Computer program product for implementing a service contract futures exchange

Abstract

The present invention relates a futures exchange for services contracts. The SerFEx is an electronic market system that enables the exchange of cash (spot and forward) contracts and futures contracts for the delivery of services. Services are traded on the exchange similar to commodities on a prior art commodities exchange. The exchange allows the futures market to determine the right price for services for the producers and consumers of those services. Participants may buy, sell, or leverage services contracts through a variety of order types. The exchange is composed of an electronic infrastructure that has four major components: a front-end facility comprised of licensed authorized intermediaries, an automated bid/ask matching system, a clearinghouse system, and a title management system. The exchange operates twenty-four hours per day and seven days per week with all accounts settled at least once in every twenty-four hours. Participants in the exchange may be producers of services, intermediaries, speculators, and consumers of the services.

1 . A computer program product for implementing a service contract futures exchange, said computer program product comprising: 
 a computer usable medium having computer useable program code embodied therewith, the computer usable program code comprising: 
 computer usable program code to receive a bid order for a service futures contract, wherein the bid order originates from a bidder;  
 computer usable program code to match the bid order for a service futures contract with an ask order for a corresponding service futures contract, wherein an asker owns the corresponding service futures contract and the ask order originates from the asker; and  
 computer usable program code to transfer ownership of the corresponding service futures contract to the bidder.  
   
   
   
       2 . The computer program product recited in  claim 1 , further comprising: 
 computer usable program code to convey funds from the bidder to the asker.    
   
   
       3 . The computer program product recited in  claim 1 , wherein the computer usable program code to match the bid order for a service futures contract with an ask order for a corresponding service futures contract further comprises computer usable program code to identify service futures contract options for the service futures contract which is the subject of the bid order from the bidder.  
   
   
       4 . The computer program product recited in  claim 1 , wherein the bid order includes a bid price and further wherein the bid order identifies service futures contract options for the service order including at least one of service quantity, service grade, service delivery date, and service delivery point.  
   
   
       5 . The computer program product recited in  claim 1 , wherein the computer usable program code to receive a bid order for a service futures contract further comprises computer usable program code to obtain the bid order from a bidder's authorized intermediary, wherein the bidder's authorized intermediary represents the bidder.  
   
   
       6 . The computer program product recited in  claim 1 , wherein the asker is represented by an asker's authorized intermediary.  
   
   
       7 . The computer program product recited in  claim 1 , wherein the computer usable program code to match the bid order for a service futures contract with an ask order for a corresponding service futures contract further comprises: 
 computer usable program code to identify service futures contract options for the service futures contract which is the subject of the bid order from the bidder, wherein the service futures contract options for the service order includes at least one of service quantity, service grade, service delivery date, and service delivery point;    computer usable program code to search a plurality of available service futures contracts for at least one corresponding service futures contract, wherein the corresponding service futures contract includes service futures contract options that correspond to the service futures contract which is the subject of the bid from the bidder;    computer usable program code to identify at least one corresponding service futures contract from the plurality of available service futures contract;    computer usable program code to compare a bid price associated with the bid order with each ask price associated with each ask order for the identified at least one corresponding service futures contract; and    computer usable program code to identify at least one corresponding service futures contract having a price match, wherein the ask price of the ask order associated with the at least one corresponding service futures contract is lower than or equal to the bid price associated with the bid order.    
   
   
       8 . The computer program product recited in  claim 1 , wherein the computer usable program code to convey funds from the bidder to the asker further comprises: 
 computer usable program code to receive notification of a price match between a bid order from a bidder and an ask order from an asker;    computer usable program code to debit a bidder's authorized intermediary; and    crediting instructions for crediting an asker's authorized intermediary.    
   
   
       9 . The computer program product recited in  claim 8 , wherein the computer usable program code to transfer ownership of the corresponding service futures contract to the bidder further comprises: 
 computer usable program code to receive notification of funds being transferred from the bidder's authorized intermediary to the seller's authorized intermediary for the corresponding service futures contract;    computer usable program code to access a title record for the corresponding service futures contract; and    computer usable program code to update the title record for the corresponding service futures contract to reflect the bidder as the owner of the corresponding service futures contract.    
   
   
       10 . The computer program product recited in  claim 1 , further comprising: 
 computer usable program code to issue a certificate of title to the bidder.    
   
   
       11 . A computer program product for implementing a service contract futures exchange, said computer program product comprising: 
 a computer usable medium having computer useable program code embodied therewith, the computer usable program code comprising: 
 computer usable program code to receive an ask order associated with an asker's service futures contract, wherein the ask order originates from an asker;  
 computer usable program code to enter the ask order in a service futures contract database containing a plurality of ask orders, each ask order associated with a service futures contract;  
 computer usable program code to receive a bid order for a bidder's service futures contract;  
 computer usable program code to search the service futures contract database on the basis of the bid order;  
 computer usable program code to match the bid order to the ask order; and  
 computer usable program code to record an ownership change of the asker's service futures contract.  
   
   
   
       12 . The computer program product recited in  claim 11 , wherein the ask order identifies the asker's service futures contract by at least one of service quantity, service grade, service delivery date, and service delivery point and further wherein the bid order includes an ask price.  
   
   
       13 . The computer program product recited in  claim 11 , wherein the computer usable program code to receive an ask order associated with an asker's service futures contract further comprises: 
 computer usable program code to receive an asker's identity;    computer usable program code to an ask price from the ask order;    computer usable program code to a description of the asker's service futures contract including at least on of service quantity, service grade, service delivery date, and service delivery point; and    computer usable program code to a title to the asker's service futures contract.    
   
   
       14 . The computer program product recited in  claim 11 , further comprising: 
 computer usable program code to transmit an identity of a last owner of record to the asker.    
   
   
       15 . The computer program product recited in  claim 11 , wherein the computer usable program code to transfer ownership of the asker's service futures contract to the bidder further comprises: 
 computer usable program code to issue a certificate of title to the bidder.    
   
   
       16 . The computer program product recited in  claim 11 , wherein the computer usable program code to receive an ask order associated with an asker's service futures contract further comprises: 
 computer usable program code to receive an asker's identity;    computer usable program code to receive a royalty owner's identity;    computer usable program code to receive an ask price from the ask order; and    computer usable program code to receive a description of the asker's service futures contract including a royalty fee.    
   
   
       17 . The computer program product recited in  claim 11 , further comprising: 
 computer usable program code to convey funds for the asker's service futures contract.    
   
   
       18 . The computer program product recited in  claim 17 , wherein the computer usable program code to convey funds for the asker's service futures contract further comprises: 
 computer usable program code to transfer funds from the bidder to the asker; and    computer usable program code to escrow funds for a royalty owner based on a royalty fee.    
   
   
       19 . The computer program product recited in  claim 11 , further comprising: 
 computer usable program code to transmit an identity of a last titleholder of record to the asker.    
   
   
       20 . The computer program product recited in  claim 11 , further comprising: 
 computer usable program code to issue a certificate of title to the bidder; and    computer usable program code to transmit an identity of the bidder to the asker.    
   
   
       21 . A computer program product for implementing a service contract futures exchange, said computer program product comprising: 
 a computer usable medium having computer useable program code embodied therewith, the computer usable program code comprising: 
 computer usable program code to receive an ask order for an asker's service futures contract;  
 computer usable program code to receive a bid order for a bidder's service futures contract;  
 computer usable program code to match the bid order with the ask order;  
 computer usable program code to determine whether to process the asker's service futures contract is in a cash market or a futures market, in response to matching the bid order with the ask order; and  
 computer usable program code to process the asker's service futures contract based on whether the asker's service futures contract is processed in a cash market or a futures market.  
   
   
   
       22 . The computer program product recited in  claim 21 , wherein the asker's service futures contract is a transferable contract to provide a service relating to at least one of construction; transportation and warehousing; postal services; information; real estate and rental and leasing; financial and insurance; professional, scientific, and technical services; management of companies and enterprises; administrative and support and waste management and remediation services; educational services; health care and social assistance; arts, entertainment, and recreation; accommodation and food services; public administration; and other services.  
   
   
       23 . The computer program product recited in  claim 21 , wherein the computer usable program code to process the asker's service futures contract, in response to the determination to process the asker's service futures contract in a cash market further comprises: 
 computer usable program code to transfer funds from the bidder to the asker; and    computer usable program code to transfer ownership of the asker's service futures contract to the bidder following transferring funds from the bidder to the asker.    
   
   
       24 . The computer program product recited in  claim 21 , wherein the computer usable program code to process the asker's service futures contract in response to the determination to process the asker's service futures contract in a futures market further comprises: 
 computer usable program code to calculate mark to market time, wherein all futures service futures contracts are processed at mark to market time;    computer usable program code to determine whether present time is equal to mark to market time;    computer usable program code to transfer funds from the bidder to the asker on the basis of present time being equal to mark to market time; and    computer usable program code to transfer ownership of the asker's service futures contract to the bidder in response to transferring funds from the bidder to the asker.    
   
   
       25 . The computer program product recited in  claim 21 , wherein the computer usable program code to determine whether to process the asker's service futures contract is in a cash market or a futures market further comprises: 
 computer usable program code to get a ripe time value for the asker's service-futures contract, wherein the ripe time value is an amount of time prior to service delivery time and date that the asker's service futures contract must be processed in a cash market;    computer usable program code to determine a performance time value, wherein the performance time value is the amount of time from the present time until service delivery time and date of the asker's service futures contract;    computer usable program code to compare the performance time value with the ripe time value for the asker's contract, wherein the asker's service futures contract is processed in a futures market only if the performance time value is greater than the ripe time value, otherwise the askers contract is processed in a cash market.    
   
   
       26 . A computer program product for implementing a service contract futures exchange, said computer program product comprising: 
 a computer usable medium having computer useable program code embodied therewith, the computer usable program code comprising: 
 computer usable program code to receive an ask order from an asker for an asker's service futures contract;  
 computer usable program code to receive a bid order from a bidder for a bidder's contract;  
 computer usable program code to receive the bid order with the ask order;  
 computer usable program code to transfer funds from the bidder to the asker in response to matching the bid order with the ask order; and  
 computer usable program code to transfer ownership of the asker's service futures contract to the bidder in response to transferring funds from the bidder to the asker.  
   
   
   
       27 . The computer program product recited in  claim 26 , wherein the bidder is the first bidder, the bid order is the first bid order, the ask order is the first ask order, the bidder's contract is a first bidder's contract and the computer program product further comprises: 
 computer usable program code to receive a second ask order from the bidder for the asker's service futures contract;    computer usable program code to receive a second bid order from a second bidder for a second bidder's contract;    computer usable program code to match the second bid order bid order with the second ask order;    computer usable program code to transfer funds from the second bidder to the first bidder in response to matching the second bid order with the second ask order; and    computer usable program code to transfer ownership of the asker's service futures contract to the second bidder in response to transferring funds from the second bidder to the bidder.    
   
   
       28 . The computer program product recited in  claim 27 , wherein the computer usable program code to receive an ask order and receiving a bid order further comprise electronically telecommunicating the respective bid and ask orders.  
   
   
       29 . The computer program product recited in  claim 27 , wherein the computer usable program code to receive an ask order and receiving a bid order further comprise orally communicating the respective bid and ask orders.  
   
   
       30 . The computer program product recited in  claim 27 , wherein the computer usable program code to match the bid order with the ask order is performed orally using open outcry oral bargaining.  
   
   
       31 . The computer program product recited in  claim 27 , wherein the computer usable program code to match the bid order with the ask order is performed electronically.  
   
   
       32 . The computer program product recited in  claim 27 , wherein the computer usable program code to receive an ask order from an asker is performed electronically by an asker's authorized intermediary and further wherein matching the bid order with the ask order is performed orally using open outcry oral bargaining.  
   
   
       33 . A computer program product for implementing a service contract futures exchange, said computer program product comprising: 
 a computer usable medium having computer useable program code embodied therewith, the computer usable program code comprising: 
 computer usable program code to transmit an ask order for an asker's service futures contract, wherein the ask order identifies an asker's service futures contract by at least one of service quantity, service grade, service delivery date, and service delivery point and further wherein the ask order includes and ask price;  
 computer usable program code to receive an indication that a bid price associated with a bid order from a bidder has matched the ask price; and  
 computer usable program code to receive sales funds for ownership of the asker's service futures contract, wherein the sales funds are equal in amount to the ask price.  
   
   
   
       34 . The computer program product recited in  claim 33 , wherein the asker's service futures contract is a transferable instrument promising to provide a service at a future service delivery date and remote service delivery point.  
   
   
       35 . The computer program product recited in  claim 33 , further comprising: 
 computer usable program code to escrow royalty funds for a royalty owner, wherein the royalty funds are equal in amount to a royalty fee.    
   
   
       36 . The computer program product recited in  claim 33 , further comprising: 
 computer usable program code to receive information as to an identity of the bidder;    computer usable program code to receive a demand for service from a demander;    computer usable program code to identify the demander;    computer usable program code to confirm the demander's identity matches the identity of the bidder; and    computer usable program code to perform a service for the demander.    
   
   
       37 . The computer program product recited in  claim 34 , further comprising: 
 computer usable program code to receive a notification of an issuance of an asker's service futures contract certificate of title, wherein the asker's service futures contract certificate of title is one of a transferable instrument and a nontransferable instrument;    computer usable program code to receive a demand for service from a demander, wherein the demander bears a certificate of title;    computer usable program code to authenticate the certificate of title as the asker's service futures contract certificate of title; and    computer usable program code to perform a service for the demander.    
   
   
       38 . The computer program product recited in  claim 34 , further comprising: 
 computer usable program code to generate a second bid order for seller's service futures contract owned by the bidder, wherein the second bid order includes a second bid price; 
 computer usable program code to receive a notification the second bid order matched an ask order for the asker's service futures contract; and  
 computer usable program code to make available second sales funds for ownership of the asker's service futures contract, wherein the second sales funds are equal in amount to a second ask price.  
   
   
   
       39 . A computer program product for implementing a service contract futures exchange, said computer program product comprising: 
 a computer usable medium having computer useable program code embodied therewith, the computer usable program code comprising: 
 computer usable program code to generate an ask order, wherein the ask order is for an asker's service futures contract and further wherein the ask order identifies an asker's service futures contract by at least one of service quantity, service grade, service delivery date, and service delivery point and the ask order includes an ask price and a royalty fee amount;  
 computer usable program code to receive an indication that a bid price associated with a bid order from a bidder has matched the ask price; and  
 computer usable program code to receive sales funds for ownership of the asker's service futures contract, wherein the sales funds are equal in amount to the ask price less the royalty fee.  
   
   
   
       40 . A computer program product for implementing a service contract futures exchange, said computer program product comprising: 
 a computer usable medium having computer useable program code embodied therewith, the computer usable program code comprising: 
 computer usable program code to transmit a bid order for a bidder's service futures contract, wherein the bid order identifies a bidder's service futures contract by at least one of service quantity, service grade, service delivery date, and service delivery point and further wherein the bid order includes a bid price;  
 computer usable program code to receive an indication that an ask price associated with an ask order for an asker's service futures contract from an asker has matched the bid price; and  
 computer usable program code to transfer funds for ownership of the asker's service futures contract, wherein the funds are equal in amount to the bid price.  
   
   
   
       41 . The computer program product recited in  claim 40 , further comprising: 
 computer usable program code to receive an indication of ownership of the asker's service futures contract.    
   
   
       42 . The computer program product recited in  claim 40 , further comprising: 
 computer usable program code to receive a certificate of title for the asker's service futures contract, wherein the asker's service futures contract certificate of title is one of a transferable instrument entitling a bearer of the certificate of title to the asker's service upon demand.    
   
   
       43 . A computer program product for implementing a service contract futures exchange, said computer program product comprising: 
 a computer usable medium having computer useable program code embodied therewith, the computer usable program code comprising: 
 computer usable program code to transmit a conjunctive bid order, wherein the conjunctive bid order identifies at least two dissimilar service futures contract is to form the conjunctive service and further each service futures contract identifies at least one of service quantity, service grade, service delivery date, and service delivery point and further wherein the conjunctive bid order includes a conjunctive bid price comprising a separate bid price for each service futures contract;  
 computer usable program code to receive an indication that a first ask price associated with a first ask order for a first seller's service futures contract from a first seller has matched one bid price from the conjunctive order;  
 computer usable program code to receive an indication that a last ask price associated with a last ask order for a last seller's service futures contract from a last seller has matched a last bid price from the conjunctive order, thereby completely matching the conjunctive bid order; and  
 computer usable program code to transfer funds for ownership of the first seller's service futures contract and the last seller's service futures contract, wherein the funds are equal in amount to the conjunctive bid price.  
   
   
   
       44 . A computer program product for implementing a service contract futures exchange, said computer program product comprising: 
 a computer usable medium having computer useable program code embodied therewith, the computer usable program code comprising: 
 computer usable program code to receive at least one bid order and at least one ask order for a service futures contract, wherein the service futures contract is a transferable contract to provide a service relating to at least one of construction; transportation and warehousing; postal services; information; real estate and rental and leasing; financial and insurance; professional, scientific, and technical services; management of companies and enterprises; administrative and support and waste management and remediation services; educational services; health care and social assistance; arts, entertainment, and recreation; accommodation and food services; public administration; and other services; and  
 computer usable program code to match the at least one bid order to the at least one ask order for a service futures contract, wherein a basis for matching is a price for the service futures contract.