FILED

UNITED STATES DISTRICT COURT EASTERN DISTRICT OF VIRGINIA NORFOLK DIVISION

Z013 CZC 20 P 3: 53
CLERK US DISTRICT COURT ALEXANDRIA. VIRGINIA

FREIGHT TRACKING

TECHNOLOGIES, LLC
Plaintiff
vs.

CIVIL ACTION NO

APM TERMINALS VIRGINIA, INC., and APM TERMINALS NORTH AMERICA,

INC. Defendant.

COMPLAINT AND DEMAND FOR JURY TRIAL

Plaintiff Freight Tracking Technologies, LLC ("Plaintiff or "Freight Tracking") by its

attorneys complain of Defendants APM Terminals Virginia Inc. and APM Terminals North
America, Inc. as follows:
Nature of the Action

1.

This is an action for patent infringement under 35 U.S.C. 271, et seq, by Freight

Tracking against APM Terminals Virginia Inc. and APM Terminals North America, Inc.
(collectively, "APM") for infringement of United States Patent Nos. 6,266,008 (the '"008

patent") and 7,102,564 (the '"564 patent") through APM's use of Freight Tracking's patented technology for determining the locations of freight containers in freight yards using GPS receivers at the APM Terminals Virginia marine terminal in Portsmouth, Virginia, as well as at
other APM operated terminals throughout the United States.

The Parties

2.

Plaintiff Freight Tracking Technologies, LLC is a Texas limited liability company

with its principal place of business at 901 South MoPac Expressway, Austin TX 78746. Charles

D. Huston, the named inventor of the '008 and '564 patents, is the managing member of Freight
Tracking. Plaintiff is the assignee of the '008 and '564 patents. A copy of the '008 patent is
attached at Exhibit A; a copy of the '564 patent is attached as Exhibit B.

3.

Defendant APM Terminals Virginia Inc. is a Virginia corporation with its

principal place of business at 9300 Arrowpoint Blvd., Charlotte NC 28273.

4.

Defendant APM Terminals North America is a Delaware corporation registered in

Virginia, with its principal place of business at 1000 APM Terminals Blvd., Portsmouth VA
23703.
Jurisdiction and Venue

5.

This Court has jurisdiction over the subject matter of this action pursuant to 28

U.S.C. 1331 and 1338(a).

6.

This Court has personal jurisdiction over APM by virtue of its continuous,

systematic contacts with the Commonwealth of Virginia and this Judicial District, and by virtue

of its purposeful availment of the resources of this Judicial District. See, e.g., APMTerminals North America, Inc. v. Versiant Corporation, Inc., Civ. A. No. 2:13-cv-00579 (E.D. Va. 2013);
APM Terminals Virginia, Inc. v. M/VZHENHUA 24 et al, Civ. A. No. 2:1l-cv-00102 (E.D. Va.
2011).

7.

Venue is proper in this Court pursuant to 28 U.S.C. 1391(b) and 1400(b),

because substantial infringing activities are occurring in this judicial district, including at the APM marine terminal in Portsmouth, Virginia. Venue is further proper as APM is registered

within the Commonwealth of Virginia and APM TerminalsNorth America, Inc.'s principal place
of business is located in Portsmouth. Background and Overview of the '008 and '564 Patents

8.

The invention claimed in the '008 and '564 patents is the brainchild of Charles D.

Huston, a Stanford educated industrial engineer who served for nearly twenty years as an Air

Force fighter pilot. Around 1989, Mr. Huston was searching for methods to track opposing

fighters in air combatfor mission reconstruction. Mr. Huston spent many hours researching GPS
technology, even though GPS was not declared operational until 1994.

9.

These experiences led Mr. Huston to seek practical, multi-disciplinary

applications for GPS technology. For example, in 1990, Mr. Huston thought of using GPS on golf courses and approached co-inventor Darryl Cornish to assist. Through experimentation and research, Messrs. Huston and Cornish determined they could provide golfers with range finders
and real-time tracking despite GPS signals being intentionally downgraded (called selective availability) by the U.S. government prior to 2000. 10. In 1991, Messrs. Huston and Cornish filed a patent application that resulted in

U.S. Patent No. 5,364,093 ("the '093 patent").

11.

In 1994, Messrs. Huston and Cornish were exploring other uses for their

technology. Two results were the '008 and '564 patents, which were filed as continuations-inpart of the aforementioned '093 patent. 12. The technology claimed in the '008 and '564 patents enable GPS tracking of

freight containers. More specifically, the patents provide a system and method for determining
the locations of freight containers in a freight yard using a remote unit that includes a GPS
receiver.

13.

The use of the patented technology of the '008 and '564 patentshas allowed

marine terminal operators to enjoy significant cost savings by reducing wasted container moves and the incidence of lost containers reduced, as well as increased productivity, increased
container density, and fewer injuries to longshoremen.

14.

The '008 patent was filed on November 4, 1994. The systems and methods

claimed by the '008 patent were developed before GPS technology was widely commercially
accessible. Accordingly, the '008 patent is a pioneerpatent, having been forward cited in over
50 subsequent patent applications.

15.

On July 4, 2001, the U.S. Patent Office issued the '008 patent to Charles Huston

and Daryl Cornish.

16. 17.

The '564 patent was filed on April 13, 2004. On September 5,2006, the U.S. Patent Office issued the ' 564 patent to Charles

Huston and Daryl Cornish.

18.
to Mr. Huston.

On July 21,2011, Mr. Cornish assigned his interest in the '008 and '564 patents

19.

On September 12,2013, Mr. Huston assigned his interest in the '008 and '564

patents to Plaintiff Freight Tracking Technologies, LLC.

APM's Infringement of the '008 Patent

20.

APM is tracking containers that come through its freight yards by implementing

the systems and/orpracticing the methods of the '008 patent, including at least claim 18.
21. APM has implemented and uses technology at its terminals that give the terminal

the capacity to identify shipping containers and track their exact GPS location. 22. APM is therefore directly infringing the '008 patent by using the claimed systems

and methods of the '008 patent to determine freight container locations in its freight yards using
GPS technology.

23.

This infringement of the '008 patent by APM has caused and will continue to

cause Freight Tracking damage.

APM's Infringement of the '564 Patent

24.

APM is tracking containers that come through its freight yards by implementing

the systems and/or practicing the methods of the '564 patent, including at least claim 1. 25. APM has implemented and uses technology at its terminals that give the terminal

the capacity to identify shipping containers and track their exact GPS location. 26. APM is therefore directly infringing the '564 patent by using the claimed systems

and methods of the '564 patent to determine freight container locations in its freight yards using
GPS technology.

27.

This infringement of the '564 patent by APM has caused and will continue to

cause Freight Tracking damage. WHEREFORE, Plaintiff prays that this Court:
A. Enter judgment that APM has infringed the '008 and '564 patents;

B.

Award Plaintiff its damages, including at least a reasonable royalty, resulting

from the patent infringement of APM pursuant to 35 U.S.C. 284; C. Award Plaintiff its prejudgment interest on their damages and their costs, pursuant

to 35 U.S.C. 284;

D.

To the extent that APM continues to infringe Plaintiffs patented technology, yet

refuses to take a license, award APM an ongoing royalty sufficient to compensate adequately for
APM's ongoing infringement;

5-

E.

Award Plaintiff its fees and costs incurred in prosecuting this action, including

such fees and costs recoverable under 35 U.S.C. 285 and 28 U.S.C. 1920.

F.
proper.

Award Plaintiff any such other and further relief as the Court may deemjust and

JURY TRIAL DEMAND

Plaintiff demands a trial by jury on all issues so triable.

Dated: December 20,2013

WILEY REIN LLP

James H. Wallace, Jr.* Brian H. Pandya (VA 72233) Adrienne G. Johnson (VA 78631)
1776 K Street NW

Washington, D.C. 20006 (202) 719-7000 (phone) (202) 719-7049 (fax)

*pro hac viceforthcoming

ATTORNEYS FOR PLAINTTIF FREIGHT

TRACKING TECHNOLOGIES, LLC