System and method for assuring commercial regulatory compliance

Abstract

System and method for adaptively processing financial payments. A payment provider service obtains verification of information for approval of an electronic payment in a web-based sale. A payment gateway includes a processor and a non-transitory computer-readable medium having stored thereon a series of program steps and a database which stores rules applicable to transactions. Execution of the program steps implements a compliance and payment process, based on compliance rules and funds approval of the transaction. Execution of the compliance and payment process provides a decision whether to block or authorize the transaction. When the compliance and payment process provides a decision to authorize a transaction, the program steps provide a request to the payment provider service for transfer of electronic funds to provide the seller's payment.

The claimed invention is: 
     
         1 . A system for adaptively processing financial payments in transactions, comprising:
 a payment provider service for obtaining verification of information for approval of an electronic payment of funds for a seller's payment in a web-based sale for completion of a transaction for sale of a service or goods;   a payment gateway server comprising a processor and a non-transitory computer-readable medium having stored thereon a series of program steps, and a first database which stores rules applicable to transactions, wherein execution of the program steps by the processor implements a compliance and payment process, based on compliance rules and funds approval of the transaction, whereby funds may be allocated to the transaction of the seller, execution of the compliance and payment process providing a decision as to whether to block or authorize the transaction, and wherein,   when the compliance and payment process provides a decision to authorize a transaction, the program steps provide a request to the payment provider service for transfer of electronic funds to provide the seller's payment for sale of the service or goods.   
     
     
         2 . The invention of  claim 1 , wherein the web-based sale is initiated by the buyer with an input device that provides location information and the decision provided by the compliance and payment process is based on the location information. 
     
     
         3 . The invention of  claim 2  wherein the location information is based on GPS information or address information associated with the seller or an IP address. 
     
     
         4 . The invention of  claim 3  wherein the decision is made based on the location of the buyer at the time of purchase. 
     
     
         5 . A payment gateway system configured to allow or deny transactions or to allocate and effect payment of portions of transaction funds among multiple recipients, the system comprising:
 a computer system configured as a server to operate as payment gateway in a network, the computer system having a processor, memory and storage for data and one or more e-commerce applications which, when loaded into memory run on the computer system whereby the processor executes a series of operations which facilitate automated payment transactions, between a seller and a buyer of goods and services, in coordination with one or more payment service providers, wherein the one or more applications functionally position payment gateway operation as an intermediary between the seller and the payment service provider so that information confirming verification and approval or a denial, provided from the payment service provider, is communicated through the payment gateway to the seller, informing the seller whether the sale can be completed or is to be denied, wherein the one or more applications include a rules based engine configured to run one or more logic based rules and to determine one or more of the following:   whether to block or authorize transaction based on both the goods and services to be purchased and buyer location at the time of initiating a payment transaction; and   allocation of portions of a transaction payment to the seller and a one or more members in a group comprising a tax authority, a party imposing a convenience fee, a party imposing a reseller fee, a party imposing a shipping charge, and a party designated to receive a charitable contribution.   
     
     
         6 . A method by which a payment gateway processes requests for financial transactions and payments, the payment gateway comprising a server, a processor, memory and storage, the storage being a non-transitory computer-readable medium containing (i) program steps for execution on the processor to respond to the requests for financial transactions and payments and (ii) information useful for implementing rules to determine compliance of the transaction, the method comprising executing on the processor steps to effect:
 receiving, from a point of sale, information about a transaction initiated by a buyer of a service or goods, including current location information of the buyer, and transaction information relating to payment by the buyer, into the server of the payment gateway; and   performing a series of program steps based on rules or laws applicable to the buyer's transaction, wherein execution of the program steps by the processor implements a compliance and payment process, based on compliance rules and funds approval of the transaction, whereby funds may be allocated to the transaction of the seller, execution of the compliance and payment process providing a decision based on the received location information of the buyer as to whether to block or authorize the transaction wherein,   when the compliance and payment process provides a decision to authorize the transaction, the program steps provide a request to the payment provider service for transfer of electronic funds to provide the seller's payment for sale of the service or goods.   
     
     
         7 . The method of  claim 6  wherein the decision provided by the compliance and payment process, whether to block or allow completion of the transaction, is based on executing a sequence of rules-based decisions based on identification or comparison of information received from the buyer or seller using information retrieved from storage. 
     
     
         8 . The method of  claim 6 , wherein the program steps include determining whether the transaction is one for which a distribution scheme applies to funds to be paid by the buyer to effect payments of portions of the total amount of funds to each of multiple designated recipients in accord with a predefined distribution allocation. 
     
     
         9 . The method of  claim 8  further including providing requests to allocate the portions of the total amount of funds to each of multiple designated recipients in accord with the predefined distribution allocation. 
     
     
         10 . The method of  claim 9  wherein the request to allocate the portions of the total amount of funds is effected without the direct involvement of the seller or the seller's bank to determine and authorize payments. 
     
     
         11 . The method of  claim 9  wherein the allocated portions of the total amount of funds for each of the designated recipients is for one or more fees taken from the group comprising a convenience fee, a reseller fee, a shipping charge, and a charitable contribution. 
     
     
         12 . The method of  claim 6  wherein the step of performing the series of program steps based on rules or laws applicable to the buyer's transaction is based on legal compliance rules.