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Patents: New Court Case Challenges Software and Business Model Patents
Ten years ago the US Court of Appeals for the Federal Circuit (CAFC) overturned a lower court decision that explicitly disallowed the patenting of business models. Since then the number of patents on business methods and software has grown dramatically. That single court decision opened the door to insurance, retail, advertisement and other industries the ability to use the patent as a tool for protecting company innovation.
Now a new case is being brought before the Supreme Court that is challenging the scope of what can be patented. It has the potential of overturning a number of recent business model and software patents that many people have classified as frivolous. It’s way too early to know what will happen in this case, but it could be a sign of improved patent law in the US.
Meanwhile in the UK, software has not been patentable, but that is beginning to change. The High Court in the UK ruled that patent protection was incorrectly being denied software inventors. In November 2006, the UK Patent Office stated that computer software was not generally patentable. This differs from the EU Patent Office that allows patents on software that can demonstrate innoventive contribution.
