Litigation

Emerging Automotive LLC v. Toyota Motor Corp. et al.

Active

2:25-cv-00782

Filed
2025-08-12

Patents at issue (1)

Summary

This lawsuit alleges that certain Toyota and Lexus models with remote connect technology infringe on U.S. Patent No. 12,337,715 and others by utilizing user profiles and electronic key systems. In January 2026, Toyota filed a motion to stay the proceedings pending the outcome of validity challenges at the USPTO.

Case overview & background

Plain-language overview of the case: parties, accused product, patents at issue, and why the suit matters.

Emerging Automotive LLC, identified as a patent owner (PO) or Non-Practicing Entity (NPE), has initiated patent infringement litigation against leading automotive manufacturer Toyota Motor Corp. and its subsidiaries, including Toyota Motor North America, Inc., Toyota Motor Sales, U.S.A., Inc., and Toyota Connected North America, Inc.. The plaintiff's business model appears to focus on the assertion of intellectual property, as indicated by Unified Patents running prior art contests against its patents. Toyota, a global automotive giant, is accused of infringing with its remote connect technology, user profiles, and electronic key systems implemented in various Toyota and Lexus models.

The lawsuit, filed in the U.S. District Court for the Eastern District of Texas (Marshall Division, Case No. 2:25-cv-00782-JRG), asserts infringement of three U.S. Patents:

  • U.S. Patent No. 11,104,245, which generally relates to systems and methods for vehicle display data integration with mobile device data.
  • U.S. Patent No. 12,337,715, broadly covering methods and systems for sharing electronic keys (e-keys) to access vehicles, including receiving, validating, and generating e-keys associated with conditions of use.
  • U.S. Patent No. 12,337,716, concerning methods and systems for transferring user profiles between vehicles, often utilizing cloud services. The '716 patent is asserted specifically against Toyota.

This case is currently active and presided over by District Judge Rodney Gilstrap, a judge in a venue widely recognized for its patentee-friendly reputation. The procedural posture is noteworthy due to a motion filed by Toyota in January 2026 to stay the proceedings, pending the outcome of validity challenges at the U.S. Patent and Trademark Office (USPTO). Specifically, Toyota has initiated IPR2026-00059 against the '245 patent, PGR2026-00008 against the '715 patent, and IPR2026-00070 against the '716 patent. This litigation is also notable as Emerging Automotive LLC filed this "EA2" suit against Toyota just eight weeks after agreeing to stay a related predecessor case ("EA1," 2:23-cv-00437) against Kia, which involved similar patents and claims. The IPR linkage and the plaintiff's apparent NPE status make this a closely watched case within the automotive and intellectual property sectors.

Key legal developments & outcome

Major rulings, motions, claim construction, settlements, and the present posture or final disposition.

Here's a summary of the key legal developments and outcomes in Emerging Automotive LLC v. Toyota Motor Corp. et al., Case No. 2:25-cv-00782, in the U.S. District Court for the Eastern District of Texas, as of May 15, 2026:

Key Legal Developments and Outcome:

1. Filing & Initial Pleadings:

  • Complaint Filed: Emerging Automotive LLC ("EA") filed this patent infringement lawsuit (referred to as "EA2" in related proceedings) on August 12, 2025, against Toyota Motor Corp., Toyota Motor North America, Inc., Toyota Motor Sales, U.S.A., Inc., and Toyota Connected North America, Inc.. The complaint alleges infringement of U.S. Patent No. 12,337,715, among others, by certain Toyota and Lexus models with remote connect technology. Toyota Motor North America, Inc., Toyota Motor Sales, U.S.A., Inc., and Toyota Connected North America, Inc. also filed counterclaims.

2. Pre-trial Motions of Substance:

  • Motion to Stay Pending IPR: On January 2, 2026, Toyota filed a motion to stay the proceedings pending the final disposition of asserted claims challenged in proceedings before the U.S. Patent and Trademark Office (USPTO). This motion highlights that EA2 is "essentially the same" as a predecessor litigation (EA1, Case No. 2:23-cv-00437-JRG), in which EA had previously agreed to a stay pending IPR/EPR challenges. Toyota argued that a stay would promote judicial economy by allowing the USPTO to address validity challenges, which could simplify the case, and that EA would not be unduly prejudiced. The district court had not yet ruled on Toyota's motion to stay as of January 2026, though a proposed order granting the motion was part of Toyota's filing.
  • Case Consolidation/Coordination: On October 28, 2025, District Judge Rodney Gilstrap instructed all parties to file any future filings in the lead case (2:25-cv-00782), with individual cases remaining active for trial.

3. Claim Construction (Markman) Outcomes:

  • As of early 2026, a Markman hearing in this specific case (2:25-cv-00782) was not yet scheduled until January 19, 2027. The court has not yet construed the claim terms for the patents asserted in this case, including U.S. Patent No. 12,337,715. A prior Markman order in a related case (EA1) construed terms for a different patent, U.S. Patent No. 9,171,268.

4. Discovery Milestones:

  • A discovery order (Dkt. 40, not directly provided but referenced in Toyota's motion to stay) proposed a cross-use provision allowing discovery from the EA1 case to be used in EA2, indicating an acknowledgment of overlap between the cases.

5. Trial Events, Verdict, and Post-trial Motions:

  • The case is still active and has not reached trial. Jury selection is currently set for July 12, 2027.

6. Settlement, Dismissal, Judgment, or Appeal:

  • The case is active and ongoing. No final disposition has been reached.

7. Parallel PTAB IPR/PGR Proceedings:

  • PGR2026-00008 (U.S. Patent No. 12,337,715): Toyota filed a Post-Grant Review (PGR) petition against U.S. Patent No. 12,337,715. This proceeding is ongoing and was a basis for Toyota's motion to stay the district court litigation.
  • IPR2026-00059 (U.S. Patent No. 11,104,245): An Inter Partes Review (IPR) petition has been filed against U.S. Patent No. 11,104,245, another patent asserted in the EA2 litigation.
  • IPR2026-00070 (U.S. Patent No. 12,337,716): An IPR petition was filed by Toyota Motor Corp. against U.S. Patent No. 12,337,716, also asserted in the EA2 litigation, ten weeks after EA filed suit. The Patent Trial and Appeal Board (PTAB) is expected to issue a Final Written Decision by April 21, 2027, which is months before the scheduled district court trial.
  • Effect on Litigation: The ongoing IPR/PGR proceedings are central to Toyota's argument for staying the district court case. The resolution of these PTAB challenges, particularly if claims are found unpatentable, could simplify or even conclude the district court litigation, thereby conserving judicial and party resources. The PTAB has a lower evidentiary standard than federal courts and can invalidate patents within 18 months.

Plaintiff representatives

Counsel of record for the plaintiff(s): attorneys, firms, and roles (lead counsel, of counsel, local counsel).

Here is the counsel of record representing Emerging Automotive LLC in Emerging Automotive LLC v. Toyota Motor Corp. et al.:

  • Marc Belloli

    • Role: Partner, Lead Counsel
    • Firm: Bunsow De Mory LLP, Redwood City, CA
    • Experience: Mr. Belloli is a trial lawyer focusing on patent litigation and patent monetization. He has served as lead trial counsel in multiple patent infringement cases, securing favorable settlements and notable jury verdicts, including a $172.5 million verdict for Wapp Technologies against Micro Focus. He has handled all aspects of patent infringement litigation, including trials and appeals to the Federal Circuit.
  • Elizabeth Day

    • Role: Partner, Counsel
    • Firm: Bunsow De Mory LLP, Redwood City, CA
    • Experience: Ms. Day is a partner at Bunsow De Mory LLP, a firm recognized for its intellectual property litigation practice. She joined Bunsow De Mory as a partner in May 2023 and has deep patent litigation experience.

Bunsow De Mory LLP is a leading IP litigation and trial boutique firm based in Silicon Valley (Redwood City, CA) with a presence in Northern Virginia, and has seasoned litigators around the country, including in Texas. The Eastern District of Texas does not have a specific local counsel requirement beyond attorneys being admitted to practice in the district or applying pro hac vice. While local counsel is often utilized, the provided docket information primarily points to attorneys from Bunsow De Mory LLP directly representing the plaintiff.

Defendant representatives

Counsel of record for the defendant(s): attorneys, firms, and roles (lead counsel, of counsel, local counsel).

Counsel of record representing the defendants (Toyota Motor Corp., Toyota Motor North America, Inc., Toyota Motor Sales, U.S.A., Inc., and Toyota Connected North America, Inc.) in Emerging Automotive LLC v. Toyota Motor Corp. et al. (2:25-cv-00782) include a combination of national intellectual property firms and in-house counsel.

Here's a breakdown of the identified counsel:

1. Finnegan, Henderson, Farabow, Garrett & Dunner, LLP

  • Role: Lead Counsel (national patent litigation firm)
  • Office Location: Various offices globally, including Washington, D.C.
  • Relevant Experience: Finnegan has a long history of representing Toyota in patent infringement cases, including numerous matters before the ITC and PTAB. For example, Finnegan successfully defended Toyota in an ITC investigation where Intellectual Ventures II LLC accused Toyota of infringing five patents related to electric motors. They also represented Toyota in a case where the plaintiff was sanctioned for missing deadlines in a patent infringement suit over a hybrid vehicle control system and secured summary judgment of non-infringement in a hybrid vehicle technology patent case. Finnegan partner James Barney, a patent litigator, has represented Toyota for over two decades.

2. Paul Hastings LLP

  • Role: Lead Counsel (national patent litigation firm)
  • Office Location: Various offices globally, including Washington, D.C.
  • Relevant Experience: Paul Hastings is a prominent firm in patent litigation, known for its experience in high-stakes cases and representing clients before the ITC and PTAB. The firm has experience in over 200 post-grant review and IPR proceedings and has successfully defended numerous companies in complex patent disputes across various technologies, including automotive systems.

3. In-House Counsel for Toyota Motor North America, Inc.

  • Names:
    • Elizabeth Gibson: Group Vice President and General Counsel for Toyota Motor North America (TMNA). She oversees the company's legal department and is responsible for setting legal direction and strategy, including intellectual property matters.
    • Kelly Chen: Managing Counsel at Toyota Motor North America, Inc. She manages and directs the company's business litigation matters, including patent litigation and class actions, and provides counsel to business units regarding commercial and product issues.
    • Frederick Mau: Intellectual Property Counsel with Toyota Motor North America, Inc. His responsibilities include all patent filing, prosecution, and patent portfolio management for Advanced Research, Vehicle Engineering, and Manufacturing business units within North America. He also handles and advises on patent disputes.
  • Role: In-House Counsel
  • Firm: Toyota Motor North America, Inc. (Plano, Texas, among other locations)
  • Relevant Experience: These individuals are integral to Toyota's overall IP strategy and litigation defense, providing internal expertise and coordinating with external counsel.

4. Local Counsel (Eastern District of Texas)
While specific local counsel appearing for Toyota in this precise case (2:25-cv-00782) were not explicitly named in the immediate search results, it is common practice for large national firms to associate with local counsel in the Eastern District of Texas due to its specific rules and procedures. Firms with strong local ties and patent litigation experience in the Eastern District of Texas include:

  • Potter Minton Law Firm (Tyler, Texas). Potter Minton attorneys have handled hundreds of patent cases and tried many to verdict in the Eastern District of Texas.
  • Siebman Law, LLP (Marshall, Texas, and other Texas locations). Siebman Law attorneys have appeared in over 1,000 Texas federal cases, including patent litigation.

As of October 17, 2025, Jordan Christine Strauss filed a Notice of Attorney Appearance on behalf of all defendants. While her firm affiliation is not specified in that particular docket entry, she would be counsel of record.

Further detailed information on individual attorneys and their specific roles (e.g., lead counsel in this specific case versus a broader firm representation of Toyota) would typically be available through a detailed review of PACER docket entries, including appearances and lead counsel designations.