S.A.A.T. Systems Application of Advanced Technology, Ltd. and Daiwa Products, Inc. (collectively “SAAT”) appeal the denial of their motion for judgment as a matter of law (“JMOL”) after a jury found that SAAT willfully infringed U.S. Patents No. 5,012,813 (“the ’813 patent”), No. 6,047,205 (“the ’205 patent”), and No. 6,292,685 (“the ’685 patent”) and awarded lost profit damages to the patentee, Exergen Corporation (“Exergen”). Exergen Corp. v. Wal-Mart Stores, Inc., No. 01-CV-11306 (D. Mass. Aug. 4, 2005). SAAT further appeals the denial of its motion for leave to amend its answer to allege that the ’813 and ’685 patents are unenforceable due to inequitable conduct. Exergen cross-appeals the denial of its motion to alter or amend judgment for an award of enhanced damages and prejudgment interest.
We conclude that all claims of the ’205 patent are anticipated and that no substantial evidence supports the jury’s contrary finding. Furthermore, we conclude that Exergen failed to introduce substantial evidence to support the jury’s finding that the ’813 and ’685 patents are infringed. Because our invalidity and non-infringement determinations require that we reverse the damages award, we need not address Exergen’s cross-appeal regarding enhanced damages and prejudgment interest. Finally, we conclude that the district court did not abuse its discretion in denying SAAT’s motion to amend its pleading because it correctly held that SAAT’s proposed allegations of inequitable conduct failed to satisfy the heightened pleading requirement of Federal Rule of Civil Procedure 9(b). Thus, we affirm-in-part and reverse-in-part.
