HopefullyInLawSchool
16:12
Warning
Info
Warning
Info
LSDefine
Simple English definitions for legal terms
business-method patent
Read a random definition: mutual assent
A quick definition of business-method patent:
A business-method patent is a type of patent that describes a way of doing business. It gives the person who invented the method the right to stop others from using it for a certain amount of time. This type of patent was not allowed until 1998, but now it is possible to get one if the method is new, useful, and not obvious.A more thorough explanation:
A business-method patent is a type of patent that describes and claims a series of process steps that, as a whole, constitutes a method of doing business. It is a U.S. patent that was not recognized as being patentable until 1998. The Federal Circuit Court of Appeals held in State Street Bank & Trust Co. v. Signature Fin. Group, Inc. that business methods are subject to the same legal requirements for patentability as any other process or method.
Example: A company invents a new method of conducting online auctions that is faster and more efficient than existing methods. They apply for and receive a business-method patent that gives them the exclusive right to use this method for 20 years from the date of filing. This means that no one else can use this method without the company's permission.
This example illustrates how a business-method patent can protect a company's innovative method of conducting business and give them a competitive advantage in the marketplace.
business-method exception | Business Methods Patent Initiative