Ex Parte Hagmeier et al - Page 4

                 Appeal 2007-2169                                                                                        
                 Application 10/068,369                                                                                  

                 application is resident only on the smart card, not on a front end computer                             
                 integrated into a point of sale terminal.” Br. 7.                                                       
                        The issue is whether Appellants have shown that the Examiner erred                               
                 in holding the combination of Wong and Kawan would have rendered the                                    
                 subject matter of claim 1 obvious to one of ordinary skill in the art at the                            
                 time of the invention on the ground that there is no teaching of loyalty                                
                 information stored in a front-end computer at the point of sale.                                        

                        B. Findings of Fact                                                                              
                        The record supports the following findings of fact (FF) by a                                     
                 preponderance of the evidence.                                                                          
                 1. Claim 1 calls for “a point of sale terminal including a front-end                                    
                 computer” for storing loyalty rules and user data.                                                      
                 2. The Specification gives no special meaning to the term “front-end                                    
                 computer.” See Specification, p. 7, paras. [029]-[030], referring to Fig. 7.                            
                 The Specification describes the front-end computer as a device that captures                            
                 user and transaction data and holds a copy of the loyalty rules and terminal                            
                 data relating to the point-of-sale terming to which it belongs. Specification,                          
                 p. 7, para. [029].  According to the Specification, “the front-end computer 77                          
                 [see Fig. 7] is coupled to a point-of-sale terminal computer 78 for                                     
                 information exchange and control. . . .  The front-end computer 77 and                                  
                 point-of-sale terminal computer 78 can be integrated into the same physical                             
                 unit or they can be realized by way of two separate devices.”  Specification,                           
                 p. 7, para. [029]. Accordingly, “front-end” computer refers to a device or                              
                 devices located at the point of sale. The ordinary and customary meaning of                             


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