Case No. Heisei 6 (Wa) 10276, Claim for damages
Date of Conclusion of Oral Proceedings:
      October 9, 1998
translated by Takeo Hayakawa
JUDGMENT

Plaintiff:
Name:  Epoch Company Ltd.
Address:  No. 12-3 Komagata 1-chome
  Taito-ku, Tokyo
Representative Director:
Taketora MAEDA
Attorneys-at-law representing the above Plaintiff in the suit:
  Minoru UCHIDA and Keiji SUGIYAMA
Attorney-at-law assisting the above-identified attorneys-at-law:
  Keiichi HORII
Patent attorney assisting the above-identified attorneys-at-law:
  Yukihiro HAMURA

Defendant:
Name:  Bandai Co., Ltd.
Address:  No. 5-4 Komagata 2-chome
  Taito-ku, Tokyo
Representative Director:
  Makoto YAMASHINA
Attorneys-at-law representing the above Defendant in the suit:
  Yasuharu YANASE;
  Yasutaka KANEMARU; and
  Michinori CHIBA
Patent attorney assisting the above-identified attorneys-at-law:
  Shuji TAKADA
 
 

Text of Judgment

1.  The Defendant shall pay to the Plaintiff money in the amount of 114,180,160 yen as well as money accruing therefrom at an annual interest rate of 5 % during a period starting from June 15, 1994 up to a date when the payment will be completed.
2.  The Plaintiff's other claims shall be dismissed.
3.  Litigation expenses shall be divided in two, and the one half shall be borne by the Defendant and the other half shall be borne by the Plaintiff.
4.  Only the preceding Paragraph 1 can be provisionally executed in the present judgment.

Facts and Reasons

I.  Claim for Money

    The Defendant shall pay to the Plaintiff money in the amount of 264,000,000 yen as well as money accruing therefrom at an annual interest rate of 5 % during a period starting from June 15, 1994 up to a date when the payment will be completed.

II.  Gist of the Case

I.  No contestable facts, etc.

1.  The Plaintiff possesses the following patent right (hereinafter referred to as "the alleged patent right", and the invention of Claim 1 in the scope of claim for a patent is referred to as "the alleged patented invention", hereinafter).
Japanese Patent No. 1961761
Title of the Invention:  Card Game Toy
Filing date:  December 22, 1989
Laid-open date:  August 22, 1991
Publication date:  May 10, 1993 (Japanese Patent
 Publication No. Hei 5-30475)
Registration Date:  August 25, 1995
Scope of Claim for a Patent:  as defined in the Scope of Claim for a Patent as per the attached patent publication (hereinafter referred to as "the alleged patent publication").

2. A constitution of the alleged patented invention is defined as paraphrased below (hereinafter, referred to as "constituent elements A, B, C, ...").

H A card game toy comprising:

A bar-code reading means for reading cards indicating requisite data in bar-code representation;

B memory means for storing battle data read by the reading means;

C attack-first judging means for judging one player as an attacker and the other player as a defender from the battle data stored in the memory means;

D an attacking key to be pressed by the attacker in playing a game between the cards in accordance with the data;

E calculating means for calculating damage of the defender*s card when the attacker presses the attacking key;

F survival judging means for judging survival based upon calculation of the damage calculated by the calculating means together with the defender*s card data; and

G outcome display means for indicating an outcome of the game and displaying the judgment result obtained by the survival judging means.

3.  The advantageous results of the alleged patented invention are described below (Exhibit A1):

"The alleged patented invention produces excellent advantageous results such as the stimulated battle, maneuverability and fairness of the judgment since the judgment result of offense and defense between cards can be known in a good timing, quickly and accurately."

4.  The Defendant has been manufacturing a card game toy of the Accused Device List attached hereto (hereinafter, referred to as "the accused device") since July 1992, and has been selling since August 1992.

5.  A constitution of the Accused Device is as paraphrased below (hereinafter, referred to as "constituent elements a, b, c ...").

i A card game toy comprising:

a bar-code reading means for reading cards indicating requisite data in bar-code representation;

b storage means for storing battle data read by the reading means;

c selection priority judging means for judging which player is to be given a selection priority to freely select offense or defense out of each player*s own will as each player is permitted to do so; (the defense herein means to raise life power, a defensive rate, and a hitting rate without making an attack.  The same applies hereinunder.)

d an offense selecting key and a defense selecting key to be sequentially selected by the players in accordance with the selection priority decided by the selection priority judging means in playing a game between the cards in accordance with the data, and
a battle starting key to be pressed by one of the players in the case that both of the players select offense or alternatively, in the case that one of the players selects offense and the other player selects defense.  (In the case that both of the players select defense, it is not necessary to press the battle starting key, and the game procedure reverts to step c.);

e computing means for, upon pressing the battle starting key, computing card damage of either of the players attacked if both players have selected offense, or card damage of the player who has selected defense (attacked) if one player has selected offense and the other has selected defense;

f survival judgment means for judging survival by making computation based upon the card damage thus computed by the computing means as well as card data of either of the players attacked when both of the players have selected offense, or card data of the player who has selected defense (attacked) if one player has selected offense and the other has selected defense;

g outcome display means for, when a judgment result that denies at least one player*s survival is obtained from the survival judgment means, finalizing the game and displaying the judgment result; and

h repeating means for reverting to the step c when either player's survival is affirmed by the survival judgment means, and repeating the subsequent steps therefrom until at least one player*s survival is denied by the survival judgment means.

6.  (1) Claim 1 at the time of filing an application of the alleged patent and when laid-opened was as identified below.

"A card game toy comprising:
bar-code reading means for reading cards indicating requisite data in bar-code representation;
survival judging means for, when a game is played between the cards in accordance with the data and an attacker presses an attacking key, computing a defender's card damage, and judging survival; and
outcome display means."

(2) The Plaintiff mailed a warning in writing, which was received by the Defendant on May 25, 1992.  The Plaintiff warned that "Super Bar-code Wars" scheduled to be manufactured and sold by the Defendant would interfere with the Plaintiff*s invention of the application which was filed and laid-opened as mentioned above (hereinafter referred to as "the warning").

 (3) The Plaintiff submitted an Amendment on December 16, 1992 to amend Claim 1 as defined in the Patent Publication of the alleged patent (hereinafter referred to as "the amendment in question").

II. In the present case, the Plaintiff demands from the Defendant:
 payment of compensation equivalent to 264,000,000 yen pursuant Section 65ter, Paragraph 1 of the Pre-revised Japanese Patent Law which was thereafter partially revised (1994 Revised Law, No. 116); as well as late payments as damages to be calculated at an annual interest rate of 5 (five) percent during a period starting from a next day of the mailing date of the present Written Complaint to a date of completion of the payment.
 The points at issue of the present case are as follows:

1. whether or not the accused device is read on the technical scope of the alleged patented invention;

2. whether or not the enforcement of the alleged patent right is the abuse of the right on the ground that the alleged patent involves cause for invalidation;

3. whether or not the Defendant is entitled to own the prior use right;

4. validity of the warning in this case; and

5. a sum of compensation.

III.  Point at Issue 1 (as to whether or not the accused device is included in the technical scope of the alleged patented invention):

1.  Plaintiff*s Pleading

(1) It is evident that constituent elements a, b, and i conform to constituent elements A, B and H, respectively.

(2) As to Constituent Element C:
The "attacker" of constituent element C means a player capable of attacking first, in other words, a player who can press an attacking key prior to the other player.  "Attack-first judging means" serves to judge which player is given a priority to attacking first.
In the accused device, selection priority judging means judges which player is first given a priority to selecting offense or defense (constituent element c).  During such selection, the player who selected offense is to press an offense selecting key (constituent element d).  Here, this offense selecting key of the accused device corresponds to the "attacking key" of constituent element D.  In this regard, the accused device includes means for judging which player first presses the attacking key.  Therefore, the accused device has "the attack-first judging means", and thus, it conforms to constituent element C of the alleged patent.

(3) As to Constituent Element D:
Since the offense selecting key (constituent element d) of the accused device is nothing more than the "attacking key" of constituent element D, the accused device conforms to constituent element D of the alleged patent.
Granted that the offense selecting key solely cannot be considered as corresponding to the "attacking key" of constituent element D, a combination of the offense selecting key and a battle starting key of the accused device (constituent element d) corresponds to the "attacking key" of constituent element D of the alleged patent.

(4) As to Constituent Element E:
In the accused device, card damage of the player attacked is computed (constituent element e) after the aforementioned offense selecting key is pressed (or the aforementioned offense selecting key is pressed and in addition, the battle starting key is pressed).  Thus, the accused device has the "calculating means" of constituent element E, and thus, it conforms to constituent element E of the alleged patent.

(5) As to Constituent Element F:
 The accused device has survival judgment means (constituent element f) for judging survival by making computation based upon damage computed by computing means and card data of the player attacked.  Thus, the accused device conforms to constituent element F of the alleged patent.

(6) As to Constituent Element G:
The accused device has outcome display means (constituent element g) for, when a judgment result that denies at least one player*s survival is obtained from the survival judgment means, and thus, it conforms to constituent element G of the alleged patent.

2.  Defendant*s Pleading

(1) As to Constituent Element C:

(i) In constituent element C, the "attacker" means a player who attacks, while the "defender" means a player who only defends but does not attack.  The "attack-first judging means" is means for judging which player becomes an "attacker" and which player becomes a "defender".  In contrast, in the accused device, either player can select offense or defense, and selection priority judging means is means for judging which player is given a priority to making such selection before the other player.  Hence, the selection priority judging means of the accused device differs from the "attack-first judging means" of the alleged invention which merely judges which player attacks and which player defenses only.
 Furthermore, in the alleged patented invention, a damage calculation result is logically established at the time the attacker is decided by the "attack-first judging means".  In contrast, in the accused device, a damage calculation result is not established only because the selection priority judging means merely functions to judge which player is given a priority to making selection of offense or defense.  In the accused device, when considering one example in which a player who selects first is to attack and a player who selects later is to defend, an offending rate is established after the offense selecting key is pressed by the player who has selected first, while a defending rate is established when the defense selecting key is pressed by the player who has selected later, whereby the damage calculation result can be established thereafter.  As set forth above, the "attack-first judging means" of the alleged patented invention differs from the selection priority judging means of the accused device.
 At the time of filing the application of the alleged patent, games, "LSI GAME Card Baseball Exciting Stadium" (hereinafter referred to as "the Card Baseball") and "the Simulation Game SD Gundom Final Battle" (hereinafter referred to as "the SD Gundom") had been sold in the market.
 Among the constituent elements of the alleged patented invention, constituent elements A and C are present in the Card Baseball, and constituent elements B to H are included in the SD Gumdom where an "attacker" of constituent element C is construed as a player who can attack first and "attack-first judging means" is construed as means for judging which player can be the first attacker.  A person skilled in the art could have easily reached combining aforementioned constituent elements.  In the light of the above, granting that the "attacker" of constituent element C is construed as a player capable of attacking first and "attack-first judging means" is means for judging which player can be a first-attacker, then, the alleged patent is deemed to be invalidated.  However, in this regard, it is impossible to construe the alleged patent as stated above.  The alleged patent must be construed as the Defendant*s pleading as set forth above.

(ii) It would happen in the accused device that a player capable of selecting first selects offense and subsequently another player also selects offense.  In this case, attack occurs simultaneously, so that neither player could attack first.  Therefore, even if it is presumed that the "attacker" of constituent element C means a player capable of attacking first and "attack-first judging means" is means for judging which player can attack first, the accused device does not includes such means.

(iii)  According to the prosecution history of the alleged patented invention in IV 1 (1) hereinunder, constituent element C must be construed as an "attack-first judging means for judging one as an offender and the other as a defender in accordance with battle data".  In the accused device, the selection priority is judged independently of the battle data.  Thus, the accused device does not conform to constituent element C.

(2) As to Constituent Element D:

 After battle data has been inputted, and attack-first judging means has judged one player as an offender and the other player as a defender, Constituent element D or an "attacking key" is pressed by an attacker.  In contrast, in the accused device, attack is started by a "battle starting key".  However, when to press the "battle starting key" is as described below.  First, battle data is inputted, and then, selection priority is decided by selection priority judging means.  In accordance with the selection priority, each player selects offense or defense.  Thereafter, the "battle starting key" is pressed.
 Here, not only the player who selects offense but also the player who selects defense can press the key.  In the light of the above, the "battle starting key" of the accused device differs from the "attacking key" of constituent element D.  Therefore, the accused device does not conform to constituent element D.

(3) As to Constituent Elements E and F:
 Constituent element E or "calculating means" calculates only the defender*s damage, and constituent element F or "survival judging means" judges only survival of the defender.  In contrast, in the accused device, in the case that both players select offense, the damages each of the players who have attacked are calculated to judge survival thereof.  Thus, the accused device does not conform to constituent elements E and F.

(4) As to Constituent Element G:
 With regard to constituent element G, to judge survival is associated with a battle outcome judgment.  The battle outcome judgment is always made based upon the survival judgment, and then, it is displayed.  In other words, the alleged patented invention is a battle game where the battle is fought only once.  In contrast, the accused device is directed to a battle game in which battles are fought repeatedly and, unless a judging result denying at least one player*s survival can be obtained by the survival judgment means, a battle outcome is neither judged nor displayed.  Therefore, the accused device does not conform to constituent element G.

(5) In the case it is construed that constituent element C is an "attacker" capable of attacking first and "attack-first judging means" is means for judging which player will become a first attacker, the alleged patented invention could been easily reached based upon the Card Baseball and the SD Gundom which were put on the market prior to the filing date of the application of the alleged patented invention as has been set forth at 1 (1) hereinabove.  Thus, the accused device is not encompassed within the technical scope of the alleged patented invention.

IV. Point at Issue 2 (as to whether or not the enforcement of the alleged patent right is deemed to be the abuse of the right on the ground that the alleged patent includes cause for invalidation):

1 The Defendant*s Pleading

(1) In the specification and the drawings as of filing the application of the alleged patent, there is mere mention of "having first-attack judging means for judging one player as an offender and the other player as a defender in accordance with battle data stored by memory means".  However, in the amendment in question, the Plaintiff added a language "having an "attack-first judging means for judging one player as an offender and the other player as a defender from the battle data stored by the memory means" as a further constituent element (constituent element C).  Constituent element C encompasses not only an "attack-first judging means for judging one player as an offender and the other player as a defender in accordance with battle data", but also an "attack-first judging means for judging one player as an offender and the other player as a defender independently of battle data".  Thus, the above-mentioned amendment is deemed to be a change of gist in the above point.
 The Plaintiff, by the amendment, added a language of "having outcome display means for displaying the judgment result obtained by the survival judging means" as a further constituent element (constituent element G).  According to the newly-added constituent element, the battle outcome is always decided depending upon the judgment by the survival judging means as stated in III 2 (4).  However, in the specification as of filing the application of the alleged patent, there is disclosed, even if a judgment is made by the survival judging means, that a battle outcome will not be decided unless a holding power (HP) of the defender*s card is zero.  According to the above-mentioned specification, it cannot say that the battle outcome is not always obtained depending upon the judgment of the survival judging means.  Consequently, the amendment is deemed to be a change of gist also in this point.

 Granting that the amendment could not been entered by reason of the change of gist, the application of the alleged patent is deemed as having been filed on a day when the amendment was made.  However, as of that time when the amendment was made, the laid-open official gazette to the above application had been distributed, resulting in lack of novelty and inventive step in the alleged invention.  Thus, the alleged patent should be invalidated.

(2) If an "attacker" is construed as a player capable of attacking first and if "attack-first judging means" of constituent element C is construed as judging means for judging which player can attack first, it can be said that the alleged patented invention could have been easily reached based upon the Card Baseball and the SD Gundom which were putted on the market prior to the filing of the application of the alleged patent as set forth at 2(1)(i) hereinabove.  Thus, the alleged patent should be invalidated.

(3) Thus, the enforcement of the alleged patent right falls under the abuse of the right.

2 The Plaintiff*s Pleading

(1) The amendment was only directed to clarification of the scope of the claim and thus, it is not a change of gist.

(2) Although the Card Baseball includes a bar-code reading means, it totally differs from the alleged patented invention in other constitution.  Furthermore, since the SD Gundom is not a game employing a bar-code, the presence of such game is not effective to invalidate the alleged patent.

V. Point at Issue 3 (as to whether or not the Defendant is entitled to own the prior use right):

1 Defendant*s Pleading

(1) As stated in IV 1 (1) hereinabove, where the application of the alleged patent is deemed as having been filed at the time the amendment was made, the Defendant had been manufactured and sold the accused device prior to such amendment.  Consequently, the Defendant is entitled to own the prior use right.

(2) Even if the time of filing the application of the alleged patent would not move to the date of submitting the amendment, the Defendant shall be entitled to own the prior use right because the Defendant had been selling the Card Baseball and the SD Gundom which include all constituent elements of the alleged patented invention prior to the filing date of the application of the alleged patent as stated in the preceding item III 2 (1)(i).

2 The Plaintiff*s Pleading

 The Plaintiff will contest the Defendant*s Pleading.

VI. Point at Issue 4 (validity of the warning in this case):

1 The Plaintiff*s Pleading
 Although the amendment was made after the warning, the Plaintiff believes that no further warning would not necessary after the amendment because the accused device is encompassed within the technical scope of the alleged patented invention through before and after the amendment in question.

2 The Defendant*s Pleading
 It should be construed that, if an amendment having a significant effect concerning a grant of a patent is made after the first warning, further warning should be given in writing including the content of the amended claims after such amendment.  It should be also construed that, in the absence of such procedure, no compensation can be demanded.
 The invention defined in the claims before amended coincides with that of the SD Gundom except for a method for reading requisite data.  Reading of the requisite data using a bar-code was well known and commonly used art at the time of filing the application of the alleged patent, and thus it was not allowed.
 In the light of the above, as the invention before the amendment was not allowable, the amendment in question has critical influence in determining patentability of the alleged patented invention.
 Therefore, it should be construed that, in the absence of the Plaintiff*s further written warning stating the content of the amended claims, no compensation can be demanded by the Plaintiff.

VII. Point at Issue 5 (a sum of compensation):

1 The Plaintiff*s Pleading
 The Defendant had been manufacturing the accused device in a total amount of 335,824 during a period from July 1992 and January 1993, and the Defendant had been selling the accused device in a total amount of 328, 140 during a period from August 1992 and March 1993.  A retail price of the accused device is 6,800 yen apiece and an appropriate royalty rate should be 10 (ten) percent thereof.  In the light of the above, a total amount of the compensation should be equivalent to a sum of money as computed as follows:
  the number of the manufactured accused device (as mentioned above) x 6,800 x 0.1 = 228,360,320 yen.

2 The Defendant*s Pleading
 The Defendant will contest the Plaintiff*s Pleading.

III Decision of the Court

I. Point at Issue 1 (as to whether or not the accused device is read on the technical scope of the alleged patented invention):

1 It is evident that constituent elements a, b and i of the accused device conform to constituent elements A, B and H, respectively of the alleged patented invention.

2 As to Constituent Element C

(1) In the publication of the alleged patent (Exhibit A1), the following description can be seen in an embodiment of the card game toy of the alleged patented invention:
 "At the left side P1 of the display 4, there are provided an attacking key (battle key) 5a and a power-up key 6a.  At the right side P2 thereof, there are provided an attacking key 5b and a power-up key 6b.
 Further, at the bottom edge side (front side) of the display 4, there is an array of midget lamps (LED) L1 to L5 indicative of an instruction as to an offender or a defender, or indicative of attack ....."  (column 3, lines 34 to 40)

(2) In the publication (Exhibit A1) of the alleged patent, subsequent to the aforementioned explanation (1) in connection with the constitution of the card game, it is explained how to play with the card game toy, wherein:
 1)  A player of P1 side inputs a holding card to cause the card data to be displayed, and thereafter a player of P2 side inputs a holding card to cause the card data to be displayed;
 2)  After completing the procedure 1), an attack-fist judging means judges which player, P1 side or P2 side, will be a first attacker and, if P1 side is judged to be the first attacker, P1 side player presses an attacking key;
 3)  Then, there occurs attack by P1 side against P2 side, and then based upon its result, a damage value will be subtracted from a holding power value of P2 side to obtain the holding power value of P2 side after the subtraction;
 4)  The holding power value is judged as to whether the holding power value is zero or not, and if the value is zero, P1 side is judged as having won the game, but if the value is greater than zero, P2 side player will press the attacking key next; and
 5)  According to the procedure 4), there occurs the attack by P2 side against P1 side and the aforementioned procedures 3) and 4) are repeated.
 In the publication of the alleged patent, subsequent to the above description, there is disclosed that "Further, the above-mentioned flow chart illustrates only a battle wherein an "attack" takes place between P1 and P2 sides, and also, a battle wherein the opponent*s (defender*s) holding power is reduced to zero.  Power-up keys 6a and 6b may be also used instead of "offense right", or other weapons cards, protector cards and item cards and the like may be also used."  (column 6, lines 37 to 42)

(3) Interpreting the "attacker" and the "defender" of constituent element C based on the aforementioned embodiment, it is possible to say that the "attacker" means "a player capable of selecting attacking or using the power-up key" whereas the "defender" means "a player incapable of selecting attacking or using the power-up key".  It is possible to say that "attack-first judging means" is provided for judging which side becomes the "attacker" in the above sense, and subsequently, making the opponent side as the "defender" in the above sense.

(4) In the constitution c of the accused device, what is judged by selection priority judging means is which player will first select offense or defense.  The defense means "to attempt to raise a holding power, a defending power and an accuracy power without attacking", which is construed to be synonymous with using the power-up key of the alleged patented invention.
 In the light of the above, the selection priority judging means of the constitution c is means for judging which player to be the "offender" and the other player to be the "defender" as defined as in the (3) above.  Thus, the selection priority judging means of the accused device can be regarded as the "attack-first judging means" of the alleged patented invention.

(5) According to evidences (Inspection Exhibits A1 and A2) and the gist of the entire pleadings, the above-mentioned judgment by the accused device can be considered to be done in connection with battle data stored by storage means of the constitution b.  Thus, the accused device conforms to constituent element C of the alleged patented invention.

(6) The Defendant insists, in the alleged patented invention, that a result obtained from a damage calculation has been logically established at the time the attacker is determined by the "attack-first judging means".  On the assumption of the aforementioned, the Defendant further insists that the selection priority judging means of the accused device differs from the "attack-first judging means" of the alleged patented invention.  (Refer to II, III 2 (1) (i) hereinabove.)  However, if the "attacker" and the "defender" of constituent element C of the alleged patented invention are construed as defined in the preceding (3), at the time attacker is determined by the "attack-first judging means", no selection has not been made as to attacking or using the power-up key, so that it is apparent that a result of the damage calculation has not been logically obtained.  As a consequence thereof, the aforementioned Defendant*s insistence cannot be accepted because it is based upon the presumption that the result of the damage calculation is logically obtained.
 According to the Defendant, assuming that:
 where it is construed that constituent elements A and C among constituent elements of the alleged patented invention is included in the Card Baseball which had been sold prior to filing an application for the alleged patented invention, and that the "attacker" of constituent element C is a player capable of attacking first and that the "attack-first judging means" is means for judging which player is to be the first attacker,
 constituent elements B to H are considered to be included in the SD Gundom; and
 combining the above-stated constituent elements could be easily reached by one skilled in the art, (then, based on the above assumption,) the "attacker" of constituent element C is construed as a player capable of attacking first while the "attack-first judging means" therein is construed as means for judging which player can be the first attacker.  In such case, it follows that the alleged patent should be invalidated.  Thus, the Defendant insists that the aforementioned interpretation is impossible.  (Refer to II III 2 (1) (i) hereinabove.)  However, according to the evidences (Exhibits B19-1, B21, B31, Inspection Exhibits B1 and B2) and the gist of the entire pleadings, there are the following findings, that is,:
 the Card Baseball is a baseball game such that a player*s data is stored after it is read from a card indicating the data in bar-code representation, a team is organized to play a game in accordance with the stored data, and
 the SD Gundom is a game in which two players participate in making the Allied Force and the Gion Force battle each other in a manner such that the each player places own pieces in an array on a map and moves them to attack each other so as to defeat the pieces placed in the opponent*s capital and the one who has defeated the capital wins the game; and, in SD Gundom,
 there are further findings as described below:
 one side (the Allied Force) is always the first attacker, the attacker changes after the first attacker moves five times and makes offenses;
 when setting one*s own pieces and the opponent*s pieces to judging means, the judging means reads a pin-like protrusion (dot) at the back side of a piece and subsequently when the attacker presses an attack button, attacking is performed to thereafter display a battle outcome, whereby a power-gauge decreases according to the damage each player suffers due to the battle, and
 as a result, if the piece power becomes zero, the piece has to be removed from the map.
 In the light of the above findings, the Card Baseball and the SD Gundom partially include some portions of constituent elements of alleged patented invention.  Hence, by replacing the pieces of the SD Gundom with a card of which data is indicated in bar-code representation, a game closely similar to the alleged patented invention may be made, but this is not saying that this replacement could be easily made (Exhibit B31).  Therefore, even if the Card Baseball and the SD Gundom were put on the market at the time of filing the application of the alleged patented invention, the alleged patent is not deemed to be invalidated immediately for such reason.  Thus, the Defendant*s aforementioned insistence based on such premises can not be accepted.
 The Defendant further insists that:
 in the accused device, even if a player having a selection priority selects offense, a player who later selects also selects an attack, then the attack is performed simultaneously, so that neither of the players can be a first attacker.  (Refer to the preceding II III 2 (1) (ii) hereinunder.)  However, as determined  at the preceding (3), the "attacker" of constituent element C does not mean a player who attacks but means "a player who have an opportunity to select attacking or using a power-up key".  In the accused device, even if there is a case that the attack is performed at the same time, as has been stated above, selection between an attack and a defense is performed in sequence.  The "attack-first judging means" is means for judging which player will make such selection first.  Hence, there is no change to the aforementioned determination that the accused device comprises the "attack-first judging means" and thus conforms to constituent element C.

(7) The Defendant also insists that constituent element C must be construed as an "attack-first judging means for judging one side as an attacker and the other side as a defender in accordance with a battle data".  However, constituent element C does not literally include a limitation that judgment of deciding a first attacker is made in accordance with battle data.  Furthermore, as will be opined in II 1 hereinunder, it is not the case that if otherwise interpreted, the amendment would be considered as the change of gist, and thus, would not be entered.  Thus, constituent element C should not be construed as limiting the claimed scope as alleged by the Defendant.

3 As to Constituent Element D:
 An "attacking key" of constituent element D is pressed by an attacker, i.e. a "player who can select attacking or using a power-up key" after battle data is inputted and judgment is made by attack-first judging means for judging one player as an attacker and the other player as a defender.  It is possible to say that the attacking key is means for transmitting the attacker*s attacking intention to a game machine.  The "offense selecting key" of the accused device (constituent element d) can be regarded as corresponding to the "attacking key" in the above sense.  Thus, the accused device conforms to constituent element D.
 Meantime, in the accused device, a battle will not start by pressing only the "offense selecting key" but will start by pressing the "battle starting key" (constituent element d).  On the other hand, in the embodiment described in the publication of the alleged patent, there is described that a battle starts as soon as the "attacking key" is pressed as admitted at 2 (2) hereinabove.  The alleged patent differs from the accused device in this regard.  However, there is no recitation in the claims that a battle must start immediately after the "attacking key" is pressed (constituent element E will be discussed below).  There is no necessity to construe the alleged patented invention in such a limited manner as stated above in the light of advantageous results of the alleged patented invention, or there is no circumstance which requires to construe in such a manner.  Therefore, even if it is the case, in the accused device, that a battle will not start by pressing only the "offense selecting key" but will start by pressing the "battle starting key", such fact will not influence the above decision as to whether or not the accused device conforms to constituent element D of the alleged patented invention.

4 As to Constituent Element E:
 As admitted at the preceding 2 (2), in the embodiment described in the publication of the alleged patent, a battle starts immediately after the "attacking key" is pressed, and a damage is computed.  However, the phrase of "when the attacker presses the attacking key" in constituent element E can be literally construed as "in the case an attacking key is pressed".  Also, in the light of advantageous results of the alleged patented invention, there is no necessity to construe the language of "when the attacker presses the attacking key" as limiting to "as soon as the attacking key is pressed", nor there is any other circumstance which necessitates to so construe it.  Therefore, the language of "when an attacking key is pressed" in constituent element E can be construed as meaning "in the case an attacking key is pressed".
 The accused device has computing means (constituent element e) for computing card damages of the respective players attacked when both players press the offense selecting key, or computing a card damage of a player selecting a defense (a player attacked) when one player presses the offense selecting key and the other presses the defense selecting key.  As admitted at 2 (3) hereinabove, the "attacker" of constituent element C means "a player who can selects attacking or using a power-up key" and the "defender" means an opponent relative to the attacker.  In the accused device, in this regard, it can be said that each player is placed on either position of the "attacker" or the "defender" at the time the battle starts.  There is no room for the "defender" to select an "attack".  When an opponent selects "offense" and "presses the attacking key", the defender may be damaged, and a computing means for computing the damage (constituent element e) is provided.  Thus, the accused device conforms to constituent element E of the alleged patented invention.

5 As to Constituent Element F:
 The accused device has survival judgment means (constituent element f) for judging survival by making computation based upon the damage thus computed by the computing means of the above-mentioned item 4 as well as card data of either of the players attacked when both players have selected offense or otherwise, card data of the player who has selected defense (attacked) when if one player has selected offense and the other player has selected defense.  As the aforementioned steps are also performed by the "defender" as has been described in the above-mentioned item 4 above, the accused device conforms to constituent element F.

6 As to Constituent Element G:
 The accused device includes outcome display means (constituent element g) for, when a judgment result that denies at least one player*s survival is obtained from the survival judgment means as mentioned in the preceding item 5, the game is finalized and the judgment result is displayed.  Thus, the accused device conforms to constituent element G.
 In this regard, the Defendant insists that the alleged patented invention is directed to a game wherein only one battle is fought, and a battle outcome is always obtained in accordance with the judgment of survival, and displayed.  (Refer to II III 2 (4) of these papers.)  However, in the claim, there is no recitation which necessitates to so construe it.  Besides, in the embodiment referred to at 2(2) above, there is a description stating that attack (or defense) is repeated until one of the player*s holding power value becomes zero.  Therefore, it is impossible to construe the alleged patented invention as argued above by the Defendant.  Consequently, it is impossible to accept the Defendant*s insistence (at II III 2(4) hereinabove), that the accused device does not conform to constituent element G because the accused device repeats the battles on the assumption of the above argument.

7 As stated in 2 (6) above, one skilled in the art could not have found it obvious to reach the alleged patented invention from the Card Baseball and the SD Gundom.  The Defendant*s insistence (at II III 2 (5) hereinabove), stating that the accused device is not encompassed within the technical scope of the alleged patented invention on the assumption above, lacks a significant premise, thus failing to be accepted.

8 Such being the case, it is concluded that the accused device is read on the technical scope of the alleged patented invention.

II. Point at Issue 2 (as to whether or not the enforcement of the alleged patent right is deemed to be the abuse of the right on the ground that the alleged patent involves cause for invalidation):

1(1)  Considering the evidences (Exhibits B1-1 and B2) together with the findings stated in II I 6 hereinabove, the following facts are admitted:
 There is no recitation of attack-first judging means in the claims of the application of the alleged patent as originally filed;
 In the specification as of filing the application of the alleged patent, there is disclosed that "... being read by bar-code reading means and, according to card data stored in memory means, it is judged which battle card is to attack first" as one embodiment; and
 Other than the above description in the embodiment, no description of the attack-first judging means can be found in the specification and the drawings of the application of the alleged patent.
 However, since the above description in the embodiment is considered to be a mere example, it can be construed that commonly used attack-first judging means which does not depend upon or is independent of the card data was included therein.  Constituent element C added by the amendment includes a language of "having attack-first judging means for judging one player as an attacker and the other player as a defender from the battle data stored by the memory means" encompasses "attack-first judging means for judging one player as an attacker and the other player as a defender in accordance with the battle data" as well as "attack-first judging means for judging one party as an attacker and the other party as a defender regardless of the battle data".  However, as those wordings have been included in the specification and the drawings as of filing the application of the alleged patent, the amendment in question should not be deemed as a change of gist (Exhibit A5).

(2) According to the findings in II I 6 hereinabove, it is considered that the Plaintiff added a constituent element of "displaying a battle outcome obtained by survival judging means" by the amendment in question.  The Defendant insists that this constituent element means that the battle outcome can be always obtained by the judgment of the survival judging means.  However, as has been judged in item I 6 of these papers, such insistence cannot be accepted.  Thus, the Defendant*s insistence, which is led from the above-stated insistence, is that the amendment in question should be deemed to be a change of gist because the aforementioned point was not included in the specification as of filing the application of the alleged patent, but such Defendant*s insistence is not acceptable.  According to the evidences (Exhibit B1-1 and B2), the specification as of filing the application of the alleged patent included the embodiment in the above-mentioned I 2 (2).  Therefore, it can be deemed that the outcome display means for displaying the judgment result produced by the survival judging means was included in the specification as of filing the application of the alleged patent.  In the light of the above, the amendment in question should not be deemed to be a change of gist.

(3) The Defendant insists, on the assumption that the amendment in question falls under the change of gist and thus is not permitted, that the alleged patent should be invalidated.  (Refer to II IV 1 (1) of these papers.)  However, the amendment in question is not deemed to be the change of gist as stated above.  Thus, the above-stated Defendant*s insistence is not acceptable.

2 As has been described in the preceding I 2 (6), it is not deemed that the alleged patented invention could have been readily reached on the basis of the Card Baseball and the SD Gundom.  The Defendant insists on invalidation of the alleged patent based on the aforementioned ground of reason.  However, this Defendant's insistence (in the preceding II IV 1 (2)) cannot be accepted.

III.  Point at Issue 3 (as to whether or not the Defendant is entitled to own the prior use right):

1 The Defendant insists that the application of the alleged patent should be deemed as having been filed as of submitting the amendment because the amendment in question falls under the change of gist and should not be entered; and that the Defendant owns the prior use right (as set forth at II V 1 (1)) because the Defendant had been manufacturing and selling the accused device prior to the date of the amendment.  However, as the amendment in question does not fall under the change of gist as stated in the preceding item II 1, the Defendant*s insistence is not acceptable.

2 In consideration of the contents of the games, the Card Baseball and SD Gundom, as admitted in the preceding I 2 (6), it is apparent that those contents differ from those of the accused device.  Therefore, even if the Defendant had been manufacturing and selling the Card Baseball and SD Gundom prior to the filing date of the application of the alleged patent, it is not possible to say that the Defendant is entitled to the prior use on the above basis.

VI. Point at Issue 4 (as to validity of the warning in this case):

1 In the case:
 where the applicant for patent gave a warning to the third party by presenting a document which describes the contents of the invention of the patent application after the application had been laid-opened, and the third party came to know the contents of the aforementioned invention by such warning, and thereafter the claim was amended by an amendment; and
 where the amendment results in reduction to the scope of the claim before amended within the scope of matters described in the specification or the drawings originally attached to the application for patent; and
 further a device to be worked by the third party falls under the technical scope of the patented invention through before and after the amendment in question was made,
 it is proper to construe that no further warning or the like for making the third party know the scope of the claim is necessary after such amendment.  (Decision was made at the third petty court of the Supreme Court on July 19, 1988.  Refer to Vol. 42, No. 6, page 489 of Collection of Decisions.)

2 According to the findings stated in the preceding item II I 6, the amendment in question is made to restrict the scope of the claims as of filing the application, and thus it is apparent that the accused device, which is encompassed within the technical scope of the invention after amendment, is also encompassed within the technical scope of the invention as of filing the application of the alleged patent.  Besides, the amendment in question was made, as described in the preceding item II 1, within the scope of the matters included in the specification and the drawings as of filing the application of the alleged patent.  Therefore, the Plaintiff should be permitted to demand the compensation of the Defendant without a further warning.
 Meantime, as stated in the preceding item I 2 (6), it is difficult to say definitely to an extent such that it could have been easily reached to replace the pieces of the SD Gundom with the cards in which data is displayed with bar-code representation.  In the light of the above, the claimed invention before amended could have been easily arrived at on the basis of the SD Gundom and the art of reading requisite data with bar-code representation.  Therefore, the Defendant insists that the invention before amended should be unpatentable (as set forth in the preceding item II VI 2), but the Defendant's insistence cannot be accepted.

V. Point at Issue 5 (as to a sum of compensation):

1 In view of the evidence (Exhibit B24) and a gist of the entire pleadings, the following findings can be admitted:
 The Defendant had been manufacturing the accused device in a total amount of 335,824 during a period from July 1992 and January 1993, and the Defendant had been selling the accused device in a total amount of 328, 140 during a period from August 1992 and March 1993;
 A retail price of the accused device is 6,800 yen apiece.

2 According to the evidence (Exhibit A7) and a gist of the entire pleadings, it is considered that the Plaintiff's company and the Defendant's company are in a competing relationship with each other, and thus generally a grant of licensing would be impossible between those companies.  On the other hand, according to the gist of the entire pleadings, it is known that the Defendant had been selling the accused device to wholesale merchants and others at a lower price than the retail price but had not been selling directly to the consumers at the above retail price.  With the various circumstances found in this suit in addition to those findings taken into consideration, 5 (five) % of the above-mentioned retail price is deemed to be appropriate as a royalty rate.  The appropriate total amount of the compensation is 114,180,160 yen as computed by multiplication as follows:
 a total number of manufactured accused device x 6,800 x 0.05.

6 Thus, there is a proper rationale for demanding the compensation in this suit to the extent limiting to payment of 114,180,160 yen as well as payment of money accruing therefrom at an annual interest rate of 5 % within a period starting from June 15, 1994 to a date of completion of the payment.  Thus, the demand for the compensation is admitted to the extent stated above.

Section 29 of Civil Case of The Tokyo District Court

   Judge-in-Chief  Yoshiyuki MORI
    Judge   Michinari ENOTO
    Judge   Ken NAKAHIRA

Lists of The Accused Device List:

Trade Name:  Super Bar-code Wars

i A card game toy comprising:

a bar-code reading means for reading cards indicating requisite data in bar-code representation;

b storage means for storing battle data read by the reading means;

c selection priority judging means for judging which player is to be given a selection priority to freely select offense or defense out of each player*s own will as each player is permitted to do so; (the defense herein means to raise life power, a defensive rate, and a hitting rate without making an attack.  The same applies hereinunder.)

d an offense selecting key and a defense selecting key to be sequentially selected by the players in accordance with the selection priority decided by the selection priority judging means in playing a game between the cards in accordance with the data, and
a battle starting key to be pressed by one of the players in the case that both of the players select offense or alternatively, in the case that one of the players selects offense and the other player selects defense.  (In the case that both of the players select defense, it is not necessary to press the battle starting key, and the game procedure reverts to step c.);

e computing means for, upon pressing the battle starting key, computing card damage of either of the players attacked if both players have selected offense, or card damage of the player who has selected defense (attacked) if one player has selected offense and the other has selected defense;

f survival judgment means for judging survival by making computation based upon the card damage thus computed by the computing means as well as card data of either of the players attacked when both of the players have selected offense, or card data of the player who has selected defense (attacked) if one player has selected offense and the other has selected defense;

g outcome display means for, when a judgment result that denies at least one player's survival is obtained from the survival judgment means, finalizing the game and displaying the judgment result; and

h repeating means for reverting to the step c when either player's survival is affirmed by the survival judgment means, and repeating the subsequent steps therefrom until at least one player's survival is denied by the survival judgment means.