3M INNOVATIVE PROPERTIES COMPANYDownload PDFPatent Trials and Appeals BoardJul 16, 20212021000786 (P.T.A.B. Jul. 16, 2021) Copy Citation UNITED STATES PATENT AND TRADEMARK OFFICE UNITED STATES DEPARTMENT OF COMMERCE United States Patent and Trademark Office Address: COMMISSIONER FOR PATENTS P.O. Box 1450 Alexandria, Virginia 22313-1450 www.uspto.gov APPLICATION NO. FILING DATE FIRST NAMED INVENTOR ATTORNEY DOCKET NO. CONFIRMATION NO. 14/765,040 07/31/2015 Cathy L Plunkett 71071US004 5307 32692 7590 07/16/2021 3M INNOVATIVE PROPERTIES COMPANY PO BOX 33427 ST. PAUL, MN 55133-3427 EXAMINER PAULS, JOHN A ART UNIT PAPER NUMBER 3626 NOTIFICATION DATE DELIVERY MODE 07/16/2021 ELECTRONIC Please find below and/or attached an Office communication concerning this application or proceeding. The time period for reply, if any, is set in the attached communication. Notice of the Office communication was sent electronically on above-indicated "Notification Date" to the following e-mail address(es): LegalUSDocketing@mmm.com PTOL-90A (Rev. 04/07) UNITED STATES PATENT AND TRADEMARK OFFICE ____________ BEFORE THE PATENT TRIAL AND APPEAL BOARD ____________ Ex parte CATHY L. PLUNKETT, MICHAEL S. BEE, MARCUS T. BROWN, and KIM A. COBLER ____________ Appeal 2021-000786 Application 14/765,040 Technology Center 3600 ____________ Before ANTON W. FETTING, MICHAEL C. ASTORINO, and BRUCE T. WIEDER, Administrative Patent Judges. FETTING, Administrative Patent Judge. DECISION ON APPEAL Appeal 2021-000786 Application 14/765,040 2 STATEMENT OF THE CASE1 Cathy L Plunkett, Michael S Bee, Marcus T Brown, and Kim A Cobler (Appellant2) seeks review under 35 U.S.C. § 134 of a final rejection of claims 1–3, 5, 6, 9–15, 17, 18, 21–24, 27, and 28, the only claims pending in the application on appeal. We have jurisdiction over the appeal pursuant to 35 U.S.C. § 6(b). The Appellant invented a way of medical billing for facility and professional services. Spec. para. 1. An understanding of the invention can be derived from a reading of exemplary claim 1, which is reproduced below (bracketed matter and some paragraphing added). 1. A method of processing medical data via one or more computers, the method comprising: [1] receiving, at the one or more computers, patient encounter textual data describing a patient encounter with a healthcare organization; 1 Our decision will make reference to the Appellant’s Appeal Brief (“Br.,” filed July 24, 2020) and the Examiner’s Answer (“Ans.,” mailed August 21, 2020), and Final Action (“Final Act.,” mailed May 21, 2020). 2 We use the word “Appellant” to refer to “applicant” as defined in 37 C.F.R. § 1.42. Appellant identifies the real party in interest as 3M Company and its affiliate 3M Innovative Properties Company (Br. 2). Appeal 2021-000786 Application 14/765,040 3 [2] determining, via the one or more computers, one or more facility reimbursement facts based on natural language processing of the patient encounter textual data; [3] determining, via the one or more computers, one or more professional reimbursement facts based on natural language processing of the patient encounter textual data; [4] outputting, via the one or more computers, a user interface including the determined facility reimbursement facts and the determined professional reimbursement facts, wherein the user interface includes an inconsistency between the determined facility reimbursement facts and the determined professional reimbursement facts; [5] receiving, via the one or more computers and based upon user input, an edit to conform the determined facility reimbursement facts to be consistent with the determined professional reimbursement facts; Appeal 2021-000786 Application 14/765,040 4 [6] comparing, via the one or more computers and after receiving the edit, the determined facility reimbursement facts and the determined professional reimbursement facts to pre- determined rules identifying an error in the determined facility reimbursement facts or the determined professional reimbursement facts and, in response, [7] outputting a first prompt in the user interface indicating additional input is required based upon the error and a second prompt in the user interface indicating further edits a user should make; [8] receiving, via the one or more computers in response to the first or second prompt and based upon user input, a further edit to the determined facility reimbursement facts or the determined professional reimbursement facts; and [9] receiving, at the one or more computers, an indication that the facility reimbursement facts and the professional reimbursement facts are ready for subsequent billing-related processing. Appeal 2021-000786 Application 14/765,040 5 Claims 1–3, 5, 6, 9–15, 17, 18, 21–24, 27, and 28 stand rejected under 35 U.S.C. § 101 as directed to a judicial exception without significantly more. ISSUES The issues of eligible subject matter turn primarily on whether the claims recite more than abstract conceptual advice of results desired. ANALYSIS STEP 13 Claim 1, as a method claim, nominally recites one of the enumerated categories of eligible subject matter in 35 U.S.C. § 101. The issue before us is whether it is directed to a judicial exception without significantly more. STEP 2 The Supreme Court set forth a framework for distinguishing patents that claim laws of nature, natural phenomena, and abstract ideas from those that claim patent-eligible applications of those concepts. First, . . . determine whether the claims at issue are directed to one of those patent-ineligible concepts. If so, we then ask, “[w]hat else is there in the claims before us?” To answer that question, . . . consider the elements of each claim both individually and “as an ordered combination” to determine whether the additional elements “transform the nature of the claim” into a patent- eligible application. [The Court] described step two of this analysis as a search for an “‘inventive concept’”—i.e., an element or combination of elements that is “sufficient to ensure 3 For continuity of analysis, we adopt the steps nomenclature from 2019 Revised Patent Subject Matter Eligibility Guidance, 84 Fed. Reg. 50 (Jan. 7, 2019) (“Revised Guidance”). Appeal 2021-000786 Application 14/765,040 6 that the patent in practice amounts to significantly more than a patent upon the [ineligible concept] itself.” Alice Corp. v. CLS Bank Int’l, 573 U.S. 208, 217–18 (2014) (citations omitted) (citing Mayo Collaborative Servs. v. Prometheus Labs, Inc., 566 U.S. 66 (2012)). To perform this test, we must first determine what the claims are directed to. This begins by determining whether the claims recite one of the judicial exceptions (a law of nature, a natural phenomenon, or an abstract idea). Then, if the claims recite a judicial exception, determining whether the claims at issue are directed to the recited judicial exception, or whether the recited judicial exception is integrated into a practical application of that exception, i.e., that the claims “apply, rely on, or use the judicial exception in a manner that imposes a meaningful limit on the judicial exception, such that the claim is more than a drafting effort designed to monopolize the judicial exception.” Revised Guidance, 84 Fed. Reg. at 54. If the claims are directed to a judicial exception, then finally determining whether the claims provide an inventive concept because the additional elements recited in the claims provide significantly more than the recited judicial exception. STEP 2A Prong 1 At a high level, and for our preliminary analysis, we note that method claim 1 recites receiving patient data, determining reimbursement fact data, outputting interface data, receiving edit data, comparing fact data to rules data, outputting user interface prompts data, receiving edit data, and receiving indication data. Determining fact data and comparing data are rudimentary data analysis. A user interface is just data displayed on a screen where other data can be entered or displayed. Outputting interface and Appeal 2021-000786 Application 14/765,040 7 prompts data are displaying data making up the interface. Thus, claim 1 recites receiving, analyzing, and displaying data. None of the limitations recites technological implementation details for any of these steps, but instead recite only results desired by any and all possible means. From this we see that claim 1 does not recite the judicial exceptions of either natural phenomena or laws of nature. Under Supreme Court precedent, claims directed purely to an abstract idea are patent in-eligible. As set forth in the Revised Guidance, which extracts and synthesizes key concepts identified by the courts, abstract ideas include (1) mathematical concepts4, (2) certain methods of organizing human activity5, and (3) mental processes6. Among those certain methods of organizing human activity listed in the Revised Guidance are commercial or legal interactions. Like those concepts, claim 1 recites the concept of managing commercial billing. Specifically, claim 1 recites operations that would ordinarily take place in advising one to check billing detail data for errors using rules and eliciting corrections. The advice to check billing detail data for errors using rules and elicit corrections involves billing- 4 See, e.g., Gottschalk v. Benson, 409 U.S. 63, 71–72 (1972); Bilski v. Kappos, 561 U.S. 593, 611 (2010); Mackay Radio & Telegraph Co. v. Radio Corp. of Am., 306 U.S. 86, 94 (1939); SAP America, Inc. v. InvestPic, LLC, 898 F.3d 1161, 1163 (Fed. Cir. 2018). 5 See, e.g., Bilski, 561 U.S. at 628; Alice, 573 U.S. at 219-20; Ultramercial, Inc. v. Hulu, LLC, 772 F.3d 709, 715 (Fed Cir. 2014); Smart Sys. Innovations, LLC v. Chicago Transit Auth., 873 F.3d 1364, 1383 (Fed. Cir. 2017); In re Marco Guldenaar Holding B.V., 911 F.3d 1157, 1160–61 (Fed. Cir. 2018). 6 See, e.g., Benson, 409 U.S. at 67; CyberSource Corp. v. Retail Decisions, Inc., 654 F.3d 1366, 1371–72 (Fed. Cir. 2011); Intellectual Ventures I LLC v. Symantec Corp., 838 F.3d 1307, 1318 (Fed. Cir. 2016). Appeal 2021-000786 Application 14/765,040 8 related processing, which is an economic act, and conform facility reimbursement facts, which is an act ordinarily performed in the stream of commerce. For example, claim 1 recites “billing-related processing,” which is an activity that would take place whenever one is managing billing. Similarly, claim 1 recites “conform the determined facility reimbursement facts,” which is also characteristic of managing commercial billing. The Examiner determines the claims to be directed to reviewing patient encounter records, identifying an inconsistency, verifying and updating reimbursement facts for billing purposes, and finalizing the reimbursement facts, to avoid delayed payments for performed services and equipment usage. Final Act. 6. The preamble to claim 1 recites that it is a method of processing medical data. The steps in claim 1 result in managing commercial billing by checking billing detail data for errors using rules and eliciting corrections absent any technological mechanism other than a conventional computer for doing so. As to the specific limitations, limitations 1, 5, 8, and 9 recite receiving data. Limitations 2–4, 6, and 7 recite generic and conventional analyzing and displaying of patient billing data, which advise one to apply generic functions to get to these results. The limitations thus recite advice for checking billing detail data for errors using rules and eliciting corrections. To advocate checking billing detail data for errors using rules and eliciting corrections is conceptual advice for results desired and not technological operations. The Specification at paragraph 1 describes the invention as relating to medical billing for facility and professional services. Thus, all this intrinsic Appeal 2021-000786 Application 14/765,040 9 evidence shows that claim 1 recites managing commercial billing. This is consistent with the Examiner’s determination. This in turn is an example of commercial or legal interactions as a certain method of organizing human activity because managing commercial billing is managing commercial activity among people. The concept of managing commercial billing by checking billing detail data for errors using rules and eliciting corrections is one idea for communicating proper information. The steps recited in claim 1 are part of how this might conceptually be premised. Our reviewing court has found claims to be directed to abstract ideas when they recited similar subject matter. Salwan v. Iancu, 825 F. App'x 862, 865 (Fed. Cir. 2020), cert. denied sub nom. Salwan v. Hirshfeld, No. 20-7519, 2021 WL 1520998 (U.S. Apr. 19, 2021) (non-precedential) (directed to communication of patient health information). Alternately, this is an example of concepts performed in the human mind as mental processes because the steps of receiving, analyzing, and displaying data mimic human thought processes of observation, evaluation, judgment, and opinion, perhaps with paper and pencil, where the data interpretation is perceptible only in the human mind. See In re TLI Commc’ns LLC Patent Litig., 823 F.3d 607, 611 (Fed. Cir. 2016); FairWarning IP, LLC v. Iatric Sys., Inc., 839 F.3d 1089, 1093–94 (Fed. Cir. 2016). Claim 1, unlike the claims found non-abstract in prior cases, uses generic computer technology to perform data reception, analysis, and display and does not recite an improvement to a particular computer technology. See, e.g., McRO, Inc. v. Bandai Namco Games Am. Inc., 837 F.3d 1299, 1314–15 (Fed. Cir. 2016) (finding claims not abstract because they “focused Appeal 2021-000786 Application 14/765,040 10 on a specific asserted improvement in computer animation”). As such, claim 1 recites receiving, analyzing, and displaying data, and not a technological implementation or application of that idea. This is the Examiner’s alternate determination. Final Act. 5. From this we conclude that at least to this degree, claim 1 recites managing commercial billing by checking billing detail data for errors using rules and eliciting corrections, which is a commercial and legal interaction, one of certain methods of organizing human activity identified in the Revised Guidance, and, thus, an abstract idea. STEP 2A Prong 2 The next issue is whether claim 1 not only recites, but is more precisely directed to this concept itself or whether it is instead directed to some technological implementation or application of, or improvement to, this concept i.e. integrated into a practical application.7 At the same time, we tread carefully in construing this exclusionary principle lest it swallow all of patent law. At some level, “all inventions . . . embody, use, reflect, rest upon, or apply laws of nature, natural phenomena, or abstract ideas.” Thus, an invention is not rendered ineligible for patent simply because it involves an abstract concept. “[A]pplication[s]” of such concepts “ ‘to a new and useful end,’ ” we have said, remain eligible for patent protection. Accordingly, in applying the § 101 exception, we must distinguish between patents that claim the “ ‘buildin[g] block[s]’ ” of human ingenuity and those that integrate the building blocks into something more. Alice, 573 U.S. at 217 (citations omitted). 7 See, e.g., Alice, 573 U.S. at 223, discussing Diamond v. Diehr, 450 U.S. 175 (1981). Appeal 2021-000786 Application 14/765,040 11 Taking the claim elements separately, the operation performed by the computer at each step of the process is expressed purely in terms of results, devoid of implementation details. Steps 1, 5, 8, and 9 are pure data gathering steps. Limitations describing the nature of the data do not alter this. Steps 4 and 7 recite basic conventional data operations such as displaying, updating, and storing data. Steps 2, 3, and 6 recite generic computer processing expressed in terms of results desired by any and all possible means and so present no more than conceptual advice. All purported inventive aspects reside in how the data is interpreted and the results desired, and not in how the process physically enforces such a data interpretation or in how the processing technologically achieves those results. Viewed as a whole, Appellant’s claim 1 simply recites the concept of managing commercial billing by checking billing detail data for errors using rules and eliciting corrections as performed by a generic computer. This is no more than conceptual advice on the parameters for this concept and the generic computer processes necessary to process those parameters, and does not recite any particular implementation. Claim 1 does not, for example, purport to improve the functioning of the computer itself. Nor does it effect an improvement in any other technology or technical field. The Specification only spells out different generic equipment8 and parameters that might be applied using this concept and the particular steps such conventional processing would entail based on 8 The Specification describes using servers, laptop computers, desktop computers, notebook computers, tablet computers, hand-held computers, smart phones, and the like. Spec. para. 89. Appeal 2021-000786 Application 14/765,040 12 the concept of managing commercial billing by checking billing detail data for errors using rules and eliciting corrections under different scenarios. It does not describe any particular improvement in the manner a computer functions. Instead, claim 1 at issue amounts to nothing significantly more than an instruction to apply managing commercial billing by checking billing detail data for errors using rules and eliciting corrections using some unspecified, generic computer. Under our precedents, that is not enough to transform an abstract idea into a patent-eligible invention. See Alice, 573 U.S. at 225–26. None of the limitations reflects an improvement in the functioning of a computer, or an improvement to other technology or technical field, applies or uses a judicial exception to effect a particular treatment or prophylaxis for a disease or medical condition, implements a judicial exception with, or uses a judicial exception in conjunction with, a particular machine or manufacture that is integral to the claim, effects a transformation or reduction of a particular article to a different state or thing, or applies or uses the judicial exception in some other meaningful way beyond generally linking the use of the judicial exception to a particular technological environment, such that the claim as a whole is more than a drafting effort designed to monopolize the exception. We conclude that claim 1 is directed to achieving the result of managing commercial billing by advising one to check billing detail data for errors using rules and elicit corrections, as distinguished from a technological improvement for achieving or applying that result. This amounts to commercial or legal interactions, which fall within certain Appeal 2021-000786 Application 14/765,040 13 methods of organizing human activity that constitute abstract ideas. The claim does not integrate the judicial exception into a practical application. STEP 2B The next issue is whether claim 1 provides an inventive concept because the additional elements recited in the claim provide significantly more than the recited judicial exception. The introduction of a computer into the claims does not generally alter the analysis at Mayo step two. the mere recitation of a generic computer cannot transform a patent-ineligible abstract idea into a patent-eligible invention. Stating an abstract idea “while adding the words ‘apply it’” is not enough for patent eligibility. Nor is limiting the use of an abstract idea “‘to a particular technological environment.’” Stating an abstract idea while adding the words “apply it with a computer” simply combines those two steps, with the same deficient result. Thus, if a patent’s recitation of a computer amounts to a mere instruction to “implemen[t]” an abstract idea “on . . . a computer,” that addition cannot impart patent eligibility. This conclusion accords with the preemption concern that undergirds our § 101 jurisprudence. Given the ubiquity of computers, wholly generic computer implementation is not generally the sort of “additional featur[e]” that provides any “practical assurance that the process is more than a drafting effort designed to monopolize the [abstract idea] itself.” Alice, 573 U.S. at 223–24 (citations omitted). “[T]he relevant question is whether the claims here do more than simply instruct the practitioner to implement the abstract idea [] on a generic computer.” Alice, 573 U.S. at 225. They do not. Taking the claim elements separately, the function performed by the computer at each step of the process is purely conventional. Using a computer for receiving, analyzing, and displaying data amounts to electronic Appeal 2021-000786 Application 14/765,040 14 data query and retrieval—one of the most basic functions of a computer. All of these computer functions are generic, routine, conventional computer activities that are performed only for their conventional uses. See Elec. Power Grp. LLC v. Alstom S.A., 830 F.3d 1350, 1353 (Fed. Cir. 2016). See also In re Katz Interactive Call Processing Patent Litig., 639 F.3d 1303, 1316 (Fed. Cir. 2011) (“Absent a possible narrower construction of the terms ‘processing,’ ‘receiving,’ and ‘storing,’ . . . those functions can be achieved by any general purpose computer without special programming”). None of these activities is used in some unconventional manner nor does any produce some unexpected result. Appellant does not contend it invented any of these activities. In short, each step does no more than require a generic computer to perform generic computer functions. As to the data operated upon, “even if a process of collecting and analyzing information is ‘limited to particular content’ or a particular ‘source,’ that limitation does not make the collection and analysis other than abstract.” SAP America, Inc. v. InvestPic LLC, 898 F.3d 1161, 1168 (Fed. Cir. 2018). Considered as an ordered combination, the computer components of Appellant’s claim 1 add nothing that is not already present when the steps are considered separately. The sequence of data reception-analysis-display is equally generic and conventional. See Ultramercial, Inc. v. Hulu, LLC, 772 F.3d 709, 715 (Fed. Cir. 2014) (sequence of receiving, selecting, offering for exchange, display, allowing access, and receiving payment recited an abstraction), Inventor Holdings, LLC v. Bed Bath & Beyond, Inc., 876 F.3d 1372, 1378 (Fed. Cir. 2017) (sequence of data retrieval, analysis, modification, generation, display, and transmission), Two-Way Media Ltd. v. Comcast Cable Communications, LLC, 874 F.3d 1329, 1339 (Fed. Cir. Appeal 2021-000786 Application 14/765,040 15 2017) (sequence of processing, routing, controlling, and monitoring). The ordering of the steps is therefore ordinary and conventional. We conclude that claim 1 does not provide an inventive concept because the additional elements recited in the claim do not provide significantly more than the recited judicial exception. REMAINING CLAIMS Claim 1 is representative. The remaining method claims merely describe process parameters. We conclude that the method claims at issue are directed to a patent-ineligible concept itself, and not to the practical application of that concept. As to the structural claims, they are no different from the method claims in substance. The method claims recite the abstract idea implemented on a generic computer; the system claims recite a handful of generic computer components configured to implement the same idea. This Court has long “warn[ed] . . . against” interpreting § 101“in ways that make patent eligibility ‘depend simply on the draftsman’s art.’ ” Alice, 573 U.S. at 226. As a corollary, the claims are not directed to any particular machine. LEGAL CONCLUSION From these determinations we further determine that the claims do not recite an improvement to the functioning of the computer itself or to any other technology or technical field, a particular machine, a particular transformation, or other meaningful limitations. From this we conclude the claims are directed to the judicial exception of the abstract idea of certain methods of organizing human activity as exemplified by the commercial and legal interaction of managing commercial billing by advising one to check Appeal 2021-000786 Application 14/765,040 16 billing detail data for errors using rules and elicit corrections, without significantly more. APPELLANT’S ARGUMENTS As to Appellant’s Appeal Brief arguments, we adopt the Examiner’s determinations and analysis from Final Action 2–10 and Answer 3–10 and reach similar legal conclusions. As there is no Reply Brief, we note in particular the following. We are not persuaded by Appellant’s argument that because the claims recite using a computer, they cannot be directed to mental steps and because the claims recite medical document processing, they cannot be directed to organizing human behavior. Br. 4. As determined above, the claims are an example of commercial or legal interactions as a certain method of organizing human activity because managing commercial billing is managing commercial activity among people. The concept of managing commercial billing by checking billing detail data for errors using rules and eliciting corrections is one idea for communicating proper information. The steps recited in claim 1 are part of how this might conceptually be premised. Alternately, this is an example of concepts performed in the human mind as mental processes because the steps of receiving, analyzing, and displaying data mimic human thought processes of observation, evaluation, judgment, and opinion, perhaps with paper and pencil, where the data interpretation is perceptible only in the human mind. We are not persuaded by Appellant’s argument that the use of a computer to perform steps makes the claims a practical application. Br. 5. This is a tautological argument, viz, the use of a computer is a practical application because it uses a computer. Simply using a computer is Appeal 2021-000786 Application 14/765,040 17 insufficient to confer eligibility. “When claims like the Asserted Claims are directed to an abstract idea and merely require generic computer implementation, they do not move into section 101 eligibility territory.” Smart Sys. Innovations, LLC v. Chi. Transit Auth., 873 F.3d 1364, 1374 (Fed. Cir. 2017) (citations and internal quotations omitted). We are not persuaded by Appellant’s argument that the “claims . . . do more than collect and display information. They recite specific process steps to display particular prompts, and perform computer processing in response to the prompts, in helping a user resolve errors.” Br. 6. Displaying data is a generic conventional computer operation. Generic computer processing is just that, generic and conventional. We are not persuaded by Appellant’s argument as to dependent claims that displaying information in a single or multiple windows is not necessarily well-understood, routine, and conventional in a general sense for all situations. As explained in the Application as identified above, displaying reimbursement facts in a single window can be advantageous in identifying inaccuracies in some situations, and displaying the reimbursement facts in multiple windows can be advantageous in other situations. Br. 7. This is an argument for novelty and utility. Neither of these is sufficient to confer eligibility. “A claim for a new abstract idea is still an abstract idea. The search for a § 101 inventive concept is thus distinct from demonstrating § 102 novelty.” Synopsys, Inc. v. Mentor Graphics Corp., 839 F.3d 1138, 1151 (Fed. Cir. 2016). “The abstract idea itself cannot supply the inventive concept, ‘no matter how groundbreaking the advance.’” Trading Techs. Int’l, Inc. v. IBG LLC, 921 F.3d 1084, 1093 (Fed. Cir. 2019). Appeal 2021-000786 Application 14/765,040 18 CONCLUSIONS OF LAW The rejection of claims 1–3, 5, 6, 9–15, 17, 18, 21–24, 27, and 28 under 35 U.S.C. § 101 as directed to a judicial exception without significantly more is proper. CONCLUSION The rejection of claims 1–3, 5, 6, 9–15, 17, 18, 21–24, 27, and 28 is affirmed. In summary: Claims Rejected 35 U.S.C. § Reference(s)/Basis Affirmed Reversed 1–3, 5, 6, 9–15, 17, 18, 21–24, 27, 28 101 Eligibility 1–3, 5, 6, 9–15, 17, 18, 21–24, 27, 28 No time period for taking any subsequent action in connection with this appeal may be extended under 37 C.F.R. § 1.136(a). See 37 C.F.R. § 1.136(a)(1)(iv) (2011). AFFIRMED Copy with citationCopy as parenthetical citation