IN THE UNITED STATES DISTRICT COURT FOR THE EASTERN DISTRICT OF TEXAS TYLER DIVISION INTERNET COMMUNICATIONS SOLUTIONS

LLC, Plaintiff, v. ' ' ' ' ' ' ' ' ' ' ' ' ' ' ' '

CIVIL ACTION NO. 6:11cv375 JURY TRIAL DEMANDED

MAGICJACK VOCALTEC LTD., YMAX CORPORATION, YMAX COMMUNICATIONS CORP., MAGICJACK LP, VOCALTEC COMMUNICATIONS LLC, and TIGER JET NETWORKS, INC. Defendants.

PLAINTIFFS ORIGINAL COMPLAINT Plaintiff Internet Communications Solutions LLC files this Original Complaint against the above-named Defendants, alleging as follows: I. 1. THE ACTION

This is an action for judgment of infringement of United States Patent No. 7,924,825

(the 825 Patent). A true and correct copy of the 825 Patent is attached to this Complaint as Exhibit A. II. 2. THE PARTIES

Plaintiff Internet Communications Solutions LLC (ICS) is a Texas limited liability

company. ICSs principal place of business is in Frisco, Texas. 3. Defendant MagicJack Vocaltec LTD (MVL) is an Israeli corporation with its

headquarters in Netanya, Israel. MVL has places of business in the United States in Allen, Texas, and West Palm Beach, Florida. Upon information and belief, MVL has failed to designate an agent 1

for service of process within the State of Texas. Accordingly, MVL served with process via service on the Secretary of State of the State of Texas, James E. Rudder Building, 1019 Brazos, Austin, Texas 78701, or any other manner of service pursuant to Fed. R. Civ. P. 4(h). 4. Defendant YMax Corporation is a Delaware corporation with its principal place of

business in West Palm Beach, Florida. Ymax Corporation may be served with process through its registered agent, CT Corporation System, 350 N. St. Paul St., Suite 2900, Dallas, TX, 75201-4234. 5. Defendant YMax Communications Corp. (YMax Communications) is a Delaware YMax

corporation with its principal place of business in West Palm Beach, Florida.

Communications may be served with process through its registered agent, CT Corporation System, 1200 South Pine Island Rd, Plantation, Florida, 33324. 6. Defendant magicJack LP (MagicJack) is a Delaware limited partnership with its

principal place of business in West Palm Beach, Florida. MagicJack may be served with process through their registered agent, CT Corporation System, 1200 South Pine Island Rd, Plantation, Florida, 33324. 7. Defendant Vocaltec Communications LLC f/k/a Stratus Communications LLC

(Vocaltec Communications) is a Delaware limited liability company with its principal place of business at 15 Prestige Circle, Allen, Texas 75002. Upon information and belief, neither Vocaltec Communications nor Stratus Communications LLC have designated an agent for service of process within the State of Texas. Accordingly, Vocaltec Communications may be served with process via service on the Secretary of State of the State of Texas, James E. Rudder Building, 1019 Brazos, Austin, Texas 78701, and/or through its registered agent in the State of Delaware, The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington, Delaware, 19801.

8.

Defendant Tiger Jet Networks, Inc. (Tiger Jet) is a California Corporation with a

principal place of business in Sunnyvale, California. Tiger Jet may be served with process through its registered agent, Yu Sing, at Tiger Jets principal place of business, 1250 Oakmead Parkway, Sunnyvale, California 94085. III. JURISDICTION AND VENUE 9. This is an action for infringement of a United States patent arising under 35 U.S.C.

271, 281, and 284-285, among others. This Court has subject matter jurisdiction of the action under Title 28 U.S.C. 1331 and 1338(a). 10. This Court has personal jurisdiction over each Defendant, and venue is proper

pursuant to 28 U.S.C. 1391 and 1400(b). Each Defendant has substantial contacts with the forum as a result of pervasive business activities conducted within the State of Texas and within the Tyler Division of this District, including but not limited to the sale and distribution of various products/systems and the provision of services relating to those products/systems. Each Defendant has committed and continues to commit acts of patent infringement, directly and/or indirectly through agents and intermediaries, by offering for sale, selling, and distributing at least the magicJackTM VoIP telephony device, including services, and systems in Texas and, particularly, the Eastern District of Texas, that accompany the magicJackTM device. Each Defendant has

purposefully and voluntarily acted in concert to place their infringing products, services, and systems into the stream of commerce with the expectation that they will be purchased (or acquired) and used by consumers in this District, which products, services, and systems have been, and continue to be, purchased (or acquired) and used by consumers in this District.

11.

Defendants YMax Corp., YMax Communications, MagicJack, Vocaltec

Communications, and Tiger Jet are 100% wholly-owned subsidiaries of MVL, which lists 15 Prestige Circle, Allen, Texas 75002 as one of its two United States offices. 12. In addition to the foregoing, upon information and belief, all defendants work in

concert as a single organization and/or enterprise to make, use, sell, and/or offer for sale the magicJackTM device and related systems and services in the Eastern District of Texas for the express benefit of MVL. III. PATENT INFRINGEMENT 13. On April 12, 2011, the 825 Patent was duly and legally issued for a System for

Providing Portable VOIP Services. 14. Plaintiff ICS is the owner of the 825 Patent with the exclusive right to enforce the

825 Patent against infringers, and collect damages for all relevant times, including the right to prosecute this action. 15. Upon information and belief, Defendants work in concert to manufacture, make, have

made, use, practice, import, provide, supply, distribute, sell, and/or offer for sale the magicJackTM device and related systems and services that infringe one or more claims in the 825 Patent; and/or Defendants induce and/or contribute to the infringement of one or more of the claims in the 825 patent by others. 16. Upon information and belief, Defendants work in concert to provide the magicJackTM

device to customers, with knowledge of the 825 Patent at least as of the date of service of this Complaint. 17. In addition to direct infringement through sale of the MagicJack device, system, and

services, Defendants sale of the magicJackTM device constitutes inducement of infringement of the 4

825 Patent because Defendants instruct their customers to use the magicJackTM device in a manner that infringes the 825 Patent. At least as of the date of service of this Complaint, Defendants know or should know that their instruction on the use of the magicJackTM device constitutes infringement of the 825 Patent, and the continued provision of the magicJackTM device after service of this Complaint constitutes specific intent on the part of Defendants to knowingly induce infringement by encouraging infringement by their customers. 18. Defendants sale of the magicJackTM device also constitutes contributory

infringement of the 825 Patent because, at least as of the date of service of the Complaint, Defendants had knowledge of the 825 Patent, the magicJackTM device is a material component of at least one or more claims of the 825 Patent, and the magicJackTM device has no substantial noninfringing use. 19. ICS has been damaged as a result of Defendants infringing conduct. Defendants are,

thus, liable to ICS in an amount that adequately compensates it for their infringements, which, by law, cannot be less than a reasonable royalty, together with interest and costs as fixed by this Court under 35 U.S.C. 284. IV. JURY DEMAND ICS hereby requests a trial by jury pursuant to Rule 38 of the Federal Rules of Civil Procedure. V. PRAYER FOR RELIEF ICS respectfully requests that the Court find in its favor and against Defendants, and that the Court grant ICS the following relief: a. Judgment that one or more claims of United States Patent No. 7,924,825 have been infringed, either literally and/or under the doctrine of equivalents, by one or more Defendants and/or by others to whose infringement Defendants have contributed and/or by others whose infringement has been induced by Defendants; 5

b.

Judgment that Defendants account for and pay to ICS all damages to and costs incurred by ICS because of Defendants infringing activities and other conduct complained of herein; That ICS be granted pre-judgment and post judgment interest on the damages caused to by Defendants infringing activities and other conduct complained of herein; That this Court declare this an exceptional case and award ICS its reasonable attorneys fees and costs in accordance with 35 U.S.C. 285; and That ICS be granted such other and further relief as the Court may deem just and proper under the circumstances. Respectfully submitted,

c.

d.

f.

Dated: July 20, 2011.

/s/ John Ward, Jr. T. John Ward, Jr. Texas State Bar No. 00794818 J. Wesley Hill Texas State Bar No. 24032294 WARD & SMITH LAW FIRM 111 W. Tyler Street Longview, Texas 75601 (903) 757-6400 (903) 757-2323 (fax) jw@wsfirm.com wh@wsfirm.com Decker Cammack State Bar No. 24036311 Edward E. Casto State Bar No. 24044178 NELSON BUMGARDNER CASTO P.C. 3131 West 7th St. Fort Worth, Texas 76107 (817) 377-9111 Fax (817) 377-3485 enelson@nbclaw.net dcammack@nbclaw.net

Eric M. Albritton Texas State Bar No. 00790215 ALBRITTON LAW FIRM 6

P.O. Box 2649 Longview, TX 75606 (903) 757-8449 (903) 758-7397 (fax) ema@emafirm.com

ATTORNEYS FOR PLAINTIFF INTERNET COMMUNICATIONS SOLUTIONS LLC