The Supreme Court is expected to issue a ruling soon regarding a case put forth by Alice Corp against CLS Bank for violation of 4 software patents. These patents were with regards to a software implemented solution to a financial problem -- the issue was that this solution was already being used by hand, and Alice's patent merely detailed the implementation of this solution on a computer. The Supreme Court may therefore be making a broad ruling on what types of software solutions can be considered "patent-eligible," which would have a huge impact on patent laws in the future, considering the popularity of software innovations.
This case has been hotly debated in the lower courts, with decisions going back and forth from appeal to appeal. Ultimately, the Court of Appeals for the Federal Circuit issued an extremely split decision, in which no majority was reached regarding a standard to determine software patent eligibility. The majority of the judges did agree that Alice Corp's patents were invalid, but every judge had a different reason for their decision. Since many of these justifications were incompatible, Chief Judge Rader lamented this case as "the greatest failure in my judicial career."
In the Supreme Court's hearing on Monday, March 31st, it was clear from the start that Alice Corp was not at an advantage. The obviousness of Alice Corp's patent was heavily questioned, and the issue became whether merely implementing an already known method on a computer can be considered patent-eligible.
The issue of patent-eligibility for software-implemented solutions is an extremely interesting one. On one hand, it is merely translating an already known idea into software, but on the other hand, that does give the tool more utility and more potential applications.
Source:
- Great article -- I highly recommend everyone read this: http://www.wired.co.uk/news/archive/2014-04/04/alice-v-cls-bank-patent-case
- http://www.scotusblog.com/case-files/cases/alice-corporation-pty-ltd-v-cls-bank-international/
This case has been hotly debated in the lower courts, with decisions going back and forth from appeal to appeal. Ultimately, the Court of Appeals for the Federal Circuit issued an extremely split decision, in which no majority was reached regarding a standard to determine software patent eligibility. The majority of the judges did agree that Alice Corp's patents were invalid, but every judge had a different reason for their decision. Since many of these justifications were incompatible, Chief Judge Rader lamented this case as "the greatest failure in my judicial career."
In the Supreme Court's hearing on Monday, March 31st, it was clear from the start that Alice Corp was not at an advantage. The obviousness of Alice Corp's patent was heavily questioned, and the issue became whether merely implementing an already known method on a computer can be considered patent-eligible.
The issue of patent-eligibility for software-implemented solutions is an extremely interesting one. On one hand, it is merely translating an already known idea into software, but on the other hand, that does give the tool more utility and more potential applications.
Source:
- Great article -- I highly recommend everyone read this: http://www.wired.co.uk/news/archive/2014-04/04/alice-v-cls-bank-patent-case
- http://www.scotusblog.com/case-files/cases/alice-corporation-pty-ltd-v-cls-bank-international/
Hmmm.. it is interesting to note whether you can patent a process that is automated if there is prior art showing that the same exact process is being done mechanically. I can see why there was an extremely split decision, but I do agree with the majority judges that the patents would be invalid. My reasoning would be that it fails in the novelty criteria, as well as obviousness. Thanks for sharing this issue!
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