Blue Calypso, LLC v. Groupon, Inc.

815 F.3d 1331, 118 U.S.P.Q.2d 1035 (2016)

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Blue Calypso, LLC v. Groupon, Inc.

United States Court of Appeals for the Federal Circuit
815 F.3d 1331, 118 U.S.P.Q.2d 1035 (2016)

Facts

Blue Calypso, LLC (plaintiff) held patents involving a peer-to-peer advertising system for use on mobile devices. Blue Calypso brought an infringement action against Groupon, Inc. (defendant) in federal district court. Groupon requested a United States Patent and Trademark Office (PTO) review of the patents’ validity under § 18 of the Leahy-Smith America Invents Act. That provision established a temporary program under which the validity of patents were subject to post-grant review by the PTO’s Patent Trial and Appeal Board (the board) if the claimed inventions were deemed covered business methods—that is, methods involving financial activity. The board determined that the claimed inventions qualified as covered business methods lacking any technological invention, therefore subjecting the patents to post-grant review under § 18. The board then determined that the patents were invalid for claiming nonpatentable subject matter. Blue Calypso appealed to the United States Court of Appeals for the Federal Circuit, arguing that the patents were not covered-business-method patents.

Rule of Law

Issue

Holding and Reasoning (Chen, J.)

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