#41unit 2intellectual property rights

Business methods and processes

Patenting ways of doing business online.

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Business method patent milestones

Key events in business method patent law.

  1. 1

    Pre-1998: 'Business method exception' excludes business methods from patentability

  2. 2

    1998: State Street Bank decision — business methods are patentable

  3. 3

    Late 1990s–2000s: USPTO grants thousands of business method patents (Amazon one-click)

  4. 4

    2014: Alice Corp. v. CLS Bank — tighter standard for abstract methods on computers

Before 1998, a 'business method exception' excluded business methods from patentability. The 1998 State Street Bank decision removed that exception, leading to thousands of business method patents like Amazon's one-click. In 2014, the Alice Corp. v. CLS Bank decision tightened the standard, making it harder to patent abstract business methods implemented on a computer.

Explanation: Before 1998, a 'business method exception' excluded business methods from patentability. The 1998 State Street Bank decision removed that exception, leading to thousands of business method patents like Amazon's one-click. In 2014, the Alice Corp. v. CLS Bank decision tightened the standard, making it harder to patent abstract business methods implemented on a computer.