Math Formula Patents

The U.S. Supreme Court refused to block inventors from patenting mathematical algorithms, leaving intact a powerful new legal tool for software developers, financial services companies and technology-based companies.

For the second time this year, the justices rejected an appeal arguing that math formulas don’t deserve the legal protection available for other innovative products and processes.

The high court decision lets AT&T; Corp. pursue its suit against long-distance rival Excel Communications Inc., a unit of Teleglobe Inc., for allegedly infringing a patented system designed to help bill customers. It also leaves intact a legal rule that many say has helped cause a flood of new software patents and applications.