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SCOTUS Amicus Brief filed in Alice Corp. v CLS Bank case.
1. No. 13-298
IN THE
Supreme Court of the United States
───────────────────
ALICE CORPORATION PTY. LTD.,
Petitioner,
v.
CLS BANK INTERNATIONAL, et al.,
Respondents.
───────────────────
On Writ of Certiorari to the
United States Court of Appeals
for the Federal Circuit
───────────────────
BRIEF OF AMICUS CURIAE PROOVE
BIOSCIENCES, INC. IN SUPPORT OF
NEITHER PARTY
───────────────────
PATRICK R. DELANEY
Counsel of Record
PATRICK R. DELANEY, ESQ.
110 Carlisle Drive
Silver Spring, MD 20904
(703) 628-7047
patrickrdelaney@gmail.com
CATHERINE MESHKIN
PROOVE BIOSCIENCES, INC.
8160 Maple Lawn Blvd.
Fulton, MD 20759
(855) 776-6832
cmeshkin@proovebio.com
Counsel for Amicus Curiae
Proove Biosciences, Inc.
January 27, 2014
2. -i-
TABLE OF CONTENTS
Page
TABLE OF CONTENTS ............................................. i
TABLE OF AUTHORITIES ...................................... ii
INTEREST OF AMICUS CURIAE
PROOVE BIOSCIENCES ................................1
SUMMARY OF THE ARGUMENT ............................2
ARGUMENT ...............................................................4
I.
The Court should endorse the
analytical framework laid out in
Chief Judge Rader’s opinion in
CLS Bank en banc, including a
“claim
as
a
whole”
test,
consistent with Diehr, as a
supplement to the machine-ortransformation test the Court
has endorsed in Bilski v Kappos ......................4
II.
The Court’s endorsement of a
“claim
as
a
whole”
test,
consistent with Diehr, would
achieve a level of consensus
between Judge Lourie’s opinion
and Chief Judge Rader’s in CLS
Bank en banc ....................................................9
CONCLUSION ..........................................................11
3. - ii -
TABLE OF AUTHORITIES
Page(s)
Cases
Bilski v. Kappos,
130 S. Ct. 3218 (2010) ............................ passim
CLS Bank Int’l v. Alice Corp. Pty. Ltd.,
717 F.3d 1269 (Fed. Cir. 2013) (en banc)
(Pet. App. 1a-131a) ................................. passim
Diamond v. Diehr,
450 U.S. 175 (1981) ................................ passim
Festo Corp. v. Shoketsu Kinzoku
Kogyo Kabushiki Co.,
535 U.S. 722 (2002) ..........................................2
Gottschalk v. Benson,
409 U.S. 63 (1972) .................................. passim
In re Bilski,
545 F.3d 943 (Fed. Cir. 2008) (en banc) ......4, 5
Mayo Collaborative Servs. v.
Prometheus Labs., Inc.,
132 S. Ct. 1289 (2012) ............................ passim
Parker v. Flook,
437 U.S. 584 (1978) .............................. 2, 6, 7, 9
State Street Bank and Trust Company v.
Signature Financial Group, Inc.,
149 F.3d 1368 (Fed. Cir. 1998)............... passim
4. - iii -
Warner-Jenkinson Co. v. Hilton Davis Chem. Co.,
520 U.S. 17 (1997) ............................................2
Statutes and Codes
35 U.S.C. § 101 .................................................. passim
5. -1-
INTEREST OF AMICUS CURIAE
PROOVE BIOSCIENCES1
Proove Biosciences2 is one of the world’s
leading providers of personalized medicine and
medical research services. From its laboratory
facilities in Southern California, the company
provides physicians and the medical community
with information to improve the selection, dosing,
and evaluation of medications and also offers
proprietary laboratory testing.
Proove Biosciences has a patent portfolio of
pending patent applications that involve computerrelated implementations of genetic testing. These
aspects of the patent portfolio are related to the
patent eligibility issues under 35 U.S.C. § 101 which
are being considered in this case.
Outside of any potential impact on its patent
portfolio, Proove Biosciences has no stake in the
outcome of this case, other than its desire for a
correct and clear interpretation and application of
the United States Patent Laws.
No counsel for a party authored this brief in whole or in part,
and no party or counsel for a party made a monetary
contribution intended to fund the preparation or submission of
this brief. No one other than Proove Biosciences made a
monetary contribution to the preparation or submission of this
brief. Both parties have granted blanket consent to the filing of
amicus briefs.
1
“Proove Biosciences” refers to Proove Biosciences, Inc., a
corporation incorporated in the state of Delaware and owner of
several U.S. patent applications.
2
6. -2-
SUMMARY OF THE ARGUMENT
The Court should endorse the analytical
framework laid out in Chief Judge Rader’s opinion
in CLS Bank Int’l v. Alice Corp. Pty. Ltd., 717 F.3d
1269 (Fed. Cir. 2013) (en banc). The framework
includes a “claim as a whole” test, consistent with
Diamond v. Diehr, 450 U.S. 175 (1981), that
represents an incremental clarification of this
Court’s foundational precedents for evaluating
computer inventions under 35 U.S.C. § 101. An
incremental change is favored as the Court has
warned that “courts must be cautious before
adopting changes that disrupt the settled
expectations of the inventing community.” Festo
Corp. v. Shoketsu Kinzoku Kogyo Kabushiki Co., 535
U.S. 722, 739 (2002) (citing Warner-Jenkinson Co. v.
Hilton Davis Chem. Co., 520 U.S. 17, 28 (1997)).
Chief Judge Rader’s analytical framework
embraces the machine-or-transformation test the
Court endorsed in Bilski v. Kappos, 130 S. Ct. 3218
(2010), for evaluating patent eligibility of computer
inventions under 35 U.S.C. § 101. Also, the “claim as
a whole” test represents a level of consensus with
Judge Lourie’s opinion in CLS Bank en banc.
Furthermore Chief Judge Rader’s analytical
framework is fully consistent with the text of 35
U.S.C. § 101 and the Court’s other opinions on this
issue including (but not limited to) Gottschalk v.
Benson, 409 U.S. 63 (1972); Parker v. Flook, 437 U.S.
584 (1978); and Mayo Collaborative Servs. v.
Prometheus Labs., Inc., 132 S. Ct. 1289 (2012). It is
also significantly aligned with the previously
established test from State Street Bank and Trust
8. -4-
ARGUMENT
I.
The Court should endorse the analytical
framework laid out in Chief Judge
Rader’s opinion in CLS Bank en banc,
including a “claim as a whole” test,
consistent with Diehr, as a supplement
to the machine-or-transformation test
the Court has endorsed in Bilski v
Kappos.
The Federal Circuit has visited the question
before this Court – whether claims to computerimplemented inventions are directed to patenteligible subject matter within the meaning of 35
U.S.C. § 101 as interpreted by this Court – several
times in recent years.
In 1998, in State Street Bank, a panel of the
court enunciated the principle that claims to a
computer invention in a business method involving
an algorithm as an abstract idea were patent-eligible
if the claimed invention involved a “practical
application” and produced “a useful, concrete and
tangible result.” State Street Bank, 149 F.3d at 1373.
The test in State Street Bank was well accepted in
the courts below for several years for determining
patent-eligible
subject
matter
in
computer
inventions involving abstract concepts, algorithms
and business methods.
However, in In re Bilski 545 F.3d 943 (Fed.
Cir. 2008) (en banc), the court effectively replaced
the test from State Street Bank with a new test for
patent eligibility for computer inventions under 35
U.S.C. § 101. Known as the machine-or-
9. -5-
transformation test, the court in In re Bilski
pronounced “A claimed process is surely patenteligible under § 101 if: (1) it is tied to a particular
machine or apparatus, or (2) it transforms a
particular article into a different state or thing.” In
re Bilski, 545 F.3d at 954, citing Gottschalk v.
Benson, 409 U.S. 63, 70 (1972).3 The Federal Circuit
also pronounced that the machine-or-transformation
test was the sole test available for determining
patent
eligibility
of
computer-implemented
inventions under 35 U.S.C. § 101. In re Bilski, 545
F.3d at 956. Thus, in effect, the “practical
application” producing a useful-concrete-tangible
result test from State Street Bank was discarded.
In re Bilski was appealed and heard by the
Court in Bilski v. Kappos. Justice Kennedy delivered
the Court’s opinion endorsing the machine-ortransformation test as informative, but dismissing
its exclusive use for determining patent eligibility of
computer inventions under 35 U.S.C. § 101. Slip Op.
at p. 8. (“The machine-or-transformation test is not
the sole test for patent eligibility under §101. The
Court’s precedents establish that although that test
may be a useful and important clue or investigative
tool, it is not the sole test for deciding whether an
invention is a patent-eligible “process” under §101.”).
Justice Kennedy emphasized that the Court’s
opinion in Bilski v. Kappos did not also endorse
But see “It is argued that a process patent must either be tied
to a particular machine or apparatus or must operate to change
articles or materials to a “different state or thing.” We do not
hold that no process patent could ever qualify if it did not meet
the requirements of our prior precedents.” 409 U.S. 63, 71.
3
10. -6-
other interpretations of §101 that the Federal
Circuit had used in the past, including the test in
State Street Bank. However, Justice Kennedy did
urge “the Federal Circuit’s development of other
limiting criteria that further the purposes of the
Patent Act and are not inconsistent with its text”,
and yet are consistent with the Court’s prior
opinions, including Benson, Flook, and Diehr. Slip
Op. at p. 16.
The Federal Circuit reheard CLS Bank en
banc hoping to develop a more comprehensive
standard than the machine-or-transformation test
for evaluating computer inventions under 35 U.S.C.
§ 101. But instead of clarifying the criteria for
determining patent eligibility, the en banc court
produced a one-paragraph per curiam opinion, five
concurring and dissenting opinions, and “additional
reflections” by Chief Judge Rader. Pet. App. 1a-131a.
Three of the judges in CLS Bank en banc
wrote opinions proposing different analytical
frameworks for determining patent eligibility. Judge
Lourie and Judge Linn both delivered opinions that
proposed analyses that appear to go well beyond any
test which has been adopted previously at the
Federal Circuit. However, Chief Judge Rader
delivered an opinion4 proposing an analytical
framework that is consistent with the text of 35
U.S.C.
§
101,
embraces
the
machine-ortransformation test endorsed in Bilski v. Kappos and
is well-supported by the Court’s other opinions on
this issue. Furthermore, the analytical framework in
Judges Linn and O’Malley joined in the Chief Judge Rader’s
opinion, and Judge Moore joined in-part.
4
11. -7-
Chief Judge Rader’s opinion is significantly aligned
with the “practical application” aspect of the test
from State Street Bank.
The analytical framework proposed in Chief
Judge Rader’s opinion is based on the observation
that the “abstract idea” exception to patenteligibility under 35 U.S.C. § 101, which the Court
has identified, focuses on whether “the asserted
claim as a whole” covers “merely an abstract idea.”
Pet. App. 53a-54a. Reviewing the claim “as a whole”
is essential, because “[a]ny claim can be stripped
down, simplified, generalized, or paraphrased to
remove all of its concrete limitations, until at its
core, something that could be characterized as an
abstract idea is revealed.” Id. at 54a. Citing Diehr,
450 U.S. at 188 (emphasis added).
Chief Judge Rader explained that in
determining whether a claim, as a whole, covers
merely an abstract idea, the relevant inquiry is
whether the claim “includes meaningful limitations
restricting it to an application.” Pet. App. at 57a.
Citing Prometheus, 132 S. Ct. at 1297 (“[D]o the
patent claims add enough to their statements of the
correlations to allow the processes they describe to
qualify as patent-eligible processes that apply
natural laws?” (emphasis in original)) A claim that
pre-empts or “covers all practical applications of an
abstract idea,” or that “contains only insignificant or
token pre- or post-solution activity” “is not
meaningfully limited.” Pet. App. at 58a-60a. Citing
Prometheus, 132 S. Ct. at 1297-98; Bilski, 130 S. Ct.
at 3230-31; Diehr, 450 U.S. at 191-92 & n.14; and
Parker v. Flook, 437 U.S. 584, 595 n.18. (“Pre-
12. -8-
emption is only a subject matter eligibility problem
when a claim preempts all practical uses of an
abstract idea. For example, the claims in Benson
“purported to cover any use of the claimed method in
a general-purpose digital computer of any type.”
Citing Benson 409 U.S. at 64. The claims were not
allowed
precisely because
they
pre-empted
essentially all uses of the idea.”)
Chief Judge Rader further clarified the
analysis
regarding
computer-implemented
inventions in that, as applied to a computerimplemented claim, the meaningful-limitation
inquiry asks “whether the claims tie the otherwise
abstract idea to a specific way of doing something
with a computer, or a specific computer for doing
something; if so, they likely will be patent eligible,
unlike claims directed to nothing more than the idea
of doing something on a computer.” Pet. App. at 62a.
Citing Bilski, 130 S. Ct. at 3227; Prometheus, 132 S.
Ct. at 1302-03; Diehr, 450 U.S. at 184, 192. (“[T]he
respondents here do not seek to patent a
mathematical formula. Instead, they seek patent
protection for a process of curing synthetic rubber.
Their process admittedly employs a well-known
mathematical equation, but they do not seek to preempt the use of that equation. Rather, they seek only
to foreclose from others the use of that equation in
conjunction with all of the other steps in their
claimed process.”); see also Prometheus, 132 S. Ct. at
1298-99 and Diehr, 450 U.S. at 187, (“a claim does
not become non-statutory simply because it uses a
mathematical formula, computer program, or digital
computer” because “an application of a law of nature
13. -9-
or mathematical formula to a known structure or
process may well be deserving of patent protection.”).
The analytical framework in Chief Judge
Rader’s opinion in CLS Bank en banc thus
represents an incremental clarification of the law for
evaluating computer inventions under 35 U.S.C.
§ 101. The framework embraces the machine-ortransformation test the Court endorsed in Bilski for
evaluating patent eligibility of computer inventions
under 35 U.S.C. § 101. Furthermore, the test is fully
consistent with the text of 35 U.S.C. § 101 and the
Court’s other opinions on this issue, including
Benson, Flook, Diehr, and Prometheus. To help
resolve the uncertainty that has developed at the
Federal Circuit, amicus curiae Proove Biosciences
respectfully urges the Court to endorse the
analytical framework of Chief Judge Rader’s opinion
in CLS Bank en banc.
II.
The Court’s endorsement of a “claim as
a whole” test, consistent with Diehr,
would achieve a level of consensus
between Judge Lourie’s opinion and
Chief Judge Rader’s in CLS Bank en
banc.
Despite the plurality of opinions, Judges
Lourie, Dyk, Prost, Reyna and Wallach, in the
concurring opinion delivered by Judge Lourie, paid
great deference to the Diehr opinion, reciting the
case as a “Foundational Section 101 Precedent”, and
to the holding in Dier that a claim be drawn to a
specific application to satisfy 35 U.S.C. § 101. CLS
Bank, 717 F.3d at 1279 (“[A]n application of a law of
14. - 10 -
nature or mathematical formula to a known
structure or process may well be deserving of patent
protection.”) Citing Diehr, 450 U.S. at 187. (“Because
the applicant claimed a specific application, rather
than an abstract idea in isolation, the claims
satisfied § 101.”) CLS Bank, 717 F.3d at 1279. (“[A]
patent-eligible claim must include one or more
substantive limitations that, in the words of the
Supreme Court, add “significantly more” to the basic
principle, with the result that the claim covers
significantly less.” CLS Bank, 717 F.3d at 1281.
(emphasis in the original)
Judges Lourie also emphasized, as part of his
analytical framework, that “the claim can be
evaluated to determine whether it contains
additional substantive limitations that narrow,
confine, or otherwise tie down the claim so that, in
practical terms, it does not cover the full abstract
idea itself.” Citing Mayo, 132 S.Ct. at 1300. CLS
Bank, 717 F.3d at 1282. (discussing a patent-eligible
process claim that involved a law of nature but
included additional steps “that confined the claims to
a particular, useful application of the principle”). Id.
at 1282. Thus, the Court’s endorsement of a “claim
as a whole” test, consistent with Diehr, would
achieve a level of consensus between Judge Lourie’s
opinion and Chief Judge Rader’s in CLS Bank en
banc.
15. - 11 -
CONCLUSION
The Court should endorse the analytical
framework for determining patent eligibility in Chief
Judge Rader’s opinion in CLS Bank en banc,
including the “claim as a whole” test, to resolve the
conflict at the Federal Circuit over the patent
eligibility of computer-related inventions under 35
U.S.C. § 101.
Respectfully Submitted,
Patrick R. Delaney
Counsel of Record
PATRICK R. DELANEY, ESQ.
110 Carlisle Drive
Silver Spring, MD 20904
(703) 628-7047
Counsel for Proove Biosciences