By Katie Buehler

Law360 (September 24, 2020, 5:03 PM EDT ) The retrial of gas separator patent infringement claims against Halliburton Energy Services Inc. has been set for a November start date in Texas federal court, marking the second time the case has been postponed in response to the COVID-19 crisis.

U.S. District Judge Andrew S. Hanen on Wednesday ordered the retrial between Halliburton and patent holder Legacy Separators LLC to start the week of Nov. 30, after it had already been rescheduled once to Aug. 24.

The retrial will focus on whether two of Halliburton's products infringe Legacy Separators' patent for a downhole gas separator used in oil and gas drilling. Earlier this year, a jury settled other disputes between the two companies, but couldn't answer that question.

The order came with a caveat that the Southern District of Texas is only picking one jury per day due to jury selection restrictions, so the trial may not start on that exact date. And there could be a limited number of seats in the courtroom during trial, the judge warned.

"The court intends, at this point, to try this case in its courtroom, if possible," Judge Hanen said. "Obviously, health concerns will be a consideration and the court, therefore, may limit attendance at trial. Counsel should keep this in mind as they formulate their trial teams and plan their witness schedules."

R. Paul Yetter of Yetter Coleman LLP, an attorney for Legacy Separators, told Law360 by email on Thursday that he was excited to get back to trial.

Halliburton attorney Aimee Perilloux Fagan of McKool Smith PC told Law360 she is also excited to get back to trial and is confident the trial will be conducted safely. 

"We are excited and appreciative of the trial setting provided by Judge Hanen, particularly in light of the backlog of cases awaiting trial," she said. "We believe the trial can and will be conducted safely, with adequate precautions for all involved."

The dispute between the companies dates back to March 2014, when Legacy accused Halliburton of making "knockoff" equipment that infringed its patent, as well as other fraud allegations involving Halliburton subsidiary Global Oilfield Services.

The dispute headed to trial in early March, and the jury was tasked with answering 24 questions on Legacy's patent and fraud claims, as well as Halliburton's counterclaims.

Before deliberations, two jurors who fell ill were excused and replaced with alternates. A six-member jury began in-person deliberations on March 13 and continued as courts across the country shuttered and delayed other jury trials in response to the coronavirus outbreak.

The jury cleared Halliburton of claims that one of its products infringed the patent, and rejected arguments that the patent was invalid. However, jurors were hung on whether two other Halliburton products — called Q-Max XT and GSB — infringed the patent, which they also concluded was not invalid for being inoperable and not enabled.

The patent-in-suit is U.S. Patent No. 8,424,597.

Legacy is represented by R. Paul Yetter, James E. Zucker, Pamela L. Hohensee, Thomas M. Morrow, Matthew C. Zorn, Reagan W. Simpson and Robert D. Woods of Yetter Coleman LLP.

Halliburton is represented by Aimee Perilloux Fagan, Samuel F. Baxter, Phillip M. Aurentz, Robert Marc Manley, Meredith Anne Elkins, Marcus Rabinowitz and Avery Roderick Williams of McKool Smith PC and Terrie L. Sechrist of Sechrist Duckers LLP.

The case is Legacy Separators LLC v. Halliburton Energy Services Inc. et al., case number 4:14-cv-02081, in the U.S. District Court for the Southern District of Texas.

--Additional reporting by Tiffany Hu. Editing by Nicole Bleier.

Update: This story has been updated to include comment from Halliburton's counsel.

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