Remote Deposit Capture RSS Feed
Remote Deposit Capture Newsletter
Remote Deposit Capture Group on LinkedIn
Remote Deposit Capture Group onTwitter
The Green Sheet

Email Page 
Print Page 
 Add to LinkedIn Add to Twitter Add to Facebook Add to Reddit Add to StumbleUpon 
Add to Tumblr
Search discussion boards: 

Remote Deposit Capture Discussion Boards

The Remote Deposit Capture Discussion Boards are open to the entire industry. Post comments, share news, ask questions and more with professionals from throughout the industry.
Go back to Discussion Boards
Remote Deposit Capture Discussions Discuss the ins-&-outs of Remote Deposit Capture here. No vendor solicitations here please.
Discussion Boards > Remote Deposit Capture Discussions > USAA Patents View modes: 
User avatar
Site admin
Site admin
John - 11/7/2019 8:50:13 AM
USAA Patents
On Nov. 6th, 2019, according to a USAA Press Release, "A U.S. District Court jury in Marshall, Texas, has found that Wells Fargo willfully infringed on two USAA patents for the “auto capture” process...". 

USAA has apparently sent hundreds of notice letters to various financial institutions regarding their patents. With this jury finding in the Wells case, what's next for the industry? Is Wells unique, or have others in the industry done the same thing?

In another, much older, Patent case, DataTreasury (many referred to them as a "patent troll") sued many FIs and solution providers over Remote Deposit Capture patents. In the end, DataTreasury effectively lost, but not without many lawsuits, settlements and court cases along the way. How is the USAA case different from what happened with DataTreasury?

To make matters more complicated, USAA and Mitek were battling over patents just a couple of years ago. They eventually settled, but does that protect solution providers and FIs who employ the Mitek Technology?

We hope the industry will use these open discussion boards to pose questions, share information and gain a better understanding of these issues. What are your thoughts and insights?

User avatar
Site admin
Site admin
John - 11/12/2019 10:45:28 AM
RE:USAA Patents
We reached out to USAA to try and get some of the above questions answered. Despite the fact they issued a press release on this matter and provided contact information for questions, when we contacted them, they said they are not making any comments on the matter. Here we are, trying to help the industry better understand the implications of the verdict and provide more information and insight for everyone, and.... well... Frustrating, to say the least.

We'll keep working to shed more light on this issue. In the meantime, please post here or email me with any comments, insights, etc.

User avatar
Site admin
Site admin
John - 11/12/2019 11:08:23 AM
RE:USAA Patents - Mitek Actions with the Dept. of Justice
Mitek announced quarterly earnings last week, and in their conference call with analysts, they provided some information on this matter…

Mitek’s CEO, Max Carnecchia read the below from a prepared statement:
Turning our attention to USAA's continued attacks on the financial industry. As we have noted previously and included in our filings beginning in 2018, USAA has challenged many financial institutions with allegations that components of such institutions remote check deposits solutions infringe upon certain of USAA's patents.

In 2018, USAA filed two lawsuits against Wells Fargo alleging these claims. Mitek strongly believes that we have invented all of our core technology and that our products do not infringe on any USAA patents. As such, even though USAA has not sued Mitek directly for infringement of any USAA patents, on November 1st, Mitek filed a complaint seeking a declaratory judgment that is -- that its automatic-check image capture product does not infringe on certain patents owned by USAA. Subsequently, this week, one of the Wells Fargo lawsuits was concluded in the Eastern District of favor of USAA with damages against Wells Fargo in the amount of $200 million.

We believe this is an incorrect verdict. This verdict is subject to post-trial motions and appeal by Wells Fargo. We intend to prove through the DJ Action that Mitek's technology does not infringe on USAA's patents. We view the DJ Action as an important step to provide certainty to our customers concerning the use of our automatic check image capture technology.
As this is a very complex area of intellectual property law and subject to ongoing litigation, we are limited in what information we can share publicly…

Later in the conference call an Analyst asks about the previous USAA / Mitek issue / lawsuit / settlement, and how that impacts Mitek and its customers who use Mitek Technology. Mr. Carnecchia replied with the following;
The matter that was resolved between USAA and Mitek, it goes back six or seven years ago and was an intellectual property and patent issue, but it was not related to what's on tap here today. What we mentioned in this earnings call and what was released in the 8-K today is really us taking the offensive action last week with the DJ looking for the judgment from the court, so that we can basically prove that Mitek's MiSnap auto-check image capture technology does not infringe on the USAA patents. And that's our obligation and our strong feelings to vigorously protect our innovation, our IP, and the rights of our end users.

The analyst then asks for a bit more clarification, “But to be clear, the patent issue that they are going after Wells Fargo for that you are actively defending around MiSnap is different than the issue we had… six, seven years ago?” To which Mr. Carnecchia replied “Yeah. Maybe touch each other and be related in some way, but it is different enough, that obviously, have ended up in court.”

Thoughts? Comments? Reactions?

User avatar
Site admin
Site admin
John - 11/21/2019 12:34:00 PM
RE:USAA Patents - Mitek Actions with the Dept. of Justice
We are planning a webinar on this topic, likely to take place in January. What specific questions do you have that can we look into and research answers to (in addition to what I have posted previously)? 

User avatar
Site admin
Site admin
John - 1/6/2020 1:10:05 PM
USAA v Wells Fargo, Trial #2 Coverage
We are thrilled to announce will be covering the USAA v Wells Fargo Trial which starts TODAY! We've already made our "Setting the Stage" webinar available, and plan additional webinars / teleconferences at the end of each day of the trial. To learn more, CLICK HERE..

We are working with David Walker of Tiller Endeavors who will be IN THE COURTROOM and will provide insights at the end of each day. Stay tuned!

-And if you have any questions, comments, insights, etc., please join this discussion!

User avatar
Site admin
Site admin
John - 1/7/2020 10:47:38 PM
RE:USAA v Wells Fargo, Trial #2 Coverage
Day 1 proceedings in the USAA v Wells Fargo Patent Trial is in... Gain insights from INSIDE THE COURTROOM via our 2nd webinar available now. You don't want to miss this! To learn more, CLICK HERE.

Our latest On-Demand Webinar includes discussion of the following;
·       The Reduction by the courts of the Patents in question from five down to 2
·       Plaintiff’s core claims of Patent Infringement, defined
·       Plaintiff’s Expert Witnesses and approaches
o  Expert Opinion on actual Patent Infringement
o  Expert Opinion on the monetary value of damages and value methodology
·       Defense’s cross-examination of Plaintiff’s expert witnesses
·       The Concept of the “Continuing Patent”, and implications
·       The concept of “Dependent Claims”, and implications
·       The issues of where and how are the computational decisions made during the deposit process.

We plan to make the next telecast available Wednesday evening, January 8th 2020. Stay Tuned...

User avatar
Site admin
Site admin
John - 1/8/2020 1:29:49 PM
RE:USAA v Wells Fargo, Trial #2 Coverage
The Marshall News Messenger published an article about the trial (CLICK HERE to read). Full Disclosure: They only allow you to view articles 5 times before restricting access to paid members).

Of interesting note, it quotes USAA's attorney, "We’ll be asking for no less than 85 cents per successful mobile deposit,”, which equates to $102,792,510 in damages that they are seeking. The article also details the Plaintiff's (USAA) Claims and the Defendant (Wells Fargo) opening statements.

For even more insights, but sure to listen to our Webinar Series covering this trial.

User avatar
Site admin
Site admin
John - 1/9/2020 8:42:56 AM
RE:USAA v Wells Fargo, Trial #2 Coverage
While the initial arguments by the plaintiffs of patent infringement during the proceedings on Tuesday Jan. 7th made it initially look like a "slam dunk" for the plaintiffs, the Defense took the spotlight on Wednesday Jan. 8th. Gain insights from INSIDE THE COURTROOM via our 3rd webinar available now. You don't want to miss this! To learn more, CLICK HERE. 

Our latest On-Demand Webinar (Jan. 8th coverage) includes discussion of the following;
  • Continuation and conclusion of Plaintiff’s arguments
  • Defense Fact-Based Witness Testimony
    • Witness expertise and qualifications
    • Wells Fargo innovation timeline and RDC / Mobile Deposit timeline
  • Defense Expert Witness Testimony
    • Objective: show USAA Patents are invalid
    • The requirement for claims to match specifications in patents
    • The need to have clear “anticipation” when filing for a continuation of a patent.
    • Detailing the logic of why the patents in question are invalid
  • Plaintiff’s cross-examination
    • Questioning the Defense Expert Witness Qualifications
  • Observations
    • Many “Objections” and the contentious courtroom.
    • The use of new technology in the courtroom
    • How the Jury serves as a “Check and Balance” against the Patent Office. The authority a jury has to invalidate a patent and the responsibility of a Jury to do so.
  • Overall Timeline for the rest of the Trial
We plan to make the next telecast available by Friday morning, January 10th 2020. Stay Tuned...

User avatar
Site admin
Site admin
John - 1/10/2020 2:44:42 PM
RE:USAA v Wells Fargo, Trial #2 Coverage
The USAA v Wells Fargo Remote Deposit Capture Patent Trial has concluded and is in the hands of the jury. Gain insights from INSIDE THE COURTROOM via our 4th webinar available now. Several very important issues arose during this final day of trial proceedings which could determine the outcome / verdict. 

Click Here to view the Webinar Library.

Quick Summary:

Our latest On-Demand Webinar includes discussion of the following;

  • Continuation and conclusion of Defense’s arguments
  • Expert Witness Qualification
  • Experience in lieu of Education
  • Noted errors in Plaintiff Lawyer’s patent language 
  • Defense Video Deposition
  • Included deposition from USAA employees
  • 2nd Expert Witness for Defense
  • Confirmed qualifications of 1st Expert Witness
  • Demonstrated no infringement of patents
  • Concept of non-infringing alternatives introduced
  • Defense witness to counter Damages claims and calculation methodology
  • Conclusion of arguments
  • Motions requested by each side, Judge’s decisions on motions
  • Process for the Jury decision
  • Final timeline for this trial

User avatar
Site admin
Site admin
John - 1/10/2020 4:19:50 PM
RE:USAA v Wells Fargo, Trial #2 Coverage
Our sources have informed us the Verdict is in! In favor if USAA / Against Wells Fargo. Damages: $102 Million.

1 2

Recent Forum Posts

RE:duplicate repeat offenders & contract language

Hello Lynn, We do not have a specific number of occurrences where the customer may be removed from the product.  We do ask they adhere to our Check Safekeeping and Destruction guide which covers duplicates and how to avoid them by ensuring they have a physical endorsement and secured after ...
Posted on 4/20/2022 1:01:14 PM

RE:Analyzed Savings or MMA accounts on RDC

Do you mean RDC into SAV or MMA Accounts?  A consumer could RDC into a SAV or MMA I beleive. But for commercial customers you cant by law in most places co-mingle security deposits with regular funds due to the required accounting of those funds.  It creates a terribly challenging acco...
Posted on 4/5/2022 1:44:40 PM

Analyzed Savings or MMA accounts on RDC

What would be some reasons why a Financial Institution would prohibit (or allow) RDC on Analyzed SAV/MMA? The use case for some businesses, such as Property Management Companies wishing to deposit directly into an Analyzed MMA where security deposits are held, has been brought to our attention, b...
Posted on 3/24/2022 1:25:28 PM