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U.S. Patent Office Proposed Fee Increases - InventHelp's Opinion

Why We Oppose the U.S. Patent Office's Fee Modernization Act of 2003

On April 3, 2002 Bill H.R. 1561 entitled the "United States Patent and Trademark Office (USPTO) Fee Modernization Act of 2003" was introduced in the U.S. House of Representatives. This Bill outlines a schedule of increased patent fees to help fund the U.S. Patent Office's "Strategic 21st Century Plan." The Plan includes new initiatives such as improving the quality of granted patents and increasing efficiency through e-Government programs [such as electronic filing of applications] and refundable search and examination fees. The House Judiciary Subcommittee on Courts, the Internet and Intellectual Property unanimously approved H.R. 1561 on May 22, 2003.

InventHelp® opposes this bill because:

1. The U.S. Patent Office already operates "in the black." For more than ten years, the Federal Government has been diverting USPTO surplus funds to other areas. These funds could easily be used for the proposed modernization contained in the "21st Century Plan." According to a statement by the Intellectual Property Owners Association made to the House Judiciary Subcommittee on Courts, the Internet and Intellectual Property on April 3, 2003, "more than $750 million will have been diverted since 1992."
2. While some increases are modest, for "small entity" inventors the claims fees have more than doubled. For example, if a utility patent contains 15 claims, under the proposed fee schedule, a "small entity" inventor pays $1,500 vs. $630 currently. Using this example, an inventor's total patent fees to the USPTO would increase by 32%. Design patent fees would also increase 54%. These are big increases that we believe to be unnecessary.

While modernizing processes at the U.S. Patent Office is beneficial to inventors, InventHelp® takes the position that ample monies for these projects already exist within the USPTO surpluses. USPTO surplus funds have been diverted to unrelated government programs for the past eleven years. Individual American inventors have been responsible for more of the significant inventions of the last century than business or industry. These surpluses should now be used for the benefit of inventors and fee increases should be unnecessary.

UPDATE (September 2003):
The United States Court of Federal Claims has partially denied the United States Government's motion to dismiss a case brought by Miguel Figueroa concerning the allocation of patent fees. The claims contained in the case by the plaintiff challenging the increase in and the diversion of patent fees were not dismissed. The opinion was filed August 15, 2003. Read the full opinion here.

InventHelp® continues to believe this may be good news for inventors.

UPDATE (September 2004):
The U.S. Patent Office's Fee Modernization Act passed the House and arrived in the Senate in March 2004. Currently, it is on the Senate's calendar. Follow the progress of the United States Patent and Trademark Fee Modernization Act of 2004 and related amendments through the U.S. House and the U.S. Senate.

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