Bonum Certa Men Certa

Amid New Losses to Software Patents and to Patent Trolls, US Supreme Court Prepares to Deal Them Another Lethal Blow

The US Supreme Court (SCOTUS) is a patent rationalist, not maximalist

TC Heartland
Even the patent (meta-)industry anticipates the demise of trolls' modus operandi and attempts to sell "services" around that



Summary: With the TC Heartland decision (SCOTUS level) looming, patent trolls are already losing all their marbles -- including software patents -- and motions are being made to shift venue of litigation (outside of the Eastern District of Texas)

A HIGH-PROFILE CASE that was mentioned here before, on Friday to be exact, enabled us to see the world's largest patent troll losing a major test, which represented yet another big blow to software patents in the United States. CAFC has once again blown away several of them.



Days later we saw this report from Joe Mullin, who is very familiar with this patent troll. He wrote:

Intellectual Ventures boasts of having more than 30,000 patents—but you'd have to look for a long time to find one that can hold up under real scrutiny.

After staying quiescent for years, IV opened up a barrage of lawsuits to enforce its patents in 2010. But the companies that decided to stand up to IV rather than buckle under have been faring well, as judges have found the patents that IV has chosen to enforce in court less than impressive. It's a telling sign about the giant patent-holder's collection. Given the opportunity to pull just about any patent out of its huge collection, one would assume the company would choose the best of the lot. But much of it appears to be exactly the kind of easy handouts from the dot-com boom era that have been called out by critics of "patent trolls."

Earlier this week, Intellectual Ventures lost two more major patent cases at the nation's top patent court. It lost a case against Erie Indemnity Company and several other insurers, which had stood accused of infringing US Patent Nos. 6,510,434, 6,519,581, and 6,546,002. The same judges also tossed patents asserted against banking company Capital One. All were found invalid under the Supreme Court's Alice Corp. precedent, which barred many patents that describe basic business processes and add computer jargon.



Compare that to Wall Street media's coverage. How can one write about Intellectual Ventures without mentioning that it's a gigantic patent troll which makes nothing? Here is an important reminder of what this troll is: "Founded in 2000 by former Microsoft Corp. Chief Technology Officer Nathan Myrhvold, Intellectual Ventures has raised over $6 billion to purchase patents and owns around 70,000 intellectual property assets, according to its website. The company has 40,000 intellectual property assets in programs to grow revenue through licensing and related litigation."

"Not too shockingly, patents on software and even the most notorious patent trolls enjoy the support of some patent law firms; they have their 'fan' base out there."It's not a company, it's a troll (or a "firm" at best). It does nothing but harass real companies. Many of its patents are worthless but are used in bulk in order to lower defendants to their knees (raising the cost associated with defence and making settlement the cheaper option).

Not too shockingly, patents on software and even the most notorious patent trolls enjoy the support of some patent law firms; they have their 'fan' base out there. It's all about money to them; even when it's working directly against innovation.

Asserting that a patent is not valid (as above) is not an "attack" but a defense (by the defendant). Attackers are not the "survivors". But notice the language of liars -- those to whom invalidated patents (after they got used offensively) are "killed" and otherwise "survived".

To quote this new example: "Location Detector Patent Claims Survive an Alice/101 Attack by Uber: https://dlbjbjzgnk95t.cloudfront.net/0899000/899068/https-ecf-cand-uscourts-gov-doc1-035115212012.pdf"

"We are worried not just about software patents but also patent trolls, which typically but not always rely on software patents."The same person (an attorney who promotes software patents), linking to this post about Alice gaining momentum, basically chose selective emphasis. "In Thales Visionix Inc. v. United States," it says, "the Federal Circuit reversed a decision of the Court of Federal Claims that found claims drawn to an inertial tracking system patent-ineligible under Section 101."

This may sound like big news. It's about the F-35 Joint Strike Fighter. It also cites the Supreme Court’s Diamond v Diehr (classic case) and it's not the same case cited above. It was decided 3 days ago, on March 8th, and it was a lawsuit against a government and Elbit Systems, typically a military contractor. This decision is 11 pages long and it's not purely about software, hence the court found it unsuitable for invalidation by Section 101. Does that mean that software patents "survived"? Not in this case, as the case isn't inherently about software but about physics and sensors.

Moving on to a CBM review (business methods), Secure Axcess, LLC v PNC Bank N.A. got covered the other day and so was this case in Delaware, where the "federal jury found in 2014 that Sprint Communications Co. LP infringed three patents owned by Comcast IP Holdings I LLC. Sprint argued on appeal that the decision was based on incorrect claim constructions, but the Federal Circuit disagreed."

"The trolls' courts in EDTX might suffer an epic SCOTUS blow some time later this year."These cases do not constitute much of a "software" element, but nonetheless we take note of them, for several other reasons. We are worried not just about software patents but also patent trolls, which typically but not always rely on software patents. Professor Paul Janicke expects all those patent troll cases from Texas (the Eastern District’s docket, EDTX) to be scattered around to other districts across the country, based on this new article which he contributed to Patently-O. To quote: "When the Supreme Court reverses the Federal Circuit’s venue ruling in the TC Heartland case, a reversal widely expected, it will return patent venue to the time prior to 1988, when the residence of a corporation for patent venue purpose was limited to (i) a district within the state of incorporation, or (ii) a district where the corporation has a regular and established place of business and has allegedly committed an act of infringement. Presently pending in the Eastern District of Texas are 1,000+ patent cases."

The trolls' courts in EDTX might suffer an epic SCOTUS blow some time later this year. Such an outcome is widely expected, knowing the dispositions of the existing Justices. Even if belatedly, it's a much-needed ruling as there is this new article about present attempts to shift lawsuits out of the notorious docket. To quote: "A Federal Circuit decision faulting an Eastern District of Texas judge for refusing to transfer a patent case to California may provide guidance for defendants seeking to escape the patent hotspot, but attorneys say it will remain tough to win transfers out of the district."

"Well, share buybacks are almost always a negative sign and it will hardly be so shocking if RPX altogether implodes and gets liquidated some time after TC Heartland (if not before that)."That will likely change after TC Heartland -- a case that was covered here over the previous weekend. Trolls are already suffering a great deal and are increasingly collapsing, much to the patent microcosm's chagrin. Even RPX, which marketed itself as a shield against trolls (it's not really what it's advertising itself as), seems to have lost its purpose. RPX just keeps collapsing, based on sympathisers of trolls. To quote, "criticising its growth attempts, calling for Amster’s departure and querying what it alleged was excessive staff compensation. The two sides announced something of a truce last May with RPX agreeing to a $50 million share buyback programme and to the appointment of a Mangrove representative to the board. It’s not clear at what price Mangrove might be willing to consider an offer, although there’s no doubt that last year’s dispute continues to cast a shadow over RPX’s direction."

Well, share buybacks are almost always a negative sign and it will hardly be so shocking if RPX altogether implodes and gets liquidated some time after TC Heartland (if not before that). ⬆

Recent Techrights' Posts

Intercontinental Brigading - Part XXXXII - Running One's Mouth
British Police told me "making a false complaint to police is a crime" in relation to Lozza
The Register MS: Turnover Fell by Over a Million Pounds (About 20%) in One Year, Administrative Expenses Rose by Almost Half a Million Pounds, The Register MS Operates at a Loss
This is not a (commercially) healthy publisher
 
At The Register MS the Net Liabilities Doubled in One Year, Tangible Assets Down About 35% in One Year
signed off in 2026
Another 20 Years of Exposing Corruption
We'll focus on carrying on what we do
EPO Budget and Finance Committee (in Very Recent Meeting) Increases Bribes to People Who Vote on Campinos Reappointment ("Cooperation Activities")
Buying 'elections' to protect the cocaine-stained regime in Europe's second-largest institution
Links 07/11/2026: London's SLAPP Industry Now Targets Kirkenes (Northern Norway) at the Behest of Corrupt Thieves in Russia and Microsoft’s 'Buyout' Offer Crashes Microsoft Systems
Links for the day
Links 07/11/2026: "The Moon is Waning Crescent", Homeworlds, and "Can't Handle The AVIF!"
Links for the day
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Friday, November 06, 2026
IRC logs for Friday, November 06, 2026
IBM Compels Workers - Even at Red Hat - to Become "Retired-ish"
Who needs RAs (layoffs, which have been rebranded as "buyouts" like pink slips are generous "gifts") when workers can have their butts kicked every day and WARN Act reporting thresholds are never approached?
Links 06/11/2026: "XBox Is Closer Than Ever to Being Sold Off" and "BuzzFeed Stock in Free Fall"
Links for the day
Gemini Links 06/11/2026: Dao and Dreams
Links for the day
20 Years of Techrights
Celebrating 2 decades of abuses of power being watched (and looking back at key changes)
Linux (and Linus Torvalds) Sleepwalking Into a Binance-Level Catastrophe With Slop 'Code'
Someone should ask Linus Torvalds or his boss (Linux Foundation) if they deem slop, which nobody audits, trustworthy enough to add to every computer out there running the Linux kernel
Vitaly Orlov Weaponises Deep Pockets to Leverage High Court of Justice in London for Censorship and Punishment of Critics
reproduced in full for more exposure and to make censorship harder
Intercontinental Brigading - Part XXXXI - What I Told British Police About Lozza the Same Month Garrett Was Preparing His First Nastygram From 'Hired Guns' Brett Wilson LLP
Lozza and Garrett
Outsourcing at IBM
Cheapening of the workforce is hardly a new problem
Links 06/11/2026: Slop "Companies Race to Lock Down Oil Clients" and Salon Shuts Down
Links for the day
Our Third Decade
Our anniversary is tonight at midnight
Freedom Is Not Free of Charge, Freedom Can be Very Expensive
Being someone's "slave" is the "default" when no resistance exists
Intercontinental Brigading - Part XXXX - Swatting by Proxy
Using imbeciles who lie to cops and then dox cops (and already have arrest record and court documents wherein they admit being stoned in front of the cops)
Intel Craters at Taxpayers' Expense (Bailouts for Failing Companies Simple Don't Work)
GOP, which did this, has lost many seats
Mass Layoffs at IBM, Also Outsourcing to India
What IBM does to itself it is doing to other entities as well
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Thursday, November 05, 2026
IRC logs for Thursday, November 05, 2026
During Strikes and Industrial Actions Lots of EPO Staff Organised Yesterday and Will Do the Same Next Week
There really needs to be a genuine election, not a reappointment
Gemini Links 06/11/2026: Hadestown and "Where Has the Electronics Shop Gone?"
Links for the day
Links 05/11/2026: Rule of Law Vanishing in Turkey, Joshua Wong Still Martyred by Chinese Regime
Links for the day
Gemini Links 05/11/2026: Classical Music, Politics, and Seeed Studio
Links for the day
Like Almost Every Slopfarm, UbuntuBuzz Seems to Have Thrown in the Towel
Linuxsecurity and Linuxiac (to some extent Linuxjournal) are still going, but for how much longer?
EPO 'Midterm' Elections Should Oust the Dictator
Tentatively a failure to secure another (unprecedented) reappointment before Christmas
Secret IBM Layoffs and Increase in PIPs (Silent Layoffs)
The media is failing to do its job
Links 05/11/2026: "Voice is Underutilized" and How Data Centres Lost the Midterm Elections
Links for the day
Intercontinental Brigading - Part XXXIX - Crime Numbers Regarding GGG (Americans) and Why Those Still Matter
Time does not undo the actions
Intercontinental Brigading - Part XXXVIII - Telling the Police About the Defamatory Blog Where Posts Targeted My Wife and I (From Across the Atlantic Ocean)
Two years ago we spoke to cops a lot
The Register MS is Losing Money Again, Based on The Register MS
Selling out didn't pay off for very long
There Are No "Layoffs" Anymore, Layoffs Got Rebranded
We're entering bizarre times when layoffs are said to be "down" (according to the regime that suffered a 'bloodbath' in the election) because companies quit using the term "layoffs"
Gemini Links 05/11/2026: Rivers of London, Soul Cakes, STMicroelectronics, and Slop
Links for the day
The Register MS Has Just Published Fake Article With "AI" 84 Times in the Page Because It Was Paid to Do This!
Astounding number of mentions of "AI" (84 in total)
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Wednesday, November 04, 2026
IRC logs for Wednesday, November 04, 2026