Tuesday, January 14, 2014

Supreme Court will not hear the Newegg/Soverain case

The Supreme Court has declined to hear the Newegg case; see U.S. Supreme Court refuses to hear Internet shopping patent case . Lee Cheng of Newegg was quoted: "The witch is dead, hurray. We are very, very pleased that the Supreme Court has recognized ... these patents should never have been granted in the first place. What we have showed in the Soverain case is the fighting back works."

Certain law professors had written a brief in November 2013 which included the text:

It is critically important that this Court grant certiorari in this case because the consequences of leaving the Federal Circuit’s error uncorrected are far-reaching.

PatentlyO had written about the Newegg case: This Federal Circuit decision is fairly big news as far as its legal results.



On appeal, the Federal Circuit took the almost unprecedented stance of reversing the non-obviousness decision. One reason for the rarity of a full-reversal (rather than vacatur) is largely explained by the substantial factual foundation that serves as the basis of an obviousness decision. In its opinion, the Federal Circuit couched its discussion in terms of questions of law – following the Supreme Court's lead from KSR International Co., v. Teleflex, Inc., 550 U.S. 398 (2007). In that case, the Supreme Court was able to make the legal conclusion that the asserted claims were obvious because the factual underpinnings of obviousness were seemingly not in material dispute.


I [Crouch] also see this case as asking for clarification of the KSR decision in terms of what elements of the "common sense" analysis should be considered determinations rightfully before a jury. I suspect that the brief strategically avoided that issue because the Federal Circuit is a much riper target for review than a recent unanimous and popular Supreme Court opinions.


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