Taylor v. Taylor Made Plastics, Inc. , 565 F. App'x 888 ( 2014 )


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  •        NOTE: This disposition is nonprecedential.
    United States Court of Appeals
    for the Federal Circuit
    ______________________
    JAMES R. TAYLOR,
    Plaintiff-Appellant,
    v.
    TAYLOR MADE PLASTICS, INC.,
    Defendant-Appellee.
    ______________________
    2014-1212
    ______________________
    Appeal from the United States District Court for the
    Middle District of Florida in No. 8:12-cv-00746-EAK-AEP,
    Judge Elizabeth A. Kovachevich.
    ______________________
    Decided: May 9, 2014
    ______________________
    JAMES R. TAYLOR, of St. Petersburg, Florida, pro se.
    AMY L. DRUSHAL, Trenam, Kemker, Scharf, Barkin,
    Frye, O’Neill & Mullis, P.A., of Tampa, Florida, for de-
    fendant-appellee. With her on the brief was ADAM S.
    BUTKUS.
    ______________________
    Before DYK, REYNA, and TARANTO, Circuit Judges.
    2                      TAYLOR   v. TAYLOR MADE PLASTICS, INC.
    PER CURIAM.
    James Taylor (James T.) appeals the dismissal of his
    patent infringement suit by the United States District
    Court for the Middle District of Florida. The district court
    held that James T. lacked standing because he was not
    the sole owner of the patent and his co-owner did not join
    the suit. We affirm.
    BACKGROUND
    James T. is the inventor of U.S. Patent No. 5,806,566,
    which is directed to a “storm drainage conduit plug and
    sealing band therefor.” U.S. Patent No. 5,806,566 (’566
    patent) [54] (title). The invention is essentially an elastic
    plug that fits into the open end of a storm drainage con-
    duit or sewer pipe. The patent explains that such a plug is
    often necessary to prevent dirt and debris from entering
    the pipe opening during installation at a construction site.
    James T. is the inventor of several patents in this area,
    including at least three granted by the United States
    Patent and Trademark Office and one granted by the
    Canadian Intellectual Property Office.
    At the time James T. obtained the ’566 patent, he was
    married to a woman named Mary Louisa Taylor
    (Mary T.). The marriage began in 1987 and lasted until
    2011. The end of the marriage was marked by a conten-
    tious divorce in which the parties disputed many issues,
    including property ownership.
    As part of its final judgment dissolving the marriage,
    the Florida circuit court ordered an equitable distribution
    of marital property. Under Florida law, divorce courts
    have authority to divide marital assets unequally if the
    court determines that an unequal distribution is warrant-
    ed by certain equitable considerations. Fla. Stat.
    § 61.075(1). Assets acquired by either spouse during the
    marriage are presumed to be marital assets subject to
    equitable distribution. 
    Id. § 61.075(6)(a)(1)(a),
    (8). These
    TAYLOR   v. TAYLOR MADE PLASTICS, INC.                    3
    may include patents. See Gulbrandsen v. Gulbrandsen, 
    22 So. 3d 640
    , 644 (Fla. Dist. Ct. App. 2009) (“[A] patent is
    personal property that may be the subject of equitable
    distribution when the inventor and his or her spouse
    dissolve their marriage.”).
    The circuit court found that the Taylors’ main assets
    were the pipe plug patents, which were marital property
    subject to equitable distribution. Based on its assessment
    of the equities, the court ordered that proceeds “from the
    production of the patents” be split unequally, with 60%
    going to Mary T. and 40% to James T. J.A. 43.
    On April 9, 2012, James T. filed this suit against Tay-
    lor Made Plastics, Inc. (Taylor Made), alleging infringe-
    ment of the ’566 patent. The complaint alleged that
    James T. “owned the patent throughout the period of the
    defendant’s infringing acts and still owns the patent.” J.A.
    22. Taylor Made moved to dismiss the complaint, arguing
    that James T. lacked standing because Mary T. was a co-
    owner of the ’566 patent by virtue of the divorce, and she
    had not joined the suit. The district court dismissed the
    complaint on April 29, 2013.
    James T. appealed the dismissal to the United States
    Court of Appeals for the Eleventh Circuit, which trans-
    ferred the case to this court. We have jurisdiction under
    28 U.S.C. § 1295(a)(1). We review the dismissal for lack of
    standing de novo. Fieldturf Inc. v. Sw. Recreational In-
    dus., Inc., 
    357 F.3d 1266
    , 1268 (Fed. Cir. 2004).
    DISCUSSION
    The long-established rule is that a suit for patent in-
    fringement must join all co-owners of the patent as plain-
    tiffs. Waterman v. Mackenzie, 
    138 U.S. 252
    , 255 (1891). If
    any co-owner should refuse to join as a co-plaintiff, the
    suit must be dismissed for lack of standing. Id.; see also
    Ethicon, Inc. v. U.S. Surgical Corp., 
    135 F.3d 1456
    , 1468
    (Fed. Cir. 1998). But a party is not co-owner of a patent
    4                      TAYLOR   v. TAYLOR MADE PLASTICS, INC.
    for standing purposes merely because he or she holds an
    equitable interest in the patent. Arachnid, Inc. v. Merit
    Indus., Inc., 
    939 F.2d 1574
    , 1578–82 (Fed. Cir. 1991).
    Rather, a co-owner must hold legal title to the patent. 
    Id. at 1579
    (citing Crown Die & Tool Co. v. Nye Tool & Mach.
    Works, 
    261 U.S. 24
    , 40–41 (1923)). Legal title vests initial-
    ly in the inventor, and passes to others only through
    assignment or other effective legal transfer. 
    Id. at 1578
    n.2.
    Before the district court, James T. argued that
    Mary T. was not the owner of legal title to the ’566 patent,
    but he does not press that argument on appeal. 1 Instead,
    James T. argues in his brief that the district court erred
    in dismissing the complaint because Mary T. either (1)
    joined the suit as a co-plaintiff by participating in media-
    tion or (2) waived participation in the suit by entering an
    agreement with James T. These arguments need not be
    discussed in detail, as they are stated only in a cursory
    fashion without any supporting facts. It is enough to note
    that James T. has the burden of establishing standing,
    Sicom Sys., Ltd. v. Agilent Techs., Inc., 
    427 F.3d 971
    , 976
    (Fed. Cir. 2005), and that he has failed to carry that
    burden.
    AFFIRMED
    COSTS
    No costs.
    1   In fact, James T.’s appellate brief appears to con-
    cede that Mary T. is a co-owner of the patent. See Appel-
    lant’s Br. 1 (“Please rule on the Lower Court’s ruling and
    confirm that by virtue of the lower Court James Taylor
    and Mary Louisa Taylor are the owners of said patent
    mentioned in lawsuit.”).