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American Davids of Innovation, Start Your Engines: Strategies for Coping with First to File Under the America Invents Act

Under the “first to file” AIA regime, the effective prior art date is what prior art exists before the U.S. patent filing date. In other words, the U.S. patent applicant no longer has the luxury of that potential up to one year “window” after the invention date. Instead, the danger of intervening prior art by others steadily (and potentially exponentially) increases as time passes between the invention date and the U.S. patent filing date. Put differently, U.S. patent applicants are now really in a “race to the U.S. Patent & Trademark Office (USPTO)” to minimize the ever increasing danger of intervening (and accumulating) prior art coming into play. For the Goliaths, they’ve been existing in this situation for many years because the rest of the world (ROW) is “first to file.” But for the American Davids, “first to file” under the AIA is going to be culture shock of the worst, and most expensive kind, with time pressure that these Davids aren’t prepared or trained to handle.

Inter Partes Reexam: Under Utilized Patent Litigation Defense

In almost all cases, inter partes reexamination is better than ex parte reexamination, except of course where the requester wants to stay anonymous or the application from which the patent issued was filed before November 1999. The opportunity to reply to the patentee’s arguments and to address the specific concerns of the examiner is quite valuable. This is especially true where the examiner cites his or her own prior art. Issues commonly evolve over the course of reexamination, so that arguments in an ex parte request often are no longer persuasive by the end of the proceeding. I would add that some of the frequent users of reexamination, such as Apple and Google, almost always select inter partes reexamination when it is an option.

Looking at the Zynga IPO, A Patent and Business Perspective

The question remains in the mind of many, however, whether Zynga is a company worth investing in given its near complete dependence on Facebook for revenue. If you actually read the Zynga S-1 filed with the Securities and Exchange Commission you will likely be scared out of your wits by the risk the company lays out in exceptional detail. Facebook is the primary distribution, marketing, promotion and payment platform for Zynga games, and the company generates substantially all of its revenue and players through the Facebook platform. Not exactly the kind of diversification that one would wish for, making Zynga completely dependent upon existing Facebook agreements and the extension thereof. You will likely also be underwhelmed by their IP portfolio, particularly their patent portfolio.

Bayh-Dole Compliance Obligations Meet America Invents Act

In going from the current “first to invent” to the new “first to file” regime mandated by the America Invents Act (AIA), much attention has been focused on the amorphous “grace period” provision provided to patent applicants for certain activities undertaken by them prior to filing for a U.S. patent. Much less attention was paid to the amendments made to sections 203(c)(2) and 203(c)(3) of the Bayh-Dole compliance obligations which were directly impacted by this change in definition from the old “statutory bar” provision (based on publication, on sale, or public use of the invention caused by the patent applicant), to this new “grace period” provision. But even more astounding (and unsettling) are the unrecognized consequences caused by the AIA in “realistically” meeting certain Bayh-Dole compliance obligations by going from the current “first to invent” to the new “first to file” regime.

Global Innovation Index 2011 – Switzerland Ranks First

According to INSEAD, Switzerland is the most innovative country in the world, gaining three spots from its position in last year’s GII. Sweden and Singapore follow in the 2nd and 3rd positions, respectively. This year’s rankings include six European economies (including Finland 5th, Denmark 6th, the Netherlands 9th and the United Kingdom 10th), two Asian (including Hong Kong, SAR, China 4th) and two North American economies (the United States 7th and Canada 8th) in the top 10.

Jump the Shark Patent Style: Supremes Take Kappos v. Hyatt

By accepting cert. in Kappos v. Hyatt the United States Supreme Court has clearly and undeniably jumped the shark in terms of patents. This case, which raises issues of such little importance to the greater scheme of patent law, is hardly appropriate for Supreme Court consideration. All those attorneys and parties who will have your petition for cert. denied you are left with the sad reality that your case is not as important as a matter that statistically comes up in .00% of all patent applications filed at the USPTO.

One Year Post-Bilski: How the Decision is Being Interpreted

This week marks the first anniversary of the Supreme Court issuing its decision in Bilski v. Kappos. The decision held that the machine-or-transformation test is not the exclusive test for patent eligibility, and that the three traditional exclusions of natural phenomena, abstract ideas, and laws of nature still apply. The summary of cases prepared by Attorneys Holoubek and Sterne is excellent! It is absolutely must reading for attorneys prosecuting and litigating in this space.

EPO Again Tops Patent Quality List

The EPO was ranked first for patent quality among the world’s five largest patent offices for the second consecutive year in a survey of corporate and private practice IP professionals conducted jointly by Thomson Reuters and Intellectual Asset Management (IAM) magazine. The annual benchmarking survey, published in the June issue of the magazine, finds that the EPO leads by a wide margin in terms of perceived patent quality, and has even improved its position over last year.

Antitrust Issues in College Athletics: Should Needle Apply

Earlier this month Dechert LLP, representing an undisclosed number of companies (“stakeholders”), sent a letter to IMG College (“IMG”) and its licensing division, the Collegiate Licensing Company (“CLC”), and demanded that IMG and CLC cease and desist any efforts to restrict the number of licensees permitted to supply merchandise bearing the brands of various NCAA colleges and universities. It looks likes trademark and antitrust issues are back on the menu in sports, which makes intellectual property nerds like me very happy. We all knew American Needle Inc. v. National Football League (“Needle”) would embolden private antitrust suits; it was just a question of when. But a pivotal question is should Needle be extended to permit private antitrust suits in collegiate athletics?

Facebook Facial Recognition Tool Poses New Security Threats

Although Facebook originally discussed the use of facial recognition technology in a small blog post on the site back in December, it was listed as unavailable until earlier this month. The social media giant released its new Autotag facial-recognition tool that will allow users to autotag photos of their friends based on what they look like. But what was most odd about this release is that they did so quietly and under the radar with little thought to the risks that could be associated with the tool. Rather than having the ability to opt-in to this new tool, you have to go into your settings and opt-out. With more than 500 million active users, even if you choose not to be tagged in photos, it is inevitable that you and perhaps even your small children are being tagged by others without your knowledge.

The Top 10 Things New Patent Practitioners Should Know

Wherever we go we always get a number of individuals who are currently in law school, have recently graduated law school or are engineers or scientists looking to change careers. During one of the breaks between sessions on day 1 here in San Francisco one of the students taking the course asked me a question that we receive quite a lot, which is this: once I pass the exam how do I learn to actually do this? Like so many things in life experience is the best teacher, but increasingly finding a job without some experience can be extremely difficult.

With Social Media, YOU Are Your Brand

With social media, You Are Your Brand. But what exactly does that mean? If you are part of a larger firm or business, you may be using social media to promote the products and services your company/firm offers, but you are doing so as an individual. Social media is about sharing content and building relationships. The general voice of your company/firm would not work in social media, nor in face to face networking for that matter, without each individual representative of the company displaying their own personalities and adding unique insight which ultimately is what attracts new, potential clients.

Stay Ordered: Paul Allen Patent Litigation Takes Abrupt Detour

The focus of the litigation now shifts to the Patent Office. How Allen’s patent claims will fare in that forum is unknown, but certainly his odds of maximizing the monetary value of his patent portfolio are diminished. Reexamination has been ordered by the PTO for all four Allen patents, and in one (the ‘314 patent), a non-final rejection has issued. Had Allen chosen a different court and his cases not been stayed, his patents would still be in reexamination. Yet, his court trials would likely be completed before the reexaminations, with obvious advantages for him.

Patent Reform: House Passes America Invents Act 304-117

United States House of Representatives passed H.R. 1249, which is known as the America Invents Act by a vote of 304-117. This bill differs from the Senate version of patent reform, S. 23, so there will be no bill going to the desk of President Obama just yet. There are important differences between the two bills, chief among them is funding for the United States Patent and Trademark Office.

Handwriting on the Wall: House Passes Managers Amendment to America Invents Act

Shortly after 2pm Eastern Time the United States House of Representatives voted on the Managers Amendment to the America Invents Act, H.R. 1249. The Managers Amendment passed by a vote of 283 – 140. The House then proceeded to address several amendments to H.R. 1249. The handwriting seems to be on the wall. The House is poised to pass H.R. 1249, together with prior user rights and without giving the United States Patent and Trademark Office access to the fees it collects without the blessing and approval of appropriators.