Lawyer Commentary Mondaq United States Claims Directed To Transaction Performance Guaranty Held Patent Ineligible Under § 101

Claims Directed To Transaction Performance Guaranty Held Patent Ineligible Under § 101

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In buySAFE, Inc. v. Google, Inc., No. 13-1575 (Fed. Cir. Sept. 3, 2014), the Federal Circuit affirmed the district court's determination that the asserted claims were invalid under 35 U.S.C. § 101 for being directed to patent-ineligible subject matter.

buySAFE, Inc. ("buySAFE") owns U.S. Patent No. 7,644,019 ("the '019 patent"), directed to computer applications for guaranteeing a party's performance of its online transaction.

buySAFE sued Google, Inc. ("Google"), alleging that Google infringed the '019 patent. Google moved for judgment on the pleadings, alleging that the asserted claims were invalid under 35 U.S.C. § 101. The district court granted Google's motion, ruling that the '019 patent "describes a well-known, and widely-understood concept . . . and then applied that concept using conventional computer technology and the Internet." Slip op. at 4 (quoting buySAFE, Inc. v. Google...

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