E-Commerce Patent Blackmail — You May Be Next!
Over the closing 8 years, the promise of the Internet has been
to degree the taking part in box between small companies and primary
With a web page, a small trade may now promote their merchandise
within the world marketplace position with out the overhead of extra
places of work. To take advantage of e-commerce, one best wanted
a web page to draw and promote to shoppers, and one wanted a
option to acquire bills from their newly obtained shoppers.
Since the Internet is actually only a community of computer systems, it
made absolute best sense to merge digital switch of budget into
the web page to simplify the buying procedure for the client.
To date, the one actual obstacle to doing trade on-line has
been the security of the patron’s monetary information. In March of
2002, this all modified.
Enter the U.S. Trademark and Patents Office. Over the previous few
years, the USTPO has proven excessive lack of awareness of latest Internet
applied sciences. The USPTO has authorized one of the vital maximum ludicrous
patents to be offered to them.
In 1997, AltaVista used to be granted a lot of patents on seek
engine applied sciences, even supposing seek engine era had
been in use as early as 1989.
In 1999, Amazon used to be given a patent for “one-click buying.”
In 2001, McAfee used to be granted patents for “Auto-Downloading of
Software / Software as a Service (SaaS)”, either one of which had
been in use via others since earlier than the introduction of the worldwide
In 2002, PanIP (Pangea Intellectual Properties L.L.C) of San
Diego, California entered the fray. They had been granted two
patents: US Patent No 5,576,951 and US Patent No. 6,289,319.
The first patent covers the “use of graphical and textual
data on a video display for the needs of constructing a
sale.” The 2d covers “accepting data to behavior
computerized monetary transactions by means of a phone line &
Most Patent professionals don’t take those “junk patents” critically
understanding complete smartly that they’re going to be overturned via the courts
and different processes set as much as police the device. However, John
D. Trudel, the Founder and Managing Director of The Trudel
Group, identified that “this nonsense raises the price of
trade, because it takes years and prices $1 million or so
to damage those junk patents.”
Herein lies the adaptation in PanIP’s technique. Big firms
who’ve deep wallet settle maximum “junk patents” in court docket.
Amazon took their preliminary problem to their number one competitor,
BarnesandNoble.com. B&N had the sources to combat this “junk
patent”, in order that they fought.
PanIP has as a substitute directed their assaults at small firms
who merely would not have the sources to combat! In reality, PanIP
has these days sued 50 small companies without end.
Timothy Beere, the landlord of DeBrand Fine Chocolates, needed to
make a selection when he discovered himself within the crosshairs of PanIP.
Tim stated, “I needed to decide. Pay them the $5000 they
had been requesting one thing I did not suppose that they had a proper to,
or Fight Back!” He went on to mention, “It used to be transparent that PanIP’s
technique counted at the perception that few, if any, of the
companies could be prepared combat again. I used to be!”
Tim proceeded to touch the opposite firms which have been
sued via PanIP to construct a consensus to get up and combat.
Many have joined in combination within the combat beginning the PanIP
Group Defense Fund, Inc.
In development his web page (http://www.youmaybenext.com), Tim
stated, “I knew if I may get this at the radar display, other people
could be as disgusted via it as I used to be.”