Federal Circuit Invalidates As Obvious Patent That Updates A Prior Art System With Modern Electronic Devices

Last Month at the Federal Circuit - January 2011

Judges: Rader, Lourie (author), Prost
[Appealed from W.D. Tex., Judge Sparks]

In Western Union Co. v. MoneyGram Payment Systems, Inc., Nos. 10-1080, -1210 (Fed. Cir. Dec. 7, 2010), the Federal Circuit reversed the jury's determination that the patents-in-suit were not invalid for obviousness. The Court also reversed the district court's denial of MoneyGram Payment Systems, Inc.'s ("MoneyGram") renewed motion for JMOL on obviousness, infringement, and invalidity.

The Western Union Company ("Western Union") owns four patents ("money transfer patents") directed to systems for performing formless money transfers using an electronic transaction fulfillment device ("ETFD"). The patents claim a system where a customer has telephone access to the customer service representative ("CSR") at a financial institution, who obtains the details of the money transfer from the customer and "stages" the transfer for the