Some issues are just boring. It seems as if every time they are brought up, collective eyes glaze over. Unfortunately, a lot of bad policies can escape the normal vetting process when that many people are that bored by an entire subject area. So I can understand how the latest version of patent reform—the America Invents Act (H.R. 1249)—came to be scheduled for floor consideration this week.
But the conservative movement has been raising serious concerns with key portions of patent reform for years, particularly the proposed switch from a “first-to-invent” to a “first-to-file” system. Article 1, Section 8 of the Constitution authorizes Congress, “To promote the Progress of Science and useful Arts, by securing for limited Times to Authors and Inventors the exclusive Right to their respective Writings and Discoveries.” The fact that the “Inventor” is specifically mentioned led the U.S. to adopt a “first-to-invent” test when disputes arise. Most of the rest of the world now uses a “first-to-file” system that rewards whoever submits their patent application first, regardless of whether the evidence shows that they were the inventor. Obviously, the first-to-file system favors deep pockets that can handle and expedite the paper work.
Proponents of the change argue that it is more efficient and would better harmonize with the rest of the world. It is more efficient, and it would better harmonize with the rest of the world, but that does not mean it is wise. It is important to note that we are descendants of the Glorious Revolution and English common law, which developed a strong public policy preference for private property rights not shared by the rest of the world. Incumbent in private property rights is a protection for an inventor of his patent, regardless of whether someone else files first for something the inventor invented first.
The entire point of the Patent and Copyright Clause is to protect the actual inventor so that they are incentivized to use their creativity and ingenuity to make breakthroughs. It is not designed to make it easy on the government to resolve patent disputes. And simply because the rest of the world follows a different system, does not mean the U.S. must follow suit in order to “harmonize.” There is a reason that America is exceptional, and it’s because we enjoy freedoms much of the rest of the world does not know. If there is to be harmonization, let it be because the rest of the world adopts our best features, and not because we have felt compelled to adopt their worst.
Another main problem with H.R. 1249 is that it gives the U.S. Patent and Trademark Office (USPTO) the ability to set its fees and spend the money however it sees fit, so that the revenue cannot be diverted to spending on other government programs. In essence, the bill would move the USPTO outside of the appropriations process. Now, many (including me) agree that the USPTO should get the benefit of more of the fee-generated revenue that come into the Treasury so that it can manage the backlog in patent applications, but that can be done within the current appropriations process if Congress has the will to prevent patent revenues from being a slush fund.
Why is this statutory change such a big deal? The Constitution states that, “No Money shall be drawn from the Treasury, but in Consequence of Appropriations made by Law…” This is an enormous check on the executive branch and ensures that Congress can hold an agency accountable. What happens if the USPTO wants to build a brand new headquarters instead of addressing the backlog? Or what if the USPTO, notwithstanding additional resources, fails to deal with its backlog because it is simply incompetent? None of these issues could be fixed during the normal appropriations process. As a result, not only House Appropriations Chairman Hal Rogers (to be expected), but House Budget Chairman Paul Ryan are opposed to the fee diversion provision. This may be the Appropriations Committee defending their turf, but that doesn’t mean their wrong on this one.
Our patent system may need reform, and there may be many fine provisions included in H.R. 1249. But the bill’s problems far outweigh any benefits. H.R. 1249 would fundamentally harm the individual inventor and make the patent process less accountable to the American public. Call your Congressman and tell them to vote NO on patent reform.
Jeff Emanuel
Neil Stevens
bravo
Aziz Poonawalla (Diary) Monday, June 13th at 2:35PM EDT (link)Completely agree with you. It’s not often nowadays that I, a longtime liberal lurker at RedState, have much to offer by way of comment. But on this issue you are 100% correct
well said, sir.
–
City of Brass: principled pragmatism at the maghrib of one age, the fajr of another
As a patent attorney, I think you are wrong
dblagent007 (Diary) Monday, June 13th at 4:12PM EDT (link)A first to file system benefits small inventors. For every situation where a small inventor invented an idea but was beat to the patent office by a large corporation, I can show you two situations where the small inventor filed first, but then lost the invention to a large corporation in an interference proceeding (an interference proceeding is the process used by the PTO to decide who should be given the patent rights to the invention). There are two reasons for this. First, small inventors can’t afford to fight a big interference case and small inventors often do not have the evidence need to sustain an interference case. Corporate inventors are taught to keep the required evidence. Joe Schmuck inventing something in his garage isn’t.
The PTO should also be allowed to keep all of its fees. The problem is that when Republicans control Congress they repeatedly divert money paid by inventors in the form of fees to various other sundry government projects. The PTO is treated a tax collection arm of the government. The Democrats usually let the PTO keep all of its fees.
I am somewhat sympathetic to your argument that the PTO’s appropriations shouldn;t be outside the control of Congress, but the reality is that when Republicans control Congress, the PTO does not get to keep its revenue. It doesn’t happen. Congress needs to keep its hands off of this revenue and let the PTO spend it appropriately.
I don’t know about the merits of your constitutional arguments so I won’t comment about them.
Of course you would
Neil Stevens (Diary) Monday, June 13th at 4:14PM EDT (link)The ABA is a bunch of self-serving lawyers who are all for the AIA scam.
RS contributing editor and “a hardy variety of crabgrass.”
Read the RedState Posting Rules
Unlikely Voter: Poll Analysis, Election Projection.
“I rejoice that America has resisted.” – William Pitt, the Elder
I'm not a member of the ABA
dblagent007 (Diary) Monday, June 13th at 5:25PM EDT (link)… because it is dedicated to furthering a lot of bad liberal ideas. However, the patent reform legislation is not one of them.
If I was only interested in the money, I would wholeheartedly agree with Eric that we should retain the first to invent framework. My clients could figure out on their own who was the first to file, but right now they have to spend big bucks to have me figure out who was the first to invent.
The cure you propose only impacts the small percentages of patents/applications that result in litigation/interferences
JSobieski (Diary) Monday, June 13th at 5:43PM EDT (link)That same cure will negatively impact a relatively high percentage of small entity filings.
An inventor for GM invents something, fills out an invention disclosure record, submits the documentation to the legal department, is subject to an established evaluation process, and then is handled by experienced patent lawyers.
A garage inventor has to find an attorney, learn about the patent system, figure out what to do, figure out how to find the money, etc.
In a first to file world, bigger is better. Not many garage inventors in Europe. Not as many interesting small businesses either.
Did you know that China has been losing manufacturing jobs since 1995? For the specific data, see Table 1 in the following link: http://www.bls.gov/opub/mlr/2005/07/art2full.pdf
I think you overestimate the efficiency of big companies
dblagent007 (Diary) Monday, June 13th at 6:09PM EDT (link)I do work for small inventors and big companies. My experience has been that it takes many months and a lot of times years for big companies to get an idea through the evaluation process quickly (tech excluded since they seem to focus on bulking up with patents on just about anything). However, because the large companies document everything, if a small inventor comes up with a successful idea, the large company can file a similar patent application based on an existing invention disclosure that has been collecting dust in its files and allege that it was the first inventor. First to invent is more of a license to hammer small inventors than anything else.
I’ve already explained the reason Europe has fewer small entity filers than the U.S. in a post below (the reduced fees offered in the US is probably the biggest factor plus the better chance of actually getting a patent).
I guess the rule against personal attacks
Previously banned troll who returned Tuesday, June 14th at 10:08AM EDT (link)doesn’t apply to moderators? All he did was make a counter-argument based on his experiences. He wasn’t disrespectful of the aurhor, he didn’t engage in personal attacks.
Yet N. Smith does (on a regular basis), and threatens to ban anybody who engages in similar conduct. Well, this may get me banned, but your abusing your admin privilges.
Sad that the owners of this site tolerate your e-tough guy bulluing of other posters who do notthing more than take a different viewpoint that you.
If you have an issue with moderation...
Bill S (Diary) Tuesday, June 14th at 10:29AM EDT (link)email the Contact link. Don’t bring it up here.
“It’s such a fine line between stupid, and clever.” – David St. Hubbins
G'bye
Neil Stevens (Diary) Tuesday, June 14th at 10:33AM EDT (link)Retread.
RS contributing editor and “a hardy variety of crabgrass.”
Read the RedState Posting Rules
Unlikely Voter: Poll Analysis, Election Projection.
“I rejoice that America has resisted.” – William Pitt, the Elder
As a patent attorney who works primarily for small businesses and independent inventors I disagree with you
JSobieski (Diary) Monday, June 13th at 5:16PM EDT (link)Proof is in the empirical pudding. You support making our system more like Europe’s.
Until now, which system has more small businesses/independent inventors filing for patent protection? The are strikingly few “small entity” filings in the EU.
Big business has a shorter time frame from invention to filing because big companies already have patent lawyers, a familiarity with the patent system, and a process for proceeding.
Small entitities have to find an attorney, educate themselves on the process, make a decision that they have in all likelihood never made before, etc. Thus, more time tends to pass from the point of invention to the time of filing.
Bottom line: Make our system more like Europe’s and the end results will be more like Europe’s. First to file is a mistake.
Did you know that China has been losing manufacturing jobs since 1995? For the specific data, see Table 1 in the following link: http://www.bls.gov/opub/mlr/2005/07/art2full.pdf
Hear hear
Neil Stevens (Diary) Monday, June 13th at 5:19PM EDT (link)Good on you.
RS contributing editor and “a hardy variety of crabgrass.”
Read the RedState Posting Rules
Unlikely Voter: Poll Analysis, Election Projection.
“I rejoice that America has resisted.” – William Pitt, the Elder
5 nt
Aaron Gardner (Diary) Monday, June 13th at 5:22PM EDT (link)conform and celebrate diversity….or else!!!
“We’d be much better off if We The People had desired small government enough to keep it.” acat
Follow @Aaron_RS
Not exactly
dblagent007 (Diary) Monday, June 13th at 5:40PM EDT (link)I support the first inventor to file system, but I also think we should maintain some form of grace period (which has been included in some versions of the bill).
As for Europe, the standard for patentability is much higher and I think that explains the lower number of filings by small inventors (and large inventors). Satisfying the “inventive step” standard is a significant obstacle for large and small inventors alike. Also, Europe is more expensive and less friendly to small inventors than the US (I don’t believe Europe allows payment of reduced fees for small entities like the US).
As for your argument that first to file is the cause of reduced filings by “small entities” in Europe, I would like to see the evidence, especially since a European patent application isn’t published until 18 months after it is filed. The small inventor doesn’t even know he/she has lost until then.
Bottom line: raise the standard for patentability to be like Europe’s and increase the costs to be like Europe’s, then our end results will be more like Europe’s – i.e., lower filing rates by small entities.
Well said,
popster Tuesday, June 14th at 6:48AM EDT (link)logic will prevail.
Totally agree...
rivahmitch Tuesday, June 14th at 8:12AM EDT (link)This whole push is really to (i) simplify the work of the PTO (if we see you first, you win), and (ii) “harmonize” our practices with those of the Europeans, In the European socialist states, they prefer that the established firms (big business) win because big government, big businesses and big unions have a stranglehold on society,Hhere, we place a greater value on the rights of the individual. That’s one reason why we have so many more patents filed each year than other countries.
A good example is the variable speed windshield wipers on cars. Here, the individual who had actually invented the technology got a huge settlement from the auto companies. In Europe, he would have been SOL for both financial and “social” reasons.
When what we’re doing works best at fostering new ideas and technologies, why change?
Unconstitutional?
petrarch Monday, June 13th at 4:53PM EDT (link)Given that the constitution specifically says that patents are for the purpose of protecting “The Inventor” as opposed to Johnny-on-the-spot with the paperwork, is it possible that this law would be unconstitutional?
Scragged – Conservative Online Opinion Magazine
Probably not
irishinne Monday, June 13th at 5:10PM EDT (link)The Patent Reform Legislation was carefully crafted to change the US to a “first inventor to file” and not a pure “first to file” system. Thus, patents would still be awarded to “inventors.”
Probably not
irishinne Monday, June 13th at 5:10PM EDT (link)The Patent Reform Legislation was carefully crafted to change the US to a “first inventor to file” and not a pure “first to file” system. Thus, patents would still be awarded to “inventors.”
I disagree with you Eric
irishinne Monday, June 13th at 4:58PM EDT (link)The proposed patent reform legislation does not change the US from a first to invent system to a pure first to file system. Instead, it changes the US to a first INVENTOR to file system. The patent applicant must still satisfy 35 USC 102(f) which requires that the applicant must not have derived or stolen his invention from another. I do not believe that the proposed legislation violates the Constitution. Whether its better or not, remains to be seen.
Fee diversion by Congress has to end. It is harming innovation in this country. You and I and everyone here knows that Congress (be it controlled by Republicans or Democrats) has no will power when it comes to spending. As long as it can, it will divert funds from the Patent Office to fund pet projects or other political purposes. Take for example, the recent budget cuts made by the current Congress. You know, the one advertised as $32 billion, but which was in reality only $383 million (You can look up the actual numbers). $100 million was cut from the Patent Office.
BTW, I am a Patent Attorney in private practice. I have been a Republican since I turned 18 under Reagan, I have read RedState daily for the last couple of years. However, this is my first post.
Funny how that works
Neil Stevens (Diary) Monday, June 13th at 4:59PM EDT (link)The people who favor this bill are lawyers and the people who employ them.
The people who oppose this, invent things.
RS contributing editor and “a hardy variety of crabgrass.”
Read the RedState Posting Rules
Unlikely Voter: Poll Analysis, Election Projection.
“I rejoice that America has resisted.” – William Pitt, the Elder
Please don't let your hatred of lawyers
irishinne Monday, June 13th at 5:04PM EDT (link)prevent you from understanding an issue before you comment on it. It only makes you look stupid.
Um... Uhh... errr, you know what, forget it. nt
Aaron Gardner (Diary) Monday, June 13th at 5:09PM EDT (link)conform and celebrate diversity….or else!!!
“We’d be much better off if We The People had desired small government enough to keep it.” acat
Follow @Aaron_RS
Shine the light and it's amazing
civil truth (Diary) Monday, June 13th at 5:09PM EDT (link)…the critters you see scurrying about that you’ve never seen before.
Now the patent lawyers do have a point – the current system isn’t working well for small-fry inventors. But this bill would seem to only make things worse.
How about we create a system that doesn’t require lawyers.
The greatest evil…is conceived and ordered (moved, seconded, carried, and minuted) in clean, carpeted, warmed, and well-lighted offices, by quiet men with white collars and cut fingernails and smooth-shaven cheeks who do not need to raise their voice. Hence, naturally enough, my symbol for Hell is something like the bureaucracy of a police state or the offices of a thoroughly nasty business concern. -C.S. Lewis
Seems to me the little guy is fine
Neil Stevens (Diary) Monday, June 13th at 5:11PM EDT (link)If the patent system as it is now didn’t help the little guy, how could patent trolls like Lodsys or Rambus stay in business?
RS contributing editor and “a hardy variety of crabgrass.”
Read the RedState Posting Rules
Unlikely Voter: Poll Analysis, Election Projection.
“I rejoice that America has resisted.” – William Pitt, the Elder
kowalski, I mean is there a way we could create a system
civil truth (Diary) Monday, June 13th at 5:11PM EDT (link)…that didn’t require lawyers and didn’t cost an arm and a leg, which the little guy can’t really afford to lose?
The greatest evil…is conceived and ordered (moved, seconded, carried, and minuted) in clean, carpeted, warmed, and well-lighted offices, by quiet men with white collars and cut fingernails and smooth-shaven cheeks who do not need to raise their voice. Hence, naturally enough, my symbol for Hell is something like the bureaucracy of a police state or the offices of a thoroughly nasty business concern. -C.S. Lewis
Not really
Neil Stevens (Diary) Monday, June 13th at 5:13PM EDT (link)Patents, if they are to be enforced, must be enforced in the courts.
Do I think the patent system has problems? Yes, but those problems derive from the USPTO having an incentive to approve too many patents that are in fact obvious to experts in the field.
First to file won’t fix that.
RS contributing editor and “a hardy variety of crabgrass.”
Read the RedState Posting Rules
Unlikely Voter: Poll Analysis, Election Projection.
“I rejoice that America has resisted.” – William Pitt, the Elder
Yes, I think I see where you're headed
civil truth (Diary) Monday, June 13th at 5:20PM EDT (link)…the explosion in patent trolling, as you mentioned above.
The greatest evil…is conceived and ordered (moved, seconded, carried, and minuted) in clean, carpeted, warmed, and well-lighted offices, by quiet men with white collars and cut fingernails and smooth-shaven cheeks who do not need to raise their voice. Hence, naturally enough, my symbol for Hell is something like the bureaucracy of a police state or the offices of a thoroughly nasty business concern. -C.S. Lewis
Very much a late 1990s/early 2000s assessment of the USPTO
JSobieski (Diary) Monday, June 13th at 5:26PM EDT (link)However, I agree that the fundamental issue is that Examiners need to perform better quality searches/examinations. A bit more time on the front end is a heck of lot better than all of the post-examination “second looks” that people want to add. Yet, the basics of patent examination are ignored with people focusing almost all of the attention on side issues that won’t help much (if at all) to things that are actually harmful (such as first to file).
The USPTO has just as much incentive to avoid looking stupid as it does getting applicants out of their hair by allowing a patent. There is no “incentive” for the USPTO to issue invalid patents.
Some types of technology are more challenging to examine because of less precise terminology (contrast chemistry with computer science) and because prior art is harder to find (contrast the tendancy of medical researchers to publish with the tendency of IT innovators to keep things hidden).
The flaws of the patent system are quite understandable (although no less frustrating) when one looks to the basic mechanics of how it functions. The USPTO could really use some IT expertise in search tools. Better search tools would fix 50% of the problems.
Did you know that China has been losing manufacturing jobs since 1995? For the specific data, see Table 1 in the following link: http://www.bls.gov/opub/mlr/2005/07/art2full.pdf
So you don't see the fees as a managerial incentive?
Neil Stevens (Diary) Monday, June 13th at 5:40PM EDT (link)Serious question.
RS contributing editor and “a hardy variety of crabgrass.”
Read the RedState Posting Rules
Unlikely Voter: Poll Analysis, Election Projection.
“I rejoice that America has resisted.” – William Pitt, the Elder
I don't
dblagent007 (Diary) Monday, June 13th at 5:49PM EDT (link)Maybe that temptation is there, but it is nothing like the burning desire Congress has to fund other projects with that money. I trust the USPTO to set its fees at the required level to provide good service to inventors much more than I trust I Congress. Congress has already shown that it will take those fees and spend them on all kinds of wasteful programs.
Examiners get points for rejections too
JSobieski (Diary) Monday, June 13th at 5:50PM EDT (link)What Examiners really have an incentive to do is to kick the can downstream, keeping you in the game but not giving you anything. That way you file requests for continuations, continuations, continuations-in-part, etc.
Remember that much of the USPTO fees are diverted to the general budget. This is one aspect of the bill that I support. Examiners are compensated on a point system. In many instances, the quality of an office action is poor, but quality isn’t a factor in their compensation.
Kind of analogous to fee for service in the medical field. It’s the occurence of the activity that matters, not the quality or need of the activity.
A good simple patent reform bill would include the following:
(1) Prohibition against fee diversion–let the USPTO keep the fees that it collects
(2) A requirement that the USPTO use the extra monies for better search tools
There is some good in the patent reform bill, but too much of it focuses on extraneous new “second look” review processes and changing to first to file. These two categories of changes are harmful in my view.
Did you know that China has been losing manufacturing jobs since 1995? For the specific data, see Table 1 in the following link: http://www.bls.gov/opub/mlr/2005/07/art2full.pdf
I'm not talking about at the examiner level
Neil Stevens (Diary) Monday, June 13th at 5:53PM EDT (link)I’m talking about a higher level than that. If the USPTO as a whole takes in more money, then the organization as a whole becomes a larger fiefdom.
Therefore the organization may be rigged systematically to favor granting more patents and encouraging the patent carpet bombing system that firms like IBM take advantage of so well.
So I’m skeptical of letting the patent office have an incentive to keep things the way they are. but I’m all for giving it more money to reject more patents that are obvious to experts in the field.
[snip 5 page rant on the one click patent]
RS contributing editor and “a hardy variety of crabgrass.”
Read the RedState Posting Rules
Unlikely Voter: Poll Analysis, Election Projection.
“I rejoice that America has resisted.” – William Pitt, the Elder
There are plenty of fees collected when applications are rejected
JSobieski (Diary) Monday, June 13th at 5:57PM EDT (link)A filing fee essentially pays for two bites at the apple. After that, the applicant has to pay for either a request for continued examination, a continuation application, a continuation-in-part application, an appeal, or let the application die.
Every option except giving up involves the payment of a fee.
The system is designed to generate fees along the way. The fees aren’t unreasonable, when the quality of the examination is poor, clients do get short change3d.
Did you know that China has been losing manufacturing jobs since 1995? For the specific data, see Table 1 in the following link: http://www.bls.gov/opub/mlr/2005/07/art2full.pdf
I should stop posting from a cell phone--bad typos
JSobieski (Diary) Monday, June 13th at 5:58PM EDT (link)GO TIGERS!!!!
Did you know that China has been losing manufacturing jobs since 1995? For the specific data, see Table 1 in the following link: http://www.bls.gov/opub/mlr/2005/07/art2full.pdf
The problem you refer to is not due to the USPTO
dblagent007 (Diary) Monday, June 13th at 6:01PM EDT (link)The problem stems from Congress and the courts. The standard for patentability in the U.S. is relatively low and the blames lies squarely at the feed of the Federal Circuit and the Supreme Court (and Congress because it doesn’t do anything to change it statutorily). The PTO has to file the law as determined by the courts. The PTO can’t just do anything it wants.
Great discussion, all
aesthete (Diary) Monday, June 13th at 6:46PM EDT (link)IP and patent are some of the thornier property rights going forward, and getting them right is very difficult. I’m glad that such a technical subject is being discussed intelligently here.
“It is a popular delusion that the government wastes vast amounts of money through inefficiency and sloth. Enormous effort and elaborate planning are required to waste this much money.”
-P.J. O’Rourke
In fairness to the USPTO, Congress, and the Courts ---
JSobieski (Diary) Tuesday, June 14th at 12:33AM EDT (link)defining “non-obviousness” in a systematic way isn’t exactly easy.
Did you know that China has been losing manufacturing jobs since 1995? For the specific data, see Table 1 in the following link: http://www.bls.gov/opub/mlr/2005/07/art2full.pdf
I agree with removing additional ways to challenge patents once issued
dblagent007 (Diary) Monday, June 13th at 5:57PM EDT (link)We already have enough options to do that. I don’t think we need any more.
As for the fee diversion, I take it that you disagree with that portion of Eric’s original post. Is that right? Eric agrees that fee diversion is bad, but he is willing to trust the Congressional appropriations process to handle it. It sounds like you agree that the law should be changed to mandate that none of the fees should be diverted.
I would vote in favor of a clean bill that prohibited fee diversion
JSobieski (Diary) Tuesday, June 14th at 2:03AM EDT (link)nt
Did you know that China has been losing manufacturing jobs since 1995? For the specific data, see Table 1 in the following link: http://www.bls.gov/opub/mlr/2005/07/art2full.pdf
First of all I like the quotation from C.S. Lewis
realvoice2010 Wednesday, June 15th at 12:43AM EDT (link)and I do agree we do not need a euro style patent approval system. This would kill the incentive to invent anything. In addition, another fear is of the crooked lawyers who steal small inventor’s ideas. Finally, if you are an engineer or scientist or technician, you must sign away all of your creative juices to the company you work for.
How about we create a system that doesn’t require lawyers.
gunslingr45 Tuesday, June 14th at 8:26AM EDT (link)Could we do the same for government? WoW!
Know Liberals/RINO’S, Know Despair.
No Liberals/RINO’S, No Despair.
Nobody is obligated to hire a patent lawyer
JSobieski (Diary) Tuesday, June 14th at 9:42AM EDT (link)You are more than free to represent yourself before the USPTO or in a court of law.
So the system doesn’t “require” lawyers.
Did you know that China has been losing manufacturing jobs since 1995? For the specific data, see Table 1 in the following link: http://www.bls.gov/opub/mlr/2005/07/art2full.pdf
Neil, many attorneys oppose the bill
JSobieski (Diary) Monday, June 13th at 5:18PM EDT (link)It really depends on who one’s clients are.
My clients are NOT well served by this bill. This aspect of patent reform is very much Big Business at the expense of the little guy.
Did you know that China has been losing manufacturing jobs since 1995? For the specific data, see Table 1 in the following link: http://www.bls.gov/opub/mlr/2005/07/art2full.pdf
Glad to hear it
Neil Stevens (Diary) Monday, June 13th at 5:20PM EDT (link)But you understand my reaction when the ABA jumped on board early, and the first two commenters arguing were both self-proclaimed members of your field.
RS contributing editor and “a hardy variety of crabgrass.”
Read the RedState Posting Rules
Unlikely Voter: Poll Analysis, Election Projection.
“I rejoice that America has resisted.” – William Pitt, the Elder
Most higher-ups in the ABA work for Big Law
JSobieski (Diary) Monday, June 13th at 5:29PM EDT (link)So I totally share your frustration with such folks.
Not many small firm/small business lawyers end up on national committees of national organizations like the ABA. The ABA is more screwed up the AMA, which is disheartening in all sorts of ways.
Did you know that China has been losing manufacturing jobs since 1995? For the specific data, see Table 1 in the following link: http://www.bls.gov/opub/mlr/2005/07/art2full.pdf
I disagree with you Eric
irishinne Monday, June 13th at 4:58PM EDT (link)The proposed patent reform legislation does not change the US from a first to invent system to a pure first to file system. Instead, it changes the US to a first INVENTOR to file system. The patent applicant must still satisfy 35 USC 102(f) which requires that the applicant must not have derived or stolen his invention from another. I do not believe that the proposed legislation violates the Constitution. Whether its better or not, remains to be seen.
Fee diversion by Congress has to end. It is harming innovation in this country. You and I and everyone here knows that Congress (be it controlled by Republicans or Democrats) has no will power when it comes to spending. As long as it can, it will divert funds from the Patent Office to fund pet projects or other political purposes. Take for example, the recent budget cuts made by the current Congress. You know, the one advertised as $32 billion, but which was in reality only $383 million (You can look up the actual numbers). $100 million was cut from the Patent Office.
BTW, I am a Patent Attorney in private practice. I have been a Republican since I turned 18 under Reagan, I have read RedState daily for the last couple of years. However, this is my first post.
Interesting distinction
civil truth (Diary) Monday, June 13th at 6:25PM EDT (link)Nonetheless, how will “first to file” be intepreted – what is the threshold for “first” in terms of completeness of the application. I can see challenges because line 53 on page 31 wasn’t filled-in – or possible resets if something was missing in the initial filing that would move your filing date to later – lots of room for gaming one direction or the other, I would think, we talking just about a different playing field from where the gaming happens now.
I’m not an expert here, so just raising what would seem obvious concerns based on my past (and limited) experience with filing and service issues and the shenanigans that result.
The greatest evil…is conceived and ordered (moved, seconded, carried, and minuted) in clean, carpeted, warmed, and well-lighted offices, by quiet men with white collars and cut fingernails and smooth-shaven cheeks who do not need to raise their voice. Hence, naturally enough, my symbol for Hell is something like the bureaucracy of a police state or the offices of a thoroughly nasty business concern. -C.S. Lewis
It doesn't really matter
MOlsen6 (Diary) Monday, June 13th at 6:01PM EDT (link)It just so happens that I looked up from … working on a patent disclosure form. As the inventor, I am submitting my documents in preparation for a patent application submission.
Folks, it doesn’t matter. If you are small and poor, like me and my employer, the likelyhood is that you are going to get run over by a larger organization. That is the way the current system works, and that is how the new proposed system works.
The USPTO currently has a terrible wait, even to simply open an envelope. The patent on my PhD dissertation, filed in 2001, is still in litigation. At some point, the patent application was sold, and my wife got a dining room table out of it. My bosses had wanted to start a company, but that just wasn’t in the cards, so the IP was sold to a large corporation to augment their intellectual property warchest. Fewer jobs, but better IP position for a multi-national corporation. The patent examiners currently make some of the silliest arguments against inventions, primarily to A) generate fees for the USPTO, and B) so their lawyer buddies can make a bunch of money submitting rebuttals. It is a corrupt racket right now, and I have long since given up hope that the system can be improved.
The way we work right now, if we think we can sell the provisional in a short amount of time, we patent and sell. If not, we simply don’t bother to patent and just publish the discovery (destroying all economic value), because we can’t afford the legal fees to prosecute a patent unless there is a guaranteed payoff. In a first to file situation, the rules remain the same. Just so everybody is clear, the vast majority of patents are worth … precisely nothing.
MOlsen6
Too Broad a Brush
drfredc Monday, June 13th at 6:34PM EDT (link)Unlike most who have opinions on patents, I’m a small business guy who actually has a patent, which also means I’ve been thru the patent process — the attorneys, the waiting, the back and forth to define the patent, the fees every few years to maintain the patent, etc. IMHO, it’s an overly long, messy and expensive experience.
Typically, if your patent covers anything that is of significant value to others in the industry, there are work-arounds which may or may not end up making your patent all that much protection.
I’m not sure if this bill will or won’t correct any of these issues. I see no particular problem having the patent office set fees according to cost. If they want to do some capital improvement, they still ought to go thru Congress for that. Their wages should be governed by Civil Service laws, which probably should be addressed. This sort of system works for other state government offices I deal with. In summary, fear of abuse hasn’t been born out in other government agencies I’ve dealt with, assuming proper checks and balances are in place.
IMHO, ‘real patent reform’ would involve giving companies with a patent a tax cut for shortening the term of their patent. If the patent lasts twenty years, you pay the corporate tax rate, if you opt to have it last for ten years, you pay half the corporate tax rate. If you opt for no patent protect and just aggressively push the marketplace, you pay no corporate taxes, and anyone else could copy your product (and pay no taxes)…. In other words, let the marketplace determine patent terms and tax rates. In high tech, a patent might only be good for five years, (during which time you might license it), or (in something that takes a decade or more of research to develop), it might make sense to take the full twenty years of protection. Let the marketplace decide these issues… IMHO, this would quickly return the US to exceptionalism, regardless of the nuances of the patent bureaucracy…
Always, Fred C
How does that address cross-licensed cartels as barriers to entry? (nt)
Neil Stevens (Diary) Monday, June 13th at 6:37PM EDT (link)RS contributing editor and “a hardy variety of crabgrass.”
Read the RedState Posting Rules
Unlikely Voter: Poll Analysis, Election Projection.
“I rejoice that America has resisted.” – William Pitt, the Elder
first to file is non-issue, fee diversion is not
hinshelwood Tuesday, June 14th at 7:26AM EDT (link)To me, first-to-file vs. first-to-invent is a non-issue. Less than 1% of applications need to go through an interference process to determine whether or not another invented before the one who got the earlier filing date, and the standard for showing diligence in going from conception to reduction to practice (thereby showin prior invention) is nearly impossible to meet. I am a registered patent agent, manage the patent portfolio for a $1billion+ company, and have over a dozen patents of my own. I do not see it as an issueone way or another. Attorneys in private practice have a different problem with it, and that is the malpractice insurance impact, since any delay in filing could cost one the patent.
the real issue, though is fee diversion. The USPTO is fully user-funded. Applicants prepay upon filing for search and examination, which is supposed to start within 14 months, The average timenow is around 26 months. The USPTO is not able to spend those fees to fulfill its tasks, since it relies on an appropriation (around $2billion) from Congress. If it collects more fees than the appropriation, those excesses are divertted by Congress to other uses, and the applicants wait. Congressman Ryan is wrong on this one – those funds are derived from general taxation, they were paid by applicants for a specific purpose. Setting up a revolving fund as 22 HR 1249 suggests does not remove the USPTO from Congressional oversight. It should be added that this language was added to Senate S23 in an amendment by Senator Coburn, a strong Republican fiscal conservative.
One
gunslingr45 Tuesday, June 14th at 8:43AM EDT (link)thing is clear in all these post. If the government can stick it hands in any situation wring money out of it and screw it up, they do.
“If you can’t support our troops feel free to get out in front of them.”
Here's a thought.
momofthecastle (Diary) Tuesday, June 14th at 12:38PM EDT (link)“Proponents of the change argue that it is more efficient and would better harmonize with the rest of the world. It is more efficient, and it would better harmonize with the rest of the world, but that does not mean it is wise. ”
How about we change that last word to “right.”
Erick’s best point is that an invention is the property of someone, and property should be allowed to be kept by its owner.
On the premise that the right to own property is given to us by our Creator, I would have to say NO to this bill.
Patent reform is a fraud on America
staff Wednesday, June 15th at 3:39PM EDT (link)Just because they call it “reform” doesn’t mean it is. Patent reform is a fraud on America. This bill will not do what they claim it will. What it will do is help large multinational corporations maintain their monopolies by robbing and killing their small entity and startup competitors (so it will do exactly what the large multinationals paid for) and with them the jobs they would have created. According to recent studies by the Kauffman Foundation and economists at the U.S. Census Bureau, “startups aren’t everything when it comes to job growth. They’re the only thing.” This bill is a wholesale slaughter of US jobs. Those wishing to help in the fight to defeat this bill should contact us as below.
Small entities and inventors have been given far too little voice on this bill when one considers that they rely far more heavily on the patent system than do large firms who can control their markets by their size alone. The smaller the firm, the more they rely on patents -especially startups and individual inventors. Yet small entities create the lion’s share of new jobs.
Please see http://truereform.piausa.org/ for a different/opposing view on patent reform.
http://docs.piausa.org/