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Case: 20-1241 Document: 26 Page: 1 Filed: 06/10/2020

Docket Nos. 20- 1241, 20-1244

In the

United States Court of Appeals


for the

Federal Circuit

VOIP-PAL.COM, INC.,
Plaintiff-Appellant,
v.
APPLE, INC.,
Defendant-Appellee.
_________________________________
VOIP-PAL.COM, INC.,
Plaintiff-Appellant,
v.
AMAZON.COM, INC. and AMAZON TECHNOLOGIES, INC.,
Defendants-Appellees.
_______________________________________
Appeal from the United States District Court for the Northern District of California
in Case Nos. 5:18-cv-06216-LHK and 5:18-cv-07020-LHK ∙ United States District Judge Lucy H. Koh

APPELLANT’S REPLY BRIEF


LEWIS E. HUDNELL, III, ESQ.
HUDNELL LAW GROUP PC
800 West El Camino Real, Suite 180
Mountain View, California 94040
(650) 564-7720 Telephone
(347) 772-3034 Facsimile
lewis@hudnelllaw.com
Attorney for Plaintiff-Appellant,
Voip-Pal.com, Inc.

COUNSEL PRESS ∙ (213) 680-2300 PRINTED ON RECYCLED PAPER


Case: 20-1241 Document: 26 Page: 2 Filed: 06/10/2020
FORM 9. Certificate of Interest Form 9
Rev. 10/17
UNITED STATES COURT OF APPEALS FOR THE FEDERAL CIRCUIT
VOIP-PAL.COM, INC. v. APPLE, INC.
20-1241, -1244
Case No.

CERTIFICATE OF INTEREST

Counsel for the:


… (petitioner) … (appellant) … (respondent) … (appellee) … (amicus) … (name of party)

VoIP-Pal.com, Inc.
certifies the following (use “None” if applicable; use extra sheets if necessary):

2. Name of Real Party in interest 3. Parent corporations and


1. Full Name of Party (Please only include any real party publicly held companies
Represented by me in interest NOT identified in that own 10% or more of
Question 3) represented by me is: stock in the party
VoIP.Pal.com, Inc. VoIP-Pal.com, Inc. None

4. The names of all law firms and the partners or associates that appeared for the party or amicus now
represented by me in the trial court or agency or are expected to appear in this court (and who have not
or will not enter an appearance in this case) are:
None
Case: 20-1241 Document: 26 Page: 3 Filed: 06/10/2020
FORM 9. Certificate of Interest Form 9
Rev. 10/17

5. The title and number of any case known to counsel to be pending in this or any other court or agency
that will directly affect or be directly affected by this court’s decision in the pending appeal. See Fed. Cir.
R. 47. 4(a)(5) and 47.5(b). (The parties should attach continuation pages as necessary).
VoIP-Pal.com, Inc. v. Amazon.com, Inc. et al., Case No. 20-1244

June 10, 2020 /s/Lewis E. Hudnell, III


Date Signature of counsel

Please Note: All questions must be answered Lewis E. Hudnell, III


Printed name of counsel

cc: All counsel of record

Reset Fields
Case: 20-1241 Document: 26 Page: 4 Filed: 06/10/2020

TABLE OF CONTENTS

TABLE OF AUTHORITIES ................................................................................... iii

TABLE OF ABBREVIATIONS ..............................................................................vi

I. SUMMARY OF REPLY ARGUMENT ......................................................... 1

II. THE TWITTER APPEAL IS NOT RELATED TO THIS APPEAL ............. 2

III. THE DISTRICT COURT ERRONEOUSLY DETERMINED THAT


THE ASSERTED CLAIMS ARE INELIGIBLE ............................................ 4

A. The Asserted Claims Are Not Directed To An Abstract Idea .............. 4

1. VoIP-Pal’s factual allegations are not divorced from the


claims and are relevant at step one ............................................. 5

2. The asserted claims are directed to the benefits alleged by


VoIP-Pal ...................................................................................... 7

a. User-specific calling ......................................................... 7

b. Transparent routing......................................................... 11

3. The district court’s analysis conflicts with this


Court’s precedents..................................................................... 13

B. The Asserted Claims Plausibly Recite Inventive Concepts ................17

1. The asserted claims recite inventive concepts when


considered as an ordered combination ......................................19

2. The asserted claims recite inventive concepts ..........................21

a. User-specific calling ....................................................... 21

b. Transparent routing......................................................... 23

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IV. THE DISTRICT COURT’S ELIGIBLITY ANALYSIS


WAS ERRONEOUS ..................................................................................... 25

A. The District Court Improperly Chose Representative Claims ............25

B. The District Court Erred By Failing To Conduct


Claim Construction..............................................................................26

C. The Ineligibility Determination Was Premature ................................. 29

V. CONCLUSION..............................................................................................31

CERTIFICATE OF SERVICE ................................................................................32

CERTIFICATE OF COMPLIANCE ....................................................................... 33

ii
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TABLE OF AUTHORITIES

CASES
Aatrix Software, Inc. v. Green Shades Software, Inc.,
882 F.3d 1121 (Fed. Cir. 2018) ...............................................................18, 28

Alice Corp. Pty. Ltd. v. CLS Bank Int’l,


134 S. Ct. 2347 (2014)............................................................................... 4, 18
Am. Axle & Mfg. v. Neapco Holdings LLC,
939 F.3d 1355 (Fed. Cir. 2019) ...............................................................14, 15
BASCOM Global Internet Servs. v. AT&T Mobility LLC,
827 F.3d 1341 (Fed. Cir. 2016) .............................................10, 17, 19, 20, 30
Berkheimer v. HP Inc.,
881 F.3d 1360 (Fed. Cir. 2018) .........................................................20, 22, 30
CardioNet, LLC v. InfoBionic, Inc.,
955 F.3d 1358 (Fed. Cir. 2020) ................................................................. 5, 17

Cardpool, Inc. v. Plastic Jungle, Inc.,


817 F.3d 1316 (Fed. Cir. 2016) ....................................................................... 3

Cellspin Soft, Inc. v. Fitbit, Inc.,


927 F.3d 1306 (Fed. Cir. 2019) ...........................................................3, 30, 31
Chavez v. United States,
683 F.3d 1102 (9th Cir. 2012) ....................................................................... 17

DDR Holdings, LLC v. Hotels.com, L.P.,


773 F.3d 1245 (Fed. Cir. 2014) ....................................................................... 7

Elec. Power Group, LLC v. Alstom S.A.,


830 F.3d 1350 (Fed. Cir. 2016) ...............................................................29, 30

Ericsson Inc. v. TCL Commun. Tech. Holdings Ltd.,


955 F.3d 1317 (Fed. Cir. Apr. 14, 2020) .................................................15, 20

Finjan, Inc. v. Blue Coat Sys.,


879 F.3d 1299 (Fed. Cir. 2018) ..................................................................... 16

iii
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Intellectual Ventures I LLC v. Symantec Corp.,


838 F.3d 1307 (Fed. Cir. 2016) ..................................................................... 20

Koninklijke KPN N.V. v. Gemalto M2M GmbH,


942 F.3d 1143 (Fed. Cir. 2019) .......................................................5, 6, 11, 16

McRO, Inc. v. Bandai Namco Games Am. Inc.,


837 F.3d 1299 (Fed. Cir. 2016) ..................................................................... 13

MyMail, Ltd. v. ooVoo, LLC,


934 F.3d 1373 (Fed. Cir. 2019) ................................................................27, 28

Neilson v. Harford,
151 Eng. Rep. 1266 (Ex. 1841) ....................................................................... 5

O’Reilly v. Morse,
56 U.S. 62 (1854)...................................................................................4, 5, 10

PPS Data, LLC v. Jack Henry & Assocs.,


404 F. Supp. 3d 1021 (E.D. Tex. 2019) ..................................................25, 26
Pragmatus Telecom, LLC v. Genesys Telecomms. Labs., Inc.,
114 F. Supp. 3d 192 (D. Del. 2015) ..............................................................25
Sage Prods., Inc. v. Devon Indus., Inc.,
126 F.3d 1420 (Fed. Cir. 1997) ..................................................................... 11
SimpleAir, Inc. v. Google LLC,
884 F.3d 1160 (Fed. Cir. 2018) ..................................................................... 17
Synopsys, Inc. v. Mentor Graphics Corp.,
839 F.3d 1138 (Fed. Cir. 2016) ..................................................................... 19
Two-Way Media Ltd v. Comcast Cable Communs., LLC,
874 F.3d 1329 (Fed. Cir. 2017) ...............................................................29, 30
Uniloc USA, Inc. v. LG Elecs. USA, Inc.,
No. 19-1835, 2020 U.S. App. LEXIS 13876 (Fed. Cir. 2020)....................6, 7
Visual Memory LLC v. NVIDIA Corp.,
867 F.3d 1253 (Fed. Cir. 2017) .....................................................4, 10, 14, 15

iv
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VoIP-Pal.com, Inc. v. Apple, Inc.,


375 F. Supp. 3d 1110 (N.D. Cal. 2019)......................................................... 17

VoIP-Pal.com, Inc. v. Twitter, Inc.,


798 Fed. Appx. 644 (Fed. Cir. 2020) .............................................................. 2

COURT RULES

Fed. Cir. R. 12 ............................................................................................................ 2


Fed. Cir. R. 47.5(b) .................................................................................................... 2

STATUTES
35 U.S.C. § 101 ......................................................................................................1, 3
35 U.S.C. § 112 ..............................................................................................1, 14, 15

OTHER AUTHORITIES

Jeffrey A. Leftsin, Inventive Application: A History,


67 Fla. L. Rev. 565 (2015)........................................................................... 4, 5

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TABLE OF ABBREVIATIONS

ABBREVIATION TERM

VoIP-Pal Plaintiff-Appellant VoIP-Pal.com, Inc.

Apple Defendant-Appellee Apple, Inc.

Amazon Defendants-Appellees Amazon.com,


Inc. and Amazon Technologies, Inc.

BB## VoIP-Pal’s Opening Brief at page ##

RB## Appellees’ Response Brief at page ##

The ’762 patent U.S. Patent No. 9,537,762

The ’762 claims Claims 6, 16, 21, 26, and 30 of the ’762
patent

The ’330 patent U.S. Patent No. 9,813,330

The ’330 claims Claims 3, 4, 12, and 14 of the ’330


patent

The ’002 patent U.S. Patent No. 9,826,002

The ’002 claims Claims 1, 12, 22, 26, and 29 of the ’002
patent

The ’549 patent U.S. Patent No. 9,948,549

The ’549 claims Claims 2, 6, 9, 12, 17, and 24 of the


’549 patent.

The patents-in-suit The ’762 patent, the ’330 patent, the


’002 patent, and the ’549 patent

FAC First Amended Complaint

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PTAB Patent Trial and Appeal Board

IPR Inter Partes Review

POSITA Person of Ordinary Skill in the Art

The Twitter Appeal VoIP-Pal.com, Inc. v. Twitter, Inc., No.


19-1808 (Lead Case)

The Twitter consolidated cases VoIP-Pal.com, Inc. v. Twitter, Inc., No.


5:18-cv-04523-LHK (N.D. Cal.);
VoIP-Pal.com, Inc. v. Verizon Wireless
Services, LLC, No. 18-cv-06054-LHK
(N.D. Cal.);
VoIP-Pal.com, Inc. v. AT&T Corp.,
No. 3:18-cv-06177-LHK (N.D. Cal.),
and; VoIP-Pal.com, Inc. v. Apple, Inc.
No. 3:18-cv-06217-LHK (N.D. Cal.).

The Apple consolidated cases VoIP-Pal.com, Inc. v. Amazon.com,


Inc., No. 5:18-cv-7020 (N.D. Cal.);
VoIP-Pal.com, Inc. v. Apple Inc., No.
5:18-cv-6216 (N.D. Cal.)

PSTN Public switched telephone network

PBX Private Branch Exchange

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I. SUMMARY OF REPLY ARGUMENT

Appellees try to bait the Court into believing that the outcome of this appeal

has already been decided by the Court’s affirmance in the Twitter appeal. It has

not. In this case, the district court found the patents-in-suit ineligible on materially

different grounds, which Appellees strain to justify. At step one, Appellees

concoct terminology and concepts never used by this Court to evaluate eligibility.

In doing so, Appellees, like the district court, turn the §101 analysis into a §112

analysis, which is improper. The asserted claims recite sufficiently specific

improvements over the prior art that illustrate how they achieve the desired

benefits of user-specific calling and transparent routing and therefore pass step

one. At step two, attempting to overcome the district court’s acceptance of VoIP-

Pal’s alleged benefits as significant and unconventional improvements over the

prior art, Appellees argue that the asserted claims do not recite the benefits because

the benefits are not expressly mentioned in the claims or the claims are not limited

to the benefit. These arguments find no footing in this Court’s precedent. The

district court also misapplied this Court’s precedent by not attributing VoIP-Pal’s

factual allegations of unconventionality to the claims, which should have precluded

an ineligibility finding at the Rule 12 stage. The district court compounded this

error by improperly choosing representative claims and failing to conduct claim

construction. Accordingly, the district court’s judgment should be reversed.

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II. THE TWITTER APPEAL IS NOT RELATED TO THIS APPEAL.

Appellees’ argument that the Twitter appeal is related to this appeal is

disingenuous. RB23-24. Appellees imply that VoIP-Pal should have sought to

consolidate the two appeals. But Appellees could have done the same. See

Practice Note to Fed. Cir. R. 12 (“Other appeals may be consolidated on motion or

by the court sua sponte.”). Tellingly, they did not.

VoIP-Pal did not identify the Twitter appeal as a related case because it does

not fit this Court’s definition of a related case. Whether the district court identified

the Twitter consolidated cases as related to the Apple consolidated cases is

irrelevant. Contra RB24. The district court never indicated that its ineligibility

ruling in the Twitter consolidated cases controlled its ineligibility ruling in this

case. Nor could it. The cases involve different patents and different claims, and

the district court never construed the asserted claims in either case. Thus, the

Court’s affirmance in the Twitter appeal has no direct effect on any issue that the

Court needs to decide in this appeal. See Fed. Cir. R. 47.5(b) (defining related

cases as ones that “will directly affect or be directly affected by this court’s

decision in the pending appeal.”) (emphasis added). Nor was the Court’s decision

in the Twitter appeal even precedential. See VoIP-Pal.com, Inc. v. Twitter, Inc.,

798 Fed. Appx. 644 (Fed. Cir. 2020).

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The real reason, however, that Appellees argue that the Twitter appeal is

related to this case is because they assert (1) that VoIP-Pal was required to explain

how the claims in the two cases differ for eligibility purposes and (2) that the

Court’s inquiry in this case should be limited to how those differences should yield

a different outcome. RB24-25. Both propositions lack merit. First, Appellees cite

no authority for either proposition. Second, if any party has the burden to show

how the asserted claims in this case are invalid under the ruling in the Twitter

appeal, it is Appellees, not VoIP-Pal. See Cellspin Soft, Inc. v. Fitbit, Inc., 927

F.3d 1306, 1319 (Fed. Cir. 2019). Third, Appellees effectively invite the Court to

apply a form of claim preclusion against an allegedly related patent—an invitation

that this Court should reject. See Cardpool, Inc. v. Plastic Jungle, Inc., 817 F.3d

1316 (Fed. Cir. 2016) (holding that a district court’s finding of invalidity under

§101 did not automatically constitute res judicata as to new claims granted upon

reexamination).

Regardless, significant differences between the Twitter appeal and this case

compel a different outcome. For example, in this case: (1) the district court agreed

that user-specific calling and transparent routing constitute meaningful

improvements in call-routing technology; (2) the asserted claims recite these

features; (3) the district court failed to adopt VoIP-Pal’s proposed claim

constructions, which were fully briefed, despite the fact that Apple urged the same

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construction to the PTAB; (4) the district court invalidated the asserted claims on

materially different grounds; and (5) new precedent not considered in the Twitter

appeal or below supports reversal. Given these differences and the other

arguments raised in VoIP-Pal’s briefs, the affirmance in the Twitter appeal cannot

control the outcome in this case.

III. THE DISTRICT COURT ERRONEOUSLY DETERMINED THAT


THE ASSERTED CLAIMS ARE INELIGIBLE.

A. The Asserted Claims Are Not Directed To An Abstract Idea.

Like the district court’s, Appellees’ step one arguments rely on irrelevant

concepts. Step one does not ask about the “direction of the claims.” Contra RB26.

It asks what the claims are directed to. See Alice Corp. Pty. Ltd. v. CLS Bank Int’l,

134 S. Ct. 2347, 2355 (2014). Step one also does not ask whether the claims recite

what Appellees call “non-abstract implementation requirements,” whatever that

means. Id.; Visual Memory LLC v. NVIDIA Corp., 867 F.3d 1253, 1261 (Fed. Cir.

2017) (explaining that implementation details are not part of the eligibility

inquiry). Appellees improperly conflate disclosure requirements with eligibility, as

evident by their miscitation of O’Reilly v. Morse. RB26. Although Morse is cited

for the abstract idea principle, Morse was decided on disclosure grounds, not

eligibility grounds. See O’Reilly v. Morse, 56 U.S. 62, 119-120 (1854) (“Yet this

claim can derive no aid from the specification filed. It is outside of it, and the

patentee claims beyond it.”) (emphasis added); see also Jeffrey A. Leftsin,
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Inventive Application: A History, 67 Fla. L. Rev. 565, 594-97 (2015) (explaining

that Morse is about disclosure and scope not eligibility). Indeed, Morse, in

discussing Neilson v. Harford, 151 Eng. Rep. 1266 (Ex. 1841), acknowledged that

Neilson’s invention was patentable because although “Neilson claimed no

particular mode of constructing the receptacle, or of heating it,” the invention was

adequately disclosed. See Morse, 56 U.S. at 115-116 (“The interposition of a

heated receptacle, in any form, was the novelty he invented.”) (emphasis added).

Thus, step one does not require non-abstract implementation details even under

Appellees’ own authority.

1. VoIP-Pal’s factual allegations are not divorced from the


claims and are relevant at step one.

Appellees also attempt to muddle step one by claiming that VoIP-Pal largely

relies on allegations in the complaint as evidence that the asserted claims are not

abstract. RB27. Rather, VoIP-Pal extensively cites specific limitations showing

that the asserted claims are not abstract. See, e.g., BB26-31, BB38-39, BB42-44.

Moreover, it is untrue that allegations in the complaint cannot be relevant at step

one. See CardioNet, LLC v. InfoBionic, Inc., 955 F.3d 1358, 1373-74 (Fed. Cir.

2020). But even without the allegations in the FAC, the asserted claims pass step

one.

Contrary to what Appellees suggest, VoIP-Pal never contended that KPN

supports relying on factual allegations at step one. RB28. Rather, VoIP-Pal relies
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on KPN for its holding—claims directed to a sufficiently specific implementation

of an existing system that improves the prior art are not abstract. BB50-51. See

Koninklijke KPN N.V. v. Gemalto M2M GmbH, 942 F.3d 1143, 1151 (Fed. Cir.

2019). The asserted claims recite sufficiently specific improvements to prior art

call-routing systems and therefore are not abstract. Id.

Appellees’ argument that the asserted claims are abstract because they fail to

require the benefits alleged in the complaint is erroneous. RB29. The Court

recently confirmed in Uniloc USA, Inc. v. LG Elecs. USA, Inc., which reversed the

same district court as in this case, that claims need not expressly mention the

benefits that they achieve. See Uniloc USA, Inc. v. LG Elecs. USA, Inc., No. 19-

1835, 2020 U.S. App. LEXIS 13876, at *12 (Fed. Cir. 2020).

Appellees misleadingly attempt to distinguish Uniloc by referring to

reduction in communication latency as a “non-abstract benefit” of the Uniloc

claims. RB30. The Court never used the term “non-abstract benefit.” Nor did it

state that benefits must be non-abstract. Rather, the Court found that Uniloc’s

claims were directed to a reduction in communication latency simply by requiring

an additional data field for polling. Id. Significantly, Uniloc found that “like the

claims in DDR, the claimed invention change[d] the normal operation of the

communication system itself.” Id. at *10. Moreover, the improvement did not

need to be defined with reference to physical components. Id. at *13.

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Arguably, the asserted claims in this case are directed to even more specific

improvements than the Uniloc claims. The asserted claims require routing a call to

a network destination not solely by the digits dialed, but by using the caller’s and

callee’s identifiers, as well as the caller’s profile attributes, to generate a routing

message. Like the claims in DDR Holdings v. Hotels.com, they change the normal

operation of telecommunication nodes. See DDR Holdings, LLC v. Hotels.com,

L.P., 773 F.3d 1245, 1258 (Fed. Cir. 2014); accord Uniloc, 2020 U.S. App. LEXIS

13876 at *10.

2. The asserted claims are directed to the benefits alleged by


VoIP-Pal.

a. User-specific calling

As Appellees admit, the district court accepted that user-specific calling was

a significant and unconventional improvement over prior technology. RB32;

Appx54; Appx76. The district court, however, erroneously concluded that the

asserted claims do not disclose how to achieve this improvement. Appx76.

Critically, the district court overlooked that the claimed steps taken in response to

initiating a call are predicated on caller-specific profile attributes. Because the

claimed profile attributes, which are used to identify the destination of the call, are

caller specific, the subsequent steps of classifying or determining a destination and

producing a routing message are also necessarily caller specific. Thus, the asserted

claims describe how to handle calls in a caller-specific manner.


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Appellees assert that VoIP-Pal’s main argument rests merely on factual

allegations. RB31. Appellees, however, ignore that VoIP-Pal repeatedly tied user-

specific calling to specific language reciting the claimed “profile” and “attributes.”

See, e.g., BB26-31; BB38-39; BB42-44. Appellees conceded that these terms

should be construed as user specific, thus undercutting their arguments that the

claims lack any user-specific features. Appx3473-3475; compare BB24.

Appellees also purport not to dispute that the claims recite using user-specific

information to route calls. RB32.

The district court inaccurately oversimplified the allegedly representative

claims as merely stating the abstract idea of “routing a communication based on

characteristics of the participants.” Appx40. The only characteristic of the callee

the district court referenced was the callee’s phone number (second participant

identifier). Id. The district apparently believed that the characteristic of the caller

needed for routing was the caller’s phone number (first participant identifier).

Appx13. The claims, however, recite using a caller’s profile attributes for routing,

not the caller’s phone number. Appx51. The asserted claims require attributes

from a caller’s profile to route the call. Profile attributes are not general

characteristics of the caller—they are specific system settings for controlling how

calls from a particular caller must be handled. See Appx2170-2173, Figs. 8A-D

(blocks 256, 257, 380, 390, 396). But the caller’s profile attributes are distinct

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from the caller’s phone number both in the claims and specification. Compare

Appx2175, Fig. 11 with Appx2176, Fig. 14 (item 274).

Appellees likewise conflate the caller’s profile attributes with the caller’s

phone number. RB34; RB47. Appellees acknowledge that claim 30 of the ’762

patent recites comparing profile attributes with the second participant identifier.

RB33. But Appellees erroneously claim that the specification discloses that this

comparison involves “a comparison of the phone numbers of the caller and the

callee.” RB34. Rather, the claim and the specification describe comparing the

callee identifier to attributes in the caller’s profile. Appx2070-2171, Fig. 8A-8B,

(blocks 256, 257, 380, 390, 396); Appx2206-2208, 20:14-60, 22:5-23:12. Thus,

the claimed routing controller initiates calls differently for different callers based

on their respective profile attributes.

For example, a Calgary caller would place an international call by dialing

“011”, whereas a London caller would dial “00.” Appx2175, Figs. 11-12 (see IDD

attribute). Moreover, a caller’s profile attributes could be configured differently to

specify different behavior by the routing controller, which would be detected by

the comparison in claims 30-31. Appx2217. If the London caller’s IDD were

changed to “011” or “00011”, then the profile would effectively redefine in a user-

specific manner how the London user placed international calls. Similarly, other

profile attributes, such as length and maximum concurrent calls, could be

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configured on a per-user basis, to provide user-specific call handling. Appx2206,

19:38-50. Appellees contend that the claimed profile attributes are abstract

because they lack implementation details. RB34. But again, implementation

details are not required at step one. See Visual Memory, 867 F.3d at 1261.

Appellees cite the district court’s conclusion that the producing a new

second participant identifier step is abstract because it “is so broadly worded that it

encompasses literally any form of data manipulation.” RB33. At best this

conclusion raises a patentability issue, not an eligibility issue. See Morse, 56 U.S.

at 116; BASCOM Global Internet Servs. v. AT&T Mobility LLC, 827 F.3d 1341,

1354 (Fed. Cir. 2016) (“Claims that are imprecise or that read on prior art or that

are unsupported by description or that are not enabled raise questions of

patentability, not eligibility.”) (Newman, J., concurring). Not only is this

limitation sufficiently specific, the dependent claims provide the allegedly missing

details. Appx2216-2217, claims 13, 14, 15, 36, 37, and 38 of the ’762 patent. Just

because it identified claim 21 of the ’762 patent as representative, which VoIP-Pal

disputes, the district court cannot ignore details plainly disclosed in other claims.

As further proof that Appellees misapply step one, Appellees bizarrely deny

that the claims or specification require translating the second participant identifier

into a new second participant identifier that the routing system understands. RB34.

Appellees also deny the new identifier is used to determine a callee’s registration

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status. Id. But block 269 of Fig. 8B and claims 1 and 14 of the ’762 patent

disclose and claim this very feature. Appx2171, Fig. 8B; Appx2215-16, 37:59-

38:9, 39:18-24.

Finally, after purporting not to dispute that the asserted claims require user-

specific information, Appellees dispute that the claims are limited to user-specific

call handling because they do not require any particular comparison. RB34-35.

Again, Appellees misunderstand the claims. The claims require a specific

comparison between the callee identifier and the caller’s profile attributes, which

are admittedly user specific, necessitating user-specific handling in subsequent

steps. The asserted claims expressly recite how the goal of the claims is achieved

and therefore are not directed to an abstract idea. See KPN, 942 F.3d at 1151.

b. Transparent routing

Appellees’ claim that the asserted claims do not require transparent routing

is demonstrably false. Appellees principally argue that the claims are broad

enough to read on a traditional PBX implementation in which a caller dials “9” to

manually select an outside line to call someone on the PSTN. See RB29, RB35-36,

RB49, RB58; compare RB5. This argument fails.

First, Appellees never made this argument below and therefore waived it.

See Sage Prods., Inc. v. Devon Indus., Inc., 126 F.3d 1420, 1426 (Fed. Cir. 1997).

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Second, Appellees did not raise this argument in their claim construction

briefs and provide no explanation in their Response Brief as to how the asserted

claims read on a system that requires dialing “9”.

Third, the argument leads to absurd results. For example, if the London

user’s PSTN number is dialed, the system would route the call over the private

network, not over the PSTN. See Appx2123, ¶34; BB9-10, BB31-37, BB40-41,

BB44. Under Appellees’ theory, even if a caller dialed “9,” expecting to call the

London user over the PSTN, then the claimed system would route the call over the

private network, not over the PSTN, thus rendering the dialed “9” ineffective. Id.

But if dialing “9” worked as Appellees expect, then routing the call over the PSTN

to the London subscriber would vitiate the claim limitations requiring

network/node selection based on ascertaining the callee’s system registration status

or profile. Id.

Accordingly, the district court erred by concluding PSTN numbers in the

claimed system have sufficient information to identify the destination network. Id.

Appellees defend the district court by falsely attributing to VoIP-Pal an argument it

never made—that “non-PSTN numbers” are “self-interpreting.” RB36. Rather,

VoIP-Pal explained that PSTN numbers were self-interpreting when operators used

them on the PSTN (operators did not consult a caller’s profile to interpret them).

BB34-36. But in the claimed system, PSTN numbers are not self-interpreting—

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they can be associated with destinations at any node in the system’s private

network or on an external network. Id.

Lastly, Appellees falsely assume that automation or elimination of process

steps is per se ineligible. RB36. It is not. See McRO, Inc. v. Bandai Namco

Games Am. Inc., 837 F.3d 1299, 1314 (Fed. Cir. 2016). The district court

suggested that “obviating the need for the caller to actively specify the appropriate

network,” such as by dialing “9” is “simple automation of a task previously

performed manually.” Appx48-49; Appx56. But the asserted claims do not

automate a task previously performed manually nor automate a manual routing

decision. RB36. They claim an improved system that transparently selects the

network/node for routing calls irrespective of the digits the caller manually dials.

BB36-37.

Notably, Appellees do not deny that some claims expressly recite transparent

node selection. Appx2123-2124, ¶35; BB20-22, BB40-43. Appellees merely assert

that VoIP-Pal waived this argument by never raising it with the district court.

RB52. VoIP-Pal’s Opposition clearly proves otherwise. Appx3105, 11:14-17;

Appx3118, 24:3-8; Appx3099, 5:16-19.

3. The district court’s analysis conflicts with this Court’s


precedents.

Strain as Appellees might, Appellees cannot align the district court’s step

one analysis with this Court’s precedent in a legally sound manner. By posing at
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least 25 how questions, the district court erroneously converted its §101 analysis

into a §112 analysis without considering the POSITA’s perspective. See Visual

Memory, 867 F.3d at 1261 (“[W]hether a patent specification teaches an ordinarily

skilled artisan how to implement the claimed invention presents an enablement

issue under 35 U.S.C. § 112, not an eligibility issue under § 101”); Am. Axle &

Mfg. v. Neapco Holdings LLC, 939 F.3d 1355, 1375 (Fed. Cir. 2019) (Moore, J.,

dissenting) (“[§101] should not be used to invalidate claims under standards

identical to those clearly articulated in other statutory sections, but not argued by

the parties. It should not subsume §112.”). Appellees cannot hide this glaring

error by claiming the district court never considered whether the specification

adequately disclosed what was recited in the claims. RB39. Not only is this claim

untrue—the district court incorrectly alleged that the specification does not explain

how Internet addresses are identified for routing messages (Appx45; BB53-54)—it

is a written description issue, which is not the problem. The problem is that,

according to Appellees, the district court considered whether there is anything in

the specification that renders the asserted claims not abstract yet it did not consider

whether the specification answers the how questions that the court claimed made

the claims abstract. RB39. Simply put, the district court cannot frame step one as

a §112 analysis and then not conduct a §112 analysis. This error allowed the §101

analysis to subsume the §112 analysis, which is the same error that the Court has

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been asked to consider en banc. See Am. Axle & Mfg. v. Neapco Holdings LLC,

No. 18-1786, Dkt. No. 79 at pp. 15-18; see also Ericsson Inc. v. TCL Commun.

Tech. Holdings Ltd., 955 F.3d 1317, 1336 (Fed. Cir. Apr. 14, 2020) (Newman, J.,

dissenting) (“It is not the law and is not the practice that every descriptive and

distinguishing detail from the specification must be stated in the claims.”).

Appellees also use step one to swallow the §112 analysis. They allege that

the asserted claims lack a specific implementation or implementation details.

RB34; RB39. Yet Appellees fail to cite any precedent of this Court holding that

implementation details are required to satisfy step one. Instead, Appellees equate

implementation details with the how of the purported invention. Id. But only a

POSITA needs to know how to implement the invention and “a patent need not

teach, and preferably omits, what is well known in the art.” See Visual Memory,

867 F.3d at 1261.

Appellees also incorrectly assert that Two-Way Media stands for the

proposition that the lack of implementation details is evidence of abstractness.

RB39. Two-Way Media never mentions the need for implementation details to

satisfy step one, nor was functional language the main problem. BB30-31. All

method claims use functional claim language. The eligibility inquiry does not

consider each method step and ask how that step is achieved. RB40. Rather, the

relevant inquiry is whether the claims “focus on a specific means or method that

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improves the relevant technology or are instead directed to a result or effect that

itself is the abstract idea and merely invoke processes and machinery.” See KPN,

942 F.3d at 1151.

Rather, the asserted claims are no more result-oriented than the

representative claim considered in Finjan, Inc. v. Blue Coat Systems, which the

Court found non-abstract and Appellees deliberately mischaracterize. RB40. The

claim limitation at issue actually reads “generating by the inspector a first

Downloadable security profile that identifies suspicious code in the received

Downloadable.” See Finjan, Inc. v. Blue Coat Sys., 879 F.3d 1299, 1303 (Fed. Cir.

2018). This claim did not explain how the security profile is generated or

implemented. Yet, the Court still held that the claim was not abstract because it

recited a specific step that linked the security profile containing information about

potentially hostile operations produced by a behavior-based virus scan. Id. at

1303, 1305. Similarly, the asserted claims recite specific steps—using user-

specific profile attributes to classify the call as between two distinct networks and

route the call—and are not abstract.

Appellees cite no support for their claim that the district court properly

followed this Court’s practice by analogizing the asserted claims to an allegedly

longstanding practice. RB41. Indeed, the Court recently rejected the notion that

numerous cases have found claims abstract for claiming longstanding practices.

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See CardioNet, 955 F.3d at 1374. Moreover, neither Appellees nor the district

court cite any record evidence that switchboard operators had a long-standing

practice of using the caller’s phone number to route calls. RB42; see Chavez v.

United States, 683 F.3d 1102, 1108 (9th Cir. 2012); see also VoIP-Pal.com, Inc. v.

Apple, Inc., 375 F. Supp. 3d 1110, 1134 n.6 (N.D. Cal. 2019) (rejecting Appellees’

request to take judicial notice of a YouTube video about historical operators).

Finally, the district court never construed the asserted claims to ascertain

their scope so Appellees have no basis to assert that the Twitter appeal precludes a

different result in this case. See SimpleAir, Inc. v. Google LLC, 884 F.3d 1160,

1167 (Fed. Cir. 2018) (“[W]here different patents are asserted in a first and second

suit, a judgment in the first suit will trigger claim preclusion only if the scope of

the asserted patent claims in the two suits is essentially the same.”). Thus, the

affirmance in the Twitter appeal is not instructive, much less determinative, of step

one in this case. Because the district court here erroneously determined that the

asserted claims are directed to an abstract idea, its decision should be reversed.

B. The Asserted Claims Plausibly Recite Inventive Concepts.

Even if the Court determines that the asserted claims are directed to an

abstract idea, which they are not, the asserted claims are still patent eligible

because they plausibly recite inventive concepts. See BASCOM, 827 F.3d at 1348

(“[S]ome inventions’ basic thrust might more easily be understood as directed to

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an abstract idea, but under step two . . . , it might become clear that the specific

improvements in the recited computer technology go beyond ‘well-understood,

routine, conventional activit[ies]’ and render the invention patent-eligible.”) (citing

Alice, 134 S. Ct. at 2359). Appellees argue that VoIP-Pal largely ignores the

district court’s step two analysis when, truthfully, Appellees ignore VoIP-Pal’s

arguments. Contrary to what Appellees suggest, VoIP-Pal strongly disputes that

each individual limitation of the allegedly representative claims is directed to a

component of a conventional communication system. In both its Opening Brief

and its Opposition to Appellees’ Motion to Dismiss, VoIP-Pal shows that the

asserted claims recite unconventional steps including using both the caller’s and

the callee’s identifiers, as well as the caller’s profile attributes, to determine the

route of the call. BB55-58; Appx3114-3118. VoIP-Pal also pled unrefuted factual

allegations showing that these steps were unconventional, which precludes

dismissal at the Rule 12 stage. Appx2121-2125, ¶¶23-40; see Aatrix Software, Inc.

v. Green Shades Software, Inc., 882 F.3d 1121, 1125 (Fed. Cir. 2018). The district

court conclusorily asserted that the conventionality of all claim limitations and

every step in Figs. 8A-8D are readily apparent from the patents themselves without

further evidence. Appx67-69. Not does this conclusion strain credulity, it lacks

support and contradicts the record evidence showing that conventional systems did

not perform such steps. See Aatrix, 882 F.3d at 1126-28.

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1. The asserted claims recite inventive concepts when


considered as an ordered combination.

Appellees’ claim that VoIP-Pal has not argued about the ordering of steps

misses the point. The allegedly representative claims do not just recite new

steps—they recite an unconventional arrangement of unconventional steps. As the

PTAB found, the prior art cited by Apple did not teach using a caller identifier to

access a user-specific profile for routing between two networks as the allegedly

representative claims all recite. See Apple, Inc. v. VoIP-Pal.com, Inc., IPR2019-

01003, -01006, -01008, -01009, Paper 7 at pp. 18-19 (PTAB Nov. 12, 2019);

compare Appx4514-4515, ¶¶63-64. The district court accepted VoIP-Pal’s

allegations that user-specific handling was a significant and unconventional

improvement on prior technology. Appx76; Appx604-605, ¶32. Thus, any

ordering containing these claimed steps must be unconventional.

Appellees’ own authority, Synopsys, Inc. v. Mentor Graphics Corp., admits

that “the contours of what constitutes an inventive concept are far from precise.”

See Synopsys, Inc. v. Mentor Graphics Corp., 839 F.3d 1138, 1151 (Fed. Cir.

2016); RB45. Indeed, Synopsys acknowledged that the customizable filtering

feature in BASCOM was an inventive concept over inflexible one-size-fits-all

schemes. Id. at 1151-52 (citing BASCOM, 827 F.3d at 1350). As in BASCOM, the

user-specific access limitations of the asserted claims improve upon prior art

systems that imposed on all users a one-size-fits-all manner of call initiation. Id. at
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1152 (recognizing that BASCOM’s solution “overcame defects in prior art

embodiments and elevated an otherwise abstract idea to a patentable invention.”).

Appellees and the district court are silent regarding VoIP-Pal’s BASCOM

analogy. BB55-56. Both have misinterpreted BASCOM’s inventive concept as

merely relating to the location of the filtering server. Appx3455; Appx24-25. But

this Court has rejected that view. See Intellectual Ventures I LLC v. Symantec

Corp., 838 F.3d 1307, 1321 n.13 (Fed. Cir. 2016). If BASCOM’s user-specific

filtering was an inventive concept, then so is VoIP-Pal’s user-specific calling.

Contrary to what Appellees claim, VoIP-Pal does not assert that claims need

only to capture the inventive concept, in the sense of encompass. RB45. VoIP-

Pal’s brief expressly states that user-specific calling and transparent routing are

recited in the asserted claims. BB57. Appellees want the Court to believe that the

asserted claims must be limited to these inventive concepts but that is not the law.

Indeed, under Appellees’ own authority, claims failed step two because they did

not recite an inventive concept, not because they were not limited to the inventive

concept. See Ericsson, 2020 U.S. App. LEXIS 11702, at *22-23 (“[Particular

software arrangement] cannot provide an inventive concept at step two because it

is not recited in claims 1 or 5.”); Berkheimer v. HP Inc., 881 F.3d 1360, 1369 (Fed.

Cir. 2018) (concluding that “claim 1 does not recite an inventive concept”). The

Court should not be duped by Appellees’ attempt to unduly narrow step two.

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2. The asserted claims recite inventive concepts.

a. User-specific calling

The Court should also not be fooled by Appellees’ attempts to hide their

previous admissions that the asserted claims recite user-specific call handling. The

record plainly shows that Apple and its expert took the position before the PTAB

that the asserted claims require user-specific features—the exact opposite of the

position Appellees take now. Appx3645-3653; Appx4514-4515, ¶¶63-64.

Appellees’ claim that none of the asserted claims require user-specific calling is

not only untrue, it is simply not credible.

First, Appellees dispute that the profile limitation mandates user-specific

calling. RB47. Yet, Appellees proposed construing the limitations “profile” and

“attributes” as a “record” or “characteristics” that was “specific to the respective

[user/participant].” Appx2453; Appx2473. Appellees fundamentally

misunderstand that the claimed profile attributes necessarily require user-specific

calling because the asserted claims require that the call’s destination be determined

by these attributes, which Appellees agree are user specific. Appx2215, 37:55-64.

Underscoring Appellees’ misunderstanding, Appellees mistakenly believe that

these profile attributes, such as national or international dialing digits, are part of

the caller’s phone number. RB47. As explained above, they are not.

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Second, Appellees fail to support their assertion that “produc[ing] a new

second participant identifier” is not user specific. RB47. Appellees merely refer to

adding the caller’s country and area code to the callee’s number, apparently

referring to the prepending operations in Fig. 8B. Id.; Appx2171 (blocks 388, 394,

400). But these operations are user specific because profile attributes, which

Appellees admit are user specific, are prepended. Appx2473 (Appellees proposing

“attribute” be construed to mean “characteristic specific to the respective

[user/participant].”). Moreover, Fig. 8B illustrates how two different users could

enter the same phone number but have their calls routed to different destinations if

their profiles are different. Appx2171; Appx2206-2208, 20:14-60, 22:5-23:12.

Third, Appellees repeat the same erroneous argument that the claims involve

comparing caller and callee phone numbers. RB47. But the asserted claims, as

Appellees’ own constructions require, recite comparing a callee identifier with

user-specific profile attributes. Appellees do not and cannot explain how a routing

determination that is predicated on user-specific attributes would not be inherently

user specific. RB47. As such, Appellees’ bare assertion that “[t]here is nothing

user-specific about this comparison” can hardly satisfy their burden to prove

ineligibility by clear and convincing evidence. See Berkheimer, 881 F.3d at 1368.

Moreover, the specification undermines Appellees’ argument. For example,

the specification discloses preventing a caller from making calls if that caller’s

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maximum concurrent calls attribute is violated. Appx2790 (block 256). Different

callers’ profiles may have different user-specific attributes that inform the

controller when to prevent their calls. Appx2795, compare Fig. 11 with Fig. 12.

As another example, the London subscriber’s profile permits dialing local 11-digit

PSTN numbers. Appx2795, Fig. 12. But if the Calgary subscriber did so, the

routing controller would prevent the call because his profile only allows 10-digit

PSTN numbers at most. Id., Fig. 11; Appx2791 (blocks 396, 404).

Furthermore, both Appellees and the district court fail to appreciate that if

the claims did not recite user-specific call handling, then the claims would not need

to consult the caller’s profile attributes or to compare them to the callee identifier.

Rather, routing would use the callee identifier without any user-specific data. The

claimed approach therefore recites an inventive concept because conventional

PSTN and PBX nodes did not rely on user-specific profile attributes. Rather, they

imposed a one-size-fits-all standard for call initiation. Appx2121-2122, ¶32.

b. Transparent routing

Without any support, Appellees proclaim that “nothing in the claims requires

. . . independent routing” and that the claims “also [cover] methods where the

routing is done [solely] based on the phone number of the callee.” RB48. These

ipse dixit statements could not be more inaccurate. The claimed invention

performs network/node selection irrespective of the phone number dialed. All of

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the limitations that Appellees dispute show that the claims recite transparent

routing.

First, Appellees assert that the limitation “second network classification

criterion is met if the second participant is not registered with the system”

“cover[s] systems where dialing 9 is required for any callees not in the database,”

which is woefully incorrect. RB48. Regardless of what is dialed, if the callee is

not registered with the system, then the claims plainly recite that the call is routed

to “a gateway to a network external to the system.” Appx2215, 38:3-9; Appx2430,

37:56-63, 38:55-59 (transparent network selection); compare Appx2287, 37:50-63

(transparent node selection based on profile search); see also Appx2171 (block

269); Appx2826, 20:61-21:11; Appx2828, 23:52-61. Thus, network/node selection

occurs transparently to the caller based on criteria other than the number dialed.

Second, Appellees claim that the limitation “[d]etermine the Internet address

associated with the [callee] device based on a user profile for the [callee]” does not

preclude “dialing 9 to reach certain callees.” RB49. Again, Appellees are badly

mistaken. The call is routed as either a system communication or an external

communication regardless of what number the caller dialed. Moreover, claim 22

of the ’002 patent, which Appellees cite, concerns system (internal network)

communications, not external network communications. Appx2359, 41:55-60;

Appx2357, 37:36-39, 37:55-38:2. Effectively, Appellees argue that claim 22

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would cover dialing 9 in order to reach non-PSTN destinations, which is the exact

opposite of dialing 9’s conventional use.

In sum, Appellees’ arguments find no basis in the claims, not VoIP-Pal’s

arguments. The asserted claims plainly recite the inventive concepts of user-

specific calling and transparent routing and therefore are patent eligible.

IV. THE DISTRICT COURT’S ELIGIBLITY ANALYSIS WAS


ERRONEOUS.

A. The District Court Improperly Chose Representative Claims.

The district court compounded the errors in its eligibility analysis by

misidentifying the allegedly representative claims. Appellees conveniently omit

that the district court rejected Appellees’ argument that claim 1 of the ’002 patent

is representative of all the asserted claims. Appx103-104. Even assuming that it is

proper to evaluate the eligibility of individual claims based on allegedly

representative claims, Appellees bore the initial burden to establish the

representative claims. See PPS Data, LLC v. Jack Henry & Assocs., 404 F. Supp.

3d 1021, 1030 (E.D. Tex. 2019); Pragmatus Telecom, LLC v. Genesys Telecomms.

Labs., Inc., 114 F. Supp. 3d 192, 200 (D. Del. 2015). The district court improperly

relieved Appellees of this burden by formulating its own set of allegedly

representative claims. The district court also erred by failing to confine its Alice

analysis to claim 1 of ’002 patent—the claim Appellees actually asserted was

representative. See PPS Data, 404 F. Supp. 3d at 1031. Appellees try to hide
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these errors by shifting the burden to VoIP-Pal to identify eligibility-determinative

differences between the allegedly representative claims and the non-representative

claims, which is improper because Appellees failed to make a prima facie case of

representativeness as to three of the four allegedly representative claims. Id.

Moreover, at least claim 29 of the ’330 patent and claim 14 of the ’762

patent do matter for eligibility because these claims provide many of the details

allegedly missing from the allegedly representative claims. Appx3402, 42:51-54;

Appx2216. Furthermore, the district court prevented VoIP-Pal from asserting

other claims that recite additional details regarding how the invention achieves its

desired goals in violation of VoIP-Pal’s due process rights. See PPS Data, 404 F.

Supp. 3d at 1032-33; Appx2749-2750, n. 8.; Appx8637-8638; Appx8660-8666.

B. The District Court Erred By Failing To Conduct Claim


Construction.

Appellees’ claim that VoIP-Pal never raised any claim construction dispute

in opposition to Appellees’ motion to dismiss strains credulity. The parties fully

briefed claim construction nearly three months before the district court dismissed

the case. Appx165, # 93-95. By definition, the parties’ claim construction

disputes related to Appellees’ motion to dismiss. Appx2435 (identifying claim

construction disputes). In particular, VoIP-Pal proposed that the disputed terms

“participant profile,” “user profile,” and “attributes” be construed as user specific.

Appx3473-3475. Moreover, VoIP-Pal sought leave to file a supplemental brief in


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support of its opposition to Appellees’ motion to dismiss to point out that Apple

argued to the PTAB that the asserted claims required user-specific features—the

exact opposite position that Appellees took in their motion to dismiss and take

now. Appx3647-3653. VoIP-Pal expressly argued that “whether the claims

require such user-specific features is material to the Alice analysis.” Appx3652-

3653. Inexplicably, the district court refused to construe the terms, to hold Apple

to the construction it urged to the PTAB, or to adopt VoIP-Pal’s construction of the

terms that VoIP-Pal argued in its opposition should be construed as user-specific.

If VoIP-Pal did not make it clear in its opposition or its claim construction brief

that it was arguing that certain terms should be construed as user specific, then

VoIP-Pal made it abundantly clear in its supplemental brief. Appx3652-3653, n. 7.

Thus, Appellees’ claim that VoIP-Pal did not raise a claim construction dispute or

that VoIP-Pal waived any claim constructions arguments is demonstrably false.

The district court’s failure to adopt VoIP-Pal’s construction of the terms

“participant profile,” “user profile,” and “attributes,” or to perform any claim

construction whatsoever, is especially egregious because the district court violated

this Court’s precedent in MyMail v. ooVoo. The district court in this case is the

same district court in MyMail that the Court found “erred by failing to address the

parties’ claim construction dispute before concluding, on a [Rule 12] motion, that

the MyMail patents [were ineligible].” See MyMail, Ltd. v. ooVoo, LLC, 934 F.3d

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1373, 1381 (Fed. Cir. 2019). Worse, the district court did not even cite MyMail

though the Court decided MyMail nearly three months earlier.

Appellees’ attempt to show that there was no dispute between the parties’

proposed constructions of “participant profile,” “user profile,” and “attributes”

misses the point. The dispute is not whether the difference in the parties’ proposed

constructions impacts the eligibility analysis. The dispute is that both parties

proposed that the Court construe these terms to be user specific but for the

purposes of its motion to dismiss and this appeal, Appellees repeatedly argue that

the claim requires no user specificity whatsoever. See, e.g., RB20; RB30; RB34-

35; RB46-47; RB48; RB53. This dispute impacts that eligibility analysis because

the district court determined that the asserted claims are not directed to user-

specific handling when both parties’ proposed constructions of the claims require

user-specific handling. Appx55. The district court also rejected user-specific

handling as an inventive concept though no evidence in the record refutes VoIP-

Pal’s factual allegations that user-specific handling is an inventive concept.

Appx71-72; see Aatrix, 882 F.3d at 1125. These disputes “demonstrate a need for

claim construction” and preclude a finding that the asserted claims were well

understood, routine, and conventional. Id. at 1129.

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C. The Ineligibility Determination Was Premature.

Attempting to drive a wedge between the claims and VoIP-Pal’s plausible

factual allegations that the alleged inventive concepts were not well understood,

routine, or conventional, Appellees again resort to their go-to argument, which is

that the claims do not recite the alleged inventive concepts. As discussed above,

the asserted claims plainly do recite inventive concepts—they just do not, as

Appellees contend, recite the words “user-specific calling” and “transparent

routing.”

But like the district court, Appellees mistakenly believe that the asserted

claims do not recite an inventive concept because they allegedly “lack the requisite

‘how’” to achieve the inventive concept and therefore there is no need to consider

whether the recited inventive concepts were not well understood, routine, or

conventional. RB58; Appx76. The district court adopted this theory from Two-

Way Media, which in turn relies on Electronic Power Group v. Alstom for applying

the how test at step two. See Two-Way Media Ltd v. Comcast Cable Communs.,

LLC, 874 F.3d 1329, 1339 (Fed. Cir. 2017) (“Inquiry therefore must turn to any

requirements for how the desired result is achieved.”) (citing Elec. Power Group,

LLC v. Alstom S.A., 830 F.3d 1350, 1355 (Fed. Cir. 2016)). But a closer reading of

both Two-Way Media and Electric Power shows that the Court considered whether

the claims-at-issue recited non-conventional components or a non-conventional

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and non-generic arrangement of known, conventional pieces under BASCOM. See

Two-Way Media, 874 F.3d at 1339 (citing BASCOM, 827 F.3d at 1350); Electric

Power, 830 F.3d at 1355 (citing BASCOM, 827 F.3d 1341). Thus, contrary to the

district court’s and Appellees’ theory, the not-well understood, non-routine, and

unconventional nature of the asserted claims is the relevant consideration to

determining how the asserted claims achieve their inventive concept. And, as

explained above, the asserted claims satisfy this test. Thus, the district court had

no basis for not attributing the inventive concepts to the asserted claims, even

under the how test.

The district court’s and Appellees’ belief that step two can turn on something

other than the factual determination of whether the asserted claims recite not-well

understood, not routine, and unconventional activities is plainly erroneous. In

Berkheimer v. HP, the Court specifically identified the step two question of

“whether something is well-understood, routine, and conventional” as “a factual

determination.” Id. at 1368-69 (quotation omitted). Not every case presents

factual disputes. But, Berkheimer made clear that step two of the eligibility inquiry

involves questions of fact. See Berkheimer, 881 F.3d at 1367-1368. As the Court

recently stated in Cellspin Soft v. Fitbit, “the principle, implicit in Berkheimer and

explicit in Aatrix, that factual disputes about whether an aspect of the claims is

inventive” is one that “may preclude dismissal at the pleadings stage under § 101.”

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Cellspin Soft, 927 F.3d at 1318. Thus, the question at the pleadings stage is

whether VoIP-Pal made “plausible and specific factual allegations that aspects of

the claims are inventive,” or merely conclusory allegations, “wholly divorced from

the claims.” Id. at 1317. Because VoIP-Pal made specific, plausible, and unrefuted

factual allegations about why aspects recited in the asserted claims were

unconventional, the district court erred in finding the asserted claims ineligible.

V. CONCLUSION

In conclusion, VoIP-Pal respectfully requests that the Court reverse the

judgment of invalidity of the asserted claims and remand this case to the district

court for further proceedings.

Dated: June 10, 2020 Respectfully submitted,

Hudnell Law Group P.C.

By: /s/ Lewis E. Hudnell, III


Lewis E. Hudnell, III

Attorneys for Plaintiff-Appellant


VoIP-Pal.com, Inc.

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CERTIFICATE OF SERVICE

I hereby certify that on June 10, 2020, I caused the foregoing brief to be

electronically filed with the Clerk of the Court for the United States Court of

Appeals for the Federal Circuit by using the appellate CM/ECF system.

Participants in the case are registered CM/ECF users and service will therefore be

accomplished by the appellate CM/ECF system.

Dated: June 10, 2020 Respectfully submitted,

Hudnell Law Group P.C.

By: /s/ Lewis E. Hudnell, III


Lewis E. Hudnell, III

Attorneys for Plaintiff-Appellant


VoIP-Pal.com, Inc.

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CERTIFICATE OF COMPLIANCE WITH TYPE-VOLUME LIMITATIONS,


TYPEFACE REQUIREMENTS, AND TYPE STYLE REQUIREMENTS

1. This brief complies with the type-volume limitation of Federal Circuit

Rule 32(a) because it contains 6,937 words, excluding the parts of the brief

exempted by Federal Rule of Appellate Procedure 32(f) and Federal Circuit Rule

32(b).

2. This brief complies with the typeface requirements of Federal Rule of

Appellate Procedure 32(a)(5) and the type style requirements of Federal Rule of

Appellate Procedure 32(a)(6) because it was prepared in a proportionally spaced

font using Microsoft Word in Times New Roman 14-point font.

Dated: June 10, 2020 Respectfully submitted,

Hudnell Law Group P.C.

By: /s/ Lewis E. Hudnell, III


Lewis E. Hudnell, III

Attorneys for Plaintiff-Appellant


VoIP-Pal.com, Inc.

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