Searching over 5,500,000 cases.


searching
Buy This Entire Record For $7.95

Download the entire decision to receive the complete text, official citation,
docket number, dissents and concurrences, and footnotes for this case.

Learn more about what you receive with purchase of this case.

Smart Software, Inc. v. PlanningEdge, LLC

United States District Court, D. Massachusetts

June 17, 2016

SMART SOFTWARE, INC., Plaintiff
v.
PLANNINGEDGE, LLC, Defendant.

          MEMORANDUM AND ORDER

          Patti B. Saris Chief United States District Judge

         INTRODUCTION

         The plaintiff, Smart Software, Inc., brings this action against the defendant, PlanningEdge, LLC, alleging infringement of its patent claiming a system and method for forecasting intermittent demand to help manage inventory. The defendant has moved to dismiss this case on the ground that the patent claims an abstract idea which is ineligible for patent protection under 35 U.S.C. § 101. After hearing, relying on Alice Corp. Pty. v. CLS Bank Int’l, 134 S.Ct. 2347 (2014), this Court ALLOWS the defendant’s motion to dismiss (Docket No. 23).

         FACTUAL BACKGROUND

         All facts are drawn from the complaint and attached documents and are treated as true for the purposes of this motion to dismiss.

         Smart Software provides software for enterprise-wide demand forecasting, demand planning, and inventory optimization solutions. On March 20, 2001, the United States Patent and Trademark Office (PTO) issued United States Patent No. 6, 205, 431 (the ‘431 Patent) entitled “System and Method for Forecasting Intermittent Demand.” Smart Software is the holder of the assignment.

         The Detailed Description of the Invention in the ‘431 Patent describes the inventory management problem as follows:

In any inventory management problem, one of the critical goals is to balance the need to have stock on hand to satisfy random demand against the cost of maintaining that stock. Efficient management of this tradeoff requires accurate forecasts of the distribution of the total demand that will arise over a lead time needed for stock replenishment. Unfortunately, the intermittent nature of demand for spare parts or high priced capital goods makes forecasting especially difficult. Since demand alternates sporadically between zero and nonzero values, traditional forecasting methods are typically rendered ineffective.

U.S. Patent No. 6, 205, 431 col. 4 11. 30-40 (filed Oct. 29, 1998). The ‘431 Patent “includes an inventory management system that utilizes the theory of economic order quantities under a continuous review model.” Id. at col. 4 11. 41-43. The “review model determines two quantities for each item, a reorder point and an order quantity” using historical data. Id. at col. 4 11.43-45. “When on-hand inventory reaches the reorder point, one orders an amount equal to the order quantity to replenish stock.” Id. at col. 4 11. 45-47.

         On August 4, 2015, the plaintiff notified the defendant of its alleged infringing activity. The parties agree that the only patent claims at issue in this case are Claims 1, 10, and 16.The text of the claims follows:

         1. A computerized method for forecasting intermittent demand for a lead time, comprising the steps of:

providing a data set of intermittent data comprising a predetermined number of historical demand values; calculating lead time demand values for the lead time, wherein the calculating step comprises the step of sampling values from the historical demand values; summing the lead time demand values to provide a lead time demand sum; and repeating the calculating and summing steps a predetermined number of times to provide a distribution of lead time demand sums that forecast intermittent demand for inventory requirements.

         10. A program product, having a computer usable medium having computer readable code embodied therein that, when executed, comprises:

means for examining intermittent data comprised of a predetermined number of historical demand values made up of zero and non-zero values; means for calculating lead time demand values for the lead time, wherein the calculating means samples values from the historical demand values; means for summing the lead time demand values to provide a lead time demand sum; looping means for generating a plurality of lead time demand sums; storing means for storing the plurality of lead ...

Buy This Entire Record For $7.95

Download the entire decision to receive the complete text, official citation,
docket number, dissents and concurrences, and footnotes for this case.

Learn more about what you receive with purchase of this case.