INFRINGEMENT OF THE ‘737 PATENT

(35 U.S.C. § 271)

. The allegations of paragraphs 1-45 are incorporated herein by reference.

. Plaintiff e.Digital is the sole owner by assignment of the ‘737 Patent.

Upon information and belief, uses, sells and offers to sell, and/or imports into the United States for subsequent use and sale products that directly orindirectly (by inducement and/or contributory infringement) infringe, or which employ systems

or components that make use of systems that directly or indirectly (by inducement and/orcontributory infringement) infringe at least claim 5 of the ‘737 Patent, including without limitation, the Products.

. With respect to the Defendants’ indirect infringement of claim 5 of the ‘737Patent, such allegations of indirect infringement are based on, at least, the Defendants offeringfor sale the Infringing Products that perform the method steps of claim 5 upon the insertion of anSD or micro SD flash memory card. The corresponding acts of direct infringement wouldinclude at least the end users of those products using theInfringing Products in conjunction withan SD or micro SD flash memory card to perform the method steps. Furthermore, upon

information and belief, Defendants have had knowledge of the ‘737 Patent since no later thanJanuary 7, 2010.

In response to the Court’s request at the January 7 Rule 16 Conference, e.Digital has identified the foregoing independent claim of the ‘737 Patent so as to narrow the issues in

this case. Nevertheless, e.Digital reserves the right to and anticipates that it will amend osupplement its identification of asserted claims based on information that it obtains through

discovery in this matter and/or in response to the positions taken by the Defendant(s) withrespect to their counter-claim(s) that the ‘737 Patent is invalid.

As a result of Defendants’ infringement of the ‘737 Patent, e.Digital has suffered,and will continue to suffer, damages in an amount to be shown at trial.

. As a result of Defendants’ continuing infringement of e.Digital’s rights in the‘737 Patent, e.Digital is suffering irreparable harm. If Defendants’ infringing conduct is not

enjoined, e.Digital will continue to suffer irreparable harm.

JURY DEMAND

. e.Digital demands a trial by jury on all claims and issues so triable.

PRAYER FOR RELIEF

WHEREFORE, e.Digital petitions this Court and requests that a judgment be entered and

relief be granted as follows:

A. Entering judgment against each of the Defendants and finding that each of the

Defendants has infringed the ‘774 Patent and ‘737 Patent, as alleged herein (directly, byinducement, and/or contributorily);

B. Preliminarily and permanently enjoining, restraining, and prohibiting each of theDefendants, and any party acting through, for, or in concert with the Defendants from further

infringing (directly, by inducement, or contributorily) any claim of the ‘774 Patent or the ‘737Patent;

C. Awarding to Plaintiff such monetary or compensatory damages as may be foundor deemed adequate to fully compensate Plaintiff for any of the Defendants’ acts of infringementof the ‘774 Patent and ‘737 Patent and/or any other injury suffered by Plaintiff due to theDefendants’ acts of infringement of the ‘774 Patent and ‘737 Patent;

D. Awarding to Plaintiff its costs; and

E. Awarding to Plaintiff such other, further, or general relief as this Court may deem proper.

Dated: February 19, 2010 Respectfully submitted,

DUANE MORRIS LLP