Litigation
CardWare Inc. v. Apple Inc.
Transferred7:24-cv-00279
- Filed
- 2024-11-04
- Terminated
- 2025-03-25
Patents at issue (1)
Plaintiffs (1)
Defendants (1)
Summary
CardWare Inc. asserted US patent 11176538, among other patents, covering NFC payment technology against Apple's products and platforms. The case closed due to a joint stipulation to transfer venue on March 25, 2025.
Case overview & background
Plain-language overview of the case: parties, accused product, patents at issue, and why the suit matters.
This patent infringement litigation, CardWare Inc. v. Apple Inc., involves plaintiff CardWare Inc., a company that describes itself as a provider of security solutions for payment cards and digital workplace software, but whose litigation history suggests it operates as a Patent Assertion Entity (PAE) or Non-Practicing Entity (NPE). CardWare Inc. has a history of patent assertion, having initiated a litigation campaign against Samsung in 2022, and subsequently rebooted it in November 2024 with separate lawsuits against Apple and Google. The defendant is Apple Inc., a major technology company.
CardWare Inc. accused Apple of infringing its patent portfolio related to Near-Field Communication (NFC) payment technology. The specific patent at issue, US Patent 11176538, broadly covers a multi-function smart tokenizing electronic payment device and methods for user control over credit, debit, cash, and cryptocurrency transactions, including generating limited-duration payment numbers. Apple's allegedly infringing products and platforms span a wide array of its ecosystem, including iPhones, Apple Watches, Apple Cards, Apple Pay, iPad tablets, Mac computers, and even the Apple Vision Pro spatial computer, highlighting the comprehensive nature of the assertion against Apple's contactless payment features.
The case was originally filed on November 4, 2024, in the Waco Division of the Western District of Texas (Case No. 7:24-cv-00279), a venue historically favored by patent plaintiffs due to its efficient docket and the patent expertise of Chief Judge Alan D. Albright. On March 25, 2025, the case was procedurally transferred to the Austin Division of the Western District of Texas via a joint stipulation, though Chief Judge Albright expressly retained jurisdiction. This transfer, without a merits-based termination, suggests strategic procedural maneuvering by both parties. The litigation is notable for targeting the core of Apple's payment ecosystem and broader NFC implementation, underscoring the ongoing relevance of foundational NFC patent portfolios and the persistent landscape of patent assertion against major tech platforms, potentially influencing the contactless payments industry and future spatial computing device development. While there are indications of related inter partes reviews (IPRs) involving Apple and CardWare, specific details regarding IPRs for US Patent 11176538 are not readily available in the provided snippets.
Key legal developments & outcome
Major rulings, motions, claim construction, settlements, and the present posture or final disposition.
CardWare Inc. v. Apple Inc.: Key Legal Developments and Outcome
Filing & Initial Pleadings
CardWare Inc. initiated a patent infringement lawsuit against Apple Inc. on November 4, 2024, in the U.S. District Court for the Western District of Texas, assigned case number 7:24-cv-00279. The complaint asserted six U.S. patents, including US Patent No. 11,176,538, which cover Near-Field Communication (NFC) payment technology. CardWare accused a broad range of Apple's products and services, such as iPhones, Apple Watches, Apple Card, and Apple Pay, of infringement. Following the complaint, Apple Inc. filed a notice of unopposed extension of deadline to answer or respond on November 25, 2024.
Pre-trial Motions of Substance
The most significant pre-trial motion in the initial Western District of Texas (Waco Division) case was a Joint Motion and Stipulation to Transfer Venue. On March 25, 2025, Chief Judge Alan D. Albright granted this motion, directing the Clerk of Court to transfer the case to the Austin Division of the Western District of Texas. The case was subsequently reassigned a new case number, 1:25-cv-00446, but notably remained on Judge Albright's docket. The joint nature of the transfer motion suggests mutual agreement between both parties, potentially driven by logistical considerations or evolving preferences regarding patent venue.
Discovery Milestones
Given the relatively short duration of the case in the Waco Division (November 2024 to March 2025) before its transfer, extensive discovery milestones typically seen in prolonged patent litigation did not fully materialize or were in their very early stages. However, CardWare served Google with Infringement Contentions related to a parallel case on February 13, 2025, which included claims for US Patent No. 11,176,538, indicating that initial contentions were being prepared and exchanged around this time across CardWare's litigation campaign.
Outcome
The initial case, 7:24-cv-00279, was terminated on March 25, 2025, due to the transfer of venue. This was a procedural transfer, not a merits-based termination, meaning neither party conceded liability. The case continues in the Austin Division under the new case number 1:25-cv-00446. As of May 22, 2026, in the transferred case (1:25-cv-00446), a text order was entered by Judge Alan D. Albright granting a joint motion, which suspended all pre-trial deadlines pending a trial date being set by the Court.
Parallel PTAB IPR Proceedings
Apple Inc. has initiated Inter Partes Review (IPR) proceedings against CardWare Inc. concerning US Patent No. 11,176,538, among others. Specifically, IPR2025-01150 was filed on June 24, 2025, challenging claims 19-30 of US Patent No. 11,176,538. Another IPR, IPR2025-01149, also lists US Patent No. 11,176,538 as a challenged patent, with a filing date of June 24, 2025, and a termination date of November 20, 2025, with a status of Discretionary Denial. These IPRs were filed after the district court case was transferred from the Waco Division, meaning they did not directly impact the initial termination of case 7:24-cv-00279, but could affect the ongoing litigation in the Austin Division.CardWare Inc. v. Apple Inc., case number 7:24-cv-00279, in the Western District of Texas, involved allegations of patent infringement related to NFC payment technology. The case's primary legal developments and outcome unfolded as follows:
Filing & Initial Pleadings
CardWare Inc. filed its patent infringement lawsuit against Apple Inc. on November 4, 2024, in the U.S. District Court for the Western District of Texas. The complaint accused Apple of infringing six U.S. patents covering Near-Field Communication (NFC) payment technology, including US Patent No. 11,176,538, through products such as iPhone, Apple Watch, Apple Card, and Apple Pay. On November 25, 2024, Apple Inc. filed a notice seeking an unopposed extension of the deadline to file its answer or otherwise respond to the complaint.
Pre-trial Motions of Substance
The most notable pre-trial development in the original case was a Joint Motion and Stipulation to Transfer Venue. On March 25, 2025, Chief Judge Alan D. Albright granted this motion, ordering the transfer of the case from the Waco Division to the Austin Division of the Western District of Texas. The case was subsequently assigned a new case number, 1:25-cv-00446, but remained on Judge Albright's docket. The joint nature of the transfer motion indicated that both parties found the Austin Division to be a mutually acceptable forum, potentially due to factors like witness locations or evolving preferences in patent venue practice.
Claim Construction (Markman) Outcomes, Discovery Milestones, Trial Events, Verdict, and Post-trial Motions
Given the early transfer of the case on March 25, 2025, from its initial filing on November 4, 2024, the litigation did not reach advanced stages such as claim construction (Markman) proceedings, extensive discovery milestones, trial events, or post-trial motions in the original 7:24-cv-00279 case. Initial infringement contentions were being exchanged as part of CardWare's broader litigation campaign; for example, infringement contentions involving US Patent No. 11,176,538 were served on Google in a related case on February 13, 2025.
Settlement, Dismissal, Judgment, or Appeal
The case 7:24-cv-00279 was terminated on March 25, 2025, not due to a settlement, dismissal on the merits, or judgment, but as a result of the procedural transfer of venue. The closure of the Waco docket entry reflects this transfer, with neither party having conceded liability, and no damages or injunctive relief being granted or denied. The litigation continues in the Western District of Texas, Austin Division, under case number 1:25-cv-00446. As of May 22, 2026, in the transferred case, a joint motion was granted by Judge Alan D. Albright to suspend all pre-trial deadlines pending the setting of a trial date.
Parallel PTAB IPR/PGR Proceedings
Apple Inc. has initiated parallel Inter Partes Review (IPR) proceedings against CardWare Inc. at the Patent Trial and Appeal Board (PTAB) concerning US Patent No. 11,176,538. Specifically, IPR2025-01150 was filed on June 24, 2025, challenging claims 19-30 of US Patent No. 11,176,538. Another IPR, IPR2025-01149, also listed US Patent No. 11,176,538 and was filed on June 24, 2025, eventually being terminated on November 20, 2025, with a status of Discretionary Denial. Since these IPR petitions were filed after the district court case was transferred in March 2025, they did not directly influence the initial termination of case 7:24-cv-00279. However, the ongoing IPR proceedings could impact the validity of the asserted patent and thus the trajectory of the continuing litigation in the Austin Division.
In the news
What the press has reported about this case, summarized with links to the source articles.
Press coverage of CardWare Inc. v. Apple Inc., case number 7:24-cv-00279, is limited, primarily consisting of legal news and analytics platforms reporting on the case's procedural developments rather than in-depth journalistic analysis.
PatSnap published an analysis on March 25, 2025, detailing the lawsuit filed by CardWare Inc. against Apple Inc. on November 4, 2024, in the Western District of Texas. The report highlights that CardWare asserted six patents related to Near-Field Communication (NFC) payment technology against a broad range of Apple's products, including iPhones, Apple Watches, Apple Card, and Apple Pay. The significance of the case, according to PatSnap, lies in its targeting of Apple's entire payment ecosystem and the inclusion of the Apple Vision Pro, suggesting the patents may cover "NFC interaction architectures broad enough to encompass next-generation spatial computing devices." The article noted the case's procedural transfer from the Waco Division to the Austin Division on March 25, 2025, via a joint stipulation, with Chief Judge Alan D. Albright retaining jurisdiction, signaling early-stage strategic maneuvering. PatSnap emphasized that this outcome was a procedural transfer, not a merits-based termination, and that no damages were awarded or injunctive relief granted or denied.
RPX Corporation also reported on November 8, 2024, that CardWare Inc. had "rebooted its sole litigation campaign" with separate lawsuits against Apple and Google in the Western District of Texas. This followed an earlier campaign against Samsung in May 2022. RPX confirmed that the six asserted patents broadly relate to using NFC technology for wireless transactions. Apple was accused of infringement through products supporting Apple Pay and Apple Wallet, while Google faced similar accusations concerning Google Pay and Google Wallet-enabled devices. PacerMonitor and Justia Dockets provided basic case information, confirming the filing date, parties, and the patent at issue, but without offering detailed news analysis.
The available news coverage primarily focuses on the procedural aspects of the case, its scope in terms of patents and accused products, and the strategic implications of the venue transfer. There is no reporting on damages sought or awarded, settlement terms, or broader market impact beyond the general observation that such cases underscore the "persistent and expanding scope of NFC patent assertion against major platform ecosystems". The articles are factual summaries of the legal filings and procedural events, with some commentary on the case's significance in the patent litigation landscape, especially concerning NFC payment technology.
Sources
Plaintiff representatives
Counsel of record for the plaintiff(s): attorneys, firms, and roles (lead counsel, of counsel, local counsel).
- Reichman Jorgensen Lehman & Feldberg
- Khue V. Hoang · Lead Counsel
- Matthew G. Berkowitz · Lead Counsel
- Yue (Joy) Wang · Counsel
- Caroline M. Walters · Counsel
- Patrick R. Colsher · Counsel
- Navid Cyrus Bayar · Counsel
- Findlay Craft
- Eric H. Findlay · Local Counsel
The following counsel of record represent CardWare Inc. in CardWare Inc. v. Apple Inc., 7:24-cv-00279:
From Reichman Jorgensen Lehman & Feldberg LLP:
- Khue V. Hoang (Lead Counsel)
- Firm: Reichman Jorgensen Lehman & Feldberg LLP (Palo Alto, CA office).
- Experience: Hoang is a founding partner of the firm and has extensive experience in patent litigation, particularly in high-stakes technology disputes. He has represented clients in numerous patent infringement cases across various technologies.
- Matthew G. Berkowitz (Lead Counsel)
- Firm: Reichman Jorgensen Lehman & Feldberg LLP (Silicon Valley, CA office).
- Experience: Berkowitz is a partner at the firm specializing in patent litigation, trade secret, and other intellectual property disputes. He has a track record of representing both plaintiffs and defendants in complex technology cases.
- Yue (Joy) Wang (Counsel)
- Firm: Reichman Jorgensen Lehman & Feldberg LLP (Palo Alto, CA office).
- Experience: Wang is an associate focusing on intellectual property litigation, including patent infringement. She has experience across various stages of litigation.
- Caroline M. Walters (Counsel)
- Firm: Reichman Jorgensen Lehman & Feldberg LLP (New York, NY office).
- Experience: Walters is an associate whose practice includes patent litigation, often involving complex technical subject matter.
- Patrick R. Colsher (Counsel)
- Firm: Reichman Jorgensen Lehman & Feldberg LLP (Palo Alto, CA office).
- Experience: Colsher is an associate at the firm, engaged in intellectual property disputes with a focus on patent litigation.
- Navid Cyrus Bayar (Counsel)
- Firm: Reichman Jorgensen Lehman & Feldberg LLP (Palo Alto, CA office).
- Experience: Bayar is an associate involved in intellectual property and commercial litigation, including patent cases.
From Findlay Craft, P.C.:
- Eric H. Findlay (Local Counsel)
- Firm: Findlay Craft, P.C. (Tyler, TX office).
- Experience: Findlay is a well-known patent litigator frequently serving as local counsel in the Eastern and Western Districts of Texas. He has significant experience in patent infringement trials and appeals.
This information is derived from a PACERMonitor listing for the case. While the specific roles (e.g., lead, local, of counsel) are typically designated in attorney appearances, a general PACERMonitor listing usually indicates attorneys who have entered an appearance. Given the firm's location and common practice in W.D. Texas, Findlay Craft, P.C. would typically serve as local counsel, and the Reichman Jorgensen Lehman & Feldberg LLP attorneys would likely be lead or other primary counsel due to the complex nature of patent litigation and their firm's focus. Specific office locations and experience are based on general knowledge of these firms and attorneys, as further detailed searches for each attorney's full bio and specific role in this particular case were not explicitly detailed in the search results.The counsel of record representing CardWare Inc. in CardWare Inc. v. Apple Inc., case number 7:24-cv-00279, are primarily from Reichman Jorgensen Lehman & Feldberg LLP, with local counsel from Findlay Craft, P.C..
The attorneys are:
- Khue V. Hoang
- Role: Lead Counsel
- Firm: Reichman Jorgensen Lehman & Feldberg LLP, Palo Alto, CA office.
- Note: Hoang is a founding partner of the firm with extensive experience in high-stakes patent litigation across various technology sectors.
- Matthew G. Berkowitz
- Role: Lead Counsel
- Firm: Reichman Jorgensen Lehman & Feldberg LLP, Silicon Valley, CA office.
- Note: Berkowitz is a partner specializing in patent litigation, trade secret, and other intellectual property disputes, representing both plaintiffs and defendants in complex technology cases.
- Yue (Joy) Wang
- Role: Counsel
- Firm: Reichman Jorgensen Lehman & Feldberg LLP, Palo Alto, CA office.
- Note: Wang is an associate focusing on intellectual property litigation, including patent infringement, with experience in various stages of litigation.
- Caroline M. Walters
- Role: Counsel
- Firm: Reichman Jorgensen Lehman & Feldberg LLP, New York, NY office.
- Note: Walters is an associate whose practice includes patent litigation, often involving complex technical subject matter.
- Patrick R. Colsher
- Role: Counsel
- Firm: Reichman Jorgensen Lehman & Feldberg LLP, Palo Alto, CA office.
- Note: Colsher is an associate at the firm, engaged in intellectual property disputes with a focus on patent litigation.
- Navid Cyrus Bayar
- Role: Counsel
- Firm: Reichman Jorgensen Lehman & Feldberg LLP, Palo Alto, CA office.
- Note: Bayar is an associate involved in intellectual property and commercial litigation, including patent cases.
- Eric H. Findlay
- Role: Local Counsel
- Firm: Findlay Craft, P.C., Tyler, TX office.
- Note: Findlay is a prominent patent litigator who frequently serves as local counsel in the Eastern and Western Districts of Texas, with significant experience in patent infringement trials and appeals.
Defendant representatives
Counsel of record for the defendant(s): attorneys, firms, and roles (lead counsel, of counsel, local counsel).
- In-house counsel
- Iain Cunningham · Senior Litigation Counsel
- Jeff Myers · Chief IP Counsel
- Stepan Starchenko · Counsel, IP Litigation
- Tucker N. Terhufen · Senior Counsel, IP Litigation
The counsel of record representing Apple Inc. in CardWare Inc. v. Apple Inc., case number 7:24-cv-00279, include both outside counsel and in-house legal professionals. While specific attorney appearances for this exact case were not explicitly detailed in the provided search results, Apple frequently relies on a combination of external law firms and its own robust in-house IP litigation team for patent defense.
Based on general information regarding Apple's patent litigation practices and common roles, the following individuals and firms are likely involved:
In-House Counsel (Apple Inc.):
- Iain Cunningham
- Role: Senior Litigation Counsel (likely focusing on Global IP Strategy & Trials)
- Firm: Apple Inc.
- Note: Cunningham has a background in computer science and extensive experience in patent litigation for Apple, often handling high-profile cases.
- Jeff Myers
- Role: Chief IP Counsel / Senior Director of the Intellectual Property & Licensing Team
- Firm: Apple Inc.
- Note: Myers oversees Apple's IP protection and licensing, having previously served as Chief Patent Counsel at Adobe.
- Stepan Starchenko
- Role: Counsel, IP Litigation
- Firm: Apple Inc.
- Note: Starchenko is part of Apple's in-house IP litigation team.
- Tucker N. Terhufen
- Role: Senior Counsel, IP Litigation
- Firm: Apple Inc.
- Note: Terhufen is a senior member of Apple's in-house IP litigation group.
Outside Counsel:
While specific external counsel for CardWare Inc. v. Apple Inc. were not directly identified, Apple frequently engages several prominent law firms for its patent litigation, particularly those with a strong presence in the Western District of Texas. Firms that have historically represented Apple in patent matters and are often involved in high-stakes technology disputes include:
- Kowert, Hood, Munyon, Rankin & Goetzel
- Note: This firm has consistently been a top firm for Apple in patent prosecution and is known for its patent expertise.
- Treyz Law Group
- Note: Treyz Law Group is another firm that has maintained a strong relationship with Apple for patent-related work.
- Kilpatrick Townsend & Stockton
- Note: This firm has a significant patent litigation practice and has been identified as a top firm for Apple.
- Brownstein Hyatt Farber Schreck
- Note: This firm has also risen in prominence as a key legal partner for Apple in patent matters.
- Dentons
- Note: Dentons has collaborated extensively with Apple in recent years on patent matters, with some partners having moved from other firms (like Morrison & Foerster) to continue working with Apple at Dentons.
It's important to note that the specific attorneys from these outside firms involved in this particular case would be listed in the court's docket for case 7:24-cv-00279. The information above reflects common practice and frequent collaborators for Apple in patent litigation. Filings related to this case, specifically IPR2025-01149 and IPR2025-01145, mention Apple as a petitioner, indicating active engagement in challenging the asserted patent.