no afterlife —

EFF destroys the podcasting patent, one last time

Owners of an infamous licensing campaign have now really tried everything.

EFF destroys the podcasting patent, one last time
EFF

Even spookier than a Halloween costume is a patent that just won't die.

But it looks like a once-scary patent—Personal Audio LLC's ridiculous claim to own podcasting—is finally gone. Personal Audio has been making headlines for years now, especially after it started threatening podcasters and became the target of an EFF crowdfunding campaign to raise funds to knock it out.

EFF used that money to file an "inter partes review" at the US Patent Office, which knocked out the patent in 2015.

The EFF showed the Patent Office examples of earlier technology that had all the key features of the patent but were well-established before the 1996 filing date. One was CNN's "Internet Newsroom," which features all the key claims of the patent: discrete episodes, an updated compilation file, and a "predetermined URL" for that file.

Personal Audio appealed that loss, but the US Court of Appeals for the Federal Circuit killed the patent for good in August of this year. Incredibly, though, the patent-holding company didn't accept that loss. It asked the court to take its case "en banc," so it could be considered by all 12 judges.

Now that strategy, too, has failed. Personal Audio lawyers argued (PDF) that the inter partes review process violated the 7th Amendment of the US Constitution, which protects the right to jury trial. The constitutionality of the IPR process is directly at issue in a case about to be heard by the US Supreme Court, Oil States v. Greene's Energy Corp.

In the petition, Personal Audio also complains that the IPR process gives organizations like EFF an unfair advantage. Personal Audio lawyers accuse EFF of working together with defendants in some of their litigation.

"The proliferation of 'public interest' organizations that obtain funding from multiple third parties to collectively invalidate patents is a change encouraged by enactment of the AIA," states Personal Audio in its petition. "Collective efforts to invalidate patents severely tilts the playing field in favor of the party or parties seeking invalidation."

EFF argued that there was no need to take up the constitutional arguments, which were being considered by the Supreme Court in another case. It also argued that Personal Audio had waived other claims and that there was no evidence whatsoever that EFF had "coordinated" with CBS, as Personal Audio suspected.

On Wednesday, the appeals court rejected the petition without any comment on it, in a two-page order.

Recouping losses

Personal Audio has been suing over patents since at least 2011, when it convinced a jury to award it $8 million when it sued Apple, after claiming to have invented downloadable playlists. In 2012, the company started to get a lot more attention when it began to make threats and sue over podcasts. 

Owner James Logan had an idea for a digital media player way back in 1996. It didn't succeed, and he said in interviews that he blew $1.6 million but didn't make a sale. He did, however, acquire patents related to the idea.

"Our product concept, which spawned the patent, was all about a handheld MP3 player that could download off the Internet some kind of personalized audio experience," he told the Canadian Broadcasting Corporation in 2014. "We designed that, we prototyped it, we went to investors trying to raise money to produce the product, and we were not successful."

Logan's company went on to sue TV networks like CBS and NBC, along with major podcast makers like HowStuffWorks and comedian Adam Carolla. Logan's lawyers said the patent covered a wide array of "episodic content."

A case against CBS went to trial, with a jury awarding Personal Audio $1.3 million. Adam Carolla reached a confidential settlement, although there are strong indications he didn't pay Personal Audio, which he denounced as a "patent troll," anything.

A lawyer for Personal Audio didn't respond to a request for comment on Wednesday's Federal Circuit order.

"We're glad the Federal Circuit rejected Personal Audio's attempts to rehear the case," EFF attorney Vera Ranieri told Ars via e-mail. "The panel reached the correct outcome on all issues."

The only option left for Personal Audio would be to appeal to the US Supreme Court. Its case would have an infinitesimal chance of even being heard. Given the lack of success patent-holding companies have had at the high court, if its case was heard, it would likely just lead to more public scorn for the non-practicing entity.

Channel Ars Technica