DataCloud Sues DigitalOcean in Delaware Over DigitalOcean Spaces and U.S. Patent 7,398,298.

Patents and accused products

The case is DataCloud Technologies, LLC v. DigitalOcean, LLC, No. 1:26-cv-01349 (D. Del.). The complaint is dated October 19, 2026, and the court stamp reads Case 1:26-cv-01349-UNA, filed October 19, 2026. The complaint says DataCloud is a Georgia limited liability company with its principal place of business in Alpharetta, Georgia. It alleges, based upon public information, that DigitalOcean is a limited liability company organized under Delaware law. Subject matter jurisdiction is pleaded under 28 U.S.C. 1331 and 1338(a). The complaint says the action arises under the patent laws, 35 U.S.C. 1 and the sections that follow, including 35 U.S.C. 271, 281, 284, and 285. Personal jurisdiction is pleaded because DigitalOcean is organized under Delaware law. Venue is pleaded under 28 U.S.C. 1400(b) because DigitalOcean is organized under Delaware law.

U.S. Patent 7,398,298, titled Remote Access And Retrieval Of Electronic Files, issued July 8, 2008, from Application No. 11/690,803, filed March 23, 2007. The patent says it is a continuation of application 10/109,914, filed March 29, 2002, now U.S. Patent 7,197,537. The complaint alleges infringement of at least claim 13 and says the accused products and services include DigitalOcean Spaces. A claim chart is attached as Exhibit B and incorporated by reference. The complaint alleges that DataCloud owns all substantial rights in the patent, including the right to sue and to collect damages. It alleges that DataCloud or its predecessors-in-interest have satisfied all statutory obligations required to collect pre-filing damages for the full period allowed by law.

DataCloud also filed DataCloud Technologies, LLC v. Atlassian Corporation, No. 1:26-cv-01350 (D. Del.), on October 19, 2026, and DataCloud Technologies, LLC v. HTC Corporation, No. 2:26-cv-00943 (E.D. Tex.), on October 20, 2026. The Atlassian docket's report to the Patent Office lists U.S. Patent 7,398,298 and U.S. Patent 8,607,139, and the HTC docket lists the '298 patent and a claim chart for it as the complaint's exhibits.

What the patent covers

Claim 13 of U.S. Patent 7,398,298 covers a method for providing remote data directory structure management across at least one communications network. The method includes receiving at least one request by a computing application operating on a computer server over the communications network for remote management control of data directory structures from participating users offered through a computing device coupled to the communications network. It includes processing the request to provide that remote management control by providing data directory structure information if deemed accessible from data stored in a profile store relating to the data and data directory structures accessible to each of the participating users. The profile data store is queried for the data directory structures accessible to each of the participating users, and a single directory structure from among a plurality of the data directory structures associated with the profile data store is selected by each of the participating users for modification. The method includes delivering desired data and the remote management control over the desired data to identified delivery targets by the computing application over the communications network, generating at least one notification of that delivery, determining if user requested data is accessible based on the information in the profile data store, and delivering the user requested data and sending a confirmation of the delivery.

What the lawsuit is about

The single count alleges that DigitalOcean has infringed at least claim 13, either literally or under the doctrine of equivalents, because it shipped, distributed, made, used, imported, offered for sale, sold, and/or advertised the accused products and services, including DigitalOcean Spaces. The complaint says that allegation is based upon public information and that the plaintiff is informed and believes it. It alleges, on information and belief, that DigitalOcean performed all steps of the asserted claim or, if a third party performed a step, conditioned the third party's use on performance of that step and controlled the manner or timing of the functionality. It alleges that the activity was without authority or license from DataCloud. The complaint cites 35 U.S.C. 271.

Exhibit B, the claim chart, maps claim 13 to DigitalOcean Spaces and to DigitalOcean Teams. The chart describes Spaces as enabling users to remotely manage files and folder structures stored in Spaces buckets, and it describes Teams as managing participating users and their roles and permissions. It maps an Owner's invitation of a user, including an invitation email, to the notification of delivery, and it maps a Joined or Pending status to the confirmation of delivery. The chart states, on information and belief, that invitation functionality reflected in August 2022 documentation was also present during the patent term. The chart cites 2021 and 2022 product documentation for those points.

The complaint alleges that the claims are not directed to an abstract idea and are not limited to well-understood, routine, or conventional activity, and that the claimed inventions include components that improve the retrieval and transmission of data from or to a remote server. The complaint says damages cannot be less than a reasonable royalty under 35 U.S.C. 284. The prayer asks for an adjudication of infringement, damages adequate to compensate for past infringement, including interest, costs, and disbursements under 35 U.S.C. 284, an accounting of infringing sales if necessary to compensate DataCloud, pre-judgment and post-judgment interest, and a declaration that the case is exceptional with attorney fees under 35 U.S.C. 285. The prayer does not ask for an injunction. DataCloud demands a jury. Counsel are Stamatios Stamoulis and Richard C. Weinblatt of Stamoulis & Weinblatt LLC, with Cortney S. Alexander of Kent & Risley LLC. The complaint says the application for admission pro hac vice is forthcoming.

What it means

Google Patents lists U.S. Patent 7,398,298 as expired, status Expired - Lifetime, with an anticipated expiration of March 29, 2022. The complaint was filed October 19, 2026. The prayer asks for damages for past infringement and does not ask for an injunction. The claim chart discusses accused functionality during the patent term, cites 2021 documentation, and states on information and belief that August 2022 documentation reflects functionality present during the patent term. The complaint does not plead willfulness.

What to watch next

Watch for service on DigitalOcean and for its answer or a Rule 12 motion. Under 35 U.S.C. 286, no recovery can be had for any infringement committed more than six years before the complaint was filed. The case can end at any time, including by settlement or voluntary dismissal.