Supreme Court agrees to decide on Alice v CLS

Managing IP is part of Legal Benchmarking Limited, 1-2 Paris Gardens, London, SE1 8ND

Copyright © Legal Benchmarking Limited and its affiliated companies 2026

Accessibility | Terms of Use | Privacy Policy | Modern Slavery Statement

Supreme Court agrees to decide on Alice v CLS

The Supreme Court has confirmed it will hear oral arguments in Alice’s dispute with CLS Bank, in a case that will rule on the extent to which software and business methods are patentable.

The US Supreme Court today agreed to hear Alice v CLS. Next year’s verdict in the landmark case will provide clarity over when, if ever, an otherwise abstract idea is patent-eligible under Section 101.

Alice Corporation in September asked the Court to review the Federal Circuit’s decision in its dispute with CLS Bank. In an en banc decision in May this year, the 10 Federal Circuit judges split 5-5 on Alice’s claims to computer system inventions. This split meant the district court summary judgment that the claims were unpatentable was upheld.

Alice is an electronic financial marketplace that is 50% owned by National Australia Bank. The Supreme Court decision will have big ramifications for the software industry.

Legal arguments are likely to start in March with a verdict to follow by the end of June.

Alice is represented by Supreme Court specialist Carter Phillips with other lawyers from Sidley Austin’s Washington, DC and Chicago office. Phillips has argued 76 cases before the Supreme Court including patent trials LA v Quanta and eBay v MercEchange.

May’s Federal Court decision followed a 2-1 panel decision to uphold Alice’s patents in July 2012, which created inconsistencies in the way that judges have interpreted Section 101. Chief Judge Rader recently admitted the 2012 ruling was “the greatest failure in my judicial career”. He added: “I think we have a responsibility to deal with what we are given and try to provide guidance in the right direction and we did not do that.”

more from across site and SHARED ros bottom lb

More from across our site

Head of IP, Andrew Brennan, and new partner, France Delord, explain how tech provides an edge in the battle for global brand owners’ business
Anton Hopen, shareholder at Trenam Law, shares how counsel should construct Section 101 claims as early 2026 PTAB data shows reversals rising in technical cases
Law firms should consider how they can help clients, as report calls on EU to use IP-backed financing to increase bloc’s competitiveness and attractiveness for businesses
In the final part of a series on challenging patent invalidation decisions in China, lawyers at Spruson & Ferguson and Marshall Gerstein share how courts adjudicate appeals
Stijn Debaene and Carina Gommers want Brussels-based Cast Law to be the place 'everybody wants to work'
The combination between Ashurst and Perkins Coie, which will create a $2.8 billion law firm, is expected to close in Q3
While Sipara will continue operating under its existing name and leadership for now, both firms plan to present a united front at the INTA Annual Meeting in London
Sheppard has added quantum and robotics expertise to its AI industry team to help clients navigate questions around inventorship and IP infringement
The 2026 Americas ceremony recognised outstanding firms and practitioners, along with highlighting impact cases of the year
A development concerning Stephen Thaler’s AI copyright application in India and an integration between IPH group firms were also among the top talking points
Gift this article