In it’s first major inter partes reexam decision on business method patent claims, the PTAB has a blockbuster. Remember the name SAP v Versata, as it will be perhaps the hottest topic this year in patent law unless and until the Federal Circuit and/or Suprem Court reviews and revises this monumental decision. It will change the way patent applications are drafted and prosecuted. A patent prosecution attorney who is not up to speed on this decision has a serious malpractice risk. The PTAB announced its presence by determining that the appropriate claim construction standard for post-grant review is the Broadest Reasonable Interpretation (BRI) as opposed to the standard of claim construction used in US District Court proceedings (Phillips v. AWH) and then held all of Versata’s claims unpatentable as directed to unpatentable subject matter. It’s a major turnaround of the case and victory for SAP, but sure to be appealed to the Federal Circuit. The PTAB has sure made its new presence known in a big way with this decision effectively gutting a $345 million infringement finding by declaring the claims invalid as too abstract.
This was one of 3 proceedings, as there are also pending a Federal Circuit case and an USDC-VA-E case.
Versata won a significant decision at the USDC-VA-ED of $345 million for infringement, and the Federal Circuit had affirmed on May 1, 2013. See nice report in easy to read language at http://www.reexamlink.com/2013/05/federal-circuit-appeal-decision-in-versata-software-v-sap/.
Bruce E Burdick, The Burdick Law Firm, Alton, IL