LEONARD P. STARK, District Judge.
Power Integrations, Inc. ("Power") sued Defendants Fairchild Semiconductor International, Inc. and Fairchild Semiconductor Corporation ("Fairchild") in 2004 for infringement of four Power patents. At trial in October 2006, the jury was instructed on direct and induced infringement and returned a general verdict finding infringement. The jury also found Fairchild's infringement was willful and awarded Power approximately $34 million in worldwide damages. Post-trial, the Court granted Fairchild's motion for remittitur and reduced the jury's award by approximately 82%, to around $6 million, the amount of damages Power incurred just in the United States.
On appeal, the Court of Appeals for the Federal Circuit held that this Court had correctly decided to reduce damages because the jury's damages award was contrary to law for being based on worldwide sales. See Power Integrations, Inc. v. Fairchild Semiconductor Int'l, Inc., 711 F.3d 1348 (Fed. Cir. 2013) ("Power Integrations"). The Federal Circuit also found insufficient evidence to support a finding of induced infringement and concluded, therefore, that the jury's verdict must have been based on direct infringement — presumably based on the parties' stipulation of direct infringement. The Court remanded the case with instructions to conduct a new trial on damages for direct infringement alone. Power's petition for a writ of certiorari on the worldwide sales issue was denied.
In July 2015, in WesternGeco L.L.C. v. ION Geophysical Corp. (Fed. Cir. 2015), 791 F.3d 1340, 1350-51 (Fed. Cir. 2015) (" WesternGeco I"), the Federal Circuit described Power Integrations as "[t]he leading case on lost profits for foreign conduct" and, relying on the Power Integrations precedent, denied a patentee recovery of worldwide damages for patent infringement. Then, on June 22, 2018, the Supreme Court reversed the Federal Circuit's decision in WesternGeco I, holding instead that "worldwide" patent damages for infringement under 35 U.S.C. § 271(f)(2), relating to supplying components from the U.S. to be combined outside the U.S. in a manner that would be infringing in the U.S., may be awarded. See WesternGeco LLC v. ION Geophysical Corp., 138 S.Ct. 2129 (2018) ("WesternGeco II").
Through briefing and a telephonic hearing, the parties have advised the Court of their competing views as to the impact of the Supreme Court's decision in WesternGeco II on the damages trial this Court must now conduct on remand. (See, e.g., D.I. 971, 973, 976, 977, 980, 982)
1. In the Court's view, the Supreme Court's WesternGeco II decision implicitly overruled the Federal Circuit's Power Integrations opinion.
2. The Court construes Power's briefing as a motion for relief from judgment filed pursuant to Federal Rule of Civil Procedure 60(b)(6).
3. Power's Rule 60(b)(6) motion is
4. The Court has further determined that it is appropriate to certify this Order for interlocutory appeal, pursuant to 28 U.S.C. § 1292(b). Under Section 1292(b), an interlocutory appeal is permitted when the order at issue (1) involves a controlling question oflaw upon which there is (2) substantial grounds for a difference of opinion as to its correctness, and (3) if appealed immediately may materially advance the ultimate termination of the litigation. An interlocutory appeal is only appropriate when "exceptional circumstances merit a departure from the final judgment rule." EMS! Acquisition, Inc. v. RSUI Indem. Co., 2018 WL 2316633, at *2 (D. Del. May 22, 2018) (internal quotation marks omitted).
5. All of these criteria are satisfied here. The Court's Order is controlling in that it sets out the scope of the trial, a trial that will consider a broader damages claim than the mandate authorizes the Court to allow, thereby exceeding the mandate. There are substantial grounds on which the Federal Circuit could well disagree with this Court's assessment that the Supreme Court in WesternGeco II implicitly overruled the Federal Circuit's Power Integrations decision. The Court is well aware of the unusual nature of a District Court telling a Court of Appeals that the District Court will not follow a binding Court of Appeals precedent because, in the view of the District Court, the Supreme Court has overruled the Court of Appeals. Rather than try this case based on this Court's conclusion on implicit overruling — and risking, if wrong, two additional trials instead of just one more — it would materially advance the conclusion of this litigation to ask the Federal Circuit to tell us if, in light of WesternGeco II, the trial should be limited to U.S. damages or should, instead, consider worldwide damages. The Court's conclusion on material advancement is strengthened by the unusual fact that, after thorough discussion of the matter, the parties agree with the Court that certifying an interlocutory appeal is the appropriate next step in this case. (See D.I. 982) Over nearly 15 years of litigating this matter, the parties have rarely agreed on anything.
Accordingly,
Finally,