Klein Tools, Inc. v. Milwaukee Electric Tool Corporation et al.

This case involves an inter partes review (IPR) before the Patent Trial and Appeal Board (PTAB) concerning a patent on modular tool storage systems. The petitioner, Klein Tools, Inc., is a privately owned American company, founded in 1857, that manufactures a wide array of hand tools and occupational safety equipment, particularly popular with electrical and telecommunications workers. The patent owners are Milwaukee Electric Tool Corporation and Keter Home and Garden Products, Ltd. Milwaukee Tool is an American multinational company, a subsidiary of TTI Group, known for developing and marketing power tools, hand tools, and prominent tool storage systems like PACKOUT™. Keter Group is an Israeli manufacturer specializing in resin-based household and garden consumer products, including tool storage solutions, and appears to be a partner with Milwaukee Tool in the modular storage system technology.

At the core of this dispute is U.S. Patent 11,952,167, which generally describes a coupling mechanism for detachably attaching two or more utility modules to one another, including features like female couplers and toggle locking latches for container assemblies. This patent is relevant to modular tool storage systems. The accused product is Klein Tools' MODbox™ system, which Milwaukee Tool and Keter allege infringes patents related to Milwaukee's well-known PACKOUT™ modular storage system in a parallel district court lawsuit.

The procedural posture for this matter is an Inter Partes Review (IPR2024-01401) before the PTAB, which has reached the "Instituted" status. This means the PTAB found a reasonable likelihood that Klein Tools would prevail in challenging the patentability of at least one of the contested claims. This IPR is likely a strategic move by Klein Tools to invalidate patents asserted against its MODbox™ system in an infringement lawsuit filed by Milwaukee Tool and Keter in the Northern District of Illinois in May 2024. The case is notable as a significant patent showdown between two major tool manufacturers competing in the lucrative modular tool storage market, with the IPR proceedings directly linked to ongoing district court litigation. The outcome could have a substantial impact on competition and innovation within the industry.

This patent infringement litigation involves a series of parallel proceedings, including district court cases, an International Trade Commission (ITC) investigation, and inter partes reviews (IPRs) at the Patent Trial and Appeal Board (PTAB). The primary patent at issue, as specified in the prompt, is U.S. Patent No. 11,952,167.

Here's a chronological overview of the key legal developments:

District Court Litigation - Northern District of Illinois (N.D. Ill.)

• May 23, 2024: Initial Complaint (1:24-cv-04284) Filed. Milwaukee Electric Tool Corporation and Keter Home and Garden Products Ltd. (Plaintiffs) filed a patent infringement lawsuit against Klein Tools, Inc. (Defendant) in the U.S. District Court for the Northern District of Illinois (Case No. 1:24-cv-04284). This complaint asserted infringement of U.S. Patent Nos. 11,365,026, 11,794,952, and 11,952,167, specifically targeting Klein Tools' MODbox™ product line.
• July 22, 2024: Voluntary Dismissal of 1:24-cv-04284. The plaintiffs voluntarily dismissed this case without prejudice under Federal Rule of Civil Procedure 41(a)(1)(A)(i), before Klein Tools filed an answer or moved for summary judgment. No damages or injunctive relief were awarded.
• June 13, 2024: Second Complaint (1:24-cv-04928) Filed. A separate district court action, Milwaukee Electric Tool Corporation v. Klein Tools, Inc., Case No. 1:24-cv-04928, was filed in the U.S. District Court for the Northern District of Illinois.
• August 14, 2024: Stay of 1:24-cv-04928. The district court in Case No. 1:24-cv-04928 granted an unopposed motion to stay the case, pending a resolution of a parallel investigation at the U.S. International Trade Commission (ITC).
• 2025: Third Complaint (1:25-cv-04689) Filed. Milwaukee Electric Tool Corporation filed another lawsuit against Klein Tools, Inc. (Case No. 1:25-cv-04689) in the Northern District of Illinois.
• March 10, 2026: Motion to Dismiss Forthcoming in 1:25-cv-04689. Milwaukee Tool informed the court of its intent to file a motion to dismiss this case without prejudice, citing a lack of constitutional standing at the time the complaint was filed. Klein Tools has indicated its intention to oppose this motion and seek conditions on dismissal and sanctions.

Parallel ITC Investigation

• June 13, 2024: ITC Complaint Filed. Milwaukee Electric Tool Corporation and Keter Home and Garden Products Ltd. filed a complaint with the U.S. International Trade Commission (ITC), alleging violations of Section 337 of the Tariff Act of 1930. The complaint identified U.S. Patent Nos. 11,365,026, 11,794,952, and 11,952,167 as the patents infringed by certain storage containers and toolboxes imported by Klein Tools, Inc.
• July 19, 2024: Institution of ITC Investigation (Dkt. No. 337-TA-1409). The ITC initiated an investigation, designated Dkt. No. 337-TA-1409, based on the complaint.

Parallel PTAB IPR Proceedings

The prompt identifies IPR2024-01401 as pertaining to U.S. Patent No. 11,952,167. While some public records associate IPR2024-01401 with U.S. Patent No. 11,794,952 B2, for the purpose of this summary, the information regarding IPR2024-01401 will be presented as authoritative to the provided patent, 11,952,167, as per the operating rules.

• September 17, 2024: IPR Petition Filed. Klein Tools, Inc. filed a petition for inter partes review (IPR2024-01401) challenging claims of U.S. Patent No. 11,952,167, and a related petition (IPR2024-01400) challenging U.S. Patent No. 11,365,026 B2.
• April 8, 2025: IPR Institution Decision. The Patent Trial and Appeal Board (PTAB) granted institution of IPR2024-01401 on all challenged claims of U.S. Patent No. 11,952,167, finding a reasonable likelihood that Klein Tools, Inc. would prevail with respect to at least one of the challenged claims. A similar institution decision was issued for IPR2024-01400.
• June 9, 2025: Request for Director Review of Institution Decision. The Patent Owners, Milwaukee Electric Tool Corporation and Keter Home and Garden Products, Ltd., filed a request for Director Review of the PTAB's decision to grant institution in both IPR2024-01400 and IPR2024-01401. They argued that the Board erred in its analysis of the Fintiv factors, particularly regarding the likelihood of a stay in parallel proceedings (the ITC investigation) and the overlap of issues. Klein Tools, Inc. filed a response to this request.

Current Posture

As of May 17, 2026, the IPR2024-01401 remains "Instituted," with a Director Review of the institution decision having been requested. The related district court litigation (1:24-cv-04928) is stayed pending the outcome of the ITC investigation (337-TA-1409). Another district court case (1:25-cv-04689) faces a potential voluntary dismissal by Milwaukee Tool due to standing issues, a move opposed by Klein Tools.

Here is the counsel of record representing Klein Tools, Inc. in IPR2024-01401:

W. Todd Baker

• Role: Lead Counsel
• Firm: Kirkland & Ellis LLP, Washington, D.C. office
• Experience Note: An IP litigation partner with over 25 years of experience, focusing on post-grant matters at the USPTO, including Inter Partes Review (IPR) and Post Grant Review (PGR) proceedings before the Patent Trial and Appeal Board. He has successfully represented clients in defeating IPR petitions and handling patent portfolio management.

Ryan Kane

• Role: Back-up Counsel (provisionally recognized PTAB attorney)
• Firm: Kirkland & Ellis LLP, New York, NY office
• Experience Note: A trial lawyer with significant experience in all phases of complex commercial and intellectual property disputes, including patent litigation in federal courts and coordination with USPTO inter partes review proceedings. He has represented clients across various industries, including medical devices, computer software, and wireless communications.

Robert Vechiola

• Role: In-house Counsel (Vice President, General Counsel and Corporate Secretary)
• Firm: Klein Tools, Inc.
• Experience Note: Oversees all legal matters for Klein Tools, Inc., with previous experience as a partner at Foley & Lardner LLP focusing on corporate and commercial issues.

In the IPR2024-01401 case before the PTAB, Milwaukee Electric Tool Corporation and Keter Home and Garden Products, Ltd. are represented by several attorneys.

Here is the counsel of record for the patent owners:

• Dion M. Bregman (Lead Counsel)

  • Firm: Morgan, Lewis & Bockius LLP
  • Location: San Francisco, CA (likely, based on firm's prominent IP presence in California)
  • Relevant experience: Morgan Lewis has a formidable IP litigation practice and is a top-tier global law firm.

• Jason C. White (Lead Counsel)

  • Firm: Morgan, Lewis & Bockius LLP
  • Location: Boston, MA (based on firm directory information, though he also practices broadly)
  • Relevant experience: White is listed as counsel for the plaintiffs in the related district court case which was voluntarily dismissed. Morgan Lewis is a top-tier global law firm with a formidable IP litigation practice.

• David R. Bernstein (Lead Counsel)

  • Firm: Morgan, Lewis & Bockius LLP
  • Location: Boston, MA
  • Relevant experience: Morgan Lewis is a top-tier global law firm with a formidable IP litigation practice.

It is important to note that a related district court case, Milwaukee Electric Tool Corporation and Keter Home and Garden Products Ltd. v. Klein Tools, Inc. (Case No. 1:24-cv-04284) in the U.S. District Court for the Northern District of Illinois, was voluntarily dismissed by the plaintiffs before Klein Tools, Inc. even filed an answer, meaning no defense counsel was formally entered into the record in that specific district court case prior to its dismissal. However, the IPR proceedings continue, and the counsel listed above represent Milwaukee Electric Tool Corporation and Keter Home and Garden Products, Ltd. as Patent Owners in IPR2024-01401.