Ex Parte Borton - Page 8

           Appeal 2007-1443                                                                       
           Application 09/813,636                                                                 

       1   recognized only two instances in which a method may qualify as a section 101           
       2   process: when the process “either [1] was tied to a particular apparatus or            
       3   [2] operated to change materials to a ‘different state or thing.’” Id. at 588 n.9      
       4   (quoting Cochrane v. Deener, 94 U.S. 780, 787-788 (1877) (“A process is...an act,      
       5   or a series of acts, performed upon the subject matter to be transformed and           
       6   reduced to a different state or thing”)).  “[W]hen a claim containing [an abstract     
       7   idea] implements or applies that [idea] in a structure or process which, when          
       8   considered as a whole, is performing a function which the patent laws were             
       9   designed to protect (e.g., transforming or reducing an article to a different state or 
       10  thing), then the claim satisfies the requirements of § 101.”  Diamond v. Diehr, 450    
       11  U.S. 175, 192 (1981); see also Gottschalk v. Benson, 409 U.S. 63, 70 (1972)            
       12  (“Transformation and reduction of an article ‘to a different state or thing’ is the    
       13  clue to the patentability of a process claim that does not include particular          
       14  machines.”).                                                                           
       15     Our reviewing court also held that abstract subject matter is not patentable        
       16  unless it produces a useful, concrete and tangible result.  State Street Bank & Trust  
       17  Co. v. Signature Financial Group Inc., 149 F.3d 1368, 47 USPQ2d 1596 (Fed. Cir.        
       18  1998).                                                                                 
       19                                  ANALYSIS                                               
       20  Claims 1-12 and 19-22 rejected under 35 U.S.C. § 101 as directed to non-statutory      
       21                                 subject matter.                                         
       22     All of the claims are directed toward methods of modeling business activities       
       23  by which implications are presented in a report.  Such modeling is intangible and      
       24  abstract, being manipulation of the ideas of what might occur, and is not              
       25  instantiated in some physical way so as to be limited to a practical application of    

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