Internal IT Innovation Versus Intellectual Property of Software

As in the case of Alice Corp. Pty. V. CLS Bank International, there is a convoluted mess when it comes to the degree in which innovative ideas using computerized media can qualify for patent protection under the legalese “subject matter eligibility.” Software vendors need the protection of their investments in innovation. And since many organizations are developing their own innovations in-house, they need to be able to clearly understand their own rights to protect themselves, but also the rights of any software vendor they work with to insure they do not tread on someone else’s rights.

Organizations do not tend to purposely use the proprietary software technology of others without the proper licensing. Unfortunately, if there aren’t any guidelines to help them clearly understand limits and boundaries then most organizations will just move ahead with use and choose to deal with any issues if they arise. Hopefully, the final rulings of the Supreme Court, regarding CLS Bank International v. Alice Corp. Pty, will provide more clarity around software patents and the requirements for patent-eligibility.


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