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One Click Setback for Amazon

dbrutus writes "Amazon lost its bid to continue a preliminary injunction against BarnesandNoble.com. You can find a press release to give you all the details."

27 of 56 comments (clear)

  1. Time for a shareholder lawsuit against Amazon? by alienmole · · Score: 2
    The only reason this had to go to court was because Amazon itself didn't have the common sense to realize that the patent had no merit.

    The argument that Bezos and others gave for enforcing this patent was that of fiduciary responsibility: their responsibility to make full use of the "assets" at their disposal. The claim was made that they could be sued by shareholders if they failed to exploit this patent.

    So now, what's needed is a disincentive. Losing the actual patent in court (as I'm sure they will) is not enough. By pushing this patent against all common sense, they have wasted company money, squandered goodwill, diluted their management focus, and generally done a bad job of doing what they're supposed to do, sell stuff on the web.

    A shareholder lawsuit would be symbolic, and perhaps give the next dumb corporate management group something to think about next time such a worthless patent is being sought or enforced.

  2. It's just CYA by sharkey · · Score: 2

    Slashdot is just trying to make sure it's covered, in case the Patent Office is about to issue a 1-Post patent to a lawyer-happy corporation.

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  3. The broader implications if this is a 'Precedent' by CodeShark · · Score: 2
    First of all, in terms of web technology patents, this seems to be very, very good news.

    After I RTF-D (read the f---ing decision), the main thing I came away with is the sense that the bar has been raised for what a company can get away with in terms of preliminary injunctions related to the so-called "business method, internet, etc." patents. To quote the article:

    the CAFC ruled that preliminary injunctive relief is only appropriate in patent cases if the patentee can show a likelihood of infringement by the defendant, and that the infringement claim would likely withstand challenges to the validity and enforceability of the patent. "
    No one questioned whether or not Barnes and Noble, et. al were using "one-click" type website buying mechanisms that most likely violated Amazon's patent. But the circuit court found that unless the patent is solid enough to withstand a challenge, a preliminary injunction shouldn't be granted. Which I agree with, BTW.

    Correct me if I am wrong, but the practical meaning of this is that before Amazon or anybody decides to go for a preliminary injunction, they had now better be prepared to spend the legal dollars for a full-fledged trial to defend the validity of a patent right up front.

    My concern is this: what about the little inventor who gains a patent, and does not have the money to fight that kind of legal battle against, for example, a larger company? Could this decision be used by companies with deep legal pockets in a way that actually makes it alot more difficult for the small guys to succeed in developing, patenting, and bringing a product to the market? What do you think?

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  4. Re:A refreshing breth of rationality - I hope by Badgerman · · Score: 2

    I think you make a very good and oft forgotten point - despite this patent ridiculousness (and I consdier it ridiculous no matter why it was done), Amazon.com has done a lot of good things, done them well, and helped people take net business seriously.

    I've got to give them that.

    However, I the one-click patent actually hurt the company in the end - it made them look petty, it made their competitors angry, it perpetuated the copyright-as-a-weapon mentality, and it was a distraction from needed efforts.

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    "The Sage treasures Unity and measures all things by it" - Lao Tzu
  5. Business model of the day by graniteMonkey · · Score: 2

    Books ain't workin'

    Selling more stuff ain't workin'

    Frivolous lawsuits ain't workin'

    I know! Let's set up an honor box service and then skim 15%+ off of each transaction! Maybe the Doernbecher Children's fund or Jerry's Kids could use someone to help them accept internet donations!

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  6. It's about time. by nharmon · · Score: 2

    This CAFC decision is remarkable only because Amazon.com's patent was not discussed as a "business-method patent," an "internet patent," or a "software patent." The CAFC properly treated Amazon.com's patent as it would any other type of United States patent.

    I, for once, applaud the Court of Appeals on their very common sense application of the law. But honestly, we're not done yet. This appeal applied ONLY to the injunction. They still have yet to go to trial.

    Hopefully, the USPTO will get a clue and consider all patents equal. That will make certain that these types of foundationless patents cease to be issued.

  7. You know what they say. by webrunner · · Score: 2

    Every time a multinational corporation attempts to bully people with unfair patents and fails, an angel gets it's wings.
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    ADVENTURERS! - ANTIHERO FOR HIRE - CARDMASTER CONFLICT
  8. Re:About friggin time by AndrewNelson · · Score: 2

    Ok, this is obviously either a troll or an idiot, but it's early in the morning and I'm bored so I'll bite.

    You see, Amazon is a publically held corporation. Therefore, they are required to pursue the almighty buck. That's kind of the point. And I don't dislike Amazon, in fact, I think Amazon has done some good things - I like their new "honor system" that they're rolling out, both because it's kind of a slick marketing move, and it's a move away from ad based revenue for sites.

    However, this patent is so obviously bogus that it's kind of a smack in the face to legitimate IP. And while the debates over IP rage long and furious and pointless on /., the fact remains that it does exist, and the laws need to be able to separate the real McCoy from the schmucks trying to patent anything they might be able to sue people for.

    I've been trolled, I think. Now ask me if I care.

  9. Re:Refunds for Apple and the other by sydb · · Score: 2

    Well, the technology here is the code.

    Part of the argument about one-click is that it's trivial.

    So, who'd be daft enough to license trivial code?

    I don't think Apple or anyone else would have licensed "One-Click Technology"(TM).

    Anyone care to make me reel in disbelief?

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  10. Re:Refunds for Apple and the other by fatphil · · Score: 2

    What about the small ones who try to fight, and go bankrupt in the process?
    Personally I think that money extorted under false pretences should be recoverable. That would be the Darwinism I'm looking for - patent something stooopid, and get fucked upside the head a few years later when everyone who ever paid you comes demanding their money back. That puts the frighteners on those making the dumbass patents.

    FP.
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  11. Re:Refunds for Apple and the other by TheOutlawTorn · · Score: 2

    I say no. If Apple and the other firms didn't have the cojones to fight this bogus patent, then doom on them. Maybe this will lead to a kind of patent darwinism; the companies willing to fight bogus patents and not pay major bucks for licensing will end up saving money and become more profitable, while the executives of the companies who gave in will be ruthlessly grilled by their shareholders as to why they threw away large sums of money licensing a bogus patent.

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  12. Link to judgement by boy+case · · Score: 2

    Here's the full Judgement. It's from Feb 14th, but it seems to have all the phrases quoted in the articles so I assume some other news got in the way!

  13. Re:Good or bad? by GruffDavies · · Score: 2
    Yes, but the important thing here is that the patent was already *granted*. The fact that it was overturned is highlighting an ever increasing problem which is that the people granted patents are seemingly no longer adequately qualified to do so and are making a mockery of law.

    I'm staring at a patent which is a threat to my business which basically patents a network using IP with some particular use. It's clearly a pile of crap, but the patent office granted it. And as with other points of law, they're assumed to be right unless proven wrong. Who has the money to challenge this?

    Something has to change and soon. This victory is a great step forward.

  14. other clicks by nege · · Score: 2

    Has anyone gotten the "double click" or maybe the "middle click"? Personally I would like to get my patent on the "emulated third button click"

  15. Re:Good or bad? by vidarh · · Score: 2
    It's good. It basically says that if you want to patent a business method, or a process related to the internet or software, which all have been very controversial, you will have to specifically show through patent claims that your patent would provide significant advantages, and not be obvious.

    In a way they're just reiterating what US patent law says in the first place. But AFAIK this is the first time a court explicitly makes it clear that just moving something onto the internet doesn't make it "new", and doesn't make it patentable by default.

    Compare this with the flurry of patents lately that takes an existing business method or process and say "on the internet", and assume that because they're doing something on the net instead of in their offline business or on a proprietary data network, it is suddenly something new.

  16. Barnes and Noble can kiss my ass by sc_demandred · · Score: 2
    Look, I'm not trying to troll here, but who spend the 1990s body-slamming mom & pop bookstores out of existence? Oh, yeah, that's right, Barnes & Noble. Sympathizing with them over Amazon is just substituting one corporate good for another.

    I understand that to some degree, the above assertion is irrelevant. Amazon still made a dumb move with the patent, and should be rebuffed. Obviously the outcome of the one-click case could set a really bad precedent, but it's hard for me to get up any sympathy for B&N.

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  17. Re:Praise the law by OpenSourced · · Score: 2

    In particular, I like the part about patents being distinguished by technique and not application, so you don't necessarily get a new patent just for writing down some existing art and pencilling "...but on a web page" on the end.

    I fail to see what do you like about it. I was planning to patent a smart little idea I had. It consists of a piece of text or image, that when clicked upon, will load another web page in your browser, effectively redirecting you to that other page. I planned to name it superlink, or something of the kind, and make everybody (it might well be already in use although unpatented) pay through their noses. Now this pesky ruling is ruining my dreams. Um!

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  18. Lawyer: general contract principles say yes by hawk · · Score: 3
    I am a lawyer, but this is not legal advice. If you need legal advice, contact an attorney licensed in your jurisdiction.


    I've never looked at it in the intellectual property realm, but a general principle of contract law is that "mutual mistake" makes a contract voidable.


    Presumably, both parties to a license agreement believed the underlying IP to be valid, so a discovery taht it woas not would be a mutual mistake. However, it is also possbile that the contract terms provide otherwise, anc ould even recite that there is a disagreement between the parties as to valididty, and that the agreement is in settlement. In that case, the agreement would continue and be enforceable.


    hawk, esq.

  19. Good or bad? by KrunZ · · Score: 3

    This seems to be the essence: "...critics of business method patents can read this decision as signaling that the CAFC will require patent applicants to be very specific in the terminology which is used to define their iventions..."

    1. Re:Good or bad? by vidarh · · Score: 3
      Keep in mind that it isn't yet overturned. Unly the temporary injunction was overturned.

      Also, this court decision could help to reduce the problem, since it clarifies what patents should be considered valid.

      Hopefully there's a chance that the USPTO will actually react to that. And in any case it will be powerful help for companies trying to overturn overbroad or just plain silly patents.

      I certainly agree with you that the court decision is a great step forward... But it's only a start.

  20. I'm speechless... by comic-not · · Score: 3

    One billion mosquitoes stalking in the jungle. One gets swatted. Now there are one billion and fifty mosquitoes stalking in the jungle.

    Quite frankly, this is an exercise in futility as long as the basic machinery which keeps on rubber stamping genuine idiocies does not get reformed one way or another.

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  21. A refreshing breth of rationality - I hope by Badgerman · · Score: 4

    Well this isn't a total victory, IMHO, but is close to one. At least the legal and governmental entities involved are starting to actually think about the big picture.

    Personally, I'm hoping that this causes a review of other ridiculous patents, and raises public awareness of patent abuse. Certainly the one-click patent is so breathtakingly stupid that if the general public hears about it, it'll be extremely humiliating for Amazon (and those who liscenced the idea).

    To quote one of my co-workers: no one should be able to patent something that could be designed by a marketing department.

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    "The Sage treasures Unity and measures all things by it" - Lao Tzu
  22. Re:Refunds for Apple and the other by Black+Parrot · · Score: 4

    > Refunds for Apple and the other firms who licensed the one click?

    Yeah, Amazon is setting up a one-click refund site.

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  23. Refunds for Apple and the other by The+Mutant · · Score: 4
    firms who licensed the one click?

    And while we're at it, how many other firms all together paid Amazon for a license?

    Does anyone out there know the terms? It is an annual license fee or lifetime? And how much?

  24. Deja Vu by Masem · · Score: 5
    Boy, this sounds familar.

    (Note to editors, if there is a date in a press release from a submission, and if that date is more than a few days old, it's a good chance the story's been posted already, particularly in this case. But of course, this assumes that editors read the articles that are submitted).

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  25. Praise the law by Rogerborg · · Score: 5

    It's a sad state of affairs when we're surprised that a court comes down on the side of of common sense. That said, this is a nice preliminary finding, and we can but hope that the rest of the case proceeds in a similarly reasonable manner (whatever the result).

    In particular, I like the part about patents being distinguished by technique and not application, so you don't necessarily get a new patent just for writing down some existing art and pencilling "...but on a web page" on the end.

    Is the US legal system in danger of finally getting a clue, do we think? ;)

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