1. Home
  2. |Insights
  3. |Substantial Evidence Supports Infringement Finding Despite Narrower Claim Construction

Substantial Evidence Supports Infringement Finding Despite Narrower Claim Construction

Client Alert | 1 min read | 11.19.07

In z4 Techs., Inc v. Microsoft Corp. (No. 06-1638; November 16, 2007), the Federal Circuit affirms jury verdicts of infringement and lack of proof of invalidity of z4’s patents, and the district court’s denial of Microsoft’s motion for JMOL. z4’s patents are directed to the problem of illicit copying and unauthorized use of computer software. The Federal Circuit modifies the district court’s claim construction of the term “user” from “a person, a person using a computer, a computer, or computers,” because it conflicts with the plain language of the claim and the teachings of the specification, to “a person or a person using a computer.” Even so, the Federal Circuit determines that the modified claim construction still supports the jury’s verdict of infringement, based on substantial evidence of record. In particular, the claims explicitly contemplate tracking authorized users through the identity of computers on which they install the software, and Microsoft admits that its product makes product activation determinations based on registration information related to users’ computers.

With regard to the alleged invalidity of z4’s patents in view of Microsoft’s Brazilian Publisher 98 (“BP 98”) product, the Federal Circuit agrees with Microsoft’s assertion that the district court incorrectly defined the intended purpose of the z4 patents as “to stop piracy.” Instead, says the Federal Circuit, the intended purpose of z4’s patents is to “reduce piracy.” Nevertheless, substantial evidence of record is found to support the conclusion that the anti-piracy feature of BP 98 did not work even to reduce piracy. An internal Microsoft e-mail, for example, confirmed the lack of effectiveness of BP 98 in reducing piracy. Thus, the Federal Circuit affirms the district court’s denial of Microsoft’s motion for JMOL of invalidity by anticipation.

Contacts

Insights

Client Alert | 5 min read | 06.05.26

Grants Overhauled: What the Proposed Rewrite of 2 CFR Part 200 Means for Federal Financial Assistance Award Recipients

The Office of Management and Budget issued on May 29, 2026 a Proposed Rule that would significantly revise the Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) at 2 C.F.R. Part 200, potentially impacting the full lifecycle of federal grants, cooperative agreements and other forms of financial assistance, from pre-award merit review through post-award administration and termination. These proposed changes are designed to implement the President’s policy priorities, executive actions related to diversity, equity and inclusion (DEI) activities, and Executive Order No. 14332, Improving Oversight of Federal Grantmaking (EO 14332)....