Ex parte NATTA et al. - Page 7




          Appeal No. 95-2683                                                          
          Application No. 07/883,912                                                  


          Further-more, the PTO is within its statutory right to reject               
          an application at any time before issuance.                                 
               Appellants also contend that the Board is bound by the                 
          decision in Anderson v. Natta, 480 F.2d 1392, 178 USPQ 458                  
          (CCPA 1973), which decision awarded priority to appellants.                 
          According to appellants, we are bound "from reaching a                      
          different conclusion on the patentability of the claimed                    
          subject matter to Natta et al." (page 11 of principal Brief).               
          However, res judicata is not applicable to the present appeal               
          since the court in Anderson v. Natta did not address the                    
          rejection under 35 U.S.C. § 112, first paragraph, presently                 
          before us.  Indeed, the court expressly refused to entertain                
          arguments pertinent to 35 U.S.C. § 112, first paragraph, since              
          such arguments were not at issue "at any point below, and we                
          will not consider it for the first time on appeal."  Anderson               
          v. Natta, 480 F.2d at 1399, 178 USPQ at 463.                                
               We are also not persuaded by appellants' argument that                 
          res judicata and collateral estoppel from the earlier                       
          interference proceeding precludes us from reviewing the                     
          examiner's rejections because a final judgment in an                        
          interference is conclusive of all matters that were                         

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