In Re TRACFONE WIRELESS, INC. ( 2021 )


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  • Case: 21-118     Document: 5      Page: 1    Filed: 03/08/2021
    NOTE: This order is nonprecedential.
    United States Court of Appeals
    for the Federal Circuit
    ______________________
    In re: TRACFONE WIRELESS, INC.,
    Petitioner
    ______________________
    2021-118
    ______________________
    On Petition for Writ of Mandamus to the United States
    District Court for the Western District of Texas in No. 6:20-
    cv-00303-ADA, Judge Alan D. Albright.
    ______________________
    ON PETITION
    ______________________
    Before REYNA, CHEN, and HUGHES, Circuit Judges.
    PER CURIAM.
    ORDER
    TracFone Wireless, Inc. petitions for a writ of manda-
    mus directing the United States District Court for the
    Western District of Texas to transfer this case to the
    United States District Court for the Southern District of
    Florida, or in the alternative, to direct the district court to
    stay proceedings until such time the district court rules on
    TracFone’s motion to transfer. Precis Group LLC responds
    and takes “no position regarding the relief requested.”
    We apply the law of the United States Court of Appeals
    for the Fifth Circuit in cases arising from district courts in
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    2                              IN RE: TRACFONE WIRELESS, INC.
    that circuit. We therefore review a district court’s decision
    on a motion to transfer on a clear abuse of discretion stand-
    ard. In this regard, we have granted mandamus to stay
    proceedings and order prompt action on a long-pending mo-
    tion to transfer where the district court has refused to take
    action. See, e.g., In re SK hynix Inc., 835 F. App’x 600 (Fed.
    Cir. 2021); In re Google, No. 2015-138, 
    2015 WL 5294800
    (Fed. Cir. Jul. 16, 2015); cf. In re TS Tech USA Corp., 
    551 F.3d 1315
    , 1319 (Fed. Cir. 2008).
    Precis filed this patent infringement suit against
    TracFone on April 21, 2020. On June 22, 2020, TracFone
    moved to dismiss the case based on improper venue or al-
    ternatively to transfer the case to the United States Dis-
    trict Court for the Southern District of Florida pursuant to
    both 
    28 U.S.C. § 1404
    (a) and 
    28 U.S.C. § 1406
    . The motion
    was fully briefed by July 14, 2020. Shortly thereafter, the
    district court issued a scheduling order for discovery, a
    Markman hearing, and the start of trial.
    On October 1, 2020, TracFone moved the district court
    to stay all proceedings pending resolution of its venue mo-
    tion. Not having heard from the court on either the motion
    to dismiss or the motion to transfer by December 21, 2020,
    TracFone moved for a decision on its motion to transfer be-
    fore the Markman hearing scheduled for December 29,
    2020. The district court also did not rule on that request.
    Instead, the district court conducted the Markman hearing
    as scheduled and issued a claim construction order the fol-
    lowing day. Having still received no ruling from the dis-
    trict court on any of its requests, TracFone filed this
    petition for writ of mandamus on March 2, 2020.
    We addressed strikingly similar circumstances from
    the same district court last month in SK hynix. There, as
    here, the petitioners sought mandamus relief from this
    court after waiting nearly eight months for a ruling on a
    motion to transfer that was fully briefed. We agreed with
    the petitioner that “the district court’s handling of the
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    IN RE: TRACFONE WIRELESS, INC.                                   3
    transfer motion up until this point in the case has
    amounted to egregious delay and blatant disregard for
    precedent.” 835 F. App’x at 600–01. We did not compel
    further action because the district court scheduled a hear-
    ing while the petition was pending before this court, but we
    directed the district court to stay proceedings, including
    the upcoming Markman hearing, until the district court
    ruled on the motion. We explained that mandamus was
    appropriate because “precedent compels entitlement to
    such relief and the district court’s continued refusal to give
    priority to deciding the transfer issues demonstrates that
    SK hynix has no alternative means by which to obtain it.”
    
    Id.
     at. 601.
    In Google, we explained that lengthy delays in resolv-
    ing transfer motions can frustrate the intent of § 1404(a)
    by forcing defendants “to expend resources litigating sub-
    stantive matters in an inconvenient venue while a motion
    to transfer lingers unnecessarily on the docket.” 
    2015 WL 5294800
     at *1. We concluded that a trial court’s failure to
    act on a fully briefed transfer motion that had been pend-
    ing for approximately eight months while pressing forward
    with discovery and claim construction issues amounted to
    an arbitrary refusal to consider the merits of the transfer
    motion. 
    Id.
     at *1–2. We therefore directed the district
    court to promptly rule and to stay all proceedings pending
    completion of the motion. Id. at *2.
    Our decisions in Google and SK hynix rest on a princi-
    ple well-established in Fifth Circuit law: That district
    courts must give promptly filed transfer motions “top pri-
    ority” before resolving the substantive issues in the case.
    In re Horseshoe Entm’t, 
    337 F.3d 429
    , 433 (5th Cir. 2003)
    (“[I]n our view disposition of that [transfer] motion should
    have taken a top priority in the handling of this case by the
    . . . District Court.”); see also In re Apple, Inc., 
    979 F.3d 1332
    , 1337 (Fed. Cir. 2020 (explaining that “once a party
    files a transfer motion, disposing of that motion should un-
    questionably take top priority.”); In re Nintendo Co., Ltd.,
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    4                              IN RE: TRACFONE WIRELESS, INC.
    544 F. App’x 934, 941 (Fed. Cir. 2013) (“[A] trial court must
    first address whether it is a proper and convenient venue
    before addressing any substantive portion of the case.”).
    We agree with TracFone that the circumstances here
    are comparable to those in Google. As in Google, the facts
    here establish that the district court has clearly abused its
    discretion. And, unlike in SK hynix, the court to date has
    taken no action to suggest it is proceeding towards quick
    resolution of the motion.
    We order the district court to stay all proceedings until
    such time that it issues a ruling on the motion to transfer
    that provides a basis for its decision that is capable of
    meaningful appellate review. See SK hynix, 835 F. App’x
    at 601. We do not here address TracFone’s motions, leav-
    ing those decisions to be made by the district court in the
    first instance. But we remind the lower court that any fa-
    miliarity that it has gained with the underlying litigation
    due to the progress of the case since the filing of the com-
    plaint is irrelevant when considering the transfer motion
    and should not color its decision. See Google, 
    2015 WL 5294800
     at *2.
    Accordingly,
    IT IS ORDERED THAT:
    The Petition for Writ of Mandamus is granted and the
    district court is ordered to issue its ruling on the motion to
    transfer within 30 days from the issuance of this order, and
    to provide a reasoned basis for its ruling that is capable of
    meaningful appellate review. See SK hynix, 835 F. App’x
    at 601. We also order that all proceedings in the case are
    stayed until further notice. We do not address the merits
    of TracFone’s motions, leaving those decisions to be made
    by the district court in the first instance. But we remind
    the lower court that any familiarity that it has gained with
    the underlying litigation due to the progress of the case
    since the filing of the complaint is irrelevant when
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    IN RE: TRACFONE WIRELESS, INC.                                 5
    considering the transfer motion and should not color its de-
    cision. See Google, 
    2015 WL 5294800
     at *2.
    FOR THE COURT
    March 08, 2021           /s/ Peter R. Marksteiner
    Date                 Peter R. Marksteiner
    Clerk of Court
    s24
    

Document Info

Docket Number: 21-118

Filed Date: 3/8/2021

Precedential Status: Non-Precedential

Modified Date: 3/9/2021