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T-1542-83
Permacon Québec Inc. formerly known by the corporate name of Le Bloc Vibre Québec Inc. (Plaintiff)
v.
Les Entreprises Arsenault & Frères Inc. (Defend- ant)
and
S. F. Vollverbundstein Kooperation GmbH (Mis - en-cause)
INDEXED AS: PERMACON QUEBEC INC. v. ENTREPRISES ARSENAULT & FRÈRES INC.
Trial Division, Dubé J.—Montréal, October 21; Ottawa, November 12, 1987.
Patents Infringement Patent for earth retaining wall of vertically stacked chevron shaped concrete blocks Defendant manufacturing and selling concrete blocks like those described in patent and distributing pamphlet No infringement Patent conferring monopoly as to retaining wall, not on concrete blocks Not "Jepson-type claim" No contributory inducement.
This is an application for the determination of a question of law in a patent infringement action. The defendant manufac tures and sells concrete blocks which have the same character istics as the concrete block described in the plaintiffs patent. The issue is whether plaintiffs patent confers a monopoly on a retaining wall or on the blocks making up the wall.
The patent is entitled "Earth Retaining Wall of Vertically Stacked Chevron Shaped Concrete Blocks". It was categorized as "Water and Earth Controlled and Subsurface Construction" and as "Retaining Walls", not as blocks. The plaintiff argued that the patent was analogous to a "Jepson-type claim", an American method of drafting patent claims which spells out in the preamble the part of the combination that is old and adds to that the part that is new.
The defendant had published and distributed a pamphlet. There was a question as to whether this, together with the manufacture and sale of the concrete blocks, constituted an inducement to third parties to infringe plaintiffs patent.
Held, the two questions should be answered in the negative.
The patent and its claims confer a monopoly with respect to the retaining wall, not as to the individual blocks that make it up. A monopoly conferred by a patent is limited by the wording of the claims. The claims clearly indicate that the invention of a retaining wall is claimed for, and this wall consists of blocks arranged in a particular way.
In Jepson-type claims, the words, "In a ..." are used at the start of the preamble to indicate the known component and "wherein the improvement comprises" precedes the invention. The claims of the patent under consideration contain neither of these expressions. The presence of the word "wherein", by itself and set apart in the body of the patent claims, does not establish in the context that the blocks are the subject of the patent. There is no analogy to the Jepson-type drafting method. In drafting a patent, accuracy is essential.
The defendant had not induced third parties to infringe the rights conferred by the patent. A patent claim has been infringed when it is proved that the defendant knowingly induced or procured another to infringe a patented article. It had not been established that the act of infringement was influenced by the defendant to such an extent that, without such an influence, the infringement would not have taken place, or that such influence was exerted by the defendant with full knowledge of the facts.
STATUTES AND REGULATIONS JUDICIALLY CONSIDERED
Federal Court Rules, C.R.C., c. 663, R. 474.
CASES JUDICIALLY CONSIDERED
APPLIED:
Slater Steel Industries Ltd. et al. v. R. Payer Co. Ltd.
(1968), 55 C.P.R. 61; 38 Fox Pat. C. 139 (Ex. Ct.).
CONSIDERED:
Rucker Co. v. Gavel's Vulcanizing Ltd. (1985), 6 C.I.P.R. 137 (F.C.T.D.); Hatton v. Copeland-Chatterson Co. (1906), 13 S.C.R. 651; affg. (1906), 10 Ex.C.R. 224.
REFERRED TO:
Barnett-McQueen Co. Ltd. v. Canadian Stewart Co. Ltd. (1910), 13 Ex.C.R. 186; Electric & Musical Industries Ld. and Boonton Research Corporation Ld. v. Lissen Ld. and G. Kalis (trading as Andy's Radio Supplies) (Con- solidated) (1938), 56 R.P.C. 23 (H.L.); Mailman v. Gillette Safety Razor Co. of Canada Ltd., [1932] S.C.R. 724; Lynch and Henry Wilson & Co. Ld. v. John Phillips & Co. (1909), 26 R.P.C. 389 (Scot. 1st Div.); Ex parte Jepson, [1917] C.D. 62; Wells Mfg. Corp. v. Littelfuse, Inc., 192 U.S.P.Q. 256 (7th Cir. 1976).
AUTHORS CITED
Lipscomb's Walker on Patents, vol. 3, Ernest Bainbridge Lipscomb III, Rochester, N.Y.: The Lawyers Co-oper ative Publishing Co., 1985.
Patent Office Guidelines for Drafting a Model Patent Application, 1969.
COUNSEL:
Ronald Fecteau for plaintiff.
François M. Grenier and Maurice Archam-
bault for defendant.
SOLICITORS:
Monty, Coulombe, Sherbrooke, Quebec, for plaintiff.
Léger, Robic & Richard, Montréal, for defendant.
The following is the English version of the reasons for order rendered by
DuBÉ J.: This application based on Federal Court Rule 474 [Federal Court Rules, C.R.C., c. 663] is for a determination of a question of law which may wholly or partly resolve the patent action now before the Court. The joint submission filed by the parties sets out the essential facts admitted by them:
[TRANSLATION] (a) The defendant manufactures, offers for sale and sells in Canada concrete blocks having the same characteristics as the concrete block described in claims 1, 2 and 3 of Canadian Patent No 1,116,422;
(b) the defendant has published, distributed and caused to be publicly circulated a pamphlet filed as Exhibit P-2 to the examination of Mr. Arsenault, who is the president of the defendant.
These two paragraphs are actually paragraphs 4(a) and (b) of the application at bar.
The question to be answered is in two parts:
1. If the defendant has committed only the acts described in paragraph 4(a) of the motion pursuant to Rule 474 of the Federal Court Rules, are those acts by themselves an infringe ment of claims 1, 2 and 3 of patent P-1?
2. Is the fact that the defendant committed the acts described in 4(a) and (b) of that motion an infringement of claims 1, 2 and 3 of patent P-1?
Essentially, the problem for solution is whether the patent held by the plaintiff confers a monopoly on a retaining wall or on the concrete blocks making up the wall in question. This distinction is important, since the defendant admits that it manufactures and sells concrete blocks in Canada as described in the claims of the patent, but it alleges that its acts are not an infringement, as in
its submission the patent does not confer a monopoly on the blocks, only on the wall.
My first task is therefore to determine exactly what the monopoly conferred on the patent holder is. To do this, I must interpret the patent as a whole and analyse its claims.
The patent is titled "Earth Retaining Wall of Vertically Stacked Chevron Shaped Concrete Blocks" and was issued by the Commissioner of Patents on January 19, 1982. It states on the face of the patent that it falls in subcategory 61-51. At the Patent Office, category 61 is defined as "Water and Earth Controlled and Subsurface Construction", and subcategory 51 is described as "Retaining Walls". The Patent Office has not classified this patent in any of the categories reserved for blocks.
The first page of the patent must be reproduced in its entirety:
1116422
A RETAINING WALL OF VERTICALLY STACKED CHEVRON SHAPED CONCRETE BLOCKS
Abstract of the Disclosure
An earth retaining wall' formed by stacked, alternately staggered rows of spaced, nesting, chevron-shaped concrete blocks. Adjacent blocks in some rows are coupled together by connecting tubes extending into holes through the blocks, and elongated anchoring devices are connected to the tubes and extend horizontally into the earth. Alternatively, the anchoring devices may be concrete extensions integrally moulded with the blocks.
Background of the Invention
The invention relates to a retaining wall for defining earth banks, earth walls and other earth slopes, consisting of individual moulded blocks of concrete or the like arranged in rows or courses one above the other.
The retaining walls concerned here consist of moulded con crete blocks which are to lie one upon the other predominantly without mortar connection, that is loosely. The purpose of the invention is to form moulded blocks suitable for this purpose so that on the one hand they are easy to produce, namely with substantially conventional concrete block machines and con crete moulds of ordinary basic assembly, and on the other hand render possible easy laying for the formation of retaining walls, namely up to a certain height without anchorage of the individual moulded blocks.
' My emphasis in all quotations.
It is also necessary to reproduce in full the summary of the invention, taken from page 2 of the patent:
Summary of the Invention
To solve this problem a retaining wall according to the invention for the containment of sloping banks consists of individually moulded generally chevron-shaped blocks of con crete or the like arranged in courses one above the other, wherein the upper sides of the moulded blocks are formed with convex dihedral protrusions, and the undersides of the blocks are formed with complementary concave dihedral recesses to provide bearing surfaces receiving bearing surfaces formed by the protrusions of blocks in a course beneath, the underside of each block being narrower than the upper side of each block.
Such moulded blocks can be produced in a manner known in principle very simply, namely with an upright position within a concrete mould. Moreover, due to the configuration of the moulded blocks an especially favourable mutual shape-engag ing anchorage results. Because the lower side is narrower than the upper side, it is possible, both on the free outer side and on the side facing the earth, to provide steplike shoulders which result in a favourable external appearance and good anchorage with the earth.
In order that even very high retaining walls may be formed along the lines of the invention, using the moulded blocks as explained, a further proposal of the invention consists in that at least some of the moulded blocks further include an anchoring leg integrally formed with the remainder of the block, said leg extending into and being embedded in the bank, and having a thickening portion at its distal end.
Then follows the description of the nine draw ings, followed by a description of the construction method and four claims. It is to be noted that the fourth claim relates to the way the wall is anchored, and is not the subject of this application. The first three claims read as follows:
1. A retaining wall for containment of sloping banks, consisting of individually moulded generally chevron-shaped blocks of concrete or the like arranged in courses one above the other, wherein the upper sides of the moulded blocks are formed with convex dihedral protrusions, and the undersides of the blocks are formed with complementary concave dihedral recesses to provide bearing surfaces receiving bearing sur faces formed by the protrusions of blocks in a course beneath, the underside of each block being narrower than the upper side of each block.
2. A retaining wall according to Claim 1, wherein the bearing surface on the upper side of each block is adjoined on the outer side by a further reflexly angled surface forming a step.
3. A retaining wall according to Claim 1 or 2, wherein the inside and outside surfaces of each block are mutually downwardly convergent.
The plaintiffs argument is, of course, that this patent gives it a monopoly on the blocks making up the wall. Though on reading the patent it seems clear that the monopoly applies to the wall, coun sel for the plaintiff cited a decision of this Court, Rucker Co. v. Gavel's Vulcanizing Ltd., 2 which deals with "Jepson type claims", as a basis for arguing the contrary. He conceded that in the case at bar there are no claims specifically of the "Jepson" type. However, he sought to argue by analogy, as he felt it was clear that the block has to be placed in its setting, namely the wall, if it is to be accurately defined.
Counsel for the plaintiff further argued that the patent holder would be unduly penalized if the infringement were limited to erection of the wall: in drafting its claim, the patent holder sought to clearly indicate the functions of the various sur faces of the block, while defining and limiting its use. He also submitted that if someone sells all the components making up a claimed combination, that person is committing an infringement of the patent.
Further, he alleged that the defendant has by its actions been guilty of contributory infringement, in allowing the manufacture and sale of the blocks to other parties who use them to manufacture a retaining wall, which is also protected by the patent monopoly.
In sum, he alleged that the claims of the patent must be interpreted by the Court fairly, that is, by trying to determine the invention and not to trap the patent holder.
Unfortunately for him, I cannot accept his argu ments. My interpretation of the patent and its claims leads me unavoidably to the conclusion that it confers a monopoly on the retaining wall, not on the individual blocks that make it up. That is how the patent reads. The wording would have to be distorted to make it mean that the invention applies to the blocks and not the wall; and the Court must take the text as it stands, not attempt to divine the intentions of the patent holder.
The decided cases have definitely established that the monopoly conferred by a patent is limited
2 (1985), 6 C.I.P.R. 137 (F.C.T.D.).
by the wording of the claims, whether these limita tions are made deliberately or not. 3 Reading the claims clearly indicates that it is the invention of a retaining wall which is claimed for, and this wall consists of blocks arranged in a particular way. It is not the Court's function to speculate on why an exclusive right over the shape of the block was not claimed for. In the necessarily narrow context of the motion at bar under Rule 474, the Court is limited to the admissions filed by consent, and it cannot therefore conclude, at this stage, that the defendant itself erected a retaining wall or that its customers have themselves erected retaining walls in accordance with the instructions contained in the patent.
Counsel for the plaintiffs argument regarding "Jepson claims" must now be given further con sideration. He indicated that Jepson claims ordi narily have a preamble, which starts as follows: "In a ...", and indicates that there is a subcombi- nation which is part of the total combination. In Rucker, Walsh J. discussed a British case 4 which he said recognized the existence of these words. On the other hand, he relied on the words "...the improvement comprising ..." (at page 166) for aid in determining the invention protected by the patent.
In reality, Jepson claims are not claims as such but are a U.S. method of drafting patent claims.' The purpose of this method has been stated as follows in Walker on Patents: 6
[it] spells out in its preamble the part of the combination that is old, and adds to that the part that is new.
3 Barnett-McQueen Co. Ltd. v. Canadian Stewart Co. Ltd. (1910), 13 Ex.C.R. 186; Electric & Musical Industries Ld. and Boonton Research Corporation Ld. v. Lissen Ld. and G. Kalis (trading as Andy's Radio Supplies) (Consolidated) (1938), 56 R.P.C. 23 (H.L.); and Mailman v. Gillette Safety Razor Co. of Canada Ltd., [1932] S.C.R. 724.
° Lynch and Henry Wilson & Co. Ld. v. John Phillips & Co. (1909), 26 R.P.C. 389 (Scot. 1st Div.).
5 Ex parte Jepson, [ 1917] C.D. 62.
6 Lipscomb, Ernest Bainbridge III, Lipscomb's Walker on Patents, vol. 3, 3rd ed., Rochester, N.Y.: The Lawyers Co-oper ative Publishing Co., 1985, at p. 413.
Jepson claims are used in the United States in cases of improvements to well-known structures or methods. The preamble is therefore an essential limitation, that is, to indicate that the invention will be used only in this context.
The U.S. guidelines suggest a description of all the components which are conventional or known, followed by the words "wherein the improvement comprises" to differentiate the invention from the preceding components, which cannot be the sub ject of the patent.'
It accordingly appears that the words "In a ..." at the start of the preamble have been recognized by the British courts as indicating the known component preceding the invention protected by the patent. Additionally, U.S courts recognize the phrase "In a ..." and some such phrase as "where- in the improvement comprises" as a means of distinguishing the invention from the established structure or method. Despite the fact that the U.S. Patent and Trademark Office only requires use of the latter phrase, it is to be noted that both phrases are generally used together in the U.S.
The claims of the patent under consideration contain neither of these two expressions. On the contrary, the key paragraphs begin with the words "A retaining wall ...", as I have myself underlined throughout the patent. The presence of the word "wherein", by itself and set apart in the body of the patent claims, cannot be used to establish in the context that the blocks are the subject of the patent. That being so, there can be no analogy with a drafting method none of the requirements of which are present. In drafting a patent, accura cy is essential.
Having taken this first step, I must now decide whether the defendant induced the third parties to infringe the rights conferred by the patent. This is what the plaintiff claims.
Patent Office Guidelines for Drafting a Model Patent Application, dated 1969. See also Wells Mfg. Corp. v. Littel- fuse, Inc., 192 U.S.P.Q. 256 (7th Cir. 1976), at p. 257: "the improvement comprising ..."
In a decision dating from 1906, Copeland- Chatterson Co. v. Hatton et a1, 8 the Exchequer Court of Canada held that the sale of an article that could be used in combination with other articles, to constitute a patent infringement, is not in itself an infringement though the article sold in this way cannot be used for any other purpose than in the combination of the infringer. At page 242, the Judge said:
It is clear, of course, that it is not an infringement of a patent to sell an article which in itself does not infringe, although it may be so used as to infringe such patent. Going a step further, it is, I think, well settled in England that such a sale is not of itself an infringement although the seller knows at the time of the sale that such article is intended to be used by the purchas er in the infringement of the patent.
This judgment was affirmed by the Supreme Court of Canada. 9
In a more recent judgment, Slater Steel Indus tries Ltd. et al. v. R. Payer Co. Ltd., 10 the Excheq uer Court again considered the claims of the com bination. Jackett P. described the combination, at page 65 as follows:
All the claims relied on are claims for a combination achieved, by winding certain helically shaped rods around a stranded electric power transmission line at a point of stress so as to result in the transmission line at that point being com pletely enclosed in a protective covering consisting of such rods. The rods in question are referred to as "preformed armour rods".
He at once drew the conclusion in the next paragraph that the patent conferred rights to the combination, not to its component parts:
It is of prime importance, in order to appreciate the point that has to be decided, to keep in mind that the monopoly covered by the patents is for the combination so formed by combining the rods with the transmission line, and that the plaintiffs have no patent rights in respect of the preformed armour rods as such.
After making an exhaustive review of the case law on the point, the learned Judge posed three questions, which I quote (at page 84):
(a) that any purchaser from the defendants used the armour rods so purchased to infringe the plaintiffs patents,
8 (1906), 10 Ex.C.R. 224.
9 Hatton v. Copeland-Chatterson Co. (1906), 13 S.C.R. 651.
10 (1968), 55 C.P.R. 61; 38 Fox Pat. C. 139 (Ex. Ct.).
(b) if any such purchaser did so infringe, was it induced or procured to do so by the defendants, and finally,
(c) if any such purchaser was so induced or procured by the defendants, did the defendants do so "knowingly"?
Finally, the Judge concluded that the defend ants had not been guilty of infringement. He stated that infringement of a patent claim is estab lished when it has been alleged and proven that the defendant knowingly induced or procured another to infringe a patented article.
In the limited context of this application, it was not established that the act of infringement was performed by a purchaser or that the act of infringement was influenced by the defendant to such an extent that, without such an influence, the infringement would not have taken place, or that such influence was exerted by the defendant with full knowledge of the facts.
Accordingly, I must give a negative reply to the two questions presented by this application. As the said application was filed by consent with the laudable aim of short-circuiting future proceed ings, costs will be to follow.
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