Phoenix Licensing, LLC et al v. Consumer Cellular, Inc., 2-16-cv-00152 (TXED March 8, 2017, Order) (Payne, MJ)
Friday, March 10, 2017
974 Patent Claims Invalid Under 35 U.S.C. § 101 Based on Analysis of 10 Representative Claims
The court granted defendants' motion to dismiss because the asserted claims of plaintiff’s ten financial product patents encompassed unpatentable subject matter and rejected plaintiff's argument that it was improper to invalidate all 974 claims based on ten representative claims. "[Plaintiff] argues that Defendants’ mere mention of ten claims is not clear and convincing evidence that all of the claims in all of the asserted patents (totaling 974 claims) are directed to ineligible subject matter. . . . On balance, the Court finds Defendants’ use of ten representative claims that summarize claimed features from all asserted claims is permissible and reasonable under the circumstances. . . . Defendants’ selection of representative claims and their diligence in explaining how those representative claims address features covered by all asserted claims [is] not only reasonable, but necessary, considering how the Court would be unduly burdened if it had to entertain 'rigorous analysis of every single claim [out of potentially 974 total claims], and of each limitation individually and as an ordered combination' as [plaintiff] suggests."