直 Japanese PDF Font
  • Our Professionals
  • Our Work
  • Our Insights
  • Offices
  • Firm
  • Careers
Finnegan
  • Articles & Books
    • Ad Law Buzz Blog
    • At the PTAB Blog
    • European IP Blog
    • Federal Circuit IP Blog
    • INCONTESTABLE® Blog
    • Prosecution First Blog
  • Events & Webinars
  • IP Updates
  • Podcasts
    • AI + Finnegan
    • AI + Copyright
    • AI + Patent
    • AI + Privacy
    • AI + Trade Secrets
    • AI + Trademark
  • Unified Patent Court (UPC) Hub

Federal Circuit IP Blog

Using Patent As Evidence to Support State Law Claims Does Not Invoke Federal Jurisdiction

April 8, 2020

Authored and Edited by Brooke M Wilner; Kevin D. Rodkey

In Intellisoft, Ltd. v. Acer America Corp., No. 2019-1522 (Fed. Cir. Apr. 3, 2020), the Federal Circuit held that Intellisoft’s state law claim accusing Acer of disclosing trade secrets did not arise under federal patent law and should not have been removed to federal district court.

Intellisoft and Bruce Bierman filed suit against Acer in California state court, claiming that Acer had violated a non-disclosure agreement by including Intellisoft’s trade secrets in Acer’s patent application. Intellisoft’s expert also concluded that Bierman should have at least been named a co-inventor on the patent. Shortly before trial, Acer filed a cross-complaint seeking a declaratory judgment that Bierman was not an inventor on the patent. Acer then removed the action to federal court in the Northern District of California, asserting that Intellisoft’s trade secret claim arose under federal patent laws for correction of inventorship. Intellisoft moved the district court to remand, which was denied. The district court then granted summary judgment for Acer. Intellisoft appealed.

On appeal, the Federal Circuit held that removal to district court was improper because the claim did not require resolution of patent law issues. Rather, Intellisoft only needed to establish ownership of its trade secrets under California state law—not inventorship under patent law. Intellisoft’s presentation of the Acer patent as evidence similarly did not invoke federal law, because Intellisoft needed to prove only that Acer misappropriated its trade secrets under state law. The court thus held that Intellisoft’s claim did not raise federal patent law issues.

The court also rejected Acer’s argument that removal was proper because Acer’s counterclaim asserted a federal issue. The Federal Circuit held that Acer’s cross-complaint, filed after the due date for filing without leave of court, was not legally operative and therefore did not create federal jurisdiction.

The Federal Circuit thus vacated, reversed, and remanded the district court’s judgment with instructions to remand the action to California state court.

Tags

subject matter jurisdiction, patent venue, counterclaims

Related Practices

Appeals, Issues, and Legal Strategy

Federal Circuit and Supreme Court Appeals

Related Offices

Atlanta, GA

Washington, DC

Contacts

Kevin D. Rodkey
Partner
Atlanta, GA
+1 404 653 6484
Email

Copyright © 2020 Finnegan, Henderson, Farabow, Garrett & Dunner, LLP. 


DISCLAIMER: Although we wish to hear from you, information exchanged in this blog cannot and does not create an attorney-client relationship. Please do not post any information that you consider to be personal or confidential. If you wish for Finnegan, Henderson, Farabow, Garrett & Dunner, LLP to consider representing you, in order to establish an attorney-client relationship you must first enter a written representation agreement with Finnegan. Contact us for additional information. One of our lawyers will be happy to discuss the possibility of representation with you. Additional disclaimer information. 

Related Insights

Conference

IAM Live: Navigating the UPC 2026

November 3, 2026

Paris

Conference

4th Global Patent Litigation FORUM

October 29, 2026

Munich

Conference

2026 AIPLA Annual Meeting

October 29-31, 2026

Washington, DC

Conference

2026 EDTX Bench Bar Conference

October 28-30, 2026

Fort Worth

Conference

ChIPs Global Summit 2026

October 21-23, 2026

Los Angeles

Hybrid Conference

Intellectual Property Law Institute 2026 – California

October 19-20, 2026

San Francisco

Conference

31st Annual UMass Chan Research Retreat

October 14-15, 2026

Worcester

Hybrid Conference

Intellectual Property Law Institute 2026 – New York

September 28-29, 2026

New York

Conference

2026 IPO Annual Meeting

September 27-29, 2026

Toronto

Due to international data regulations, we’ve updated our privacy policy. Click here to read our privacy policy in full.

  • Privacy
  • Disclaimer
  • Legal Notices
  • Fraud Alert
  • EEO Statement
  • Cookies
  • Contact Us

© 2026 Finnegan, Henderson, Farabow, Garrett & Dunner, LLP