Old Dawg, Still the Same Tricks: Bankruptcy Asset Successor is Also Inter Partes Re-Exam Successor

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The US Court of Appeals for the Federal Circuit issued a modified opinion correcting certain facts relating to a decision in which it originally concluded that because a plaintiff was a successor in bankruptcy, it was a successor in an inter partes re-examination. Mojave Desert Holdings, LLC v. Crocs, Inc., Case No. 20-1167 (Fed. Cir. Apr. 21, 2021 (modified), Feb. 11, 2021 (original)) (Dyk, J.)

In its original decision, the Court found that Mojave should be substituted for the original requestor following the sale of the original re-examination requestor’s right, title and interest in, to and under its assets to a holding company, which further assigned such assets and interests to Mojave. After the decision, Crocs moved for reconsideration because the original opinion incorrectly found that Mojave was the original requestor’s successor-in-interest. Instead, Crocs argued that Mojave had simply acquired assets from the original requestor, including litigation claims. Crocs argued that this distinction necessitated reconsideration of the original decision.

In response, the Federal Circuit issued a modified opinion that, while clarifying the facts, did not change the ultimate outcome. The Court found that the transfer of assets, including rights and claims of past acts of infringement, provided necessary Article III standing to maintain the proceeding. Accordingly, the Court allowed Mojave to be substituted for the original requestor.

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