On July 8, 2015, AliphCom d/b/a Jawbone of San Francisco, California and BodyMedia, Inc. of Pittsburgh, Pennsylvania (collectively, "Jawbone") filed a complaint requesting that the ITC commence an investigation pursuant to Section 337.
The complaint alleges that Fitbit, Inc. of San Francisco, California ("Fitbit") and Flextronics International Ltd. of San Jose, California, Flextronics International Singapore Pte Ltd. of Singapore, and Flextronics Sales & Marketing (A-P) Ltd. of Mauritius (collectively, "Flextronics") (all collectively, the "Proposed Respondents") unlawfully import into the U.S., sell for importation, and/or sell within the U.S. after importation certain wearable fitness and activity tracker devices, systems, and components thereof that infringe one or more claims of U.S. Patent Nos. 8,446,275 (the '275 patent), 8,529,811 (the '811 patent), 8,793,522 (the '522 patent), 8,961,413 (the '413 patent), 8,073,707 (the '707 patent), and 8,398,546 (the '546 patent) (collectively, the "asserted patents").
The complaint further alleges that the Proposed Respondents have engaged in unfair competition and unfair acts by their access and improper use of Jawbone's trade secret confidential information related to Jawbone's technology and wearable product development plans, roadmaps, and financial information. According to the complaint, Fitbit solicited and pursued Jawbone employees who have access to Jawbone's highly proprietary confidential information. Also according to the complaint, Flextronics, after receiving confidential information through its manufacturing and prototyping for Jawbone, utilized the same team members to manufacture devices for Fitbit, and continued accessing Jawbone's confidential material long after Flextronics' relationship with Jawbone had ended.
According to the complaint, the asserted patents generally relate to technology used in wearable fitness and activity tracker devices to monitor and report on health and wellness metrics. In particular, the '275 patent relates to using a wearable tracker with sensors for detecting various data of the user to generate recommendations for health and wellness based on a target score derived from sensed characteristics. The '811 patent relates to techniques for applying protective layers to external moldings of the electronic components of a wearable device. The '522 patent relates to power consumption management for wearable devices. The '413 patent relates to a system for tracking a user's sleep state, including sleep onset and wake information. The '707 patent relates to a system for detecting, monitoring, and reporting physiological information about the user. Lastly, the '546 patent relates to a weight-loss system for nutrition and activity management.
In the complaint, Jawbone states that the Proposed Respondents import and sell products that infringe the asserted patents and violate the asserted trade secrets. The complaint specifically refers to the Fitbit Surge, Charge, ChargeHR, Flex, One, and Zip as infringing products.
Regarding domestic industry, Jawbone states that it engages in a broad range of qualifying domestic industry activities in the U.S. relating to articles protected by the asserted patents, including the UP24, UP2, UP3, Up Move, and UP4 products. Jawbone specifically refers to its research, design, development, engineering, product support, manufacturing support, software and firmware development, testing, and various customer support activities in the U.S. relating to its domestic industry products. Jawbone further states that the Proposed Respondents' access to Jawbone's trade secrets will provide Fitbit with significant competitive advantages, and substantially injure and threaten Jawbone's domestic industry.
As to related litigation, Jawbone states that it is currently engaged in litigation against Fitbit in the U.S. District Court for the Northern District of California, where it is alleging infringement of the asserted patents. In addition, Jawbone states that certain of its allegations of trade secret misappropriation are currently the subject of litigation against Fitbit in California state court. Lastly, Jawbone states that certain claims of the '707 patent were the subject of reexamination proceedings before the U.S. Patent and Trademark Office, and that such proceedings are currently on appeal before the U.S. Court of Appeals for the Federal Circuit.
With respect to potential remedy, Jawbone requests that the Commission issue a limited exclusion order and a cease and desist order directed at the Proposed Respondents and related companies.