Opinions and documents
UNITED STATES DISTRICT COURT
DISTRICT OF DELAWARE
No. 1:25-cv-00484
Seakeeper Inc.,
Plaintiff,
V.
Dometic Corporation,
Defendant.
OPINION AND ORDER
This case involves patents for gyroscopic boat stabilizers.
Plaintiff Seakeeper Inc. filed a motion for a preliminary injunction
and a motion for a temporary restraining order. In its motion for a
preliminary injunction, plaintiff asks the court to enjoin defend-
ant Dometic Corporation “from launching and shipping its in-
fringing DG3 gyrostabilizer product” during the pendency of the
litigation. Doc. 9 at 6. The court held a hearing on plaintiff’s mo-
tion for a TRO on May 28, 2025, and now addresses the nearly
identical TRO and PI motions in one order.
As explained below, the court finds that the motions (Docs. 8,
29) should be denied because there is a substantial question of va-
lidity as to plaintiff’s ’782 patent and plaintiff fails to convince
this court that its alleged harms will be irreparable.
I. Background
A. The disputed patents and devices
Seakeeper Inc. is the owner of two U.S. patents—U.S. Patent
Nos. 7,546,782 and 8,117,930—that cover marine gyrostabilizers
for use on smaller boats. Doc. 30 at 6. To adapt larger marine gy-
rostabilizers to small boats, the gyroscopes must use smaller fly-
wheels spinning at higher speeds. Doc. 9 at 8. To achieve these
higher speeds, the flywheels spin in a partial-vacuum enclosure.
Id. at 8-9. That design, while power-efficient, generates signifi-
cant heat in the bearings that hold the flywheel. /d. The Seakeeper
-l-
patents claim an invention to dissipate that heat through inter-
leaved, cylindrical vanes that are “in close proximity to one an-
other so that substantial heat is transferred” from the interior ro-
tating vanes to fixed vanes attached to the enclosure. Id. at 9.
For purposes of Seakeeper’s motions, dependent claim 17 of
the ’782 patent is representative. Doc. 9 at 12; Doc. 75 at 14. That
claim and independent claim 11 state the following:
Claim 11. Cooling apparatus for transferring heat from
and cooling one or more heat generating components that
support or drive a flywheel or other spinning member, the
apparatus comprising:
an enclosure enclosing the spinning member, the en-
closure containing a gas at below-ambient pressure
or below-ambient density, wherein an axis of rota-
tion about which the spinning member spins de-
fines an axial direction;
a first plurality of vanes attached to the spinning mem-
ber such that the first plurality of vanes spin with
the spinning member relative to the enclosure,
wherein the first vanes are cylindrical elements ex-
tending in a first direction substantially parallel to
the axial direction;
a second plurality of vanes fixed relative to the enclo-
sure and the spinning member such that the first
vanes move with respect to the second vanes,
wherein the second vanes are cylindrical elements
extending in a second direction substantially paral-
lel to the axial direction and opposite the first di-
rection, the second vanes defining cylindrical
shaped channels into which the first vanes extend
so that the first and second vanes are interleaved;
and
wherein the first and second vanes are positioned in
close proximity to one another so that substantial
heat is transferred from the first vanes to the
second vanes and the second vanes are configured
such that that heat can be readily transferred from
the second vanes to the exterior of the enclosure.
Claim 17. The apparatus of claim 11 wherein the spinning
member is a flywheel and the flywheel and enclosure are
part of gyroscopic roll stabilizer for a boat.
”782 patent at 11:6-33, 12:15-17. The following figures help illus-
trate the invention:
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782 patent, fig. 2
Seakeeper accuses the DG3 device of infringing claim 17 of the
”782 patent. Doc. 9 at 12-15. As with the patented technology, the
DG3 device is also designed for use in boat stabilization. The DG3
-3-
utilizes a bearing assembly that rotates a flywheel in an enclosure
with below-ambient pressure. Doc. 41 at 11. It contains cooling
fins that are coupled to the flywheel that rotate in close proximity
to adjacent fins fixed to the enclosure. Id. Dometic argues, how-
ever, that the DG3 differs from the Seakeeper patent because the
DG3 uses “an active cooling system, which . . . circulates [a] cool-
ing liquid through a coolant ‘loop,’ formed by a plurality of cool-
ant channels, inside the device’s enclosure.” Id.
B. Procedural history
The DG3 debuted on February 11, 2025, at the 2025 Miami
International Boat Show. Doc. 9 at 11. Seakeeper filed suit against
Dometic Corporation on April 21, 2025. Doc. 1. On May 5, 2025,
Seakeeper moved for a preliminary injunction, seeking to enjoin
Dometic from “launching and shipping” the DG3 stabilizer. Doc.
9 at 6. Seakeeper then moved for a TRO on May 15, 2025, report-
ing that Dometic would begin shipments of the DG3 device in
June 2025. Doc. 30 at 18. The court held a hearing on the TRO
motion on May 28, 2025.
II. Analysis
The court first addresses two procedural issues in this case.
The court then analyzes Seakeeper’s requests for a preliminary
injunction and TRO.
A. Procedural arguments
First, the court considers whether Seakeeper’s motions are
moot in light of letters filed after the TRO hearing. See Docs. 65,
67, 68. Second, the court addresses its power to enjoin defendant
Dometic Corporation and its indirect subsidiary Dometic Marine
Canada.
1. Mootness
After the TRO hearing, defendant filed a letter with the court
stating that it was willing to change the DG3 device to avoid in-
fringement. Specifically, defendant claims that the alternative de-
sign will avoid the ’782 patent’s requirement of having a “first
plurality of vanes” that are “cylindrical” and “interleaved” with
a “second plurality of vanes.” Doc. 65 at 2. Defendant filed a
sealed product diagram represented as showing that its new de-
sign avoids cylindrical, interleaved vanes. Doc. 65-1 at 2. It claims
that these product modifications render plaintiff’s motions for in-
junctive relief moot. Doc. 65 at 3. Plaintiff claims that this new
design is nothing more than a “last-minute attempt to stave off a
preliminary injunction.” Doc. 67 at 2.
“A case becomes moot—and therefore no longer a ‘Case’ or
‘Controversy’ for purposes of Article III—when the issues pre-
sented are no longer live or the parties lack a legally cognizable
interest in the outcome.” Already, LLC v. Nike, Inc., 568 U.S. 85,
91 (2013) (cleaned up). Mere voluntary cessation of the chal-
lenged conduct “does not deprive a federal court of its power to
determine the legality of the practice.” Friends of the Earth, Inc. v.
Laidlaw Env’t Servs. (TOC), Inc., 528 U.S. 167, 189 (2000). In-
stead, to establish mootness from voluntary cessation, defendant
must meet a “stringent” standard: that “subsequent events made
it absolutely clear that the allegedly wrongful behavior could not
reasonably be expected to recur.” Id. (emphasis added); see also
Already, 568 U.S. at 91.
Defendant fails to meet that formidable standard. First, its let-
ters do little to convince the court that the allegedly infringing
conduct could not reasonably be expected to recur. The letters ef-
fectively serve as a promise to the court to cease the allegedly in-
fringing conduct. See Doc. 65 at 2 (“Dometic will not make, sell,
or ship the version of the accused DG3 design that is depicted in
. . . Seakeeper’s TRO and PI Motions.”); Doc. 68 at 2 (noting it
“will put into production” the newer design). They only include
a design diagram of a possible redesigned machine showing new
vane architecture. Doc. 65-1 at 2. This is not enough to convince
the court that defendant’s conduct cannot reasonably be expected
to recur. On top of this, defendant previously expressed its unwill-
ingness to self-enjoin allegedly infringing gyroscope activities, in-
cluding shipments. Doc. 32-4 at 2, 4 (“Dometic is not willing to
self-enjoin . . . for the duration of the preliminary injunction pro-
ceedings.”).
Defendant offers no supplemental information to instill confi-
dence that the redesigned DG3 will completely replace the exist-
ing DG3 design. The court needs more than design diagrams and
affirmative statements by counsel. Cf. Already, 568 U.S. at 93–95
(holding that an “unconditional and irrevocable” covenant that
prohibited the challenged conduct made it “absolutely clear” the
allegedly unlawful activity could not reasonably be expected to re-
cur). This is especially true when, like the gyroscopes here, a ma-
chine is precision-manufactured to withstand extremely fast
speeds (thousands of revolutions per minute, as plaintiff’s coun-
sel noted at oral argument) with tight spatial tolerances (as little
as 0.025 mm of separation between the vanes, in the ’782 patent).
These design changes represent a significant undertaking that will
take time to implement.
Second, at oral argument, defendant clarified that approxi-
mately 12 units of the DG3 device are slated to be shipped in June.
Defendant did not contest at the hearing that these units meet the
plurality-of-cylindrical-interleaved-vanes limitation in dispute in
plaintiff’s motions. Defendant also did not clarify in its letter
whether these shipments will be canceled or whether the DG3
units in these shipments will be retrofitted to the new design.
Based on the information available to the court, these shipments
of the existing allegedly infringing devices might reasonably occur
in the future, with new devices manufactured after existing inven-
tory is exhausted. See Lane Shark USA, LLC v. Titan Implement,
LLC, No. 1:19-cv-00326, 2020 WL 13888633, at *4 (E.D. Tenn.
Nov. 30, 2020) (holding similarly when there was “nothing pre-
venting” the defendant from again manufacturing an infringing
design and when “models remain[ed] in the market” from various
dealers nationwide).
Defendant has failed to meet its burden to make it absolutely
clear that the allegedly infringing DG3 is not reasonably expected
to be made, used, offered for sale, or sold in the United States. Cf.
Infiltrator Sys., Inc. v. Cultec, Inc., 171 F. App’x 847, 848 (Fed. Cir.
2006) (unpublished) (holding infringing sales not reasonably ex-
pected to recur where an allegedly infringing product design was
not manufactured for at least three years and all old inventory had
been scrapped). Therefore, plaintiff’s motions for injunctive re-
lief are not moot. The court will assess plaintiff’s arguments as to
the design of the DG3 that was presented in its motions and at
oral argument.
2. Enjoining Dometic Corporation
Next, defendant Dometic Corporation argues that plaintiff
sued the wrong entity. It claims that defendant has “no involve-
ment with the DG3.” Doc. 41 at 12. Instead, Dometic Marine Can-
ada, Inc. (DMC)—a Canadian indirect subsidiary of the Ameri-
can Dometic Corporation—is the entity that is “responsible for
[the DG3’s] design, manufacture, and distribution.” Id. The ulti-
mate parent company of both Dometic Corporation and DMC is
a Swedish company, Dometic Group AB. Doc. 46 at 12 n.3. So the
court analyzes whether it can enjoin defendant Dometic Corpora-
tion.
Federal Rule of Civil Procedure 65(d)(2) states that an order
granting an injunction “binds only the following who receive ac-
tual notice of it by personal service or otherwise: (A) the parties;
(B) the parties’ officers, agents, servants, employees, and attor-
neys; and (C) other persons who are in active concert or partici-
pation” with the entities described in (A) and (B).
“A district court must have personal jurisdiction over a party
before it can enjoin its actions.” Ins. Corp. of Ir. v. Compagnie des
Bauxites de Guinee, 456 U.S. 694, 711 n.1 (1982) (Powell, J., con-
curring) (citing Zenith Radio Corp. v. Hazeltine Rsch., Inc., 395
U.S. 100, 111–12 (1969)). The Supreme Court recognizes two
classifications of personal jurisdiction: general jurisdiction and
specific jurisdiction. Specific jurisdiction encompasses actions
that “aris[e] out of or relate[] to the defendant’s contacts with the
forum.” Goodyear Dunlop Tires Operations, S.A. v. Brown, 564 U.S.
915, 923–24 (2011). General jurisdiction is distinct from the
defendant’s contacts with a State—general jurisdiction may be ex-
ercised only when the corporation’s “affiliations with the State [in
which suit is brought] are so ‘continuous and systematic’ as to
render [it] essentially at home in the forum State.” Daimler AG v.
Bauman, 571 U.S. 117, 127 (2014). In assessing a personal-jurisdic-
tion question in a patent case, the court looks to Federal Circuit
precedent. Tigo Energy Inc. v. SMA Solar Tech. Am. LLS, No. 1:22-
cv-00915, 2023 WL 6990896, at *3 (D. Del. Oct. 23, 2023) (citing
Avocent Huntsville Corp. v. Aten Int’l Co., 552 F.3d 1324, 1328
(Fed. Cir. 2008)).
The parties do not contest that this court has personal juris-
diction, by means of general jurisdiction, over defendant Dometic
Corporation, Doc. 75 at 64, since it is incorporated in Delaware.
Daimler, 571 U.S. at 137 (reiterating that “the place of incorpora-
tion and principle place of business are paradigm bases for general
jurisdiction” (cleaned up)). Because the court has general juris-
diction over defendant, it need not engage in a specific-jurisdic-
tion analysis as to it.
a. Direct liability
Having assessed that the court has jurisdiction over Dometic
Corporation, the court next determines what involvement, if any,
Dometic Corporation demonstrates regarding the DG3 device.
This is a consideration of causation and redressability. Plaintiff
must show that that the injury is “likely caused by the defendant.”
TransUnion LLC v. Ramirez, 594 U.S. 413, 423 (2021). It then
must show that its alleged harms “would likely be redressed by
judicial relief”—that is, a potential injunction governing the ac-
tions of Dometic Corporation. Id.
Plaintiff points to three direct actions that defendant takes
with regard to the DG3 that may suffice to subject it to an injunc-
tion: offering the DG3 for sale on its website, importing the device
into the United States, and using the DG3 at public boat show in
Miami earlier in the year. Doc. 62 at 5–6; see also 35 U.S.C.
§ 271(a).
First, plaintiff argues that defendant offers the DG3 device for
sale on its website, which induces boat manufacturers to do the
same. Doc. 62 at 5. The facts support the conclusion that the DG3
is offered for sale on Dometic Corporation’s website. See generally
Doc. 54. That website states that it is run by “Dometic Corpora-
tion (U.S.).” Id. at 6. The website’s terms and conditions of sale
state that the terms apply to Dometic Corporation and “any
Dometic Corporation subsidiary,” indicating defendant sets some
of the terms of its subsidiary’s sales and warranties. Id. at 8. Most
importantly, the website invites customers to submit contact in-
formation so that a specialist may “reach out with more infor-
mation.” Id. at 9. The U.S. company also announced the release
of the DG3 from Illinois. Doc. 54-1 at 2.
These types of activities constitute potentially infringing ac-
tivities. This court has held that offers for sale, which are acts of
infringement under § 271(a), encompass website advertisements
that provide “pricing and/or other ordering information.” ISCO
Int’l, Inc. v. Conductus, Inc., No. 1:01-cv-00487, 2003 WL 280276,
at *2 (D. Del. Feb. 10, 2003) (declining to enter summary judg-
ment when a “question of material fact” existed regarding
whether pricing details or ordering information was present on a
website); see also 3D Sys., Inc. v. Aarotech Labs., Inc., 160 F.3d 1373,
1379 (Fed. Cir. 1998) (holding that price-quotation letters were
offers for sale under § 271 where they contained “a description of
the allegedly infringing merchandise and the price at which it can
be purchased”). In sum, this collection of information “gen-
erat[es] interest in a potential infringing product to the commer-
cial detriment of” plaintiff, which is “exactly the type of activity”
that § 271(a)’s prohibition on offers for sale was designed to pre-
vent. 3D Sys., 160 F.3d at 1379.
Second, plaintiff argues that defendant imported and used the
DG3 device at a trade show in Miami. Doc. 62 at 6. The parties
agree that the DG3 is manufactured outside of the United States.
Plaintiff argues that “Dometic operated a booth at which im-
ported units of the DG3 product were showcased.” Id. This
included hourly demonstrations. Doc. 54 at 1. Defendant notes
that it was “possible” that a Dometic Corporation employee was
in the booth. Doc. 75 at 61. Plaintiff further submits evidence of
the booth and its employees’ uniforms, which bear the Dometic
trademark. Doc. 54 at 2.1
As discussed at oral argument, neither party has provided any
indication that the DG3 will continue to be displayed by defendant
at future boat shows—and this information alone would not be
sufficient to subject defendant to plaintiff’s request for prospective
relief. But this use, combined with its offering for sale, builds on
a series of actions by defendant that demonstrate ongoing involve-
ment sufficient to hold Dometic Corporation to an injunction if
this court finds that plaintiff meets the injunctive-relief test be-
low. See Aro Mfg. Co. v. Convertible Top Replacement Co., 377 U.S.
476, 484 (1964) (“[I]t has often and clearly been held that unau-
thorized use, without more, constitutes infringement.”).
Plaintiff has successfully alleged activities by Dometic Corpo-
ration under § 271(a) that convince this court Dometic Corpora-
tion is the alleged cause to some of plaintiff’s injury and that pro-
spective relief, by its enjoining ongoing uses and offers for sale
within the United States, would at least partially redress that
harm. This is enough for the analysis to move forward to the sub-
stantive portion of plaintiff’s request for injunctive relief.
b. Subsidiary liability
If defendant had not performed the activities above, plaintiff
would still seek to impute the actions of defendant’s Canadian
subsidiary, DMC, to defendant itself. “As a general matter, a par-
ent company may be held liable for the patent infringement of its
subsidiaries.” Tarkus Imaging, Inc. v. Adobe Sys., Inc., No. 1:10-cv-
00063, 2011 WL 1557930, at *2 n.1 (D. Del. Apr. 21, 2011) (citing
A. Stucki Co. v. Worthington Indus., Inc., 849 F.2d 593, 596 (Fed.
Cir. 1988)). This requires a veil-piercing analysis. A. Stucki, 89
1 The court considers below whether DMC’s actions can be imputed to
defendant. However, here, the question is whether this demonstration in-
volved the direct contributions of defendant’s U.S. employees.
F.2d at 596. Two tests—the alter ego test and the agency test—
are considered to determine whether piercing the corporate veil is
appropriate. SRI Int’l, Inc. v. Internet Sec. Sys., Inc., No. 1:04-cv-
01199, 2005 WL 851126, at *3 (D. Del. Apr. 13, 2005).2
The court begins with alter ego. “[P]laintiffs must essentially
demonstrate that in all aspects of the business, the two corpora-
tions actually functioned as a single entity and should be treated
as such.” Pearson v. Component Tech. Corp., 247 F.3d 471, 485 (3d
Cir. 2001). This can include a showing that the parent exercised
“complete domination and control” over the subsidiary. Mobil Oil
Corp. v. Linear Films, Inc., 718 F. Supp. 260, 266 (D. Del. 1989).
Plaintiff must demonstrate “some fraud, injustice, or inequity in
the use of the corporate form.” C.R. Bard, Inc. v. Guidant Corp.,
997 F. Supp. 556, 559 (D. Del. 1998).
Plaintiff does not attempt to argue that DMC is Dometic Cor-
poration’s alter ego. Instead, in describing the relationship be-
tween DMC and Dometic Corporation, plaintiff argues it is “not
necessary” to establish an alter-ego relationship. Doc. 62 at 7. De-
fendant then asserts that “DMC is an independent corporation,
separate from Dometic Corporation, and is responsible for its own
management, operations, and governance.” Doc. 41 at 13. Based
on the facts as they are currently developed, the court cannot con-
clude that defendant is the alter ego of DMC.
The court next considers the agency theory. The focus of this
theory is on “the arrangement between the parent and the subsid-
iary, the authority given in that arrangement, and the relevance of
that arrangement to the plaintiff’s claim.” C.R. Bard, 997 F. Supp.
at 560. For liability to extend to the parent, there must be a “close
connection between the relationship of the corporations and the
cause of action.” Id. The agency theory differs from the alter ego
2 In the event that DMC is joined as a defendant, this court has before
described these tests as “two theories under which a defendant company may
be subject to personal jurisdiction in Delaware by virtue of the court’s personal
jurisdiction over the defendant company’s affiliate.” Cephalon, Inc. v. Watson
Pharms., Inc., 629 F. Supp. 2d 338, 347 (D. Del. 2009).
theory in that it “attributes specific acts to the parent” but does
not treat them “as one entity.” Id.
Plaintiff, for the first time in its reply, attempts to show a pos-
sible agency relationship. Defendant and DMC are both indirect
subsidiaries of Dometic Group AB, Doc. 46 at 12 n.3, and DMC
is an indirect subsidiary of defendant Dometic Corporation, Doc.
62 at 6. Defendant argues that DMC is independent, separate, and
responsible for its own operations. Doc. 46 at 12. But plaintiff al-
leges that Dometic Corporation sets pricing, warranty, and pay-
ment terms for DMC and its sales of the DG3. Doc. 62 at 5. The
court agrees that there is some level of control that exists in the
relationship between the two and in the context of the cause of
action before the court.
On the current record, the court finds a substantial likelihood
that the two businesses held themselves out as one “Dometic”
company when displaying the DG3 at the Miami boat show. Doc.
54 at 2. Defendant conceded that Dometic Corporation employ-
ees were possibly present at the “Dometic” booth. Doc. 75 at 61.
These employees displayed similar “Dometic” trademarks on
their promotional materials and uniforms. Doc. 54 at 2. Dometic
Corporation has before claimed, in a complaint in the Southern
District of Florida,3 that the same “Dometic” trademark is one
that it “has expended significant time and effort in advertising,
promoting, and developing.” Doc. 54-3 at 5–6. This trademark has
“become associated exclusively with Dometic by . . . the general
public at large.” Id. at 6 (emphasis added). Though it claims it
does so “for the sake of brevity and simplicity,” defendant also
refers to the companies collectively. Doc. 65 at 2 n.1.
The court has little information on the level of control defend-
ant has over DMC, especially concerning defendant’s role, if any,
in importing the DG3. But the facts above demonstrate a substan-
tial likelihood that an agency relationship exists between the two
3 In that case, the plaintiff was “Dometic Corporation d/b/a Dometic Ma-
rine,” and that party, the same Delaware company that is the defendant here,
referred to itself as “Dometic” throughout the complaint. Doc. 54-3 at 2, 4.
corporations. Because of the early stage of the case, plaintiff has
had little to no opportunity for discovery covering the corporate
structure and division of responsibilities between the two compa-
nies. But, at this juncture, the court makes a preliminary finding
of an agency relationship for the purposes of resolving plaintiff’s
injunctive-relief motions.
3. Enjoining Dometic Marine Corporation
Plaintiff did not formally move for an injunction against DMC
and clarified that it sought an injunction against Dometic Corpo-
ration to prevent it from “acting in concert, aiding, abetting, or
otherwise doing anything . . . with others to infringe this patent.”
Doc. 75 at 55:3–6. But plaintiff might seek to enforce any injunc-
tion against DMC, should it work with defendant to import the
DG3, in another motion. Id. at 55:12–14 (noting that said motion
might be brought before this court or “perhaps . . . where [DMC]
admits to being subject to that personal jurisdiction”). For pur-
poses of completeness, the court considers whether it could in-
clude DMC in injunctive relief.
Relevant guidance from the Federal Circuit encourages a read-
ing of Rule 65(d) that prevents naming DMC in the injunction.
See Additive Controls & Measurement Sys., Inc. v. Flowdata, Inc.
(Additive Controls I), 96 F.3d 1390, 1395–96 (Fed. Cir. 1996). In
Additive Controls I, the court held that, even in light of the lan-
guage in Rule 65(d), a nonparty having a relationship of the sort
specified in subsections (B) and (C) “does not justify granting in-
junctive relief against the non-party in its separate capacity.” Id.
The Federal Circuit distinguished between “entering an injunc-
tion against a non-party, which is forbidden, and holding a non-
party in contempt for aiding and abetting in the violation of an
injunction that has been entered against a party, which is permit-
ted.” Id. at 1395. An entity “never made [a party] to the underly-
ing action . . . [that] never had an opportunity to contest the find-
ings of liability” cannot be enjoined or held in contempt with re-
spect to their conduct. Id.
Relying on Additive Controls I, the District of Delaware re-
cently held that Rule 65(d)’s “active concert or participation”
subsection was intended to provide an avenue for holding in con-
tempt parties that have assisted an enjoined party in violating an
injunction. Goddard Sys., Inc. v. Gondal, No. 1:17-cv-01003, 2018
WL 1566570, at *30 (D. Del. Mar. 29, 2018) (citing Additive Con-
trols I, 96 F.3d at 1395). Rule 65(d)(2)(C) was meant to allow a
nonparty to be “subject to a contempt proceeding and, ultimately,
a contempt finding” if the nonparty were “to have engaged in fu-
ture ‘active concert and participation’ with Defendants that vio-
lated any of the terms of any issued injunction.” Id. at *32 (em-
phasis added). For these reasons, the court declined to grant a
motion for injunctive relief that included non-parties that were al-
leged successors in interest or in active concert or participation
with the defendant, even when they had participated in the injunc-
tion hearing. Id. at *29, 32.
Even though a potential injunction would not be formally en-
tered against DMC, an injunction could still bind DMC in future
contempt proceedings. Goddard, 2018 WL 1566570, at *31–32.
“Non-parties may be held in contempt . . . if they either abet the
defendant, or are legally identified with him.” Id. at *31 (citing
Additive Controls & Measurement Sys., Inc. v. Flowdata, Inc. (Addi-
tive Controls II), 154 F.3d 1345, 1351 (Fed. Cir. 1998)).
Though the parties have not fully briefed whether DMC is
“legally identified” with Dometic Corporation, at least some facts
have been presented to lead this court to that possible conclusion.
As mentioned above, plaintiff argues DMC and Dometic Corpo-
ration “identify their employees as a unified entity,” “employ
common trademarks designed to identify them as a single
source,” and report financial performance “as a single unit.” Doc.
53 at 7. Based on the analysis above, if the court were to enter an
injunction against Dometic Corporation, there is a substantial
possibility that DMC could be subject to future contempt pro-
ceedings if it continued activities within the United States as to
which the court found a substantial likelihood of infringement.
B. Preliminary injunction and TRO
Now, the court moves to the merits of Seakeeper’s requests
for injunctive relief. “[T]he decision whether to grant or deny in-
junctive relief rests within the equitable discretion of the district
courts . . . .” eBay Inc. v. MercExchange, LLC, 547 U.S. 388, 394
(2006). A plaintiff seeking a preliminary injunction must establish
(1) that it is likely to succeed on the merits, (2) that it is likely to
suffer irreparable harm in the absence of preliminary relief,
(3) that the balance of equities tips in its favor, and (4) that an in-
junction is in the public interest. Winter v. Nat. Res. Def. Council,
Inc., 555 U.S. 7, 20 (2008). “[A] trial court may . . . deny a motion
based on a patentee’s failure to show any one of the four factors—
especially either of the first two—without analyzing the others.”
Jack Guttman, Inc. v. Kopykake Enters., Inc., 302 F.3d 1352, 1356
(Fed. Cir. 2002) (citation omitted).
The Federal Circuit reviews the grant or denial of a prelimi-
nary injunction under the law of the regional circuit—here, the
Third Circuit. Natera, Inc. v. NeoGenomics Labs., Inc., 106 F.4th
1369, 1374 (Fed. Cir. 2024). “However, the Federal Circuit has
itself built a body of precedent” applying preliminary-injunction
considerations to patent cases, and it “gives dominant effect to
Federal Circuit precedent” for patent-specific issues. Id. at 1375.
In certain situations where a party faces the possibility of ir-
reparable harm before the court can hold a hearing on the motion
for a preliminary injunction, a temporary restraining order may be
appropriate to preserve the status quo and prevent such irrepara-
ble harm. See Granny Goose Foods, Inc. v. Bhd. of Teamsters & Auto
Truck Drivers, 415 U.S. 423, 439 (1974). For plaintiff’s TRO mo-
tion, the court assesses the four preliminary-injunction factors.
See Nutrasweet Co. v. Vit–Mar Enters., Inc., 112 F.3d 689, 693 (3d
Cir. 1997); e.g. CrowdStrike, Inc. v. NSS Labs. Inc., No. 1:17-cv-
00146, 2017 WL 588713, at *2 (D. Del. Feb. 13, 2017). For judicial
efficiency, the court evaluates both motions together.
1. Likelihood of success on the merits
To show a likelihood of success on the merits in patent cases,
a patentee must show that “(1) it will likely prove infringement
and (2) its infringement claim will likely withstand challenges to
the validity and enforceability of the patents.” Natera, 106 F.4th
at 1375. Before delving into the merits of the ’782 patent, it is ap-
propriate to briefly address the second patent in this case, the ’930
patent.
a. The ’930 patent
Initially, plaintiff’s infringement arguments and defendant’s
noninfringement defenses relied on both the ’930 patent and the
’782 patent. At oral argument, plaintiff clarified that, for purposes
of the TRO hearing, it was not relying on arguments that defend-
ant infringed the ’930 patent. Doc. 75 at 80. Therefore, only argu-
ments as to the ’782 patent will be addressed for the purposes of
resolving plaintiff’s request for injunctive relief, in line with the
parties’ representations.
Even if plaintiff did not forgo these arguments, the independ-
ent claims of ’930 patent describe an enclosure that “contain[s] a
below-ambient density gas . . . [that] has a thermal conductivity at
least 5 times greater than air.” ’930 patent at 12:18–21. Defendant
argued that the DG3 did not meet this limitation. Doc. 41 at 15.
The declaration from defendant’s chief engineer clarifies that the
DG3’s enclosure “contains atmospheric air under below-ambient
pressure.” Doc. 41-2 at 3. It thus would not meet the below-ambi-
ent-density-gas limitation. So the court finds that, on the record
as it exists for injunctive relief, plaintiff has not shown a likelihood
of success in proving that defendant infringes the ’930 patent.
b. Infringement of the ’782 patent
The court now turns to whether plaintiff has shown a likeli-
hood of success on its claim that Dometic’s DG3 infringes claim
17 of the ’782 patent. The parties dispute only one limitation of
the ’782 patent:
wherein . . . the second vanes are configured such that that
heat can be readily transferred from the second vanes to the
exterior of the enclosure.
’782 patent at 11:28–33 (emphases added). Defendant argues that
the DG3 does not meet this limitation because it is “designed to
avoid the transfer of heat from the stationary fins to the exterior
of the enclosure.” Doc. 46 at 15. It claims that the distinction be-
tween the patent’s passive cooling method of transferring heat
across vanes and to the atmosphere, as opposed to DG3’s active
coolant loop, means that the DG3 does not practice the ’782 pa-
tent’s disputed limitation.
The court begins with the meaning of “exterior of the enclo-
sure.” Defendant asks the court to define the term “exterior” to
mean the gyroscope enclosure’s outside surface. That view com-
ports with patent claim language describing the exterior as some-
thing that air-cooled fins can be mounted upon, to promote faster
heat transfer to the atmosphere. See Doc. 41 at 16 (discussing the
DG3’s “components mounted on the exterior”). Plaintiff defines
the term “exterior of the enclosure” more broadly as any area not
inside the enclosure, such that the term encompasses all situa-
tions where heat is “removed from the interior of the device.”
Doc. 62 at 8.
Resolving that dispute requires a preliminary claim construc-
tion. “In deciding a motion for preliminary injunction in a patent
infringement case, a court may issue tentative claim constructions
and may base its resolution of the preliminary injunction upon
those tentative constructions.” Symbol Techs., Inc. v. Janam Techs.
LLC, 729 F. Supp. 2d 646, 651 n.1 (D. Del. 2010) (citing Jack
Guttman, 302 F.3d at 1361). These tentative constructions need
not be definitive at the preliminary-injunction stage and may be
subject to change. Sofamor Danek Grp., Inc. v. DePuy-Motech, Inc.,
74 F.3d 1216, 1221 (Fed. Cir. 1996); Jack Guttman, 302 F.3d at
1361.
The court finds more support for defendant’s limited reading
of “exterior of the enclosure”—such that the claim requires a
transfer of heat to the enclosure’s outside surface. Claim 19, for
example, claims a heat sink with “air-cooled fins on the exterior
of the enclosure.” ’782 patent at 12:20–21. For this to be possible,
the fins must be affixed to a physical structure. The air-cooled fins
cannot be “on” the atmosphere outside of the enclosure gener-
ally—they must be affixed to the enclosure’s outside surface. Sim-
ilarly, language elsewhere within the ’782 patent describes air
“passing across the warm exterior surface.” Id. at 2:32–33. This
evinces the patent drafter’s intent that “exterior” involves the
tangible outer surface of the flywheel’s enclosure.
Plaintiff is broadly correct that the presence of a dependent
claim is evidence of an independent claim’s broader scope, Phil-
lips v. AWH Corp., 415 F.3d 1303, 1315 (Fed. Cir. 2005), and that
it is impermissible to read limitations in the specification into the
patent claims, Douglas Dynamics, LLC v. Buyers Prods. Co., 717
F.3d 1336, 1342 (Fed. Cir. 2013). But intrinsic evidence shines
light on the drafter’s meaning of claim terms. Phillips, 415 F.3d at
1315 (“[T]he specification . . . is the single best guide to the mean-
ing of a disputed term.”). Here, it is reasonably likely that the “ex-
terior of the enclosure” refers to its outer surface. The court
adopts this meaning as its preliminary construction of the term.
At the same time, this claim limitation does not mandate that
all heat be transferred from the second vanes to the exterior of the
enclosure—rather, the limitation discusses heat transfer in a per-
missive sense. By requiring that “heat can be readily transferred,”
plaintiff’s patent covers all embodiments except those where the
vanes are structured such that heat cannot be readily transferred
to the exterior of the enclosure. As discussed below, the DG3 is
not a device that makes heat transfer to the device’s exterior im-
possible.
Crediting plaintiff’s characterization of how the DG3 works,
the second vanes in some locations are in physical contact with
thermally conductive material that comprises the enclosure, in-
cluding its outer surface. See Doc. 41-2 at 4 (showing a gray second
vane maintaining some contact with a teal outer enclosure). The
court also credits plaintiff’s preliminary statement that the DG3
enclosure is thermally conductive, likely as a metal to withstand
the intense revolutions per minute of the flywheel. Doc. 75 at 106
(“[The DG3’s enclosure] is made of metal . . . .”). Although a sig-
nificant amount of heat is removed through the DG3’s coolant
loops, defendant’s diagram of the DG3 device makes it reasonably
likely that at least some heat is transferred through metal-on-
metal contact with the exterior surface of the enclosure. See Doc.
41-2 at 8 (explaining that the DG3 “us[es] this type of active cool-
ing system to minimize”—not eliminate—“heat transfer to the
enclosure”).
Therefore, even if the court defines the exterior to mean the
enclosure’s outer surface, the second vanes are still configured so
that at least some heat can be transferred from the vanes through
the metal enclosure to its outside surface. The DG3’s coolant loop
may prevent some—or even most—of the heat from reaching the
device’s exterior surface itself, as opposed to passing through that
surface in the heated coolant. But the DG3 does not appear de-
signed to ensure that no heat can readily reach the exterior surface
of the flywheel’s enclosure. Plaintiff has thus demonstrated a sub-
stantial likelihood that the DG3 infringes the disputed limitation.
Having reviewed the remainder of plaintiff’s arguments to-
ward the non-disputed limitations of the ’782 patent, Doc. 9 at
12–14, the court concludes that plaintiff has shown that it is more
likely than not, and thus substantially likely, that the DG3 device
infringes the ’782 patent. See Trebro Mfg., Inc. v. Firefly Equip.,
LLC, 748 F.3d 1159, 1166 (Fed. Cir. 2014).
c. Validity of the ’782 patent
The court thus moves to the second question: whether plain-
tiff has demonstrated that the patent will likely withstand chal-
lenges to its validity. Natera, 106 F.4th at 1375. “[I]f the accused
infringer presents a substantial question of validity, i.e., asserts an
invalidity defense that the patentee cannot prove lacks substantial
merit, the preliminary injunction should not issue.” BlephEx, LLC
v. Myco Indus., Inc., 24 F.4th 1391, 1399 (Fed. Cir. 2022)
(quotation marks omitted) (citing Genentech, Inc. v. Novo Nordisk,
108 F.3d 1361, 1364 (Fed. Cir. 1997)). At this preliminary-injunc-
tion stage, defendant need not show by “clear and convincing ev-
idence” that plaintiff’s patents are invalid. Id. It need only show
that “there is a substantial question of validity despite the pre-
sumption of patent validity . . . such that [plaintiff’s] likelihood of
success is in question.” Id.
Defendant argues that the ’782 patent is invalid as obvious.
“An analysis of obviousness must be based on several factual in-
quiries: (1) the scope and content of the prior art; (2) the differ-
ences between the prior art and the claims at issue; (3) the level
of ordinary skill in the art at the time the invention was made; and
(4) objective evidence of nonobviousness, if any.” In re Kubin, 561
F.3d 1351, 1355 (Fed. Cir. 2009) (citing Graham v. John Deere Co.,
383 U.S. 1, 17–18 (1966)). Objective evidence of nonobviousness
includes “commercial success enjoyed by devices practicing the
patented invention, industry praise for the patented invention,
copying by others, and the existence of a long-felt but unsatisfied
need for the invention.” Apple Inc. v. Samsung Elecs. Co., 839 F.3d
1034, 1052 (Fed. Cir. 2016).
i. Prima facie case of obviousness
Defendant argues that four pieces of prior art, when com-
bined, raise a substantial question of obviousness. As its base ref-
erence, defendant cites the Adams publication: a published patent
application by the co-inventors of the ’782 patent. Doc. 46 at 17.
The Adams publication describes a “gyroscopic roll stabilizer for
a boat.” Doc. 46-7 at 2. It discloses a flywheel (16) that is sup-
ported by bearings (20) and contained within a below-ambient
pressure enclosure (30). Id. at 13, 15. It also recognizes a need for
a cooling device, but it does not disclose that device. Id. at 13 ¶ 47.
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Missing from the Adams publication is a mention of the vane
structure of the ’782 patent that could assist with cooling. For this
solution, defendant cites the Sibley publication. Doc. 46-8. Sibley
discloses a flywheel contained within a vacuum enclosure. Jd. at
32-33. This vacuum enclosure contains, in one embodiment, first
cooling fins (438) and second cooling fins (440) shown to be in-
terleaved. Jd. 7 142. These cooling fins work with cooling fins on
the exterior of the embodiment (452) to “dump the heat generated
within [the] vacuum enclosure” through the structure of the vac-
uum enclosure. /d. 7 144.
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A similar invention is taught in the Jager publication, but Jager
employs cooling fins (12, 13) around a rotating shaft. Doc. 46-9 at
2. These fins enable “the friction heat generated on the inner
rings of the ball bearings [to] be dissipated.” Jd. at 4:5-7. This
shaft is also designed for “high rotational speeds.” Jd. at 2:5.
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These fins are missing some of the characteristics of the vanes
in the ’782 patent. That patent requires that the first and second
vanes take cylindrical forms and extend in opposite directions that
are parallel to the “axial direction,” or the “axis of rotation about
which the spinning member spins.” ’782 patent at 11:12-27.
This is where a fourth piece of prior art, the Bimshas patent,
fills in the gaps. Bimshas describes a “rotatable finned heat trans-
fer device” that comprises a “plurality of equally spaced concen-
tric cylinders.” Doc. 46-10 at 2:5-6, 2:38-39. These cylinders
have first fins (12) and second fins (16) that are interleaved and
rotate in relative directions. Jd. at 2:13-37. These cylinders serve
“to transfer heat from a heat source to a relatively rotating heat
sink.” Jd. at 1:9-10.
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In short, all of the limitations of the ’782 patent are present in the
prior art. That moves the obviousness analysis on to analyzing the
motive to combine these elements in the manner claimed.
“[A]ny need or problem known in the field of endeavor at the
time of invention and addressed by the patent can provide a rea-
son for combining the elements in the manner claimed.” KSR
Int?] Co. v. Teleflex Inc., 550 U.S. 398, 420 (2007). “One skilled in
the art would naturally look to prior art addressing the same prob-
lem as the invention at hand... .” In re ICON Health & Fitness,
Inc., 496 F.3d 1374, 1380 (Fed. Cir. 2007). In In re ICON, for ex-
ample, the Federal Circuit held that a patent for a “dual-action
spring” that “partially supports the weight of the bed in both the
closed and open positions” was analogous art for a patent appli-
cation that sought to claim “a gas spring to assist in stably retain-
ing [a treadmill] base in the upright position.” Jd. at 1377-78. The
court held that “analogous art” could come from “any area de-
scribing hinges, springs, latches, . . . or other similar mecha-
nisms.” Jd. at 1380. Further, because the folding-bed patent ad-
dressed a similar problem of counterbalancing a folding weight as
it opens and closes, the prior art “[went] a long way towards
demonstrating a reason to combine the two references.” Jd.
The same is true here. The Adams publication explicitly iden-
tified a problem and a need for a “[p]rovision for cooling the fly-
wheel bearings” that “may be necessary at very high tip speeds.”
- 23 -
Doc. 46-7 at 13. Sibley, Bimshas, and Jäger are designed to solve
the same Adams-publication problem that the Seakeeper patent
aims to address: “transferring heat away from heat generating
components . . . that support and drive rotating machinery such as
flywheels.” ’782 patent at 2:20–23 (emphasis added); see Doc. 46-
8 at 33 ¶ 144 (Sibley describing the “required convection cooling
to ambient air needed to dump the heat generated within [a] vac-
uum enclosure” surrounding a flywheel); Doc. 46-9 at 3–4 (Jäger
describing the problem of “friction heat generated on the inner
rings of ball bearings” for a shaft that is “rotatably mounted in a
housing”); Doc. 46-10 at 5:1 (the Bimshas patent being designed
“to transfer heat from a heat source to a relatively rotating heat
sink . . . without the disadvantages of [a] fan and blower”).
Regardless of whether these pieces of prior art supported fly-
wheels designed for boat stabilization as opposed to energy stor-
age, the heat-dissipation problem is the same. A person of ordi-
nary skill in the art would have looked to solutions for heat buildup
in relatively rotating systems and would have a reason to combine
Adams with Sibley, Jäger, and Bimshas to produce the solution
that the Seakeeper patent claims. This provides a very strong
showing that there is a substantial question of whether plaintiff’s
patent is prima facie obvious.
To rebut defendant’s obviousness arguments, plaintiff points
out small differences between the patents. First, plaintiff argues
that the Sibley publication described a heat sink for use in dissi-
pating heat within an energy-storage flywheel, as opposed to a fly-
wheel for boat stabilization. This, plaintiff argues, would prevent
a person of ordinary skill in the art from being “motivated to in-
corporate Sibley’s cooling design” or from having a reasonable ex-
pectation of success. Doc. 53 at 10. Because Sibley is directed to
solve the problem that Adams specifically identified, as explained
above, this argument is not persuasive.
Plaintiff next argues that a person of ordinary skill in the art
would not have combined Jäger because it depicts fins at the mid-
point of the shaft and along the length of the shaft. Doc. 57 ¶ 30.
Plaintiff argues that the tight tolerances of the Jäger device would
not permit any modification of the fins. Doc. 62 at 11.
There is at least a substantial possibility a person of ordinary
skill in the art would look to modify Jäger by placing the fins closer
to the heat-generating elements, i.e., the bearings, in flywheels.
Given the substantial weight required in the middle of the fly-
wheel to achieve its stabilization purpose, there is more space at
the ends supporting the flywheel to include cooling improve-
ments. Including fins at only the heat-generating ends is not the
type of arrangement that would have unexpected performance
benefits. See KSR, 550 U.S. at 416 (stating that nonobviousness is
supported when “the elements worked together in an unexpected
and fruitful manner”). Instead, it is a common-sense modification
to solve the problems of the Seakeeper patent’s particular appli-
cation. See id. at 421 (“If [a choice among finite and predictable
solutions] leads to the anticipated success, it is likely the product
not of innovation but of ordinary skill and common sense.”).
Next, plaintiff argues that the Bimshas and Jäger references
use a pressurized environment instead of a vacuum. Doc. 62 at
10–11. Bimshas identifies a need to reduce thermal impedance by
introducing a thermally efficient gas such as helium that “could
be provided” under pressure. Id. at 10. Jäger also claims that the
space between the two vanes could be filled with “air or another
gas.” Doc. 46-9 at 4:47. The possibility that helium, or another
below-ambient density gas, could be introduced under pressure in
the prior art is not enough to show that a person of ordinary skill
in the art would not have had a reason to combine Jäger and
Bimshas with the existing prior art.
The same is true with the fact that Bimshas identified rotating
gimbals as a possible application for the invention. Doc. 46-10 at
1:22. The Bimshas patent is broader than that—it simply seeks to
transfer heat from a heat-generating source to a relatively rotating
heat sink. Id. at 1:9–10. Further, the reason to combine Bimshas
comes from its cylindrical fin geometry, not its rotating gimbals
or its pressurized environment. Doc. 46 at 17–18. There is at least
a substantial likelihood that a person of ordinary skill in the art
would isolate the improvement of cylindrical vanes and recognize
that these vanes could be combined with a high-speed rotating fly-
wheel within a low-pressure environment. Doc. 46-4 at 57. For the
same reasons, the court also finds unpersuasive plaintiff’s argu-
ment that the speeds of the Bimshas device would render it inop-
erable for use in flywheels due to the pressurized environment.
Doc. 57 ¶ 34.
With the above considerations in mind, defendant has put
forth enough evidence to show, prima facie, a substantial question
of patent validity. This is especially true when considering that
the parties have not had the assistance of expert testimony.
ii. Secondary considerations
The court now considers plaintiff’s discussion of secondary
considerations in an attempt to rebut defendant’s prima facie
showing of obviousness. Evidence of secondary considerations
can include commercial success, long-felt but unsolved need, fail-
ure of others, and unexpected results. See Graham, 383 U.S. at 17–
18. “Although secondary considerations must be taken into ac-
count, they do not necessarily control the obviousness conclu-
sion.” Pfizer, Inc. v. Apotex, Inc., 480 F.3d 1348, 1372 (Fed. Cir.
2007). “In order to accord substantial weight to secondary con-
siderations in an obviousness analysis, the evidence of secondary
considerations must have a ‘nexus’ to the claims, i.e., there must
be a legally and factually sufficient connection between the evi-
dence and the patented invention.” Fox Factory, Inc. v. SRAM,
LLC, 944 F.3d 1366, 1373 (Fed. Cir. 2019) (cleaned up).
Plaintiff argues that the Seakeeper gyroscope “solved a long-
felt need, overcame industry skepticism, produced unexpected re-
sults, enjoyed substantial commercial success and was copied by
Dometic.” Doc. 30 at 16–17. Defendant challenges that plaintiff
has demonstrated the required nexus. Doc. 46 at 18–19.
The court thus turns to plaintiff’s cited evidence for second-
ary considerations. Plaintiff’s declarant explains that control mo-
ment gyroscopes before the introduction of Seakeeper’s devices
were unusually large and heavy and were limited to large vessels.
Doc. 11 at 5. They were also exposed in the open and subject to
air resistance, leading to larger power consumptions. Id. Solving
these problems required innovative cooling methods. Id. at 7. Sea-
keeper’s devices seem to have been the first commercially viable
devices to fill that need. Doc. 30 at 9 (“Seakeeper’s invention
made stabilization viable for vessels of all sizes at rest or low
speed, solving a long-standing need.”).
There also was an initial skepticism in the marine industry to-
ward these gyroscopes. Plaintiff notes that it spent a substantial
amount on marketing efforts to educate potential purchasers of its
new gyrostabilizer product. Id. at 10. These efforts, plaintiff
claims, led to widespread adoption of its devices. Id. at 9.
Seakeeper also claims that it has had a significant amount of
commercial success. For example, it states that the company’s
revenue has grown significantly, in both revenue and unit sales,
over the lifetime of its patents. Id. at 10. It connects this perfor-
mance to the “patented innovative cooling system,” which “has
been recognized through various awards.” Id.; see also Doc. 13 at
8–9 (describing that the “Seakeeper 1” and “Seakeeper 2” de-
vices have both received industry awards). Plaintiff also claims
that the “Seakeeper” is “recognized as the ‘Kleenex’ or ‘Xerox’
of boat stabilization.” Doc. 9 at 10.
With these considerations in mind, plaintiff argues that, be-
cause the device as it was commercialized (involving high speeds
for smaller marine vessels) would have been impossible without
the patented invention, that provides all the nexus needed. Doc.
53 at 14. In the court’s view, however, because claim 11 only re-
quires that heat can be transferred, tying market success to this
claim becomes more difficult.
After all, some of the Seakeeper devices actually dissipate heat
with the assistance of an active cooling system. Doc. 13-1 at 41; cf.
Doc. 53 at 14 (noting that Seakeeper “expressly features cooling
in its promotional materials,” some of which include features out-
side the scope the patented invention). Although the breadth of
claim 11 assists plaintiff in showing a likelihood of success in prov-
ing infringement, that same breadth makes it more difficult to de-
termine whether the broad patented features, as opposed to the
Seakeeper device’s improved technical implementations, led to
the commercial success of the device.
It is also plausible that this commercial success may have re-
sulted from timing and the state of the economy, or business acu-
men and marketing efforts. See Doc. 9 at 9–10 (describing market-
ing efforts). While the court does not formally conclude that this
was the case, the court believes that there is insufficient proof that
Seakeeper’s sales “‘were a direct result of the unique character-
istics of the claimed invention.’” Wyers v. Master Lock Co., 616 F.3d
1231, 1246 (Fed. Cir. 2010) (quoting In re Huang, 100 F.3d 135,
140 (Fed. Cir. 1996)). This is especially true when the prima facie
case of obviousness is strong, as it is here. Id.
The court is left with at least a substantial question, if not
more, whether plaintiff’s patent is no more than “the predictable
use of prior art elements according to their established func-
tions.” KSR, 550 U.S. at 417. So the court concludes that defend-
ant has demonstrated a substantial question of patent validity—a
strong possibility that plaintiff’s patent is obvious in light of the
prior art. Plaintiff’s arguments about secondary considerations,
while not insignificant, are not strong enough to rebut defendant’s
strong prima facie showing of obviousness. Accordingly, the court
cannot conclude that plaintiff has shown a likelihood of success
on the merits. See BlephEx, 24 F.4th at 1399.
2. Irreparable harm
The court next considers whether plaintiff would be likely to
suffer irreparable harm in the absence of injunctive relief. Sea-
keeper needs to make a “clear showing . . . [of] a likelihood of
substantial and immediate irreparable injury.” Apple, Inc. v. Sam-
sung Elecs. Co., 678 F.3d 1314, 1325 (Fed. Cir. 2012). Injunctions,
a form of equitable relief, are available only when there is no ade-
quate remedy at law. See N. Cal. Power Agency v. Grace Geothermal
Corp., 469 U.S. 1306, 1306 (1984) (Rehnquist, J., in chambers)
(“A party seeking an injunction from a federal court must invari-
ably show that it does not have an adequate remedy at law.”).
Plaintiff thus must “clearly establish[] that monetary damages
could not suffice.” Abbott Labs. v. Andrx Pharms., Inc., 452 F.3d
1331, 1348 (Fed. Cir. 2006).
Because the allegedly infringing DG3 will begin shipping soon
if it has not already, plaintiff argues that it will suffer irreparable
harm from a loss of market share, price erosion, and peril to future
research and development. Doc. 30 at 18–24; see also Celsis In
Vitro, Inc. v. CellzDirect, Inc., 664 F.3d 922, 930 (Fed. Cir. 2012)
(noting “[p]rice erosion, loss of goodwill, damage to reputation,
and loss of business opportunities are all valid grounds for finding
irreparable harm”). Plaintiff certainly establishes that it will en-
counter some harm without injunctive relief. But the court is not
convinced that this harm is irreparable in the eyes of the law.
It is important to begin the irreparability discussion by noting
that plaintiff’s patents will expire in less than two years. The court
acknowledges plaintiff’s arguments that a short remaining patent
term might tip the equities toward the plaintiff. Doc. 30 at 21 (cit-
ing H.H. Robertson, Co. v. United Steel Deck, Inc., 820 F.2d 384,
391 (Fed. Cir. 1987), overruled on other grounds, Markman v.
Westview Instruments, Inc., 52 F.3d 967 (Fed. Cir. 1995)). H.H.
Robertson says that “the equities weigh heavily against the wrong-
doer” when the “patent does not have many more years to run.”
820 F.2d at 391 (emphasis added). Excluding a defendant’s poten-
tially infringing conduct for one year is not as burdensome as do-
ing so for years and years of litigation.
But this court doubts the assertion that a shortened remaining
patent term supports a finding of irreparability. The hypothetical
monetary value of plaintiff’s patent (i.e., market value resulting
from plaintiff’s ability to exclude) is approaching its end. This
shorter remaining period of exclusivity means that the unrealized
revenue resulting from the patent is quickly diminishing. The re-
maining benefits of the patent monopoly, from entrenched cus-
tomer bases to complementary product lines, are nearing their
natural end and reaching the balance set by Congress in defining
the patent term. That these benefits are nearing their end also
puts them within the realm of quantifiability. See ActiveVideo Net-
works, Inc. v. Verizon Commc’ns, Inc., 694 F.3d 1312, 1339 (Fed. Cir.
2012) (holding that a district court erred when it found “clearly
quantifiable” losses to support a finding of irreparable harm).
As to the alleged harms, plaintiff notes that it will lose its cur-
rent hold of a substantial portion of the gyroscopic-stabilizer mar-
ket share. Doc. 30 at 20. “[A] district court’s reliance on possible
market share loss would apply in every patent case where the pa-
tentee practices the invention.” Nutrition 21 v. United States, 930
F.2d 867, 871 (Fed. Cir. 1991). But when the defendant is a “large
and financially responsible company” that “would be answerable
in damages,” it is less necessary for this court to utilize the “ex-
traordinary relief of an injunction prior to trial.” Id.
Here, Dometic Corporation is exactly the type of company
that would be financially responsible and answerable in damages.
Cf. Robert Bosch LLC v. Pylon Mfg. Corp., 659 F.3d 1142, 1152 (Fed.
Cir. 2011) (determining that harm was irreparable when the plain-
tiff submitted evidence that the defendant posed a “[m]oderate
risk of severe financial stress, such a bankruptcy, over the next 12
months”). Defendant has relatively high revenue. Doc. 30 at 25.
And defendant agrees that the Dometic companies would be fit to
pay a monetary judgment if plaintiff ultimately succeeds on the
merits after a trial. Doc. 75 at 68–69.
Further, any loss of market share seems to be readily quantifi-
able. Plaintiff attempts to quantify the portions of its business that
are threatened by the DG3’s entry into the marketplace. See Doc.
53 at 13 (noting that the DG3 only competes with a quarter of
plaintiff’s overall sales); Doc. 12 at 3 (quantifying the number of
boat designs that would fit the DG3 and the amount of time the
DG3 would affect plaintiff’s sales). This is true even in light of
the multi-year lock-in effect that boat manufacturers might have
with gyrostabilizer producers. Doc. 9 at 19. Such lock-in will also
begin occurring in two years, regardless.
The court is of the opinion that, with the assistance of dam-
ages experts, monetary damages can be assessed to make plaintiff
whole if liability is ultimately found. Therefore, plaintiff’s harm
is the type of harm that “can be rectified.” Robert Bosch, 659 F.3d
at 1152.
Plaintiff also alleges that it will suffer “ecosystem effects” by
losing downstream revenues from trade-ins, replacement parts,
and extended warranties. Doc. 9 at 20. The court is not persuaded
that these harms are of the type that would be difficult to quantify,
especially given plaintiff’s existing attempt to quantify the dam-
ages. Doc. 12 at 9–10, 14 (attempting to quantify threatened reve-
nue from lost original equipment manufacturer model sales and
lost sales of future and complementary4 products). Pairing this
consideration with the short remaining life span of the Seakeeper
patents, these potential damages are not the type that “may have
a far-reaching impact on [plaintiff’s] future revenues.” Apple Inc.
v. Samsung Elecs. Co., 809 F.3d 633, 645 (Fed. Cir. 2015). Potential
losses to plaintiff’s customer network in the near future can sim-
ilarly be quantified.
Next, the court addresses harms to plaintiff’s research and de-
velopment opportunities. Plaintiff attempted to estimate the dam-
ages caused by having to reposition its products and prioritize dif-
ferent products in response to the announcement of the DG3.
Doc. 12 at 10. Thus, it seems that these harms are also quantifia-
ble. But plaintiff also speaks of product design changes in the past
tense. See id. at 11 (describing the “resulting disruption to Sea-
keeper’s launch timeline” that the DG3’s debut caused). The
court is not aware of any factual showing that, should injunctive
relief be awarded, plaintiff would restart its former plans that were
disrupted. Plaintiff thus has not convinced the court that injunc-
tive relief would provide any redressability for these alleged
4 Though plaintiff maintains that it has other products that are intended
to be complementary, Doc. 30 at 21, its evidence also seems to contradict that
point. See Doc. 13-1 at 145.
research and development harms, irreparable or not. Doc. 11 at 20
(noting harms “may well never be recovered”).
Plaintiff’s arguments regarding price erosion encounter simi-
lar problems. A significant portion of plaintiff’s supposed price-
erosion harms have already occurred. Doc. 9 at 21–22; see also Ap-
ple, 809 F.3d at 652 (Reyna, J., concurring) (citing United States v.
Or. State Med. Soc., 343 U.S. 326, 333 (1952)) (“injunctive relief
addresses future harms and the past is only relevant as an indica-
tor of the future”). And, to the extent future price might still be
affected by collective bargaining or purchasing cooperatives, the
court agrees with defendant that such evidence is too speculative.
Doc. 41 at 22; see also SmartSky Networks, LLC v. Gogo Bus. Avia-
tion, LLC, No. 2023-1058, 2024 WL 358136, at *5 (Fed. Cir. Jan.
31, 2024) (“In previous cases, we have required concrete evidence
of reduced price to find price erosion.”).
Even if there was a threat of irreparable harm, plaintiff fails to
demonstrate that a substantial part of the harm is due to practicing
the patented features of the Seakeeper products. As defendant ar-
gues, Seakeeper’s products employ other commercially desirable
features such as active gyroscope monitoring and tilt control. Doc.
41 at 23; Doc. 13-1 at 42. Plaintiff’s materials show that at least
some models also use an active glycol and seawater combination
to dissipate the heat, which, though used in conjunction with the
patented features, may provide the primary commercial desirabil-
ity. Doc. 13-1 at 41. Put differently, it is more than possible that
harm incurred by plaintiff arising from DG3’s entry into the mar-
ketplace may arise from the device’s non-patented features.
Although plaintiff makes some showing of the difficulties of
quantifying its damages, the court must balance and weigh those
difficulties against the likelihood of success. On balance, this is a
case where a damages award is available, and defendant would be
able to fulfill a damages award. These damages, especially given
the limited time remaining on the patents, are calculable with the
aid of expert discovery. Other harms are either too speculative to
form the basis of an injunction or past harms for which injunctive
relief is inappropriate. Thus, the court concludes plaintiff has not
shown that the absence of a preliminary injunction or TRO would
cause plaintiff to incur irreparable harm.
3. Balance of the equities
Plaintiff offers a few points to convince the court that the bal-
ance of the equities tips toward granting the injunction. First, it
claims that Dometic has a broad product line aside from the DG3.
Doc. 9 at 24. But the parties represented at oral argument that
Dometic’s DG3 largely competes with the SK3 and SK4 products,
meaning Seakeeper has other models designed for differently
sized boats that are not affected by DG3’s entry into the market-
place. See Doc. 75 at 109; Doc. 46 at 21. Second, plaintiff claims
in its injunction motion that defendant has not yet shipped its
product, which would favor plaintiff’s equities. Doc. 9 at 24 (cit-
ing Impax Labs., Inc. v. Aventis Pharms., Inc., 235 F. Supp. 2d 390,
396 (D. Del. 2002)). However, at oral argument, the parties rep-
resented that a few units had been shipped before the lawsuit be-
gan. Doc. 75 at 67. More have likely been shipped since. Id.
Plaintiff argues that flexibility remains for Dometic to elimi-
nate the infringing cooling technology from the design. Doc. 30 at
25. Even in light of defendant’s proposed redesigns (which plain-
tiff has not yet agreed are noninfringing), Doc. 67 at 1, the court
is not convinced that a redesign would constitute “a non-infring-
ing alternative which [defendant] could easily deliver to the mar-
ket” that would sway the equities in plaintiff’s favor. Douglas Dy-
namics, 717 F.3d at 1345; see also supra subsection II.A.1 (discuss-
ing the suspected difficulties of a redesign at this stage).
In balancing the equities, the court must still consider the
harm of a possible injunction to defendant. Dometic would en-
counter the same loss of economic opportunity that plaintiff al-
leges if this court enjoined it from launching its DG3 product.
Should plaintiff ultimately not prevail on the merits of its suit, de-
fendant would have incurred similar irreparable harm if enjoined.
The court must weigh these equities against the likelihood of
success. A damages award is available, and defendant appears to
be solvent. As mentioned above, there are no financial impedi-
ments to a potential damages award being paid, and defendant’s
strong sales figures bolster the conclusion that, if infringement is
ultimately found, plaintiff will be able to be made whole by mone-
tary damages. Therefore, the court does not find that the equities
tip in favor of granting injunctive relief here.
4. Public interest
The court addresses the public interest only briefly, as the dis-
cussion largely tracks the merits of the dispute. “[T]here are com-
peting—and substantial—public interests at stake on both sides
of this litigation.” The Rsch. Found. of State Univ. of N.Y. v. Mylan
Pharms. Inc., 723 F. Supp. 2d 638, 663 (D. Del. 2010) (quoting
Sanofi-Synthelabo v. Apotex Inc., 488 F. Supp. 2d 317, 321
(S.D.N.Y. 2006)). Plaintiff is correct that there is a strong public
interest in protecting valid patents. See id. But there is little public
interest in enforcing, at the preliminary-injunction stage, rights to
a patent to which a substantial question of validity has been raised.
See United States v. Glaxo Grp. Ltd., 410 U.S. 52, 69 (1973)
(Rehnquist, J., dissenting) (“For when a patent is invalid, the pub-
lic parts with the monopoly grant for no return, the public has
been imposed upon and the patent clause subverted.” (cleaned
up)). Therefore, the court is not convinced that an injunction
would be in the public interest.
III. Conclusion
Dometic Corporation is a proper party, and the parties’ dis-
pute is not moot. But plaintiff has not shown a sufficient likeli-
hood of ultimate success on the merits in light of defendant’s
demonstration of a substantial question as to the ’782 patent’s ob-
viousness. Further, although some cognizable harm might result
from the absence of an injunction, that harm is not irreparable in
money damages at the end of the case. Finally, neither the balance
of the equities nor the public interest tips the result in favor of an
injunction. For those reasons, plaintiff’s TRO and PI motions
(Docs. 8, 29) are denied.
So ordered by the court on July 7, 2025.
j? ‘CAMPBELL BARKER
United States District Judge
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