The Dangers of Business Method Patents

For starters, unlike patents for inventions, the business method patents that endanger the nonprofit community typically do not cover innovations that solve a particular technology problem. Instead, holders of business method patents are claiming to be the first to engage in a transaction over the Internet in a particular way. (One example of a business method patent is Amazon.com’s “1-Click,” which allows a repeat customer to bypass address and credit card data-entry forms, because Amazon can access that information directly from the customer’s account.)