BUILDING FENCES IN CYBERSPACE:BUSINESS METHOD PATENTS AND THE INTERNET
Analysis of Recent Internet/E-Commerce Business Method Patents
by Jerry A. Riedinger Perkins Coie LLP1201 Third Ave.48
th
Floor Seattle, WA 98052206-583-8664Prepared for thePracticing Law Institute Program on
“Patenting the New Business Model, Building Fences in Cyberspace”
at theHyatt Regency HotelSan Francisco, CAJune 26, 2000
CONTENTS
I.The State of the Internet IP World:Patenting Business Models in Cyberspace. . . . . . . . . . . . . . . . . . . . . . . . . . . . . .2A.The “Business Method” Battle Lines. . . . . . . . . . . . . . . . . . . . . . . . . . . .4B.Biting the Hand that Feeds Them. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8C.The Road to
State Street
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .10D.High Tech vs. Low Tech . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .12II.WHAT IS A BUSINESS METHOD PATENT? . . . . . . . . . . . . . . . . . . . . . . . .12III.ISSUES REGARDING INTERNET BUSINESS METHOD PATENTS. . . . . .17A.Litigating Internet Business Method Patents. . . . . . . . . . . . . . . . . . . . . .17B.Drafting Internet Business Method Patents. . . . . . . . . . . . . . . . . . . . . . .19IV.CONCLUSION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .22APPENDIX APatent Claims From Selected Internet“Business Method” Patents. . . . . . . . . . . . . . . . . . . . . . .AAPPENDIX BSelected Non-Internet Patent Claims Argued toInclude “Business Methods”. . . . . . . . . . . . . . . . . . . . . . BAPPENDIX CUSPTO Business Method Patent Initiative. . . . . . . . . . . . . .. . .CAPPENDIX DSelected Excerpts from the PTO Manual for
Patent Classification . . . . . . . . . . . . . . . . . . . . . . . . . . . .D
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