EU Directive on the Patentability of computer-implemented Inventions - another Proposal for a political Agreement.
It looks as if there is another proposal for a political agreement concerning the Directive of the European Parliament and of the Council on the patentability of computer-implemented inventions . This Document 8731/04 is, however, currently classified as "LIMITE". It is created by the Irish Presidency and directed to COREPER, perhaps for the session on April 28, 2004.
The Enlarged Board of Appeal (EBA) of the European Patent Office (EPO) has taken a Decision in the case G 0001/03 concerning the allowability of disclaimers:
"Headnote:
1. An amendment to a claim by the introduction of a disclaimer may not be refused under Article 123(2) EPC for the sole reason that neither the disclaimer nor the subject-matter excluded by it from the scope of the claim have a basis in the application as filed.
2. The following criteria are to be applied for assessing the allowability of a disclaimer which is not disclosed in the application as filed:
2.1 A disclaimer may be allowable in order to:
- restore novelty by delimiting a claim against state of the art under Article 54(3) and (4) EPC;
- restore novelty by delimiting a claim against an accidental anticipation under Article 54(2) EPC; an anticipation is accidental if it is so unrelated to and remote from the claimed invention that the person skilled in the art would never have taken it into consideration when making the invention; and
- disclaim subject-matter which, under Articles 52 to 57 EPC, is excluded from patentability for nontechnical reasons.
2.2 A disclaimer should not remove more than is necessary either to restore novelty or to disclaim subject-matter excluded from patentability for non-technical reasons.
2.3 A disclaimer which is or becomes relevant for the assessment of inventive step or sufficiency of disclosure adds subject-matter contrary to Article 123(2) EPC.
2.4 A claim containing a disclaimer must meet the requirements of clarity and conciseness of Article 84 EPC."
BERKELEY, CALIF. --- Executives of a group of top-tier technology companies plan to roll up their sleeves to help solve problems at the U.S. Patent Office.
FTC Commissioner Mozelle Thompson closed a high-level conference on reforming the patent process Friday with the announcement of a new technology industry working group that will cooperate on making the patent system more responsive to technical innovation. Cisco, Intel, eBay, Symantec, Chiron, Microsoft, and Genentech said they will work with regulators and legislators on patent reform.
[...]
The U.S. patent process is deeply broken, according to the IT companies. As the number of patent applications has exploded, the quality has gone down. The result is boom times for lawyers and a lifetime of litigation for corporate counsel.
Jay Monahan, associate general counsel for eBay, said patent problems for his company began about three-and-a-half years ago, when it began getting mostly frivolous letters asserting claims.
"It's driven eBay's costs up. I spend more of my time on patent issues than any other single issue," he said.
Companies that use complex technology - semiconductors, Internet software, biotechnology and nanotechnology among them - have a strong focus on patents.
"Our industry is characterized by a rapid product development lifecycle and incremental innovation," said Michael Schallop, Symantec senior corporate counsel. "Competitors develop similar features or even improve on them, so you have an incentive to patent as many of your key product features as you can."
The lack of time examiners spend on individual patents seems shocking. The 3,000 examiners handle 350,000 applications a year. They only spend an average of 17 hours on any particular application - spread out over as much as three years. Many panelists agreed that the quality of U.S. patents issued has gone down.
A major proposal issued in this context is the introduction of a post-grant Opposition procedure which is already common troughout Europe. So, although the anti-patent movement surely will attempt to benefit from these debates, that what those activists want surely is not what is demanded by the major U.S. IT industry. (Link thanks to Patently Obvious)
There is a fresh report on slashdot saying that the GPL has been enforced for the first time in court in Germany:
"Injunction to Enforce GPL
Posted by CmdrTaco on Thursday April 15, @01:49PM
from the who-knows-where-this-will-go dept.
Harald Welte writes 'The netfilter/iptables project has just been granted a preliminary injunction against a GPL infringing WLAN AP Vendor. The project is trying to fight against the increasing number of products sold in violation of the GPL. Following a number of out-of-court settlements, this is the first case where a company refused to sign a letter to cease and desist. So we took the logical next step and applied for a preliminary injunction. The court reviewed the case and confirmed that Sitecom is in fact in violation of the GPL license terms.' [...]"
A very interesting case, indeed. We shall wait and see if this decision will be upheld by the Munich district court during the main court proceedings.
"Q5: What is the most important purpose of the patent system today?
A5: Patents are instruments to secure fair market values for non-obvious technical problem solutions ("inventions"). This is also valid regarding such inventions for which the realisation requires the usage of a programmed computer or computer network [...]"
Dr. Lenz then argues:
"He then goes on to dismiss our side of the debate as a bunch of communists [...]"
This is definitively not true. In fact, in my FAQ I wrote:
"Patents are closely related to the concept of a "market" which in turn makes sense only within capitalistic economic structures. Therefore, lobbying against modern global capitalism can also be camouflaged as a battle for the rights of programmers against the patent system. So far it would perhaps not to be deemed frivolous to say that the contemporary anti-patent movement also has some aspects directing to a more general critics of global capitalism. [...]"
The concept of "communist" used by Dr. Lenz intrinsicly involves a specfic role of the state, see e.g. Vladimir Lenin:
"From the moment all members of society, or at least the vast majority, have learned to administer the state themselves, have taken this work into their own hands, have organized control over the insignificant capitalist minority, over the gentry who wish to preserve their capitalist habits and over the workers who have been thoroughly corrupted by capitalism — from this moment the need for government of any kind begins to disappear altogether. The more complete the democracy, the nearer the moment when it becomes unnecessary. The more democratic the "state" which consists of the armed workers, and which is "no longer a state in the proper sense of the word", the more rapidly every form of state begins to wither away.
Then the door will be thrown wide open for the transition from the first phase of communist society [Socialism] to its higher phase [Communism], and with it the complete withering away of the state."
However, as we all know, the state did not "wither away" in the dictatorial communist societies of the twentieth century. And, an essential difference between old-fashioned "communists" of the past century and some radicalised proponents of the "intellectual commons" criticising the globalised capitalism which are behind many aspects of the current patent debate might be that the latter do not center their specific utopia around a particular concept of a state. They want more or less to be left alone from any state interventionism. Hence, I do not believe that there will be any benefits for either side from mongering with concepts like "communist" or "communism" in the current debate on Intellectual Property.
In his posting, Dr. Lenz further discusses various other patent theories like the model of a contract of providing a full disclosure of an invention in turn for the grant of a temporary monopoly, or the usefulness of the disclosure of computer-implemented inventions. All these theories can have a potential to shed more or less light on certain aspects of the patenting process. I did not write that patents are exclusively to be seen as instruments to secure fair market values for inventions; I merely discussed that this aspect seems to be of particular importance at present. What I wanted to stress is that patents are (also) a means to a specific end of greatest importance in a globalised capitalistic economy, namely to make sure that the proprietor of the patent can obtain a fair price for the patented invention.
Please note that I wrote "invention", not "software". There are at least two different aspects to be discussed on separate threads: Software written down and stored on a suitable data carrier as a fabric of code which is open for monopolisation by means of the Copyright Law, on the one hand, and software running on a matching processor as an embodiment of an invention, the latter open for monopolisation by means of the Patent Law, on the other hand. There is no "double protection" of software by both of Copyright and Patent Law: The subject-matter of these legal instruments are utterly different, namely the particular fabric of code and the abstract invention behind said fabric of code.
So, what about the "fairness" of the price obtained by the proprietor of a patent? I only can state in an emotionless mood that the price depends, as ever, on the ratio of supply and demand.
Many companies dealing with embedded systems seem not to have any specific problems with patents on computer-implemented inventions; see e.g. the telecommunications industry. Most of the trouble with the patent system seems to be related to open Personal Computers (PCs) and certain server computers mainly for usage in the context of the Internet which can be programmed freely by an end user. It would be wise to concentrate on specific problems in this field instead of attempting to foster an anti-globalisation and anti-capitalistic world revolution by means of destructing the patent system. What should be considered is the introduction of a source code exemption for Free Open Source Software (FOSS) as well as the introduction of collective licensing schemes which are well-known from modern Copyright regimes. For example, if IT standards are covered by a required patent which is open to licensing on the basis of a RAND license, a patent collecting society could be set up in order to manage the roalty payment administration. Of course, RF licensing schemes have many advantages in the context of IT standards; however, I think that it would be naive to assume that RAND licenses can be avoided in total.
Status of EU-Directive on Measures and Procedures to ensure the Enforcement of Intellectual Property Rights.
The General Secretariat of the Council has invited COREPER to suggest to the Council, as an A item of one of its forthcoming meetings, to approve the amendments proposed by the European Parliament at first reading and adopt the proposed Directive as amended, the text of which, following scrutiny by the Legal/Linguistic experts, appears in document PE-CONS 3636/04 PI 33 CODEC 354 OC 224, with Austria and Italy abstaining; and to enter into its Minutes the statement contained in the Addendum to this Note:
Statement by the Commission: "The Commission considers that effective action against counterfeit and piracy requires criminal sanctions for serious infringements which are intentional and committed for commercial purposes. It also considers, in line with Article 20 of its original proposal that where necessary to achieve a Community objective, such measures may be adopted under the powers conferred for the purposes of achieving the aims set out in Article 95 of the Treaty establishing the European Community. Consequently, the Commission will examine the possibility to propose in due course further measures providing for criminal sanctions in this field."
Technology Transfer Block Exemption (TTBE): EU Commission adopts new safe Harbour for licensing of Patents, Know-how and Software Copyright.
On April 07, 2004, the European Commission has adopted new rules for applying competition policy to the licensing of patents, know-how and software copyright. The rules aim at reducing bureaucracy and increase legal certainty for companies as more licensing agreements will benefit from a regulatory safe harbour, saving many agreements from individual scrutiny. According to thge Commission, they will also effectively contribute to the dissemination of technology and know how within the European Union, in line with the objectives set at the Lisbon Council in 2001. The new policy is part of the fundamental reform of the enforcement rules for antitrust which will come into force on May the 1st.
Preparation of the Council's Common Position concerning Computer-Implemented Inventions.
Concerning the pending Proposal for a Directive of the European Parliament and of the Council on the patentability of computer-implemented inventions, there is a new Document 8253/04 plus an Addendum thereto on the preparation of the Council's common position. Both papers are currently classified "LIMITE".
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"[...] The recent agreement on the Directive on strengthening the enforcement of intellectual property rights is welcome. However, agreement on the Community Patent is now long overdue and the European Council calls for further efforts to complete work on this proposal. [...]"
Perhaps they are hoping that the new Spanish Government will be more compliant to agree to a compromise on the language issue.
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Dipl.-Phys. Axel H Horns is Patentanwalt (German Patent Attorney),
European Patent Attorney as well as European Trade Mark Attorney. In particular, he is Member of: