[Patents] Increasing awareness of patent issues by Financial Service firms

[Justin.Wilson@alpheus.com (Justin Wilson)]

FYI 

According to an article in 'Securities Industry News' 
(www.securitiesindustry.com) on Monday May 14th, Marks & Clerk 
(UK Law firm) conducted a survey of 203 financial, commercial and technology 
firms. 

They comment that 'concerns are being raised that the adoption of patents 
could be harmful to the industry, preventing 
the transfer of best-practice procedures between organisations and hindering 
innovation'.The article discusses the 
increasing awareness of patents within these firms, highlighting in 
particular the aggressiveness of financial firms in 
this area. 

Reference is made to a survery earlier this year by the International 
Securities Market Association (Isma) warning that 
European financial services firms may already be in violation of patents on 
operational processes existing in the US. 
For example, they mention a patent granted in the US on administering a 
pension fund (the same patent was refused in 
Europe). Particular concern was expressed in the study regarding technology 
for stock exchanges. The Isma study said 
that patent protection could allow "monopolists to strangle competition, 
particularly given the costs involved in some 
jurisdictions of challenging a patent". 

Various patents held by financial services firms are then discussed. 

It notes that : "... strong opposition to patents, notably by the EuroLinux 
Alliance ... helped defer (EC) plans to 
extend patent protection." The article concludes by referring back to an 
earlier article from their Feb 5 edition: "In 
the financial services software area, Al-Noor Ramji, chief information 
officer at Dresdner Kleinwort Wasserstein, 
recently gave up intellectual property rights to software developed in-house 
and urged other institutions to do the 
same." 


Justin