Bringing Home the Supply Chain

SAMUEL ESTREICHER, JONATHAN F. HARRIS

NYU law professors Samuel Estreicher and Jonathan F. Harris describe how the COVID-19 pandemic is forcing the United States to confront the problem of unchecked globalization. Estreicher and Harris argue that once the pandemic subsides, U.S. policymakers should, as a matter of national security, mandate that a minimum percentage of essential supplies be manufactured domestically.

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Unconstitutional Chaos: Abortion in the Time of COVID-19

JOANNA L. GROSSMAN, MARY ZIEGLER

SMU Dedman School of Law professor Joanna L. Grossman and Florida State University law professor Mary Ziegler discuss the abortion bans implemented in several states in response to the COVID-19 pandemic. Grossman and Ziegler explain why the bans are constitutional and comment on the connection between the legal challenges to those bans and the broader fight over abortion rights.

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Bozeman Financial LLC v. Federal Reserve Bank

Court: US Court of Appeals for the Federal Circuit

Docket: 19-1018

Opinion Date: April 10, 2020

Judge: Kimberly Ann Moore

Areas of Law: Government & Administrative Law, Intellectual Property, Patents

The Patent Trial and Appeal Board conducted covered business method (CBM) review and found all of the claims of Bozeman’s patents, directed to methods for authorizing and clearing financial transactions to detect and prevent fraud, ineligible under 35 U.S.C. 101.1. Bozeman challenged the Board’s authority to decide the petitions, arguing that the Federal Reserve Banks are not “persons” under the America Invents Act (AIA). The Federal Circuit affirmed, holding that the Banks are “persons” who may petition for post-issuance review under the AIA. While the Supreme Court has held that federal agencies are not “persons” able to seek post-issuance review of a patent under the AIA, the Banks are distinct from the government for purposes of the AIA. They are operating members of the nation’s Federal Reserve System, which is a federal agency, but they are not government-owned and are operationally distinct from the federal government. The claims at issue are directed to the abstract idea of “collecting and analyzing information for financial transaction fraud or error detection” and do not contain an inventive concept sufficient to “transform the nature of the claims into patent-eligible applications of an abstract idea.”

Ericsson Inc. v. TCL Communication Technology Holdings, Ltd.

Court: US Court of Appeals for the Federal Circuit

Docket: 18-2003

Opinion Date: April 14, 2020

Judge: Sharon Prost

Areas of Law: Intellectual Property, Patents

Ericsson sued TCL for infringement of its patent, titled “Security Access Manager in Middleware,” describing “a system and method for controlling access to a platform for a mobile terminal for a wireless telecommunications system.” Ericsson argued that TCL infringed claims 1 and 5 by making and selling smartphones that include the Android operating system, including “a security system that can grant apps access to a subset of services on the phone, with the end-user controlling the permissions granted to each app.” The jury found those claims infringed, awarded damages and found that TCL’s infringement was willful. The Federal Circuit reversed, finding that the patent claims ineligible subject matter under 35 U.S.C. 101. Claims 1 and 5 are directed to the abstract idea of controlling access to or limiting permission to, resources. Although written in technical jargon, a close analysis of the claims reveals that they require nothing more than this abstract idea. The claims are silent as to how access is controlled. They merely make generic functional recitations that requests are made and then granted. Neither claim recites any particular architecture; there is nothing sufficient to turn the claim into anything more than a generic computer for performing the abstract idea of controlling access to resources.

Golden v. United States

Court: US Court of Appeals for the Federal Circuit

Docket: 19-2134

Opinion Date: April 10, 2020

Judge: O'Malley

Areas of Law: Government & Administrative Law, Intellectual Property, Patents

Golden, pro se, filed this suit in 2019, under the Tucker Act, 28 U.S.C. 1491(a), seeking “reasonable and entire compensation for the unlicensed use and manufacture” of his “inventions described in and covered by” various patents. He had filed an unsuccessful patent infringement suit against the government in 2013; a fifth amended complaint had alleged “Fifth Amendment Takings.” In 2014, the government sought inter partes review (IPR) of the patents; Golden is challenging an unfavorable decision as “ultra vires.” The Claims Court dismissed Golden’s 2019 complaint as largely duplicative of the 2013 suit. The Federal Circuit affirmed. The Claims Court did not have jurisdiction over these section 1491 claims because patent infringement claims against the government are to be pursued exclusively under 28 U.S.C. 1498. A patent owner may not pursue an infringement action as a taking under the Fifth Amendment. With respect to claims arising from the IPR proceedings, the court noted that Golden voluntarily filed a non-contingent motion to amend the claims on which the IPR was instituted. His substitute claims were found unpatentable. The claims at issue were canceled as result of Golden’s own voluntary actions; cancellation of the claims in the government-initiated IPR cannot, therefore, be chargeable to the government under any legal theory.

O.F. Mossberg & Sons, Inc. v. Timney Triggers, LLC

Court: US Court of Appeals for the Federal Circuit

Docket: 19-1134

Opinion Date: April 13, 2020

Judge: Todd Michael Hughes

Areas of Law: Intellectual Property, Legal Ethics, Patents

After licensing negotiations with Timney failed, Mossberg sued Timney for patent infringement. Instead of answering the complaint, Timney filed for inter partes reexamination. The district court granted a stay. The Patent Office rejected certain claims. Mossberg canceled the rejected claims and added new claims. Before the inter partes reexamination proceeded further, the Patent Office vacated its institution decision because Timney had not identified the real party in interest in its petition. In 2014-2015, Timney filed three ex parte reexamination requests. The examiner ultimately rejected all pending claims over prior art. The Patent Trial and Appeal Board affirmed. Throughout these reexaminations, the district court maintained the stay despite several motions by Mossberg to lift it. Mossberg filed a notice of voluntary dismissal under Rule 41(a)(1)(A)(i). The district court entered a docket text order stating that the case was dismissed without prejudice under Rule 41(a)(1)(A)(i). Timney moved to declare the case exceptional so that it could pursue attorney’s fees, 35 U.S.C. 285. The Federal Circuit affirmed the denial of the motion. Timney was not a “prevailing party” because a Rule 41 dismissal without prejudice is not a decision on the merits and thus cannot be a judicial declaration altering the legal relationship between the parties.