Ex parte MAKINEN - Page 4




          Appeal No. 95-0900                                                          
          Application 07/947,117                                                      


          conceded by the examiner on page 7 of the answer, Matuda clearly            
          discloses vertical transfer movements for the label applicator.             
          See Matuda, column 1, line 18, lines 26-27, column 3, lines 60-             
          62, column 4, lines 43-47, 51, line 62-column 5, line 34.                   
               The examiner states that Matuda, at column 4, lines 45-47,             
          teaches that the vertical strokes can be adjusted to match the              
          relative height of the object to be labeled.  The examiner                  
          concludes that it would have been obvious that, depending on the            
          relative height of the object to be labeled, the distance of the            
          vertical strokes can be zero (answer, page 7).  The examiner has            
          presented no reasoning or factual basis for this interpretation             
          of Matuda that the height of the object to be labeled can be zero           
          and thus the vertical stroke taught by Matuda can be eliminated.            
          See In re Warner, 379 F.2d 1011, 1017, 154 USPQ 173, 178 (CCPA              
          1967)(It is improper to resort to speculation or unfounded                  
          assumptions to supply the deficiencies in the factual basis for a           
          rejection).                                                                 
               The examiner relies on Kistner to show that for some label             
          application heights a vertical stroke is unnecessary (answer,               
          page 7).  However, Kistner does not show that vertical movement             
          is unnecessary and fails to disclose an inclined planar surface             
          for label pick up.  Kistner describes an adjustable hopper 11               

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