Title
Phillips Seafood Philippines Corporation vs. Tuna Processors, Inc.
Case
G.R. No. 214148
Decision Date
Feb 6, 2023
Phillips Seafood denied infringing Yamaoka's patented tuna-curing process, as their method lacked cooling smoke to 0°C–5°C. Supreme Court ruled no infringement, literal or equivalent.
A

Case Digest (G.R. No. 214148)

Facts:

  • Parties and Background
    • Phillips Seafood Philippines Corporation (Phillips) is a domestic seafood processor.
    • Tuna Processors, Inc. (TPI) is the successor-in-interest of Kanemitsu Yamaoka, co-patentee of Philippine Patent No. I-31138 entitled “Method for Curing Fish and Meat by Extra Low Temperature Smoking.”
  • Patent and Alleged Infringement
    • Patent I-31138 claims a four-step process:
      • Burn smoking material at 250 °C–400 °C.
      • Pass smoke through a filter “to remove mainly tar.”
      • Cool the filtered smoke in a cooling unit to 0 °C–5 °C while retaining preservative ingredients.
      • Smoke tuna meat by exposure to that cold smoke.
    • Yamaoka (later TPI) alleged in May 2003 that Phillips had copied this process after hiring a former employee of a successor company.
    • Phillips denied infringement, asserting its process cools smoke only to ambient temperature before injecting it into tuna, then chills the product. It also challenged the patent’s validity for lack of inventive step.
  • Administrative and Lower-Court Proceedings
    • Intellectual Property Office (IPO) Bureau of Legal Affairs (BLA) initially granted a temporary restraining order and preliminary injunction against Phillips based primarily on witness testimony of a cooling unit.
    • After evidence (including an ocular inspection) and hearings, the BLA dismissed the infringement complaint on October 30, 2006, finding no literal infringement or infringement under the doctrine of equivalents.
    • On appeal, the IPO Office of the Director General (ODG) affirmed the BLA’s dismissal on September 12, 2011, noting Phillips’ process lacks the claimed pre-cooling step and fails the function-means-result test.
    • The Court of Appeals (CA) initially upheld the ODG decision (June 25, 2013) but then, on reconsideration (February 28, 2014), reversed as to the doctrine of equivalents—holding that both processes “remove impurities mainly tar,” cool smoke before curing, and cure tuna with cold smoke.
    • Phillips’ motion for reconsideration was denied (August 29, 2014), prompting this Petition for Review on Certiorari to the Supreme Court.

Issues:

  • Whether the CA correctly interpreted the phrase “to remove mainly tar therefrom” in Claim 1 of Patent I-31138.
  • Whether Phillips’ tuna-curing process infringes Patent I-31138, either literally or under the doctrine of equivalents.

Ruling:

  • (Subscriber-Only)

Ratio:

  • (Subscriber-Only)

Doctrine:

  • (Subscriber-Only)

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