Source: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-cand-3_04-cv-03923/USCOURTS-cand-3_04-cv-03923-91/pdf.json

Nature of Suit Code: 830
Nature of Suit: Patent
Cause of Action: 28:1338 Patent Infringement

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DECHERT LLP 

ATTORNEYS AT LAW

PALO ALTO

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[PROPOSED] ORDER GRANTING SYNOPSYS’ RENEWED MOTION FOR PRELIM. INJUNC.; 

CASE NO. C 04-03923 MMC 

13226149.1 

Chris Scott Graham (State Bar No. 114498) 

chris.scott.graham@dechert.com 

Justin Boyce (State Bar No. 181488) 

justin.boyce@dechert.com

Philip Barilovits (State Bar No. 199944) 

philip.barilovits@dechert.com 

Daniel Epstein (State Bar No. 240793) 

daniel.epstein@dechert.com 

DECHERT LLP 

1117 California Avenue 

Palo Alto, CA 94304-1106 

Telephone: 650.813.4800 

Facsimile: 650.813.4848 

Michael Edelman (State Bar No. 172591) 

michaeledelman@paulhastings.com 

PAUL HASTINGS, LLP 

Five Palo Alto Square 

Sixth Floor 

Palo Alto, CA 94306-2155 

Telephone: 650.320.1822 

Facsimile: 650.320.1922 

Attorneys for Plaintiff and Counter-Defendant, 

SYNOPSYS, INC. 

UNITED STATES DISTRICT COURT 

NORTHERN DISTRICT OF CALIFORNIA 

SAN FRANCISCO DIVISION 

SYNOPSYS, INC., a Delaware Corporation,

Plaintiff and Counter-Defendant, 

vs.

MAGMA DESIGN AUTOMATION, INC., a 

Delaware Corporation, and LUKAS VAN 

GINNEKEN, 

Defendants and Counter-Claimant. 

AND RELATED CROSS ACTIONS. 

Case No. C 04-03923 MMC (JCS) 

ORDER GRANTING PLAINTIFF 

SYNOPSYS, INC.’S RENEWED 

MOTION FOR PRELIMINARY 

INJUNCTION 

(Docket No. 1166) 

Case 3:04-cv-03923-MMC Document 1172 Filed 01/03/07 Page 1 of 3
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[PROPOSED] ORDER GRANTING SYNOPSYS’ RENEWED MOTION FOR PRELIM. INJUNC.; 

CASE NO. C 04-03923 MMC

13226149.1

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The Renewed Motion by Synopsys, Inc. (“Synopys”) for Preliminary Injunction Requiring 

Magma to Transfer Ownership of the Patents to Synopsys (“Motion for Preliminary Injunction”) 

came before the Court, the Honorable Maxine M. Chesney presiding. The Court, having 

considered the submissions of the parties, and good cause appearing, hereby ORDERS as follows: 

“The traditional equitable criteria for granting preliminary injunctive relief are: (1) a strong 

likelihood of success on the merits; (2) the possibility of irreparable injury to the [moving party] if 

injunctive relief is not granted; (3) a balance of hardships favoring the [moving party]; and (4) 

advancement of the public interest.” Textile Unlimited, Inc. v. A. BMH and Co., Inc., 240 F.3d 

781, 786 (9th Cir. 2001). “[T]he moving party may meet its burden by demonstrating either (1) a 

combination of probable success on the merits and the possibility of irreparable injury or (2) that 

serious questions are raised and the balance of hardships tips sharply in its favor.” Id. (internal 

quotation and citation omitted). 

Here, Synopsys has moved for a preliminary injunction seeking to maintain the status quo 

relating to Synopsys’s property interests in United States Patent No. 6,453,446 (“the ‘446 Patent”) 

and United States Patent No. 6,725,438 (“the ‘438 Patent”). The record demonstrates that a 

request for reexamination of the ‘438 Patent has been granted, and that Magma, as the sole owner 

of record title with the PTO, is the only party recognized by the PTO to participate in the capacity 

of an owner in the reexamination proceedings. Although Magma is the owner of record, the 

Ownership Trial between the parties will result in Magma being divested of the Patents (either in 

favor of Synopsys alone, or Synopsys jointly with IBM). As such, Synopsys has demonstrated 

that its own interests would not be adequately protected unless Magma assigns the Patents to 

Synopsys now so that Synopsys may defend its interest in the Patents before the PTO. 

Synopsys has demonstrated that the balance of hardships tips entirely in favor of Synopsys.

Should the reexamination proceed without Synopsys being able to participate as an owner of the 

Patents, Synopsys may be deprived of its property without a meaningful opportunity to be heard.

This potential harm to Synopsys would be irreparable if the requested preliminary injunction were 

not granted. By contrast, there would be no harm to Magma whatsoever flowing from an order 

requiring it to proceed as set forth herein. Synopsys has demonstrated that Magma’s position in 

Case 3:04-cv-03923-MMC Document 1172 Filed 01/03/07 Page 2 of 3
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[PROPOSED] ORDER GRANTING SYNOPSYS’ RENEWED MOTION FOR PRELIM. INJUNC.; 

CASE NO. C 04-03923 MMC

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this action will not be prejudiced in any way by the preliminary injunction because the preliminary 

injunction does no more than to assure that the disputed property, the ‘446 and ‘438 Patents, are 

held intact pending a decision on the merits of the Ownership Trial. 

Synopsys has demonstrated, and Magma has conceded, that Synopsys is likely to succeed 

on the merits of the issues tried in the Ownership Trial. The record demonstrates that Synopsys is 

at least a co-owner of the ‘446 and ‘438 Patents, and that Magma is not asserting any ownership 

rights therein.

Under these circumstances, this Court has the authority to grant the relief requested by 

Synopsys to preserve the status quo. Accordingly, the Court hereby GRANTS Synopsys’ Motion 

for Preliminary Injunction. Magma shall immediately take all necessary steps to withdraw its 

claim of ownership to the ‘446 and ‘438 Patents and to execute a quitclaim assignment 

transferring title in the Patents to Synopsys. 

This order is not intended to reflect a determination as to any rights IBM may have in the 

subject patents. 

IT IS SO ORDERED. 

Dated: January 3, 2007 _______________________________________ 

HON. MAXINE M. CHESNEY 

UNITED STATES DISTRICT JUDGE 

Case 3:04-cv-03923-MMC Document 1172 Filed 01/03/07 Page 3 of 3