Chief Judge Sleet transfers infringement case against Facebook to the Northern District of California.
In a recent memorandum opinion, Chief Judge Gregory M. Sleet granted Facebook’s motion to transfer to the Northern District of California a patent case filed against it by a Canadian company and its Delaware subsidiary. Mitel Networks Corp., et al., v. Facebook, Inc., C.A. No. 12-325 (GMS) (D. Del. May 1, 2013). The Court found that only one factor under the Third Circuit’s Jumara analysis weighed in favor of keeping the case in Delaware: the plaintiff’s forum preference. The weight the Court gave that factor was diminished, however, because although the subsidiary plaintiff was incorporated in Delaware, neither plaintiff maintained any operations in Delaware. Id. at 5. Further, the Court found compelling Facebook’s argument (to which the plaintiffs did not respond during briefing) that the Canadian parent company was the real party in interest, and the Delaware subsidiary was added as a co-plaintiff only for jurisdictional purposes. Id. at 4, 6. As a result, the Court found that the plaintiffs’ “forum selection is entitled to some degree of heightened deference, but not to paramount consideration.” Id. at 6 (internal quotation marks omitted). The remaining Jumara factors weighed in favor of transfer to the Northern District of California, or were neutral. The Court therefore concluded that Facebook “met [its] burden of demonstrating that the interests of justice and convenience strongly favor transfer.” Id. at 18.