Edited Case Summary for the DL-202e :

Alcatel-Lucent USA Inc., Plaintiff

-againstNewegg Inc. and Overstock.com, Inc., Defendants

A. Title: Alcatel-Lucent USA Inc., Plaintiff -against- Newegg Inc. and Overstock.com, Inc.,
Defendants
B. Significance of the Case: The case filed in federal court in the Eastern District of Texas.
Newegg Inc. and Overstock.com, Inc. had been accused by Alcatel Lucent of infringing patents
covering basic e-commerce functionalities, including the ability to search for products on their
web sites.
C. History of the Case:

1. Alcatel-Lucent USA Inc, a global communications company, accused Newegg Inc.

and Overstock.com, Inc. of violating its U.S. Patent No. 5,649,131 relating to text boxes, drop
down menus and similar functionalities, U.S. Patent No. 5,623,656, relating to the use of error
messages and U.S. Patent No. 5,404,507, directed to search functionality.
2. Newegg, Inc., a leading e-retailer, argued that the three patents were not infringed and
that U.S. Patent No. 5,649,131 was invalid and should never have been issued by the U.S.
Patent and Trademark Office (USPTO) because it was not new due to prior inventions.
3. The jury made a decision in favor the defendants ruling that (i) there was no
infringement of the three patents for e-commerce and search engine technology held by AlcatelLucent USA Inc. and (ii) invalidated U.S. Patent No. 5,649,131 (Alcatels 131 patent) as the
claimed invention was both anticipated and rendered obvious by technologies from the 1980's
that preceded Alcatel's patent application by years.

D. Exhibits (Patent information of the case)

1. Script-based data communication system and method utilizing state memory

(United States Patent No. 5,623,656)
Abstract
A preprocessing script-based data communications system and method that embeds information
regarding the previous state of the system within script data. This effectively imposes a state memory
upon what would otherwise be a stateless system. Typically, the scripts processed by this system are
similar in structure and format to ordinary HTML scripts, with the addition of several commands that
facilitate programming embedded state information. Within systems employing the invention a client is
afforded the capability of having one script influence another by exploiting the preprocessor imposed state
memory. In addition, the invention provides these advantages to a client without the need for storing state
information on a data system server, thereby providing increased system security.
Inventors: Lyons; Kenneth B. (Lebanon, NJ)
Assignee: Lucent Technologies Inc. (Murray Hill, NJ)
Appl. No.: 08/356,095

page 2
Filed:

December 15, 1994

2. Communications protocol
(United States Patent No. 5,649,131)
Abstract
The invention is directed to a communications protocol which facilitates the exchange of interface
information between a host processor and a terminal, such as a workstation, smart phone, portable
computer, etc., by associating an object that is to be displayed on the terminal display with a particular
identifier, and by associating input information entered in response to a user manipulating a displayed
object with the associated object identifier, rather than the location of the displayed object. Accordingly, a
host processor may specify relative rather than specific attributes for an object that is to be displayed on a
terminal display, thereby leaving it up to the terminal to display an object in accord with its own
capabilities.
Inventors: Ackerman; Chaim M. (Lakewood, NJ), Glasser; Alan L. (Manalapan, NJ), Klein;
Reuben (East Brunswick, NJ)
Assignee: Lucent Technologies Inc. (Murray Hill, NJ)
Appl. No.: 08/257,215
Filed:
December 30, 1992
3. Apparatus and method for finding records in a database by formulating a query using
equivalent terms which correspond to terms in the input query
(United States Patent No. 5,404,507)
Abstract
An apparatus and method for searching for records of database items with incomplete or incorrectly
provided input data. Database queries are automatically created and executed in a manner that has a
high probability of selecting the correct record indicative of a desired item from a retrieved set of
candidates. The queries comprise search expressions, which are generated for supplementing each one
of a series of input words comprising the input data. These search expressions include terms and phrases
that are equivalent to each input word and also include expanded acronyms and abbreviations. When
required, the search expressions further include words that are close to an input word when it appears to
be misspelled.
Inventors: Bohm; Charles P. (Westwood, NJ), Nowitz; David A. (Woodbridge, NJ), Simon; Jeffrey
J. (New Providence, NJ)
Assignee: AT&T Corp. (Murray Hill, NJ)
Appl. No.: 07/844,045
Filed:
March 2, 1992

E. Self Assessment Question:

1. Would the above 3 disputed inventions be eligible for patent protection in your country?
2. Would you consider any of the patents at issue as a business method patent and which
one would that be?
3. Do you agree with the patenting of business methods and on what grounds?

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