- 98 -
Commissioner, 109 T.C. 133, 171-172 (1997); Phi Delta Theta
Fraternity v. Commissioner, 90 T.C. 1033, 1041 (1988), affd. 887
F.2d 1302 (6th Cir. 1989). Thus, while we will rely on the
experts' technical findings, we will generally discount their
conclusions with respect to the seven tests.
A. Strategic Banking System
Petitioner's expert, Dr. McDermott, contended that at the time
SBS, the integrated banking system, was developed, no existing
product could have accomplished the increase in data processing
capability Norwest required. He insisted that SBS was subject to
several uncertainties, particularly those relating to time and
space complexity, software engineering, and user-friendliness. He
concluded that "The painful complexities and ultimate failure of
SBS ought to be evidence that there was significant risk due to
61(...continued)
Dr. Davis' definitions were too academic and did not conform
to the language used by Congress. For example, he stated that
"discovery" is the result of an experimental or laboratory
effort, which he defined as "the creation of an isolated
situation intended to mimic the real world in some respects, but
tightly controlled in all other respects." We recognize that Dr.
Davis was attempting to explain his understanding of research and
experimentation as understood in the computer science community--
but in reaching judicial decisions the definitions used by
Congress are controlling.
Mr. Teixeira and the Tower Group, as well as Dr. Davis, also
assumed that the ultimate goal in research is information rather
than a product. This is inconsistent with the language of sec.
41, which clearly permits the ultimate goal to be a product.
Also, both of respondent's experts used definitions of
innovativeness that, although more familiar to us, are not
consistent with the language used by Congress in the conference
report accompanying the TRA 1986 on the innovativeness test.
Page: Previous 88 89 90 91 92 93 94 95 96 97 98 99 100 101 102 103 104 105 106 107 NextLast modified: May 25, 2011