Background
The increase in Web-related lawsuits is a response to the amount of money generated bysoftware and its pervasiveness in the marketplace. Corporate attention has become focused on Web
site design and its impact on revenue because Web sites have matured into a productive asset.
Simultaneously, changes in the implementation of the patent law have made Web site design both more
lucrative and more risky, as software and business method patents have become more acceptable to
the United States Patent and Trademark Office (USPTO).Most recently, corporations such as Amazon.com and Ebay have incorporated patentable business
methods into the design of their Web sites and brought suit against other Web sites which have
incorporated these methods. Therefore, today’s Web designer must consider not just the online
consumer’s wants and needs but also, the legal constraints and requirements which regulate a Web
site’s appearance and functionality.
The software industry has responded to these lawsuits by calling for an end to software
patents and/or business method patents. Notably, Europe has taken a less permissive attitude toward
awarding software patents (Daly, 2001). Some patent owners, in particular Jeff Bezos of Amazon.com,
have suggested that the USPTO be permitted to grant a software patent with a reduced term, which
would better reflect the short development cycle of innovation on the Web (Cave, 2000). Congress
has responded with legislation to protect early software innovators, who did not patent their
software, from lawsuits by patent holders (American Inventors Protection Act, 1999.) It is now time
for Web site designers, themselves, to become familiar with the issues and how they can best deal
with them. A first step is to understand the type and magnitude of litigation that is ongoing. To
aid in this endeavor, the cases discussed below are organized by the Web site feature at issue, in
order to offer guidance to the Web designer who is contemplating implementing these particular
features. Because cyber law is still in its infancy and rapidly changing, legal generalizations are
difficult to make. Next, the designer should understand the importance of the Web design agreement
and which clauses require special attention. Finally, the designer needs to consider the steps the
designer needs to take to avoid designs which invite a lawsuit.