ContactWave LLC vs. Macy’s, Inc.: Voluntary Dismissal in Messaging Patent Case
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📋 Case Summary
| Case Name | ContactWave LLC v. Macy’s, Inc. |
| Case Number | 2:24-cv-00989 (E.D. Tex.) |
| Court | Eastern District of Texas |
| Duration | Dec 2024 – Jan 2026 ~13 months |
| Outcome | Voluntary Dismissal with Prejudice |
| Patents at Issue | |
| Accused Products | Information Messaging System (e.g., customer communication, marketing automation, loyalty messaging platforms) |
Introduction
In a case that closed without a judicial ruling on the merits, ContactWave LLC voluntarily dismissed its patent infringement action against retail giant Macy’s, Inc. with prejudice — a procedural outcome carrying significant strategic weight for patent practitioners and IP professionals alike. Filed on December 2, 2024, in the Eastern District of Texas and closed on January 9, 2026, Case No. 2:24-cv-00989 centered on U.S. Patent No. 9,531,665 B2, covering information messaging system technology. The dismissal with prejudice, entered under Federal Rule of Civil Procedure 41(a)(1)(A)(i), means ContactWave permanently relinquished its right to re-assert these claims against Macy’s. For patent attorneys monitoring assertion strategies in the messaging technology space, and for R&D teams evaluating freedom-to-operate exposure, this outcome offers instructive signals about litigation economics, venue dynamics, and the calculated risk management behind NPE-style enforcement campaigns.
Case Overview
The Parties
⚖️ Plaintiff
A patent assertion entity (PAE) holding intellectual property in communications and messaging technology, operating without a named commercial product, focused on licensing and litigation.
🛡️ Defendant
One of America’s largest department store retailers, operating extensive digital commerce infrastructure including customer communication, marketing automation, and loyalty messaging platforms.
The Patent at Issue
The patent central to this dispute is **U.S. Patent No. 9,531,665 B2** (application number US14/618541), covering an **information messaging system**. This patent falls within the broader category of electronic communications technology — a field that encompasses SMS marketing, push notification platforms, CRM messaging integrations, and automated customer engagement systems.
The Accused Product
The accused product category was identified as an **information messaging system**, suggesting the infringement allegations targeted Macy’s customer-facing or internal communication platforms — likely digital marketing or transactional messaging infrastructure commonly deployed in enterprise retail environments.
Legal Representation
Plaintiff ContactWave LLC was represented by attorneys Benjamin Charles Deming and Isaac Phillip Rabicoff of DNL Zito and Rabicoff Law LLC.
Defendant Macy’s, Inc. retained Bryan P. Clark, Kent E. Baldauf Jr., and Michael Charles Smith of Scheef & Stone LLP (Marshall) and The Webb Law Firm PC.
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The Verdict & Legal Analysis
Outcome
The court accepted and acknowledged ContactWave’s voluntary dismissal **with prejudice** of both the Lead and Member Cases pursuant to **Fed. R. Civ. P. 41(a)(1)(A)(i)**. Critically, the court ordered that **each party bear its own costs, expenses, and attorneys’ fees**. No damages were awarded. No injunctive relief was granted. All pending relief requests were denied as moot.
Verdict Cause Analysis & Legal Significance
The case was styled as a straightforward **infringement action** — no counterclaims, invalidity proceedings at PTAB, or inter partes review petitions were identified in the available record as driving factors. The dismissal with prejudice distinguishes this outcome meaningfully from a settlement-adjacent without-prejudice withdrawal: ContactWave cannot re-file these same claims against Macy’s on this patent.
The absence of a fee-shifting award — despite the with-prejudice dismissal — is notable. Under Octane Fitness, LLC v. ICON Health & Fitness, Inc., 572 U.S. 545 (2014), courts may award attorneys’ fees in “exceptional” patent cases. The court’s “each party bears its own costs” disposition suggests either: (a) Macy’s did not move aggressively for fees, (b) the parties negotiated a clean exit, or (c) the court found insufficient basis for exceptionality. Specific motion practice on fee-shifting was not disclosed in the case record.
A **Rule 41(a)(1)(A)(i)** dismissal filed before the defendant serves an answer or motion for summary judgment can be effectuated without court order — but the **with-prejudice** designation here required court acceptance, signaling deliberate finality. This creates **claim preclusion** (res judicata) barring ContactWave from asserting U.S. Patent No. 9,531,665 B2 against Macy’s in future proceedings.
For practitioners, this outcome illustrates the tactical calculus NPEs face when defendant counsel mounts credible invalidity or non-infringement positions early in litigation. The Eastern District of Texas, while plaintiff-friendly in reputation, increasingly sees sophisticated defense teams neutralize venue advantage through early dispositive strategies.
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⚠️ Freedom to Operate (FTO) Analysis
This case highlights critical IP risks in information messaging systems. Choose your next step:
📋 Understand This Case’s Impact
Learn about the specific risks and implications from this litigation involving U.S. Patent No. 9,531,665 B2.
- View the ‘665 patent’s legal status and family
- See other companies targeted by similar NPEs
- Understand assertion strategies in messaging technology
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High Risk Area
Enterprise information messaging systems
1 Patent at Issue
US 9,531,665 B2
Strategic Dismissal
Indicates credible defense or negotiated exit
Industry & Competitive Implications
The ContactWave v. Macy’s dismissal reflects a recognizable pattern in NPE-driven messaging technology litigation: assertion campaigns against large enterprise defendants, followed by resolution — whether through licensing, settlement, or plaintiff withdrawal — before substantive merits adjudication. Macy’s, as a Fortune 500 retailer with substantial digital infrastructure, represents the type of high-revenue defendant NPEs target for licensing leverage rather than permanent injunctive relief.
For the broader **retail and e-commerce sector**, this case signals continued NPE activity around customer communications technology — an area encompassing SMS marketing platforms, loyalty program notifications, and omnichannel messaging systems. Companies in this space should monitor the assertion lifecycle of U.S. Patent No. 9,531,665 B2 against other defendants, as NPE campaigns often involve multi-defendant strategies targeting entire industry verticals simultaneously.
The **information messaging patent landscape** remains active litigation territory. As enterprise digital communication platforms expand, the intersection of broad software patents and large commercial implementers will continue generating assertion risk. Companies should engage patent counsel for proactive portfolio monitoring and FTO clearance in communications infrastructure.
✅ Key Takeaways
For Patent Attorneys & Litigators
Voluntary dismissal with prejudice under Rule 41(a)(1)(A)(i) creates permanent claim preclusion — strategically distinct from settlement-based dismissals.
Search related case law →No fee-shifting awarded; monitor Octane Fitness motion strategy in similar NPE contexts.
Explore precedents →Eastern District of Texas remains a preferred NPE venue despite evolving post-TC Heartland dynamics.
View venue statistics →U.S. Patent No. 9,531,665 B2 should be tracked for assertions against other defendants.
Track patent activity →For IP Professionals
Monitor ContactWave LLC’s broader patent portfolio for related assertion activity in messaging technology.
Analyze NPE portfolios →With-prejudice dismissal signals defendant’s defense posture was sufficiently credible to deter continuation.
Understand defense strategies →For R&D Leaders
Information messaging systems deployed in retail environments carry documented NPE infringement risk.
Start FTO analysis for my product →Proactive FTO analysis covering communications platform architecture is advisable before product deployment.
Get an FTO report →Future Watch
Track U.S. Patent No. 9,531,665 B2 at USPTO Patent Center and monitor PACER (Case No. 2:24-cv-00989) for any related proceedings.
❓ FAQ
What patent was involved in ContactWave LLC v. Macy’s, Inc.?
The case involved U.S. Patent No. 9,531,665 B2 (App. No. US14/618541), covering an information messaging system technology.
Why was the case dismissed with prejudice?
ContactWave LLC filed voluntary notices of dismissal with prejudice under Fed. R. Civ. P. 41(a)(1)(A)(i). The specific commercial or legal reasons driving this decision were not disclosed in the public case record.
How does this outcome affect information messaging patent litigation?
It reinforces that NPE assertion campaigns against enterprise defendants can be resolved through plaintiff withdrawal, particularly when defense teams mount credible early-stage invalidity or non-infringement positions.
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