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September 24, 2015

Patent office rules against Paid Inc.'s infringement claims

The Westborough-based online auction company Paid Inc. has hit a setback in its patent infringement lawsuit filed against e-commerce giant eBay in December 2013 with the U.S. Patent and Trademark Office has ruling it has failed to claim patent eligible subject matter.

Paid Inc. claimed in the lawsuit, filed in U.S. District Court in Massachusetts, that eBay had infringed on its patented online auction system featuring automated shipping calculator. The company allegedly demonstrated to eBay in 2001 in hopes that eBay would license the use of Paid Inc.’s technology, according to court documents. eBay later launched its own automated shipping calculator tool after declining to use Paid’s technology.

The U.S. PTO Patent Trial and Appeal Board’s Sept. 16 ruling appears to undermine the claim that eBay infringed upon Paid’s patents with its tool.

Paid Inc. issued a statement following the ruling, saying that is “currently reviewing the decision of the PTAB with counsel and preparing a response.” A company spokesman couldn’t be reached for further comment

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