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IN THE UNITED STATES DISTRICT COURT

FOR THE NORTHERN DISTRICT OF ILLINOIS

Dirtt Environmental Solutions, Ltd., Dirtt 

Environmental Solutions, Inc.

Plaintiffs,

v.

Falkbuilt, Ltd.

Defendant.

Case No. 20-cv-4637

Hon. Judge Steven C. Seeger

Hon. Magistrate Judge Gabriel A. Fuentes

JURY TRIAL DEMANDED

FIRST AMENDED COMPLAINT FOR PATENT INFRINGEMENT

Plaintiffs DIRTT Environmental Solutions, Ltd. ("DIRTT Ltd.") and DIRTT

Environmental Solutions, Inc. ("DIRTT Inc.") (collectively, "DIRTT") bring this first amended 

complaint for patent infringement against Defendant Falkbuilt, Ltd. ("Falkbuilt") and allege as 

follows:

Nature of the Action

1. This is an action for patent infringement under the patent laws of the United States, 

Title 35 U.S.C. §§1 et seq. DIRTT seeks remedies for Defendant's infringement of DIRTT's 

patents nos. 10,467,814 ("the '814 patent") and 10,783,284 ("the '284 patent") or "the Asserted 

Patents") (Exhibits A and L, respectively). 

Parties

2. Plaintiff DIRTT Ltd. is a Canadian company with its headquarters and principal 

place of business located in Calgary, Alberta, Canada. DIRTT Ltd. is the parent company of 

DIRTT Inc. 

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3. Plaintiff DIRTT Inc. is a Colorado company with a significant business presence in 

Chicago, Illinois, where it also has an office and Green Learning Center which includes extensive 

display space.

4. Defendant Falkbuilt Ltd. is a Canadian company with its principal place of business 

in Calgary, Alberta, Canada. 

5. Falkbuilt was founded by former DIRTT employees in 2018, including former 

DIRTT CEO, Mogens Smed, and former DIRTT VP of Software Development, Barrie Loberg.

6. Falkbuilt has at least 36 branches in cities throughout the United States, including 

in Chicago, Illinois.

7. The formation of Falkbuilt relied upon the misappropriation of significant DIRTT

trade secrets and intellectual property, as well as the recruitment of former DIRTT employees in 

violation of non-solicitation agreements by the founders of Falkbuilt. 

8. Despite being a Canadian entity, Falkbuilt has extensive, continuous, and 

systematic connections with the United States and Illinois in particular. Among its 36 branches in 

the United States, numerous employees affiliated with those branches represent themselves to be 

"Principals" of Falkbuilt Ltd.

Jurisdiction and Venue

9. This action arises under the Patent Act, 35 U.S.C. §§1 et seq. 

10. Subject matter jurisdiction is proper in this Court under 28 U.S.C. §§1331 and 

1338(a). 

11. This Court has personal jurisdiction over defendant Falkbuilt because it (a) holds 

itself out as maintaining a place of business and continuing presence in this Judicial District such 

that it has availed itself of the rights, benefits, and privileges of Illinois’s laws; (b) has purposefully

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directed its activities at residents and corporate entities within the state of Illinois and the claims 

set forth herein as to Falkbuilt arise out of or relate to those activities (c) has committed and/or 

induced acts of infringement in this Judicial District, and (d) it is reasonable and fair for this Court 

to exercise personal jurisdiction over Falkbuilt.

12. Falkbuilt has not contested jurisdiction in this case (Answer, Dkt. 22, ¶9).

13. Falkbuilt has shown that it has utilized the accused Echo Dome system / method in 

Chicago through its promotional videos. (Exhibit B).

14. Additionally, the Court has jurisdiction based on Falkbuilt's continuous and 

systematic contacts with the forum state of Illinois, including but not limited to (a) solicitation of 

customers and completion of construction projects in the forum state, (b) the existence of a branch 

in Chicago with two individuals held out by Falkbuilt and the individuals as "Principal" or 

"Associate Principal" of Falkbuilt Ltd. 

15. Falkbuilt holds or has held itself out on its website as having a branch location at 

1240 N. Ashland, #221269, Chicago, Illinois, where it lists Kristen Eboh as the contact. (Exhibit 

C).

16. Eboh and Lindsey Hartsock both have represented themselves on LinkedIn as 

"Principals" of Falkbuilt Ltd. at the Falkbuilt Chicago office. (Exhibit D).

17. Falkbuilt has completed and/or pitched numerous projects in Chicago, has utilized 

the infringing technology on at least one occasion in this Judicial District, and has committed acts 

of indirect infringement in this Judicial District. 

18. Falkbuilt directs its infringing product and system to consumers in the U.S. and in 

Illinois via the "Echo Dome" app available via the Apple App Store on iPhones and iPads. 

Falkbuilt lists "Falkbuilt Ltd." as the seller of the app and "Falkbuilt" as the developer.

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19. This Court alternatively has personal jurisdiction over Falkbuilt pursuant to (a) Fed. 

R. Civ. P. 4(k)(1); and/or (b) Fed. R. Civ. P. 4(k)(2).

20. Venue is proper in this Judicial District under 28 U.S.C. §§1391 and 1440 because 

Falkbuilt resides in this district for purposes of §1391(c)(2), has committed acts of infringement 

in this Judicial District, and is subject to specific personal jurisdiction in this Judicial District. 

The Asserted Patents

21. U.S. Patent No. 10,467,814 entitled, "Mixed-Reality Architectural Design 

Environment" ("the '814 Patent"), was duly and legally issued by the United States Patent and 

Trademark Office on November 5, 2019.

22. U.S. Patent No. 10,783,284 entitled, "Virtual Reality Immersion With an 

Architectural Design Software Application" ("the '284 patent"), was duly and legally issued by the 

United States Patent and Trademark office September 22, 2020.

23. The '814 Patent is currently in force and no maintenance fees are owed. 

24. The '284 Patent is currently in force and no maintenance fees are owed.

25. DIRTT Ltd. is the owner by assignment of all right, title and interest to enforce the 

'814 Patent and the '284 Patent.

26. DIRTT Inc. is the exclusive licensee in the United States to the '814 Patent and the 

'284 Patent.

27. The '814 Patent includes 20 claims, including 3 independent claims. 

28. The '284 Patent includes 20 claims including 3 independent claims.

29. Loberg executed the combined declaration and assignment at Exhibit J.

30. Loberg executed the assignment nunc pro tunc at Exhibit K.

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31. Objective indicia of non-obviousness support the validity of the Asserted Patents. 

For example, Falkbuilt copied a commercial embodiment of the claims, commercial embodiments 

of the claims are commercially successful, the claimed invention met a long-felt but unmet need 

in the technology space, others failed to solve the long-felt need addressed by the invention, the 

claimed invention exhibits unexpected superiority, experts initially expressed skepticism of the 

claimed invention, others taught away from the claimed invention, and the claimed invention has 

been praised by others.

Infringement of the Asserted Patents

32. Defendant has infringed and is continuing to infringe the '814 Patent.

33. Defendant has directly infringed and continues to infringe, both literally and under 

the doctrine of equivalents, at least claims 1, 2, 3, 4, 5, 6, 7, 10, 11, 12, 13, 14, 15, 16, 19 and 20

of the '814 Patent.

34. Defendant has infringed and is continuing to infringe the '284 Patent.

35. Defendant has directly infringed and continues to infringe, both literally and under 

the doctrine of equivalents, at least claims 1, 5, 8, 11, 12, and 15 of the '284 Patent.

36. Defendant infringes claims 1 2, 3, 4, 5, 6, 7, 19, and 20 of the '814 Patent by at least 

the manufacture, sale, offer for sale, and/or importation of an infringing system without 

authorization from DIRTT, including but not limited to Defendant's "Echo Dome" system, shown 

in the video linked at Exhibit B. 

37. Defendant infringes claim 10, 11, 12, 13, 14, 15 and 16 of the '814 Patent by at least 

the performance and/or use of the infringing method in the United States without authorization 

from DIRTT, including but not limited to use of Defendant's "Echo Dome" system, shown in the 

video linked at Exhibit B.

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38. A blog entry by Falkbuilt describing Echo Dome is attached at Exhibit I.

39. Defendant infringes claims 1, 5, and 15 of the '284 patent by at least the 

manufacture, sale, offer for sale, and/or importation of an infringing system without authorization 

from DIRTT, including but not limited to Defendant's "Echo Dome" system, shown in the video 

referenced at Exhibit B. 

40. Defendant infringes claim 8, 11, and 12 of the '284 Patent by at least the 

performance and/or use of the infringing method in the United States without authorization from 

DIRTT, including but not limited to use of Defendant's "Echo Dome" system, shown in the video 

referenced at Exhibit B and referenced in the blog entry at Exhibit I.

41. Falkbuilt represents that the accused Echo Dome system / method “presents an 

incredible opportunity for Falk and other Revit users to explore their designs and make informed 

design decisions in real time, while simultaneously experiencing the power of virtual collaboration 

among multiple users at the exact same time." (Exhibit E). 

42. The description of "Echo Dome" is substantially similar to DIRTT's proprietary 

system, "ICE." 

43. Before departing DIRTT to launch Falkbuilt, one of the inventors of the '814 patent 

was quoted as follows: "From separate physical locations, an architect, designer and client can 

meet inside a space that doesn’t even exist yet,” says Barrie Loberg, DIRTT co-founder and creator 

of ICE technology. “They can make changes and see the impact of those changes instantly in the 

design, pricing and even the manufacturing data. This live, interactive experience can bring 

efficiencies to every phase of construction by improving how we understand, plan and ultimately 

build spaces.” (Exhibit F)

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44. At Exhibit I, Falkbuilt states: "One of Echo Dome’s many incredible features is the 

ability to teleport from spaces within a project and between different projects or locations. Start 

the meeting in the soon-to-be LA office and teleport instantly to the office in New York City."

45. Just as DIRTT uses ICE, Falkbuilt uses or promotes the accused Echo Dome system 

/ method in conjunction with its projects.

46. A chart exemplifying the infringement of the independent claims of the Asserted 

Patents is attached as Exhibit G.

47. Defendant has also induced and continues to induce others to infringe the Asserted 

Patents, literally and under the doctrine of equivalents. For example, Defendant has induced and 

is inducing customers to utilize the infringing system and method to drive sales for Defendant. 

Accordingly, direct infringers include Falkbuilt's partners and customers and others offered Echo 

Dome demos.

48. Defendant is liable for contributory infringement based on its offers to sell or sales

within the United States of the Echo Dome app, which constitutes a component of a patented 

machine, manufacture, combination or composition, or a material or apparatus for use in practicing 

a patented process, constituting a material part of the invention, knowing the same to be especially 

made or especially adapted for use in an infringement of the Asserted Patents, and not a staple 

article or commodity of commerce suitable for substantial non-infringing use.

49. Defendant is aware of the Asserted Patents because Loberg is an inventor of each 

of the Asserted Patents. Additionally, Defendant is aware the Asserted Patents and Defendant's 

infringement least as of the date of service of the original Complaint as to the '814 Patent and this 

First Amended Complaint as to the '284 patent.

50. Loberg holds a leadership role at Falkbuilt. 

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51. Falkbuilt was formed to compete with DIRTT.

52. Loberg is one of only two founders featured on the Falkbuilt website. (Exhibit H).

53. Loberg holds an ownership stake in Falkbuilt Ltd. 

54. Concurrent with or soon after its founding by Loberg and others, Falkbuilt began 

efforts to develop the Echo Dome system.

55. Loberg was, and continues to be, significantly involved in Echo Dome, including 

in an authoritative decision-making capacity.

Count I: Infringement of the '814 Patent

56. Paragraphs 1-55 are incorporated as if set forth at length herein.

57. Defendant has infringed, and continue to infringe, by making, using, offering to 

sell, selling and/or importing products that infringe one or more claims of the '814 Patent and/or 

by actively inducing the infringement of others (including users of the infringing system and 

method), and/or by contributing to infringement in violation of 35 U.S.C. § 271(a), (b), and (c).

58. DIRTT is entitled to recover damages adequate to compensate for Defendant's 

infringement. Furthermore, Defendant's infringement of the '814 Patent is willful and deliberate, 

entitling DIRTT to a recovery of its attorneys' fees and enhanced damages under 35 U.S.C. §§284 

and 285.

59. DIRTT has no adequate remedy at law for Defendant's infringement of the '814 

Patent and is suffering irreparable harm, requiring permanent injunctive relief.

Count II: Infringement of the '284 Patent

60. Paragraphs 1-59 are incorporated as if set forth at length herein.

61. Defendant has infringed, and continue to infringe, by making, using, offering to 

sell, selling and/or importing products that infringe one or more claims of the '284 Patent and/or 

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by actively inducing the infringement of others (including users of the infringing system and 

method), and/or by contributing to infringement in violation of 35 U.S.C. § 271(a), (b), and (c).

62. DIRTT is entitled to recover damages adequate to compensate for Defendant's 

infringement. Furthermore, Defendant's infringement of the '284 Patent is willful and deliberate,

entitling DIRTT to a recovery of its attorneys' fees and enhanced damages under 35 U.S.C. §§284 

and 285.

63. DIRTT has no adequate remedy at law for Defendant's infringement of the '284 

Patent and is suffering irreparable harm, requiring permanent injunctive relief.

Request for Relief

WHEREFORE, DIRTT respectfully requests the following relief:

A. A judgment that the '814 and '284 Patents are valid and enforceable;

B. A judgment that Defendant has directly infringed one or more claims of the Asserted 

Patents, or have induced and/or contributed to such infringement, pursuant to 35 U.S.C. § 

271(a), (b) and/or (c);

C. An order permanently enjoining Defendant and its respective affiliates, subsidiaries, 

officers, agents, servants, directors, representatives, licensees, successors, assigns, 

employees, attorneys, and all those acting in concert, privity, or participation with any of 

the foregoing, from infringing, directly or indirectly, the Asserted Patents;

D. A judgment that awards DIRTT all appropriate damages under 35 U.S.C. § 284 for 

Defendant's past infringement, and any continuing or future infringement of the Asserted 

Patents, up until the date such judgment is entered, including enhanced damages pursuant 

to 35 U.S.C. § 284 for Defendant's willful infringement of the Asserted Patents, as well as 

any pre- and post-judgment interest, costs, and disbursements as justified under 35 U.S.C. 

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§ 284 and, if necessary, to adequately compensate DIRTT for Defendant's infringement, 

an accounting:

E. That this case be declared exceptional within the meaning of 35 U.S.C. § 285 and that 

DIRTT be awarded its reasonable attorneys’ fees against Defendant that it incurs in 

prosecuting this action;

F. That DIRTT be awarded costs and expenses that it incurs in prosecuting this action; and

G. That DIRTT be awarded such further relief at law or in equity as the Court deems just and 

proper.

Demand for Jury Trial

Pursuant to Rule 38(b) of the Federal Rules of Civil Procedure, DIRTT respectfully 

requests a trial by jury of any and all issues on which a trial by jury is available under applicable 

law.

Dated this 13th day of November, 2020

DIRTT ENVIRONMENTAL SOLUTIONS LTD. and DIRTT 

ENVIRONMENTAL SOLUTIONS, INC. 

By:/s/Timothy Sendek

One of their Attorneys

Timothy Sendek

Robyn Bowland

Akerman LLP

71 S. Wacker Drive, 47th Floor

Chicago, Illinois 60606

Tim.Sendek@akerman.com

Robyn.Bowland@akerman.com

Attorneys for Plaintiffs

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