On March 11, 2016, Law360 quoted attorneys immediately following a Federal Circuit panel unanimously affirming the invalidation of Essociate’s Internet affiliate marketing patent based upon the Supreme Court’s Alice decision. Among them was Hinch Newman’s Richard B. Newman.
In affirming the U.S. District Court for the Central District of California’s ruling that Essociate’s patent claims do nothing more than apply the abstract idea of receiving and tracking referrals from referral sources to the technological environment of an existing affiliate system, the panel of judges was not convinced that Essociate had demonstrated patentability of its purported improvements on the web merchant referral system, which itself was perceived as likely unpatentable.
Mr. Newman’s quote in the article expressed his reaction to the decision and that Clickbooth was pleased with the ruling. “This ruling is a victory for Internet marketing companies who should not have to face patents directed to fundamental economic practices.” Mr. Newman also expressed that there is no need for the Supreme Court to review the case, despite indications that Essociate intends to appeal the ruling.
The matter is Essociate, Inc. v. Clickbooth.com, LLC, in the United States Court of Appeals for the Federal Circuit (appeal from the United States District Court for the Central District of California in No. 8:13-cv-01886-JVSDFM, 8:14-cv-00679-JVS-DFM, Judge James V. Selna).
See the full Law360 article, “Fed. Circ. Affirms Axing Of Web Referral Patent Under Alice.”
A copy of the Judgment can be seen, here.
Richard B. Newman is an Internet marketing and advertising law attorney at Hinch Newman LLP.
Information conveyed in this article is provided for informational purposes only and does not constitute, nor should it be relied upon, as legal advice. No person should act or rely on any information in this article without seeking the advice of an attorney.