Let the games begin... Sandisk doesn't seem to have anything to stand on at this point... Except they lack knowledge... :)

ANTON HANDAL (Bar No. 113812) anh@handal-law.com PAMELA C. CHALK (Bar No. 216411) pchalk@handal-law.com

GABRIEL HEDRICK (Bar No. 220649) ghedrick@handal-law.com HANDAL & ASSOCIATES 1200 Third Avenue, Suite 1321

San Diego, California 92101 Fax: 619.696.0323

Attorneys for Plaintiff e.Digital Corporation

6Tel: 619.544.6400

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UNITED STATES DISTRICT COURT SOUTHERN DISTRICT OF CALIFORNIA

e.Digital Corporation, Plaintiff,

Case No. 3:12-cv-02698-CAB-WVG

PLAINTIFF AND COUNTER- DEFENDANT E.DIGITAL CORPORATION’S ANSWER TO COUNTERCLAIMANT SANDISK’S COUNTERCLAIMS

Judge: Hon. Cathy Ann Bencivengo Ctrm: 4C (Fourth Floor)

v.

Defendant.

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HANDAL & ASSOCIATES

1200 THIRD AVE SUITE 1321 SAN DIEGO, CA 92101 TEL: 619.544.6400 FAX: 619.696.0323

SanDisk Corporation, Counterclaimant

v. e.Digital Corporation,

Counter-Defendant.

Plaintiff and Counter-Defendant e.Digital Corporation (hereinafter “Counter-Defendant” or “e.Digital”) hereby replies to and answers the Counterclaims (“Counterclaim”) of Defendant and Counterclaimant SanDisk

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E.DIGITAL’S ANSWER TO SANDISK’S COUNTERCLAIMS

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HANDAL & ASSOCIATES

1200 THIRD AVE SUITE 1321 SAN DIEGO, CA 92101 TEL: 619.544.6400 FAX: 619.696.0323

Corporation (hereinafter, “SanDisk”) (Docket #24) as follows:

NATURE OF ACTION

Admitted.

2. principal place of business at 601 McCarthy Blvd., Milpitas, California 95035. e.Digital lacks knowledge or information sufficient to form a belief as to the truth of the remaining allegations contained in Paragraph 2 of the Counterclaim and, on that basis, denies the same.

3.Admitted. 4.Admitted. 5.e.Digital lacks knowledge or information sufficient to form a belief as

to the truth of the allegations contained in Paragraph 5 of the Counterclaim and, on that basis, denies the same.

6.e.Digital admits that there is a controversy between the parties that should be resolved in this judicial forum, but denies that SanDisk is entitled to any relief. Except as expressly admitted, e.Digital denies each and every remaining allegation made in Paragraph 6 of the Counterclaim.

7.e.Digital admits that SanDisk purports to bring these Counterclaims under the Patent Laws of the United States 35 U.S.C. et seq., and the Federal Declaratory Judgment Act, 28 U.S.C. §§ 2201 and 2202. e.Digital further admits that this Court has jurisdiction over the subject matter of SanDisk’s Counterclaims under 28 U.S.C. §§ 1331 and 1338. Except as expressly admitted, e.Digital denies the remainder of the allegations contained in Paragraph 7 of the Counterclaim.

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e.Digital admits that SanDisk is a Delaware corporation with its

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Admitted.

COUNTERCLAIM I (Declaration of Non-Infringement ’737 Patent)

e.Digital incorporates by reference its answers to Paragraphs 1 -2-

E.DIGITAL’S ANSWER TO SANDISK’S COUNTERCLAIMS

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HANDAL & ASSOCIATES

1200 THIRD AVE SUITE 1321 SAN DIEGO, CA 92101 TEL: 619.544.6400 FAX: 619.696.0323

through 8 to the Counterclaim as if fully set forth herein. 10.Admitted.

11.Admitted.

12.e.Digital denies each and every allegation made in Paragraph 12 of the Counterclaim.

13.e.Digital denies each and every allegation made in Paragraph 13 of the Counterclaim.

COUNTERCLAIM II (Declaration of Invalidity of the ’737 Patent)

14. through 13 to the Counterclaim as if fully set forth herein.

15.Admitted.

16.e.Digital denies each and every allegation made in Paragraph 16 of the Counterclaim.

17.e.Digital denies each and every allegation made in Paragraph 17 of the Counterclaim.

18. through 8 19. 20. 21.

to

COUNTERCLAIM III (Declaration of Non-Infringement ’774 Patent)

e.Digital incorporates by reference its answers to Paragraphs 1 the Counterclaim as if fully set forth herein. Admitted. Admitted.

e.Digital incorporates by reference its answers to Paragraphs 1

e.Digital denies each and every allegation made in Paragraph 21 of the Counterclaim.

22. e.Digital denies each and every allegation made in Paragraph 22 of the Counterclaim.

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E.DIGITAL’S ANSWER TO SANDISK’S COUNTERCLAIMS

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HANDAL & ASSOCIATES

1200 THIRD AVE SUITE 1321 SAN DIEGO, CA 92101 TEL: 619.544.6400 FAX: 619.696.0323

COUNTERCLAIM IV (Declaration of Invalidity of the ’774 Patent)

23. through 13 to the Counterclaim as if fully set forth herein.

e.Digital incorporates by reference its answers to Paragraphs 1

24.Admitted.

25.e.Digital denies each and every allegation made in Paragraph 25 of the Counterclaim.

26.e.Digital denies each and every allegation made in Paragraph 26 of the Counterclaim.

EXCEPTIONAL CASE

27.e.Digital denies each and every allegation made in Paragraph 27 of the Counterclaim.

RESPONSE TO SANDISK’S DEMAND FOR JURY TRIAL

28.Because SanDisk’s demand for jury trial does not state any allegation, no response by e.Digital is required.

RESPONSE TO SANDISK’S PRAYER FOR RELIEF

29.e.Digital denies that SanDisk is entitled to any relief whatsoever, including any relief requested in Paragraphs A through F of the Prayer for Relief

portion of the Counterclaim. Dated: April 10, 2013

E.DIGITAL’S ANSWER TO SANDISK’S COUNTERCLAIMS

HANDAL & ASSOCIATES

By: /s/Pamela C. Chalk Anton N. Handal

Gabriel G. Hedrick Pamela C. Chalk Attorneys for Plaintiff e.Digital Corporation

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HANDAL & ASSOCIATES

1200 THIRD AVE SUITE 1321 SAN DIEGO, CA 92101 TEL: 619.544.6400 FAX: 619.696.0323

CERTIFICATE OF SERVICE

The undersigned hereby certifies that a true and correct copy of the foregoing document has been served on this date to all counsel of record, if any to date, who are deemed to have consented to electronic service via the Court’s CM/ECF system per CivLR 5.4(d). Any other counsel of record will be served by electronic mail, facsimile and/or overnight delivery upon their appearance in this matter.

I declare under penalty of perjury of the laws of the United States that the foregoing is true and correct. Executed this 10th day of April, 2013 at San Diego, California.

Dated: April 10, 2013

E.DIGITAL’S ANSWER TO SANDISK’S COUNTERCLAIMS

HANDAL & ASSOCIATES

By: /s/Pamela C. Chalk Anton N. Handal

Gabriel G. Hedrick Pamela C. Chalk Attorneys for Plaintiff e.Digital Corporation

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3:12-CV-02698- CAB-WVG