[1993] FCA 653
General information, not legal advice.
Federal Court of Australia
1993-12-24
Cooper J
Original judgment source is linked above.
CCOM PTY. LTD. and RONALD HOWARD THOMAS v. JIEJING PTY. LTD., ALLAN GARNHAM,
Patents - computer processing apparatus for assembling text in Chinese language characters - validity - whether invention a patentable invention - novelty in terms of prior art patents - whether best method known to patentees - false suggestion - priority date and fairbasing - whether infringement by sale of computer program when loaded in a standard computer performing the same function and achieving the same result as claimed apparatus - whether tort of contributory infringement of petty patent.
Copyright - compilation of Chinese characters and inputted stroke type categories in database and in written form - whether compilation copied by patentee - causal link between material in which copyright claimed and production of alleged infringing copy.
Patents Act (1990) (Cth): Sections 40(2)(a), 40(3), 43(1), 114(1), 117, 119
International Business Machines Corporation v. Smith, Commissioner of Patents [1991] FCA 625; (1992) AIPC 90-853
In Re Freeman 573 F 2d 1237 (1978)
In Re Abele 684 F 2d 902 (1982)
Badger Company Incorporated's Application (1970) RPC 36
Gevers' Application (1970) RPC 91
Burroughs Corporation (Perkins') Application (1974) RPC 147
International Business Machines Corporations' Application (1980) FSR 564
Genentech Inc.'s Patent (1989) RPC 147
Merrill Lynch's Application (1989) RPC 561
Gale's Application (1991) RPC 305
Wang Laboratories Inc.'s Application (1991) RPC 463
Computer Edge Pty. Ltd. v. Apple Computer Inc. [1986] HCA 19; (1986) 161 CLR 171
In the Matter of Virginia Carolina Chemical Corporation's Application (1958) RPC 35
National Research Development Corporation v. Commissioner of Patents [1959] HCA 67; (1959) 102 CLR 252
Diamond, Commissioner of Patents and Trademarks v. Diehr and Luton [1981] USSC 40; 450 US 175 (1981)
Rantzen's Application (1947) 64 RPC 63
Re Lenard's Application (1954) 71 RPC 190
Re The Computer Generation of Chinese Characters (1993) FSR 315
Coopers Animal Health Australia Ltd. v. Western Stock Distributors [1987] FCA 355; (1986) 67 ALR 390 (1987) 15 FCR 382 (FC)
F. Hoffman-La Roche and Co. A.G. v. Commissioner of Patents [1971] HCA 3; (1971) 123 CLR 529
Rehm v. Webster Security (1988) 81 ALR 79
Nicaro Holdings Pty. Ltd. v. Martin Engineering Co. [1990] FCA 40; (1990) 91 ALR 513
Prestige Group (Australia) Pty. Ltd. v. Dart Industries Inc. (1990) AIPC 90-715
Catnic Components Limited v. Hill and Smith Limited (1982) RPC 183
Codex Corporation v. Racal-Milgo Limited (1983) RPC 369
Willemijn Houdstermaatschappij BV v. Madge Networks Ltd. (1992) RPC 386
Populin v. H.B. Nominees Pty. Ltd. [1982] FCA 45; (1982) 59 FLR 37
Rhone-Poulenc v. Agrochimie S.A. v. UIM Chemical Services Pty. Ltd. (1986) 12 FCR 477
Interlego A.G. v. Toltoys Pty. Limited [1973] HCA 1; (1973) 130 CLR 461
Decor Corporation Pty. Limited v. Dart Industries Inc. (1989) AIPC 90-549
N.V. Philips Gloeilampenfabrieken and Philips Lighting Pty. Limited v. Mirabella International Pty. Limited (Unreported, Full Court, 26.8.93)
Willemijn Houdstermaatschappij B.V. v. Madge Networks (1992) RPC 386 Walker v. Alemite Corp. [1933] HCA 39; (1933) 49 CLR 643
Windsurfing International Inc. v. Petit (1983) 3 IPR 449
Best Australia Limited v. Aquagas Marketing Pty. Ltd. (1988) 12 IPR 143
Morton-Norwich Products Inc. v. Intercen Ltd. (1978) RPC 501
Exploitatiemaatschapij Lavender B.V. v. Whitten Industrial Diamonds Ltd. (1979) FSR 59
Dow Chemical A.G. v. Spence Bryson and Co. Ltd. (1982) FSR 397
Kalman v. P.C.L. Packaging (U.K.) Limited (1982) FSR 406
Firth Industries Ltd. v. Polyglas Engineering Pty. Ltd. [1975] HCA 25; (1975) 132 CLR 489
Ryan v. Lum (1989) 14 IPR 513
CBS Songs Ltd. v. Amstrad Consumer Electronics PLC [1988] UKHL 15; (1988) A.C. 1013
S.W. Hart and Co. Pty. Ltd. v. Edwards Hot Water Systems [1985] HCA 59; (1985) 159 CLR 466
Ladbroke (Football) Ltd. v. William Hill (Football) Limited (1964) 1 WLR 274
Francis Day and Hunter Ltd. v. Bron (1963) Ch 587
BRISBANE, 10, 11, 13, 17, 18, 19, 20, 21, 24, 25, 26, 27 and 28 August 1992 and 2, 3, 4 and 7 September 1992
Mr. D. Fraser
Solicitors for for Applicant: Stokes and Panettiere
Counsel for the Respondents: Mrs. D. A. Mullins
Solicitors for the Respondents: Bennett and Philp
1. That the application of the applicants for relief for infringement of Australian Petty Patent No. 616154 be dismissed and judgment be entered for the first, second, fourth and fifth respondents.
2. That the issue of costs of the applicants' application including reserved costs, if any, be adjourned to a date to be fixed for further argument.
On the cross-claim of the first, second, fourth and fifth respondents against the applicants for revocation of Australian Petty Patent No. 616154:-
1. Declare that Australian Petty Patent No. 616154 is and always has been invalid.
2. That Australian Petty Patent No. 616154 be wholly revoked on the ground that the invention is not a patentable invention.
3. That the Registrar or other appropriate officer of the court serve a copy of this order on the Commissioner of Patents.
4. That the issue of costs of the first, second, fourth and fifth respondents' cross-claim for revocation including reserved costs, if any, be adjourned to a date to be fixed for further argument.
On the fifth respondent's cross-claim for infringement of copyright:-
1. That the cross-claim for infringement of copyright be dismissed and judgment be entered for the applicants and the third respondent.
2. That the issue of costs of the fifth respondent's cross-claim for infringement of copyright including reserved costs, if any, be adjourned to a date to be fixed for further argument.
And The Court Further Orders that all other issues relating to costs arising in the within proceeding, including reserved costs not otherwise dealt with in the above orders be adjourned to a date to be fixed for further argument.
Note: Settlement and entry of orders is dealt with in Order 36 of the Federal Court Rules.
COOPER J This is an application for relief for alleged infringement of Australian Petty Patent number 616154 for an invention entitled "Symbol Definition Apparatus". The petty patent was sealed by the Commissioner of Patents on 26 August, 1991. The claimed invention is for computer processing apparatus for assembling text in Chinese language characters. The claim of the Petty Patent involves seven integers, namely:-
"1 Computer processing apparatus for assembling text in Chinese
characters said computer processing apparatus including
2 a memory including
2.1 character stroke data storage means which stores data
relevant to
2.1.1 Chinese character stroke-type categories
2.1.2 Chinese characters and
2.1.3 the order in which character strokes of respective
Chinese characters are written, and
2.2 complementary graphic data storage means from which data
relevant to the graphic representations of each said Chinese
character may be retrieved
3 display means for displaying Chinese language characters
retrieved from said graphic data storage means
4 a keyboard having
4.1 a plurality of input entry keys including character
stroke-type entry keys designated by indicating means indicative of
respective ones of said Chinese character stroke-type
categories, and
4.2 selection means for selecting one of a plurality of
characters displayed by said display means
5 and wherein said character stroke data storage means are
searched by entering through said input entry keys search
criteria including
5.1 the entered Chinese character stroke type categories and
5.2 the order in which the character stroke-type categories are
entered through said input entry keys
6 whereby upon entry of said search criteria the graphic
representation of the or each Chinese character which meet said
search criteria are
6.1 retrieved from the corresponding graphic data storage means
and
6.2 displayed by said display means, and
7 said selection means being operable to select one of said
retrieved graphic representations of Chinese characters whereby
text in Chinese language characters may be assembled".
2. The computer equipment which forms part of the claim is conventional computer equipment operating in a conventional way. Written Chinese characters are composed of strokes written in a particular order. Each character is comprised of an official number of character strokes. In traditional Chinese calligraphy a character stroke is formed by brush as a single unbroken line between the point were the brush touches the paper and the point where the brush is lifted from the paper. There are many thousands of Chinese characters. The characters are symbolic and may alone or in combination represent a word. Characters may themselves form part of other characters and when used in this way are called radicals.
3. It is possible to characterise strokes into certain stroke type categories either graphically, in the way the stroke appears, or functionally in the way the stroke is drawn.
4. The problem which the patent in suit addresses as set forth in the specification is described as follows:-
"Because of the necessity to define such a large number of
characters for writing in Chinese, the adoption of mechanised
writing of Chinese has been slow. For instance, a typical
Chinese typesetting machine has one thousand two hundred keys,
compared to approximately one hundred for an alphanumeric
typesetter, and consequently is much more costly and difficult
to use. It is also not possible to type-set many of the rarer
characters.
A further problem confronting users and students of the Chinese
language is the difficulty of finding the exact shape and
meaning of a character using a dictionary. The primary access
mode for a Chinese dictionary is by reference to the official
number of character strokes for that character. Thus as a
prerequisite the user must know the character stroke count for
the particular character. A user must then search the section
of the dictionary devoted to characters with that official
character stroke count number, using the logical radical
contained within the character to further sub-divide the search
category.
Word processing using Chinese characters presents a similar
problem, as hitherto it has been very inconvenient to define
the desired characters for input to the word processor using a
keyboard. Some Chinese word processors utilise digitizing pads
for their inputs, and the operators must draw the characters by
compiling character strokes one at a time on the pad.
Digitizing pads are expensive and require considerable digital
processing for relating the scanned image on the digitizing pad
to the character which was intended.
Many currently available Chinese word processing computers,
contrary to the manner of writing, require an operator to
mentally break a character up into a phoneme or series of
phonemes selected from, say, thirty-seven phonemes which are
graphically represented on a keyboard overlay. The phoneme
series is entered through the keyboard, and software displays
on the display screen all characters to which that series of
phonemes may apply. Unfortunately the operator first has to
learn a new way of thinking about the construction of the
Chinese language and, because a great many characters do sound
the same, the operator must often select the desired character
from a large number of characters displayed. This limits the
number of characters which can be used. In addition, while the
meaning of Chinese characters is uniform through the
Chinese-speaking world, the pronunciation may vary because of regional
dialects, rendering the system unreliable for users other than
speakers of dialects such as Mandarin".
"The invention lies in the idea of taking the direction of the
character strokes for the purpose of characterising them and
applying that to an apparatus starting in particular from a
keyboard, in such a way that the keyboard, when operated by an
intuitive, literate Chinese person, will then eventually enable
the selection through the computer of the appropriate Chinese
character".
5. As is clear from the integers in the claim defining the invention, what is required is that the computer hardware be programmed with a database of Chinese characters, data relevant to stroke type categories, and the order in which the character strokes are written, a retrieval program and a graphic representation of each Chinese character program. The computer must also contain a search program operated by designated keys whereby the character stroke data is searched by reference to character stroke type categories and the order in which the character-stroke type categories are entered through the input keys. The characters are then in accordance with the search criteria retrieved from the graphic data storage and displayed on the display unit. Text is assembled by selecting one of the retrieved graphic representations and retaining it before commencing the search procedure again.
6. The applicants allege that the first, second, fourth and fifth respondents ("the respondents") have infringed the petty patent by supplying, including by sale to third persons, products entitled "Jiejing Documents Processor" and "Jiejing Character Word Processor" (the "Jiejing products").
7. The Jiejing products constitute computer programs with written instructions for use of the programs in combination with IBM or IBM compatible personal computers. Because the programs have only one reasonable use, namely use in combination with computer hardware to provide computer processing apparatus for assembling text in Chinese language characters, it is alleged that that use does or would infringe the petty patent. Further it is alleged that the use of the Jiejing products in accordance with the instructions is or would be a use of the Jiejing product as computer processing apparatus for assembling text in Chinese language characters which it is alleged does or would infringe the petty patent. Alternatively, it is alleged that the offer of supply of the Jiejing products and instructing persons in the use of the same procured or induced the infringement of the petty patent by third parties. It is further alleged that the respondents have sold both hardware and the computer programs which in combination infringe the petty patent.
8. The respondents deny that the supply of the Jiejing products as alleged by the applicants or at all constitutes or would constitute an infringement of the petty patent. Additionally, the respondents deny the validity of the petty patent on the grounds that:-
"(a) The alleged invention is not a patentable invention in
that it is not a manner of manufacture within the meaning of
section 6 of the Statute of Monopolies or alternatively is a
mere algorithm.
(b) The alleged invention was not novel at the priority date.
(c) The alleged invention did not involve an inventive step
compared with the prior art base as existed at the priority
date.
(d) The specification contained in the patent is unclear and
ambiguous contrary to section 40(3) of the Patents Act 1990.
(e) The patent was obtained on a false suggestion.
(f) Contrary to section 40(2) of the Patents Act 1990 the
specification did not include the best method known to the
applicants for the patent of performing the alleged invention".
9. On the above grounds the respondents seek revocation of the patent. The fifth respondent cross-claims for infringement of copyright in an original literary work being a compilation of Chinese characters together with the stroke-categories relevant to each character ("the character compilation") of which he claims to be the author and copyright owner. A further claim for infringement of copyright in a compilation of a set of rules for the definition of the strokes which make up Chinese characters and the arrangement of them into categories ("the rules compilation") was abandoned on trial.
10. For convenience I will deal firstly with the question of the validity of the petty patent in suit.
Is the invention described in the claim a patentable invention under the Patents Act 1990 (Cth)?
11. The applicants submit the claim in the petty patent was a combination claim for a new apparatus. The apparatus was a computer processing apparatus for assembling text in Chinese language characters which produces a particular result, namely, the retrieval and display of Chinese characters on screen for assembly in text. Although a number of the integers represented conventional and known computer hardware, display, and processing systems including standard processing programs, the combination of those integers with a computer program or programs supplying the Chinese character database, stroke type category criteria and graphic display of Chinese characters created, when programmed, a new machine which operated in accordance with the steps detailed in the claim. It was submitted that the production of some useful effect, in this case the assembly of Chinese characters on a visual display unit, was sufficient to constitute the computer as programmed an invention under the Patents Act 1990 (Cth). (International Business Machines Corporation v. Smith, Commissioner of Patents [1991] FCA 625; (1992) AIPC 90-853 at 38164-38165). The applicants also rely upon the decisions of the United States Court of Customs and Patent Appeals In Re Freeman 573 F 2d 1237 (1978) and In Re Abele 684 F 2d 902 (1982).
12. The submissions by the applicants gain some support from certain English decisions under the Patents Act 1949 (UK) (Badger Company Incorporated's Application (1970) RPC 36 at 40, Gevers' Application (1970) RPC 91 at 98, Burroughs Corporation (Perkins') Application (1974) RPC 147 at 158, 161, International Business Machines Corporations' Application (1980) FSR 564 at 572, 573).
13. In Burroughs Corporation (Perkins') Application (supra) the Patents Appeal Tribunal sitting in Banc had for consideration a method patent for transmitting data over a communications link between a central computer and certain of a ring of outlying slave computers connected to it. Their Honours (Graham and Whitford JJ) held (at 158) that as a matter of principle a bare method or idea if clothed by the patentee in his specification with a practical garment in the shape of apparatus enabling that method or idea to be realised in practice, should no longer be regarded as a naked conception for it had found a practical embodiment in the apparatus and thus was a manner of new manufacture within section 101 of the Patents Act 1949 (UK). Their Honours continued (at 159 - 160):-
"In Rolls-Royce Limited's Application (1963) RPC 251 the method
claimed was for operating and reducing the noise from an
aircraft powered with gas turbine engines by the pilot, inter
alia, increasing the effective area of the final jet nozzle
shortly after take-off to increase the mass overflow through
the by-pass duct thereby reducing the noise emitted by the jet
nozzle. Lloyd-Jacob, J held that this method was not
patentable, being merely 'the disclosure of a general flight
plan directing the initial operational movements of an aircraft
between take-off and the commencement of free-flying
conditions'. He continues, 'this in my judgment is as much
outside the operation of any of the useful arts as would be a
trainer's direction to a jockey in his control of a racehorse'.
This case seems to us to be the strongest from the point of
view of Mr. Aldous' argument, but there is a significant
distinction. In the Rolls-Royce case, no actual modification
of the mechanism of the aircraft itself resulted from the
employment of the claimed method. In the present case the
method necessarily involves a modification. The system is
programmed so that it must in every case operate in accordance
with the method claimed whenever and by whomsoever it is put
into operation. The programme in fact constrains the apparatus
to function in a particular way as long as the apparatus
embodies that programme. In the Rolls-Royce case on the other
hand it can be said that the method was no more than
information or instructions which could be given to a pilot on
which he might, or might not, act.
.....
Having listened carefully to the arguments, we consider the
correct conclusion in the present case is as follows: If a
claim, whatever words are used, namely, whether the claim is
for example for 'a method of transmitting data...', 'a method
of controlling a system of computers' or 'a method of operating
or programming a computer...', is clearly directed to a method
involving the use of apparatus modified or programmed to
operate in a new way, as the present claims are, it should be
accepted. This may conveniently be done by using some such
words as 'a method of transmitting data over a system of
computers (or of controlling a system of computers) consisting
in programming such computers so that...' Claims in this form
in truth meet Mr. Aldous' argument that there must be an
artificial end product or effect before a method can be
patentable. Whether the argument is right or not, there is in
fact such an effect in this case.
It is plain that the question of patentability must in every
case be considered on the facts before a conclusion can be
reached as to whether the claim covers a mere idea or method,
or is more than that and results in fact in some improved or
modified apparatus, or an old apparatus operating in a novel
way, with consequent economic importance or advantages in the
field of the useful as opposed to the fine arts".
14. The subject matter of the patent in Burroughs Corporation (Perkins') Application involved a method of causing computers to interact one with the other and transmit information from one computer to another. That is, it operated in a technical sense to overcome a technical problem, namely the operation of a network system of computers as computers. However, their Honours went further and concluded by way of obiter dicta (at 161):-
"It also follows from what we have said, though this is not
strictly necessary for the purposes of our decision, that in
our view computer programmes which have the effect of
controlling computers to operate in a particular way, where
such programmes are embodied in physical form, are proper
subject matter for letters patent".
15. In International Business Machines Corporation's Application the Patents Appeal Tribunal similarly constituted reaffirmed its decision in Burroughs Corporation (Perkins') Application. The proceedings were revocation proceedings instituted by IBM. The patent in respect of which revocation was sought claimed:-
"a data handling system suitable for establishing prices for a
given kind of fungable goods as hereinbefore defined in an
auction market as hereinbefore defined, comprising data storing
means suitable for storing data representing buy orders for the
goods and representing sell orders for the goods, order
entering means suitable for entering data representative of
individual buy and sell orders including price information in
said data storage means, comparing means which in use read out
and compare the prices of buy and sell orders from the data
storage means, by pairs chosen by progressing sequentially and
simultaneously through a descending sequence of the buy orders
and an ascending sequence of the sell orders by price, and
means arranged to be controlled by said comparing means so as
to select the price at which the goods are to be sold in
dependence on the price or prices of the last compatible pair
of orders which are matched and so as to select each pair of
said buy and sell orders to be executed as a sale at a
transaction price".
16. The basis of objection of IBM to the patent was that the idea of selecting a price by making a comparison of buying orders in descending order and selling orders in ascending order is not a manner of manufacture. Additionally, it was argued that it does not become a manner of manufacture if one does no more than call in aid the operations of an ordinary computer to do the work. It was accepted before the Patent Appeal Tribunal that once the idea was conceived any competent computer programmer could have produced a program for a standard computer so as to produce the desired result.
17. After reviewing the earlier English authorities on computer programs, their Honours continued (at 572):-
"We proceed upon the basis that the only thing that was novel
in connection with the present application was Mr. Nymeyer's
concept of the way in which a price could be fixed, but what he
seeks to claim as a manner of new manufacture is a method
involving operating or controlling a computer in which, so far
as the contested claims are concerned, the computer is
programmed in a particular way or programmes in physical form
to control a computer so that it will operate in accordance
with his method. The method is embodied in the programme and in
the apparatus in physical form and in our view the
superintending examiner was right in concluding that the claims
should be allowed to proceed. It certainly cannot be said of
any of these claims that under the old law they are clearly not
directed to a manner of new manufacture".
18. In the United Kingdom the Patents Act 1949 was replaced by the Patents Act 1977. Subsections 1(1) and (2) provide:-
"1.-(1) A patent may be granted only for an invention in
respect of which the following conditions are satisfied, that
is to say -
(a) the invention is new;
(b) it involves an inventive step;
(c) it is capable of industrial application;
(d) the grant of a patent for it is not excluded by subsections
(2) and (3) below;
and references in this Act to a patentable invention shall be
construed accordingly.
(2) It is hereby declared that the following (amongst other
things) are not inventions for the purposes of this Act, that
is to say, anything which consists of -
(a) a discovery, scientific theory or mathematical method;
(b) a literary, dramatic, musical or artistic work or any other
aesthetic creation whatsoever;
(c) a scheme, rule or method for performing a mental act,
playing a game or doing business, or program for a computer;
(d) the presentation of information;
but the foregoing provision shall prevent anything from being
treated as an invention for the purposes of this Act only to
the extent that a patent or application for a patent relates to
that thing as such".
19. Whether or not the provisions of section 1(2) of the Patents Act 1977 (UK) merely restate the previous common law (see Gate's Application (1991) RPC 305 at 323, 330) is unnecessary to determine for present purposes. However, the exclusion from patentability of computer programs as such has focused attention upon the nature of computer programs and their relationship with computer hardware. In Genentech Inc.'s Patent (1989) RPC 147, Dillon LJ observed (at 240):-
"It would be nonsense for the Act to forbid the patenting of a
computer program, and yet permit the patenting of a floppy disc
containing a computer program, or an ordinary computer when
programmed with the program; it can well be said, as it seems
to me, that a patent for a computer when programmed or for the
disc containing the program is no more than a patent for the
program a such".
20. In Merrill Lynch's Application (1989) RPC 561, Fox LJ in a judgment agreed in by Stocker and Taylor LLJ approved the observation of Dillon LJ in Genentech. Fox LJ said (at 569):-
"The position seems to me to be this. Genentech decides that
the reasoning of Falconer J is wrong. On the other hand, it
seems to me to be clear, for the reasons indicated by Dillon
LJ, that it cannot be permissible to patent an item excluded by
section 1(2) under the guise of an article which contains that
item - that is to say, in the case of a computer program, the
patenting of a conventional computer containing that program.
Something further is necessary. The nature of that addition is,
I think, to be found in the Vicom case where it is stated:
'Decisive is what technical contribution the invention makes to
the known art'. There must, I think, be some technical advance
on the prior art in the form of a new result (e.g., a
substantial increase in processing speed as in Vicom).
21. The English Court of Appeal has most recently considered section 1(2) of the Patents Act 1977 (UK) in Gale's Application (1991) RPC 305. Nicholls LJ (with whom Parker LJ and Browne-Wilkinson V.C. agreed, although each gave short reasons of his own) said (at 324):-
"The Act contains no definition or description of what is meant
by the expression 'program for a computer'. For present
purposes it is sufficient to note that a computer program is
essentially a series of instructions capable of being followed
by a cpu to produce a desired result. The instructions, as
such, are not patentable. This is not surprising. A computer is
an apparatus which operates, within its capacity, in response
to instructions. That is how it is intended to operate. In
principle, the instructions in a computer program do no more
than prescribe a particular manner of operation of a computer
within the range of operations for which it was constructed.
Thus writing a fresh set of instructions for use in a computer
in particular circumstances or for particular purposes cannot
in itself be regarded as an 'invention'. As at present advised,
I think this would have been so even if the Act had not
contained section 1(2), which is expressed in declaratory
terms, and even if section 1(2) had not expressly included
computer programs in the catalogue of disqualified items.
However, it is not necessary to pursue this point on this
appeal.
A further point is to be noted here. To be used in a computer,
a series of instructions has to be recorded in a physical form
which a computer can understand. Typically, but by no means
always, the instructions will be recorded either on a disc
inserted in the computer when required or, in the case of
sequences of instructions routinely or frequently required, in
a ROM which normally is inserted in a computer and not removed.
Plainly, however, if the instructions qua instructions are not
patentable, a claimant's position is not improved by claiming a
disc on which those instructions have been recorded or a ROM in
which they have been embodied. The disc or ROM is no more than
an established type of artefact in which the instructions are
physically embedded. It is merely the vehicle used for carrying
them. If the disc or ROM, considered as a disc or ROM, is in
all respects conventional, a claim can no more be made for the
disc or ROM incorporating those instructions than a claim for a
patent could be made for a conventional compact disc on which a
particular new piece of music has been recorded. Every compact
disc on which a piece of music is recorded differs physically
from every other compact disc on which different pieces of
music are recorded. But these physical differences are not
material for patent purposes, because they constitute no more
than the use of a compact disc for its intended purpose.
Likewise with a disc or ROM which records or reproduces a new
set of instructions, if those instructions are recorded on a
conventional disc, or are stored in a ROM using conventional
methods. To decide otherwise would be to exalt form over
substance".
22. In Wang Laboratories Inc.'s Application (1991) RPC 463, the application for a patent related to a computer so programmed that an expert could store his knowledge in an hierarchical form (a "computer system shell") resulting in a system (an "expert system") from which expert advice could be obtained. The hardware referred to in the claims was conventional as was the way it functioned. It was submitted by the applicant that the exclusion of "a scheme, rule or method for performing a mental act" in section 1(2)(c) of the Patents Act 1977 (UK) only excluded schemes, rules or methods which were intended to be performed or were capable of being performed in the human mind. Aldous J rejected such a submission. His Honour said (at 472):-
"The fact that the scheme, rule or method is part of a computer
program and is therefore converted into steps which are
suitable for use by a person operating the computer does not
matter. What is excluded from being patented is a scheme, rule
or method for performing a mental act, whatever mental steps or
process is involved. As I pointed out in Gale's Application, it
is a question of fact to be decided in each case whether the
claimed invention is more than a claim to an invention for a
disqualified matter. Just as a claim to a disc containing a
program can be in fact a claim to an invention for a computer
program, so can a claim to steps leading to an answer be a
claim to an invention for a method for performing a mental act.
The method remains a method for performing a mental act,
whether a computer is used or not. Thus a method of solving a
problem, such as advising a person whether he has acted
tortiously, can be set out on paper, or incorporated into a
computer program. The purpose is the same, to enable advice to
be given, which appears to me to be a mental act. Further, the
result will be the advice which comes from performance of a
mental act. The method may well be different when a computer is
used, but to my mind it still remains a method for performing a
mental act, whether or not the computer program adopts steps
that would not ordinarily be used by the human mind".
23. His Honour also rejected a submission that the program combined with the computer to produce a new technical effect, namely a new machine ready to be used in a novel way. His Honour said (at 473):-
"The applicant submitted that the claim related to a system
ready to be taught and at that stage it was not a scheme for
performing a mental act because the essential component of the
mental act, namely, the knowledge of the expert was not
available for use. The applicant submitted that the program
containing the system shell combined and co-operated with the
computer so as to produce a new machine, namely, a computer
which could be used to be programmed with knowledge. The
applicant said that the contribution was this new machine. Thus
the applicant submitted that the claim had a technical effect,
namely, a new machine ready to be used in a novel way.
I cannot accept that submission. The machine, the computer,
remains the same even when programmed. The computer and the
program do not combine together to produce a new computer. They
remain separate and amount to a collocation rather than a
combination making a different whole. The contribution is, to
my mind, made by the program and no more".
24. The view that the computer program and computer do not combine to produce a new computer but remain separate, was also the view taken by Mason and Wilson JJ in Computer Edge Pty. Ltd. v. Apple Computer Inc. [1986] HCA 19; (1986) 161 CLR 171 at 194, where their Honours said:-
"It is not correct to describe an object program as merely a
sequence of electrical impulses within the computer. Electrical
impulses there are, but those impulses serve to identify a set
of instructions in machine readable language designed to guide
the machine in its basic operations. They do not form part of
the computer itself, notwithstanding that they may be embodied
in a ROM or ROMs located permanently in silicon chips in a
machine. They might equally well be contained in a magnetic
disc or tape which can be inserted into or removed from the
machine at will. The language may be recorded in visible form
in binary or hexadecimal notation. The same result as is
achieved by the use of an object program could be achieved by
the manual operation of a computer in accordance with
instructions written out in ordinary English and contained in a
manual. The only problem would be that such a process would be
impossibly tedious and therefore wholly impracticable".
25. The two United States cases referred to by the applicants in these proceedings also acknowledge that patentability for computer programs cannot be obtained by merely making an apparatus claim to a computer programmed with the program. In Freeman 573 F 2d 1237 (1978) in the judgment of the majority given by Markey CJ, his Honour said (at 1247):-
"Though a claim expressed in 'means for' (functional) terms is
said to be an apparatus claim, the subject matter as a whole of
that claim may be indistinguishable from that of a method claim
drawn to the steps performed by the 'means'. For example,
present claim 8 recites process steps of assigning
concatenation points to each symbol and specifying which of the
concatenation points for adjacent symbols will coincide, and
claim 1 merely recites 'means for' accomplishing each of these
same steps. As another example, claim 3 adds a 'means for
storing input data in a hierarchical tree structure,'
paralleling the process step added by claim 10. We agree with
the solicitor's contention that if allowance of a method claim
is proscribed by Benson, it would be anomalous to grant a claim
to apparatus encompassing any and every 'means for' practicing
that very method".
26. In Re Abele 684 F 2d 902 (1992) Markey CJ, in delivering the majority judgment, said (at 909):-
"Appellants do not argue and, in any event, we see no basis for
treating their apparatus claims differently from their method
claims.
If the functionally-defined disclosed means and their
equivalents are so broad that they encompass any and every
means for performing the recited functions, the apparatus claim
is an attempt to exalt form over substance since the claim is
really to the method or series of functions itself. In
computer-related inventions, the recited means often perform
the function of 'number crunching' (solving mathematical
algorithms and making calculations). In such cases the burden
must be placed on the applicant to demonstrate that the claims
are truly drawn to specific apparatus distinct from other
apparatus capable of performing the identical functions.
If this burden has not been discharged, the apparatus claim
will be treated as if it were drawn to the method or process
which encompasses all of the claimed 'means'. (In re Walter,
618, F 2d at 768, 205 USPQ at 408).
27. That one looks to substance and not form in determining whether or not the claims disclose a patentable invention is one of long standing. Thus attention should be directed to the alleged contribution to the art rather than to the form of words put forward as identifying the invention (In the Matter of Virginia Carolina Chemical Corporation's Application (1958) RPC 35 at 37).
28. In International Business Machines Corporation v. Smith [1991] FCA 625; (1992) AIPC 90-853 the application and specification related to a "method and apparatus for producing a curve image". Claim 1 defined the invention as:-
"1. A method for producing a visual representation of a curve
image from a set of control points which define the curve and
which are input for each dimension and a number of intervals of
the curve to be computed, said method comprising the steps of:
(a) computing a set of scaled vector coefficient integers for
each dimension from the set of input control points for that
dimension and from a scaling parameter;
(b) computing forward difference interval coefficient integers
for each dimension for each interval from the scaled vector
coefficient integers for that dimension and the interval
integer number;
(c) computing the curve coordinate values for each interval for
each dimension from the forward difference interval coefficient
integers for that dimension for each interval and the scaling
parameter; said computing steps being carried out within the
use of floating point arithmetic; and
(d) displaying the curve by displaying curve coordinate points
in accordance with the computed curve coordinate values for
each dimension and a plurality of straight lines which
successively connect said computed curve coordinate points".
Claim 9 was an apparatus claim in the following terms:-
"9. An apparatus when used to produce a visual representation
of a curve image in accordance with the method of claim 1, said
apparatus comprising:
input means for receiving a plurality of data points defining
the curve image and a number of interval computations to be
performed between said data points;
digital processing means for pipeline computing curve
coordinate values for each dimension for a plurality of
intervals simultaneously; and
displaying means for producing the visual representation of the
curve image by displaying curve coordinate points in accordance
with the computed curve coordinate values for each dimension
and a plurality of straight lines which successively connect
said computed curve coordinate points".
29. The technical field to which the claimed invention related was identified in the specification as "computer graphics and more specifically to a method and apparatus for generating curves on computer graphics displays". The specification identified the problem in the existing art, namely, that the common techniques although providing a continuous curve, nonetheless had perceptible discontinuities in slopes of curvature at joints between successive curve segments. Additionally, when floating point arithmetic was used to compute the matrix arithmetic operations for computing the coordinate values, the method was time consuming and not entirely accurate. The nature of the process led to the error being compounded when necessary further calculations were performed. The object of the method and apparatus claims was to produce a curve without discontinuities and to produce curves using b-spline form in a more accurate manner than provided by the traditional floating point technique.
30. In holding that the subject matter of the application was patentable (or should be given at the application stage the benefit of the doubt) Burchett J applied the test of patentability laid down in National Research Development Corporation v. Commissioner of Patents [1959] HCA 67; (1959) 102 CLR 252 at 275. There the Court (Dixon CJ, Kitto and Windeyer JJ) said:-
".....a process, to fall within the limits of patentability
which the context of the statute of monopolies has supplied,
must be one that offers some advantage which is material, in
the sense that the process belongs to a useful art as distinct
from a fine art (see Virginia Carolina Chemical Corporation's
Application) - that its value to the country is in the field of
economic endeavour".
31. Burchett J also in his reasons referred to the decision of the Patents Appeal Tribunal in Burroughs Corporation (Perkins') Application. Although his Honour cites (at 38,165) the dictum from the judgment of Graham J - "Computer programs which have the effect of controlling computers to operate in a particular way, where such programs are embodied in physical form, are proper subject matter for letters patent" - his Honour does not purport to apply the dictum in the result to which he came. His Honour said (at 38,165):-
"In the present case, it seems to me that the use of the
algorithm is not different conceptually from the use of the
compounds involved in National Research and Development
Council. Just as those compounds were previously known, so
here, it is not suggested there is anything new about the
mathematics of the invention. What is new is the application of
the selected mathematical methods to computers, and in
particular, to the production of the desired curve by computer.
This is said to involve steps which are foreign to the normal
use of computers and, for that reason, to be inventive. The
production of an improved curve image is a commercially useful
effect in computer graphics".
32. What is important is that his Honour focuses on steps which are foreign to the normal use of computers to achieve an advance over the prior art by producing a curve for use in computer graphics without the perceived deficiencies in the prior art. That is, the mathematical methods claimed in the patent application led to the computer qua computer producing a better result than was previously achievable with the prior art, which result, an improved curve image, was a commercially useful effect in the field of compute graphics. His Honour's conclusion is consistent with the ratio of Burroughs Corporation (Perkins') Application, namely that a method for transmitting data over a communication link between a central computer and slave computers connected with it, embodied in the apparatus and program described in the specification, was patentable. That is, that the subject matter of the patent being an improvement in the operation of computers qua computers was a manner of new manufacture within the meaning of section 6 of the Statute of Monopolies. His Honour also found (at 38,165) that:-
"...the formula is applied to achieve an end, the production of
the improved curve image. A method of producing that by
computer, which is novel and inventive, is entitled to the
protection of the patent laws".
33. In coming to that view, his Honour relied upon the decision of the United States Supreme Court in Diamond, Commissioner of Patents and Trademarks v. Diehr and Luton [1981] USSC 40; 450 US 175 (1981). In Diamond the patent application claimed an invention for a process for moulding raw, uncured synthetic rubber into cured precision products. As part of that process there was included as one step the constant measuring of the temperature inside the mould and feeding the temperature measurements into a computer that repeatedly recalculated the cure time by use of a mathematical equation and then signalled a device to open the press at the proper time. Rehnquist J (as he then was) delivered the majority opinion of the court upholding the patentability of the process. His Honour said (at page 191 - 193):-
"We view respondents' claims as nothing more than a process for
molding rubber products and not as an attempt to patent a
mathematical formula. We recognize, of course, that when a
claim recites a mathematical formula (or scientific principle
or phenomenon of nature), an inquiry must be made into whether
the claim is seeking patent protection for that formula in the
abstract. A mathematical formula as such is not accorded the
protection of our patent laws, Gottschalk v. Benson, 409 US
63 (1972), and this principle cannot be circumvented by
attempting to limit the use of the formula to a particular
technological environment. Parker v. Flook, [1978] USSC 129; 437 US 584 (1978).
Similarly, insignificant postsolution activity will not
transform an unpatentable principle into a patentable process.
To hold otherwise would allow a competent draftsman to evade
the recognized limitations on the type of subject matter
eligible for patent protection. On the other hand, when a claim
containing a mathematical formula implements or applies that
formula in a structure or process which, when considered as a
whole, is performing a function which the patent laws were
designed to protect (e.g., transforming or reducing an article
to a different state or thing), then the claim satisfies the
requirements of S.101. Because we do not view respondents'
claims as an attempt to patent a mathematical formula, but
rather to be drawn to an industrial process for the molding of
rubber products, we affirm the judgment of the Court of Customs
and Patent Appeals".
34. The effect of the decision of the U.S. Supreme Court was to hold that to use computers and computer technology to record the steps in the process or to provide a specific step in the process of manufacturing does not render the process of manufacture, including the computer technology by reference to that particular application, to be unpatentable. Such a view is identical with that taken by Nicholls LJ in Gales' Application (at 327).
35. In the context in which Burchett J was concerned the product which was sought to be produced, namely a continuous curve for use in computer graphics, could only be produced by the use of a computer using a method which was novel and inventive. The method was as set out in the computer program and when processed in the apparatus being the programmed hardware produced the desired result for use in computer graphics. The process had the necessary industrial or commercial or trading character (see Rantzen's Application (1947) 64 RPC 63 at 66; Re Lenard's Application (1954) 71 RPC 190 at 192 cited with approval in National Research Development Corporation at 275) to bring the process into the field of economic endeavour which was properly the subject of the Monopolies Act.
36. A review of the case law in my opinion supports the following propositions:-
(a) Whether or not the subject matter of a claim constitutes a
patentable invention is a question of fact.
(b) The mere programming of a standard computer with a computer
program does not of itself constitute the computer as
programmed a patentable apparatus.
(c) A computer program which constitutes an advance in the art
of computer hardware or computer technology as such can
constitute a patentable invention.
(d) A computer program which itself contains the steps in a
process of new manufacture or forms part of a series of steps
in a process of new manufacture can constitute a patentable
invention.
(e) The language of the claim, whether it be a claim for a
method contained in a computer program or a claim for an
apparatus being a standard conventional computer operating in a
conventional way to achieve a particular result by the use of a
programmed "means", will not be determinative of the
patentability of the invention claimed and the court will look
at the substance rather than the form of the claim to determine
the true subject matter of the invention claimed and whether
that subject matter is patentable.
38. The sole function of the computer processing apparatus in the claim defining the invention is to retrieve data from the data storage means within the computer by searching the database in accordance with stated criteria and to display graphically the retrieved data on the visual display unit and to enable that data, or some of it, to be retained on the display and assembled in text. This is a conventional function of a computer, particularly when programmed with a word processing program. There is no claim which relates to overcoming any problem in the computer as such or the way in which it operates. What gives the apparatus its claimed feature as a computer processing apparatus for assembling text in Chinese language characters is the information stored in the memory in relation to Chinese characters and the criteria by which a character or characters may be retrieved from memory and displayed on the screen.
39. On the evidence of Mr. Jordon and Dr. Chappell, both expert linguists, the information relating to Chinese characters other than the character database itself is the result of a linguistic exercise identifying the number of brush strokes of traditional Chinese calligraphy used to make up the Chinese character and assigning each stroke to one of a number of predetermined stroke categories, which categories are determined by the size and/or direction of the character strokes when written. Additionally, again as a linguistic exercise, each Chinese character has been analysed to ascertain the order in which each stroke is written when compiling the character. Using the stroke type category and stroke order as search criteria input through a keyboard with designated keys, the computer is instructed by a search program to locate in the Chinese character database the character or characters which satisfy the criteria and further instructed by a graphics program to display the character or characters on the screen. Once displayed, the user may by input on the keyboard retain one character on the screen and manipulate it so as to form text with other retained characters.
40. There is nothing claimed as new or unconventional in the input, search or display programs. In essence what is sought to be done is to use the computer to store the result of the linguistic task undertaken outside the computer, which mental process lies in the fine arts and not the useful arts, and to use the computer operating in a conventional way with conventional programs to reproduce the mental process of identifying the desired Chinese character by applying search criteria which represented the linguistic features of the character as determined by the linguist and stored in the memory of the computer.
41. To operate the computer when programmed requires that the operator be Chinese literate and apply the linguistic features of Chinese writing in conjunction with the rules developed as search criteria. The method employed can be undertaken as a mental process without the aid of a computer. By arranging the desired number of Chinese characters into sub-groups identified by the stroke type categories comprising the character in the order in which the strokes are written and producing the same in a written or printed form, a literate Chinese person by applying those criteria could find the relevant sub-group and by a search of it the desired character. Likewise, the arranging of the characters into sub-groups according to the criteria does not require the use of a computer; it may be done manually. To incorporate the method or process into a conventional computer with conventional programming so that functionally the same task is performed does not, in my view, create apparatus which is patentable as a new invention. It does not assist the applicants to say that the computer when operated produces a useful effect by displaying Chinese characters on the screen which can be used to assemble text. The useful effect produced in International Business Machines v. Smith was a continuous curve for use in the art of computer graphics. The means whereby this was achieved involved a program which enhanced the performance of the computer and involved "steps which are foreign to the normal use of computers and for that reason to be inventive". That is not this case.
42. The material feature of the claimed combination is the means by which Chinese characters are categorised by stroke type category and stroke order as defined in the specification of the petty patent in suit and the use of such criteria to retrieve and display Chinese characters. That is, the procedures used to organise and process the data. The other integers of programming and computer hardware are merely a conventional means to produce the desired result. Taking the claim as a whole that which is sought to be made the subject matter of a monopoly is the use of stroke type categories and stroke order as defined in the specification to organise and process data relevant to Chinese characters in a database and to retrieve and display Chinese characters on a computer screen. The formulation of such criteria and their use as rules to organise and process data stored in a database in a conventional computer are the product of human intellectual activity lying in the fine arts and not the useful arts. The claim discloses no method of manufacture within the meaning of section 6 of the Statute of Monopolies and therefore discloses no patentable invention.
43. Although not forming part of the reasoning which leads me to the conclusion that the claim discloses no patentable invention, the German Federal Supreme Court in Re The Computer Generation of Chinese Characters (1993) FSR 315 came to the same conclusion in respect of a patent application concerning a computer program for word processing in Chinese characters. The patent application before the German Court used different criteria than the criteria in the petty patent in suit. Nonetheless the attributes of the criteria related to linguistics. The patent application claimed a method patent and an apparatus patent for a conventional computer programmed with the method. The court (at 322 -323) said:-
"(e) Whether the contribution to the art subject of the claims
involves a program for computers as such within the meaning of
section 1(2), no. 3 and (3) of the Patent Act does need to be
decided; the claims lack technical character for other reasons.
(f) The subject-matter of the application basically concerns
the organisation of Chinese characters into certain areas
according to their signs, sequences and part-characters, and
their further organisation within those areas according to
additional criteria. This takes place by means of the
selection, ordering and classification of significant elements
(addresses). Such an organisational system is of an
intellectual nature and does make use of anything beyond human
intellectual activity; it is not to be found in the technical
sphere.
The further features included in the claim, such as a keyboard,
control and memory unit, display and printer, inputting
facility, the organisation of the memory, searching,
reading-out, comparison, the display and the conveying of the
characters to a printer, are of subordinate significance in
context to the subject-matter overall. Success stands or falls
with the intellectual procedures used for organising the data
to be processed.
The facts underlying the judgment given today may be contrasted
with Case X ZB 13/88, Page Buffer, (which is to be published in
the Official Journal). The subject-matter of the present
application does not concern the functioning capacity of the
computer as such, since it does not enable its elements to work
together directly. The material features of the computer
specified in claim 1 are not what gives the invention its
particular character, which stands or falls with the
intellectual procedures adopted to organise the data to be
processed. The material features there specified only
contribute indirectly to the result that is to be achieved.
That is insufficient to give the subject-matter a technical
character".
44. Ronald Howard Thomas and Helmut Stohr lodged a provisional application PJ0247 with the Patents Office on 5 September, 1988. The specification provided:-
"This invention relates to symbol definition apparatus.
This invention has particular but not exclusive application to
the input of Chinese or Japanese characters into electronic
storage, retrieval and transmittal apparatus, and for
illustrative purposes reference will be made to such
application. However, it is to be understood that this
invention could be used in other applications, such as defining
mathematical and other symbols as computer inputs.
The Chinese written language is a symbolic language, rather
than an alphabetic language, and contains many thousands of
symbols, each of which may represent a word. Chinese characters
are all formed from unique combinations of eight
uniquely-shaped basic elements or 'strokes'. Each stroke type is
characterized by its size and direction, and over fifty strokes
may be used to form the most complex characters, although most
characters can be defined with between six and twenty-one
strokes. Each character has a particular stroke count number
associated with it, although the official stroke count number
can vary from the actual stroke count number in a small number
of cases.
.....
In a further aspect, this invention resides in a method of
entering Chinese characters into an electronic processing
apparatus, said method including:-
providing character definition apparatus having Chinese
character stroke entry means for the electronic information
processing apparatus, character stroke data storage means and
character identification means for identifying characters
according to the character stroke content and order thereof;
and
operating said character stroke entry means for entry of the
character strokes forming a character in the stroke order
defined by standard practice.
The method may further include subdividing the character set
into character data segments according to character stroke
count number and using an entered stroke count number for
access to the desired one of said character data segments,
whereby the proportion of the total character set which must be
searched by the entry of character stroke content and order may
be minimised, and whereby the number of character strokes which
must be entered before a unique character definition is
achieved may be minimised.
In order that this invention may be more easily understood and
put into practical effect, reference will now be made to the
accompanying drawings which illustrate a preferred embodiment
of the invention, wherein:-
FIG. 1 is a diagram of the stroke number allocations made to
the eight basic character strokes from which Chinese characters
are formed;
FIG. 2 is a block diagram of an electronic processing apparatus
according to the invention;
FIG. 3 is a diagram of the keyboard of the electronic
processing apparatus in the word-processing mode, and
FIG. 4 is a diagram of the keyboard shown in FIG. 3 in the
character search mode.
As illustrated in FIG. 1, the eight basic character strokes 10
through 18 which are used in the formation of Chinese
characters have been allocated arbitrary stroke number one to
eight respectively. These stroke numbers are utilised by the
electronic processing apparatus 20 shown in FIG. 2 as numerical
reference codes for storage and retrieval of character data.
.....
It will of course be realised that the above has been given
only by way of illustrative example of the invention and that
all such modifications and variations thereto as would be
apparent to persons skilled in the art are deemed to fall
within the broad scope and ambit of the invention as is herein
set forth".
(Emphasis added)
45. On 10 February, 1989 Mr. Thomas and Mr. Stohr applied for a petty patent by virtue of section 51 of the Patents Act 1952 based on the original application number PJ0247. The specification stated:-
"Chinese characters are formed from unique combinations of
strokes, each of which may be considered to fall into one of
eight stroke-type categories. Each stroke type is characterized
by its size and direction, and over fifty strokes may be used
to form the most complex characters, although most characters
can be defined with between six and twenty-one strokes. Each
character has a particular stroke count number associated with
it, although the official stroke count number can vary from the
actual stroke count number in a small number of cases".
(Emphasis added)
"In another aspect, this invention resides in computer
processing apparatus for assembling text in Chinese language
characters, said computer processing apparatus including :-
.....
a keyboard having a plurality of Chinese character stroke entry
keys corresponding to respective ones of fundamental Chinese
character strokes;
a searching program which is initiated through entering search
criteria based on the fundamental Chinese character strokes and
character stroke order for the desired Chinese character
through said keyboard, said searching program being adapted for
searching said stroke data storage elements according to said
search criteria and for retrieving from the corresponding
graphic data storage elements the or each Chinese character
representation which meet said search criteria".
(Emphasis added)
"In order that this invention may be more easily understood and
put into practical effect, reference will now be made to the
accompanying drawings which illustrate a preferred embodiment
of the invention, wherein:-
FIG. 1 is a diagram of the stroke number allocations made to
the eight basic character strokes from which Chinese characters
are formed;
.....
As illustrated in FIG. 1, the eight basic character strokes 10
through 18 which are used in the formation of Chinese
characters have been allocated arbitrary stroke numbers one to
eight respectively.
The character information stored in the character storage unit
24 includes the stroke numbers one through eight allocated to
the various strokes.
(Emphasis added)
46. The claim defining the invention contained as one of the integers the following:-
"A searching program which is initiated through entering search
criteria based on the fundamental Chinese character strokes and
character stroke order for the desired Chinese character
through said keyboard, said searching program being adapted for
searching said stroke data storage elements according to said
search criteria and for retrieving from the corresponding
graphic data storage elements the or each Chinese character
representation which meet said search criteria".
(Emphasis added)
47. Petty Patent number 583008 issued in favour of Mr. Thomas and Mr. Stohr on 13 June, 1989. On 5 September, 1989 Mr. Thomas and Mr. Stohr filed the complete application 42052/89. The application represented the Australian national phase of the International Patent Co-Operation Treaty (PCT) application and claimed priority from 5 September, 1988, the date of lodgement of the provisional application PJ0247. On page 1 under the heading "Background of the Invention" the following appears:-
"Chinese characters are all formed from unique combinations of
eight uniquely-shaped basic elements or 'strokes'. Each stroke
type is characterized by its size and direction, and over fifty
strokes may be used to form the most complex characters,
although most characters can be defined with between six and
twenty-one strokes.
(Emphasis added)
48. Under the heading "Description of the Present Invention" the following is stated:-
"In another aspect of this invention, computer processing
apparatus is disclosed for assembling text in Chinese language
characters, said computer processing apparatus including:-
.....
a keyboard having a plurality of Chinese character stroke entry
keys corresponding to respective ones of fundamental Chinese
character strokes;
a searching program which is initiated through entering search
criteria based on the fundamental Chinese character strokes and
character stroke order for the desired Chinese character
through said keyboard, said searching program being adapted for
searching said stroke data storage elements according to said
search criteria and for retrieving from the corresponding
graphic data storage elements the or each Chinese character
representation which meet said search criteria".
(Emphasis added)
The specification continues with respect to the preferred embodiment:-
" -- BRIEF DESCRIPTION OF THE DRAWINGS --
FIG. 1 is a diagram of the stroke number allocations made to
the eight basic character strokes from which Chinese characters
are formed;
.....
FIG. 6 shows a series of screen displays for a computer
programmed according to the invention, each of the eight screen
displays showing the selections of characters for each of the
eight available strokes as the first strokes of characters, and
.....
-- DESCRIPTION OF THE PREFERRED EMBODIMENTS --
As illustrated in FIG. 1, the eight basic character strokes 10
through 18 which are used in the formation of Chinese
characters have been allocated arbitrary stroke numbers one to
eight respectively.....
(Emphasis added)
"10. Computer processing apparatus for assembling text in
Chinese language characters, said computer processing apparatus
including:-
.....
a keyboard having a plurality of Chinese character stroke entry
keys corresponding to respective ones of fundamental Chinese
character strokes;
a searching program which is initiated through entering search
criteria based on the fundamental Chinese character strokes and
character stroke order for the desired Chinese character
through said keyboard, said searching program being adapted for
searching said stroke data storage elements according to said
search criteria and for retrieving from the corresponding
graphic data storage elements the or each Chinese character
representation which meet said search criteria, ....."
(Emphasis added)
49. On 19 March, 1991 Mr. Thomas and Mr. Stohr lodged a further application for a petty patent, being an application made by virtue of section 51 of the Patents Act 1952 based on original application number 42052/89. The specification provided as follows:-
"Chinese characters are formed from unique combinations of
strokes. The word stroke means a brush stroke of traditional
Chinese calligraphy formed as a single unbroken line between
the point where the brush touches the paper and the point where
the brush is lifted from the paper.
Each stroke may be considered to fall into one of eight
stroke-type categories. Each stroke type is characterized by its size
and direction, and over fifty strokes may be used to form the
most complex characters, although most characters can be
defined with between six and twenty-one strokes. Each character
has a particular stroke count number associated with it,
although the official stroke count number can vary from the
actual stroke count number in a small number of cases".
(Emphasis added)
"In another aspect, this invention resides in computer
processing apparatus for assembling text in Chinese language
characters, said computer processing apparatus including:-
a keyboard having a plurality of Chinese character stroke entry
keys corresponding to respective ones of fundamental Chinese
character strokes;
a searching program which is initiated through entering search
criteria based on the fundamental Chinese character strokes and
character stroke order for the desired Chinese character
through said keyboard, ....."
(Emphasis added)
50. Figure 1 of the accompanying drawings which represented a preferred embodiment of the invention was described as "A diagram of the stroke number allocations made to the eight basic character strokes from which Chinese characters are formed;" (Emphasis added) The preferred embodiment as set out in the specification included the following:-
"As illustrated in FIG. 1, the eight basic character strokes 10
through 18 which are used in the formation of Chinese
characters have been allocated arbitrary stroke numbers 1 to 8
respectively. These stroke numbers are utilised by the
electronic processing apparatus 20 shown in FIG. 2 as numerical
reference codes for storage and retrieval of character data".
(Emphasis added)
51. The specification also included a reservation clause of all such other modifications and variations thereto as would be apparent to persons skilled in the art.
52. In the claim defining the invention two of the integers, being the keyboard and searching program, were described in the following terms:-
"a keyboard having a plurality of Chinese character stroke
entry keys corresponding to respective ones of fundamental
Chinese character strokes;
a searching program which is initiated through entering search
criteria based on the fundamental Chinese character
strokes....."
(Emphasis added)
53. On 28 June, 1991 the Supervising Examiner of Patents said that the specification before him was not in an acceptable form, however, being of the belief that it may be possible to amend the specification by amplifying the description and redrafting the claim, he granted the applicants the balance of the period of six months from 1 May, 1991 to file a statement of proposed amendments. The written decision sets out the submissions made by the applicants to the Supervising Examiner of Patents. At page 5 the Examiner records the applicants' invention in the following terms:-
"Applicants' Invention
. the applicants' system is based on 'Chinese strokes' - all
such strokes can be placed into one of eight family types,
based on the initial direction and any subsequent change in the
direction of construction of the stroke, as depicted in the
specification.
. the Chinese mind 'thinks' in terms of such strokes.
. a Chinese person would have no difficulty recognising what
stroke family a particular stroke belonged to: for example a
stroke going from left to right is a stroke going from left to
right regardless of angle.
. in general a character is fully specified for call-up
purposes by a relatively short sequence of stroke family
types".
"The second concern is that any such amendment to the
specification has to satisfy the test of not resulting in the
claiming of matter not in substance disclosed in the
specification as lodged. I note that the specification as
lodged does contain a definition of 'stroke', and refer to each
stroke being considered to fall into one of eight 'stroke-type'
categories. Therefore there may be enough foundation in the
specification as lodged to support an amplified description and
an appropriate claim".
(Emphasis added)
54. In consequence of the decision of the Supervising Examiner of Patents a new specification and claim were lodged on 22 July, 1991 in lieu of and by way of amendment of the existing specification and claim. The new specification included the following:-
"Chinese characters are formed from unique combinations of
Chinese character strokes. A Chinese character stroke is a
brush stroke of traditional Chinese calligraphy formed as a
single unbroken line between the point where the brush touches
the paper and the point where the brush is lifted from the
paper. The word 'stroke' as used hereinafter in this
specification, means a chinese character stroke as defined
above, unless another meaning is indicated as for example when
discussing certain prior art documents wherein the word
'stroke' does not necessarily mean a Chinese character stroke
as defined above.
Each character stroke may be considered to fall into one of a
limited number of character stroke-type categories or families
of character strokes that have common characteristics. The
expression 'character stroke-type category' as used hereinafter
in this specification, means a category of Chinese character
strokes as defined above. Each of these categories of character
stroke types is characterized by the size and/or direction of
the character strokes in the category.
In the book 'Reading and Writing Chinese' written by Professor
McNaughton (1979, Charles E. Tuttle, Japan) eight of these
character stroke-type categories are described in four pairs of
character stroke-type categories. However, a greater or lesser
number of character stroke-types can be categories depending on
the definition chosen for each category.
A distinguished (sic) feature in each category is the direction
in which each character stroke is commenced, or the directions
in which each character stroke is commenced and then continued
after a change in direction".
(Emphasis added)
The specification describes the invention as follows:-
"With the foregoing and other objects in view, this invention
in one aspect resides broadly in computer processing apparatus
for assembling text in Chinese language characters, said
computer processing apparatus including:-
a memory including character stroke data storage means which
stores data relevant to Chinese character stroke-type
categories, Chinese characters and the order in which character
strokes of respective Chinese characters are written and
complementary graphic data storage means from which data
relevant to the graphic representations of each said Chinese
character may be retrieved;
display means for displaying Chinese language characters
retrieved from said graphic data storage means;
a keyboard having a plurality of input entry keys including
character stroke-type category entry keys designated by
indicating means indicative of respective ones of said Chinese
character stroke-type categories and selection means for
selecting one of a plurality of characters displayed by said
display means;
and wherein said character stroke data storage means are
searched by entering through said input entry keys search
criteria including the entered Chinese character stroke-type
categories and the order in which the character stroke-type
categories are entered through said input entry keys, whereby
upon entry of said search criteria the graphic representation
of the or each Chinese character which meet said search
criteria are retrieved from the corresponding graphic data
storage means and displayed by said display means; and
said selection means being operable to select one of said
retrieved graphic representations of Chinese characters whereby
text in Chinese language characters may be assembled".
55. In the preferred embodiment contained in the specification, figure one of the drawings is now described as "FIG 1 illustrates eight basic character stroke categories of Chinese character strokes" and continues "FIG 1 illustrates eight basic families or character stroke-type categories 10 through 17 of character strokes used in the formation of Chinese characters. For data retrieval purposes each character stroke type category is internally allocated an arbitrary numerical code 1 to 8 respectively. The numerical codes are utilised by the electronic processing apparatus 20 shown in FIG 2 as numerical reference codes for storage and retrieval of character data". The specification continues in its description of the preferred embodiment:-
"The character information stored in the character storage unit
24 includes an index using the numerical codes 1 through 8
allocated to the various character stroke type categories or
families along with character stroke order data, such as the
storage sequence of the character stroke numbers within the
character information together with the character stroke count
number for that character.
The keyboard 30 shown in FIGS. 3 and 4 has eight character
stroke-type category entry keys 31 to 31 corresponding to the
basic character stroke type categories 10 to 17 respectively".
The claim defining the invention in its new form was as follows:-
"Computer processing apparatus for assembling text in Chinese
language characters, said computer processing apparatus
including:-
a memory including character stroke data storage means which
stores data relevant to Chinese character stroke-type
categories, Chinese characters and the order in which character
strokes of respective Chinese characters are written and
complementary graphic data storage means from which data
relevant to the graphic representations of each said Chinese
character may be retrieved;
display means for displaying Chinese language characters
retrieved from said graphic data storage means;
a keyboard having a plurality of input entry keys including
character stroke-type category entry keys designated by
indicating means indicative of respective ones of said Chinese
character stroke-type categories and selection means for
selecting one of a plurality of characters displayed by said
display means;
and wherein said character stroke data storage means are
searched by entering through said input entry keys search
criteria including the entered Chinese character stroke-type
categories and the order in which the character stroke-type
categories are entered through said input entry keys, whereby
upon entry of said search criteria the graphic representation
of the or each Chinese character which meet said search
criteria are retrieved from the corresponding graphic data
storage means and displayed by said display means; and
said selection means being operable to select one of said
retrieved graphic representations of Chinese characters whereby
text in Chinese language characters may be assembled".
56. The Petty Patent 616,154 issued in the same terms as the amended specification and claim set out above.
57. The respondents in paragraph 7 of their amended defence and cross-claim plead that the proper priority date of the claim of Petty Patent 616514 is 22 July, 1991, being the date of the amendment to the specification and claim. The applicants plead the priority date of the claim as 5 September, 1988, being the date of the original provisional specification.
58. Section 43(1) of the Patents Act 1990 requires that each claim of the specification must have a priority date, and by section 43(2) provides that the priority date of a claim is either the date of filing of the specification, or where the Regulations provide for the determination of a different date as the priority date, the date determined under the Regulations. By Regulation 3.12 of the Patent Regulations 1991, subject to Regulation 3.14, the priority date of a claim of a specification is the earliest of a number of possible dates. Relevantly to the present case, if the claim is fairly based on matter disclosed in one or more relevant applications - the making of the relevant application in which the matter was first disclosed. A relevant application is defined by Regulation 3.12(1)(b) as:-
"(a) a provisional application that is associated with a
complete application in accordance with section 38".
59. Section 114(1) of the Patents Act 1990 provides that where a claim of a complete specification claims matter that was in substance disclosed as a result of amending the specification, the priority date of the claim must be determined under the Regulations. Regulation 3.14 provides that where section 114(1) applies to a claim of a specification, the priority date of the claim is relevantly for present purposes the date of filing of the statement of proposed amendments that resulted in the disclosure referred to in Section 114(1) of the Act.
60. Although Petty Patent 616154 was granted under the Patents Act 1990, the provisions for the ascertainment of priority dates are essentially the same under both the 1990 and 1952 Acts. In Coopers Animal Health Australia Ltd. v. Western Stock Distributors (1986) 67 ALR 390 at 404, Wilcox J summarised the effect of the then statutory provisions. His Honour said:-
"The effect of these provisions is that in a case where a
provisional specification has been followed by a complete
specification and thereafter by a claim for a petty patent, the
priority date of the claim for a petty patent is the date of
lodgment of the provisional specification. However, this is
conditional upon satisfaction of what are stated as two
separate conditions: the application for a petty patent must be
in respect of an invention disclosed in the provisional
specification (section 51(1)) and the claim of the petty patent
must be fairly based upon the provisional specification
(section 45(a)(2)). These conditions are in reality two
separate statements of the same thing. Either both or neither
will be satisfied. The essential condition may be called the
fairly based requirement. If the requirement is not fulfilled
in relation to the provisional specification but is fulfilled
in relation to the complete specification - or any amended
complete specification - priority date of the claim of the
petty patent will be the date of lodgement of the complete
specification or amended complete specification as the case may
be".
61. The approach to be taken by the court when deciding an issue of fair basing is set out in the judgment of Gibbs J (as he then was) in F. Hoffman-La Roche and Co. A.G. v. Commissioner of Patents [1971] HCA 3; (1971) 123 CLR 529 at 538 - 539 in the following terms:-
"The question whether a claim in a complete specification is
fairly based on matter disclosed in the provisional
specification was considered by the Patents Appeal Tribunal,
constituted by Lloyd-Jacob J, in Re Mond Nickel Company Ltd.'s
Application (1956) RPC 189, at p 194 and Imperial Chemical
Industries Ltd.'s Application (1960) RPC 223, at p 228. The
test to be applied is expressed in the Act in identical
language in relation to provisional specifications and basic
applications and what was said in those cases is applicable to
the question that arises under ss. 141 and 142 of the Act.
Lloyd-Jacob J did not attempt to define all that is meant by
the phrase 'fairly based' but he gave a guide to the approach
that should be made in deciding a question of this kind. In his
opinion it is necessary to investigate three questions which,
if one substitutes a reference to the basic application for a
reference to the provisional specification, he finally
formulated as follows:
(1) Is the alleged invention as claimed broadly (i.e. in a
general sense) described in the basic application?
(2) Is there anything in the basic application which is
inconsistent with the alleged invention as claimed?
(3) Does the claim include as a characteristic of the invention
a feature as to which the basic application is wholly silent?
It is needless to say that these questions are intended to
assist the Court in applying the test laid down by the Act
itself, viz. whether the claim in the complete specification is
fairly based on matter disclosed in the basic application, but
are not a substitute for that test. In Societe des Usines
Chimiques Rhone-Poulenc v. Commissioner of Patents (1958) 100
CLR 5, at p 11, Fullagar J held that s. 45(5) of the Act cannot
be limited to cases where the subject matter of the later
application has been made the subject of a specific claim in
the earlier application, and further expressed the view that
there must be 'a real and reasonably clear disclosure'.
62. The determination of whether the invention as claimed in the petty patent is fairly based upon the provisional specification is one of fact calling for the exercise of judgment based on a comparison of the documents (see Coopers Animal Health Australia Limited v. Western Stock Distributors Pty. Ltd. [1987] FCA 355; (1987) 15 FCR 382 (FC) at 385, 399, 401).
63. The respondents submit that in the provisional specification and in all documentation lodged with the Patents Office until the amended specification and claim which led to the grant of Petty Patent 616154, the claim was based on the advancement of a principle that "Chinese characters are all formed from unique combinations of eight uniquely shaped basic elements or 'strokes'". Accordingly the invention claimed in its aspect of computer processing apparatus for assembling text in Chinese characters had as an essential integer to the claim selection criteria based upon the eight stroke type characters claimed as unique and identified in figure 1 of the drawings. Further, in the proceedings before the Examiner, the applicants for the petty patent contended that the essential feature of their invention which distinguished it from the prior art, was the adoption of the eight stroke type categories identified in the specification. The respondents submit that the specification and claim as amended in July, 1991 abandons the eight previous categories as essential integers and purports to widen the claim to all systems which employ stroke type categories, which involve direction of the stroke after its commencement as selection and search criteria. This is irrespective of the number which might be selected upon, be it under or over the eight categories identified in the preferred embodiment.
64. The applicants submit that the claim of the petty patent is fairly based on the matter disclosed in and takes priority from the provisional specification PJ0247. They submit that the invention as claimed is described in the provisional specification and that there is nothing in the provisional specification inconsistent with it and that it does not contain any feature as to which the provisional specification is wholly silent. The invention, it is submitted, is "fairly within" and "fairly foreshadowed" by the provisional specification. The applicants further submitted that the eight category characterisation was merely the preferred embodiment of the invention, and was only by way of illustrative example of the invention. The applicants also submitted that "The circumstance that material is part of the description of the invention (in the provisional specification) does not mean that it must be included as an integer of each claim". (Per Gummow J in Rehm v. Webster Security (1988) 81 ALR 79 at 95).
65. I do not agree that the reference to eight basic stroke type categories was merely part of the description of the invention claimed in the specification lodged on 5 September, 1988. The preferred embodiment, insofar as it contains reference to eight basic character strokes in figure 1, and uses those basic figure strokes as the criteria for searching and retrieving, states what is essential to the claimed invention; that is, the invention when applied in its aspect in assembling Chinese text by use of a computer, relies on the "eight uniquely-shaped basic elements or 'strokes'". In the description of figure 1, the author uses the definitive article "the" before the words "eight basic character strokes from which Chinese characters are formed". The specification does not comprehend the use of a greater or lesser number than eight because it is based on the alleged truism that all Chinese characters are formed from unique combinations of eight uniquely shaped basic elements or strokes.
66. The teaching of the specification is that because Chinese characters are composed of eight basic strokes written in a particular order to exclude from the search criteria one or more of the basic strokes will lead to failure of the invention. This will occur because a search using less than the eight fundamental stroke type categories will fail to identify strokes that are essential to the formation of a Chinese character, will identify strokes in orders other than they are written, and will alter the stroke count for each character. The specification also teaches that it is unnecessary or impossible to categorise strokes into more than the eight "uniquely-shaped basic elements of 'strokes'".
67. In the description of the invention in the provisional specification there is included a "character stroke data storage means and character identification means for identifying characters according to the character stroke content and order thereof and operating said character stroke entry means for entry of the character strokes forming a character in the stroke order defined by standard practice". What is intended by this description is that the eight uniquely shaped basic elements or strokes to the extent that all or any of them are contained in a character will be identified and the order in which they are written will be identified, and that the character strokes will be entered by an entry means identifying each relevant character stroke forming the character sought and entered in the stroke order defined by the standard method of Chinese writing.
68. When one goes to the specification and claim of the petty patent in suit, it is immediately apparent that the claimed truism in the provisional specification that all Chinese characters are formed by unique combinations of eight uniquely shaped basic elements or strokes, has been abandoned. Rather, the teaching now is that "Each character stroke may be considered to fall into one of a limited number of character stroke-type categories or families of character strokes that have common characteristics".
69. The eight character stroke-type category is a categorisation attributed to Professor McNaughton in his book "Reading and Writing Chinese". When the specification says "However a greater or lesser number of character stroke types can be categorised depending on the definition chosen for each category" it seeks to expand the area claimed to cover any and all categorisations based on character stroke types using the direction in which each character stroke is commenced or continued after a change in direction. The preferred embodiment relates to the eight basic character stroke type categories disclosed in the provisional specification. However, the author in describing Figure 1, has omitted the definitive article "the" before the words "eight basic character stroke type categories of Chinese character strokes" and has changed the description to "eight basic families or character stroke type categories". The concept of "families" has been introduced into the specification for the first time.
70. The claim as drawn purports to cover any computer processing apparatus which includes a memory including character stroke data storage means which stores data relevant to Chinese character stroke type categories, Chinese characters, and the order in which character strokes of respective Chinese characters are written. It also covers the searching of the character stroke data by search criteria including the entered Chinese character stroke type categories and the order in which the character stroke type categories are entered through the input entry keys. The specification provides its own definitions of a Chinese character "stroke" and "character stroke type category".
71. The definition of "stroke" contained in the body of the general specification is:-
"A Chinese character stroke is a brush stroke of traditional
Chinese calligraphy formed as a single unbroken line between
the point where the brush touches the paper and the point where
the brush is lifted from the paper".
In respect to "character stroke type category" the specification provides:-
"Each character stroke may be considered to fall into one of a
limited number of character stroke-type categories or families
of character strokes that have common characteristics. The
expression 'character stroke-type category' as used hereinafter
in this specification, means a category of Chinese character
strokes as defined above. Each of these categories of character
stroke types is characterized by the size and/or direction of
the character strokes in the category.
In the book 'Reading and Writing Chinese' written by Professor
McNaughton (1979), Charles E Tuttle, Japan) eight of these
character stroke-type categories are described in four pairs of
character stroke-type categories. However, a greater or lesser
number of character stroke-types can be categorised depending
on the definition chosen for each category.
A distinguished feature in each category is the direction in
which each character stroke is commenced, or the directions in
which each character stroke is commenced and then continued
after a change in direction".
72. The claim now seeks to cover any selection criteria however expressed which seeks to characterise character stroke types by the size and direction or the direction of the character strokes in the category.
73. The whole emphasis of the invention claimed has changed from the description in the provisional specification. The underlying principle in the provisional application was the alleged truism that there were eight basic stroke type categories used in Chinese writing and that the method claimed involved the characterisation of each Chinese character by reference to this natural law, and that the search criteria involved the application of this natural law combined with the fixed stroke order used in writing Chinese characters. This is inconsistent with the specification and claim of the petty patent in suit which teaches that any number of categories may be determined as a matter of choice relying simply on the size and/or direction of the character strokes to assign a particular character stroke to any one of a chosen number of categories. The provisional specification is wholly silent as to there being a liberty to characterise stroke types other than in accordance with the alleged truism underlying writing in Chinese characters, namely that all Chinese characters are formed from unique combinations of eight uniquely shaped basic elements or strokes, each stroke type being categorised by its size and direction.
74. In my view the claim in the petty patent in suit is not fairly based on matter disclosed in the provisional specification.
Is the Claim Fairly Based on any of the Earlier Applications?
75. The petty patent specification filed on 10 February, 1989 is based upon the alleged truism that there are eight stroke type categories. The description of the invention in the specification in relation to the invention in its aspect as a computer programming apparatus for assembling text in Chinese language characters, includes "A searching program which is initiated through entering search criteria based on the fundamental Chinese character strokes and stroke order for the desired Chinese character". (Emphasis added)
76. The complete specification 42052/89 lodged on 5 September, 1989 again discloses under the heading "Background of the Invention" that "Chinese characters are all formed from unique combinations of eight uniquely shaped basic elements or 'strokes'. Each stroke type is characterised by its size and direction....."
77. The description of the invention again includes "A searching program which is initiated through entering search criteria based on the fundamental Chinese character strokes and character stroke order".
78. Again Figure 1 is described as "A diagram of the stroke number allocations made to the eight basic character strokes from which Chinese characters are formed".
79. Claim 10 relating to computer programming apparatus for assembling text in Chinese language characters, includes as an essential integer "A searching program which is initiated through entering search criteria based on the fundamental Chinese character strokes and character stroke order for the desired Chinese character". (Emphasis added).
80. The petty patent application lodged on 19 March, 1991 again relates to eight stroke type categories. The description of the invention in its aspect as a computer processing apparatus for assembling text in Chinese language characters again includes a searching program which is initiated through entering search criteria based on the fundamental Chinese character strokes and character stroke order. Again Figure 1 is described as a diagram of the stroke number allocations made to the eight basic character strokes from which Chinese characters are formed.
81. The claim of the petty patent in suit is not based on any earlier application.
82. It is clear to my mind that from a fair reading of the provisional specification as a whole, and the subsequent specifications prior to the amendment, that the specification and claim of the petty patent in suit is not fairly based on the provisional specification or any other relevant application for the reasons I have expressed.
83. The claimed invention in the breadth in which it is now claimed and absent the requirement that categorisation of stroke type be based on eight identified categories fundamental to Chinese writing, first appeared on 22 July, 1991 in the statement of proposed amendment and request to amend. The priority date of the petty patent in suit is accordingly 22 July, 1991 and not the claimed priority date of 5 September, 1988.
84. The test for anticipation is set out by Lockhart J in Nicaro Holdings Pty. Ltd. v. Martin Engineering Co. [1990] FCA 40; (1990) 91 ALR 513 at 517:-
"The generally accepted test for anticipation is the 'reverse
infringement' test: General Tire and Rubber Co v. Firestone
Tyre and Rubber Co Ltd (1972) RPC 457 at 485-6; Meyers Taylor
Pty Ltd v. Vicarr Industries Ltd [1977] HCA 19; (1977) 137 CLR 228; 13 ALR
605; Minnesota Mining and Manufacturing Co v. Beiersdorf
(Australia) Ltd [1980] HCA 9; (1980) 144 CLR 253; 29 ALR 29; RD Werner and Co
Inc v. Bailey Aluminium Products Pty Ltd (1989) 85 ALR 679; 13
IPR 513 at 517.
It is well established that the prior art must disclose all
features of the invention embodied in the patent in suit and
must do so in clear, unequivocal and unmistakable terms. The
prior art must enable the notional skilled addressee at once to
perceive and understand and be able practically to apply the
discovery without the necessity of making further experiments.
Whatever is essential to the invention must be read out of or
gleaned from the prior publication: see Hill v. Evans (1862) 31
LJ Ch 457 at 466; General Tire and Rubber Co v Firestone Tyre
and Rubber Co Ltd, supra, at 486; Washtex Machinery Corp v Roy
Burton and Co Pty Ltd (1974) 49 ALJR 12 at 18; and Van der Lely
NV v. Bamfords Ltd (1963) RPC 61 at 72-3.
In revocation proceedings the prior publication must disclose
all of the integers with the possible exception of the
substitution of 'mechanical equivalents to perform analogous
purposes': Sunbeam Corop v MorphyRichards (Aust) Pty Ltd (1961)
[1961] HCA 39; 35 ALJR 212 per Windeyer at 220; R D Manufacturing Co v.
Monarch Marking Systems Inc. [1983] FCA 159; (1983) 66 ALR 265 at 273, 274, 276
and 286. Although nothing turns on it in this case, I accept
the correctness of the submission of counsel for the
respondents that the term 'mechanical equivalents' is properly
used in cases of want of novelty and the term 'workshop
improvement' is essentially a term applicable to cases of
obviousness: see Blanco White, Patents of Inventions, 5th ed,
para. 4.212 and Terrell, The Law of Patents, 13th ed, para
5.108; cfr Terrell, para 6.52.
The invention must appear in a single disclosure, so it is not
permissible to make a pattern or mosaic of or to read together
various pieces of prior art in different patents. It is,
however, permissible to refer not only to the patent relied on
as the source of disclosure but to another patent or other
patents incorporated by reference provided that it is plain
that the incorporation by reference unequivocally and plainly
demonstrates that the draftsman has adopted the cross-referencing
system solely as a shorthand means of incorporating
a writing disclosing the invention: George c Warner
Laboratories Pty Ltd v. Chemspray Pty Ltd (1967) 37 AOJP 2513
at 2516; Blanco White, 5th ed, at para 4.107 and Gratwick,
'Having Regard to What was Known and Used' (1972) 88 LQR 341 at
85. Accordingly it is necessary to see what are the integers in the subject claim and to see whether or not the prior publications relied upon by the respondents disclose all of the integers with the possible exception of the substitution of "mechanical equivalents to perform analogous purposes".
86. The relevant rules of construction of a claim in a patent are conveniently summarised by Sheppard J in Decor Corporation Pty. Ltd. v. Dart Industries Inc. (1989) AIPC 90-549 at 38,834:-
"(1) The claims define the invention which is the subject of
the patent. These must be construed according to their terms
upon ordinary principles. Any purely verbal or grammatical
question that can be answered according to ordinary rules for
the construction of written documents is to be resolved
accordingly.
(2) It is not legitimate to confine the scope of the claims by
reference to limitations which may be found in the body of the
specification but are not expressly or by proper inference
reproduced in the claims themselves. To put it another way, it
is not legitimate to narrow or expand the boundaries of
monopoly as fixed by the words of a claim by adding to those
words glosses drawn from other parts of the specification.
(3) Nevertheless, in approaching the task of construction, one
must read the specification as a whole.
(4) In some cases the meaning of the words used in the claims
may be qualified or defined by what is said in the body of the
specification.
(5) If a claim be clear, it is not to be made obscure because
obscurities can be found in particular sentences in other parts
of the document. But if an expression is not clear or is
ambiguous, it is permissible to resort to the body of the
specification to define or clarify the meaning of words used in
the claim.
(6) A patent specification should be given a purposive
construction rather than a purely literal one.
(7) In construing the specification, the court is not
construing a written instrument operating inter partes, but a
public instrument which must define a monopoly in such a way
that it is not reasonably capable of being misunderstood.
(8) The body, apart from the preamble, is there to instruct
those skilled in the art concerned in the carrying out of the
invention; provided it is comprehensible to, and does not
mislead, a skilled reader, the language used is seldom of
importance.
(9) Nevertheless, the claims, since they define the monopoly,
will be scrutinised with as much care as is used in construing
other documents defining a legal right.
(10) If it is impossible to ascertain what the invention is
from a fair reading of the specification as a whole, it will be
invalid. But the specification must be construed in the light
of the common knowledge in the art before the priority date".
87. It was submitted by Counsel for the applicants that the petty patent in suit contains a specific definition of the word "stroke" and the phrase "character stroke type category" and that such definitions must be used for construing the claim. I agree with the submission. The relevant definitions are set out earlier in these reasons.
88. Because the petty patent in suit is a combination patent, Counsel for the applicants submit, and I accept, that each of the integers claimed, although in many respects well known in combination, is to be regarded as an essential integer. The several integers claimed in the petty patent in suit are set out at the beginning of my reasons and I will not repeat them.
89. I turn now to the prior art relied upon by the respondents as establishing want of novelty in the petty patent in suit. It is conceded by the applicants that the patents and an article by Lo and Barnea were published and available in Australia prior to 5 September, 1988. The newspaper and magazine articles dealing with the claimed invention were published and available in Australia prior to 22 July, 1991.
90. The respondents rely heavily on British patents GB2 066 534, GB 118749, and an article published in the Australian Journal of Chinese Affairs by the patentees of the British patents, Lo and Barnea. The article is entitled "Processing of Information in Chinese".
91. The Barnea and Lo disclosures disclose a method of retrieving Chinese characters stored in a computer memory by the use of a code train assigning a number from 1 to 5 to each of five fundamental types of components which it is claimed are discernible in Chinese calligraphy. The components are dots (very short strokes or hooks), horizontal, vertical, positive diagonal and negative diagonal lines. The numbers are inputted through a computer keyboard in the order in which they appear in the stroke and in the order in which the stroke is written. As each stroke is input a code train is constructed by which a memory containing the characters can be searched to ascertain the code for the character sought.
92. It was argued by the applicants that the Barnea and Lo disclosure fails the reverse infringement test in at least two particular ways. The first is that the Barnea and Lo disclosure teaches a system of characterisation of the elements which comprise a Chinese character stroke and not a characterisation of the stroke as a single entity. The second area of difference is that the Barnea and Lo disclosure teaches categorisation by reference to the geometric shape of each of the elements and not categorisation of the stroke by reference to the direction of the stroke from the point where it is commenced when written in traditional calligraphy. That is, the categorisation taught in the petty patent in suit is essentially functional in terms of direction, whereas the teaching in the Barnea and Lo disclosure is the graphic form in the appearance of the completed stroke or stroke element. I am satisfied that both submissions are correct.
93. The Barnea and Lo disclosure, because it relies upon five geometric shapes which are basic, cannot accommodate complex strokes. Upon completion these complex strokes have shapes which cannot be associated with any of the five geometric shapes relied upon to form the categories. In consequence the Barnea and Lo disclosure breaks the stroke down into elements conforming to one of the defined geometric shapes. This means that in respect of any stroke which does not fall entirely within one of the defined element categories, a number of input entries equal to the total number of the basic elements comprising the stroke must be input to categorise the stroke as a whole; whereas under the petty patent in suit only one entry is necessary. Although the Barnea and Lo method will produce the same result, the means employed to achieve that result is different. Only where the stroke is composed of one element does it categorise a particular stroke to one of the five categories. That is a coincidence brought about by the particular structure of a particular stroke and not as part of the method demonstrated and taught in the Barnea and Lo disclosures.
94. It was submitted by Counsel for the respondents that the Barnea and Lo method disclosed two methods or a combination of two methods, namely categorisation of strokes as strokes by reference to the five categories when the stroke could be categorised in accordance with those categories, and a second method of categorising complex strokes by elements. I do not agree. The Barnea and Lo method teaches one consistent method of categorisation by elements. Any categorisation by allocation of a single number representing a single category to a stroke is merely coincidental.
95. The basis of the stroke element categorisation, and thus search criteria, in the Barnea and Lo method is by geometric shape and is graphic. The choice of the direction in which each character stroke is commenced and then continued after a change in direction is a distinguishing feature of each category chosen, and its use as search criteria is an essential integer of the claim of the petty patent in suit and has nothing to do with geometric shape. This essential integer is not one disclosed in the Barnea and Lo disclosure.
96. I turn now to the Bock patent (GB2 116 341). Although the Bock patent discloses computer apparatus in the identical layout to that in the petty patent in suit, it discloses a different method of characterisation of Chinese characters for the purpose of search and retrieval of Chinese characters from storage in the computer memory. What the Bock patent demonstrates and teaches is that it takes as its identifying feature of each Chinese character not the individual strokes in stroke order, but rather the radical or root from which the character is constructed. A radical or root may be constructed of one or more strokes.
97. Bock teaches that in traditional Chinese writing additional calligraphy strokes are added to the radical or root of the character in order to complete the character as a whole. Bock therefore categorises by reference to the radical or root from which the character is constructed and the additional number of calligraphy strokes needed to complete it. It assigns to each character a radical number and the additional number of strokes needed to complete it. Together the radical number and stroke number become the identifier of the particular character stored in the database. A Chinese character is retrieved by striking a key on a keyboard which identifies the particular radical and the stroke number. Alternatively, the numeric codes for the radical number and the number of additional character strokes are inputted through the keyboard. In my view the method disclosed is fundamentally different to that claimed in the petty patent in suit and does not anticipate it.
98. I turn now to the Leung patent (US Patent 4379288). The Leung patent discloses, in my view, all of the elements contained in the petty patent in suit save one. The omission is the coding criteria and coding system utilised in the petty patent in suit. In Leung the patent teaches a method which is a combination of:-
(a) Classifying strokes in terms of basic stroke types, in the
preferred embodiment limited to five, "the stroke types (being)
classified by simple geometric properties as described" in the
patent; and
(b) Combinations of two or more common sequences of characters
weighted according to the frequency of their occurrence in
Chinese text.
99. The teaching of the Leung patent is in respect of the use of categorisation by reference to geometric shape and not to the direction in which a stroke is commenced and continued after a change in direction when written. This in itself is an essential difference between the Leung patent and the petty patent in suit.
100. I turn now to the Wang Yong-Min patent (US Patent 4,684,926). The Yong-Min patent discloses in Figure 1 of the drawings five stroke type categories designated in accordance with their form and the direction of the strokes. However the patent does not demonstrate or teach that the direction of the strokes is relevant to the invention claimed. Rather, it is the geometric elements of the character which are relevant. In the summary of the invention the patentee discloses:-
"According to the invention, Chinese characters are regarded as
a form of spelling made up of geometrical elements, and can be
broken down into three levels, namely, stroke forms, roots and
whole characters. Strokes are combined to form roots and roots
to form characters. Each character includes at least one root.
Each root includes at least one stroke and has an order within
its respective character. Each stroke has a form and an order
within its respective root. The orders of roots and strokes are
determined by a traditional sequence of handwriting. This
method does not consider pronunciation, nor does it break every
character down into single strokes, but forms characters and
phrases by roots or their codes which can be inputted on the
keys of a keyboard in the sequence of writing characters by
hand".
101. It is evident that the teaching of the Wang Yong-Min patent is away from the breaking down of every character into single strokes, and takes as its point of focus the roots or their codes which can be inputted on keys on a keyboard in the sequence of writing characters by hand. The use of basic stroke categories is as part of a means to divide the chosen roots into twenty-five discreet blocks, each root being a combination of the first and second strokes in the root or alternatively the first stroke and the number of strokes in the root ordered within each block by frequency of occurrence. In consequence each root obtains an alphanumeric code. The search procedure involves the inputting of data (the codes) relevant to each root in the order in which they are traditionally written in calligraphy. Where in one embodiment an additional search function is provided relative to the searching by strokes, the method taught is not by inputting strokes sequentially in the order in which they are written until a match is found, but rather to input the first, second and last stroke of the root.
102. Although direction in which a stroke is written is referred to in the Wang Yong-Min patent, it is by reference to background information. It is not an essential part of the categorisation which in terms is geometric. The method of categorisation and the means of search do not rely upon stroke type categories in the order in which they are written to retrieve the desired character. The language of the claims of the patent, although referring to the encoding of data by reference to stroke type categories, does so for the use of that data in combination with other data for a purpose different to that in the petty patent in suit. The Wang Yong-Min patent does not teach in "clear, unequivocal and unmistakable terms" the use of the categorisation of individual strokes by reference to the direction they commence and continue after a change in direction and the order in which strokes are written as the sole search criteria.
103. I turn now to the Caldwell patent (US Patent No. 2,950,800). The patent is entitled "Ideographic Type Composing Machine". The primary object of the invention is to provide an easy to operate type composing machine for Chinese and similar ideographic languages whereby the selection of each typographical character is made by a multi-key operation, the keys being operated in a sequence which duplicates the sequence of strokes used in writing the character by hand. The patent discloses other objects and provides:-
"Another object is to provide a new and improved keyboard-operated
or equivalent selection apparatus suitable to provide
selection of ideographic characters, whether such characters be
formed ultimately by photographic means, by typewriting, or by
any other reproducing process".
(Emphasis added)
"For illustration, the following description of a preferred
embodiment has specific reference to the Chinese language
wherein a complete typographical character is referred to for
brevity as an 'ensemble'. Each ensemble is analyzed into a
plurality of 'symbols'. The symbols are the elemental strokes
or frequently- used combinations of the elemental strokes (such
combinations being called 'entities') that are successively
formed in writing the characters by hand, or special
instructions used to differentiate ensembles involving similar
stroke sequences. The input keys or comparable circuits
correspond to the respective symbols.
A feature of the machine resides in utilizing the fact that the
writing of an ensemble is accomplished by marking the component
symbols in a particular recognized sequence. It is found that
Chinese writing can be analyzed into 21 distinct elemental
strokes, disregarding the position and the scale of each stroke
within the body of a character. I provide a key for each
stroke, and I preferably include four additional special
instruction keys, and keys for each of six additional
multiple-stroke combinations ('entities') that are used with great
frequency, to make a total of 31 symbol keys in all. In the
machine described herein I have assumed but six entities, but
it will be readily apparent that the number may be increased or
decreased arbitrarily, or if desired I may provide only as may
distinct symbols and corresponding keys on the keyboard as
there are elemental strokes".
104. The patent discloses the characterisation of the strokes in a Chinese character by 21 elemental strokes. In the context I read "strokes" as meaning stroke types and covering variations reasonably falling within the class of the elemental stroke category. The specification also teaches the coding of the characters in binary form by reference to stroke category and stroke order as the identifying feature of each character. The keyboard provides for the representation of each of the 21 character strokes identified and a search procedure by use of electric impulsing and mechanical means whereby cards containing the relevant character are uniquely identified and presented in such a way that a visual image of the character is formed on a "projection means" before the operator enabling the operator to see the character chosen. The patent also provides for a means for the operator to select and retain the chosen character as displayed or to continue with the search if a different character is sought. The specification provides:-
"In general, to select a desired ensemble, the operator merely
depresses the keys successively in the same order in which the
corresponding strokes or entities would be written by hand".
105. The specification also teaches possible variations employing the same method:-
"From the foregoing description of the structure and operation
of a preferred form of ideographic type composing machine
according to this invention, it will be appreciated that the
machine may be operated from a keyboard as described or from
any other suitable circuit-operating means such as a
perforated or magnetic tape, from punched cards, from a
telegraphic or radio transmission circuit, or from other
equivalent means. In any case, such circuit-operating means
actuate a set of binary symbol entry units such as the A-relays
(Fig. 2) or the electromagnets 124 (Fig. 8). The entries cause
movement of a plurality of cards 74 or equivalent binary
ensemble registering devices which cooperate with a plurality
of rods 66 in a locator assembly 64. There is a rod 66 for each
selectable ensemble. The release of a particular rod results in
selection for photography of a corresponding ensemble situated
in predetermined relationship to the rod on a support 12.
It will also be appreciated that the movement of the cards
conforms with a binary code consisting of the serially arranged
binary codes of the component symbols entered at the symbol
entry in the proper sequence to conform with standards writing
practice.
The machine is therefore relatively easy to operate for one
familiar with handwritten Chinese. It is only necessary to
punch the keys corresponding to the various component symbols,
and after sufficient keys are punched the machine automatically
selects the proper ensemble for photography. Ordinarily, the
operator stops the successive selection of keys when the
desired ensemble automatically appears on the screen 40.
Accordingly, it is not necessary for the operator to know how
many keys need to be selected for a given ensemble, although in
the usual case this will be fewer than the actual number of
symbols therein".
106. In Figure 5 the keyboard is shown and the 21 symbols are graphically illustrated by reference to their geometric form. The selection criteria are therefore different to that in the petty patent in suit. Although the U.S. patent is pre-computer technology and in its primary object relates to a type composing machine, it discloses the features which are evident in the petty patent in suit utilising present day computer hardware and technology and in one of its objects teaches a method and means of using the categorisation of Chinese characters by stroke type category and the order in which strokes are written as a code train to search for and retrieve a Chinese character in a database and to display it on a screen for selection by the operator as "any other reproducing process". Nonetheless the direction of the stroke as a classifying category is not relevant to the patent. Accordingly it fails to identify all of the essential features of the petty patent in suit, even assuming that computer technology and hardware can be viewed as a mere mechanical equivalent.
107. I turn now to the newspaper articles and the magazine article (Exhibits 85, 86 and 18). None of these publications discloses all of the essential integers. In particular none discloses the categorisation of individual strokes by reference to the direction they commence and continue after a change in direction and the order in which strokes are written as the relevant search criteria to search, retrieve and display Chinese characters from a database.
108. In the specification to the petty patent the inventors state:-
"Computer processing apparatus for processing the written
Chinese language based on a graphic construction of characters
has been proposed in UK specifications 2 066 534 and 2 118 749
in an effort to simplify Chinese word processing. In these
proposals the operator is provided with a conventional keyboard
on which some keys have representations of parts of character
strokes so that an individual character stroke may be
constructed on the screen by assembling a sequence of parts of
the character stroke in the order in which the parts are
written to form the complete character stroke. A series of
character strokes is compiled in this way to construct the
desired character.
UK specification 2 066 534 subdivides a Chinese character
stroke into two sub-levels called 'elements' and 'components'.
The elements combine to form components which latter correspond
to the portions or segments of Chinese character strokes".
109. Counsel for the respondents submits that the suggestions or representations contained in the above extract were false because the United Kingdom patents were not concerned with the construction or creation of a Chinese character by repeated key strokes, but rather relied upon the identification of a character stored in memory of the computer by the operator inputting a code train and further that patent GB2 066 534 does not always subdivide a stroke into sub-components.
110. The first representation that Chinese strokes are constructed in segments and characters built up in this way is false. The identified UK patent uses element categories as search criteria when encoded into a code train. The second suggestion is not in my view misleading or false. The essence of the Barnea and Lo patents is to break up strokes into components and then to categorise the components by reference to the elements which make them up, being a dot, a vertical, horizontal or diagonal in either sense, line located in a particular position in a grid. Where the stroke comprises simply one element there will be overlapping between the petty patent in suit in its preferred embodiment and the Barnea and Lo method in operation. This overlapping may indeed be substantial as the evidence in the case demonstrated. Nonetheless, the fact that there is substantial coincidence between the two systems in operation does not mean that the fundamental approach in the United Kingdom patents is other than is stated in the specification of the petty patent in suit.
111. The test to be applied in determining whether the false suggestion ought to lead to the revocation of the patent was set out by Lockhart J in Prestige Group (Australia) Pty. Ltd. v. Dart Industries Inc. (1990) AIPC 90-715 (at 36,594). The test is:-
".....whether the conduct constituting the false suggestion or
representation materially contributed to the Commissioner's
decision to grant the patent even if other circumstances or
causes also played a part in the making of that decision. It is
sufficient if the conduct is a material inducing factor which
led to the grant. It goes too far to say that the false
suggestion or representation must be material in the sense that
without it the patent would not have proceeded to grant".
(See also Gummow J, with whom Northrop J concurred.)
112. There is no evidence that the examiner was mislead or that the representation was a material inducing factor which led to the grant. On the contrary. The evidence is that Mr. G.R. Brown, the Supervising Examiner of Patents, was aware that the two U.K. specifications identified operated in substantially the same way as the search means claimed in the petty patent in suit. In his decision given on 28 June, 1991 Mr. Brown said:-
"My third concern is that the claim in its present form is an
apparatus claim for standard items of computer hardware set up
in a particular way. This 'particular way' or program appears
to be very similar to that of the cited prior art. Both involve
the storage of Chinese characters in a memory, with similar
programs for identification and retrieval of the appropriate
character in response to an operator dissecting the required
character into defined constituent parts which are then
specified as a coded sequence in the correct order via a
keyboard".
113. I am not persuaded that the misrepresentation identified above was a material inducing factor which led to the grant. Although the patent specification was amended the Supervising Examiner clearly understood how the prior art operated in respect of the computer program used for retrieval and display of Chinese characters.
114. It was submitted by the respondents that contrary to section 40(2)(a) of the Patents Act 1990 the patentees did not include the best method known to them of performing the alleged invention. It was submitted that the patentees had failed to provide for a facility for the correction of incorrect keystroke input other than by deleting the strokes already recorded for a particular character and starting again. It was alleged that the patentees were aware of a facility whereby an incorrect keyboard input could be corrected by back-spacing or other editing process without the necessity for re-entering the entire character and that they knew of this facility within the period of three months before the priority date. It was further submitted that the only disclosure in the patent specification is that of a back-space function in the context of the preferred embodiment which relies upon the concept of flagging and unflagging as a means of identification of characters upon entry of the code train consisting of the stroke type categories in their natural sequence. In this context it was submitted that it was difficult to see how a back-space key would operate to flag keys which had been unflagged through the entry of a wrong key press.
115. In my view, as a matter of construction and meaning the provision of a back-space to eliminate error in the context of unflagging necessarily means that all the consequences of the error be undone by returning the database and search to the point at which it was before the error occurred. This means that the unflagging which occurred as a result of the error must be rectified by re-flagging and the computer program must contain a means to achieve this result. Although no expert evidence was called to prove that a person skilled in the area upon reading the patent specification and the reference to a back-space function would know that the program would need to provide for re-flagging to enable it to work in the prescribed manner, such a result seems to me to be obvious. The respondents have failed to satisfy me that the patentees have failed to disclose the best method known to the patentees of performing the invention.
Obviousness and lack of clarity and ambiguity contrary to S.40(3) of the Patents Act 1990
116. The respondents did not press these grounds of objection to the validity of the petty patent on trial and thereby abandoned them.
117. The starting point to determine whether the claim in the petty patent in suit has been infringed as alleged is to construe the claim of the petty patent to identify the essential integers in respect of which a claim to a monopoly is made. The approach was stated by Lord Diplock in Catnic Components Limited v. Hill and Smith Limited (1982) RPC 183 at 242 as follows:-
"My Lords, a patent specification is a unilateral statement by
the patentee, in words of his own choosing, addressed to those
likely to have a practical interest in the subject matter of
his invention (i.e. 'skilled in the art'), by which he informs
them what he claims to be the essential features of the new
product or process for which the letters patent grant him a
monopoly. It is those novel features only that he claims to be
essential that constitute the so-called 'pith and marrow' of
the claim. A patent specification should be given a purposive
construction rather than a purely literal one derived from
applying to it the kind of meticulous verbal analysis in which
lawyers are too often tempted by their training to indulge. The
question in each case is: whether persons with practical
knowledge and experience of the kind of work in which the
invention was intended to be used, would understand that strict
compliance with a particular descriptive word or phrase
appearing in a claim was intended by the patentee to be an
essential requirement of the invention so that any variant
would fall outside the monopoly claimed, even though it could
have no material effect upon the way the invention worked".
118. In the United Kingdom the observations of Lord Diplock in Catnic have not been construed as having propounded any novel principle or new category of "non textual" infringement. In Codex Corporation v. Racal-Milgo Limited (1983) RPC 369 at 381, May LJ said:-
"First, therefore, we must construe the specification and
claims in the present case purposively, through the eyes and
minds of those skilled in the art at the material time, and not
by applying to them an over-meticulous verbal analysis. Having
done this, we must then decide whether there has been an
infringement of them, approaching and answering this question
with the guidance given by Lord Diplock in those parts of his
speech in the Catnic case which I have quoted. We do not think
that the decision in this recent case has had the far-reaching
effect that Mr. Blanco White feared, or that for which Mr.
Aldous, in the alternative, contended. For instance, there is
no suggestion in Lord Diplock's speech that one should look
only to the essence or principle of a patent in suit and hold
there to have been an infringement merely because that essence
or principle has been made use of by the alleged infringer.
There may have been, or there may not. The question to be asked
is one of construction, but of purposive or realistic
construction through the eyes and with the learning of a person
skilled in the art, rather than with the meticulous verbal
analysis of the lawyer alone".
119. A similar approach has recently been taken by the English Court of Appeal in Willemijn Houdstermaatschappij BV v. Madge Networks Ltd. (1992) RPC 386 at 388 - 389, 399.
120. The same approach has been taken by Full Courts of this court in Populin v. H.B. Nominees Pty. Ltd. [1982] FCA 45; (1982) 59 FLR 37 at 42 - 43, Rhone-Poulenc v. Agrochimie S.A. v. UIM Chemical Services Pty. Ltd. (1986) 12 FCR 477 at 496 - 498.
121. The applicants submit that there is no ambiguity in the claim and that accordingly it is impermissible to resort to the body of the specification to vary or qualify the ordinary meaning of the words as used in the claim (see Interlego A.G. v. Toltoys Pty. Limited [1973] HCA 1; (1973) 130 CLR 461 at 478 - 479; Decor Corporation Pty. Limited v. Dart Industries Inc. (1989) AIPC 90-549 at 38,827, 38,834; N.V. Philips Gloeilampenfabrieken and Philips Lighting Pty. Limited v. Mirabella International Pty. Limited (Unreported, Full Court, 26.8.93 per Lockhart J at 38 with whom Northrop J agreed). I agree with the submission but would add that the claim must be read in the context of the specification read as a whole.
122. The integers of the claim are set forth at the beginning of these reasons. In considering the question of novelty I agreed with the submission of Counsel for the applicants that each of the integers should as a matter of construction of the claim be treated as essential. This followed from the claim being one for a number of particular integers in combination.
123. The claimed apparatus in terms of conventional computer hardware components consists of:-
(a) a memory
(b) a display means
(c) a keyboard which also operates as a selection means having
designated keys
(d) a central processing unit.
The character stroke data storage means is to consist of data relevant to:-
(a) Chinese character stroke type categories as defined in the
body of the specification
(b) Chinese characters
(c) the order in which Chinese character strokes of the
respective Chinese characters are written.
124. The character stroke data storage means "are searched by entering through said input keys search criteria including the entered Chinese character stroke type categories and the order in which the character stroke type categories are entered through the said input keys". It is by entry of the search criteria that the graphic representation of the or each Chinese character which meet the search criteria are retrieved from the corresponding graphic data storage means.
125. There was in the evidence and in the submissions made by Counsel considerable debate as to the meaning of the word "search" in the claim. Mr. T.J. Rogers, an expert computer programmer called by the applicants gave the following evidence:-
"MRS MULLINS: Mr Rogers, does the term 'search' have any
meaning in computer circles so far as programmers and people
who use computers are concerned?---Yes
It does. To you, what does the word 'search' mean?---It means
processing data from one end to another, looking for a specific
- anything; anything that you set as a - something to look for.
So you use search as a word that is interchangeable with the
word 'processing'?---By searching you are processing the data,
yes.
Even if that processing is done on the basis of a mathematical
calculation?---Mathematics could be involved to make the final
decision.
The Dictionary of Computing and New Information Technology
defines search as:
A systematic examination of information in a data base. The aim
is to identify items which satisfy particular preset criteria.
?---Sounds fair.
You agree with that definition. That definition seems to fall
short of processing though, does not it?---It depends how you
have to define your criteria. If it's a simple comparison,
there is probably nothing involved, but if it has to evaluate
to a certain thing, there may be complex - - -
I suppose that is the key to a search, is not it; it is a
comparison between one bit of data and something else?---The
search in itself is looking in a sequential order; that's the
search part. The decision-making would be the calculations.
Yes?---But the actual search is going from one end to another,
in my opinion.
So processing could involve the two steps: the search and the
calculation. Do you agree with that?---Yes".
126. Mr. A.W. Garnham, the third respondent, was also experienced in computers but did not have the expertise of Mr. Rogers. He was called to give evidence by the applicants. He said:-
"But I am right in my understanding that search is a term that
is commonly used in computer circles to have a technical
meaning?---Yes.
Are you aware of this dictionary, the Dictionary of Computing
and New Information Technology?--- No.
Well, perhaps its definition of search might be closer to
yours:
A systematic examination of information in a data base. The aim
is to identify items which satisfy particular pre-set criteria.
?---That would be very close to my view".
127. I am satisfied that a skilled addressee would understand the word "search" in the claim to mean a systematic examination of information in the database stored in the character stroke data storage means which stored data relevant to Chinese character stroke type categories, Chinese characters, and, the order in which character strokes of respective Chinese characters are written and a like examination of the database stored in the corresponding graphic data storage means from which data relevant to graphic representations of each Chinese character could be retrieved.
128. I am further satisfied that the skilled addressee would understand that the character stroke data storage means was searched by entering search criteria through input entry keys on the keyboard. The aim of the entry of the search criteria would be to identify items within the character stroke data storage means which satisfy the particular search criteria. Relevantly for the purpose of the claim the criteria to be entered through the entry keys must include the entered Chinese character stroke type categories and the order in which the character stroke type categories are entered through the input entry keys. As there are designated input entry keys on the keyboard corresponding to each of the Chinese character stroke type categories chosen, the skilled addressee would understand that the depression of each key would initiate a search which commenced on depression of the first key by undertaking a systematic examination of the database stored in the stroke data storage means to identify characters, the first stroke of which fell within the stroke type category entered by the operator. The addressee would also understand that the search was continued by the depression of the second designated stroke type category key, this time undertaking a systematic examination of the database stored in the character stroke data storage means to identify characters whose first and second strokes fell within the categories of stroke type entered and which strokes are ordinarily written in the order corresponding with the sequence of the depression of the designated input key for the corresponding stroke type category.
129. The teaching of the claim is that the search progressively narrows down the available data in the character stroke data storage means which will satisfy the increasing particularity of the search criteria. Because the input search criteria relates to character stroke categories as opposed to particular individual strokes, the claim teaches that such criteria may identify different characters which satisfy the search criteria but nonetheless are constituted by different strokes. Thus a choice is to be made. Provision of the choice is found in the requirement that the keyboard include "selection means for selecting one of a plurality of characters displayed by the said display means". In order to make the choice between possible conforming characters, the petty patent teaches that upon entry of the search criteria the graphic representation of the or each Chinese character which meets the search criteria are retrieved from the corresponding graphic storage means and displayed by display means. That means that retrieval and display of the Chinese characters are dependent upon satisfaction of the search criteria of character stroke type categories and the order in which the character stroke type categories are entered through the input entry keys.
130. As the claim requires the retrieval and display of all Chinese characters which satisfy the search criteria upon depression of the input entry key or keys and as a skilled addressee would know that there may be thousands of characters satisfying the search criteria, the skilled addressee would understand that the search criteria would have to be increased and the character stroke data means searched until a point was reached where all the available conforming characters were capable of being displayed within the limits of the display means or the search was limited by the addition of additional search criteria other than Chinese character stroke type categories and the order in which character stroke type characters are entered through the input entry, such additional criteria itself being entered through input entry keys. When the conforming Chinese characters are displayed on the screen in consequence of a search conducted of the character stroke data storage means using search criteria including character stroke categories and the order in which the character stroke type categories are entered through the said entry input keys, there must be a means to select one of the retrieved graphic representations of Chinese characters whereby the text in Chinese language can be assembled.
131. The applicants' case is that the Jiejing program, when loaded into standard computer equipment or supplied in an EPROM cause that equipment to operate in such a way as to match the essential integers in the computer processing apparatus, the subject of the claim of the petty patent in suit. Accordingly the applicants submit that to sell the program itself constitutes an infringement of the petty patent or alternatively induces a third party to whom the program is sold to infringe the petty patent.
132. The approach of the applicants to the question of infringement is essentially reflected in the following cross-examination of the fourth respondent who was the computer programmer who wrote the relevant Jiejing program:-
"Now when a user begins to search - I withdraw that. When a
user starts to obtain a character from the Jiejing programme,
Mr Yates, he presses that key which can be described as an
input entry key, does he not?---Yes.
And by pressing that key he indicates that the character he
wants has a first stroke within that stroke type category?---
Yes.
And by pressing subsequent keys, if necessary, he indicates
that the character he wants has subsequent strokes within the
categories entered in order?---Yes.
And - but having entered that information there comes to the
screen a graphic representation of a number of Chinese
characters?---Yes, there would have been progressive ones on
the way through, too.
Yes. But assuming that sufficient strokes have been entered in
the - or stroke categories have been entered in the appropriate
order, the one that the user wants should be there, either
uniquely or available for selection from the number?---Yes. And
it is the user entering the information he did, that retrieves
the graphic data for that character on the screen from the data
in the computer?---Yes.
And the program has the - by use of the appropriate cursor key
and another key if necessary, can select the graphic
representation of the Chinese character as the one decided by
the user?---Yes.
There is - now the Jiejing program is sold for use on the
computer, is it not, to achieve the selection of Chinese
characters for use in producing Chinese text?---Yes, that's one
of the uses it is sold for.
And it is unimaginable that anyone who did not want to use the
program on a computer would buy it?---I can't imagine a user
buying it without having a computer".
133. The applicants submit that the petty patent in suit does not claim the method by which the computer upon search by entry of the relevant criteria achieves retrieval and display nor does it claim exhaustive criteria to be entered. The claim, it is submitted, in the reasonably detailed features characterises the apparatus and the means by which the desired result is to be achieved. Thus it is submitted that it is sufficient if the Jiejing program causes a computer loaded with it to function in the same way as the apparatus claimed. That is, as reflected in the above cross-examination it is sufficient that by pressing designated stroke type category keys in the order in which the strokes are ordinarily written Chinese characters are displayed on a screen having been retrieved from a graphics database in consequence of the depression of the entry keys in the order chosen by the operator.
134. Such an approach is in error in my view. What it seeks to do is to look only to the essence or principle of the patent in suit and contend that there has been infringement merely because that essence or principle has been made use of by the respondents. As May LJ made clear in Codex Corporation v. Racal-Miglo Limited at 318, in the passage cited earlier in these reasons - "There may have been or there may not" - but that is not a correct approach; nor is it the correct question to be addressed (Willemijn Houdstermaatschappij B.V. v. Madge Networks (1992) RPC 386 at 399).
135. The principle or essence of the claim which the applicants have sought to advance as being infringed is the retrieval of Chinese characters from a database and their assembly in text using standard computer equipment whereby the entry by keyboard input of data relating to stroke type category in the order in which a stroke within that category is ordinarily written, after processing in the memory of the computer of data causes characters to be displayed on a display unit and assembled into text. That is, it is sought to make the particular means employed to process the data and to achieve the result irrelevant both as a matter of construing the claim and as a matter relevant to infringement. As I have indicated above, the claim of the petty patent in suit to a skilled addressee teaches a means of search of a character stroke data storage means of the type described in the claim by specified search criteria, conformity with such criteria causing all relevant characters to be displayed. The means claimed and the criteria claimed are essential integers of the claims of the petty patent in suit.
136. The Jiejing program in part relies upon stroke type categories and the order in which they are ordinarily written being inputted into a keyboard. However, the operation of the program is to produce on the screen the display of up to five Chinese characters which commence with a stroke falling within the stroke type category first entered by the keyboard operator or which have second and subsequent strokes falling within the categories of stroke type entered by the operator and ordinarily written in the order in which they are entered. The difference is that the means by which a display is achieved and what is displayed is different to and does not infringe the means and criteria taught in the claim of the petty patent in suit.
137. The expert evidence as to the Jiejing program was given by Mr. Rogers, the fourth respondent Mr. Yates who I find is a computer expert, and Mr. Garnham. Mr. Garnham's evidence essentially relies upon the use of and an explanation of tests undertaken by Mr. Rogers. I am not satisfied that Mr. Garnham has the expertise to fully understand the workings of the program in the Jiejing program; nor was he concerned to explore fully how the program worked. Like Mr. Rogers, he only concerned himself with attempting to find steps in the program which he claimed infringed steps in the operation and working of the claimed apparatus which led to the claimed result. Both Mr. Rogers and Mr. Garnham sought to identify what was claimed to be the beginning and end of a search routine without analysing what in fact occurred between these two points. Accordingly, I have preferred the evidence of Mr. Yates, notwithstanding that he has an interest in the outcome of the proceedings. The evidence of Mr. Yates is substantially in agreement with that of Mr. Rogers save in the matter of search routines and in that respect Mr. Rogers, in my view, failed to adequately investigate or explain how and using what criteria any search routines were undertaken.
138. The distinguishing feature of the Jiejing program is that it is based upon the frequency of use of Chinese characters commencing with a stroke falling within one of ten stroke type categories, or a combination of two or more strokes falling within two or more stroke type categories in the order in which the character is written. Thus, on the depression of one key there will be retrieved and displayed the five Chinese characters most frequently used which commence with a stroke within the category of stroke entered. The choice of the characters for display on the basis of frequency of use does not occur in consequence of the input of any frequency criteria by the operator using the keyboard. The choice of a character by frequency of use is an essential part of the program and it is not a feature which can be turned off when the computer is in use. The use of the highest frequency of character use as the display criteria means that if there are more than five characters commencing with the stroke in the chosen stroke type category only the five characters having the highest frequency of character use will be displayed; the others will not be displayed.
139. The Jiejing program operates by reference to a "look up" or "go to" table containing the addresses of each Chinese character in the database represented by a particular coding. The Jiejing program assigns a value to each stroke type category key and calculates the starting address and ending address within the look up table for Chinese characters which commence with a stroke falling within the stroke type category assigned to a particular key. Knowing the start address and end address, all characters between the two points are valid. Within the set of available characters, each character is given an address represented by a particular coding. The particular coding is determined by the frequency of use of the character. It is an algorithm which enables the program on the depression of the first key to move directly to the character addresses. Thereafter it is the selection of the five highest frequency of use characters which takes the program to the addresses of the five relevant Chinese characters which are then retrieved and displayed on the screen. When a second stroke is entered representing a second stroke type category, the program goes to the first character address of the character which commences with stroke type categories in the order represented by those two key presses. This address is also found from the character location table. Thereafter the program selects the character addresses of the five characters having the highest frequency of character use and those characters are retrieved from the character database and displayed on the screen.
140. Although the character location table determines the entry point into the database for the first and second key presses, the position is different for the subsequent key presses. For the third key press the program starts at the end of the character addresses for the second key press and the values that apply to the order of the first, second and third key presses. The end of that calculation is the starting point for the fourth key press. It is the five highest frequency of use values obtained on the press of any key from and including the first key which are used to calculate the address of the relevant characters for retrieval and graphic display upon the entry of each and every key stroke.
141. It is clear upon the evidence of both Mr. Yates and Mr. Rogers that the computation of the relevant location table is performed prior to the first key entry being made by the operator. Mr. Rogers gave evidence that when the program was loaded it automatically searched the databases and constructed the "look up" or "go to" table which was valid for the first two key stroke type category entries. Mr. Yates gave evidence that the tables were constructed and entered into the program prior to the program being sold. It is clear that at some time the databases would have to be searched in order to construct the table and it is clear that it would be the databases which were ultimately loaded into the memory. Mr. Yates gave evidence that this occurred prior to the production of the individual program and was copied for the purpose of incorporating it into the program as sold. Mr. Yates gave the following evidence:-
"HIS HONOUR: Do I understand your evidence to be that the
addresses for the first of three key strokes are worked out
prior to the program being loaded into the computer?---Your
Honour, those addresses are built into the index - the
frequency index file which is called, in the case of
traditional T frequency dot JJ or simplified S frequency dot JJ
Part of the file is this table and it is pre-calculated by the
program which makes the table and it is simply loaded from the
disk and placed on the file, placed into the memory at the time
the program is first started.
.....
MR. GARNSEY: You said that the table - I think it was T
frequency JJ, to take the traditional version number - - -?---
Yes.
- - - was made when the program was loaded?--- No, it's made
well prior to that. It's made when the index was calculated,
which is done not with this program at all, with another.
What index?---The index being the tree and the table and the
word index.
You say the index being the tree and the table and the word
index?---Yes.
By the table, do you mean the table T frequency JJ?---No, no.
There's three parts to T frequency JJ It's not a single entity.
It's a single file but there are three parts of it. One is this
tree structure, one part.
Yes?---The second part is the table which is called the look-up
table or the go-to table or whatever you want to describe it
as, which is on example 3 of Thomas Rogers statement, and then
there is another section to do with the word index which brings
back our word help, which is not mentioned anywhere at all.
And when you said the tree section, you had in front of you
exhibit 29 of Mr Rogers' statement and you pointed to, did you,
page 2 of TR2?---Yes.
Now, I may have misunderstood your answer, but I thought you
said you used the programme to create the table when the
programme was first run?---No, I didn't - I haven't said that
at all, I don't think. If I have given that impression - that
is wrong. The table is not created by the programme. We have
got to specify which programme. It is not created by the
Jiejing programme which is loaded, no.
Is it created by another programme?---It is created by another
programme, but it is not part of the - of what was sold with
Jiejing.
And what is that other programme?---That programme is CC not
EXC.
Yes, and is that programme used to create the tree as well?---
It creates the entire structure necessary to retrieve the
characters in this matter.
And if you change the table would it be necessary to change the
tree?---They have to be related, of course, yes.
And the operation of the creation of those - of the three and
the table, I put to you, is a presearch of the entire data base
created, as you say, by Dr Chappell?---That is again a great
jump of things. There are a lot of stages in between there.
That statement is not - I can't say yes or no to anything
because there are a number of sections. If you break it up I
can answer each individual part.
Now the tree, though, is originally created, is it not, from a
search of the entire data base?---It's - no, it's created from
a file called Frequency.DBF. Frequency.DBF contains the
frequency values for the various characters and words used
within a particular version of the programme. The master data
base contains all words - that is Chinese words and their
stroke categories untruncated - that is complete. It is - there
is no truncation in the master data base. It has all of the
characters and all of the strokes, and that is equally true if
they're Japanese, Chinese, or Korean, for that matter. And from
that we select according to the ones which have a frequency for
that particular language that we're creating the frequency file
for - the T frequency file, for example, we select which
characters are going to be included and at that point that
creates the tree, the table, and the word associations".
142. I accept the evidence of Mr. Yates in preference to Mr. Rogers as it seems to me that there is no reason to disbelieve Mr. Yates as to what he actually did to construct the program. Mr. Rogers was attempting to reconstruct the workings of the program using a program called SOFT ICE. Whether that program merely showed the loading of the look up table upon the loading of the Jiejing program which Mr. Rogers has assumed was created by a pre-search of the databases in the computer or shows the program actually carrying out of a pre-search routine I am unable to say. The matter was not fully developed in evidence with Mr. Rogers. In any event, on the evidence of both men the tables were constructed prior to and without the entry of any search criteria input by keyboard keys relating to the Chinese stroke type categories and the order in which the strokes are written. Any searching of the database which occurs occurs either externally and anterior to the use of a computer loaded with the Jiejing program by the use of another program to construct a look up table for use in the Jiejing program, or, within a computer loaded with a Jiejing program by the operation of the Jiejing program itself independently of and anterior to the depression of any designated Chinese stroke type character key by the operator of the keyboard.
143. Importantly, the look up table does not form part of what is described in the claim of the petty patent in suit as "the character stroke data storage means". It is a table containing the addresses of the character location in the database. It is not a database which is systematically examined to identify all characters whose first and subsequent strokes fall within the category of stroke types in the order entered by key input and on the basis of that search criteria all characters which satisfy the criteria are caused to be retrieved from a corresponding graphic data storage means and displayed.
144. It was submitted by Counsel for the applicants that because the Jiejing program would identify unique characters with a low stroke count, that is, characters where one or two stroke type categories inputted via the keyboard would uniquely define the character and display it, the Jiejing program infringes the petty patent in suit and that the additional features of the program, such as frequency of character use and the "word help" facility which operates by reference to linguistic and grammatical criteria, do not save it from infringement. I do not agree. The Jiejing program, because it retrieves and displays by frequency of use of a character may not display a unique character unless that character itself falls within the five highest frequency of use characters which have as their first or second strokes strokes in the stroke type categories which constitute the unique character. The Jiejing program in fact operates so as to identify and separately display any unique character identified. The identification and display of the unique character is in addition to and separate from the five characters displayed upon the basis of frequency of use of those characters.
145. The petty patent in suit does not claim as an essential feature the individual identification and display of unique characters. The petty patent in suit teaches that all characters which satisfy the search criteria will be displayed. Unique characters are displayed along with all other characters which satisfy the search criteria. The fact that they are unique is merely coincidental to the fact that no further strokes are required to complete them. The petty patent in suit makes no attempt by means of a search to identify and separately display any unique character. The identification of a unique character in the petty patent in suit is left to the user of the computer identifying the unique character from all of the characters displayed and using the selection means to choose that character if it is the desired character. That is, the search means does not operate to find and isolate any unique character and tell the user of the apparatus that it is a unique character; the Jiejing program does so. Nor does the operation of the F10 Alt key in the Jiejing program infringe the claim of the petty patent. Depression of the key operates in reverse to display the symbols for the stroke type categories for a particular character in the order in which they are ordinarily written. This is neither an integer nor a feature of the claim of the petty patent.
146. The petty patent in suit and the Jiejing program both seek to solve the same problem, but they come up with different solutions. As part of the solution both use stroke type categorisation input in the order that strokes of that type are ordinarily written. However, as Mr. Jordan, the applicants' linguistic expert said in evidence, it is inevitable that any efficient system of word processing in Chinese characters will involve the use of stroke categories and stroke order. There is one further point. As the applicants developed their case to distinguish the petty patent in suit from the prior art by reference to the specific definition of all categories of stroke type being distinguished by the direction in which a stroke is commenced and continued after a change of direction in traditional Chinese calligraphy, it became apparent that the stroke categories adopted by the Jiejing program do not satisfy that definition. The dot and horizontal categories are both graphic categorisations and direction is not a distinguishing feature of the categorisations. It is arguable that the left and right diagonal categories are also merely graphic so that four of the ten categories chosen fall within the five graphic geometric forms used in the Barnea and Lo patents. Dr. Chappell gave evidence that the ten stroke type categories he has chosen were not based on the categories claimed in the petty patent in suit and were based on linguistic and visual considerations and the inter-action and meaning which a literate Chinese writer would associate with the stroke. He was not challenged in cross-examination on that evidence.
147. For the above reasons a computer loaded to operate with the Jiejing program does not in my view infringe the claim of the petty patent in suit.
148. It was also argued by the respondents that the sale of a computer program and instruction booklet could not constitute an infringement of the patent even if the petty patent in suit was valid. It was submitted that the trap purchases of the program prior to the coming into force on 30 April, 1991 of the Patents Act 1990 did not infringe the petty patent in suit for two reasons. The first is that petty patent number 583008 expired on or about 13 June, 1990 and extension of it was refused. The petty patent in suit was applied for on 19 March, 1991 and sealed on 26 August, 1991. The petty patent in suit therefore does not cover sales occurring prior to 26 August, 1991. The second reason is that the claim is for a combination of integers comprising a product namely a computer processing apparatus for assembling text in Chinese language characters. It was submitted that the sale of a computer program on a disk with accompanying instructions, even though it may comprise one or more parts of the combination, would not have infringed the patent under the Patents Act 1952 (Walker v. Alemite Corp. [1933] HCA 39; (1933) 49 CLR 643 at 654, 658; Windsurfing International Inc. v. Petit (1983) 3 IPR 449 at 456 - 459) and after 26 August, 1991 did not infringe the petty patent unless such sales were caught by section 117 of the Patents Act 1990.
149. There is no evidence that the respondents or any of them has supplied to a third party a computer loaded with the Jiejing program or a computer and a program to be used together.
150. The Jiejing program sold since 30 April, 1991 is, I find, in all respects the same as the program sold prior to that date. Thus it is submitted even if section 117 of the Patents Act 1990 had application to the supply of the program and instruction book and its use in a computer was a use to which that section applied, thereby making the supply of an infringement of the petty patent in suit, the conditions contained in Regulation 23.11 of the Patents Regulations 1991 have been satisfied. The consequence is, so it was submitted, that section 117 of the Act has no operation in consequence of the operation of Regulation 23.11 to the supply of Jiejing programs after 30 April, 1991. One of the relevant conditions is that supply of the product prior to the coming into operation of the Patents Act 1990 on 30 April, 1991 would not have infringed a patent under the Patents Act 1952.
151. Counsel for the applicants submitted that the sales with instructions since 30 April, 1991 would have constituted an infringement under the Patents Act 1990 notwithstanding section 117 of the Act and Regulation 23.11 on the common law basis of the respondents, or some of them other than the third respondent, being joint tortfeasors with a purchaser who used the program in a computer, or, as a secondary infringer being a person who aided, abetted, counselled or procured a purchaser to infringe by using the program in the computer. In support of these submissions he relied principally on the judgment of Wilcox J in Best Australia Limited v. Aquagas Marketing Pty. Ltd. (1988) 12 IPR 143 at 146 - 147. Wilcox J relied in relation to joint tortfeasors on a decision of Graham J in Morton-Norwich Products Inc. v. Intercen Ltd. (1978) RPC 501. Graham J held that the principle of joint tortfeasors applied to patent infringements. His Honour said, at 512:-
"Persons whose respective shares in the commission of a
tortious act are done in furtherance of a common design are
properly regarded as joint tortfeasors".
152. The mere sale of a computer program with a book of instructions does not establish the necessary doing of an act in furtherance of a common design that is necessary to constitute the buyer and seller of the program and instructions joint tortfeasors. There is in the evidence before me nothing which would satisfy such a test. Likewise I doubt that the mere sale of the program with instructions goes beyond the facilitating of the doing of an act to become the procuring of the doing of the act which was the basis of the second decision referred to by Wilcox J in Best Australia, namely Exploitatiemaatschapij Lavender B.V. v. Whitten Industrial Diamonds Ltd. (1979) FSR 59 at 65. The essence of the English authorities is that there must be a procuring in the sense of persuading a party to commit the tort of infringing the patent (see Dow Chemical A.G. v. Spence Bryson and Co. Ltd. (1982) FSR 397 at 403 - 404; Kalman v. P.C.L. Packaging (U.K.) Limited (1982) FSR 406 at 423 - 424).
153. The existence of a tortious liability for contributory infringement or procuring or inducing a third party to infringe a patent where the act relied on is the supply of a contributing product and instructions has been doubted in this country.
154. In Firth Industries Ltd. v. Polyglas Engineering Pty. Ltd. [1975] HCA 25; (1975) 132 CLR 489, Stephen J said at 497:-
"Now the infringement of these method claims which is alleged
is not that the defendants themselves employed those methods
but that they advised and procured others to do so by selling
infringing bins together with instruction folders as to their
use. Assuming that this amounts to infringement, a matter open
to some doubt - see Innes v. Short (1898) 15 RPC 449 and
compare Townsend v. Haworth (1875) 12 ChD 831(n), Adhesive
Dry Mounting Co. Ltd. v. Trapp and Co., per Parker J (1910) 27
RPC, at p 353 and Walker v. Alemite Corporation, per Dixon J
[1933] HCA 39; (1933) 49 CLR 643, at p 658.....".
155. In Ryan v. Lum (1989) 14 IPR 513 at 522, although finding it unnecessary to finally determine the matter, Young J said after reviewing the authorities:-
"It seems to me, however, in the light of analogous cases in
copyright such as CBS Songs Ltd. v. Amstrad Consumer
Electronics PLC [1988] UKHL 15; (1988) AC 1013; (1988) 11 IPR 1, that it would
need a lot more than mere instructions of use on a product to
enable a court to find the seller procured the tort".
156. Even if the law as to contributory infringement is the same in Australia as in England, the test is an onerous one. Although the decision of the House of Lords in CBS Songs Ltd. v. Amstrad Consumer Electronics PLC concerned infringement of copyright, the principle in this aspect of infringement is the same. Lord Templeman in the leading opinion of the House, said at 1058:-
"Generally speaking, inducement, incitement or persuasion to
infringe must be by a defendant to an individual infringer and
must identifiably procure a particular infringement in order to
make the defendant liable as a joint infringer".
157. In the instant case it is sufficient to say that the evidence does not satisfy the test laid down in the English authorities without determining whether or not a doctrine of contributory infringement forms part of the law of Australia. For completeness I should record the argument of Counsel for the respondents who submits that if such a tort did exist under the law of Australia it had been abolished or codified by the enactment of section 117 of the Patents Act 1990.
158. Counsel for the respondents also submits that in any event the respondents were entitled to the benefit of section 119 of the Patents Act 1990. That submission may be quickly dismissed. The relevant product for the purpose of the exemption from infringement in section 119 of the Patents Act 1990 is the product claimed in the claim of the patent. In the instant case the relevant product is a computer processing apparatus for assembling text in Chinese language characters. It is not the program by itself. The respondents were not at the priority date making such a product.
159. The applicants have failed to establish that any conduct on the part of the respondents infringes Petty Patent No. 616154. The respondents are entitled to judgment and the application will be dismissed.
Conclusion on the Respondents' Cross-Claim for Revocation of Petty Patent
160. The respondents have succeeded in their objection to the validity of Petty Patent No. 616154 on the ground of lack of a patentable invention. The respondents are entitled to a declaration that the petty patent is and always has been invalid and for an order that it be wholly revoked on the ground that the invention is not a patentable invention.
Crossclaim of the Fifth Respondent for Infringement of Copyright
161. The fifth respondent, Dr. Chappell, claims copyright in a compilation of Chinese characters together with the stroke type categories relevant to each character. Using eight stroke type categories and assigning a graphic symbol to each category, Dr. Chappell or persons under his supervision have coded each character by use of the symbols representing the character strokes in the order in which they are ordinarily written. This has resulted in a code train comprised of symbols being written against each character. There are in total approximately 13,000 characters. The compilation was constructed by keying into a database containing Chinese characters the relevant code for each character. The compilation therefore resides in the computer database (Exhibit 60) and a print-out of the database made in late January, 1989 together with written amendments and additions to the print-out of the database (Exhibit 72). The print-out with the written amendments and additions constitutes the compilation as at 7 February, 1989. Thus Exhibit 60 and Exhibit 72 contain the same material although recorded in a different medium.
162. It is alleged that the applicants and the third respondent have infringed the fifth respondent's copyright in the character compilation by substantially reproducing it in the database of a computer program "EasyWord" and in the written instruction manual for use with the said program and by supplying the program and manual (both versions) by way of sale.
163. The applicants and the third respondent deny any direct copying of the character compilation and further deny that the fifth respondent holds any copyright as alleged or that the database used by the applicants infringes any copyright which he may hold. So too it is denied that the Easyword manual infringes any copyright held by the fifth respondent in the compilation he claims copyright in.
164. The case mounted by the fifth respondent is based upon three matters:-
(a) The similarity of the contents of the Easyword manual and
the print-out and hand-writings in annexure "A" to Exhibit 72;
(b) The alleged opportunity for copying;
(c) A diary entry in the work diary of Matthew Lewis, a
computer programmer engaged by Uni-X Pty. Limited ("Uni-X") a
company controlled by Mr. Thomas and Mr. Stohr in February,
165. Dr. Chappell's first involvement with the development of a computer program to enable the assembly of text in Chinese characters came in late October or early November, 1988. It occurred as a result of a letter sent by Dr. Chappell on 21 October, 1988 to Mr. Thomas following press publicity Messrs. Thomas and Stohr received concerning their claimed invention for assembling Chinese text. After a series of meetings and discussions in November, on 16 November, 1988 Uni-X delivered five computers to the Mount Gravatt campus of the Brisbane College of Advanced Education where Dr. Chappell worked. The purpose of delivering the computers to the college was to use Chinese students studying there to validate and test the program and to input data relating to stroke type categories into a database of Chinese characters. The database originally supplied contained about 4,500 character images. The database was expanded to approximately 13,000 character images by mid to late November, 1988.
166. On or about 21 November, 1988 Mr. Thomas advised Dr. Chappell that he wanted a demonstration program to show by 27 November, 1988 and that it was sufficient if it contained a few thousand characters with stroke categories so that Mr. Thomas could demonstrate the program. In the three days immediately prior to 27 November, 1988 Dr. Chappell and a Chinese student, Fred Hong, inputted all data for stroke type categories for approximately 3,000 - 3,200 characters in order to allow a demonstration program to be completed. That demonstration program was given to Mr. Thomas by Mr. Yates at a meeting between Dr. Chappell, Mr. Yates, Mr. Thomas and Mr. Stohr on 27 November, 1988. The inputting of characters by Dr. Chappell and Mr. Hong had followed a set of rules developed by them for the classification of strokes which rules were progressively developed in November and December, 1988 and January, 1989.
167. Although Mr. Thomas says that he did not receive any updated program after November, 1988, I do not accept this. Mr. Stohr in his evidence in cross-examination admitted that the display program was thereafter updated from time to time.
168. By 11 January, 1989 Dr. Chappell had completed the inputting of stroke type categories for 6,000 - 8,000 characters. On 11 January, 1989 I find that Mr. Yates came to the Brisbane College of Advanced Education and updated a new computer program which he had written with the database of characters and stroke type categories which had been prepared at the college. Dr. Chappell gave the following account of the meeting:-
"THE WITNESS: Okay. After I had run the computer models and the
analysis we started to use the full size of the character
database. We noticed that several problems came up, and one was
that the machines were creating a lot of errors. This does
relate to contact. I contacted both Mr Yates and Mr Thomas to
say that there were a lot of difficulties with the machines,
and that led to in - on 11 January - no, on actually 16 January
- a larger computer with a little bit more power to be put in.
Those initial discussions resulted from my pointing out the
difficulties with the existing machines and that would have
been towards the end of the first week in January.
MRS. MULLINS: What contact did you have with Mr Thomas? Did you
have any other contact with Mr Thomas relating to the work that
you were actually doing on the project?---Okay. Now, there were
two separate stages in here which relate to my contact in
particular with Mr Thomas. Essentially, my work at that time
was working with characters in the stroke-type categories. I
worked with computers and with computer programmes, but the
part that I had wasn't able to be executed into a display on
the screen or anything which - like a word processor or
anything like that. Mr Yates worked on that. In order to put
those together, it was necessary for Mr Yates either to come
with his part to me or I had to take my part and go to him. Mr
Thomas was again quite anxious to get a working programme
altogether, and on January 11 Mr Yates came up from the Gold
Coast in order to update the programme. Now, what that means is
that Mr Yates had made changes to his programme, but that's
just a programme. Without any data, that wouldn't run, so what
he had to do was come up to the college in order to take now my
character compilation and make the it work with the programme.
Mr Thomas came out at that time, and we spent a lot of time
there. As you can imagine, if two people do work quite
correctly, particularly in computers, and I can remember it was
quite a long time. Mr Thomas stayed, and at the end - I think
it was around 8 o'clock or so, and then we stayed afterwards
and talked about it - Mr Yates completed putting that programme
together and had me demonstrate that, in fact, it would work.
He made copies. I was given a copy of a programme that worked,
and Mr Thomas was given a copy of a programme that worked. On
the 16, that is, the day when the 386 computer was actually put
in - the computer was supplied by UNI-X - that was brought out
and set up. Mr Thomas and I had a discussion, and he asked me
specifically for a list of the rules detailing how strokes were
placed in the stroke-type categories. He also asked me how long
I thought it would be before all of the stroke-type categories
would be useable and everything like that".
".....I also observed Mr Thomas receive copies from Dr
Chappell. They were copies that I had given in, I believe,
about mid-January. They were copies I had given to Dr. Chappell
in order to test certain parts of the programme and copies were
given at that same time to Mr Thomas.
MRS MULLINS: Where was that?---At the BCAE in the computer
room, where the computers were set up that - where the data
entry was being done.
And, what copies - what were the copies copies of?---They were
copies of the programme at various stages of the development
that we had done at the time. We continued the development of
this original entry system, which is on this CC programme,
which is a fairly early and primitive version and created a
programme called Fastword which was a more advanced programme
and as it is common in this sort of development, we continued
to make changes on a day-to-day basis so about once a week or
so, we would produce a new programme and test that to see that
- how it was going. Mr Thomas was given the updated copies, not
every updated copy but, certainly, whenever he requested one,
one was supplied to him and whenever we did a major upgrade, we
would at least inform him that we had - at what stage our
progress was at and next time we met, we normally gave him a
copy.
The copies that you refer to that you saw handed to Mr Thomas
in mid-January 1989, can you describe exactly what files were
comprised in those copies?---They would have been the standard
executable file so it would have included a programme which was
probably called Fastword of FW.EXE. there would have been a
character index and it would have also included an ASC file,
ASC.DBF, which could be called ASC.DBF as it is in this case or
ASC.II.DBF. I do not recall when we changed that name but it
was some time around that time".
169. Mr. Thomas did not deny that the meeting had occurred on that date, however, he did deny that he had received a copy of the program and database on that occasion.
170. Dr. Chappell made contemporaneous notes in the form of a rough diary of the meeting of 11 January, 1989 and of the other time he spent on the project. The notations confirm in my view that Yates took to the Brisbane College of Advanced Education his latest version of the program and that there was some difficulty to update the program with the work done by Chappell at the college, and that the parties spent from 3.00 p.m. to 9.45 p.m. that night together. The notes confirm a further meeting on 13 January, 1989 at the college involving Dr. Chappell, Mr. Yates, Mr. Thomas and a person identified as Chris. On 16 January, 1989 a new larger computer was delivered and Dr. Chappell's notes record that he tested the new program identified as "CC.exe". Having regard to Mr. Thomas' interest in the project and his desire for a working system to show to people, I find it inconceivable that he would not have sought and obtained a copy of the updated program.
171. On the evidence of Dr. Chappell and Mr. Yates, which I accept in relation to this meeting, I find that on 11 January, 1989 Mr. Thomas received a copy of a program which included a database of Chinese characters and stroke type categories for about 6,000 - 8,000 Chinese characters.
172. The balance of the inputting of data relating to stroke type characters occurred between 13 January and 7 February, 1989. The database containing approximately 13,000 characters and stroke type categories was stored in a file entitled "MASTER.DBF" which file was stored in the hard drive of the 386 Uni-X computer which had been supplied by Mr. Thomas on 16 January, 1989. On 7 February, 1989 Mr. Yates removed the program and the database from the hard drive of the 386 computer and transferred them to floppy disks. On the trial the disks containing the relevant database being the compilation of Chinese characters and relevant stroke type category entered against them became exhibit 60.
173. When the computers were returned on 8 February, 1989 and when numerous floppy disks were returned, I find that copies of the program and database as at 7 February, 1989 were not returned with the material. On the evidence which I have accepted, the last database provided to Mr. Thomas was that contained in the program on 11 January, 1989 and was limited to 6,000 - 8,000 characters with relevant stroke type categories encoded.
174. I do not accept that a copy of the print-out and hand-written alterations and additions, being schedule "A" to exhibit 72, ever came into the possession of Mr. Thomas. The annexure is a working document and on its face shows that it was regularly worked on from 9 January to 8 February, 1989 and it appears was worked on by different people, including Dr. Chappell and Mr. Hong. The item of importance which was being constructed at the Brisbane College of Advanced Education was the database for use in the program and this was the item with which Mr. Thomas was principally interested. There is no suggestion that Mr. Thomas was independently constructing a database by inputting material at this time and in consequence he would have no particular use for the written documentation. Further, the contemporaneous notes of Dr. Chappell indicate that by 26 January, 1989 he was withholding material from Mr. Thomas. The other item which Mr. Thomas was anxious to obtain was the written rules for categorisation of particular strokes to particular categories. In its completed form this was withheld by Dr. Chappell and I doubt that Mr. Thomas had any substantial parts of it by 26 January, 1989.
175. On 10 February, 1989 Mr. Thomas told Mr. Yates that if Mr. Yates did not continue to be part of the development of the program Uni-X would start all over again and re-do the software using its own people.
176. At that time Uni-X had as an employee a Mr. Adam Harrison who was a computer software programmer. He completed his degree of a Bachelor of Applied Science (Computing) at the Queensland University of Technology in 1988. He was employed as a computer programmer by Uni-X and commenced work on 1 January, 1989. From the time of his engagement he was working on another project and not the development of a program for the Chinese word processor. He did not commence work on that project until about March, 1989 and thereafter he worked in conjunction with Mr. Lewis on a limited number of aspects of the project. Matthew Lewis also obtained his degree from the Queensland University of Technology in Applied Science (Computing) in 1988. He commenced work as a computer programmer with Uni-X in February, 1989. Neither Mr. Harrison nor Mr. Lewis was employed by the applicants or the third respondent at the time of the trial and neither has any particular interest in the outcome of this litigation. Although parts of Mr. Lewis' evidence as to the entry in his diary for 17 March, 1989 are unsatisfactory, I nevertheless accept that he is a truthful witness. I also accept that Mr. Harrison was a truthful witness. Mr. Lewis in his statement said:-
"3. Upon being employed by Ron Thomas and Helmut Stohr, they
explained to me that they had applied for a patent for a
Chinese entry system which extracted Chinese characters from a
database using a code based upon the order of the strokes
written by a Chinese literate. My task, in a two man team
consisting of Adam Harrison and myself, was to implement this
method of Chinese character retrieval from a database of
Chinese characters and to assist in the writing of a Chinese
Word Processor that would use this Chinese entry system.
4. The Chinese character retrieval was implemented as follows:
(a) construct a database of Chinese stroke categories for each
Chinese character to be used as a code to retrieve each Chinese
character. The stroke categories for each of the characters was
entered by Wendy Kuo and verified by her mother Suzie Kuo. The
stroke category data are used to build a tree-like index
structure which is traversed according to each entered stroke
type category.
(b) Construct a database where the graphic image data for each
Chinese character could be accessed using the retrieval search
code. Some Chinese character images were extracted from a
popular Taiwanese Chinese Word proceeding program to test
initial work. The actual Chinese character images entered into
the database, and ultimately used in the product known as
EasyWord, were supplied on disks brought back from Taiwan in
February or March of 1989. They were supplied with data
explaining how to access them and that some were in one byte
format and that some were in two byte format. Thomas told me
that the Taiwan Government gave the data free of charge to
anybody working with chinese data standardisation of shape.
There were 13,735 images on the disks provided".
177. I am satisfied that Mr. Lewis and Mr. Harrison independently using their own skill, knowledge and training wrote the "EasyWord" program without reference to or use of any computer program written by Mr. Yates.
178. However, I am satisfied that the diary entry of 17 March, 1989 made by Mr. Lewis indicates that he analysed the structure of four databases entitled "Block.DBF", "Master.DBF", "Char.DBF" (compacted version) and "Char.DBF" (uncompacted version). I am also satisfied that the purpose of the analysis was to create a new master file using material contained in the databases before him. Whether or not he was successful in that endeavour I am unable to say. However, it is clear from his diary that on 5 April, 1989 he determined to re-build the database from the original Chinese character image disks because of problems entering Chinese character hex codes into the then existing database and from this I infer he abandoned any further attempt to use the databases identified in his diary entry of 17 March, 1989. On 6 April, 1989 his diary records - "Wrote STROKES.C for mass entry of strokes". It is likely that the initial test work referred to by Mr. Lewis in paragraph 4(b) of his statement involved the work recorded on 17 March, 1989 and the "popular Taiwanese Chinese word processing program" was in fact the files recorded in the diary. Having regard to the structure of the databases in Exhibit 60, the identical file names used, and the use of D.Block as the computer language, the probability is that the databases upon which Mr. Lewis worked as recorded in his diary on 17 March, 1989 were those provided to Mr. Thomas on 11 January, 1989 or an earlier version of them. The databases referred to in the diary entry in terms of the data stored in them were not identical with the data stored in Exhibit 60.
179. Wendy Kuo gave evidence that in 1989 she was a Year 12 school girl who was teaching Mr. Thomas to read and write Chinese. Mr. Kuo was born in Taiwan and is of Chinese origin. In her statement she said that she was approached by Mr. Thomas and asked if she would type stroke type categories of Chinese characters into a computer program which Mr. Lewis and Mr. Harrison were writing for him. She agreed to do this and says that she was asked to categorise Chinese character strokes into one of eight stroke type categories and to type the categories into the computer for each character in the order in which the strokes would be written by hand. She was shown a written document which graphically showed the eight categories and included examples of strokes that fell within those categories. There was also included a description of each of the stroke categories. The document is annexed to her statement and forms part of exhibit 48. She gave the following evidence as to what she did:-
"Now, you say, in your statement that, during the Easter school
holidays in 1989, you performed the task of typing stroke type
categories into a computer?---Yes, that's correct.
Now, the Easter school holidays start on a Monday and finish on
the Thursday before the Good Friday holiday. What days of that
week did not spend at the office of Mr Thomas and Mr Stohr?---I
cannot remember the exact date, but I know there was five full
working days.
Can you explain to me exactly what you did during those five
full working days?---What I did - I had some - well, I had one
Chinese character appear on the screen for me, each time, and I
have to type in the stroke, as the way I would write it by
hand. And I do that for thousands of characters, in the five
days.
And if you made a mistake with the strokes that you typed in,
what did you do?---I left the way it is, because Tom - Mr
Thomas told me I would be able to get to do it, the next time
around. I actually did it twice.
Now, you say you did thousands of characters. Can you be a
little bit more specific?---I don't know my exact number, but
it would be around 12,000 - 13,000.
And they were characters, some of which contained over 20
strokes?---Yes.
And at that time, what would you say your vocabulary was, as
far as the number of Chinese characters you were familiar with
were?---When you say level, what do you mean? How do you
actually calculate the level?
Well, did you know all of the characters - - -?---No.
- - - that you categorised?---No.
Would you be able to estimate what percentage of the characters
that you categorised you were familiar with?---Approximately
about 65 to 80 per cent.
So, if you put in 12,000 characters, you were familiar with
about 8000 characters at that time?---Yes, roughly.
Did you find that you had any difficulties in categorising the
strokes?---Not really, because I just did it the way that I
will write them, by hand.
Now, you refer in your statement to using a document that Mr
Thomas gave you, I think. You say in your statement the eight
stroke type categories were illustrated and defined in the
patent application and in a fax which Ron Thomas has sent to
Wei Yan on 22 September 1988, both of which were shown to me by
Ron Thomas. So they were the documents that you had looked at
before you did your categorisation of the characters?---Yes.
That's correct".
180. It was submitted that I should not accept this evidence of Miss Kuo on the basis that a student of her age and ability would ordinarily have vocabulary limited to 5,000 - 6,000 characters and that it was unlikely that she could have categorised 12,994 characters and input the categorisation in a five working day period.
181. To reject the evidence of Miss Kuo in substance requires that I find that she is not telling the truth and it was never suggested to her in evidence that that was the case. It may be that there was a high degree of error in what she did or that the database she constructed was in certain respects incomplete. However, I do not doubt that she undertook the task which she swore she did. She had on the keys before her the graphic representations of the stroke type categories and she simply applied the stroke type categories to the characters as if she was writing them. It was the using of the keys as if writing which was the feature of the program which attracted Dr. Chappell as it made the process intuitive. Further there is recorded in Mr. Lewis' diary work being done by him on the "old Wendy file" to cut out the old 8,000 strokes and to add the latest strokes "8,000-13062". The entry refers to a file "WENDY.OLD" and a file "WENDY.NEW". The entry suggests that 8,000 strokes (roughly the number of characters Miss Kuo stated in evidence she knew) were saved from the old file and approximately 5,000 new entries made. I accept the evidence of Miss Kuo.
182. Miss Kuo's mother, Sue Kuo, was also engaged in April, 1989 to perform the same task as her daughter had done. This she did on a part-time basis in April and May, 1989. Mr. Johnson, who was at the time manager of the Research and Development Department of Uni-X gave evidence that Wendy Kuo and Sue Kuo "Were there for ages in Helmut Stohr's office sitting in front of a VDU". When Miss Kuo stated that she did the exercise twice, I take that to mean when taken with Mr. Johnson's evidence, that she did more work in the month of April when her mother was also working part-time entering the stroke type categories.
183. Mrs. Sue Kuo did not give evidence and no statement was filed. Her absence was not explained by any of the evidence and I was asked to draw the inference that her evidence would not have assisted the applicants and the third respondent.
184. As well as the evidence of Mr. Johnson there is evidence of Mrs. Wai Wai Wong. Mrs. Wong was a trained school teacher who taught Chinese language in Hong Kong. She is of Chinese origin. She commenced work for Uni-X in May, 1989. She stated in evidence that on her first few days of employment she saw Sue Kuo inputting stroke category data into the computer. Additionally, references in Mr. Lewis' diary of 2 May, 1989 confirmed that "Sue" was working on strokes on a computer and producing versions of strokes which were recorded on data material. Mr. Lewis' diary also records that on 20 April he set out to construct a program to compare strokes which would print out those that differ and those that are blank. That program appears to have been finished according to the diary on 24 April, 1989. Importantly, on 8 May, 1989 Mr. Lewis' diary records that after constructing the new Wendy strokes he copied the Sue and Wendy files on to floppy disks and transferred them to Mr. Stohr's machine for printing using the stroke comparison program. The diary records that everything was ready for the comparison at 3.30 p.m. on that day. Miss Kuo in her statement tendered in evidence says that the program comparing the two databases was run on 8 May, 1989.
185. Mr. Lewis' diary for 9 May, 1989 records "FIX UP WENDY OR SUE'S STROKE SET - BIG MESS". The diary records Mrs. Wong as having had a machine set up for her on 15 May, 1989 and records for the 16 May, 1989 "Susie completed editing and aligning stroke set. Latest stroke set is SUE.STR 652700 16-05-89 2:28 pm. Constructed new C4.DAT index file from SUE'S STROKE SET". The diary records that on 17 May the file C4.DAT was backed up for Mrs. Wong's machine and that the program "ST2ENTRY" was re-written for Mrs. Wong on 19 May, 1989.
186. I am satisfied that both Wendy Kuo and Sue Kuo each prepared a database of stroke type category entries for approximately 13,000 Chinese characters and that the two databases were compared using a program written by Mr. Lewis, such comparison taking place on 8 May, 1989. Thereafter I am satisfied that the database prepared by Mrs. Sue Kuo was used as the working database for stroke type categories and was the database worked upon by Mrs. Wong after she was employed by Uni-X in May, 1989 and commenced the task, amongst others, of validating and converting as necessary the database of stroke type categories and characters created in the manner and circumstances I have found above.
187. Counsel for the fifth respondent submitted that I ought find that Mr. Lewis had transferred the inputted stroke type categories for the Chinese characters in the databases he was working on on 17 March, 1989 from those databases into the new Chinese character database brought back from Taiwan by Mr. Thomas in early 1989. It was further submitted that I should find that the comparison between the two databases was a comparison of the work of either Sue Kuo or Wendy Kuo and the databases referred to in the entry of the diary for 17 March, 1989. The whole of the evidence of the witnesses who were merely employees of Uni-X and who have no interest in this litigation and the contemporaneous entries in the diary of Mr. Lewis are totally against such a finding.
188. It was submitted also that because of the similarities between the stroke type characterisation in the EasyWord manuals and in annexure "A" to exhibit 72, being in the order of 60% of the sample tested by Dr. Chappell, I ought find that there has been a copying. It was further submitted that because the coding in relation to certain characters does not accord with the graphic representation of the characters in the EasyWord manual, I ought to infer that Dr. Chappell's work has been taken and used.
189. Dr. Chappell took a sample of the character compilation in the EasyWord 2.5k manual (that is, 2,500 characters). He sampled 69% of the compilation and found that 60% of the character compilation in EasyWord matched exactly his character compilation. Where there were differences he said there were differences of only one stroke category from his compilation for the same character and in certain radicals some alternative forms were used. In evidence it was put to Dr. Chappell that he would expect 60% correlation if two different people were categorising the order of strokes and characters using the same stroke categorisation; he accepted that as correct. The final form of the stroke type categorisation database which appears in the EasyWord manual was taken from the program validated by Mrs. Wong. Mrs. Wong was given the eight stroke type categories and the description of them. Using her learning and experience as a teacher of Chinese language and writing she made some changes to the database which are reflected in the print-out. She made them because she believes that what was on the database was incorrect. She altered codings which would have been identical to those in Dr. Chappell's compilation but the changes she made were acceptable alternatives indicating that it was open to Mrs. Sue Kuo when forming the database to come to the same view as Dr. Chappell in relation to the choice made notwithstanding that Mrs. Wong later altered the encoding because she made a choice of an acceptable alternative coding. The changes which were made in four or five radicals does not mean the database was that of Dr. Chappell. Further, to suggest that because in the character database obtained by Mr. Thomas and reproduced in the EasyWord manuals certain strokes are shown as, for example, horizontal when they are written diagonally and falling, and the encoding of them in the manual shows them as correctly written and not as the character is graphically reproduced in the manual, does not mean that the stroke type categories have simply been inserted from Dr. Chappell's compilation into the new database. It does not follow that simply because the graphic representation is horizontal the stroke ought to be coded as a horizontal stroke. The principle underlying the system is that strokes are categorised as they are written. To either Mrs. Kuo or Mrs. Wong applying the criteria of the system the strokes would be coded as a vertical stroke notwithstanding that the stroke was graphically printed horizontally; to do otherwise would be to abandon the system.
190. There is another reason why I do not accept that the applicants and the third respondent have directly copied the compilation contained in written form as annexure "A" to exhibit 72 or in program form as contained in exhibit 60. Exhibit 60 contains a database of 13,000 odd characterisations by stroke type category. It was taken from the computer on which Dr. Chappell had been working on 7 February, 1989. A copy of that program as I have found never came into the possession of the applicants or Mr. Stohr. The material which I am satisfied that Mr. Lewis had was more probably than not a copy of the databases obtained on 11 January, 1989 by Mr. Thomas or an earlier copy of them. The relevant database of the program obtained on 11 January, 1989 had at a maximum the stroke type category entries for 6,000 - 8,000 characters. It was in terms of what is produced in the Easyword 13K manual significantly incomplete. It would require the addition of at least an additional 5,000 - 7,000 categorisations to bring it to the state of exhibit 60. If, as Dr. Chappell claims, his categorisation requires the application of certain rules developed by himself and Mr. Hong, it would require that some person analyse the categorisations contained in the partly completed database in order to code the balance of the database consistently with the criteria chosen in the earlier exercise. It may be that this would have occurred if Mr. Lewis had been successful in constructing the new database using the old material. However, when this was abandoned because of technical difficulties, the only practical alternative was to start from the beginning again and this is what has occurred. The criteria which have been applied are contained in the written document given by Mr. Thomas to Wendy Kuo in or about March or April, 1989. To this has been added the linguistic expertise of Mrs. Kuo and of Mrs. Wong as a teacher and writer of Chinese characters. Because the same criteria for categorisation have been used by persons with either intuitive or acquired linguistic skills, a similar result has been produced.
191. To succeed in an action for infringement the fifth respondent must show that the alleged infringer produced a work which both closely resembles the fifth respondent's work and has been produced by a direct or indirect use of those features of the fifth respondent's work in which copyright subsists. (See S.W. Hart and Co. Pty. Ltd. v. Edwards Hot Water Systems [1985] HCA 59; (1985) 159 CLR 466 at 472, 480; Ladbroke (Football) Ltd. v. William Hill (Football) Limited (1964) 1 WLR 274 at 276; Francis Day and Hunter Ltd. v. Bron (1963) Ch 587 at 614).
192. Even assuming in favour of Dr. Chappell that he has copyright in the compilations contained in exhibit 72 and exhibit 60, he fails to show some causal connection between his work and the work of those working for Uni-X in the development of the EasyWord program and EasyWord manuals. The work in the program and in the manuals is the result of independent work without copying.
193. In the view that I take it is unnecessary to determine the further factual and legal issues raised on the copyright claim. However, I should make some findings of fact in the event that the matter is taken further.
194. I accept the evidence of Dr. Chappell as to the work which he did and the nature of that work and I find that he brought to that work substantial skill, time, effort and original thought to compile such of the compilation as he himself prepared and the validation and re-working of other parts of the compilation which others prepared. I find that Mr. Hong executed the assignment of any copyright be held in the works by instrument being Exhibit 71 on or about 20 December, 1989. I find that Mr. Hong and other students were paid by Uni-X the sums recorded in Annexure "RHT 25" of Exhibit 5 on the dates shown for work performed in encoding stroke type categories for Chinese characters into a database. Mr. Hong was additionally paid by Dr. Chappell substantial sums for his work on the encoding and compilation of rules for encoding characters. I am unable to say on the evidence whether all of this money was paid by Dr. Chappell after Uni-X ceased payment or whether some payments were made by Dr. Chappell at the same time payments were being made to Mr. Hong by Uni-X.
195. The compilation of character stroke type entries against the characters in the EasyWord 2.5k program and manual and the EasyWord 13.k program and manual were copied by Mr. Lewis from the database validated by Mrs. Wong and incorporated into the EasyWord program by him.
196. For the purposes of the copyright claim and the allegation that there was an agreement which would vest any copyright in the compilation in Uni-X or impliedly licence it and its assigns to use such compilations it is only necessary to consider the position of Uni-X and Dr. Chappell. I am satisfied that there was no concluded oral agreement between Dr. Chappell and Uni-X. The matter proceeded no further than negotiations. This is the effect of Mr. Stohr's evidence. Likewise the position taken by the solicitors for Uni-X in a letter of 30 August, 1989 to the solicitors for Paravet Instruments Pty. Ltd. (the operating company of Mr. Yates at the time) and Dr. Chappell is totally against such a finding. The letter states in part:-
"In relation to the further comments in your letter regarding
the alleged monies that are due to your clients arising our
(sic) of your clients' professional knowledge and expertise,
use of intellectual property and services and products provided
by them we wish to point out that in fact there is no agreement
between any of the parties whereby an obligation arises on the
part of our client to pay to your clients any monies
whatsoever.
As is quite apparent from the correspondence between the
parties at no stage had the parties entered into an agreement.
All the parties had done was to agree to negotiate and those
negotiations were never concluded.
For instance, we refer to a letter dated the 8th March 1989 by
your client, to (sic) Dr. Eric Chappell, to our client in which
your client concludes as follows:-
'I further remind you that I never had a contract with you. The
initial negotiations working towards a contract are now at an
end. I will have nothing more to do with you'.
The above comments by Dr. Chappell seem to summarise the true
situation namely that the parties did not have a contract.
Accordingly, we can see no basis upon which your clients have
any right to claim any monies".
197. There were certainly negotiations and meetings with a view to agreeing a working arrangement between the parties which would have included some provision as to ownership and exploitation of intellectual property. However, I accept Dr. Chappell's evidence that no agreement was concluded with him by Uni-X.
198. The applicants and the third respondent are entitled to judgment on the cross-claim and the cross-claim will be dismissed.
199. The applicants requested that I make no order for costs at this time in order that they may make submissions after delivery of these reasons. I will hear such submissions on a date convenient to the parties and the court.
On the Applicants' application:
1. That the application of the applicants for relief for infringement of
Australian Petty Patent No. 616154 be dismissed and judgment be entered for the first, second, fourth and fifth respondents.
2. That the issue of costs of the applicants' application including reserved costs, if any, be adjourned to a date to be fixed for further argument.
On the cross-claim of the first, second, fourth and fifth respondents against the applicants for revocation of Australian Petty Patent No. 616154:-
1. Declare that Australian Petty Patent No. 616154 is and always has been invalid.
2. That Australian Petty Patent No. 616154 be wholly revoked on the ground that the invention is not a patentable invention.
3. That the Registrar or other appropriate officer of the court serve a copy of this order on the Commissioner of Patents.
4. That the issue of costs of the first, second, fourth and fifth respondents' cross-claim for revocation including reserved costs, if any, be adjourned to a date to be fixed for further argument.
On the fifth respondent's cross-claim for infringement of copyright:-
1. That the cross-claim for infringement of copyright be dismissed and
judgment be entered for the applicants and the third respondent.
2. That the issue of costs of the fifth respondent's cross-claim for infringement of copyright including reserved costs, if any, be adjourned to a date to be fixed for further argument.
AND THE COURT FURTHER ORDERS that all other issues relating to costs arising in the within proceeding, including reserved costs not otherwise dealt with in the above orders be adjourned to a date to be fixed for further argument.
Ccom Pty Ltd and Ronald Howard Thomas
Jiejing Pty Ltd, Allan Garnham, Jeffrey John Yates and Eric Russell Chappell [1993] FCA 653;
(1993) 27 IPR 577
(1993) 48 FCR 41
(1987) 15 FCR 382
(1986) 12 FCR 477
(1973) 130 CLR 461
(1933) 49 CLR 643
(1986) 161 CLR 171
(1959) 102 CLR 252
(1971) 123 CLR 529
(1988) 81 ALR 79
(1989) 85 ALR 679
(1986) 67 ALR 390
(1990) 91 ALR 513
(1982) 59 FLR 37
(1988) 12 IPR 143
(1974) 49 ALJR 12
(1983) 66 ALR 265
(1988) 11 IPR 1
(1983) 3 IPR 449
(1975) 132 CLR 489
(1989) 14 IPR 513
(1985) 159 CLR 466
(1977) 137 CLR 228
(1980) 144 CLR 253