Litigation

EXPRESS MOBILE, INC. v. SAP SE

Dismissed

1:18-cv-00104

Filed
2018-01-22

Patents at issue (1)

Plaintiffs (1)

Defendants (1)

Summary

Express Mobile, Inc. filed a patent infringement suit against SAP SE in the Delaware District Court. The case was ultimately dismissed.

Case overview & background

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

Case Overview and Background

This litigation involved a patent infringement claim brought by Express Mobile, Inc., a patent assertion entity, against SAP SE, a major German multinational enterprise software company. Express Mobile, which was founded in 2006 by inventor Steven H. Rempell, has engaged in a broad litigation campaign asserting its patents against numerous major technology and e-commerce companies. The lawsuit alleged that SAP's products, particularly those related to its SAP Fiori user experience platform, which provides a consistent interface across devices for business applications, infringed on Express Mobile's intellectual property. SAP is a global leader in enterprise application software, providing a wide range of solutions for managing business operations and customer relations. This specific case, filed in the U.S. District Court for the District of Delaware, was one of many similar suits filed by Express Mobile across various U.S. districts.

The patent at issue was U.S. Patent No. 6,546,397, titled "Browser based web site generation tool and run time engine." The '397 patent generally relates to the technology for creating and generating websites in a "What You See Is What You Get" (WYSIWYG) manner, where content is authored to appear optimized across different devices. This technology is foundational to many modern website and mobile application development platforms. The case was filed in the District of Delaware, a venue historically favored for patent litigation due to its experienced judiciary and case law favorable to patent holders, though its popularity has fluctuated with changes in venue rules. Express Mobile has filed numerous lawsuits in this district.

The case is notable as part of a larger, aggressive patent assertion campaign by Express Mobile against a significant portion of the technology industry, with over 95 defendants targeted since 2015. This campaign has seen mixed results, including a recent major setback against Meta and Shopify, but also a significant $170 million jury verdict against GoDaddy involving the '397 patent and a related one. The litigation is also connected to numerous inter partes review (IPR) proceedings at the Patent Trial and Appeal Board (PTAB), where defendants, including tech giants like Google and Meta, have challenged the validity of Express Mobile's patents. The sheer number of high-profile companies sued by Express Mobile underscores the perceived value and breadth of its patent portfolio, making the outcomes of these cases, including the dismissed action against SAP, significant for the web development and enterprise software industries.

Key legal developments & outcome

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

Key Legal Developments and Outcome

The patent infringement litigation between Express Mobile, Inc. and SAP SE in the District of Delaware was short-lived, concluding with a voluntary dismissal before any substantive pre-trial rulings, claim construction, or trial occurred. The case was stayed early on, pending the outcome of inter partes review (IPR) proceedings at the Patent Trial and Appeal Board (PTAB) that challenged the validity of the asserted patent.

Chronology of Key Events:

  • 2018-01-22: Complaint Filed. Express Mobile, Inc. filed a patent infringement complaint against SAP SE, alleging that SAP's Fiori user experience platform and related products infringed U.S. Patent No. 6,546,397. The complaint was one of many similar suits filed by Express Mobile against various technology companies.

  • 2018-04-13: SAP's Answer and Counterclaims. SAP filed its Answer, denying infringement and asserting counterclaims for non-infringement and invalidity of the '397 patent (D.I. 8).

  • 2018-08-10: Joint Motion to Stay. The parties jointly moved to stay the case pending the outcome of multiple IPR proceedings that had been instituted by the PTAB challenging the validity of the claims of the '397 patent (D.I. 17). These IPRs were filed by other defendants in Express Mobile's broader litigation campaign, including Salesforce and Shopify.

  • 2018-08-14: Case Stayed. The court granted the joint motion, staying the case and ordering the parties to provide joint status reports every 180 days (D.I. 18). This action effectively paused all district court activity, including discovery and claim construction, pending the PTAB's decisions on the patent's validity.

  • 2019-10-09: PTAB Finds '397 Patent Claims Unpatentable. In a key development for the litigation, the PTAB issued a Final Written Decision in an IPR filed by Salesforce (IPR2018-00869), finding all challenged claims of the '397 patent unpatentable as obvious. This decision was a significant blow to Express Mobile's assertion campaign, as it invalidated the patent being asserted against SAP and numerous other defendants.

  • 2020-10-06: Federal Circuit Affirms PTAB Decision. Express Mobile appealed the PTAB's decision to the U.S. Court of Appeals for the Federal Circuit. In a Rule 36 summary affirmance, the Federal Circuit upheld the PTAB's finding of unpatentability. This affirmance effectively finalized the invalidation of the '397 patent.

  • 2020-11-20: Stipulation of Dismissal. Following the Federal Circuit's affirmance, the parties filed a joint stipulation to dismiss the case. The dismissal was with prejudice as to Express Mobile's claims against SAP but without prejudice as to SAP's counterclaims for invalidity (which were rendered moot by the IPR outcome). Each party agreed to bear its own attorneys' fees and costs.

  • 2020-11-23: Case Dismissed. The court entered an order dismissing the case as stipulated by the parties (D.I. 25).

Parallel PTAB Proceedings

The district court litigation was entirely dictated by parallel proceedings at the PTAB. While SAP did not file its own IPR against the '397 patent, it benefited from petitions filed by other defendants. The most significant of these was IPR2018-00869, filed by Salesforce.com, Inc.

  • IPR2018-00869: Salesforce challenged claims 1–25 of the '397 patent. The PTAB instituted the review and, in its Final Written Decision on October 9, 2019, found all challenged claims unpatentable.
  • Federal Circuit Appeal (20-1175): Express Mobile's appeal of this decision was unsuccessful. The Federal Circuit's summary affirmance on October 6, 2020, sealed the fate of the patent and, consequently, the district court case against SAP.

The stay pending the IPR and the subsequent invalidation of the patent were the determinative events in this case. This strategy allowed SAP to avoid the significant costs of discovery and a full trial, ultimately leading to the dismissal of the suit once the patent was invalidated through the administrative process at the USPTO.

Plaintiff representatives

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

Counsel for Plaintiff Express Mobile, Inc.

Express Mobile was represented by attorneys from the Delaware-based intellectual property firm Stamoulis & Weinblatt LLC, who served as local counsel, and the Texas-based firm Capshaw DeRieux, LLP, who served as of counsel. This counsel structure is common in patent cases filed in Delaware, combining local expertise with a firm leading the broader litigation strategy.

Name & Role Firm & Office Location Notable Experience
Stamatios Stamoulis
Local Counsel
Stamoulis & Weinblatt LLC
Wilmington, DE
Co-founder of a prominent Delaware patent litigation firm that frequently represents patent holders in district court.
Richard C. Weinblatt
Local Counsel
Stamoulis & Weinblatt LLC
Wilmington, DE
Co-founder of Stamoulis & Weinblatt with extensive experience in patent litigation and appeals before the Federal Circuit.
S. Calvin Capshaw
Of Counsel
Capshaw DeRieux, LLP
Gladewater, TX
Veteran Texas-based patent litigator with decades of experience, primarily in the Eastern District of Texas.
Elizabeth L. DeRieux
Of Counsel
Capshaw DeRieux, LLP
Gladewater, TX
Partner at Capshaw DeRieux with a broad federal practice including intellectual property and commercial litigation.

Defendant representatives

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

Counsel for Defendant SAP SE

SAP SE was represented by attorneys from the international law firm Freshfields Bruckhaus Deringer US LLP and the Delaware firm Potter Anderson & Corroon LLP, which served as local counsel. This combination provided SAP with both subject-matter expertise in patent litigation and specialized knowledge of practice in the District of Delaware.

Name & Role Firm & Office Location Notable Experience
Douglas H. Ely
Lead Counsel
Freshfields Bruckhaus Deringer US LLP
New York, NY
Represents leading technology companies in high-stakes patent litigation across various federal courts and the International Trade Commission (ITC).
Jonathan R. DeFosse
Of Counsel
Freshfields Bruckhaus Deringer US LLP
New York, NY
Focuses on patent and technology litigation, with experience in disputes involving software, telecommunications, and other complex technologies.
Philip A. Rovner
Local Counsel
Potter Anderson & Corroon LLP
Wilmington, DE
A partner at one of Delaware's oldest and most respected firms, he has extensive experience as Delaware counsel in complex patent litigation.
Jonathan A. Choa
Local Counsel
Potter Anderson & Corroon LLP
Wilmington,DE
An associate at Potter Anderson & Corroon, he focuses his practice on intellectual property litigation in the District of Delaware.

The legal team representing SAP appeared on the Answer and Counterclaims (D.I. 8) filed on April 13, 2018. Their strategy of seeking an early stay pending the outcome of parallel PTAB proceedings proved highly effective, leading to the case's dismissal without costly discovery or trial proceedings.