OCT 16 2002 4:00PM HP LASERJET 3200 p.

IN THE UNITED STATES DISTRICT COURT

FOR THE NORnIERN DISTRICT OF ILLINOIS
EASTERN DIVISION

THE CHAMBERLAIN GROUP, INC., )

a Connecticut corporation, ) Ci"il Action No. 02 C 6376
)
Plaintiff, ) The HonorableRebeccaR. Pallmeyer
)
v. ) MagistrateJudgeEdward A. Bobrick

SKYLINK TECHNOLOGIES, INC., ) JURY TRIAL DEMANDED

a foreign corporation, )
)
Defendant. )

A~n:~DED COMPLAINT

Plaintiff, The Chamberlain Group, Inc. ("Chamberlainj, complains against Defendant,

Skylink Technologies,Inc. (""Skylink"), as follows:

Chamberlainis a corporationincorporatedunderthe lawsof the Stateof Connecticut,

"ith its principal place of businessin Elmhurst, illinois.

2. Skylink is a foreign corporation. It hasa principal placeof businessat 2213 Dunwin

Drive. Mississauga.Ontario, CanadaL5L IX}

3. 'illis is an action for patentinfringementarising underthe PatentLaws of the United

States,35 U.S.C. §§ 271 et seq., for copyright infringement arising under the Copyright Act, 17

v.s.c.§ 1201,and for false description under 15 V.S.C. § ] 125. The Court has subject matter
jurisdiction over this matterpursuantto 28 V.S.C. §§ 1331~1338(a),1338(b).and 15U.S.C. § 1121.

Also, the matter in controversy exceeds,exclusive of interestsand costs,the sum specified by

28 V.S.C.§ 1332.
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4.
This Court baspersonaljurisdiction over Skylink. Venue in this judicial disnict is

proper under 28 U .S.C. § 1391

COUNT I .35
INFRINGEMENT OF P A~ No. RE. 35.364

5. On June 7, 1988, U.S. PatentNo.4, 750,118 r'the '118 Patent") entitled "Coding

Systemfor Multiple Transmittersand a Single Receiverfor a GarageDoor Opener" was duly and

legally issuedto ChamberlainManufacturingCompany,on an application flied by Carl Heitschel,

Colin Willmott and Wayne Schindler. On October29. 1996.the '118 Patentwas duly and legally

reissuedas ReissuePatentNo. Re. 35.364("the '364 Patent).

6. Chamberlainis the owner of all righ~ title and interest in the '364 Patent.

7. Skylink has been, and is, willfully infringing the '364 Patent: by making, using,

offering to sell, and/or selling learningreceiversand usernon-changeablecodettansmitters for use:

in suchreceivers,including Model 838rolling codes}'Stems,Model SC[ securitysystems,Models

ED andAD emergencydialer systems,Model 39 transmitters,andmonitoring stationsystemswithin

the United Statesand within this District; by inducing othersto infringe the '364 Patent;and/orby

contributing to the infringement by othersof the '364 Patent. Unlessenjoinedby the Co~ SkyJink.

will continueto infringe, inducethe infringementof, and/orcontributorily infringe the '364 Patent.

8. The required statutorynotice has beenplaced on products manufacturedand sold

under the') 18 Patentand the '364 Patent

COUNT II
INFRINGL~ENTOF PATENT No. RE. 36.703

9. On May 16, 2000, the '118 Patentwas duly and legally reissuedto Chamberlainas

ReissuePatentNo. Re. 36,703 ("the '703 Patent").

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Chamberlainis the owner of all right, title and interest in the '703 Patent.

Skylink bas been and is willfully infringing the '703 Patent: by making. using,

offering to sell. and/orselling learningreceiversand usernon-changeablecodetransmittersfor use

in suchreceivers,including Model 838rolling codesystem~Model SC[ ] security systems,Models

ED andAD emergencydialer systems,Model 39 transmitters,andmonitoring stattonsystemswithin

the United Statesand within this District; by inducing others to infringe the '703 Patent; and by

contributing to the infringementby othersof the '703 Patent. Unlessenjoinedby the Court, Skylink

\\;11continue to infringe, induce the infringement of, and contributorily infringe the '703 Patent

12. The required starutorynotice has beenplaced on products manufacturedand sold

under the '703 Patent.

COUNT III 0. 4 1
INFR.INGEMENT OF PATENT No. 4.S0~105

On M8ICh28,1995, U.S. PatentNo. 5,402,105("the 'IDS Patent") entitled 4'Garage

Door Position Indicating System,"wasduly and legally issuedon an application filed by Matthew

P. Doyle and Patrick J. Bukiri.

Chamberlainis the owner of all right, title and interest in the ' 105 Patent.
14.

15. Skylink has been and is willfully infringing claims 1 and 1 of the '10S Patent:by

making. using, offering to sell. and/orselling GarageDoor Monitors within the United Statesand

within this District; by inducing others to infringe claims 1 and 7 of the '105 Patent; and by

contriburing to the infringement by othersof claims 1 and 7 of the '105 Patent. Unlessenjoinedby

theCourt, Skylink will continueto infringe~inducethe infringement of, and contributorily infringe

claims and 7 of the '105 Patent.

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COUNT IV
COPYRIGHT INFRINGEMENT

16. In 1994,Chamberlaincreatedandwrote acomputersoftwareprogramentitled "Code

Guard Rolling Code" (the "original work").

17. This original work contains a large amount of material, wholly original with

Chamberlainand is copyrightablesubjectmatter underthe laws of the United States.

18. On July 26, 200:2,Chamberlaincomplied in all respectswith the Copyright Act of

1976. 17 U.S.C. §la1 e1seq., and all other laws governingcopyrights, and securedthe exclusive

Certificate of Registrationdatedand identified as follows: "July 26,2002, No. TX-5-533-06S."

19. In early 1996, Chamberlain created and \\Tote a modification of1he original work (the

"derivative work.').

20. On A~ I, 2002,Chamberlaincompliedin all respectswith theCopyrightAct and

all other laws governingcopyrights, and securedthe exclusive rights and privileges in and to the

derivativework andreceivedfrom the Registerof Copyrightsa Certificate of Registrationdatedand

identified as follows: ..August I, 2002,No. TX-S-S49-99S."

21. Since the original work and the derivative work were developed,Chamberlainhas

placed a copyright notice on all copies of the original work and the derivative work that it has

prodw:ed. Any copiesof the original work and the derivative work publishedby Chamberlainhave

beenpublishedin strict conformancewith the provisions of the Copyright Act of 1976, 17U.S.C.

§ 101 et seq., and all other laws governing copyrights.

4.
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The original work and the derivative work contain a technological measurethat

effectively controls accessto the original work and the derivative work.

23. Sincethe creationof theoriginal work andthederivativework, Chamberlainhasbeen

and still is the sole owner of all rights, title and interestin and to the respectivecopyrights in the

original work and the derivative work.

24. After August 1, 2002~Skylink hasmade,imported, offered to the public, provided

and otherwisetrafficked in a Model 39 universaltIansmitterthat (a) is designedor producedfor the

purposeof circumventing the technologicalmeasure;(b) hasno commercially significant purpose

or useother than to circumventthe technologicalmeasure;and c) is marketedby Skylink for usein

circumventingthe technologicalmeasure,in violation of 17 U.S.C. § 1201(a).

25 Chamberlain has notified Skylink that Skylink is violating section 1201, and Skylink

hascontinuedits violation.

COUNT V
FALSE Dr.SCRIPTION

Chamberlainis. and at all relevanttimes hasbeen,in the businessof manufacturing

and selling high quality garagedoor openers,including rolling code receiversand rolling code

transmiJters. under the trademark SECURITY+TM.Such garage door openers are sold under the brand

namesChamberlain,Lift-Master, and SearsCraftsman.

27. Chamberlain has expendedsubstantial monies in advertising and promoting the

garagesecUrityfeaturepro~idedby SECURlTy+TItI
garagedoor openers.The securityfeatureis the

hOmeowner'sdefense against burglars equipped with hi-tech "code grabber" devices. In this

connection, each time the homeowner activates the Chamberlain rolling code transmitter, it

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automaticallyrolls the openercodeover to one of over 100billion new codes,neverto be repeated.

Thus, the stolencode is rendereduseless.

28. Skyiink is in the businessof importing andselling Model 39 Universal Transmitters

for usewith Chamberlaint s rolling codereceivers. The Model 39 Universal Transmitter is sold in

competition with Chamberlain'srolling codetransmittersand universal transmitters

29. Skylink statesin its advertisementson the packageof eachof its Model 39 U ni".ersa1

Transmitterssold in the United Statesthat sucha transmitteris "Compatible with the latest Rolling

Code Technology: Chamberlai~ Liftmaster, Sears,Sectaity+. . . .n (A copy of the advertisement

is attached.)

30. This description or representationis false or is misleading becausethe Model 39

Univ~ Transmitter js riot compatible with such Rolling Code Technology. The opener code

transmitted by the Model 39 Universal Transmitter is not a rolling code which is different for each

transmission, but is the same opener code for each transmission. This aJlows the burglar who steals

the homeowner's opener code to easily defeat die security of Chamberlain's garage door opener.

which the homeowner was depending upon.

31. Such sales by Skylink oria Modc139 Universal Transmitter on packaging containing

suchfalseor misleadingdescriptionof fact will damagethe reputationof Chamberlain's garagedoor

openersand will result in the loss of salesaJxfprofits.

32. All the foregoingactsof Skylink havecausedand,unlessrestIajnedby this Courtwill

continue to cause,seriousand irreparableinjury, inclOOing,but not limited to, loss of competitive

advantage,loss of businessreputationand goodwill, loss of salesand profits, and other losse~for

which Chamberlainhasno adequateremedyat law.

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33 The aforesaid wrongful acts of Sky link consti tute willful violation of the Lanham Act,

]5 V.S.C. § 112S.

COUNT VI
UNFAIR COMPETITION

34. Chamberlainreallegcsand incorporatesherein by referenceparagraphs26 through

33 above.

35. The aforesaidwrongful actsof SkyLinkconstimte\villful unfair competition under

lllinois law.

COUNT VII
CONSUMER FRAUD AND DECEPrIVE BUSINESS PRACTICES ACT

36. Chamberlmnreallegesand incorporatesherein by referenceparagraphs26 through

33 above

31. The aforesaidwrongful acts of Skylink constitute willful violation of the Illinois

ConsumerFraud and Deceptive BusinessPracticesAct, 815 n..CS5OS/2.

COUNT VllI
UNIFORM DECEPTIVE TRADE PRACTICES ACT

31. Chamberlainreallegesandincorporateshereinby referenceparagraph26 through33

above.

39. The aforesaidwrongful acts of Skyiink constitute willful violation of the Illinois

Uniform DeceptiveTrade PracticesAct, 815 n..cS 510/2.

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PRA YER FOR RELIEF

WHEREFORE. Chamberlain prays for:

Judgmentthat the '364 and '703 Patentsand c)aims and 7 oftbe '105 Patentare

valid, enforceableand infringed by Skylink;

2. A preliminary and permanentinjunction enjoining Skylink, its officers, agents,

employeesand thosepersonsacting in active concertor participation with Skylink from infringing.

inducing infringementof, or contributorily infringing the '364 and '703 Patentsand claims 1 and 7

of tile ~lOSPatent;

3. An awardof damagesarising out of Skylink's infringement, inducing infringement

or contributory infringement of the .364 and .703 Patentsand claims I and 7 of the .105 Patent,

togetherwith interest;

4. A preliminary and permanentinjunction enjoining Skyl~ its officers~agen~

servants,employeesand thosepersonsacting in active concert or participation \\ith Skyiink from

violating Section 1201by selling its Model 39 transmitter;

s. An order impounding all Model 39 transmittersin the custodyor control of Skylink

that are involved in the violation by Skylink of Section 1201;

6. Judgmentawarding damagesto Chamberlain,including statutory damagesand/or

suchdamagesasChamberlainhassustainedasa result of the violation by Skylink of Section120I;

7 Judgmentawarding to Chamberlainall profits of Skylink that areattributableto the

violation by Skylink of Section 1201;

8. Skylink be requiredto deliver up to be impoundedduring the pendencyof this action

all Model 39 transmitters in Skylink's custodyor control that the Court has reasonablecauseto

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believe was involved in violation of Section 1201,and to deliver up for destructionall Model 39

transmitters;

9. An order for the destructionof any Model 39 Universal Transmitter involved in the

violation of section 1201in Skylink's custodyor control, or has beenimpoundedunder paragraph

Sj

10. A preliminary and pennanentinjunction ordering that SkyJink, its officers~agents,

servantsand employees,andall thosepersonsin active concertor participation ~ith them, shall not

use, directly or indirectly, any advertisementstating that the Model 39 Universal Transmitter is

compatible,in words or effect, with the Chamberlainrolling code receivers;

11 A preliminary andpemlancntinjunction ordering that Skylink placeon all packages

of its Model 39 Universal Transmitter a warning that, if used \\ith Chamberlai11rolling code

receivers.the transmitter will defeatthe security featuresof suchreceivers.

12. An order that all advertisementsand packagesbearing the representationthat is

subjectto the violation of IS U.S.C. § 112S(a)in Skylink's custodyor control be delivered up and

destroyed;

13. An a'Wardof Skylink' s profits and damagessustainedby Chamberlainas a resultof

Skylink's violation of 15 V.S.C. § 1125(a)and violation ofll1inois law.

14. Judgmentthat the damagesso adjudgedbe trebled;

IS. Judgment that Chamberlain be awarded its attorney's fees, costs and expenses

incurred in this action; and

16. Suchother and further relief asthe Court may deemjust andproper.

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JURY DEMAND

Chamberlaindemandstrial by jury of all issuestriable of right by a jury.

Date: October 16. 2002

~ a;
,I ~:- (7,
:~~., ..'~r
,.
;
.~
/ :..
~
JohnF...
Karl R. Fink
Rudy[. Kratz
FITCH. EVEN. T ABIN &; FLANNERY
120 SouthLaSalle Street
Suite 1600
Chicago.Illinois 60603-3406
312/577-1000
mn1 Attorneysfor Plaintiff. 1ne Chamberlain Group, Inc.

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CERTIFICATE OF SERVICE

I hereby certify that a copy of the foregoing AMENDEDCOMPLAINTwas caused to be served

asfollows upon:

1\1Hand D~Jiv~rv B.. Facsimile &; First Clars Mail

CharlesA. Laff, Esq. Andra BarmasbGreene,Esq.
Michael A. Stiegcl, Esq. David Nimmer, Esq.
Brian Lum, Esq. PeterT. Christensen,Esq.
MJCHAEL,. BEST & FRIEDRICH IRELL& MANELLALLP
401 North Michigan Avenue. Suite 1900 840 Newport CenterDrive, Suite 400
Chicago,Illinois 60611 Newport Beach,California 92660
Facsimile: 949n60-5200

Attorneys for Defendant,this 16mday of October.2002.

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