Notice of Pre-AIA or AIA Status
The present application, filed on or after March 16, 2013, is being examined under the first inventor to file provisions of the AIA .
Continued Examination Under 37 CFR 1.114
A request for continued examination under 37 CFR 1.114, including the fee set forth in 37 CFR 1.17(e), was filed in this application after final rejection. Since this application is eligible for continued examination under 37 CFR 1.114, and the fee set forth in 37 CFR 1.17(e) has been timely paid, the finality of the previous Office action has been withdrawn pursuant to 37 CFR 1.114. Applicant's submission filed on 30 December 2025 has been entered.
Status
This Office Action is in response to communications filed on 30 December 2025. Claims 1, 8, 9, 11, and 15, have been amended. Therefore, claims 1-20 are pending and addressed below.
Summary
Office Action Summary:
Amendments to the Claim(s) do not overcome rejections under 35 USC 101 set forth by the Examiner for being directed to an abstract idea.
Amendments to the Claim(s) do not overcome the non-statutory double patenting rejections set forth by the Examiner.
Amendments to the Claim(s) overcome the rejection under 35 USC 103, therefore the Examiner has entered new grounds of rejection as necessitated by the amendments.
Double Patenting
The nonstatutory double patenting rejection is based on a judicially created doctrine grounded in public policy (a policy reflected in the statute) so as to prevent the unjustified or improper timewise extension of the “right to exclude” granted by a patent and to prevent possible harassment by multiple assignees. A nonstatutory double patenting rejection is appropriate where the conflicting claims are not identical, but at least one examined application claim is not patentably distinct from the reference claim(s) because the examined application claim is either anticipated by, or would have been obvious over, the reference claim(s). See, e.g., In re Berg, 140 F.3d 1428, 46 USPQ2d 1226 (Fed. Cir. 1998); In re Goodman, 11 F.3d 1046, 29 USPQ2d 2010 (Fed. Cir. 1993); In re Longi, 759 F.2d 887, 225 USPQ 645 (Fed. Cir. 1985); In re Van Ornum, 686 F.2d 937, 214 USPQ 761 (CCPA 1982); In re Vogel, 422 F.2d 438, 164 USPQ 619 (CCPA 1970); In re Thorington, 418 F.2d 528, 163 USPQ 644 (CCPA 1969).
A timely filed terminal disclaimer in compliance with 37 CFR 1.321(c) or 1.321(d) may be used to overcome an actual or provisional rejection based on nonstatutory double patenting provided the reference application or patent either is shown to be commonly owned with the examined application, or claims an invention made as a result of activities undertaken within the scope of a joint research agreement. See MPEP § 717.02 for applications subject to examination under the first inventor to file provisions of the AIA as explained in MPEP § 2159. See MPEP § 2146 et seq. for applications not subject to examination under the first inventor to file provisions of the AIA . A terminal disclaimer must be signed in compliance with 37 CFR 1.321(b).
The filing of a terminal disclaimer by itself is not a complete reply to a nonstatutory double patenting (NSDP) rejection. A complete reply requires that the terminal disclaimer be accompanied by a reply requesting reconsideration of the prior Office action. Even where the NSDP rejection is provisional the reply must be complete. See MPEP § 804, subsection I.B.1. For a reply to a non-final Office action, see 37 CFR 1.111(a). For a reply to final Office action, see 37 CFR 1.113(c). A request for reconsideration while not provided for in 37 CFR 1.113(c) may be filed after final for consideration. See MPEP §§ 706.07(e) and 714.13.
The USPTO Internet website contains terminal disclaimer forms which may be used. Please visit www.uspto.gov/patent/patents-forms. The actual filing date of the application in which the form is filed determines what form (e.g., PTO/SB/25, PTO/SB/26, PTO/AIA /25, or PTO/AIA /26) should be used. A web-based eTerminal Disclaimer may be filled out completely online using web-screens. An eTerminal Disclaimer that meets all requirements is auto-processed and approved immediately upon submission. For more information about eTerminal Disclaimers, refer to www.uspto.gov/patents/apply/applying-online/eterminal-disclaimer.
Claims 1-20 are rejected on the ground of nonstatutory double patenting as being unpatentable over claims 1, 2, 5-7, 8, 9, 12-16, 19, and 20 of U.S. Patent No. 11,922,450 and claims 1, 2, 4-6, 8, 9, 11-13, 15, 16, and 18-20 of U.S. Patent No. 11,321,730. Although the claims at issue are not identical, they are not patentably distinct from each other because claims 1-20 of the instant application are broader than claims 1, 2, 5-7, 8, 9, 12-16, 19, and 20 of U.S. Patent No. 11,922,450 and claims 1, 2, 4-6, 8, 9, 11-13, 15, 16, and 18-20 of U.S. Patent No. 11,321,730. It would have been obvious to use claims 1, 2, 5-7, 8, 9, 12-16, 19, and 20 of U.S. Patent No. 11,922,450 or claims 1, 2, 4-6, 8, 9, 11-13, 15, 16, and 18-20 of U.S. Patent No. 11,321,730 to reject claims 1-20 of the instant application since all of the limitations of claims 1-20 of the instant application are present in the claims 1, 2, 5-7, 8, 9, 12-16, 19, and 20 of U.S. Patent No. 11,922,450 or the claims 1, 2, 4-6, 8, 9, 11-13, 15, 16, and 18-20 of U.S. Patent No. 11,321,730 as can be seen in the table below.
18/438127
11,922,450
11,321,730
18/438127
A computer-implemented method, comprising: receiving, via a first connection and at a point of sale terminal connected to a hybrid reward system, the hybrid reward system comprising a reward engine connected to a rewards database, wherein the rewards database is configured to store reward program information, and a purchase tracking engine connected to a purchase tracking database, wherein the purchase tracking database is configured to store transaction information, wherein the reward engine is configured to analyze the reward program information and the transaction information, and wherein the purchase tracking engine is configured to analyze a frequency of transactions, a first data packet comprising reward program information from the point of sale terminal of a merchant; receiving, via a second connection and at the hybrid reward system, a second data packet comprising transaction information from a transaction authorization system, wherein the transaction authorization system is connected to the point of sale terminal, wherein the first connection and the second connection are connected in parallel to the hybrid reward system; identifying the rewards program information in the first data packet and the transaction information in the second data packet; authorizing a transaction based on the transaction information identified in the second data packet; in response to the authorizing, determining a reward for the transaction based on the reward program information, the transaction information, and the frequency of transactions, updating the rewards database with the reward program information, updating the purchase tracking database with the transaction information; and transmitting, to a user device updated reward program information comprising the reward for the transaction, and the updated transaction information
1. A computer-implemented method, comprising: establishing, by a hybrid reward system, a first connection between a point of sale terminal and the hybrid reward system; establishing, by the hybrid reward system, a third connection between the hybrid reward system and the transaction authorization system, the third connection being in parallel with the first connection; receiving, via the second connection and at the transaction authorization system, a request to authorize a transaction; receiving, via the first connection and at the hybrid reward system, reward program information; in parallel with the receipt of the reward program information, receiving, via the third connection and at the hybrid reward system, transaction information, the transaction information comprising information indicating authorization of the transaction;
1. A computer-implemented method, comprising: establishing, over a network, a first connection between a point of sale terminal of a merchant and a hybrid reward system, wherein the hybrid reward system comprises a reward engine and a purchase tracking engine; establishing, over the network, a third connection between the hybrid reward system and the transaction authorization system, the third connection being in parallel with the first connection; receiving, via the second connection, a request to authorize a transaction; receiving, via the first connection and the third connection in parallel, reward program information and transaction information, the reward program information being received via the first connection, and the transaction information being received via the third connection, the transaction information comprising information indicating authorization of the transaction;
7. The computer implemented method of claim 1, wherein the hybrid reward system is configured to establish parallel connections between the hybrid reward system and both the point of sale terminal of a merchant and the transaction authorization system.
in response to the receipt of the reward program information and the transaction information at the hybrid reward system: analyzing, by the hybrid reward system, the reward program information and the transaction information to determine a reward for the transaction; and transmitting, by the hybrid reward system, updated reward program information comprising the reward and the transaction information to a user device, wherein the updated reward program information comprises at least an amount of reward points for a reward program.
analyzing, via the reward engine and the purchase tracking engine, the reward program information and the transaction information based at least in part on a geographic region and time period information, wherein an analysis of the reward program information comprises real-time predictions and recommendations from a plurality of data sources; determining, based at least in part on the analysis of the reward program information and the transaction information, an amount of reward points for a reward program; automatically modifying, in real-time upon receiving the transaction information indicating authorization of the transaction, a reward database to reflect an increase in a balance of reward points; and communicating, over the network, via the hybrid reward system, updated reward information to a user device, the point of sale terminal of the merchant, and the transaction authorization system, said communication comprising: transmitting, over the network, the balance of reward points that has been updated to the user device in real-time in response to the authorization of the transaction; and communicating, over the network, a digital token corresponding to a reward indicia to the point of sale terminal of the merchant and the transaction authorization system.
2. The computer-implemented method of claim 1, further comprising: receiving, via a third connection and at the transaction authorization system, a request to authorize the transaction from the point of sale terminal.
1. establishing, by a transaction authorization system, a second connection between the point of sale terminal of a merchant and the transaction authorization system;
1. establishing, over the network, a second connection between the point of sale terminal of the merchant and a transaction authorization system;
3. The computer-implemented method of claim 2, further comprising: generating the second data packet comprising the transaction information, wherein the transaction information comprises the request to authorize the transaction.
7. The computer-implemented method of claim 1, wherein the transaction authorization system authorizes the transaction and generates the transaction information.
5. The method of claim 4, wherein the transaction authorization system authorizes the transaction.
4. The computer-implemented method of claim 1, wherein determining further comprises: analyzing the reward program information to determine a number of transactions at the merchant; and modifying the reward program information to increase the number of transactions at a merchant, wherein the increase reflects the transaction received via the second connection.
2. The computer-implemented method of claim 1, further comprising: modifying a reward database based on the reward for the transaction.3. The computer-implemented method of claim 1, further comprising: receiving, at a purchase tracking engine, the reward program information from the hybrid reward system and the transaction information from the transaction authorization system; analyzing, by the purchase tracking engine, the reward program information and the transaction information to determine a number of transactions with the merchant; and modifying a purchase tracking database based on the number of transactions with the merchant.
4. The method of claim 3, further comprising: analyzing, via the purchase tracking engine, the reward program information and the transaction information to determine a number of transactions with the merchant; modifying a purchase tracking database to reflect an increase in the number of transactions at the merchant to a qualifying level; applying a discount in response to the number of transactions reaching the qualifying level; and transmitting a notification to the user device in response to a modification to the purchase tracking database.
5. The computer-implemented method of claim 1, wherein determining further comprises: calculating the reward based an amount of the transaction.
5. The computer-implemented method of claim 1, wherein analyzing comprises: calculating the reward based on at least one of an amount of the transaction, a time period in which the transaction occurred, a geographic region within which the transaction occurred, or an item purchased with the transaction.
6. The method of claim 3, further comprising transmitting an indication of the authorization of the transaction to the hybrid reward system.
6. The computer-implemented method of claim 1, wherein the transaction information is from at least one of a transaction account indicia, an electronic wallet, a transaction enabled fob, or a transaction card.
6. The computer-implemented method of claim 1, wherein the transaction information is from at least one of a transaction account indicia, an electronic wallet, a transaction enabled fob, or a transaction card and the reward program information is from at least one of a reward program card, a digital token, an account indicia, or a transaction instrument.
2. The method of claim 1, wherein the transaction information is from at least one of a transaction account indicia, an electronic wallet, a transaction enabled fob, or a transaction card.
Per MPEP 804(I)(1), “As filing a terminal disclaimer, or filing a showing that the claims subject to the rejection are patentably distinct from the reference application’s claims, is necessary for further consideration of the rejection of the claims, such a filing should not be held in abeyance. Only objections or requirements as to form not necessary for further consideration of the claims may be held in abeyance until allowable subject matter is indicated.
Claim Rejections - 35 USC § 101
35 U.S.C. 101 reads as follows:
Whoever invents or discovers any new and useful process, machine, manufacture, or composition of matter, or any new and useful improvement thereof, may obtain a patent therefor, subject to the conditions and requirements of this title.
Claims 1-20 are rejected under 35 U.S.C. 101 because the claimed invention is directed to a judicial exception (i.e., a law of nature, a natural phenomenon, or an abstract idea) without significantly more.
Step 1: Under step 1, claim 1 is directed to a method, claim 8 is directed to a system, and claim 15 is directed to a non-statutory computer-readable device. Thus, claims 1, 8, and 15 are directed to statutory categories of patentable subject matter.
Step 2A, Prong 1: In prong one of step 2A, the claims are analyzed to evaluate whether they recite a judicial exception.
Claims 1, 8, and 15 recite, in part, “receiving, via a first connection and at a point of sale terminal connected to a hybrid reward system, the hybrid reward system comprising a reward engine connected to a rewards database, wherein the rewards database is configured to store reward program information, and a purchase tracking engine connected to a purchase tracking database, wherein the purchase tracking database is configured to store transaction information, wherein the reward engine is configured to analyze the reward program information and the transaction information, and wherein the purchase tracking engine is configured to analyze a frequency of transactions, a first data packet comprising reward program information from the point of sale terminal of a merchant; receiving, via a second connection and at the hybrid reward system, a second data packet comprising transaction information from a transaction authorization system, wherein the transaction authorization system is connected to the point of sale terminal, wherein the first connection and the second connection are connected in parallel to the hybrid reward system; identifying the rewards program information in the first data packet and the transaction information in the second data packet; authorizing a transaction based on the transaction information identified in the second data packet; in response to the authorizing, determining a reward for the transaction based on the reward program information, the transaction information, and the frequency of transactions, updating the rewards database with the reward program information, updating the purchase tracking database with the transaction information; and transmitting, to a user device, the updated reward program information comprising the reward for the transaction, and the updated transaction information.” These limitations, except for the italicized portions, and under their broadest reasonable interpretations, describe or set forth receiving various information, analyzes information, identifies information, authorizes a transaction, and determines a reward, which amounts a commercial or legal interactions (specifically, an advertising, marketing or sales activity or behavior; business relations). These limitations therefore fall within the “certain methods of organizing human activity” subject matter grouping of abstract ideas. The Examiner notes that although the claim limitations are summarized, the analysis regarding subject matter eligibility considers the entirety of the claim and all of the claim elements individually, as a whole, and in ordered combination.
Step 2A, Prong 2: In prong two of step 2A, an evaluation is made whether a claim recites any additional element, or combination of additional elements, that integrate the exception into a practical application of that exception. An “addition element” is an element that is recited in the claim in addition to (beyond) the judicial exception (i.e., an element/limitation that sets forth an abstract idea is not an additional element). The phrase “integration into a practical application” is defined as requiring an additional element or a combination of additional elements in the claim to apply, rely on, or use the judicial exception in a manner that imposes a meaningful limit on the judicial exception, such that it is more than a drafting effort designed to monopolize the exception. Claims 1, 8, and 15 recite the additional elements/limitations of “a first connection and at a point of sale terminal connected to a hybrid reward system, the hybrid reward system comprising a reward engine connected to a rewards database, wherein the rewards database is configured to store reward program information, and a purchase tracking engine connected to a purchase tracking database, wherein the purchase tracking database is configured to store transaction information, wherein the reward engine”, “a hybrid reward system”, “a second connection”, “a point of sale terminal”, “a transaction authorization system”, “the transaction authorization system is connected to the point of sale terminal, wherein the first connection and the second connection are connected in parallel to the hybrid reward system and “updating the rewards database”, “updating the purchase tracking database”, and “transmitting, to a user device, the updated reward program information comprising the reward for the transaction, and the updated transaction information.” These computing elements are recited at a high-level of generality (i.e., as a generic device performing a generic computer function)and are equivalent to adding the words “apply it” on a generic computer and/or mere instructions to implement the abstract idea on a generic computer. Applicant’s own disclosure explains that the functions of the device may be embodied as a general-purpose computer (e.g., paragraph [0068] of the published specification which states, “These computer program instructions may be loaded onto a general purpose computer…such that the instructions that execute on the computer or other programmable data processing apparatus create means for implementing the functions specified in the flowchart block or blocks. Furthermore, although the claims recite a specific sequence of computer-implemented functions, and although the specification suggests certain functions may be advantageous for various reasons (e.g., business reasons), the Examiner has determined that the ordered combination of claim elements (i.e., the claims as a whole) are not directed to an improvement to computer functionality/capabilities, an improvement to a computer-related technology or technological environment, and do not amount to a technology-based solution to a technology-based problem. Accordingly, these additional elements when considered individually or as a whole do not integrate the abstract idea into a practical application because they do not impose any meaningful limits on practicing the abstract idea. The independent claims are directed to an abstract idea.
Step 2B: In step 2B, the claims are analyzed to determine whether any additional element, or combination of additional elements, is/are sufficient to ensure that the claims amount to significantly more than the judicial exception. This analysis is also termed a search for an "inventive concept." An "inventive concept" is furnished by an element or combination of elements that is recited in the claim in addition to (beyond) the judicial exception, and is sufficient to ensure that the claim as a whole amounts to significantly more than the judicial exception itself. Alice Corp., 134 S. Ct. at 2355, 110 USPQ2d at 1981 (citing Mayo, 566 U.S. at 72-73, 101 USPQ2d at 1966).
As discussed above in “Step 2A – Prong 2”, the additional elements of ““a first connection and at a point of sale terminal connected to a hybrid reward system, the hybrid reward system comprising a reward engine connected to a rewards database, wherein the rewards database is configured to store reward program information, and a purchase tracking engine connected to a purchase tracking database, wherein the purchase tracking database is configured to store transaction information, wherein the reward engine”, “a hybrid reward system”, “a second connection”, “a point of sale terminal”, “a transaction authorization system”, “the transaction authorization system is connected to the point of sale terminal, wherein the first connection and the second connection are connected in parallel to the hybrid reward system and “updating the rewards database”, “updating the purchase tracking database”, and “transmitting, to a user device, the updated reward program information comprising the reward for the transaction, and the updated transaction information.”” are recited at a high-level of generality (i.e., as a generic device performing a generic computer function) is equivalent to adding the words “apply it” on a generic computer and/or mere instructions to implement the abstract idea on a generic computer. These limitations therefore do not qualify as “significantly more” (see MPEP 2106.05(f)). Furthermore, parallel connections have been known in the art since at least 2003 as used by George in P. G. Pub. No. 2003/0158818, used by Cho in KR20100061098, and used by Cervenka in P. G. Pub. 20150120418. The Examiner also notes that although the Applicant has amended claim 1 to recite, “wherein the transaction authorization system is connected to the point of sale terminal” the is no recitation of sending or receiving data between the POS terminal and the transaction authorization system, just that they are connected. Viewing the additional limitations in combination also shows that they fail to ensure the claims amount to significantly more than the abstract idea. When considered as an ordered combination, the additional components of the claims add nothing that is not already present when considered separately, and thus simply append the abstract idea with words equivalent to “apply it” on a generic computer and/or mere instructions to implement the abstract idea on a generic computer, generally link the abstract idea to a particular technological environment or field of use, Therefore, the independent claims are not patent eligible.
Dependent claims 2-7, 9-14, and 16-20, when analyzed as a whole, are held to be patent ineligible under 35 U.S.C. §101 because the additional recited limitations fail to establish that the claims are not directed to the same abstract idea of independent claims 1, 8, and 15 without significantly more.
Claims 2, 9, and 16 recite, “further comprising: receiving, via a third connection and at the transaction authorization system, an authorization request for the transaction from the point of sale terminal.” The receiving step is just receiving information is part of the same abstract idea as the independent claims. The additional elements of “a third connection”, “the transaction authorization system”, and “the point of sale terminal” are additional elements that do not integrate the abstract idea into a practical application and are not significantly more for the same reasons as for the independent claims.
Claims 3, 10, and 17 recite, “generating the second data packet comprising the transaction information, wherein the transaction information comprises the request to authorize the transaction.” The generating step is just generating transaction data which also recites certain methods of organizing human activity because such as sales activities.
Claims 4, 11, and 18 recite, “wherein determining further comprises: analyzing the reward program information for a number of transactions at the merchant; and modifying the reward program information to increase the number of transactions at a merchant, wherein the increase reflects the transaction information received via the second connection.” The determining, analyzing, and modifying steps recite certain methods of organizing human activity because they are directed to sales activities. The additional element of the second connection does not integrate the abstract idea into a practical application and is not significantly more for the same reasons as for the independent claims.
Claims 5, 12, and 19 recite, “wherein determining further comprises: calculating the reward based an amount of the transaction.” The determining and calculating steps are also recite certain methods of organizing human activity because they are directed to marketing and sale activities or behaviors.
Claims 6 and 13 recite, “wherein the transaction information is from at least one of a transaction account indicia, an electronic wallet, a transaction enabled fob, or a transaction card.” This is further limiting the transaction information and is part of the same abstract idea.
Claims 7, 14, and 20 recite, “wherein the hybrid reward system is configured to establish parallel connections between the hybrid reward system and both the point of sale terminal of a merchant and the transaction authorization system.” The additional elements of “the hybrid reward system”, “the point of sale terminal”, and “the transaction authorization system” do not integrate the abstract idea into a practical application and are not significantly more than the abstract idea for the same reasons as the independent claims. As explained above, parallel connections are well-known in the art and George has been using parallel connections between a reward system and both a point of sale terminal and a transaction system since at least 2003.
As such, when claims 1-20 are considered individually, as a whole, or in combinations, the claims are not patent eligible.
Claim Rejections - 35 USC § 103
The following is a quotation of 35 U.S.C. 103 which forms the basis for all obviousness rejections set forth in this Office action:
A patent for a claimed invention may not be obtained, notwithstanding that the claimed invention is not identically disclosed as set forth in section 102, if the differences between the claimed invention and the prior art are such that the claimed invention as a whole would have been obvious before the effective filing date of the claimed invention to a person having ordinary skill in the art to which the claimed invention pertains. Patentability shall not be negated by the manner in which the invention was made.
Claims 1-4, 8-10, 15-20 are rejected under 35 U.S.C. 103 as being unpatentable over George (P. G. Pub. No. 2003/0158818), in view of Chandrasekaram (P. G. Pub. No. 2012/0095820), further in view of Cho (KR20100061098).
Regarding claims 1, 8, and 15, George teaches
1. A computer-implemented method, comprising:
8. A system, comprising: a memory; and at least one processor coupled to the memory and configured to:
15. A non-transitory computer-readable device having instructions stored thereon that, when executed by at least one computing device, cause the at least one computing device to perform operations comprising ([0035]):
receive, via a first connection and at a point of sale terminal connected to a hybrid reward system…a first data packet comprising reward program information from a point of sale terminal of a merchant (Fig. 2 shows #212 "Loyalty Switch" attached to the #216 "Loyalty Host" which form the hybrid reward system. [0031] "Those functions performed by the loyalty switch 212 are denoted generally by block 315 and those functions performed by the loyalty host 216 are denoted generally by block 325. At block 304, transaction data [reward program information] are received from the point-of-sale terminal 208 as an electronic packet by the loyalty switch 212. The loyalty switch 212 compares the identity of the merchant at block 308 and the identity of the customer at block 312 with a database identifying all participating merchants and customers." See also [0006] and
[0028]. The transaction data can be interpreted as reward program information since the loyalty switch can tell from the transaction information of the identity of the customer and therefore tell if the customer is part of the loyalty program.);
receiving, via a second connection and at the hybrid reward system, a second data packet comprising transaction information from a transaction authorization system ([0028] "The authority 220 [transaction authority system" determines whether to authorize the transaction in accordance with its own standards and communicates its decision [transaction information] back through the financial infrastructure and the loyalty switch 212 to the originating point-of-sale terminal 208."),
wherein the first connection and the second connection are connected in parallel to the hybrid reward system (Fig. 2 shows a first connection between #208 "POS terminal" and #212 Loyalty Switch" and a second connection between #220 "Authorization" and #212 "Loyalty Switch". These connections are in parallel per [0007] " Generally, execution of the loyalty process will proceed at the same time [in parallel] as waiting for authorization for the transaction from the financial infrastructure. If the transaction is authorized, the authorization is transmitted back to the merchant. In some instances where the loyalty program provides the customer with an instant reward, the transmission back to the merchant may be accompanied with instructions for implementing the instant reward.");
identifying the rewards program information in the first data packet (Fig. 2 shows #212 "Loyalty Switch" attached to the #216 "Loyalty Host" which form the hybrid reward system. [0031] "Those functions performed by the loyalty switch 212 are denoted generally by block 315 and those functions performed by the loyalty host 216 are denoted generally by block 325. At block 304, transaction data [reward program information] are received from the point-of-sale terminal 208 as an electronic packet by the loyalty switch 212. The loyalty switch 212 compares the identity of the merchant at block 308 and the identity of the customer at block 312 with a database identifying all participating merchants and customers." See also [0006] and [0028]. The transaction data can be interpreted as reward program information since the loyalty switch can tell from the transaction information of the identity of the customer and therefore tell if the customer is part of the loyalty program.)
and the transaction information in the second data packet ([0030] "The loyalty switch 212 may be configured also to forward the electronic packet to the authorization authority 220 to approve the transaction, although in some embodiments that function will be performed by the loyalty host 216 to ensure that loyalty credit is given only if the transaction is properly authorized and satisfactorily executed." See also [0031].);
authorizing a transaction based on the transaction information identified in the second data packet; in response to the authorizing, determining a reward for the transaction based on the reward program information, the transaction information, ([0007] "Generally, execution of the loyalty process will proceed at the same time as waiting for authorization for the transaction from the financial infrastructure. If the transaction is authorized, the authorization is transmitted back to the merchant. In some instances where the loyalty program provides the customer with an instant reward, the transmission back to the merchant may be accompanied with instructions for implementing the instant reward." See also Fig. 3.)
and the frequency of transactions ([0043] "For each of the loyalty programs, rewards may be accumulated in at least three ways. First, rewards may be based on recency criteria, in which a reward is triggered either by completing a transaction within a specified time interval or by completing a specified number of transactions within a given time interval. Second, rewards may be based on frequency, in which a reward is triggered by completing a specified number of transactions."); and
and transmitting, to a user device, the updated reward program information comprising the reward for the transaction, and the updated transaction information. (Fig. 5B, [0053] "At block 524, the aggregator 118 accesses records from the storage device(s) 404 of the loyalty host 216 as necessary to respond to a request from the customer 436. Three examples of the types of request are shown in the figure, although many other types of customer care services may also be provided with the information stored by the loyalty host 216. For example, at block 528, the aggregator." [0054] "At block 532, the aggregator 118 may access the storage device(s) 404 to provide rewards for a customer 436 who has accumulated the requisite number of loyalty points. Such activity comprises verifying the number and type of accumulated loyalty points for a particular customer and performing a comparison with the requirements of the loyalty program. Fig. 2 "Customer controlled point aggregator" [user device]").
George’s loyalty system includes an aggregator but not explicitly
comprising a reward engine connected to a rewards database, wherein the rewards database is configured to store reward program information, and a purchase tracking engine connected to a purchase tracking database, wherein the purchase tracking database is configured to store transaction information, wherein the reward engine is configured to analyze the reward program information and the transaction information, and wherein the purchase tracking engine is configured to analyze a frequency of transactions, update the rewards database with the rewards program information, update the purchase tracking database with the transaction information;
However, Chandrasekaram teaches,
comprising a reward engine connected to a rewards database, wherein the rewards database is configured to store reward program information, and a purchase tracking engine connected to a purchase tracking database, wherein the purchase tracking database is configured to store transaction information, wherein the reward engine is configured to analyze the reward program information and the transaction information, and wherein the purchase tracking engine is configured to analyze a frequency of transactions, update the rewards database with the rewards program information, update the purchase tracking database with the transaction information; [0051-0052] “The redemption engine 310 comprises an redemption rate database 402”, Fig. 3 #106 "rewards payment processor" [the hybrid reward system] comprises #310 "Redemption Engine" [reward engine] and #314 "resolution engine" [purchase tracking engine], [0045], [0058-0059] “The resolution engine 314 comprises a customer transactions database 502”, see also [0047] “resolution engine 314 updates loyalty points associated with each customer 112”, [0059-0060], “the resolution engine can update the aggregate view of loyalty points available to customer 112”, [0077].
Therefore it would have been obvious to one of ordinary skill in the art before the effective filing date of the claimed invention to modify hybrid reward system of George by adding comprising a reward engine and a purchase tracking engine, wherein the reward engine is configured to analyze reward program information and transaction information, and wherein the purchase tracking engine is configured to analyze a frequency of transactions and updating the rewards and transaction database, as taught by Chandrasekaram, since George and Chandrasekaram are analogous art, and in order to increase customer engagement with the rewards program and to retain a customer base (Chandrasekaram, [0006].)
George in view of Chandrasekaram may not explicitly disclose,
wherein the transaction authorization system is connected to the point of sale terminal,
George discusses a transaction authorization system that receives a request to authorize the transaction, in at least Fig. 2 #220 and [0005], and Chandrasekaram discusses the authorization of a transaction in at least [0030] and uses a transaction engine to execute a transaction in [0055] but not specifically
wherein the transaction authorization system is connected to the point of sale terminal,
However, Cho teaches
wherein the transaction authorization system is connected to the point of sale terminal,
(Fig. 1 shows #310 Tandem/transaction approval system per [0052] of Cho connected to #20 card payment terminal [point of sale terminal]. Fig. 4 shows the "Tandem" transaction authorization system receiving #1 "approval request" [request to authorize a transaction] from the merchant terminal. [0052] "Therefore, when a transaction approval request is received from the merchant terminal 20 to the approval system 310 through the VAN company.").
Therefore it would have been obvious to one of ordinary skill in the art before the effective filing date of the claimed invention to modify the third connection of George and Chandrasekaram by adding further comprising: receiving, via a third connection and at the transaction authorization system, an authorization request for the transaction from the point of sale terminal, as taught by Cho, since George, Chandrasekaram, and Cho are analogous art and in order to for the authorization system to provide the transaction authorization direct to the point of sale to make it more efficient.
Regarding claims 2, 9, and 16, George discusses a transaction authorization system that receives a request to authorize the transaction, in at least Fig. 2 #220 and [0005], and Chandrasekaram discusses the authorization of a transaction in at least [0030] and uses a transaction engine to execute a transaction in [0055] but not specifically
further comprising: receiving, via a third connection and at the transaction authorization system, an authorization request for the transaction from the point of sale terminal.
However, Cho teaches
further comprising: receiving, via a third connection and at the transaction authorization system, a request to authorize the transaction from the point of sale terminal (Fig. 1 shows #310 Tandem/transaction approval system per [0052] of Cho connected to #20 card payment terminal [point of sale terminal]. Fig. 4 shows the "Tandem" transaction authorization system receiving #1 "approval request" [request to authorize a transaction] from the merchant terminal. [0052] "Therefore, when a transaction approval request is received from the merchant terminal 20 to the approval system 310 through the VAN company.").
Therefore it would have been obvious to one of ordinary skill in the art before the effective filing date of the claimed invention to modify the third connection of George and Chandrasekaram by adding further comprising: receiving, via a third connection and at the transaction authorization system, an authorization request for the transaction from the point of sale terminal, as taught by Cho, since George, Chandrasekaram, and Cho are analogous art and in order to for the authorization system to provide the transaction authorization direct to the point of sale to make it more efficient.
Regarding claims 3, 10, and 17, George teaches
further comprising: generating the second data packet comprising the transaction information ([0028] "The authority 220 [transaction authority system] determines whether to authorize the transaction in accordance with its own standards and communicates its decision [generates the second data packet comprising [transaction information] back through the financial infrastructure and the loyalty switch 212 to the originating point-of-sale terminal 208.").
George and Chandrasekaram do not specifically teach
wherein the transaction information comprises the request to authorize the transaction.
However, Cho teaches
wherein the transaction information comprises the request to authorize the transaction ([0052] "Therefore, when a transaction approval request is received from the merchant terminal 20 to the approval system 310 through the VAN company, the approval system 310 transmits the transaction approval request data to the merchant royalty management system 100 connected in series to the approval system 310 to request a campaign rule processing.").
Therefore it would have been obvious to one of ordinary skill in the art before the effective filing date of the claimed invention to modify the information included in the transaction information of George and Chandrasekaram by adding wherein the transaction information comprises the request to authorize the transaction, as taught by Cho, since George, Chandrasekaram, and Cho are analogous art and in order for the authorization system to get all of the information it needs.
Regarding claims 4, 11, and 18, George teaches
wherein determining further comprises: analyzing the reward program information to obtain a number of transactions at the merchant ([0043] "For each of the loyalty programs, rewards may be accumulated in at least three ways. First, rewards may be based on recency criteria, in which a reward is triggered either by completing a transaction within a specified time interval or by completing a specified number of transactions within a given time interval.. Second, rewards may be based on frequency, in which a reward is triggered by completing a specified number of transactions."); and
modifying the reward program information to increase the number of transactions at a merchant, wherein the increase reflects the transaction information received via the second connection ([0049] The purchases of customers having cards bearing the aggregator logo are recorded [increase] whenever they visit any of the three chains and issue the appropriate reward when the conditions are met." See also [0045].).
Regarding claims 5, 12, and 19, George teaches
wherein determining further comprises: calculating the reward based an amount of the transaction ([0045] "For a monetary loyalty system, points will be correlated with the dollar amount of the transaction.").
Regarding claims 6 and 13, George teaches
wherein the transaction information is from at least one of a transaction account indicia, an electronic wallet, a transaction enabled fob, or a transaction card ([0027] "Each point-of-sale terminal 208 may be configured to accept one or more different types of payment options, including a magnetic-stripe card 202 such as a credit or debit card, a chip card 204 such as a smart card").
Regarding claims 7, 14, and 20, George teaches
wherein the hybrid reward system is configured to establish parallel connections between the hybrid reward system and both the point of sale terminal of a merchant and the transaction authorization system (Fig. 2 shows a first connection between #208 "POS terminal" and #212 Loyalty Switch" and a second connection between #220 "Authorization" and #212 "Loyalty Switch". These connections are in parallel per [0007] " Generally, execution of the loyalty process will proceed at the same time [in parallel] as waiting for authorization for the transaction from the financial infrastructure. If the transaction is authorized, the authorization is transmitted back to the merchant. In some instances where the loyalty program provides the customer with an instant reward, the transmission back to the merchant may be accompanied with instructions for implementing the instant reward.").
Response to Amendments
Amendments to the Claim(s) do not overcome rejections under 35 USC 101 set forth by the Examiner for being directed to an abstract idea.
Amendments to the Claim(s) do not overcome the non-statutory double patenting rejections set forth by the Examiner.
Amendments to the Claim(s) overcome the rejection under 35 USC 103, therefore the Examiner has entered new grounds of rejection as necessitated by the amendments.
Response to Argument
Regarding the Non-statutory Double Patenting Rejection, the Examiner does not find the amended claims to be patentable distinct, the amendments made by the Applicant are similarly disclosed in the cited Patent(s) and/or necessarily required such that it would be obvious to one of ordinary skill in the art. Therefore, the Examiner has maintained the rejection.
With regards to the 101, on pages 9-11, Applicant states, “Applicant respectfully asserts that the claims as amended do not recite an abstract idea under Step 2A, Prong 1”, “The claims describe aspects that are inherent to the realm of computer and network infrastructures, that is, adding additional functionality to an electronic payment system without having to alter the existing hardware: "point of sale system connected to a hybrid reward system... comprising a reward engine connected to a rewards database... and a purchase tracking engine connected to a purchase tracking database," and "a transaction authorization system... connected to the point of sale terminal." Both the hybrid reward system and transaction authorization system are connected to the point of sale terminal electronically (i.e., over a network). By being connected to each of these components of over the network, the system of the claimed invention is able to extend the functionality of the point of sale terminal without having to make any significant changes to the point of sale terminal software or hardware”. Examiner respectfully disagrees. There is nothing in the claims that recites or suggests “any kind of added functionality”, the claims appear to just be receiving data from various sources to determine/update a rewards database. Although the system recites various connections and receiving/analyzing information, there is nothing recited in the claims that suggests that the data packets are received and analyzed simultaneously. The claim recites various general computer components (i.e., database(s) performing general computer functions (i.e., storing, receiving, transmitting updating etc.,). The Examiner finds that the amended claims do not recite an improvement to the functioning of the computer or to the technical field, nor does the claims recite additional elements that amount to significantly more than the judicial exception. Therefore, Examiner is not persuaded.
On pages 12-14, Applicant argues that George in view of Chandrasekaram does not teach the amended claim language. Examiner has entered new grounds of rejection as necessitated by the amendments. The Examiner notes that amended claim limitations merely require a connection between the POS terminal and the transaction authorization system, nowhere in claim 1, 8 or 15 does it require that the transaction authorization request be sent directly to the transaction authorization system from the POS terminal (and subsequently to the hybrid rewards system) or that the authorization response be sent directly from the transaction authorization system back to the POS terminal bypassing the rewards engine. The claims merely require the prior art to disclose a connection between the POS terminal and the transaction authorization system but do not require any actual sending and/or receiving data between the two. See updated 103 rejection above.
Applicant’s arguments with respect to claim 1, 8, and 15 have been considered but are moot because the arguments do not apply to the current rejection.
The Applicant relies on the same arguments for depending claims 2-9, 11-14, and 15-20 therefore the Examiner’s response to the Applicant’s arguments above applies to depending claims 2-9, 11-14, and 15-20.
Applicant's arguments filed 30 December 2025 have been fully considered but they are not persuasive.
Conclusion
The prior art made of record and not relied upon is considered pertinent to applicant's disclosure.
Toewe et al (US 9,659,304 B1, hereainfter “Toewe”), teaches a Digital Promotions Network that is connected to a point of sale system and a payment system, the system communicates and shares various transactional and promotions data through the various connections, the system includes authorizing transactions and updating promotional accounts (see at least Fig. 4, Abstract and Summary).
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/M.G./Examiner, Art Unit 3622
/ILANA L SPAR/Supervisory Patent Examiner, Art Unit 3622
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