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Simio, LLC v. FlexSim Software Products, Inc.: Important Precedent for § 101 Patent-Eligibility of Software (or Lack Thereof)

The Federal Circuit ended 2020 with a precedential opinion holding that patent claims directed to providing a graphical user interface for controlling a software object’s behavior were patent-ineligible under the Alice/Mayo test and 35 USC § 101. Simio, LLC v. FlexSim Software Products, Inc., No. 2020-1171 (December 29, 2020; opinion by Chief Judge Prost, joined by Judges Clevenger and Stoll). The court held claims of U.S. Patent No. 8,156,468 were “directed to the abstract idea of using graphics instead of programming to create object-oriented simulations,” and that this abstract idea is patent ineligible. Claim 1, the only independent claim of the ’468 patent, recites: A computer-based system for developing simulation models on a physical computing device, the system comprising: one or more graphical processes; one or more base objects created from the one or more graphical processes, wherein a new object is created from a base object of the one…

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Image Display Patents Fail Alice Test: Gabara v. Facebook, Inc.

In granting a motion to dismiss for lack of patent-eligible subject matter under 35 U.S.C § 101, a court determined that patents relating to moving a portable unit to view an image of a stationary map and using a portable wireless system to improve the operations of a group communicating electronically are abstract ideas that do not include an inventive concept.  Gabara v. Facebook, Inc., No. 9cv9890(DLC) (S.D.N.Y. Sep. 4, 2020) Plaintiff Gabara alleged that Facebook committed direct, induced, and contributory infringement of the five patents at issue: US Patent Nos. 8,930,131; 8,620,545; 8,836,698; 8,706,400 (the “Image Patents”), and 9,299,348 (the “348 patent”).  The Image Patents The Image Patents are directed toward moving a portable unit, such as a mobile device, to view an image of a stationary map instead of scrolling on the device to change the view.  The court likened this concept to moving a telescope across a…

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CAFC Split Favors Patent-Eligibility of Network Monitoring Claims: Packet Intelligence LLC v. NetScout Systems, Inc.

A split Federal Circuit panel disagreed whether patent claims directed to network monitoring for whether received packets belong to a particular “conversational flow” are directed to an abstract idea. Judge Lourie was joined by Judge Hughes in affirming a district court’s findings of fact and conclusions of law rejecting a defense of patent-eligibility, under 35 U.S.C. § 101 and the Alice/Mayo test, of claims directed to determining whether received packets belong to a particular “conversational flow.” Packet Intelligence LLC v. NetScout Systems, Inc., No. 2019-2041 (July 14, 2020) (precedential) (appeal from the Eastern District of Texas; Judge Gilstrap). Judge Reyna, concurring in the court’s opinion on a host of other issues, dissented with respect to § 101 validity, saying that the patent claims were directed to an abstract idea, and that the case should have been remanded to the District Court for further analysis concerning a possible inventive concept under…

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Patent Claims to Authenticating Users in Transactions Lack Technical Improvement, Fail Patent-Eligibility: Universal Secure Registry LLC v. Apple Inc.

Claims directed to authenticating users for a transaction are not patent-eligible under 35 U.S.C. § 101 and the Alice/Mayo patent-eligibility test, and therefore the court granted a Rule 12(b)(6) motion to dismiss in Universal Secure Registry LLC v. Apple Inc., Civ. No. 17-585-CFC-SRF (D. Del. June 30, 2020). The court overruled a Magistrate Judge’s report and recommendation that the motion be denied, and came just a week after another decision by the same judge (Colm Connolly) in another case holding patent claims directed to authenticating users to transactions ineligible. At issue in this case were U.S. Patent Nos. 8,856,539; 9,100,826; 8,577,813; and 9,530,137. The court began by analyzing claim 22 of the ’539 patent, which recites as follows: A method for providing information to a provider to enable transactions between the provider and entities who have secure data stored in a secure registry in which each entity is identified by a time-varying…

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Patent Claims for “Two-step Pick and Place” fail § 101 at Rule 12 stage.

Patent claims directed to a two-step “pick and place” operation for attaching electronic parts to a circuit body (a “die attach” method) were held ineligible on a Rule 12(c) motion for judgment on the pleadings under 35 U.S.C. §101 and the Alice/Mayo test. Palomar Technologies, Inc., v MRSI Systems, LLC, Case no. 18-10236-FDS (D. Mass., May 28, 2020.) Background The plaintiff Palomar sued defendant MRSI for infringement of Palomar’s U.S. Patent No. 6,776,327. MRSI petitioned the Patent Trial and Appeal Board (PTAB) for inter partes review (IPR) of the patent. The PTAB upheld validity of claims 1-47 and held claim 48 invalid. Following the IPR, MRSI moved for summary judgement on the basis of patent-ineligibility under 35 U.S.C. §101. The ’327 patent discloses a method which utilizes “double pick and place” wherein a first workpiece is first moved to an intermediate location close to a target attach location on a…

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