Anything can be Patented in the United states! patentability of business methods
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ANYTHINGCANBEPATENTEDINTHEUNITEDSTATES!
PATENTABILITYOFBUSINESSMETHODS
IsabelleGirard*
LEGERROBICRICHARD,L.L.P.
Lawyers,PatentandTrademarkAgents
CentreCDPCapital
1001Square-Victoria–BlocE–8thFloor
Montreal,Quebec,CanadaH2Z2B7
Tel.(514)9876242–Fax(514)8457874
www.robic.ca–info@robic.com
OnJuly23,1998,inStateStreetBank&TrustCo.v.SignatureFinancialGroup
Inc.,47U.S.P.Q.2d1596,149F.3d1368,theU.S.CourtofAppealsforthe
FederalCircuitcreatedaprecedent,theramificationsofwhichhavean
impactnotonlyonthestrategieswithregardtointellectualpropertymatters
inthefinancialworld,butalsoonthepatentabilityofsoftwareingeneral.
ThismatterrevolvesaroundapatentbelongingtoSignatureFinancialGroup
Inc.,concerningsoftwareallowingtheimplementationofaninvestment
structureusedintheadministrationofmutualfunds.Thevalidityofthepatent
waschallengedbyStateStreetBankwhoallegedthattheclaimedinvention
constitutednon-patentablematteraccordingtoU.S.law,sinceitconcerns
anabstractideawhichdoesnotproduceanyconcreteortangibleresults,or
alternatively,concernsabusinessmethodwhichistraditionallyconsidered
non-patentable.
Firstofall,theCourtruledthatamathematicalalgorithmcanbepatentable
withouttheinventionnecessarilyhavinganeffectonthephysicalworld.The
criterionisthattheinventionmustproduceausefulresult.Thisresultmay
simplybeexpressedinnumbers,suchasanaccountofprices,profits,
percentages,gainsandlosses.Theusefulnessofsucharesultistherealtestof
patentability.
TheCourtalsotookthisopportunitytorejectthenotionthatbusinessmethods
arenon-patentableintheUnitedStates.Itstatedthatsuchanexceptionis
notfoundedonAmericanlawandmustberejectedaserroneousand
obsolete.
©CIPS,1999.
*OfLEGERROBICRICHARD
,L.L.P.,amultidisciplinaryfirmoflawyers,andpatentand
trademarkagents.PublishedintheFall1999issue(Vol.3,No.4)issueofourNewsletter.
Publication068.024E.
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Theimpactofthisdecisionistremendousbecauseitshowsthat”virtually
anything”canbepatentableintheUnitedStates.Itisneverthelessworth
mentioningthatCanadiancourtsarefarfromagreeingwiththisphilosophy:
itisstillmaintainedthatbusinessmethodsarenotpatentableinCanada,and
itisgenerallyacceptedthatamethodoraprocessmustactinaconcrete
wayonthephysicalworldinordertobeconsideredpatentablesubject
matter.
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Ideaslivehere.
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IDEASLIVEHERE
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