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IN THE HIGH COURT OF DELHI
Prathiba M. Singh, J.
Jitendra Kohli - Appellant
Versus
Controller of Patents - Respondent
C.A. (COMM.IPD-PAT) 82 of 2022 & I.As. 7643 of 2022 and 7644 of 2022
Decided On : 17-05-2022




The Assistant Controller erred by not considering amended claims in a patent application, necessitating reevaluation on grounds of novelty and patentability, distinguishing between business methods and technical solutions.

Headnote:(A) Patents Act, 1970 - Section 117A and Section 3(k) - Appeal against rejection of patent application for a process claimed as electronic tendering - Patent office held it a non-patentable business method due to lack of novelty - The invention described merely automates an existing bidding process without introducing any technical solution. (Paras 3-8)

Facts of the case:
The Appellant filed a patent application for an electronic tendering process which was rejected by the Assistant Controller citing non-patentability as it constituted a business method under Section 3(k). The claims were amended post-examination to a system and process claim.

Findings of Court:
The Court noted a discrepancy as the Assistant Controller did not consider the amended claims while rejecting the application and ordered a fresh hearing based on these claims.

Issues: Whether the amended claims should have been considered for patentability, and the definition of business methods under Section 3(k).

Ratio Decidendi: The Court determined that the Assistant Controller erred by not evaluating the amended claims and reaffirmed that the technical advancement in the present claims must be assessed afresh for novelty and patentability.

Result: The impugned order was set aside, and the matter was directed for reconsideration.

Table of Content
1. patent application challenges decision under patents act (Para 2 , 3)
2. details of amended patent claims presented (Para 4 , 5)
3. legal arguments regarding patentability and business methods (Para 6 , 7)
4. court's analysis of assistant controller's error (Para 8 , 9)
5. court's order for reconsideration of patent application (Para 10 , 11 , 12 , 13 , 14)

JUDGMENT

Prathiba M. Singh, J. (Oral)

1. This hearing has been done through hybrid mode.

2. The present appeal under section 117A Patents Act, 1970 (hereinafter "Act") has been filed challenging the impugned order dated 12th June, 2020 passed by the Assistant Controller of Patents & Designs. Vide the said order, the Appellant's application No.3290/Del/2005 has been rejected under Section 15 of the Act.

3. The background of the case is that the Appellant has filed a patent application titled `process for conducting electronic tendering on secured platform' vide provisional application dated 7th December, 2005. The complete specification was, thereafter, filed by the Appellant on 7th December, 2006. However, the First Examination Report (hereinafter "FER") was only issued by the Respondent 10 years later on 29th January, 2016 in which the grant of patent was objected on the ground of lack of novelty, and non-patentability under Sections 3(k), and 3(m) of the Act.

4. In response to the FER, the Appellant filed its reply on 28th January, 2017 and it was brought to the attention of the Assistant Controller that the claims have been amended to overcome the objections raised in the FER. Thereafter, hearing was conducted and the impugned order was passed on 12th June, 2020. The submission of the ld. counsel for the Appellant, Ms. Rajeshwari, is that during the process of examination, the claims which were originally filed by the Appellant, which were 10 in number, were amended. Claim no.1 as originally filed reads as under:

    "I Claim:

    1. A process of tendering system comprising; a secure and open means for the bidder and the buyer in a predetermined time locked event and including the steps of pre-authentication of the bidder/buyer, access to the resources, tendering of bid, monitoring of activities, evaluation of bid and award are integrated over a secure platform."

5. However, after the amendment, the amended claim No.1 reads as under:

    "I Claim:

    1. A system and process for conducting electronic tendering over a secure platform/portal server in a networked computer system including clients comprising secure and open means for the bidder and the buyer in a predetermined time locked event and including the following steps: (i) pre-authentication of the bidder/buyer by digital signatures, (ii) providing access to the resources of secure platform/portal server via networked computer system after pre-authentication, (iii) securely customizing the system online by each buyer organization for accommodating 'variations in tendering policy, procedures and rules' peculiar to that organization (iv) tendering of bids over secure platform/portal server, (v) integrally evaluating and awarding the bids, wherein tendering of bids includes

    - at the secure portal server, online configuring of tendering rules for that tender and digitally signing the said rules by the authorized officer of buyer;

    - at bidder end, electronically encrypting bids using bidder-generated pass-phrase(s) with cryptographic protocol, digitally signing electronically encrypted bids and submitting;

    - at secure portal server, receiving digitally signed and electronically encrypted bids and storing the received bids in a time locked manner so that the stored bids are accessible only after a specified date and time have elapsed, and all the duly authorized tender-opening officers are present online on the system and have recorded their presence with digital signatures,

    - starting an online tender opening event at the portal server that can be attended electronically and simultaneously by authorized officer

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