A leading US trading software firm has filed a lawsuit against UK hedge-fund company Man Group in the row over claims that a patent awarded last year entitles it to a share of trading revenue on futures exchanges.
Chicago-based Trading Technologies (TT) was awarded two UK patents on its MD Trader product, which it claims is used for half of all global electronic futures trading.
The software allows traders to enter orders and compare prices across exchanges and TT claims this entitles it to a 2.5 cent per trade fee on the 'big four' futures exchanges — the Chicago Board of Trade, Chicago Mercantile Exchange, Eurex US and Euronext.liffe.
In an open letter to the futures industry, TT said: "Already, the savings that TT brings to the futures industry dwarf a 2.5 cent inclusion. In this ultra-competitive environment, the industry is enjoying the benefits of record volume and thriving more than ever."
In an attempt to force the exchanges' hands, TT has gone after individual trading firms and the latest suit has been filed against the Man Financial brokerage division of Man Group, following similar infringement cases against the electronic bond-trading arm of Cantor Fitzgerald and Refco. Other cases last year against two US trading firms were settled out of court.
A spokesman for Man Group said the company is confident it has not infringed any patents.
"Man Financial only received a copy of TT's complaint yesterday," he said. "Man Financial is confident that none of the software or trading systems we are providing to our clients — all of which is provided by third-party vendors — infringe any TT patents," he said."
Talkback
Can we please once and for all time can these darn stupid ripoff software patents they are pointless needless ans worthless , They actually conspire to say that once the patent owner has strung to letters/symbols/numbers ect together then they and only they can ever use that combination again without paying them which to be blatent about it is nothing but a load of bollocks or even bollox if you are of the us persuation
BAN software patents NOW and for ALL TIME ..
I'm confused. I did't think we had software patents in this country. I thought that was what the European Software (shaft the SMB's) Directive was all about.
So, why is the UK Patent Office gving out software patents??!?