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Patent Office Proposes Reform

leabre writes "The NY Times (subscription required) is running a story about how the Patent and trademark office is trying to reform itself. Among some of the reforms sought, is higher fees for the initial processing fee, higher fees for more than 20 claims, higher fees for the more work the examiners have to due (lower fees for less work and fewer claims), 2000 more examiners, and required continued relevance of the examiner in their field (certification and re-certification). My favorite quote "...Mr. Rogan says excessive claims not only slow patent processing but contribute to poor-quality patents." They are trying to crack down on abundant claims and too-technical jargon which they claim overworks the examiners, reduces the quality of the patent, and other things. Worth a read."

15 of 178 comments (clear)

  1. higher fees will only make it worse by tps12 · · Score: 4, Insightful

    Higher fees are not a solution. They just raise the stakes, so companies will try even harder to win patents. Likewise, or contrastingly, the "little guy" who comes up with a legitimate invention is even less likely to be able to win a patent for it. These "reforms" will serve only to line the bureaucrats' pockets with the blood of the independent inventor.

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  2. Patent #142049 by Wrexen · · Score: 4, Funny

    A Method For Reforming A Patent Office

    doh!

  3. Ummm by Rogerborg · · Score: 5, Funny
    • "We want to run this place like a business in every single way except one: profit"

    So, it'll be run like a dot com? When's the IPO?

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  4. But _IF_ the money is spent wisely.... by N+Monkey · · Score: 4, Insightful

    Ok, it's a big "IF", but if they spent the money on better prior art searches, perhaps it might improve the system. For example, in my experience with patent submission, the US patent office only appears to search for prior art in its own published patent database, while say, in Europe, the EPO seems to look a bit harder.

    Of course, extending it to looking through well-known journals relating to the particular art would be even better, but just looking at foreign patent databases (relative to the USA) would be a start.

  5. Typical Government Response by Kr3m3Puff · · Score: 5, Insightful
    Simply make it bigger and more expensive and that will make it better.

    Notice how there is no mention of changing the process for "business process" patents, like the Bezos "One-Click" and now infamous "eBay" patents.

    Raising the fees only help big corporations, which of course want to patent everything under the Sun, probablly including the Sun, just like BT's frivilous patent on "links".

    There needs to be some sort of improvement in prior art review. How come a couple thousand of us /.ers can find prior art, but the USPTO can't even use Google?????

    Patents we devised to be accesible to the small guy and were designed to help increase innovation. Now they are used as ways for big corporation to squash people from even thinking, and the DCMA only adds to that.

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  6. Re:Why they are reforming by robburt · · Score: 5, Interesting

    The PTO makes no money. It is a government service organization. If you read the article, you'll notice that they are really tied up by the fact that many unwarranted patents are filed every year along with poorly written patent applications.

    Speaking from personal experience (both going through to process and having known employees) they are completely overwhelmed by people who are applying for patents for things that already exist, and primarily by poorly written yet overwhelmingly complex patent applicatons.

    I don't see how charging according to the amount of effort that they have to put in is going to hinder the process. Most large organizations are going to ultimately be the ones paying the most. If an individual wishes to file for a patent, they hold workshops all the time on how to get through effieciently, and ultimately this will mean that you get to pay the least.

    All in all, I think they need some reform, and I really hope this helps. They do provide a good service, when things are working.

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  7. He's got the right idea by Rogerborg · · Score: 5, Interesting

    But he's not going far enough. Simply charging more for more patent filings isn't going to stop the companies that exist to do nothing other than file patents. They'll just factor it into their business models and pass the costs on to licencees.

    What the PTO needs to do is to charge punitive fees when they reject patents. Yes, you heard me. Currently, they get their income from granting patents, so there's absolutely no, zero, zilch, nada incentive to reject, and so there's no disincentive to file.

    Let's turn that on its head. Patents should be granted grudgingly. Examiners should be looking for excuses to reject them.

    I'd quite seriously propose a deposit of $10,000 for each patent filing, most of which would be refundable on granting. I want filers to be sure that they're actually filing genuine inventions, and I want the PTO examiner (and/or subcontractor) to be eyeing that $10,000 as her reward for finding prior art that you've missed or "forgotten" to mention.

    If $10,000 looks like a lot, then consider how many genuinely novel inventions you're likely to have during your working life, and compare that to the number of cars you might buy over that same period. If you still think that's too much for basement inventors, then consider that they can always sell their idea to one of the patent swallowing companies, and we can go back to business as usual.

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    1. Re:He's got the right idea by mavenguy · · Score: 4, Insightful

      Finally, a patent thread that hasn't been beaten to death when I get to it!

      Your idea for a "deposit" is interesting, but I think it is a bit too harsh. Like many other posters have mentioned it will just raise the risk to entities (companies and individuals). Often, applications get prosecuted past the final rejection where the applicant wants to persue it, and has to file a "continuing" application, complete with a new filing fee. Heaping on another deposit (the original having been forfeit by that application becoming abandoned) just multiplies the risk, unneccessarily IMHO.

      More importantly, your comment about patents being allowed "grudgingly" is the way it used to be, say, over 30 years ago. The applicant had to work get some claims allowed. Also, it was existing law that business processes and, after the invention of programmable computers, programs were just not patentable subject matter. So, what changed?

      Two main factors, driven by the Patent Bar (Thats the community of Patent Attorneys for those of you thinking free as in beer):
      1) patent applications were taking lots and lots of time to prosecute. The response: "Compact Prosecution"; Only three months to respond to Office Actions rather than the Statutory six (Statue permitted period to be shortened to as little as 30 days); second action is made final (limited ability to respond/amend). Also, examiners were required to produce so many first actions and disposals (abandonments and allowances) against a quota. non-final second and subsequent non-allowances didn't count toward the goal. So, the incentive was to get out work as fast as possible, and a terrible incentive to just issue the application on the first action ("first action issue", two "counts") was really tempting, especially if you were behind and getting nagged by your supervisor for "low production" every two weeks. Whil the "old school" examiners took a very jaundiced eye toward such actions (they were trained NEVER to allow on the first action) a new generation, trained by the "new management" (what became our PHBs)it was not scandalous UNLESS it led to some embarassment. High production was a visible, and easy to validate metric; high quality was invisible, hard to measure, and, thus, paid lip service.

      2) The expanding into business method and software patents was driven by the court system by patent applicants, not the PTO. The PTO rejected several cases over the years and, in brief, got shot down by the Court of Customs Appeals, it's sucessor, the Court of Appeals for the Federal Circuit, and, ultimately, the Supreme Court. This done, the matter has been settled, so the PTO must examine them on the limits; they have no authority to create rules to countermand that; when you appeal an issue and you lose, that's it, from a legal perspective; only action by Congress can change this (similarly to the "Disney Protection Act" for Copyrights). As to the question of, given the fact of business method and software patents being patentable subject areas (35 USC 101), that such applications are not having the proper application of Novelty (35 USC 102) or Non-obviousness (35 USC 103)is a whole other issue I won't discuss here.

      So, in a nutshell, the one-two punch of a PHB production/process oriented management and a court system that has pretty much decided that "anything under the sun" is properly submittable in a patent application have lead us to where we are today.

  8. How would this have prevented Pat. #6368227? by dpbsmith · · Score: 5, Interesting

    And exactly how would all this have prevented the sideways swinging patent #6368227? How much expertise and certification to you need to spot the prior art in THAT one?

  9. Too late. by realgone · · Score: 5, Funny
    Among some of the reforms sought, is higher fees for the initial processing fee, higher fees for more than 20 claims, higher fees for the more work the examiners have to do (lower fees for less work and fewer claims), 2000 more examiners, and required continued relevance of the examiner in their field (certification and re-certification)
    Sorry fellas -- I've already pre-emptively patented all those reforms. Try again.
  10. Nothing new by dilute · · Score: 5, Insightful

    The Patent & Trademark Office seems to have spent most of its time over the past decade trying to reform itself. With "customer" satisfaction surveys running in the 50 - 60% range, they know they have a problem.

    For example, about a year back, they came out with software for electronic submission. Codes things in XML. Nice concept, but the software was virtually unusable. God knows how much money they spent on that. Their flawed electronic search system is another example of ineffective, grossly expensive automation projects.

    Another very basic issue is that they seem to lose half the papers people send to them, and then commit significant resources to reviewing and ruling on the proof that the submitter actually sent the papers. This is routine. The most important part of any submission to their office, regretably, is the proof of mailing.

    Then there's the touchy issue of quality. Some of the people who work there are highly competent and dedicated. But a lot of them are really inexperienced. Adding 2000 more will just make this worse.

    The commissioners (who have been rotating with considerable frequency of late) always say they want to run the office "like a business." Well guess what? It ain't a "business" and it never will be.

    They keep talking about their mission to serve "customers," i.e. the people who file patent applications. This is infuriating. They seem totally to forget that the key part of their mission to to represent the PUBLIC. At one point, a past commissioner actually wanted to privatize the office (and make himself the CEO). They should start thinking about what serving the public actually means, and just lose the part about trying to be a "business." At this point, that would be the most useful "reform," in my opinion.

  11. WRONG there are major examining changes by ProfBooty · · Score: 5, Informative

    WRONG, you didnt read the whole thing didin't you!

    There would be a major change in the examination process. Examiners would no longer search for prior art, it would all be submitted by the applicant and the search would be preformed by a private search firm. The examiner then would then determine patentablility via that search.

    There are several problems with this:
    1. Patent examiners know what prior art is out there because they deal solely in a specific technology area (and are intimatly familiar with those sets of patents of record). What happens if the examiner knows of prior art not listed by the applicant? (This has yet to be addressed.)

    2. There is a conflict of interest by the private search firm. They are being paid to find prior art that the applicant really doesn't want them to find.

    3. You are removing a function of government by eliminating searching.

    for more info, http://www.popa.org
    thats the examiners union, im not a member by the way.

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  12. Re:Why they are reforming by Ted_Green · · Score: 4, Interesting


    "You're right, though, I do want to abolish the patent system completely. I think this is sort of like "those who can afford to pollute/restrict the intellectual sphere with patents can do it". A classical case of rich-gets-richer."


    I don't know. I have met a number of people who could only be called inventors. Were it not for the patent system they would not be making anything because those with money and resources could easily exploit their idea.


    "Now, left-slanted as I may be, I don't have anything against people making it by working hard. What I am opposed is "it takes money to make money"-situations. The old Samuel-Vimes-cheap-boot-dilemma."


    While I do agree with the general premise of "the more you have, the easier it is to hold on to it" I don't think patenets can really be applied in such a manner.
    True, I would agree to such a thing if the price for reviewing patents was at such a level as to put more of a strain on those with less, but I'm not really sure it is (don't get me wrong, I honestly haven't looked into how much the proposed changes will be).
    But I do belive that the PO is more likely to try to charge more to the big compaines. Those who put in a 100 applications a day, many of which are the same kind of application with just a few changed details.
    So in a sense they're trying to raise the playing field rather than raise the bar (again, though I should note this is just mere conjecture on my part. I could be quite wrong.)


    " Patents are harmful in another way as well -- they're about restrictions and enmity, not cooperation. "

    But they're protective too. For example, if I invent the supersnooper and it because really popular, then I'm protected from big boys comming over and taking my tosh.


    As for my position on Intellectual "Property", there's no such thing. I go back and forth on trademarks (long story), I want to see copyrights and trade secrets totally revised, and I want patents to go away.


    I don't know.. Like I said I think that copyrights protect us to a degree. However I do belive that they should be more flexiable. Goverment and Public organizations should be able to make use out of them, and corperations shouldn't be able to sit on patents for years on end until someone else comes up with the idea too and figures a good way to make money with it.

  13. Reforms by Artagel · · Score: 4, Informative

    What Rogan does not explain is why the fees for claims should increase exponentially with the number of fees. If your linear relationship is off, reset the slope dammit! It isn't right to punish an inventor because his invention is complicated.

    Fees should probably be higher, the USPTO should be allowed to keep all its fee income and pay the examiners accordingly or supplement the research resources the examiners have. The fee probably should be higher for longer patent applications. (Yes, it is the same fee for 10 pages of description and 1000 pages of description now.)

    Patents are granted unless the PTO can find a reason not to. ("A person shall be entitled to a patent unless --" 35 U.S.C. 102) Shorting the examiners of time and resources necessarily leads to bad patents getting out.

    Part of the reason that patent application fees are low is that the U.S. Patent system is a "winners pay" system. After the patent is allowed you still have to pay a publication fee, an issue fee, and then maintenance fees at 3, 7, and 11 years. That way, small inventors can take their shot but not bear the full cost unless they get a patent.

    What Rogan won't confront, is that the darn points system, which basically is a system where you require the hamsters to run a little faster each year, is not the right management tool (at least in a vacuum). The only thing that supplements it now are "customer satisfaction surveys". Mind you, having the USPTO be polite and responsive is ok, but please notice that QUALITY OF ISSUED PATENTS just does not enter the picture. Please, FIX THE METRICS. If it takes money, which is must, then raise fees. Don't just raise fees to hand money over to Congress though.

  14. Huh? by dachshund · · Score: 4, Insightful
    The PTO makes no money. It is a government service organization.

    You may have some bizarre definition of "not making money". From a 4/01 News.com article:

    WASHINGTON, D.C.--Saying the U.S. Patent Office is already functioning poorly, trade groups and companies such as Intel and Hewlett-Packard are fighting a Bush administration plan to divert about 15 percent of patent fees from the office to other government programs.

    The U.S. Patent and Trademark Office is funded entirely by fees companies pay when they apply for patents or trademarks. President George W. Bush seeks to let the agency keep $1.14 billion, a boost of $100 million over last year, out of an anticipated $1.35 billion in fees to be collected in the fiscal year starting Oct. 1. But the fee percentage he's suggested for other programs is the highest ever.

    The companies that pay the fee say it's important that the patent office use all the fees it collects to clear up a backlog of applications; companies now wait more than two years for a decision. Congress has used some of the office's income for other purposes in recent years. The $207 million Bush proposed yesterday is the most ever.

    In other words, the USPTO takes in more money than it spends. The extra goes to other government programs. Now maybe you don't call it "making money", but that's exactly what it is. And the top-level poster is correct that the patent office could be spending more of its revenues checking applications.