Legal Issues

Legal Issues

by Mike Masnick


Filed Under:
allowance, itunes, patents

Companies:
acacia, apple



Giving An Allowance Patented: Acacia Sues Apple

from the giving-allowance-isn't-prior-art? dept

Acacia is a well known patent hoarder, who buys up or licenses various unused patents and sets up subsidiaries who do nothing but sue companies in the market who actually make products. The latest Acacia lawsuit has been filed against Apple for the "allowance" feature in iTunes that allows someone to transfer a dollar amount of iTunes credit to someone else -- effectively allowing a parent with a credit card to issue some "allowance" for a kid to purchase iTunes. You would think that such a concept wouldn't be patentable, given the history of parents giving kids an allowance -- but apparently the folks working in the patent office never received allowances as kids. The patent itself seems rather straightforward, but it's difficult to understand why such a thing is patentable in the first place. In the Teleflex v. KSR ruling the Supreme Court noted that the patent office shouldn't just approve patents on combining obvious ideas. Mixing the internet with allowances would seem to fall into that camp, though this patent was issued prior to the Supreme Court ruling.

21 Comments | Leave a Comment..

 
 

Reader Comments

(Flattened / Threaded)

    Feb 13th, 2008 @ 9:50am
  • Paycheck

    by Denis

    I should check about patenting the electronic paycheck. Since well, it's an idea that is already done and seems the PO is just giving prior ideas the go ahead.

    So, anyone who gets a paycheck electronically online have to divvy up some cash to me.

    (reply to this comment) (link to this comment)

  • Feb 13th, 2008 @ 10:22am
  • by Anonymous Coward

    We need some checks and balances.. how about a supreme court for patents. They would be totally separate from the patent office and would only have the power to instantly revoke patents.

    (reply to this comment) (link to this comment)

    • Feb 13th, 2008 @ 10:49am
    • Re:

      We need some checks and balances.. how about a supreme court for patents. They would be totally separate from the patent office and would only have the power to instantly revoke patents.

      Well, we already have CAFC, which is effectively a court for patent disputes... and the opposite occurred. Because it's focused on patents, former patent attorneys were appointed to it, and there's nothing most patent attorneys like more than more patents...

      (reply to this comment) (link to this comment)

    • Feb 13th, 2008 @ 11:04am
    • Re:

      by Vincent Clement

      Or we can just eliminate patents and copyrights all together.

      (reply to this comment) (link to this comment)

    Feb 13th, 2008 @ 10:46am
  • Re #2

    by icon Killer_Tofu (profile)

    That would be awesome. =D

    (reply to this comment) (link to this comment)

  • Feb 13th, 2008 @ 10:49am
  • by Anonymous Coward

    It's time someone patent sthe process of patenting and suing for profit.

    (reply to this comment) (link to this comment)

  • Feb 13th, 2008 @ 10:55am
  • Patent court

    by Anonymous Coward

    Yeah, it's like tax court, which is effectively ran by the IRS. It needs, instead, to be set up in some fashion that is somewhat adversarial... like the executive/legislative/judicial branches of government.

    (reply to this comment) (link to this comment)

  • Feb 13th, 2008 @ 11:07am
  • by The Swiss Cheese Monster

    I love this line:

    "but apparently the folks working in the patent office never
    received allowances as kids."

    (reply to this comment) (link to this comment)

  • Feb 13th, 2008 @ 11:07am
  • prior art

    by Joe Smith

    Tuck money, gift cards and certificates, joint credit cards, prepaid credit cards, prepaid cell phones, prepaid calling cards ...

    A long long time ago ( one hundred years ), one of my forebears was a ne're do well whose parents sent money to a bank account far far away (six thousand miles) for him to go and live on when they decided to get rid of him. What difference between them depositing money to a foreign bank account to be drawn on by their son and me depositing money to an iTunes account to be drawn on by my son?

    What we really need is a program for sending patent trolls to jail.

    (reply to this comment) (link to this comment)

    • Feb 13th, 2008 @ 11:16am
    • Re: prior art

      by angry dude

      "What we really need is a program for sending patent trolls to jail."

      Right, little lemonade joe

      and the biggest patent troll extorting money from all over the place on a huge pile of (mostly) bullshit patents is what, joe ?

      IBM of course

      Why don't you propose a program of how to put all those crooked CEOs where they truly belong - behind bars
      Why it's only the little crooks you always worry about, Joe?

      (reply to this comment) (link to this comment)

    Feb 13th, 2008 @ 11:27am
  • My Patent

    I hold the patent for reading techdirt. If I catch you reading techdirt, I'll sue

    (reply to this comment) (link to this comment)

  • Feb 13th, 2008 @ 12:20pm
  • watch out!

    by BlowURmindBowel

    Watch it Joe, that dude looks pretty angry...

    (rotting hamsters in your bowel will do that to a person)

    (reply to this comment) (link to this comment)

  • Feb 13th, 2008 @ 6:28pm
  • by Anonymous Coward

    "Giving An Allowance Patented"

    What's next - milk 'n cookies ?

    (reply to this comment) (link to this comment)

  • Feb 13th, 2008 @ 7:09pm
  • Simple solution..

    by Emix

    There is quite a simple solution to all these ridiculous patent/copyright lawsuits; have the plaintiff liable for the defendants lawyer fees, court fees and any damages brought on by the plaintiffs lawsuit if they lose. I’m sure a lot of these ridiculous lawsuits would come to a screeching halt and make people think twice before filing a ridiculous claim. The only people that would follow up and go all the way with them, are those that are actually being cheated and have a legit product for the patent/copyright.

    (reply to this comment) (link to this comment)

    • Feb 13th, 2008 @ 8:02pm
    • Re: Simple solution..

      by angry dude

      moron,

      All of those patent lawsuits are filed by corporations, usually LLCs or, in case of Acacia, it's a relatively large publicly-traded corporation

      Corporations and LLCs shield executives from personal liabilities
      Otherwise you would see a LOT of those crooked CEOs of large corporations kicked out of their mansions or worse, in jail

      I say go and do it dude
      I will gladly sacrifice my only patent for the benefit of humanity - just to see some of those CEO bastards follow Dennis Kozlovski path

      And BTW what you are proposing will directly lead to domination of a few largest market players
      patent lawsuit is a total crapshoot in the US, even with the perfectly valid patent
      Only the largest players can afford to absorb possible losses

      (reply to this comment) (link to this comment)

    Feb 14th, 2008 @ 12:27pm
  • Apple's Patent Applicatin

    If the idea isn't patentable, then why does Apple have a patent application pending on it? Why does Apple tout this feature as patent pending? See:

    http://www.apple.com/pr/library/2003/nov/06itunes.html

    And there is a sepecial patent review court. It's called the Federal Circuit.

    (reply to this comment) (link to this comment)

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