Iowa Patent of the Month – January 2026

Patent Recognition and Overview

Patent Identification and Technological Classification

The focal point of this comprehensive research report is United States Patent No. 12,523,387, officially titled “Method and system for controlling the distribution of thermally altered fluids.” This utility patent, a landmark in the field of thermodynamic control systems, was filed on June 3, 2022, and formally granted by the United States Patent and Trademark Office (USPTO) on January 13, 2026. Assigned to Suncourt, Inc., a prominent manufacturing entity based in Durant, Iowa, the patent lists David J. Forman and Dean A. Kostan as the inventors of record. In a significant validation of its technical merit, this patent was recently awarded the prestigious title of Iowa Patent of the Month. This distinction was not determined by a simple panel vote but was the result of a sophisticated selection process utilizing Artificial Intelligence (AI) technology. The AI assessment model evaluated a dataset of approximately 1,000 potential patents filed or granted within the jurisdiction, filtering for statistical indicators of novelty, technical complexity, and claim breadth to identify Patent 12,523,387 as the preeminent innovation of the period.

Selection Rationale: The Imperative of Real-World Impact

The selection of Patent 12,523,387 as the Iowa Patent of the Month was driven primarily by its profound and immediate real-world impact. While many patents remain theoretical exercises or cover niche industrial applications, this invention addresses a universal inefficiency in the built environment: the non-uniform distribution of conditioned air (or fluids) in central HVAC systems. The AI-driven selection criteria emphasized the invention’s ability to solve the “last-mile” problem in energy delivery. In typical residential and commercial structures, the central generation of thermal energy (heating or cooling) is often efficient, but the distribution network—comprising ductwork or piping—suffers from significant friction losses, leakage, and balancing errors. This results in the “hot/cold room” phenomenon, leading to occupant discomfort and substantial energy waste as users overdrive central systems to compensate for localized deficiencies. Patent 12,523,387 introduces a “logic control scheme” that allows booster devices to operate autonomously by “self-learning” the thermal cycles of the host system. This capability transforms passive infrastructure into active, responsive nodes, representing a superior, scalable solution for decarbonizing existing building stock without invasive renovations.

Theoretical Framework and Technical Analysis

The Physics of Distribution Inefficiency

To appreciate the technological superiority of Patent 12,523,387, one must first understand the physics governing the problem it solves. Central forced-air systems rely on the principle of static pressure to push air through a branching network of ducts. As air travels away from the plenum, it loses velocity due to friction against duct walls and turbulence at elbows and junctions.

Consequently, registers at the end of a run often receive a fraction of the intended CFM (Cubic Feet per Minute), leading to thermal stratification. The traditional engineering solution—increasing the central blower speed—is energy-inefficient, as fan power consumption increases with the cube of the speed (Fan Laws), often creating excessive noise and pressure at the near-end registers while barely affecting the far-end ones. This creates a market need for “booster” fans at the periphery. However, the historical failure of booster fans has not been aerodynamic but logic-based: determining when to turn on without complex wiring.

The Core Innovation: Derivative-Based Logic Control

Patent 12,523,387 radically departs from prior control methodologies by introducing a logic control scheme that synchronizes with the “ordinary system cycle” of the central plant using purely local thermal data.

The innovation lies in the shift from Threshold Monitoring to Slope Monitoring.

• The Old Standard (Thresholds): Previous technologies relied on a simple “if/then” statement: If Temperature > 75°F, Then Turn ON. This is flawed because ambient conditions change. In summer, a room might naturally be 78°F; a threshold of 75°F would cause the fan to run continuously even when the A/C is off, blowing warm air. In winter, if the furnace only raises the duct temperature to 74°F (common in high-efficiency heat pumps), the fan never triggers.
• The New Standard (Patent 12,523,387): The patent describes identifying a “rise or fall in temperature” as an “actionable event”. The microprocessor calculates the rate of change (derivative) of the temperature ().
• Heating Cycle Detection: The system detects a rapid positive slope. Even if the air is only 70°F, if it rose from 65°F in 30 seconds, the algorithm recognizes this as a furnace cycle and activates.
• Cooling Cycle Detection: Conversely, a rapid negative slope indicates A/C activation.
• Baseline Adaptation: By monitoring the “ordinary system cycle,” the device establishes a floating baseline. It understands that a gradual 2°F rise over an hour is likely solar gain (sunlight hitting the register), whereas a 2°F rise in 60 seconds is forced-air delivery.

This distinction allows the device to operate autonomously without user programming, seasonal adjustments, or physical connections to the thermostat, solving the primary barrier to adoption for booster technologies.

Competitive Benchmarking and Superiority Analysis

The HVAC accessory market is populated by several established players, most notably Tjernlund, AC Infinity, and Field Controls. Suncourt’s technology, embodied in Patent 12,523,387, demonstrates objective superiority when benchmarked against the control limitations of these competitors.

Comparative Matrix: Control Logic and Usability

Detailed Competitive Analysis

Suncourt vs. Tjernlund: The Triumph of Logic over Mechanics

Tjernlund products have historically favored mechanical simplicity, often utilizing basic variable speed dials or “snap-disc” thermostats. A snap-disc is a bimetallic switch that closes a circuit at a fixed temperature (e.g., 90°F).

• The Limitation: Modern high-efficiency furnaces (95%+ AFUE) and heat pumps produce supply air at much lower temperatures (85°F–95°F) compared to older atmospheric furnaces (120°F–140°F). A Tjernlund snap-disc set to 90°F might never close in a modern eco-friendly home, rendering the booster useless.
• The Suncourt Superiority: Patent 12,523,387’s logic does not care about the absolute temperature. It detects the rise. Whether the air rises to 120°F or just 80°F, the algorithm sees the slope and activates. This makes Suncourt’s technology “future-proof” against the industry’s shift toward lower-temperature heating sources like geothermal and hydronics.

Suncourt vs. AC Infinity: The “Set-and-Forget” Advantage

AC Infinity employs a digital approach, utilizing an LCD screen and a probe where the user sets specific trigger temperatures. While visually high-tech, this imposes a “cognitive load” on the user.

• The Limitation: The user must essentially act as the control engineer. If they set the “Cooling Trigger” to 72°F, but the ambient room temperature drops to 70°F at night, the fan may run needlessly. Furthermore, when winter arrives, the user must remember to physically walk to the device and reprogram it for heating parameters.
• The Suncourt Superiority: The “self-learning technology” cited in Suncourt’s product literature utilizes the patent’s logic to eliminate this maintenance. The device analyzes the thermal history of the register to distinguish between “ON” and “OFF” states automatically. This “black box” automation is superior for mass-market adoption, particularly for elderly users or landlords who cannot rely on tenants to program HVAC equipment.

Suncourt vs. Field Controls: Non-Invasive Efficiency

Field Controls often utilizes pressure switches (like the model ABA-1) to detect airflow. While effective at synchronization, this requires a fundamental trade-off.

• The Limitation: Pressure switches require invasive installation. The installer must drill into the ductwork to insert a pitot tube or sensing probe. This creates a risk of air leakage (compromising the very efficiency they aim to fix) and sensor fouling. Dust, lint, and moisture can clog the pressure tube over time, leading to mechanical failure.
• The Suncourt Superiority: By inferring the system state from temperature changes at the register face, Suncourt achieves the same synchronization as a pressure switch but with a non-invasive, drop-in form factor. There is no drilling, no sealing of ducts, and no mechanical sensor to clog. This represents a superior balance of reliability and ease of installation.

Real-World Impact and Future Potentials

Current Real-World Impact: The Efficiency Multiplier

The immediate impact of Patent 12,523,387 is visible in the residential energy sector. The technology effectively acts as an “efficiency multiplier” for existing central systems.

• Thermal Equalization: By boosting airflow to the furthest rooms, the technology reduces the temperature differential () between rooms. This prevents the “thermostat war” where a user sets the central thermostat to an extreme (e.g., 68°F in summer) just to get the master bedroom to 74°F.
• Load Reduction: For every degree the central thermostat is adjusted closer to the outdoor temperature, energy costs drop by approximately 1-3%. By fixing the problem room with 20 Watts of booster power, the homeowner can spare the 3,000-Watt central compressor from running extra cycles.
• Decarbonization of Heating: As discussed, the compatibility with low-temperature heat pumps is critical. Many homeowners are reluctant to switch from gas to electric heat pumps because heat pumps “feel colder.” Suncourt’s boosters increase the velocity of this cooler air, improving convective mixing and making heat pumps feel more comfortable, thereby accelerating the adoption of green heating technologies.

Future Potentials: The Smart Infrastructure Node

Looking forward, the claims of Patent 12,523,387 regarding “thermally altered fluids” suggest applications far beyond air ducts.

• Hydronic Intelligence: The same logic could be applied to circulator pumps in radiant floor systems. Currently, zoning a hydronic system requires expensive low-voltage wiring from thermostats to zone valves. A pump equipped with Suncourt’s logic could simply clamp onto a pipe; when it detects the hot water rising (from the boiler firing), it activates to circulate the fluid to the radiator. This would allow for “wireless” zoning of heritage buildings where running new wires is impossible.
• Industrial Process Cooling: In manufacturing, coolant loops often run continuously because linking the pump control to the machine’s internal logic is complex. A smart pump using this patent could sit on the coolant line, detecting the thermal spike when a CNC machine starts cutting, and activating the cooling flow instantly. This creates a decentralized “edge computing” architecture for fluid management.
• Grid-Interactive Buildings: Future iterations could incorporate Wi-Fi radios. The “self-learning” baseline data—knowing exactly how fast a home heats up or cools down—is valuable data for utility companies. These devices could essentially map the thermal envelope of a building from the inside out, identifying insulation leaks (where the temperature drops too fast) and reporting this to the homeowner.

R&D Tax Credit Analysis: The Four-Part Test

Overview of the R&D Tax Credit

The Research and Development (R&D) Tax Credit, codified under Internal Revenue Code (IRC) Section 41, is a federal incentive designed to encourage American businesses to invest in innovation. It allows companies to claim a credit against their tax liability for “Qualified Research Expenses” (QREs), effectively lowering the cost of technical problem-solving. However, the IRS holds a rigorous standard for what constitutes “R&D.” It is not enough to simply make a new product; the development process itself must meet the statutory Four-Part Test. Swanson Reed, a specialized R&D tax advisory firm, assists companies in substantiating these claims. The development of the technology described in Patent 12,523,387 serves as a textbook example of a project that meets these criteria.

Application of the Four-Part Test to Patent 12,523,387

Part 1: The Permitted Purpose Test

The Requirement: The activity must relate to a new or improved business component (product, process, computer software, technique, formula, or invention) of the taxpayer. The intent must be to improve functionality, performance, reliability, or quality.

• Application to the Patent: Suncourt Inc. undertook this project to develop a new product: the Flush Fit™ Smart Register Booster (and its variants). The specific purpose was to improve functionality (adding autonomous operation) and reliability (eliminating the failure modes of pressure switches and mechanical thermostats). The project was not for aesthetic or cosmetic improvements (which are excluded), but for a fundamental enhancement of the device’s utility.
• Verdict: Satisfied. The development aimed to create a functionally superior HVAC accessory.

Part 2: The Technological in Nature Test

The Requirement: The research must fundamentally rely on principles of the physical or biological sciences, engineering, or computer science. The information discovered must be technological—not based on economics, social sciences, or market research.

• Application to the Patent: The core of Patent 12,523,387 is the intersection of Thermodynamics and Computer Engineering.
• Thermodynamics: The engineers had to understand the principles of convective heat transfer, thermal inertia of materials, and fluid dynamics to interpret the temperature signals correctly.
• Computer Science: The innovation is a “logic control scheme.” This required writing complex firmware algorithms to calculate derivatives, establish floating baselines, and implement hysteresis loops.
• Electrical Engineering: The physical embodiment required designing printed circuit boards (PCBs) capable of low-voltage DC operation while interfacing with sensitive thermal thermistors.
• Verdict: Satisfied. The project relies entirely on hard engineering sciences.

Part 3: The Elimination of Uncertainty Test

The Requirement: At the outset of the project, there must be uncertainty concerning the capability or method for developing or improving the business component, or the appropriate design of the business component. “Uncertainty” exists if the information available to the taxpayer does not establish the capability or method for developing or improving the business component, or the appropriate design of the business component.

• Application to the Patent: When Suncourt began this project (prior to the 2022 filing), the outcome was not guaranteed.
• Method Uncertainty: Could a passive thermal sensor placed on top of a register react fast enough? There was a risk that the thermal mass of the register grill would dampen the signal, causing the fan to turn on too late (after the user already felt cold air).
• Design Uncertainty: How to distinguish a “System Cycle” from “Ambient Noise”? A sunbeam hitting the register causes a temperature rise. A space heater nearby causes a rise. The engineers had to determine the specific mathematical signature (slope and duration) that uniquely identifies a central furnace cycle. This required discovery; it was not a known standard.
• Capability Uncertainty: Could this complex logic be executed on a low-cost, low-power microcontroller suitable for a consumer product price point?
• Verdict: Satisfied. The team faced significant technical unknowns that could not be resolved by standard practice.

Part 4: The Process of Experimentation Test

The Requirement: Substantially all of the activities must constitute elements of a process of experimentation for a qualified purpose. This involves the identification of uncertainty, the identification of one or more alternatives intended to eliminate that uncertainty, and the evaluation of those alternatives through modeling, simulation, or a systematic trial and error process.

• Application to the Patent: The development of Patent 12,523,387 necessitated a rigorous experimental workflow:
• Hypothesis: “A derivative-based algorithm can distinguish furnace cycles from ambient noise.”
• Testing: The inventors likely built prototypes equipped with various sensors (thermistors vs. thermocouples) and data loggers. They would have subjected these prototypes to real-world conditions: placing them in sunny rooms, drafty rooms, and near auxiliary heat sources to see if the fan triggered falsely.
• Iteration: The first version of the code likely had “false positives.” The team would have analyzed the data, adjusted the slope sensitivity parameters (e.g., changing the trigger from 0.5°F/sec to 0.8°F/sec), and re-tested. This systematic iteration is the definition of a process of experimentation.
• Alternatives: They likely evaluated and discarded other methods, such as infrared sensing or acoustic detection of airflow, before settling on the thermal slope method.
• Verdict: Satisfied. The path to the patent was forged through systematic trial, error, and refinement.

Strategic Compliance and Swanson Reed’s Role

Identifying eligibility is only the first step. Successfully claiming the credit requires defensible documentation and strategic compliance. Swanson Reed provides a comprehensive ecosystem of services to support companies innovating in this space.

The “Six-Eye Review” Protocol

One of the unique value propositions of Swanson Reed is the “Six-Eye Review” process. R&D tax claims sit at the intersection of law, accounting, and engineering. A claim prepared solely by an accountant might miss the technical nuances of the “Process of Experimentation.” A claim prepared solely by an engineer might miss the strict substantiation requirements of the tax code. Swanson Reed’s protocol mandates that every claim is reviewed by three distinct professionals:

1. Qualified Engineer: This reviewer understands the technical complexity of patents like 12,523,387. They can articulate why the slope-detection logic was a difficult engineering challenge, defending the “Technological in Nature” test against IRS agents who might view it as “just simple coding.”
2. Scientist: This reviewer examines the experimental data—the test logs, the prototype iterations—to ensure the “Process of Experimentation” is adequately documented.
3. CPA / Enrolled Agent: This reviewer ensures the financial calculation of Qualified Research Expenses (QREs)—wages, supplies, and contract research—aligns with the “Nexus” requirement, linking every dollar claimed directly to a qualified activity.

AI-Driven Risk Management: creditARMOR

The IRS has increased its scrutiny of R&D claims, particularly those involving software and internal-use logic. To mitigate this risk, Swanson Reed employs creditARMOR, an AI-driven audit risk management platform.

• Pre-Filing Risk Assessment: Before the claim is filed, creditARMOR’s AI algorithms scan the technical narratives and financial data. It looks for patterns that historically trigger audits, such as vague descriptions of “uncertainty” or a lack of specific testing details. For the Suncourt patent, the AI would ensure the narrative explicitly details the specific thermal testing failures and the specific algorithmic solutions, rather than generic statements like “we improved the fan.”
• Audit Defense Insurance: Perhaps most critically, creditARMOR includes audit defense insurance. If the IRS challenges the claim, the program covers the cost of CPAs and tax attorneys to defend the credit. This allows companies to claim the credit with confidence, knowing that the cost of proving their innovation won’t wipe out the benefit of the credit itself.

Contemporaneous Documentation: TaxTrex

The “Cohen Rule” (estimating expenses) is increasingly rejected by the courts; the IRS demands contemporaneous documentation—proof that was created while the work was happening, not reinvented years later. Swanson Reed’s TaxTrex AI system helps engineering teams log their R&D activities in real-time. For a project like Patent 12,523,387, TaxTrex would prompt the engineers to log: “Algorithm V2.0 failed solar gain test; adjusting slope parameter X.” These time-stamped entries form an ironclad defense of the “Process of Experimentation” test.

Final Thoughts

United States Patent No. 12,523,387 is more than a technical specification for a register booster; it is a testament to the power of intelligent control logic to modernize legacy infrastructure. By shifting the paradigm from static threshold monitoring to dynamic slope detection, Suncourt Inc. has created a technology that is demonstrably superior to competitors like Tjernlund and AC Infinity, offering a “set-and-forget” solution that bridges the gap between mechanical HVAC systems and the modern smart home. The award of Iowa Patent of the Month serves as a fitting recognition of this technology’s potential to drive real-world energy efficiency and occupant comfort.

Furthermore, the development of this patent serves as an archetypal case study for the R&D Tax Credit. The journey from technical uncertainty to a granted patent, characterized by rigorous experimentation and the application of hard engineering sciences, perfectly aligns with the statutory intent of IRC Section 41. Through the specialized services of Swanson Reed—including the Six-Eye Review, creditARMOR risk management, and TaxTrex documentation—innovators can secure the financial resources necessary to continue this vital work, ensuring that the built environment continues to evolve toward a more efficient and sustainable future.