

    91. On information and belief, Pelco's products infringe one or more claims of the'690 Patent. Upon information and belief, Pelco's products and activities induce others,

    including purchasers and users of at least some configurations of Pelco's security systems with

    its own video analytics or incorporating video analytics of ObjectVideo to infringe the '690

    Patent.

    Siemens

    92. Upon information and belief, and according to Siemens, video analytics havequickly become a key element in today's security applications. Also according to Siemens,

    integration of surveillance cameras on to a security management station is key to providing a

    holistic security solution. Also according to Siemens, innovative digital product and system

    concepts centered on intelligent video analytics and sensor input allow the best possible

    coordination of system functionality with operator requirements. By way of example only and

    upon information and belief, comprehensive Video Surveillance solutions from Siemens that

    incorporate extensive video analytics, such as Siemens' Intelligent Video Management (IVM)

    and Siveillance products, offer a unique approach to streamlining security management for

    critical infrastructure, wide-area sites, public areas, buildings, and public safety agencies. Upon

    information and belief, Siveillance is an automated, intelligent Video Surveillance solution that

    shows what is happening throughout a selected environment and displays all surveillance input

    on a single screen.

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    93. By way of example, and upon information and belief, Siemens offers for sale andsells a Video Surveillance solution for busy environments, such as airports, train stations,

    subway stations and shopping malls, named Siveillance Baggage. Siveillance Baggage detects

    and alerts security conditions such as abandoned baggage and objects, and can also relate an

    abandoned object to the person who transported the object into the monitored area.

    94. By way of example only and upon information and belief, Siemens' Siveillancesecurity systems, including Siveillance Baggage, generate using one or more video cameras, a

    video signal of an individual within a field of view of a camera; sample a relative movement

    from one or more images captured by a video camera of the field of view of the individual with

    respect to a moved, movable or moving object; electronically compare the sampled relative

    movement of the individual with known characteristics of movement that are indicative of an

    individual having criminal intent; determine a level of criminal intent of the individual based

    upon the compared sampled movement of the individual; and generate a signal indicating that the

    predetermined level of criminal intent is present if the determined level of criminal intent of the

    individual establishes that the predetermined level of criminal intent is present.

    95. By way of example only and upon information and belief, the sampling of relativemovement of an individual with respect to an object performed by Siemens' Siveillance security

    systems include movement of the object with respect to the individual and/or a lack of movement

    of the object with respect to the individual.

    96. On information and belief, Siemens' products infringe one or more claims of the'690 Patent. Upon information and belief, Siemens' products and activities induce others,

    including purchasers and users of at least some configurations of Siemens' Siveillance security

    systems to infringe the '690 Patent.

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    UDP

    97. Upon information and belief, UDP holds itself out as a leading provider of digitalvideo solutions for the security and IP surveillance industries. Upon information and belief,

    UDP's line of products comes fully equipped with a unique Primary Video Analytics package.

    Upon information and belief, all UDP IPE series IP cameras and NVC Series IP encoders as well

    as all PC capture card products are provided with video analytics utilizing the VCA analytics

    engine from VCA Technology. By way of example only and upon information and belief, UPD

    systems equipped in this way perform intelligent analysis of motion with application areas

    including intrusion detection, vehicle monitoring, abandoned-object detection, people counting,

    and loitering detection.

    98. By way of example only and upon information and belief, UDP's security systemswith video analytics generate, using one or more video cameras, a video signal of an individual

    within a field of view of a camera; sample a relative movement from one or more images

    captured by a video camera of the field of view of the individual with respect to a moved,

    movable or moving object; electronically compare the sampled relative movement of the

    individual with known characteristics of movement that are indicative of an individual having

    criminal intent; determine a level of criminal intent of the individual based upon the compared

    sampled movement of the individual; and generate a signal indicating that the predetermined

    level of criminal intent is present if the determined level of criminal intent of the individual

    establishes that the predetermined level of criminal intent is present.

    99. By way of example only and upon information and belief, the sampling of relativemovement of an individual with respect to an object performed by UDP's security systems with

    video analytics include movement of the object with respect to the individual and/or a lack of

    movement of the object with respect to the individual.

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    100. On information and belief, UDP's products infringe one or more claims of the'690 Patent. Upon information and belief, UDP's products and activities induce others, including

    purchasers and users of at least some configurations of UDP's security systems with video

    analytics to infringe the '690 Patent.

    VI. FIRST CLAIM FOR RELIEF

    (Patent Infringement -- All Defendants)

    101. Plaintiff incorporates herein by reference each and every allegation in paragraphs1 through 100 as though fully set forth herein.

    102. Defendants manufacture, make, have made, use, practice, import, provide, supply,distribute, sell, and/or offer for sale products and/or services that infringe one or more claims of

    the '690 Patent in violation of 35 U.S.C. 271(a) and/or are inducing direct infringement of the

    '690 Patent by others by actively instructing, assisting and/or encouraging others to practice one

    or more of the inventions claimed in the '690 Patent in violation of 35 U.S.C. 271(b) and/or are

    contributing to direct infringement of the '690 Patent by others by offering to sell, selling or

    providing one or more items which constitute a material part of an invention defined by claims of

    the '690 Patent, knowing the same to especially made or adapted for use in an infringement of

    the '690 Patent, which components are not staple articles or commodities of commerce suitable

    for substantial non-infringing use in violation of 35 U.S.C. 271(c).

    103. Plaintiff has been damaged as a result of Defendants' infringing conduct.Defendants are thus liable to Plaintiff in an amount that adequately compensates Plaintiff for

    such infringement which cannot be less than a reasonable royalty, together with interest and

    costs as fixed by this Court under 35 U.S.C. 284.

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    VII. PRAYER FOR RELIEFPlaintiff requests that the Court find in its favor and against Defendants, and that the

    Court grant Plaintiff the following relief:

    A. Judgment that one or more claims of the '690 Patent has been infringed, eitherliterally, and/or under the doctrine of equivalents, by one or more Defendants and/or by others to

    whose infringement Defendants have contributed or induced;

    B. A permanent injunction enjoining each of the Defendants and their officers,directors, agents, servants, affiliates, employees, divisions, branches, subsidiaries, parents, and

    all others acting in active concert or participation with them, from infringing the '690 Patent;

    C. Judgment that Defendants account for and pay to Plaintiff all damages to andcosts incurred by Plaintiff because of Defendants' infringing activities and other conduct

    complained of herein in an amount not less than a reasonable royalty;

    D. That Plaintiff be granted pre-judgment and post-judgment interest on the damagescaused to it by reason of Defendants' infringing activities and other conduct complained of

    herein; and

    E. That Plaintiff be granted such other and further relief as the Court may deem justand proper under the circumstances, including an award of enhanced damages and/or

    determining this to be an exceptional case pursuant to 35 U.S.C. 285 and awarding Plaintiff its

    reasonable attorneys' fees.

    VIII. JURY DEMAND

    Plaintiff hereby requests a trial by jury pursuant to Rule 38 of the Federal Rules of Civil

    Procedure.

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    SHIELDS, BRITTON & FRASERA Professional Corporation

    Dated: September 15, 2011 By: /s/ John D. Fraser

    John D. FraserAttorney-in-ChargeState Bar No. 073935505401 Village Creek DrivePlano, Texas 75093Phone: 469-726-3070Fax: 972-788-4332E-Mail: [email protected]

    Of Counsel (applications pro hac vice forthcoming)Robert R. Brunelli (pending pro hac admission)

    [email protected] P. Blakely (pending pro hac admission)[email protected]

    Ian R. Walsworth (pending pro hac admission)

    [email protected] Y. Ho (pending pro hac admission)

    [email protected] ROSS P.C.1560 Broadway, Suite 1200Denver, Colorado 80202-5141Telephone: 303-863-9700Facsimile: 303-863-0223E-mail: [email protected]

    ATTORNEYS FOR PLAINTIFF