Bonum Certa Men Certa

Amid New Losses to Software Patents and to Patent Trolls, US Supreme Court Prepares to Deal Them Another Lethal Blow

The US Supreme Court (SCOTUS) is a patent rationalist, not maximalist

TC Heartland
Even the patent (meta-)industry anticipates the demise of trolls' modus operandi and attempts to sell "services" around that



Summary: With the TC Heartland decision (SCOTUS level) looming, patent trolls are already losing all their marbles -- including software patents -- and motions are being made to shift venue of litigation (outside of the Eastern District of Texas)

A HIGH-PROFILE CASE that was mentioned here before, on Friday to be exact, enabled us to see the world's largest patent troll losing a major test, which represented yet another big blow to software patents in the United States. CAFC has once again blown away several of them.



Days later we saw this report from Joe Mullin, who is very familiar with this patent troll. He wrote:

Intellectual Ventures boasts of having more than 30,000 patents—but you'd have to look for a long time to find one that can hold up under real scrutiny.

After staying quiescent for years, IV opened up a barrage of lawsuits to enforce its patents in 2010. But the companies that decided to stand up to IV rather than buckle under have been faring well, as judges have found the patents that IV has chosen to enforce in court less than impressive. It's a telling sign about the giant patent-holder's collection. Given the opportunity to pull just about any patent out of its huge collection, one would assume the company would choose the best of the lot. But much of it appears to be exactly the kind of easy handouts from the dot-com boom era that have been called out by critics of "patent trolls."

Earlier this week, Intellectual Ventures lost two more major patent cases at the nation's top patent court. It lost a case against Erie Indemnity Company and several other insurers, which had stood accused of infringing US Patent Nos. 6,510,434, 6,519,581, and 6,546,002. The same judges also tossed patents asserted against banking company Capital One. All were found invalid under the Supreme Court's Alice Corp. precedent, which barred many patents that describe basic business processes and add computer jargon.



Compare that to Wall Street media's coverage. How can one write about Intellectual Ventures without mentioning that it's a gigantic patent troll which makes nothing? Here is an important reminder of what this troll is: "Founded in 2000 by former Microsoft Corp. Chief Technology Officer Nathan Myrhvold, Intellectual Ventures has raised over $6 billion to purchase patents and owns around 70,000 intellectual property assets, according to its website. The company has 40,000 intellectual property assets in programs to grow revenue through licensing and related litigation."

"Not too shockingly, patents on software and even the most notorious patent trolls enjoy the support of some patent law firms; they have their 'fan' base out there."It's not a company, it's a troll (or a "firm" at best). It does nothing but harass real companies. Many of its patents are worthless but are used in bulk in order to lower defendants to their knees (raising the cost associated with defence and making settlement the cheaper option).

Not too shockingly, patents on software and even the most notorious patent trolls enjoy the support of some patent law firms; they have their 'fan' base out there. It's all about money to them; even when it's working directly against innovation.

Asserting that a patent is not valid (as above) is not an "attack" but a defense (by the defendant). Attackers are not the "survivors". But notice the language of liars -- those to whom invalidated patents (after they got used offensively) are "killed" and otherwise "survived".

To quote this new example: "Location Detector Patent Claims Survive an Alice/101 Attack by Uber: https://dlbjbjzgnk95t.cloudfront.net/0899000/899068/https-ecf-cand-uscourts-gov-doc1-035115212012.pdf"

"We are worried not just about software patents but also patent trolls, which typically but not always rely on software patents."The same person (an attorney who promotes software patents), linking to this post about Alice gaining momentum, basically chose selective emphasis. "In Thales Visionix Inc. v. United States," it says, "the Federal Circuit reversed a decision of the Court of Federal Claims that found claims drawn to an inertial tracking system patent-ineligible under Section 101."

This may sound like big news. It's about the F-35 Joint Strike Fighter. It also cites the Supreme Court’s Diamond v Diehr (classic case) and it's not the same case cited above. It was decided 3 days ago, on March 8th, and it was a lawsuit against a government and Elbit Systems, typically a military contractor. This decision is 11 pages long and it's not purely about software, hence the court found it unsuitable for invalidation by Section 101. Does that mean that software patents "survived"? Not in this case, as the case isn't inherently about software but about physics and sensors.

Moving on to a CBM review (business methods), Secure Axcess, LLC v PNC Bank N.A. got covered the other day and so was this case in Delaware, where the "federal jury found in 2014 that Sprint Communications Co. LP infringed three patents owned by Comcast IP Holdings I LLC. Sprint argued on appeal that the decision was based on incorrect claim constructions, but the Federal Circuit disagreed."

"The trolls' courts in EDTX might suffer an epic SCOTUS blow some time later this year."These cases do not constitute much of a "software" element, but nonetheless we take note of them, for several other reasons. We are worried not just about software patents but also patent trolls, which typically but not always rely on software patents. Professor Paul Janicke expects all those patent troll cases from Texas (the Eastern District’s docket, EDTX) to be scattered around to other districts across the country, based on this new article which he contributed to Patently-O. To quote: "When the Supreme Court reverses the Federal Circuit’s venue ruling in the TC Heartland case, a reversal widely expected, it will return patent venue to the time prior to 1988, when the residence of a corporation for patent venue purpose was limited to (i) a district within the state of incorporation, or (ii) a district where the corporation has a regular and established place of business and has allegedly committed an act of infringement. Presently pending in the Eastern District of Texas are 1,000+ patent cases."

The trolls' courts in EDTX might suffer an epic SCOTUS blow some time later this year. Such an outcome is widely expected, knowing the dispositions of the existing Justices. Even if belatedly, it's a much-needed ruling as there is this new article about present attempts to shift lawsuits out of the notorious docket. To quote: "A Federal Circuit decision faulting an Eastern District of Texas judge for refusing to transfer a patent case to California may provide guidance for defendants seeking to escape the patent hotspot, but attorneys say it will remain tough to win transfers out of the district."

"Well, share buybacks are almost always a negative sign and it will hardly be so shocking if RPX altogether implodes and gets liquidated some time after TC Heartland (if not before that)."That will likely change after TC Heartland -- a case that was covered here over the previous weekend. Trolls are already suffering a great deal and are increasingly collapsing, much to the patent microcosm's chagrin. Even RPX, which marketed itself as a shield against trolls (it's not really what it's advertising itself as), seems to have lost its purpose. RPX just keeps collapsing, based on sympathisers of trolls. To quote, "criticising its growth attempts, calling for Amster’s departure and querying what it alleged was excessive staff compensation. The two sides announced something of a truce last May with RPX agreeing to a $50 million share buyback programme and to the appointment of a Mangrove representative to the board. It’s not clear at what price Mangrove might be willing to consider an offer, although there’s no doubt that last year’s dispute continues to cast a shadow over RPX’s direction."

Well, share buybacks are almost always a negative sign and it will hardly be so shocking if RPX altogether implodes and gets liquidated some time after TC Heartland (if not before that).

Recent Techrights' Posts

[Meme] Being Believed, Not Censored or Defamed
Daniel Pocock, Zini, and John Sullivan (FSF)
Taking Things Up a Notch
we strive/aim towards 15-25 new pages per day, i.e. around 500 per month or 6,000 per year
 
Attacking the Messenger?
Stack Overflow and LLM licencing
Microsoft Fired Loads of Staff in Kenya, Which is Another Large Country Where GNU/Linux Has Grown a Lot
Microsoft pays Kenyans only 2 dollars an hour for an IT/office job
Knowing the True History of Debian, Owing to Irish Debian Developer Daniel Pocock (Currently Running to Become Member of the European Parliament)
Irish-Australian and scapegoat of a highly dysfunctional 'Debian family'
Attacking by Credentials
Modest people do not demand fancy titles
Microsoft Windows Used to Have 99% of the OS Market in Jordan, Now It's Just 13% (Less Than iOS)
Based on the data of statCounter, GNU/Linux in Jordan climbed from 0.62% in May 2014 to nearly 5% right now
More Nations Are Reaching and Exceeding 5% Market Share for GNU/Linux, Microsoft Wants to be Bailed Out Again
Microsoft is once again reaching out to Biden for a bailout - a subject we'll cover in a video some time this weekend
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Friday, May 10, 2024
IRC logs for Friday, May 10, 2024
[Meme] What Do You Call a Woman Who Does BDS on Free Software? Elana Hamasman.
Here are some confused thoughts
[Meme] Mission Aborted
Mission Aborted: cancel RMS
Gemini Links 10/05/2024: Love Is Infinite and Books vs Internet
Links for the day
Links 10/05/2024: Fears Over TSMC, Microsoft Loses Major Patent Case
Links for the day
Links 10/05/2024: Burner Phones in 6-Eyes Government, “Hatred and Demonization” on the Rise
Links for the day
Microsoft Layoffs and Closures Now Reported in Africa
Microsoft Uninstalls Nigeria as it closes African Development Centre (ADC) in Lagos
[Video] Richard Stallman, "I Saw You Playing Your Recorder in Paris" (Due to Proprietary Software Only)
Corporate autocrats do not want counterparts or alternatives to even exist
Five Years After the Extensive Campaign of Defamation Against Richard Stallman He's Still Giving Public Talks
"Richard Stallman will give a talk, in French, Free Software and Freedom in a Digital Society at Centrale Supelec in Saclay, on May 15."
Microsoft Is Rebranding Its 'Chatbot' Search for the Third Time Because It Fails to Gain Adoption
it always means that something has failed - not that they'll openly admit it
Richard Stallman Gives a Talk in Paris Next Week (in French) and It's About Freedom
another talk, which he has only just announced
Pace Up, Distractions Down
We've made our curation process faster and more efficient
In Algeria, GNU/Linux Estimated to Have Grown Tenfold in a Decade
a sharp rise in GNU/Linux usage
[Meme] Red Hat Diversity
Red Hat: don't mention Haghighi
Our Sister Site Turns 20 in Exactly One Month
twentieth anniversary of the site
Corporate Media Focuses on Who's Suing Red Hat, Not What It's Sued For
The unfortunate thing is, anybody who has an opinion on this lawsuit will inevitably be framed as "pro-Trump" or "anti-Trump"
Links 10/05/2024: Many More Microsoft Layoffs on the Way
Links for the day
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Thursday, May 09, 2024
IRC logs for Thursday, May 09, 2024
Microsoft OSI Uses Its Money to Hire PR Agencies That Spy and Spread Mindless Openwashing of GPL-Violating Microsoft Ploy
`We're under attack. But the attackers smile at us and hire PR firms to spy, mislead etc.
Gemini Links 10/05/2024: geminispace.info to Shut Down in 3 Weeks
Links for the day
In Nigeria, Africa's (by Far) Largest Population, Microsoft Bing is the 0%
To Microsoft, Africa is just "someplace" to get intensive, hard-working human 'resources' (tech labour) at 2 dollars 'apiece' as in per person per hour
Links 09/05/2024: Journalists in Detention, China Banning Songs or Anthems
Links for the day
Support for harassment and abuse victims
Reprinted with permission from Daniel Pocock
Gemini Links 09/05/2024: Being Sick Enough and End of “World of Ends“
Links for the day
Links 09/05/2024: 'Hey Hi' (AI) Bubble Implodes Some More, Microsoft Layoffs So Widespread It's Hard to Keep Track
Links for the day
Speaking of Enshittification and Freedom, We've Still Not Begun Tackling the UEFI 'Secure' Boot Mess (Preventing GNU/Linux From Even Booting!)
Microsoft continues to fly under the radar and commit competition crimes with impunity
Microsoft Has Just Confirmed Mass Layoffs in Nigeria, It Now Adds Insult to Injury With Price Hikes for Locals
It's not like Microsoft paid them good salaries
Software Enshittification or Freedom? It's not a hard choice!
Reprinted from Alexandre Oliva
Links 09/05/2024: More Microsoft Layoffs on the Way
Links for the day
Amid Microsoft Layoffs in Nigeria GNU/Linux Climbs Above 6% Market Share (Not Including ChromeOS)
Hundreds are being laid off by Microsoft in Nigeria, based on yesterday's reports
[Meme] Blame the Robots or the 'Hey Hi' (AI), It Always Works in Today's Media
Companies do not have financial troubles! They have "efficiencies"...
News Reports Say Many More Microsoft Layoffs on the Way, Rumours Say Red Hat Also Imminently a Target
Microsoft is slipping out of control
Links 09/05/2024: Diplomacy Efforts With China, AstraZeneca Stops Experimenting With COVID-19 Vaccines
Links for the day
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Wednesday, May 08, 2024
IRC logs for Wednesday, May 08, 2024
Gemini Links 09/05/2024: Registered Computer Professionals and TLS (The Long Slog)
Links for the day