12:01 Tuesday

Patent of the Week - Reusable Postage Stamps

This issued today to IBM – reusable, any-denomination postage stamps via RFID.

 U.S. Patent No. 7,457.760 Programmable radio-frequency identification (RFID) postage stamps

In addition to the invention itself, which sounds like a great idea, there’s interesting prosecution notes:

• Accelerated exam, baby.  Filed in February 2008, in Art Unit 3628 (a business methods unit) – which typically has pendency times about 4-5 years, I think.
• First action allowance (examiner buys into IBM’s reasoning distinguishing the prior art).  So there shouldn’t be as big a Festo problem, in my opinion (this is a question that still bugs me…it’s not so straightforward)
• Only one claim!  Why slow things up unnecessarily?  IBM filed a continuation shortly after the notice of allowance to capture the rest (presumably – it’s not yet public).
• It’s a method claim, with the end-user as the actor.  Interesting choice, but it makes sense here.  (and clearly passes the Bilski “tied to a particular machine” test – the machine here is the stamp)
• What, no American could think of this?  I guess those Brits know their Post.

Summary:

This invention introduces a single re-usable stick-on section of electronic paper, in the form of a postage stamp, containing an RFID chip. All the sender is required to do is simply affix the stamp to a parcel and swipe a smart card over the stamp to encode it. Once encoded, the sender can send the parcel via any number of 24-hour 7 day a week post-boxes, or for larger items some other deposit or collection mechanism may be used. When the sender's smart card is swiped over the stamp, the chip will be programmed with the sender's information such as payment details linked to the smart card so that the accurate cost of sending the item can be calculated and charged during the sorting process. During the sorting process, the item is accurately weighed and measured by the postal office. An anti-tampering mechanism is also provided to allow the stamp to be reused without jeopardizing the prior sender's personal and financial information. Also, the stamp may be encoded using the Bluetooth protocol.

Claim 1:

1. A method of using digital electronic paper in the form of a reusable stamp comprising:

·         affixing a stamp without a predetermined postage to an article to be mailed, wherein the stamp comprises a top layer having a visual display, middle layer having an electronics layer, and a bottom layer having an adhesive layer;

·         swiping a smart card to encode the affixed stamp with a unique payment identifier issued by a payment authority and valid for a single payment, and other information such that the visual display automatically updates to show a representation of the encoded information;

·         depositing the article with the encoded affixed stamp at a postal authority deposit location such that after the article is received by a postal authority, a postage value is determined automatically during a sorting process;

·         verifying the visual display and the encoded information on the stamp for evidence of tampering; automatically requesting payment of the calculated postage from a payment authority using the unique payment identifier, and

·         altering the adhesive through electrostatic manipulation to allow the removal of the affixed stamp so that the stamp may be reused.

Lumpy transformations

Several good patents today. Here's the most ironic. The assignee is Freddie Mac -- good thing they didn't have to argue commercial success.

Looks like a simple application of a computer to a manual process, which shouldn't survive Bilski.

United States Patent 7,451,095 Systems and methods for income scoring Assignee: Freddie Mac 1. A computer implemented method for providing a score indicating whether that a stated income of a borrower is likely to be faulty, said method comprising the steps of: receiving by a computer borrower information representative of the borrower from a first source, the borrower information including the stated income of the borrower; based on the borrower information, income-verifying information from a second source; said computer providing the score by: initializing one or more variables of a model based on the stated income and the income-verifying information; calculating one or more coefficients for the one or more initialized variables; determining the score by multiplying the one or more initialized variables by the corresponding coefficient and summing the results, such that the score indicates whether the stated income of the borrower is likely to be faulty; and providing the determined score.

Here's another one from today. Be sure to look at step (j). I guess if you say it is a "physical" transformation, that suffices. I'd really like to see that 'lumpy' cash flow get smoothed out.

United States Patent 7,451,104 Method for funding an organization Assignee: LTI Agency, LLC 1. A method for funding an organization, said method comprising the steps of: (a) establishing a special purpose entity for the benefit of said organization; (b) identifying life insurance policies, said life insurance policies being on individuals in whom said organization and said special purpose entity have an insurable interest, said policies having premiums, death benefits and a beneficiary; (c) calculating the timing and amount of predicted cash flows from said death benefits, using a suitably programmed computer, along with a census of said individuals and mortality projections, said predicted cash flows from said premiums and said predicted cash flows from said death benefits having an internal rate of return (IRR): (d) utilizing an asset-backed securities transaction for the purpose of funding said organization by issuing debt securities, proceeds from the issuance of said debt securities to be used to initiate said life insurance policies by paying said premiums, said predicted cash flows from said death benefits from said life insurance policies to be used to repay said debt together with interest and servicing thereon, while a portion of said predicted cash flows is to be used to fund said organization, said asset-backed security transaction having a borrowing rate; (e) calculating the interaction of said predicted cash flows with said asset-backed securities transaction using said computer to determine funding of said organization; (f) issuing, by said special purpose entity, said debt securities in an asset-backed securities market in exchange for said proceeds; (g) using said proceeds from the issuance of said debt securities to initiate said life insurance policies by paying premiums on said life insurance policies, said life insurance policies being owned by said special purpose entity, said special purpose entity being sole beneficiary of said life insurance policies; (h) receiving, by said special purpose entity, actual cash flows from said death benefits of said policies as said policies mature, said actual cash flows being lumpy; (i) directing, by said special purpose entity, a repayment portion of said actual cash flows to repaying said debt together with interest and servicing thereon and a funding portion of said actual cash flows to said organization (j) arranging for a swap provider to physically transform said lumpy cash flows from said death benefits into smooth, guaranteed cash flows, resulting in a schedule of payments for funding of said organization regardless of said actual cash flows from said death benefits; and (k) paying said organization according to said schedule of Payments by the swap provider.