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Magistrate Recommends Dismissal of PNC’s Alice Defense as USAA Check Deposit Case Heads to Trial

May 6, 2022

An Eastern District of Texas magistrate judge has recommended the dismissal of an Alice defense raised by PNC Financial Services, holding that a set of patents asserted against it by USAA are not directed to unpatentable subject matter. On May 3, Magistrate Judge Roy S. Payne concluded instead that the patents claim technological improvements related to certain aspects of mobile deposit capture technology, citing a series of prior rulings in USAA’s litigation against Wells Fargo. Judge Payne’s report and recommendation—the latest in a recent flurry of decisions on evidentiary and legal issues raised by the parties—came shortly before trial, which is set to begin today before District Judge Rodney Gilstrap.


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