Transclean Corporation, James P. Viken, Jon A. Lang, and Donald E. Johnson (collectively “Transclean”) brought suit against Bridgewood Services, Inc. (“Bridgewood”), alleging that the automatic transmission fluid changing machine manufactured and sold by Bridgewood, the “T-Tech machine,” infringed Transclean’s patent. Transclean obtained a judgment in its favor, including a damages award of $1,874,500. The judgment and award were affirmed on appeal. Transclean Corp. v. Bridgewood Servs., Inc., 290 F.3d 1364 (Fed. Cir. 2002) (“Transclean I”).
Transclean then filed a separate patent infringement suit against Jiffy Lube International, Inc. (“Jiffy Lube”) and more than thirty other fast lube businesses, each of which had purchased one or more T-Tech machines from Bridgewood. That case is the subject of the present appeal.
In this case, the district court granted summary judgment in favor of Jiffy Lube and eight other defendants (“Participating Defendants”), holding that under the doctrine of claim preclusion, the judgment against Bridgewood bars Transclean from bringing a separate infringement action against Bridgewood’s customers. The district court previously had entered default judgment in favor of Transclean against several other defendants (“Defaulting Defendants”), none of whom had answered the complaint. Because we agree with the district court that under the doctrine of claim preclusion Transclean may not obtain relief against the Participating Defendants, we affirm that portion of the district court’s judgment. In light of that affirmance, we conclude that the claims against the Defaulting Defendants should be disposed of in the same manner; accordingly, the judgment in favor of Transclean and against the Defaulting Defendants is reversed.