Ex Parte IsaacsDownload PDFPatent Trials and Appeals BoardApr 24, 201912239748 - (D) (P.T.A.B. Apr. 24, 2019) Copy Citation UNITED STA TES p A TENT AND TRADEMARK OFFICE APPLICATION NO. FILING DATE 12/239,748 09/27/2008 146568 7590 ENTIT SOFTWARE LLC 500 Westover Drive #12603 Sanford, NC 27330 04/26/2019 FIRST NAMED INVENTOR Malcolm Isaacs 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 ATTORNEY DOCKET NO. CONFIRMATION NO. 82239371 4046 EXAMINER MILLER, ALAN S ART UNIT PAPER NUMBER 3683 NOTIFICATION DATE DELIVERY MODE 04/26/2019 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): software.ip.mail@microfocus.com PTOL-90A (Rev. 04/07) UNITED STATES PATENT AND TRADEMARK OFFICE BEFORE THE PATENT TRIAL AND APPEAL BOARD Ex parte MALCOLM ISAACS Appeal2017-009763 Application 12/239,748 Technology Center 3600 Before ANTON W. PETTING, JOSEPH A. FISCHETTI, and CYNTHIA L. MURPHY, Administrative Patent Judges. PETTING, Administrative Patent Judge. DECISION ON APPEAL STATEMENT OF THE CASE 1 Malcolm Isaacs (Appellant) seeks review under 35 U.S.C. § 134 of a final rejection of claims 1, 4---6, 9-11, 14--16 and 19, 20, and 22-29, the only claims pending in the application on appeal. We have jurisdiction over the appeal pursuant to 35 U.S.C. § 6(b). 1 Our decision will make reference to the Appellant's Appeal Brief ("Br.," filed January 17, 2017) and the Examiner's Answer ("Ans.," mailed April 21, 2017), and Final Action ("Final Act.," mailed August 18, 2016). Appeal2017-009763 Application 12/239,748 The Appellant invented a way of analysis of business operations. Specification 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 for optimizing business processes comprising: [ 1] retrieving, via an analyzer component, testing data on a business application from a database, wherein the testing data is generated before deployment of the business application; [2] retrieving, via the analyzer component, actual data on the business application from a deployed business process system, wherein the actual data is generated during deployment of the business application and represents resource usage and an application-specific parameter of the business app li cation; [3] analyzing, via the analyzer component, the actual data and the testing data to identify at least one business process from the actual data, wherein the analyzing comprises matching an identified business process from the actual data with a baseline business process defined during testing, and wherein matching the identified business process comprises generating a fingerprint of the baseline business process and determining a measure of deviation comprising a degree of correlation between the identified business process and the baseline business process, wherein the determined degree of correlation indicates a match, 2 Appeal2017-009763 Application 12/239,748 and wherein the fingerprint comprises reactions of a database, server, and client of the identified business process, the reactions being related to resource usage; [ 4] generating a report that includes differences between the identified business process and the business process defined during testing. Claims 1, 4--6, 9-11, 14--16 and 19, 20, and 22-29 stand rejected under 35 U.S.C. § 101 as directed to non-statutory subject matter. ISSUES The issues of eligible subject matter tum primarily on whether the claims recite more than abstract conceptual advice of what a computer is to provide without implementation details. ANALYSIS We begin by construing the term "fingerprint" in claim 1 limitation 3. The claim itself recites that "the fingerprint comprises reactions of a database, server, and client of the identified business process, the reactions being related to resource usage." Claim 1. The Specification describes a fingerprint by stating an important part of the testing process is the creation of repeatable tests that exercise specific functionality within an application. These tests can be chained together to exercise larger parts of the functionality, such as business processes .... The combination of reactions of all the components of the business process is unique to each test, and can be represented as a 'fingerprint' to a given stimulus. 3 Appeal2017-009763 Application 12/239,748 Specification para. 29. We construe a fingerprint as a data representation of a combination of reactions. The manner of representation is undefined and unlimited in scope. STEP 1i 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. STEP2 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 that the patent in practice amounts to significantly more than a patent upon the [ineligible concept] itself." Alice Corp., Pty. Ltd. v CLS Bank Intl, 573 U.S. 208, 217-18 (2014) (citations omitted) (citing Mayo Collaborative Services v. Prometheus Laboratories, Inc., 566 U.S. 66 (2012)). To perform this test, we must first 2 For continuity of analysis, we adopt the steps nomenclature from 2019 Revised Patent Subject Matter Eligibility Guidance, 84 FR 50 (Jan. 7, 2019). 4 Appeal2017-009763 Application 12/239,748 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 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." 2019 Guidance 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 Method claim 1 recites retrieving test and actual data, identifying a business process from the actual data by matching against baseline data, and generating a report. Thus, claim 1 recites retrieving, analyzing, and displaying data. None of the limitations recite 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 5 Appeal2017-009763 Application 12/239,748 include (1) mathematical concepts3, (2) certain methods of organizing human activity4, and (3) mental processes 5. Among those certain methods of organizing human activity listed in the Revised Guidance are managing personal behavior or relationships or interactions between people. Like those concepts claim 1 recites a way of measuring how well behavior management may be expected to succeed. Specifically, claim 1 recites operations that would ordinarily take place in creating business routines by identifying a process by its reactions and computing statistics as to how well the process meets expectations. The advice to create business routines by identifying a process (business routine) by its reactions and compute statistics as to how well the process meets expectations involves creating business routines, which is economic commerce act, and calibrating business routine effectiveness, which is a practice ordinarily performed in the stream of commerce. For example, claim 1 recites "retrieving ... actual data on the business application from a deployed business process system, 3 See, e.g., Gottschalkv. Benson, 409 U.S. 63, 71-72 (1972); Bilski v. Kappas, 561 U.S. 593, 611 (2010); Mackay Radio & Telegraph Co. v. Radio Corp. of Am., 306 U.S. 86, 94 (1939); SAP Am., Inc. v. InvestPic, LLC, 898 F.3d 1161, 1163 (Fed. Cir. 2018). 4 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). 5 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). 6 Appeal2017-009763 Application 12/239,748 wherein the actual data is generated during deployment of the business application and represents resource usage," which is an activity that would take place whenever one is recording data on how a business practice operates. Similarly, claim 1 recites "analyzing, via the analyzer component, the actual data and the testing data to identify at least one business process from the actual data," which is also characteristic of calibrating such a business practice. The Examiner determines the claims to be directed to "optimizing business processes by outputting reports, based on data that is analyzed using mathematical algorithms that a user can interpret and use to make changes .... [These are] mental processes of collecting information, and analyzing information by steps people go through in their minds." Final Act. 10. The preamble to claim 1 recites that it is a method for optimizing business processes. The steps in claim 1 result in generating a report that includes differences between an identified business process and the business process defined during testing absent any technological mechanism other than a conventional computer for doing so. As to the specific limitations, limitations 1, 2, and 4 recite insignificant retrieving, analyzing, and displaying of actual and test data, which advise one to apply generic functions to get to these results. Limitation 3 is the only step associated with performing what the claim produces and recites analyzing data by matching actual and baseline data and determining a measure of deviation comprising a degree of correlation between the identified business process and the baseline business process, which is 7 Appeal2017-009763 Application 12/239,748 simply identifying a data match and performing some generic statistical analysis. The limitations thus recite advice for identifying a process by its reactions and computing statistics as to how well the process meets expectations. To advocate identifying a process by its reactions and computing statistics as to how well the process meets expectations is conceptual advice for results desired and not technological operations. The Specification at paragraph 1 describes the invention as relating to analysis of business operations. Thus, all this intrinsic evidence shows that claim 1 is directed to reporting how well a business process matches its baseline, i.e. creating business routines. This is consistent with the Examiner's determination. This in tum is an example of managing personal behavior or relationships or interactions between people as a certain method of organizing human activity because a business routine (process) is a formal manner of managing organizational behavior. The concept of creating business routines by identifying a process by its reactions and computing statistics as to how well the process meets expectations is a way of measuring how well such behavior management may be expected to succeed. The steps recited in claim 1 are part of producing such measurement. Our reviewing court has found claims to be directed to abstract ideas when they recited similar subject matter. Digitech Image Technologies, LLC v. Electronics for Imaging, Inc., 758 F.3d 1344, 1351 (2014)(organizing data sets). 8 Appeal2017-009763 Application 12/239,748 Alternately, this is an example of concepts performed in the human mind as mental processes because the steps of retrieving, 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 TL! 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 retrieval, 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 on a specific asserted improvement in computer animation"). As such, claim 1 is directed to retrieving, analyzing, and displaying data, and not a technological implementation or application of that idea. From this we conclude that at least to this degree, claim 1 is directed to creating business routines by identifying a process by its reactions and computing statistics as to how well the process meets expectations. 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 9 Appeal2017-009763 Application 12/239,748 technological implementation or application of, or improvement to, this concept i.e. integrated into a practical application. 6 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). 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 "implement[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 genenc computer 6 See, e.g., Alice, 573 U.S. at 223, discussing Diamond v. Diehr, 450 U.S. 175 (1981). 10 Appeal2017-009763 Application 12/239,748 implementation is not generally the sort of "additional feature[ 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 operation performed by the computer at each step of the process is expressed purely in terms of results, devoid of implementation details. Steps 1 and 2 are pure data gathering steps. Limitations describing the nature of the data do not alter this. . Step 4 is insignificant post solution activity, such as storing, transmitting, or displaying the results. Step 3 recites 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 creating business routines by identifying a process by its reactions and computing statistics as to how well the process meets expectations 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 do not recite any particular implementation. 11 Appeal2017-009763 Application 12/239,748 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 17 pages of specification do not bulge with disclosure, but only spell out different generic equipment 7 and parameters that might be applied using this concept and the particular steps such conventional processing would entail based on the concept of creating business routines by identifying a process by its reactions and computing statistics as to how well the process meets expectations under different scenarios. They do 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 creating business routines by identifying a process by its reactions and computing statistics as to how well the process meets expectations 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 reflect 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 7 The Specification describes a general-purpose computer. Spec. para. 4 7. 12 Appeal2017-009763 Application 12/239,748 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 creating business routines by advising one to identifying a process by its reactions and computing statistics as to how well the process meets expectations as distinguished from a technological improvement for achieving or applying that result. This amounts to managing personal behavior or relationships or interactions between people, which fall within certain 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. Taking the claim elements separately, the function performed by the computer at each step of the process is purely conventional. Using a computer for retrieving, analyzing, and displaying data amounts to electronic 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 TL! Commc 'ns, 823 F.3d at 612. Also see In re Katz Interactive Call Processing Patent Litigation, 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 13 Appeal2017-009763 Application 12/239,748 by any general purpose computer without special programming"). None of these activities are used in some unconventional manner nor do any produce some unexpected result. Appellant does not contend they 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 retrieval-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. 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. 14 Appeal2017-009763 Application 12/239,748 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 m 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 creating business routines by advising one to identifying a process by its reactions and computing statistics as to how well the process meets expectations, without significantly more. 15 Appeal2017-009763 Application 12/239,748 APPELLANT'S ARGUMENTS As to Appellant's Appeal Brief arguments, we adopt the Examiner's determinations and analysis from Final Action 10-12 and Answer 2-17 and reach similar legal conclusions. In particular, we note the following. We are not persuaded by Appellant's argument that "[t]he claims are not directed to an abstract idea, as they are necessarily rooted in ( and inextricably tied to) computer technology in order to overcome a problem specifically arising in the realm of server performance." Br. 13. The claims recite a fairly generic feedback procedure applicable to a broad range of contexts. Rather than the claims being necessarily rooted in (and inextricably tied to) computer technology, they are merely applied in such a context. "The Supreme Court and this court have repeatedly made clear that merely limiting the field of use of the abstract idea to a particular existing technological environment does not render the claims any less abstract." Affinity Labs of Texas, LLC v. DIRECTV, LLC, 838 F.3d 1253, 1258 (Fed. Cir. 2016). We are not persuaded by Appellant's argument that the claims are analogous to those in Enfzsh, LLC v. Microsoft Corp., 822 F.3d 1327 (Fed. Cir. 2016). Br. 14. The claims differ from those found patent eligible in Enfzsh, where the claims were "specifically directed to a self-referential table for a computer database." 822 F.3d 1327, 1337 (Fed. Cir. 2016). The claims thus were "directed to a specific improvement to the way computers operate" rather than an abstract idea implemented on a computer. Id. at 1336. Here, by contrast, the claims are not directed to an improvement in the way computers operate. Though the claims 16 Appeal2017-009763 Application 12/239,748 purport to accelerate the process of reviewing a process, our rev1ewmg court has held that speed and accuracy increases stemming from the ordinary capabilities of a general purpose computer "do[] not materially alter the patent eligibility of the claimed subject matter." Bancorp Servs., L.L.C. v. Sun Life Assurance Co. of Can. (U.S.), 687 F.3d 1266, 1278 (Fed. Cir. 2012). Instead, the claims are more analogous to those in FairWarning, 839 F.3d 1089 (Fed. Cir. 2016), wherein claims reciting "a few possible rules to analyze audit log data" were found directed an abstract idea because they asked "the same questions (though perhaps phrased with different words) that humans in analogous situations detecting fraud have asked for decades." 839 F.3d at 1094, 1095. Appellant also attempts to analogize the claims to those involved in McRO, Inc. v. Bandai Namco Games America Inc., 837 F.3d 1299 (Fed. Cir. 2016). Br. 15. In McRO, the court held that, although the processes were previously performed by humans, "the traditional process and newly claimed method ... produced ... results in fundamentally different ways." Fair Warning v. Iatric Systems, 839 F.3d at 1094 (differentiating the claims at issue from those in McRO). In McRO, "it was the incorporation of the claimed rules not the use of the computer, that improved the existing technology process," because the prior process performed by humans "was driven by subjective determinations rather than specific, limited mathematical rules." 837 F.3d at 1314 (internal quotation marks, citation, and alterations omitted). In contrast, the claims of the instant application merely implement an old practice of using test data to test a new process in a new environment. Appellant has not argued that the claimed 17 Appeal2017-009763 Application 12/239,748 processes of using statistics measures deviation of results in a manner technologically different from those which humans used, albeit with less efficiency, before the invention was claimed. Merely using some fingerprint that is no more than some unidentified data representation of a combination of reactions to aid decision making is itself abstract. The claims in McRO were not directed to "a specific asserted improvement in computer animation, i.e., the automatic use of rules of a particular type." We explained that "the claimed improvement [was] allowing computers to produce 'accurate and realistic lip synchronization and facial expressions in animated characters' that previously could only be produced by human animators." The claimed rules in McRO transformed a traditionally subjective process performed by human artists into a mathematically automated process executed on computers. FairWarning, 839 F.3d 1089, 1094 (Fed. Cir, 2016)(differentiating the claims at issue from those in McRO). CONCLUSIONS OF LAW The rejection of claims 1, 4---6, 9-11, 14--16 and 19, 20, and 22-29 under 35 U.S.C. § 101 as directed to non-statutory subject matter is proper. DECISION The rejection of claims 1, 4---6, 9-11, 14--16, and 19, 20, and 22-29 is affirmed. 18 Appeal2017-009763 Application 12/239,748 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)(l)(iv) (2011). AFFIRMED 19 Copy with citationCopy as parenthetical citation