United States: New Tools For Arguing Against The Use Of Hindsight And Common Sense In Obviousness Rejections (IP Bulletin, July 2012)
Last Updated: July 19 2012

Edited by Rory Pheiffer

New Tools for Arguing Against the Use of Hindsight and Common Sense in Obviousness Rejections

In a victory for patent applicants and owners, a recent decision by the Federal Circuit re-emphasized the importance of the Graham factors to avoid the ever-present risk of using hindsight when making an obviousness determination, and questioned the all-too-familiar reliance on "common sense" to make obviousness arguments.  In Mintz v. Dietz & Watson, Inc., the court vacated a previous summary judgment ruling of obviousness against the patentee of a patent directed to a casing structure for encasing meat products.  In the decision, the court repeatedly warned against "the forbidden use of hindsight" and the "prohibited reliance on hindsight," as well as the need for "a court to walk a tightrope blindfolded (to avoid hindsight)."  Patent applicants and plaintiffs will likely find the court's warnings useful in support of arguments against obviousness.

For a further discussion of Mintz, and practical tips about addressing obviousness rejections in view of the same, click here.

PTO Launches New IDS Program for Citing References After Issue Fee Has Been Paid

The United States Patent and Trademark Office (PTO) recently launched a new Information Disclosure Statement (IDS) pilot program aimed to assist applicants in citing references after prosecution has essentially been completed.  This "Quick Path IDS" pilot program will, in many cases, allow applicants to have an IDS considered after payment of the issue fee without the expense and delay associated with filing a Request for Continued Examination (RCE).

To read more about how applicants can utilized the Quick Path IDS pilot program to their advantage, click here.

PTO Issues New Guidelines for Evaluating Certain Types of Process Claims in view of Mayo v. Prometheus

On July 5, 2012, the PTO issued much-anticipated guidance for examining the patent eligibility of process claims that encompass laws of nature in light of the Supreme Court decision Mayo v. Prometheus.  While these guidelines will undoubtedly impact biotechnology claims, they will also be applicable to any process claim that refers to a natural principle.  In order to be patent-eligible, any such claim should include elements that integrate the natural principle into the claimed invention such that the principle is practically applied and the claim amounts to significantly more than the principle itself.  These guidelines are considered to be a "stop-gap" measure while the PTO awaits the Federal Circuit's resolution of relevant pending cases that will further interpret Mayo, which will in turn lead to refined guidance.  For now, patent applicants and patent owners with affected inventions and/or applications should carefully consider the recent guidelines, monitor ongoing developments in the courts, and consult their patent counsel to determine whether corrective action is necessary.

To read more about the PTO's guidance on process claims that encompass natural principles as detailed in a Nutter client alert distributed on July 6, 2012, click here.

Federal Circuit Responds to Prometheus by Finding It Must Be "Manifestly Evident" that Claim Is Directed to an Abstract Idea to Be Invalid for that Reason Under 35 U.S.C. § 101

In the wake of the Supreme Court's recent decision in Prometheus v. Mayo, the Federal Circuit held in CLS Bank v. Alice Corp. in a 2-1 decision that it must be "manifestly evident" that a claim is directed to an abstract idea for the claim to be invalid for that reason under 35 U.S.C. § 101.  The court held that the single most reasonable conclusion must be that the "claim is directed to nothing more than a fundamental truth or disembodied concept, with no limitations in the claim attaching that idea to a specific application" for the claim to be invalid for claiming an abstract idea.  The majority also noted that sections 102, 103, and 112 of 35 U.S.C. are equally as important as § 101, and that a district court is free to address invalidity issues in whatever order it chooses.  It is anticipated that CLS Bank will cause courts to more zealously toss § 101 issues aside to find patents invalid under §§ 102 and 103 instead.  However, in instances in which § 101 issues are addressed, it appears the bar has been raised if a defendant wants to argue a claim is invalid for being directed to an abstract idea.  With that said, given the very divergent opinions between the majority and dissent, there is a reasonable prospect that CLS Bank will eventually be heard en banc or by the Supreme Court.

For a further discussion of CLS Bank, and possible implications of the decision, click here.

Objective Recklessness Prong of Willful Patent Infringement Test Is a Question of Law

About five years ago, the Federal Circuit in In re Seagate Technology set-out a two-prong test for proving a patent was willfully infringed: (1) patentee must show by clear-and-convincing evidence that the infringer acted despite an objectively high likelihood that its actions constituted infringement of a valid patent; and (2) patentee must also demonstrate that this objectively-defined risk was either known or so obvious that it should have been known to the accused infringer.  In a recent decision Bard Peripheral v. W.L. Gore, the Federal Circuit provided further insight to this test by holding that the first prong, i.e., whether a defendant's actions were objectively reckless, is a question of law to be determined by the judge.  While the second prong and the ultimate determination of willful infringement remains a question for the jury to decide, it is anticipated that when a judge finds a defendant acted in an objectively reckless manner, a jury will find in favor of the second prong, and thus in favor of willful infringement.  However, by putting the first question in the hands of the judge, it is also anticipated that there will be fewer findings of objective recklessness because many consider it more difficult to convince a judge than a jury that a defendant's actions were objectively reckless.  Of note to litigators is that the objective reckless determination is now subject to de novo review, i.e., without deference to the lower court's decision, because the determination is a question of law.

To read the Federal Circuit's decision in Bard Peripheral v. W.L. Gore, click here.

New Trademark Search Tool from WIPO Allows for Easy International Trademark Searching

The World Intellectual Property Organization (WIPO) recently introduced the Global Brand Database, a new search tool for internationally protected trademarks, appellations of origin and armorial bearings, flags and other state emblems, and the names, abbreviations and emblems of intergovernmental organizations.  The tool allows free of charge, simultaneous brand-related searches across multiple collections.

For more information about the Global Brand Database and ways it can help trademark applicants and owners, click here.

Federal Circuit "Reverses" Itself, Illustrating Benefits of Pairing Reexamination with Patent Infringement Law Suits

The Federal Circuit's recent decision in In re Baxter International confirmed that reexamination proceedings at the PTO may properly result in a different patentability determination than declaratory judgment proceedings in Federal Court for the same patent and the same evidence.  In Baxter, the Court affirmed a reexamination decision by the PTO declaring certain claims of a patent to be invalid for obviousness, even though the Court had previously upheld the same claims' validity on appeal from an action for declaratory judgment in the District Court.  Thus, the Court demonstrated that it is willing to rely on a patentability determination by the PTO that conflicts with its own determination, providing even greater incentives to file for reexamination instead of or in addition to challenging a patent in court.

For a further discussion of the In re Baxter decision, and some incentives associated with filing a reexamination request in lieu of or in addition to filing an infringement law suit, click here.

PTO Satellite Offices Coming to Denver, Dallas, and San Jose

On July 2, 2012, the PTO announced plans to open regional PTO offices in Denver, Colorado, Dallas, Texas, and San Jose, California. These three offices, along with the regional office that just opened this past week in Detroit, Michigan, will be used to work with entrepreneurs to process patent applications, reduce the backlog of unexamined patents and appeals of examiner rejections, and speed up the overall patent application process. The PTO plans to establish a timeline for opening the newly announced offices in the coming months. The PTO is also currently working on establishing a model for how the regional offices will be set-up and operate in conjunction with the main office in Alexandria, Virginia. This model will likely evolve based on lessons learned from the new Detroit office. We note that the Boston Patent Law Association (BPLA) spearheaded an effort to bring one of the regional offices to the New England region. While we are disappointed that the exceptional bid prepared by the BPLA was unsuccessful, the new offices will certainly help our clients even if they do not have offices in Detroit, Denver, Dallas, or San Jose as these regional offices continue to support the PTO's efforts to expedite patent prosecution. Stay tuned to future updates from Nutter about the set-up and operation of the regional offices.

For more information about the plans for the PTO satellite offices, click here.

Nutter's IP Bulletin is a bi-monthly publication of the Intellectual Property Practice at Nutter McClennen & Fish LLP in Boston. This edition of the bulletin was edited by Rory P. Pheiffer. Assistance in the preparation of this issue was provided by Padma Choudry, Megan E. Jeans, Kevin C. McGrath, Kelly J. Morgan, Christopher J. Stow, and Michael P. Visconti.

www.nutter.com

This update is for information purposes only and should not be construed as legal advice on any specific facts or circumstances. Under the rules of the Supreme Judicial Court of Massachusetts, this material may be considered as advertising.

To print this article, all you need is to be registered on Mondaq.com.

Click to Login as an existing user or Register so you can print this article.

More Popular Related Articles on Intellectual Property from USA
As is well known, patent trolls often threaten dozens of alleged infringers in the hope of scoring quick license fees from those who understandably prefer to provide a modest payoff, thereby avoiding expensive and protracted litigation.
A recent Second Circuit court decision appears to establish a broad fair use exception for the use of artistic works in new works.
The Leahy-Smith America Invents Act (AIA) implements the most significant reform to US patent law since 1952.
In order to best protect the IP rights of a U.S. company seeking to produce goods through a Chinese manufacturer by providing a protected design, the U.S. company needs to take actions even before the contracting stages.
On November 12, 2012, the State Intellectual Property Office of the People’s Republic of issued the Draft Rules on Inventor-Employee Inventions for public comment, and this article seeks to reconcile the different provisions between the Implementing Rules and the Draft Rules.
My cell phone rings at 6:30 on a Friday evening. It's the CEO of a client company and she is panicked.
A discussion following Shepard Fairey pleading guilty to the misdemeanor charge of criminal contempt for destroying and altering documents in his civil lawsuit against The Associated Press.
The U.S. Court of Appeals for the Ninth Circuit affirmed a summary judgment ruling in favor of seven film studios finding that the defendant induced third parties to download infringing copies of the plaintiffs’ copyrighted works.
 
In association with
Related Video
Tools
Print
Font Size:
Translation
Channels
Mondaq on Twitter
 
Register for Access and our Free Biweekly Alert
Email Address
Company Name
Password
Confirm Password
Mondaq Topics -- Select your Interests
Accounting and Audit
Anti-trust/Competition Law
Consumer Protection
Corporate/Commercial Law
Criminal Law
Employment and HR
Energy and Natural Resources
Environment
Family and Matrimonial
Finance and Banking
Food, Drugs, Healthcare, Life Sciences
Government, Public Sector
Immigration
Insolvency/Bankruptcy, Re-structuring
Insurance
Intellectual Property
International Law
Litigation, Mediation & Arbitration
Media, Telecoms, IT, Entertainment
Privacy
Real Estate and Construction
Strategy
Tax
Transport
Wealth Management
Regions
Africa
Asia
Asia Pacific
Australasia
Canada
Caribbean
Europe
European Union
Latin America
Middle East
U.K.
United States
Worldwide Updates

Terms & Conditions and Privacy Statement

Mondaq.com (the Website) is owned and managed by Mondaq Ltd and as a user you are granted a non-exclusive, revocable license to access the Website under its terms and conditions of use. Your use of the Website constitutes your agreement to the following terms and conditions of use. Mondaq Ltd may terminate your use of the Website if you are in breach of these terms and conditions or if Mondaq Ltd decides to terminate your license of use for whatever reason.

Use of www.mondaq.com

You may use the Website but are required to register as a user if you wish to read the full text of the content and articles available (the Content). You may not modify, publish, transmit, transfer or sell, reproduce, create derivative works from, distribute, perform, link, display, or in any way exploit any of the Content, in whole or in part, except as expressly permitted in these terms & conditions or with the prior written consent of Mondaq Ltd. You may not use electronic or other means to extract details or information about Mondaq.com’s content, users or contributors in order to offer them any services or products which compete directly or indirectly with Mondaq Ltd’s services and products.

Disclaimer

Mondaq Ltd and/or its respective suppliers make no representations about the suitability of the information contained in the documents and related graphics published on this server for any purpose. All such documents and related graphics are provided "as is" without warranty of any kind. Mondaq Ltd and/or its respective suppliers hereby disclaim all warranties and conditions with regard to this information, including all implied warranties and conditions of merchantability, fitness for a particular purpose, title and non-infringement. In no event shall Mondaq Ltd and/or its respective suppliers be liable for any special, indirect or consequential damages or any damages whatsoever resulting from loss of use, data or profits, whether in an action of contract, negligence or other tortious action, arising out of or in connection with the use or performance of information available from this server.

The documents and related graphics published on this server could include technical inaccuracies or typographical errors. Changes are periodically added to the information herein. Mondaq Ltd and/or its respective suppliers may make improvements and/or changes in the product(s) and/or the program(s) described herein at any time.

Registration

Mondaq Ltd requires you to register and provide information that personally identifies you, including what sort of information you are interested in, for three primary purposes:

  • To allow you to personalize the Mondaq websites you are visiting.
  • To enable features such as password reminder, newsletter alerts, email a colleague, and linking from Mondaq (and its affiliate sites) to your website.
  • To produce demographic feedback for our information providers who provide information free for your use.

Mondaq (and its affiliate sites) do not sell or provide your details to third parties other than information providers. The reason we provide our information providers with this information is so that they can measure the response their articles are receiving and provide you with information about their products and services.

If you do not want us to provide your name and email address you may opt out by clicking here .

If you do not wish to receive any future announcements of products and services offered by Mondaq by clicking here .

Information Collection and Use

We require site users to register with Mondaq (and its affiliate sites) to view the free information on the site. We also collect information from our users at several different points on the websites: this is so that we can customise the sites according to individual usage, provide 'session-aware' functionality, and ensure that content is acquired and developed appropriately. This gives us an overall picture of our user profiles, which in turn shows to our Editorial Contributors the type of person they are reaching by posting articles on Mondaq (and its affiliate sites) – meaning more free content for registered users.

We are only able to provide the material on the Mondaq (and its affiliate sites) site free to site visitors because we can pass on information about the pages that users are viewing and the personal information users provide to us (e.g. email addresses) to reputable contributing firms such as law firms who author those pages. We do not sell or rent information to anyone else other than the authors of those pages, who may change from time to time. Should you wish us not to disclose your details to any of these parties, please tick the box above or tick the box marked "Opt out of Registration Information Disclosure" on the Your Profile page. We and our author organisations may only contact you via email or other means if you allow us to do so. Users can opt out of contact when they register on the site, or send an email to unsubscribe@mondaq.com with “no disclosure” in the subject heading

Mondaq News Alerts

In order to receive Mondaq News Alerts, users have to complete a separate registration form. This is a personalised service where users choose regions and topics of interest and we send it only to those users who have requested it. Users can stop receiving these Alerts by going to the Mondaq News Alerts page and deselecting all interest areas. In the same way users can amend their personal preferences to add or remove subject areas.

Cookies

A cookie is a small text file written to a user’s hard drive that contains an identifying user number. The cookies do not contain any personal information about users. We use the cookie so users do not have to log in every time they use the service and the cookie will automatically expire if you do not visit the Mondaq website (or its affiliate sites) for 12 months. We also use the cookie to personalise a user's experience of the site (for example to show information specific to a user's region). As the Mondaq sites are fully personalised and cookies are essential to its core technology the site will function unpredictably with browsers that do not support cookies - or where cookies are disabled (in these circumstances we advise you to attempt to locate the information you require elsewhere on the web). However if you are concerned about the presence of a Mondaq cookie on your machine you can also choose to expire the cookie immediately (remove it) by selecting the 'Log Off' menu option as the last thing you do when you use the site.

Some of our business partners may use cookies on our site (for example, advertisers). However, we have no access to or control over these cookies and we are not aware of any at present that do so.

Log Files

We use IP addresses to analyse trends, administer the site, track movement, and gather broad demographic information for aggregate use. IP addresses are not linked to personally identifiable information.

Links

This web site contains links to other sites. Please be aware that Mondaq (or its affiliate sites) are not responsible for the privacy practices of such other sites. We encourage our users to be aware when they leave our site and to read the privacy statements of these third party sites. This privacy statement applies solely to information collected by this Web site.

Surveys & Contests

From time-to-time our site requests information from users via surveys or contests. Participation in these surveys or contests is completely voluntary and the user therefore has a choice whether or not to disclose any information requested. Information requested may include contact information (such as name and delivery address), and demographic information (such as postcode, age level). Contact information will be used to notify the winners and award prizes. Survey information will be used for purposes of monitoring or improving the functionality of the site.

Mail-A-Friend

If a user elects to use our referral service for informing a friend about our site, we ask them for the friend’s name and email address. Mondaq stores this information and may contact the friend to invite them to register with Mondaq, but they will not be contacted more than once. The friend may contact Mondaq to request the removal of this information from our database.

Security

This website takes every reasonable precaution to protect our users’ information. When users submit sensitive information via the website, your information is protected using firewalls and other security technology. If you have any questions about the security at our website, you can send an email to webmaster@mondaq.com.

Correcting/Updating Personal Information

If a user’s personally identifiable information changes (such as postcode), or if a user no longer desires our service, we will endeavour to provide a way to correct, update or remove that user’s personal data provided to us. This can usually be done at the “Your Profile” page or by sending an email to EditorialAdvisor@mondaq.com.

Notification of Changes

If we decide to change our Terms & Conditions or Privacy Policy, we will post those changes on our site so our users are always aware of what information we collect, how we use it, and under what circumstances, if any, we disclose it. If at any point we decide to use personally identifiable information in a manner different from that stated at the time it was collected, we will notify users by way of an email. Users will have a choice as to whether or not we use their information in this different manner. We will use information in accordance with the privacy policy under which the information was collected.

How to contact Mondaq

You can contact us with comments or queries at enquiries@mondaq.com.

If for some reason you believe Mondaq Ltd. has not adhered to these principles, please notify us by e-mail at problems@mondaq.com and we will use commercially reasonable efforts to determine and correct the problem promptly.