Appeals Court Asked To Promote Innovation, Not Patents

File Under: News

Apr 7, 2008

Washington, D.C. – The Computer & Communications Industry Association is encouraging the U.S Court of Appeals for the Federal Circuit to reconsider some cases that have had a significant impact on patent law – State Street Bank & Trust v. Signature Financial Group and AT&T v. Excel.  In an amicus brief filed Monday, CCIA argues that both the State Street and AT&T cases should overturned.

These cases paved the way for so-called "business method patents."  Some see the State Street and AT&T cases as contributing to the ease of getting non-innovative software patents in the United States, and extending the dominion of the patent system to virtually all areas of the economy. The court invited arguments on this matter when agreeing to rehear In re Bilski  (No. 2007-1130) en banc earlier this year.

“The explosive spread of the patent system in the wake of State Street has made a public spectacle of the patent system,” says CCIA in the brief. CCIA argues there has been an explosion of patents on abstract subject matter and that this not only goes against the intent of Congress, but suppresses technology companies and other innovators.

CCIA President and CEO Ed Black said the problem is that a tone has been set that favors patent holders and places disproportionate burdens on the IT sector in a way that paralyzes innovation.

“National innovation policy is too important to be forged merely upon the preconceptions of lawyers,” Black said. “We’re asking the court to restore public confidence in the intellectual property system by removing the confusion caused by the State Street case.”

He said in the IT industry, “millions are innovating simultaneously, and when the standard to get abstract patents is low, chaos results.”

Click Here for a Copy of CCIA's Brief