dji complaint -final

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C O M PLA I N T F O RP A TEN T

I N F RI N G EM EN T

JA M ES C .YO O N , StateB arN o.17 7155jyoon@ w sg r.comRYA N R. SM I TH , StateB arN o.229323rsm ith @ w sg r.comW I LSO N SO N SI N I G O O DRI C H &RO SA TI P .C .6 50Pag eM illRoadPalo A lto, C alifornia 9 4304-1050Teleph one:(6 50) 493-9 300F ax:(650) 56 5-5100

A ttorneysforPlaintiffsSZ DJI Tech nolog yC o., Ltd. andDJIEuropeB .V.

UN I TED STA TES D I STRI C TC O URT

C EN TRA L D I STRI C TO F C A L I F O RN I A

SZ DJI Tech nolog yC o., Ltd. andDJIEuropeB .V.,

Plaintiffs,

v .

Yuneec I nternationalC o. Ltd. andYuneec USA I nc.,

Defendants.

)))))))))))))

C A SE N O . 5:16 -cv -59 5

C O M PLA I N T F O RPA TEN TI N F RI N G EM EN T

JURYTRI A L D EM A N D ED

Pursuantto Section 1338 of Title28 of th eUnitedStatesCode, PlaintiffsSZ

DJI Tech nolog yC o., Ltd. andDJI EuropeB .V. (collectiv ely“Plaintiffs”or“DJI”)

alleg eforth eirCom plaintag ainstDefendantsYuneec I nternationalC o. Ltd. and

Yuneec USA I nc. (collectively“Defendants”or“Yuneec”), on personalknow ledg e

Case 5:16-cv-00595 Document 1 Filed 04/01/16 of 32 Page ID #:1

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asto DJI’sow n actionsandon inform ation andbelief asto th eactionsof oth ers, as

follow s:

1. Th isC om plaintarisesunderth epatentlaw sof th eUnitedStates,Title

35of th eUnitedStatesC ode. Th isCourth assubjectm atterjurisdiction ov erth is

action under35U.S.C . § 27 1etseq.,28 U.S.C . §§ 1331and1338 (a ).

TH E PA RTI ES

2. Plaintiff SZ DJI Tech nolog yC o., Ltd. (“DJI SZ”) isa C h inese

corporation w ith itsprincipalplaceof businessat14th F loor,W estW ing ,

Skyw orth Sem iconductorDesig n B uilding , N o.18 G aoxin South 4th A v e, N ansh an

D istrict, Sh enzh en, C h ina . DJI SZ isresponsibleforth eresearch anddevelopm ent

of DJI -brandedproductssoldin th eUnitedStates.

3. Plaintiff DJI EuropeB .V. (“DJI B V”) isa European corporation w ith

itsprincipalplaceof businessatI m B irkenfeld2, 9 7 7 9 5Sch ondra, G erm any. DJI

B V sellsDJI -brandedproductsin th eUnitedStates.

4. O n inform ation andbelief, DefendantYuneec I nternationalC o. Ltd.

(“Yuneec I nternational”) isa H ong K ong corporation w ith itsprincipalplaceof

businessat2/F , M an Sh ung I ndustrialB uilding , 7 LaiYip Street, K w un Tong ,

K ow loon, H ong K ong .

5. O n inform ation andbelief, DefendantYuneec USA I nc. (“Yuneec

USA ”) isa Delaw arecorporation w ith itsprincipalplaceof businessat5555

O ntario M illsParkw ay, O ntario, C alifornia 9 17 64,USA .


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JURI SD I C TI O N A N D VEN UE

6 . Th eC ourtm ayexercisepersonaljurisdiction overYuneec because

Yuneec h ascontinuousandsystem atic contactsw ith th eStateof C alifornia and, on

inform ation andbelief, doesbusinessin th isDistrict.

7 . O n inform ation andbelief,Yuneec conductsbusinessin th isDistrict

byim porting , m arketing , offering forsale, andselling itsinfring ing productsin th is

District.

8 . F orexam ple,Yuneec h aspartneredw ith U.S.electronicsretailerB est

B uysinceatleastO ctober15,2015. Seeh ttp://w w w .yuneec.com /node/158 (last

v isitedM ar.31,2016 ). Yuneec’spartnersh ip w ith B estB uyincludesth esaleof its

infring ing productsonline. SeeF ig ure1. Yuneec’sproductsareav ailablefor

purch asebyaccessing B estB uy’sw ebsitein th isDistrictandareadv ertised

along sideDJI’sproducts.


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F ig ure1.

9 . I n addition,Yuneec’sinfring ing productsareav ailableforpurch aseat

B estB uyretailstoreslocatedin th isDistrict. SeeF ig ure2. I n 2016 , atleastone

infring ing Yuneec productw assoldata B estB uyretailstorelocatedin th is

District.


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F ig ure2.

10. O n inform ation andbelief,Yuneec USA isa div ision of Yuneec

I nternational. Seeh ttp://w w w .yuneec.com /support_office(lastv isitedM ar.31,

2016 ). O n itsw ebsite,Yuneec describesYuneec USA as“responsibleforall

aspectsof Yuneec I nternational’sbusinessin th eA m ericas.” See

h ttp://w w w .yuneec.com /careers(lastv isitedM ar.31,2016 ).

11. O n inform ation andbelief,Yuneec USA m aintainsan officein th is

Districtat5555O ntario M illsParkw ay, O ntario, C alifornia 917 64.

12. B ecauseYuneec h asav aileditself of th epriv ileg esof conducting

activ itiesin th isDistrict,itissubjectto personaljurisdiction in th isDistrict.


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13. Venueisproperin th isjudicialdistrictpursuantto 28 U.S.C .

§§ 1391(b), (c), (d), and/or1400(b) because, am ong oth erth ing s, Defendantsare

subjectto personaljurisdiction in th isDistrict, h av ecom m ittedactsof patent

infring em entin th isDistrict, andcontinueto com m itactsof infring em entin th is

District.

F A C TUA L B A C K G RO UN D

14. DJI bring sth isaction to seekinjunctiv erelief anddam a g esarising out

of Yuneec’sinfring em entof DJI’sU.S. PatentN os. 9 ,16 4,506 and9 ,280,038

(collectively“th ePatents-in-Suit”).

DJI

15. DJI isan innov atoratth eforefrontof com m ercialunm annedaerial

v eh icle(“UA V”) tech nolog y. DJI dev elopsandm anufacturesaerialv ideog raph y

andph otog raph ysystem sforcom m ercialandrecreationaluse. DJI’sUA Vs

includeth eDJI I nspire1Pro (F ig ure3) andth erecentlyreleasedDJI Ph antom 4

(F ig ure4), w h ich bring tog eth erDJI’spatentedtech nolog yin easyto use, all-in-

oneproductsth atprov ideconsum ersw ith accessto h ig h qualityaerialim a g ing .


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F ig ure3.

F ig ure4.

16 . DJI’soperationsareg lobal, currentlyspanning N orth A m erica,

Europe, andA sia. DJI’scom m ercialUA Vsarev ersatile;th eyareusedeach and

ev erydayforth ing ssuch asaerialph otog raph yandcinem atog raph y,scientific

research , g eolog icalsurveying , andm uch m ore. DJI h asdev elopedh ig h ly


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soph isticatedsoftw areapplicationsandinterfacesth atallow consum ersto fully

controlth eflig h tsystem andonboardcam era.

17 . Sinceitsfounding , DJI h asinv estedm illionsof dollarsin research to

dev elop industryleading tech nolog yfundam entalto th everyconceptof UA Vs.

To date,DJI’sresearch inv estm enth asresultedin atleast30issuedUnitedStates

patentsandov er50pending UnitedStatespatentapplications. DJI em ploysov er

seven h undredeng ineersth atdev elop cutting -edg eandg round-breaking solutions

to th em anych alleng ing issuesfacing com m ercialUA Vsin an em erg ing industry.

I n orderto prov ideout-of-th e-box,ready-to-flyproductsforboth am ateurand

professionalconsum ers, DJI ’sUA Vsarem anufacturedandpre-assem bledw ith

precision andcarefulcalibration.

18 . DJI’sextensiv eresearch anddev elopm enteffortsh av eresultedin

m oreth an justth edesig n anddev elopm entof rev olutionaryUA Vsliketh eDJI

I nspire1andDJI Ph antom series;th eyh avealso ledto DJI’sdev elopm entof

supporting applications,such asth oseusedforfilm ing , adv ertising , construction,

firefig h ting , farm ing , andm anyoth ers. F orinstance, asth eW allStreetJournal

reportedin lateN ov em ber2015, DJI h asdev elopedapplicationsto h elp farm ers

m oreefficientlysprayth eircropsin plotsof landth ataredifficultforairplanesto

reach .

19 . DJI h asdev elopeda seriesof pre-prog ram edflig h tpatternsth ath elp

captureh ig h quality,targ etedaerialim a g es. I n onesuch flig h tprog ram , called


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“A ctiv eTrack,”userscan instructth ePh antom 4to recog nizea ch osen subjectand

follow th esubjectautom aticallyto keep th esubjectconstantlyin fram e. See

F ig ures5and6 .

F ig ure5.


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F ig ure6.

20. To furth erenh anceim a g ecapturing capabilitiesbym axim izing

cam era v iew ing ang les,th eDJI I nspire1h asan adv ancedcam era support,referred

to asa “g im bal,”th atallow sth ecam era to rotate36 0-deg reesacrossth reedifferent

axes. SeeF ig ures7 and8 . A sDJI’sw ebsitedescribes, “[t]h e3-axisg im bal

constantlydraw son data fedbyth eintellig entflig h tcontroller,so itknow sth e

aircraft’sflig h tparam etersandcom putesth eproperm otion correction ev ery

m illisecond.”


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F ig ure7.

F ig ure8.

21. F orh andh eldph otog raph yandcinem atog raph y,th eadv ancedg im bal

includedw ith th eI nspire1can bedetach edandreattach edto a separateh andh eld

cam era supportcalledth eDJI O sm o. SeeF ig ure9 . Th isflexibledesig n allow sa

consum erto m axim izeth eusabilityandversatilityof th eadv ancedg im balsystem .


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F ig ure9.

22. Presently, DJI’sproductsareav ailableforsaleonlineandin retail

stores, including A m azon.com , B estB uy, W alm art,eB ay, th eA ppleStore, and

h obbysh ops.

Yuneec

23. O n inform ation andbelief,Yuneec isa com panyfoundedbyTian Yu

andh eadquarteredin Jiang su, C h ina .

24. O n inform ation andbelief,Yuneec w asfoundedin 19 9 9 asa

m anufacturerof sing lerotor, fixed-w ing aircraft. Yuneec adv ertisesin th e“A bout

Yuneec”section of itsw ebpag eth atit“pioneeredmannedelectric flig h t.”Upon


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inform ation andbelief,relativ eto DJI ,Yuneec isa recententrantto th eUA V

m arket.

25. O n inform ation andbelief,Yuneec h asm ade, used, offeredto sell,

andsoldUA Vssinceatleastasearlyas2014,including th eYuneec Typh oon G ,

Yuneec Typh oon Q 500,Typh oon Q 500+ , andTyph oon Q 5004K (collectiv elyth e

“Typh oons”).

26 . Th eTyph oonscontain a v arietyof electricalcom ponentsusedto

controlv ariousaspectsof th eoperation of th eUA Vsandsensorsfornav ig ational,

surv eillance, orrem otesensing purposes. Th eseUA Vsareassem bledw ith pre-

config uredelectricalcom ponents.

27 . O n inform ation andbelief,th eTyph oonsareconfig uredto receiv e

targ etinform ation from th euserbyrem otecontrolto autom aticallytrackth etarg et

andto m aintain a position relativ eto th etarg et.

28 . F orexam ple, userscan instructth eTyph oons“to keep th epilot

h olding th eST10+ in focusandin fram e,”using a featurecalled“W atch M e.” See

F ig ures10-13. Th isfeatureisim portantforth eTyph oons.


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F ig ure10.

F ig ure11.


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F ig ure12.

29 . A sth eTyph oons’instruction m anualsexplain, in th e“W atch M e”

function,“th epilotw illalw aysbekeptin th efram e;”th eTyph oonsw illadjustth e

UA V’sposition and/orth ecam era’slensto keep th epilotin th efram e. SeeF ig ure

13.


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F ig ure13.

30. Th eTyph oonsarealso equippedw ith a g im balcam era capableof

being attach edto eith erth eUA V orto a Yuneec h andh elddev icecalledth e

“SteadyG rip.”Th eTyph oon Q 500+ ,th eTyph oon Q 5004K , andth eTyph oon G

allincludeboth a UA V anda SteadyG rip. SeeF ig ures14-16 .


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F ig ure14.

F ig ure15.


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F ig ure16.

31. O n inform ation andbelief,Yuneec dem onstratesitsUA V products

tog eth erw ith itsh andh eldSteadyG rip dev ice(w h ich also retailsasth eTyph oon

A ctionC am ) attradesh ow sanddealerexpos.

32. Th eabilityof th eg im balcam era to releasablyconnectto th eUA V

and/orto th eSteadyG rip isan im portantfeatureforYuneec. I tisa featureth at

Yuneec h ig h lig h tsin itsadv ertising m aterial. SeeF ig ure17 . Yuneec expressly

adv ertisesth at“[t]h eSteadyG rip h andh elddev iceensuresg roundsh otsareas

sm ooth asth osetaken from th eair.”


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F ig ure17.

33. A tth eC onsum erElectronicsSh ow (“C ES”) in LasVeg as, N ev ada in

January2016 ,Yuneec dem onstratedth eTyph oon H , a six-rotorUA V w ith a built-

in collision av oidancesystem . SeeF ig ure18 .

F ig ure18.

34. O n inform ation andbelief,th eTyph oon H isequippedw ith a g im bal

cam era capableof being attach edeith erto th eUA V orto a h andh elddev icelike

th eSteadyG rip.


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35. O n inform ation andbelief,Yuneec plansto m arketth eTyph oon H as

a com petitorto DJI’sI nspire1UA V. Upon inform ation andbelief,th eTyph oon H

w illretailforunder$2,000.

36 . I n a January2016 articlefrom PRN ew sw ire,Yuneec I nternational

C EO Tian Yu h asem ph asizedth eim portanceof pricecom petition,stating th at

“[w ]e’v eeng ineeredth eTyph oon H to redefinew h atcustom erssh ouldexpectto

payfora dronew ith such an arrayof professionalfeatures. A tth ispricepoint, no

oth erdronecom escloseto th eTyph oon H in term scapabilityandv alue.”

Th eC om m ercia lUA V M a rket

37 . Th ecom m ercialUA V industryisyoung andfast-g row ing . A ccording

to onem arketreport,“th etotalC om m ercialUA V M arketw asv aluedat$15.22

M illion in 2014, andisexpectedto reach $1.27 B illion by2020, atan estim ated

C A G R(C om poundA nnualG row th Rate) of 109 .31% betw een 2014and2020.”

38 . C ustom ersin th eUA V m arketinclude, forexam ple, ph otog raph ers,

cinem atog raph ers, h obbyists, g eolog icalsurv eyors, firstresponders,energ y

equipm entinspectors, andtech nolog yenth usiasts. Popularsalesch annelsinclude

directconsum ersales, consum erelectronicsretail, andonlineretailsales.

39 . A ccording to an A pril2015Econom istarticle, DJI isoneof th e

leading playersand“a pioneerin th enascentm arket.”Th eW allStreetJournal

callsDJI th ecom panyth at“kickstartedth eg lobalcraze”forUA Vs. C K G SB


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K now ledg enotedin late2015th at“DJI w asth efirstdronem akerto puttog eth era

turnkeypackag eth atdoesn’trequireanyspecialknow ledg eto use.”

40. DJI seniorproductm ana g erandinv entor, PaulPan,toldF orbes

M ag azine:“Itjustcom esdow n to innov ation andbeing ableto createsom eth ing

th atisnotav ailableorw h ata com petitordoesn’th av e.”

41. A n industryanalystfrom th eresearch andadv isoryfirm “Drone

A nalyst”com m entedin lateJanuary2016 th atth e“onlyoth erv endorcapableof

com peting w ith [DJI ]basedon featureandpriceisYuneec.”

C om petition B etw een DJI a ndYuneec

42. DJI andYuneec aredirectcom petitorsin th eUA V m arket. Since

Yuneec v enturedinto th ecom m ercialUA V m arketin 2014,sourcesw ith in th e

industry,including a w riterforEng adg et, h av elabeledYuneec “a directriv alto

DJI .” Seeh ttp://w w w .eng adg et.com /2015/08 /16 /yuneec-4k-typh oon-drone/ (last

v isitedM ar.31,2016 ).

43. W h en Yuneec dem onstrateditsTyph oon H productatC ES in Las

Veg as, N ev ada in January2016 , a w riterforth eVerg ecalledth eTyph oon H “th e

big g estch alleng eyetto DJI’ssuprem acy.” A n articlefrom C inem a5D labeledth e

Typh oon H “a seriouscontenderto DJI’sProsum erlineup.” O neph otog raph y

focusedw ebsitew entso farasto callYuneec’sTyph oon H a “D JI K iller.”

44. DJI andYuneec productsareoften displayedandadv ertisedalong side

each oth er, com peting forlim itedconsum erexposureandattention. SeeF ig ure19 .


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F ig ure19.

Th ePa tents-in-Suit

45. Th ePatents-in-Suitg o to th eh eartof DJI’sbusiness,representkey

ach iev em entsin DJI’scontinuousresearch anddev elopm entefforts, andh elp driv e

consum erdem andforDJI’sproducts.

46 . O n O ctober20,2015,th eUnitedStatesPatentandTradem arkO ffice

dulyandleg allyissuedU.S. PatentN o. 9 ,16 4,506 (“th e’506 patent”),entitled

“System sandM eth odsforTarg etTracking ,”to B o Zang . DJI SZ isth eow nerof

th e’506 patent. DJI B V isth eexclusiv elicenseeof th e’506 patent. A trueand

correctcopyof th e’506 patentisattach edh ereto asExh ibit1.

47 . O n M arch 8 ,2016 ,th eUnitedStatesPatentandTradem arkO ffice

dulyandleg allyissuedU.S. PatentN o. 9 ,28 0,038 (“th e’038 patent”),entitled


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“I nterch ang eableM ounting Platform ,”to PaulPan,Xifeng Zh ao, andTao Zh ao.

DJI SZ isth eow nerof th e’038 patent. DJI B V isth eexclusiv elicenseeof th e

’038 patent. A trueandcorrectcopyof th e’038 patentisattach edh ereto as

Exh ibit2.

48 . O n inform ation andbelief,Yuneec eith erh adactualknow ledg eof th e

Patents-in-Suitand/orth eirrespectiv eapplicationspriorto th isaction, orw illfully

blindeditself to th eexistenceof th ePatents-in-Suit. I n anyev ent,Yuneec h ad

actualknow ledg eof th ePatents-in-Suitno laterth an th efiling of th eorig inal

C om plaintin th isaction.

49 . O n inform ation andbelief,Yuneec m onitorsDJI’spatentportfolio by,

forexam ple, m onitoring anypressreleases, articles, andw ebsitesreg arding DJI’s

patentportfolio. O n inform ation andbelief,Yuneec cam eacrossan articleentitled

“N ew Tradem arksanda PatentSug g estth atDJI h asB ig Plansforth ePh antom 4,”

datedF ebruary14,2016 . Seeh ttp://m yfirstdrone.com /new s/g round-breaking -

ph antom -4-features-rev ealed-dji-patent/ (lastv isitedM ar.31,2016 ). Th isarticle

discussesDJI ’sU.S. PatentA pplication Publication N o.2016 /0031559 , w h ich isa

continuation of th e’506 patent.

50. O n inform ation andbelief,Yuneec w illfullyblindeditself to th e

Patents-in-Suitto th eextentitlackedaffirm ativeknow ledg eof th ePatents-in-Suit

priorto th earticleidentifiedin th epreceding parag raph and/orfailedto inv estig ate

DJI ,th ecom panyth at“kickstartedth eg lobalcraze”forUA Vs.


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51. O n inform ation andbelief,Yuneec h as, on atleastoneoccasion,

alteredth edesig n of itsproductsto av oidth einfring em entof DJI’spatents. F or

exam ple, DJI’sU.S. PatentN o. 9 ,016 ,617 , filedN ov em ber27 ,2013,disclosesa

m a g netom eterpositionedon th elanding standof a UA V. O n inform ation and

belief, asof atleastJanuary23,2015,th eUA V soldaspartof th eYuneec Q 500

producth ada m a g netom eterpositionedon itslanding stand. See

h ttps://w w w .youtube.com /w atch ?v =PxlLw Vg jVnk(lastv isitedM ar.31,2016 ).

O n inform ation andbelief, a fterth e’6 17 patentw aspublish ed,Yuneec m ov edth e

m ag netom eteraw ayfrom th elanding standof th eQ 500productsoldin th eUnited

States.

52. O n inform ation andbelief,Yuneec h asknow n aboutth ePatents-in-

Suitand/orth eirrespectiv eclaim ssincebeforeth efiling of th islaw suit. Despite

h av ing fullknow ledg eof th eseclaim s,Yuneec continuesitsinfring ing conductto

th isday.

F I RST C A USE O F A C TI O N

(I nfring em entof U.S. Pa tentN o. 9 ,164,506)

53. DJI repeatsandrealleg esth ealleg ationsof parag raph s1th roug h 52in

th eirentirety.

54. Yuneec h asinfring ed,eith erliterallyand/orunderth edoctrineof

equiv alents, oneorm oreclaim sof th e’506 patentandcontinuesto infring ein th is

District, bym aking , using ,selling , offering forsale, and/orim porting into th e


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UnitedStatesproductsincluding , butnotlim itedto,th eYuneec Typh oon G

productpackag e,th eYuneec Typh oon Q 500productpackag e,th eYuneec

Typh oon Q 5004K productpacka g e, andth eYuneec Typh oon H productpackag e,

w ith outth eperm ission of DJI . Yuneec isth usliablefordirectinfring em entof th e

’506 patentpursuantto 35U.S.C . § 27 1(a ). A representativ eclaim ch artdetailing

Yuneec’sinfring em entof atleastclaim s1and6 of th e’506 patentisattach edas

Exh ibit3.

55. O n inform ation andbelief,Yuneec h adknow ledg eof th e’506 patent

priorto,oratleastasof,th efiling of th isCom plaintandh adknow ledg eth atth e

productsandsystem sidentifiedh erein infring e,eith erliterallyand/orunderth e

doctrineof equiv alents,oneorm oreclaim sof th e’506 patent. Yuneec h as

inducedandencourag edth edirectinfring em entof th e’506 patentbyYuneec’s

custom ers,resellers,retailers, andendusersbyintentionallydirecting th em and

encourag ing th em to m ake, use,sell, and/orofferto sellw ith in th eUnitedStates

and/orto im portinto th eUnitedStatesoneorm oredev icesth atem bodyth e

patentedinv ention andth atincorporateth eaccusedproductsandsystem s

identifiedabov e. O n inform ation andbelief,Yuneec prov idesuserg uides, v ideo

tutorials, andcustom ersupportto instructitscustom erson h ow to useth e

infring ing tech nolog y. Yuneec isth ereforeliableforindirectinfring em entof th e

’506 patentpursuantto 35U.S.C . § 27 1(b).


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56 . O n inform ation andbelief,Yuneec h adknow ledg eof th e’506 patent


productsandsystem sidentifiedinfring e,eith erliterallyand/orunderth edoctrine

of equiv alents,oneorm oreclaim sof th e’506 patent. Yuneec h asandcontinuesto

contributorilyinfring e, andw illcontinueto contributorilyinfring e,eith erliterally

and/orunderth edoctrineof equiv alents, oneorm oreclaim sof th e’506 patent.

Yuneec h ascontributorilyinfring edth e’506 patentbyoffering to sell,selling ,

and/orim porting into th eUnitedStatesa com ponentconstituting a m aterialpartof

th einv ention disclosedin th e’506 patent,know ing th esam eto bem adeoradapted

speciallyforusein th einfring em entof th e’506 patent, andnota staplearticleor

com m odityof com m ercesuitableforsubstantialnoninfring ing use. Yuneec is

th ereforeliableforindirectinfring em entof th e’506 patentpursuantto 35U.S.C . §

271(c).

57 . Unlessenjoinedbyth isCourt,Yuneec w illcontinueto infring eth e

’506 patent, andDJI w illcontinueto sufferirreparableh arm forw h ich th ereisno

adequaterem edyatlaw . A ccording ly, DJI isentitledto prelim inaryand

perm anentinjunctiv erelief ag ainstsuch infring em entpursuantto 35U.S.C . § 28 3.

58 . A sa resultof Yuneec’sinfring em entof th e’506 patent,DJI h asbeen

andcontinuesto beirreparablyinjuredin itsbusinessandpropertyrig h ts, andis

entitledto recov erdam a g esforsuch injuriespursuantto 35U.S.C . § 284in an

am ountto bedeterm inedattrial.


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SEC O N D C A USE O F A C TI O N

(I nfring em entof U.S. Pa tentN o. 9 ,280,038)

59 . DJI repeatsandrealleg esth ealleg ationsof parag raph s1th roug h 58 in

th eirentirety.

6 0. Yuneec h asinfring ed,eith erliterallyand/orunderth edoctrineof

equiv alents, oneorm oreclaim sof th e’038 patentandcontinuesto infring ein th is

District, bym aking , using ,selling , offering forsale, and/orim porting into th e

UnitedStatesproductsincluding , butnotlim itedto,th eYuneec Typh oon G

productpackag e,th eYuneec Typh oon Q 500productpackag e,th eYuneec

Typh oon Q 5004K productpacka g e,th eYuneec Typh oon H productpackag e, and

th eTyph oon A ctionC am , w ith outth eperm ission of DJI . Yuneec isth usliablefor

directinfring em entof th e’038 patentpursuantto 35U.S.C . § 27 1(a ). A

representativeclaim ch artdetailing Yuneec’sinfring em entof atleastclaim s1,4,

and12of th e’038 patentisattach edasExh ibit4.

6 1. O n inform ation andbelief,Yuneec h adknow ledg eof th e’038 patent



of equiv alents,oneorm oreclaim sof th e’038 patent. Yuneec h asinducedand

encourag edth edirectinfring em entof th e’038 patentbyYuneec’scustom ers,

resellers,retailers, andendusersbyintentionallydirecting th em andencourag ing

th em to m ake, use,sell, and/orofferto sellw ith in th eUnitedStatesand/orto


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im portinto th eUnitedStatesoneorm oredev icesth atem bodyth epatented

inv ention andth atincorporateth eaccusedproductsandsystem sidentifiedabov e.

O n inform ation andbelief,Yuneec prov idesuserg uides, v ideo tutorials, and

custom ersupportto instructitscustom erson h ow to useth einfring ing tech nolog y.

Yuneec isth ereforeliableforindirectinfring em entof th e’038 patentpursuantto

35U.S.C . § 271(b).

6 2. O n inform ation andbelief,Yuneec h adknow ledg eof th e’038 patent



of equiv alents,oneorm oreclaim sof th e’038 patent. Yuneec h asandcontinuesto

contributorilyinfring e, andw illcontinueto contributorilyinfring e,eith erliterally

and/orunderth edoctrineof equiv alents, oneorm oreclaim sof th e’038 patent.

Yuneec h ascontributorilyinfring edth e’038 patentbyoffering to sell,selling ,

and/orim porting into th eUnitedStatesa com ponentconstituting a m aterialpartof

th einv ention disclosedin th e’038 patent,know ing th esam eto bem adeoradapted

speciallyforusein th einfring em entof th e’038 patent, andnota staplearticleor

com m odityof com m ercesuitableforsubstantialnoninfring ing use. Yuneec is

th ereforeliableforindirectinfring em entof th e’038 patentpursuantto 35U.S.C . §

271(c).

6 3. Unlessenjoinedbyth isCourt,Yuneec w illcontinueto infring eth e

’038 patentandDJI w illcontinueto sufferirreparableh arm forw h ich th ereisno


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adequaterem edyatlaw . A ccording ly, DJI isentitledto prelim inaryand

perm anentinjunctiv erelief ag ainstsuch infring em entpursuantto 35U.S.C . § 28 3.

6 4. A sa resultof Yuneec’sinfring em entof th e’038 patent,DJI h asbeen

andcontinuesto beirreparablyinjuredin itsbusinessandpropertyrig h ts, andis

entitledto recov erdam a g esforsuch injuriespursuantto 35U.S.C . § 284in an

am ountto bedeterm inedattrial.

PRA YERF O RREL I EF

W H EREF O RE, Plaintiffsrequestentryof judg m entin th eirfav orand

a g ainstDefendantsasfollow s:

a. Th atDefendantsareliableforinfring em ent, contributing to th e

infring em ent, and/orinducing th einfring em entof oneorm oreclaim sof th e

Patents-in-Suit, asalleg edh erein;

b. Th atDefendantsandth eirparents,subsidiaries, a ffiliates,successors,

predecessors, assig ns, andth eofficers,directors, ag ents,serv ants, andem ployees

of each of th eforeg oing , custom ersand/orlicenseesandth osepersonsacting in

concertorparticipation w ith anyof th em , areenjoinedandrestrainedfrom

continuedinfring em ent, including butnotlim itedto using , m aking , im porting ,

offering forsaleand/orselling productsth atinfring e, andfrom contributorily

and/orinducing th einfring em entof th ePatents-in-Suitpriorto th eirexpiration,

including anyextensions;


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c. A n O rderdirecting Defendantsto filew ith th isCourtandserveupon

Plaintiffs’counselw ith in 30daysafterth eentryof th eO rderof I njunction a report

setting forth th em annerandform in w h ich Defendantsh av ecom pliedw ith th e

injunction;

d. A n a w ardof dam a g esadequateto com pensatePlaintiffsforth e

infring em entth ath asoccurred, in accordancew ith 35U.S.C . § 28 4, in lostprofits,

priceerosion and/orreasonableroyalty, including prejudg m entandpost-judg m ent

interestatth eh ig h estratesallow edbylaw ;

e. A n accounting and/orsupplem entaldam a g esforalldam a g es

occurring a fteranydiscov erycutoff andth roug h th eCourt’sdecision reg arding th e

im position of a perm anentinjunction;

f. A n a w ardof attorneys’feesbasedon th isbeing an exceptionalcase

pursuantto 35U.S.C . § 28 5, including prejudg m entintereston such fees;

g . C ostsandexpensesin th isaction;

h . Such oth erandfurth errelief, in la w andin equity, asth isCourtm ay

deem justandappropriate.

D ated: A pril1,2016 W I LSO N SO N SI N I G O O DRI C H & RO SA TIProfessionalC orporation

B y: /s/ JamesC .YoonJam esC .Yoon

A ttorneysforPlaintiffsDJI SZ Tech nolog yC o., Ltd. andDJI EuropeB .V.


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DEM A N D F O RJURYTRI A L

Pursuantto Rule38 (b) of th eF ederalRulesof C iv ilProcedure, plaintiffsDJI

SZ Tech nolog yC o., Ltd. andDJI EuropeB .V.dem anda trialbyjuryof th is

action.

D ated: A pril1,2016 W I LSO N SO N SI N I G O O DRI C H & RO SA TIProfessionalC orporation

B y: /s/ JamesC .YoonJam esC .Yoon

A ttorneysforPlaintiffsDJI SZ Tech nolog yC o., Ltd. andDJI EuropeB .V.


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TA B L E O F EXH I B I TS

Exh ibit Pa g e(s)1 33-802 8 1-1353 136 -1484 149 -163


dji complaint -final

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