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Patent Attorney Breaks Down Impact of the America Invents Act

msmoriarty writes "As you probably heard, on Friday the Obama administration signed the America Invents Act, which changed our system to 'first to file.' Support for the bill itself was split in the tech industry: Microsoft and IBM (among others) supported the act, Google and Apple opposed it. Redmondmag asked a patent attorney to explain in detail the act and what impact he thinks it will have on the tech industry. According to him, there are still many open questions. From the article: 'The Act has not accomplished [first to file] harmonization in a straightforward or unambiguous way. For example, it is not clear whether a prior use or offer for sale of an invention by an inventor or joint inventor within a year of the date of filing would render the invention unpatentable.' He also said that the act clearly favors larger corporations, and he doubts it will speed up the patent process itself, which was one of its intended benefits."

142 comments

  1. Simple by Mensa+Babe · · Score: 3, Interesting

    Microsoft supported it, Google opposed it. What more proof do we need that this act is evil? Propably none and even if some then not much. Nevertheless the articles linked in this story even if not bad in content still may be quite hard to follow for anyone who hasn't got an opinion on this matter yet. You can find much more information in the Wikipedia article: Leahy-Smith America Invents Act and even more in the articles linked in the references. I strongly recommend reading it all because otherwise we risk to draw uneducated conclusions from the aspects of this story that may seem obvious but actually are not that obvious for anyone educated in the intellectual property law. Some of the implications of that act would be rather scary so we really need to take some time to fully research the subject and unlike the Redmondmag, the so called "independent voice of the Microsoft IT community", the Wikipedia is actually worth reading.

    --
    Karma: Positive (probably because of superiour intellect)
    1. Re:Simple by Anonymous Coward · · Score: 0

      Propably

    2. Re:Simple by elsurexiste · · Score: 3, Insightful

      Microsoft supported it, Google opposed it. What more proof do we need that this act is evil?

      OK

      I strongly recommend reading it all because otherwise we risk to draw uneducated conclusions... we really need to take some time to fully research the subject...

      If that's not ironic, I don't know what it is.

      --
      I rarely respond to comments. Also, don't ask for clarifications: a brain and Google are faster, believe me!
    3. Re:Simple by alen · · Score: 2

      google and apple like to do a lot of work in secret and then patent it or keep it secret for years.

      microsoft and IBM are the opposite and like to patent things as soon as they finish the work on them even if there is no product yet

    4. Re:Simple by Anonymous Coward · · Score: 2, Insightful

      But Apple opposed it as well. Does that cancel out Google or does it add credence to Google is going evil. I'm so torn.

    5. Re:Simple by Aighearach · · Score: 1

      Microsoft supported it, Google opposed it.
      What more proof do we need that this act is evil?

      Normally I would agree. However IBM has a very good record with patents and OSS the past 10 years. IBM is now mostly a services company with little need for new patents. So I am not really convinced one way or the other.

      Probably we will need to see wait a couple years until courts weight in before we judge the effects.

    6. Re:Simple by Anonymous Coward · · Score: 0

      I thought that corporations tended to act in their own usually short sighted, narrow self-interest. And, that attempts to pidgin-hole them as good or evil was just an attempt by the unintelligent to hammer the square peg through the round hole and then claim success when the board breaks, probably to preserve some kind of broken world view where heavens reward or wraith awaits in the end.

    7. Re:Simple by Anonymous Coward · · Score: 0

      But, but, the Supreme Court has ruled that corporations are better than people (all the rights and fewer responsibilities) so how can they be evil if they're better? I thought good/evil was just for people?

    8. Re:Simple by Desler · · Score: 5, Informative

      IBM is now mostly a services company with little need for new patents.

      And yet in 2009, they received 4900 patents and in 2010 they received nearly 5900 which is more than any other company. IBM has for 18 consecutive years held the #1 position in granted patents . Reality doesn't seem to march your assertion.

    9. Re:Simple by tobiasly · · Score: 0

      If that's not ironic, I don't know what it is.

      10,000 spoons when all you need is a knife.

    10. Re:Simple by Anonymous Coward · · Score: 0

      Nothing in that song was ironic. Including what you just quoted there.

    11. Re:Simple by Anonymous Coward · · Score: 0

      Which makes that song a little too ironic...

      Don't ya think?

      XP

    12. Re:Simple by nschubach · · Score: 1

      First to file encourages "bad"/"poorly thought out" patents? (Not disagreeing, it's more rhetorical...)

      --
      Every time I start to have faith in humanity, I ruin it by driving to work between 7 and 8 am.
    13. Re:Simple by element-o.p. · · Score: 1

      Yeah, I really do think.

      --
      MCSE? No, sir...I don't do Windows. Yes, I am an idealist. What's your point?
    14. Re:Simple by Bucky24 · · Score: 1

      But corporations are people....

      --
      All the world's a CPU, and all the men and women merely AI agents
    15. Re:Simple by delt0r · · Score: 3, Interesting

      Considering that the rest of the world has had first to file since forever, i think you are wrong. The quality is no worse elsewhere than in the US.

      --
      If information wants to be free, why does my internet connection cost so much?
    16. Re:Simple by Oxford_Comma_Lover · · Score: 2

      > Microsoft supported it, Google opposed it. What more proof do we need that this act is evil?

      So pro-data-privacy laws, for example, where Microsoft might benefit (via data privacy functionality it builds into healthvault, for example) where Google would not (since its goal is generally to collect all data) are necessarily evil?

      The simple fact is that Microsoft has probably the largest patent warchest of any Corporation (not necessarily by dollar value--see bigpharm). They would be out of their minds not to support legislation favoring the big guy, and their board would have to be incompetent to do so under most ways of looking at corporate responsibility. If you had 10% of your savings in microsoft, would you want them to support something that will devalue a large asset of theirs?

      Of course there are competing interests. I'm not saying it's the best law, or even an improvement. For many people it's not. For most slashdotters it's not.

      On the other hand, you also have some pretty ridiculous transaction costs in the old system that this system gets rid of. If I'm working on developing a drug or software project, why should I need to have a day-by-day log of my progress each day, and a good excuse if I don't work on it on any day, or else I risk losing the patent? First-to-file eliminates the "you'd-better-not-take-a-vacation" rule (and the associated transaction costs) that used to apply when you wanted to prove that you invented before the first person to file. Even though those cases come up relatively rarely, it costs society a fair amount to *prepare* for that eventuality during the research on every major invention.

      There is also a problem, in my view, that different fields really ought to have slightly different patent laws. It's crazy that a software patent has the same life as a major new transformative industrial process.

      --
      -- IANAL, this isn't legal advice, and definitely isn't legal advice for you. Also, Squee!
    17. Re:Simple by Oxford_Comma_Lover · · Score: 1

      Read the opinion on AT&T's personal privacy right... it's hysterical.

      "We trust that AT&T will not take it personally..."

      --
      -- IANAL, this isn't legal advice, and definitely isn't legal advice for you. Also, Squee!
    18. Re:Simple by Oxford_Comma_Lover · · Score: 1

      And yet in 2009, [IBM] received 4900 patents and in 2010 they received nearly 5900 which is more than any other company. IBM has for 18 consecutive years held the #1 position in granted patents . Reality doesn't seem to march your assertion.

      That seems like a strange misuse of funds, if they're not using the patents for anything.

      Although in the SCO debacle, they did whip out a patent for "hierarchical menu systems" IIRC. Talk about a "don't mess with IBM" patent...

      --
      -- IANAL, this isn't legal advice, and definitely isn't legal advice for you. Also, Squee!
    19. Re:Simple by Jonner · · Score: 1

      google and apple like to do a lot of work in secret and then patent it or keep it secret for years.

      microsoft and IBM are the opposite and like to patent things as soon as they finish the work on them even if there is no product yet

      Neither approach is what patents are supposed to accomplish. Patents are supposed to spread public knowledge of actual inventions, not abstract ideas on paper.

  2. Short version by durrr · · Score: 5, Funny

    We're all fucked.

    1. Re:Short version by DoofusOfDeath · · Score: 1

      Nice try. I've patented the act of being fucked by legislation. And since I'm first to file, you're kind of fucked. If I give you permission, that is.

    2. Re:Short version by Pictish+Prince · · Score: 1

      Nice try. I've patented the act of being fucked by legislation. And since I'm first to file, you're kind of fucked. If I give you permission, that is.

      Now that's Funny!

      --
      Only his tendency toward a dazed stupor prevented him from screaming aloud.
    3. Re:Short version by frinkster · · Score: 1

      Nice try. I've patented the act of being fucked by legislation. And since I'm first to file, you're kind of fucked. If I give you permission, that is.

      In the old days, the patent office required you to send them a working example of your invention for analysis.

      I'd say that legislation has certainly helped you out. Unless you are into that kind of thing. Which is cool. I've got nothing against it.

  3. "the act clearly favors larger corporations" by Anonymous Coward · · Score: 5, Insightful

    "the act clearly favors larger corporations"

    Well, duh! Isn't that the sole purpose of all acts and reforms? More advantages for larger corporations?

    1. Re:"the act clearly favors larger corporations" by fuzzyfuzzyfungus · · Score: 4, Funny

      Anonymous Coward, I must request that you cease your class warfare immediately.

      Strike all instances of "larger corporations" and replace them with "job creators" immediately.

      Thank you for your cooperation.

    2. Re:"the act clearly favors larger corporations" by DCFusor · · Score: 4, Insightful

      Unfortunately, that does seem to be the case. Funny the cognitive dissonance when they mention how it's *small* companies that create most of the jobs and innovation. There is no way you can now break into the big boys club. They just patent everything they can, and while they hate each other -- they can cross-license at nominal or no cost. But a little guy with one patent who starts eating into their market share will always find they've patented about 10 obvious things they can use against him, as the days of anything being simple, covered by just one patent, are long gone. As durrr said above, we're all fucked.

      --
      Why guess when you can know? Measure!
    3. Re:"the act clearly favors larger corporations" by GodInHell · · Score: 2

      See -- you're mixing your terms there. Small, in the political sense, is a reference to "S" class corporations -- businesses with small ownership pools that pay tax like a partnership (owners treat corporate income as personal income). The "S" stands for "small," but many S corporations are anything but small, as in money and employees.

      -GiH

    4. Re:"the act clearly favors larger corporations" by orgelspieler · · Score: 1

      I'm confused. I thought "job creators" meant "rich people."

    5. Re:"the act clearly favors larger corporations" by Anonymous Coward · · Score: 0

      Corporations are people.
      Large corporations are rich.

    6. Re:"the act clearly favors larger corporations" by Oxford_Comma_Lover · · Score: 1

      Corporations are people.
      Large corporations are rich.

      Not necessarily. They may be bankrupt.

      --
      -- IANAL, this isn't legal advice, and definitely isn't legal advice for you. Also, Squee!
    7. Re:"the act clearly favors larger corporations" by Oxford_Comma_Lover · · Score: 1

      See -- you're mixing your terms there. Small, in the political sense, is a reference to "S" class corporations -- businesses with small ownership pools that pay tax like a partnership (owners treat corporate income as personal income). The "S" stands for "small," but many S corporations are anything but small, as in money and employees.

      -GiH

      WTF?

      When Congress refers to Small Business owners they're only talking about S Corps?

      Can you give some sort of citation for that claim. That's a pretty remarkable claim, considering that 90+% of America has little or no clue what an S-Corp is and Congress discusses small business owners not infrequently.

      --
      -- IANAL, this isn't legal advice, and definitely isn't legal advice for you. Also, Squee!
    8. Re:"the act clearly favors larger corporations" by recharged95 · · Score: 1

      Yep: first to file == if you have the resource to file quickly and faster than the other guy.

      FYI, big corporations have the cash and fleet of lawyers to file quickly. It takes cash and time to patent. And when you're doing to put bread on the table, takes longer due to the circumstances.

      The small guy, which has no just got kicked out of the system. USPTO has become a big-boy's only game. It actually makes us competitive against other countries, but not within our own boundaries.

    9. Re:"the act clearly favors larger corporations" by Anonymous Coward · · Score: 0

      Corporations are people too, my friend.

    10. Re:"the act clearly favors larger corporations" by interkin3tic · · Score: 1

      Both of you are giving away free content and clearly are violating some copyright law. I demand you send me royalties in the amount of 49 bajillion dollars. I would be willing to settle for a mere 49 THOUSAND dollars for a limited time though.

      Sincerely, Righthaven LLC

    11. Re:"the act clearly favors larger corporations" by Anonymous Coward · · Score: 0

      I thought "rich people" meant "people with the same circumstances as the rest of the population regardless of whether they stuff their pillows with thousand dollar bills and have a work day consisting of golf reservations"

      Now I'm really confused! :O

    12. Re:"the act clearly favors larger corporations" by oursland · · Score: 1

      Corporations are people. Large corporations are rich.

      Not necessarily. They may be bankrupt.

      They're Temporarily Embarrassed Millionaires. Just like the rest of us.

    13. Re:"the act clearly favors larger corporations" by GodInHell · · Score: 1

      It's in the language -- listen for how the discuss the impact of tax code changes on "small business." If the small business were just a small (as in employees) company, then it might or might not pay tax as individual income. However, if it's a "small business" as in S-Corp, then it will pay taxes as an individual.

      The GOP gives it all away when they talk about small businesses being harmed by raising taxes on individuals who make over $250,000.00 per year. Corporations don't normally pay taxes as individuals -- they pay on Corporate tax rates -- only S-Corps, LLCs and Partnerships would be hit by that. Moreover, a "small" as in employees business would be able to exempt out the funds it uses to buy material, pay employees and otherwise run the business -- you don't hit the caps on those values until you get well over $250,000.00 in profit Anyway -- whenever speaking about the tax code, in particular, "small" means S-corp.

      -GiH

      I am a lawyer, but this isn't legal advice. So no, you're not my client. (yes, I have to say that).

  4. More political theater by Anonymous Coward · · Score: 1

    Does it stop patents on life? No

    Does it stop software patents? No

    Does it work to prevent patent abuse by companies like Monsanto who use it as a weapon? No

    Does it stop patents on items that have been in the commons for years or even centuries? No

    This is more pro-corporate political theater at the expense of individual liberty, just like every administration since Reagan.

    1. Re:More political theater by Anonymous Coward · · Score: 0

      Does it stop patents on items that have been in the commons for years or even centuries? No

      Worse than that, since it's now "first to file" instead of "first to invent", technically it outright encourages patents on items that have been in the commons for years or even centuries, since if nobody has filed a patent on it yet, it doesn't matter who invented it, it's up for grabs and lawsuits.

    2. Re:More political theater by Jawnn · · Score: 3, Informative

      Worse than that, since it's now "first to file" instead of "first to invent", technically it outright encourages patents on items that have been in the commons for years or even centuries, since if nobody has filed a patent on it yet, it doesn't matter who invented it, it's up for grabs and lawsuits.

      Only if you have pockets deep enough to use the legal system to bully anyone who might challenge your patently weak patent. Challenges cost money. For Big Corp, Inc., that's usually chump change. Big Corp wins, citizen loses. Again.

    3. Re:More political theater by Desler · · Score: 1

      No it doesn't. Even under first to file, prior art invalidates a patent. First to file only changes the rules if what happens when multiple people attempt to patent the same thing.

    4. Re:More political theater by Cyberax · · Score: 1

      Yeah. And you're going to waste at least several hundred thousands to prove it?

    5. Re:More political theater by Desler · · Score: 1

      And how is that any different then now? Oh right it's not any different.

    6. Re:More political theater by Oxford_Comma_Lover · · Score: 1

      If it's obvious enough, I can walk into court and prove it. Although it's hard if I have better stuff to do with my time, then get stuck in discovery. And there is always the risk--however small--that the judge will side against you.

      If the price tag for good representation makes it prohibitive for you to walk into court and prove it, then yes, you're screwed.

      BUT the fact that prior art invalidates the patent means it may not get issued in the first place. And I think this has some more post-grant review procedures, doesn't it?

      --
      -- IANAL, this isn't legal advice, and definitely isn't legal advice for you. Also, Squee!
    7. Re:More political theater by Lord_Jeremy · · Score: 1

      Due to the immense backlog of applications, it's been the USPTO's standard procedure to grant the patent without doing a search for prior art. If there actually is prior art then it's supposed to be the job of the court to invalidate the patent. Of course, that means that if someone gets sued over a bullshit patent, they have to be willing and able to take it all the way through court for it to get invalidated.

  5. Meh by Aerorae · · Score: 1, Insightful

    Life goes on. Corps always win in our system as it is. This shouldn't come as a surprise to anyone.

    SO FOR GODS SAKE PEOPLE STOP THE GRATUITOUS LAMENTING

    1. Re:Meh by KlomDark · · Score: 1

      So vote republican!??

    2. Re:Meh by Anonymous Coward · · Score: 0

      Inciting a riot, eh?

    3. Re:Meh by Yvanhoe · · Score: 2

      It is only inevitable if you consider it inevitable. http://fixcongressfirst.org/

      --
      The Wise adapts himself to the world. The Fool adapts the world to himself. Therefore, all progress depends on the Fool.
    4. Re:Meh by Yvanhoe · · Score: 1

      Maybe. Democrat or Republican, vote for those that promise to change the rules of lobbying : http://fixcongressfirst.org/

      --
      The Wise adapts himself to the world. The Fool adapts the world to himself. Therefore, all progress depends on the Fool.
    5. Re:Meh by ediron2 · · Score: 1

      Yeah, because not only do we get all the fun of repressing our views, but They will hear us via our silence, in some sort of pseudo-zen handwavy way.

      For me, voicing or acting to make clear one's disagreement with policies is never gratuitous. It's civic duty.

    6. Re:Meh by Anonymous Coward · · Score: 0

      Maybe. Democrat or Republican, vote for those that promise to change the rules of lobbying : http://fixcongressfirst.org/

      Of what value are promises?

    7. Re:Meh by horza · · Score: 1

      That's odd. Europe has first-to-file rather than first-to-invent, yet is less subservient to corporations than the USA. How exactly have they won?

      Phillip.

  6. Worst thing for America by KlomDark · · Score: 2

    With all the talk about how the US needs to out-innovate other countries, they throw a wrench like this in the works. With first to file in place, that cool hack you just came up with and put on your web site, without patenting it first, can now be 'discovered' by a patent troll, who then files a patent based on your work, and then can turn around and sue you for using something that you invented.

    Most creative people dont have the time or money to mess around with patenting their new ideas. This whole thing is just a bonanza for megacorps to steal all kinds of IP from the little guys who do most of the inventing.

    Complete crap

    1. Re:Worst thing for America by Anonymous Coward · · Score: 5, Interesting

      The trolls could do that before. What they could do before, and could not do now, is pre-date the invention by 364 days, so that they could show priority over you. Of course that would be perjury, but the USPTO stopped prosecuting perjury on patent applications when they disbanded their enforcement division for budget reasons in 1974. No prosecutions since then.

      Filing a patent on someone else's invention is still itself perjury. Now, we just have to get them to prosecute that.

    2. Re:Worst thing for America by Dachannien · · Score: 1

      Actually, your website would serve as prior art to their patent, same as it would under the old law. They may sue you, but they would lose.

    3. Re:Worst thing for America by vlm · · Score: 1

      Actually, your website would serve as prior art to their patent, same as it would under the old law. They may sue you, but they would lose.

      Absolutely irrelevant. They only lose if the cost of protection money / licensing they offered was greater than the spectacular cost of legal defense.

      I could patent posting goatse on /., god only knows that has plenty of prior art. Somebody posts goatse, I make my offer. It'll cost $50K to defend yourself at which time I'll lose and you'll get the patent overturned and you'll get no legal fees back because I (or my corporation) are judgment proof. Or, you can pay me $100 for a license to my patent, and that problem all goes away... If you have more than $100 in the bank (statistically likely) and less than $50K in the bank (statistically likely) then I win and you lose.

      --
      "Science flies us to the moon. Religion flies us into buildings." - Victor Stenger
    4. Re:Worst thing for America by vlm · · Score: 1

      Whoa there big time mistake on my part. I forgot to add that before the new act, false patent marking was financial suicide. After the act, it doesn't look so bad. So as a business methods patent troll, I don't even have to bother patenting "post goatse on /." as a method. I just have to threaten you that it I have done so. Then post my licensing fee as lower than the cost of you even hiring a lawyer to figure out if my patent is even valid.

      The two parts of the act turns patent trolling into a legal extortion business.

      --
      "Science flies us to the moon. Religion flies us into buildings." - Victor Stenger
    5. Re:Worst thing for America by Anonymous Coward · · Score: 0

      And, after paying your lawyer's bill, you would lose as well. Pyrrhic victory.

      If you aren't making much (if any) money from your idea, the only rational course of action would be to abandon it to the guy with the patent (and thus the power). It's not entirely different from the current situation, but is likely to force the argument away from the patent office and towards the courts. Where a big company with a horde of pet lawyers has the advantage.

    6. Re:Worst thing for America by Desler · · Score: 2

      *facepalm* First to file does not get rid of prior art requirements. Do you idiots even bother doing two second of research before continuing to spout this nonsense? Secondly that same company could already do that now so this change won't make any difference in someone trying to patent prior art.

    7. Re:Worst thing for America by Anonymous Coward · · Score: 1

      ...and how is that different from the old patent system?

    8. Re:Worst thing for America by Baloroth · · Score: 1

      So what you're saying is that we need legal reform of the way patents are handled in court, not just reform of the patenting system itself. That would be the only way to handle the "license is cheaper than lawsuit" problem. Maybe make the troll put up cash, which they loose if they can't show in court that their patent is valid? Making invalid lawsuits very expensive for the trolls.

      --
      "None can love freedom heartily, but good men; the rest love not freedom, but license." --John Milton
    9. Re:Worst thing for America by geekoid · · Score: 1

      Did YOU bother to read it? it radically changes prior art.
      Hey, guess what? That coll hack you have and are trying to get funding for? Fuck you, we'll patent. What that, it's publish. Fine we will wait a year and then see if you managed to get enough money to get a patent, if not Fuck you.

      Seriously, read the fucking bill.

      --
      The Kruger Dunning explains most post on /. http://en.wikipedia.org/wiki/Dunning%E2%80%93Kruger_effect
    10. Re:Worst thing for America by Dachannien · · Score: 1

      Absolutely irrelevant.

      Except for the part where your post was decrying the supposedly shameful new patent law, yet your rebuttal fails to address the fact that your hypothetical website would serve as prior art just as well (if not better) under the new law than under the old.

    11. Re:Worst thing for America by vlm · · Score: 1

      ...and how is that different from the old patent system?

      Costs 15% more to file, but most of the punishments for falsely claiming a patent exists when it doesn't, have been removed.

      --
      "Science flies us to the moon. Religion flies us into buildings." - Victor Stenger
    12. Re:Worst thing for America by Oxford_Comma_Lover · · Score: 1

      Is it no longer required that the person filing be an inventor? Because if they stole your invention, even from a public website, I wouldn't think they'd be an inventor.

      --
      -- IANAL, this isn't legal advice, and definitely isn't legal advice for you. Also, Squee!
    13. Re:Worst thing for America by Oxford_Comma_Lover · · Score: 1

      So what you're saying is that we need legal reform of the way patents are handled in court, not just reform of the patenting system itself. That would be the only way to handle the "license is cheaper than lawsuit" problem. Maybe make the troll put up cash, which they loose if they can't show in court that their patent is valid? Making invalid lawsuits very expensive for the trolls.

      That requires (1) that you take away the legal presumption of validity given to issued patents and (2) that VALID lawsuits will also be VERY expensive for inventors. The more expensive it is to file, defend, or otherwise be involved in a lawsuit, the more lopsided the legal system is in favor of major corporations.

      --
      -- IANAL, this isn't legal advice, and definitely isn't legal advice for you. Also, Squee!
    14. Re:Worst thing for America by Oxford_Comma_Lover · · Score: 1

      Why would a hack you're trying to get funding for be prior art anyway, assuming you have NDAs?

      --
      -- IANAL, this isn't legal advice, and definitely isn't legal advice for you. Also, Squee!
    15. Re:Worst thing for America by Anonymous Coward · · Score: 0

      Whoa there big time mistake on my part. I forgot to add that before the new act, false patent marking was financial suicide. After the act, it doesn't look so bad. So as a business methods patent troll, I don't even have to bother patenting "post goatse on /." as a method. I just have to threaten you that it I have done so. Then post my licensing fee as lower than the cost of you even hiring a lawyer to figure out if my patent is even valid.

      The two parts of the act turns patent trolling into a legal extortion business.

      Do you even know what false patent marking was all about?

      http://en.wikipedia.org/wiki/Patent_pending

      In the United States, according to the United States Patent and Trademark Office, the expression "Patent Pending" as such does not protect an invention until the actual patent is published and/or issued:
      "A patentee who makes or sells patented articles, or a person who does so for or under the patentee is required to mark the articles with the word "Patent" and the number of the patent. The penalty for failure to mark is that the patentee may not recover damages from an infringer unless the infringer was duly notified of the infringement and continued to infringe after the notice.
      The marking of an article as patented when it is not in fact patented is against the law and subjects the offender to a penalty. Some persons mark articles sold with the terms "Patent Applied For" or "Patent Pending." These phrases have no legal effect, but only give information that an application for patent has been filed in the Patent and Trademark Office. The protection afforded by a patent does not start until the actual grant of the patent. False use of these phrases or their equivalent is prohibited." [5]
      The use of the term "patent pending" or "patent applied for" is permitted so long as a patent application has actually been filed. If these terms are used when no patent application has been filed it is deemed as a deceptive act and a fine of up to $500 may be imposed for every such offense.[6] Under the current interpretation of “offense,” each mis-marked article constitutes an offense, which permits theoretical damages in the hundreds of millions of dollars for high-volume consumer goods.[7]

      What happened previously was that some manufacturers of products (http://www.patentlyo.com/patent/2010/06/false-marking-solo-cup-properly-rebutted-presumption-of-intent-to-deceive.html) continued to manufacture products with patent marking even after the corresponding patent had expired. Due to the interpretation of the law, each offense would be liable for up to $500 damage, which can be shared between the person suing the manufacturer and the government (50% each). So a manufacturer producing hundreds of thousands of cups with false patent marking could be liable for hundreds of millions of dollars.

      The new law makes it so that false patent marking lawsuit can be made in certain scenarios. It has nothing to do with someone (patentee or owner) using it as a leverage to extort money from you.

    16. Re:Worst thing for America by Anonymous Coward · · Score: 0

      Patents aren't horribly expensive, and there are companies out there that file and market the patent for you, for a fraction of the income.

      B) Posting it on your web site is publishing it, which is now prior art and since the predating problem is fixed, Now, once something is published, it's roughly unpatentable. First to file has severe problems and possibilities, but it does also fix some problems. At a grander scale, this bill has some severe problems, but it also fixes some severe problems with our patent system.

    17. Re:Worst thing for America by horza · · Score: 1

      You are using a bait and switch. The rules on prior art haven't changed. They could do your described scenario before the new act came into force with the web site, and they can do it now. But they are doing it with a patent that has been granted where the examiner has missed the web site with the prior art. Falsely claiming a patent exists is a completely difference scenario. Whether punished or not it doesn't make any difference to the first-to-file vs first-to-invent.

      Phillip.

    18. Re:Worst thing for America by psxndc · · Score: 1

      Complete crap

      Your comment is what is complete crap. Before and after the bill, a patent troll COULD NOT file a patent based on your work. As part of a patent application, the inventors have to file a declaration stating they believe they invented the invention. What you are suggesting would render the entire patent unenforceable due to inequitable conduct.

      You don't know what you are talking about, yet your comment was modded up. Disgusting.

      --

      The emacs religion: to be saved, control excess.

  7. why favor large corporations? by vlm · · Score: 2, Insightful

    He also said that the act clearly favors larger corporations

    Why? He never explained why. I realize they are the boogy-man now, so any time you want to imply something is bad, you imply its good for the big corporations, but the logic seems to be missing. I guess the argument is something like submarine patents will be harder to implement, but ...

    --
    "Science flies us to the moon. Religion flies us into buildings." - Victor Stenger
    1. Re:why favor large corporations? by Anonymous Coward · · Score: 0

      If you think that corporate power is just a bogeyman you must live in a different world than I do. Or ignorance really is bliss...

    2. Re:why favor large corporations? by Anonymous Coward · · Score: 1

      large corp has resources to patent everything they do. small devs don't.

      e.g. you make a cool app, put it on your website, big-corp sees it, copies it, patents it, and sues YOU for infringing on their IP.

      Chances are, they won't sue "you" (that would just be too evil, and wouldn't get'em moneh), but they'll probably still parent it, and sue their other-big-corp competitors, pretending to be the inventors.

      In other words, as a small developer who doesn't have resources to parent everything you do, you're pretty much handing over ownership of whatever intentions you come up with to big corps.

    3. Re:why favor large corporations? by MrVictor · · Score: 1

      RTFA FFS. He did say why. This legislation just empowers patent trolls like never before. Now, even if you thought of the idea first and implement it, someone else can patent it years later and sue the crap out of you. First to file, remember?

    4. Re:why favor large corporations? by vlm · · Score: 1

      Hmm that argument would fit in with the other part of the act which is to increase cost by 15%.

      But it works just as well with "individual" vs "small businessman" or "tiny business" vs "microscopically larger business".

      --
      "Science flies us to the moon. Religion flies us into buildings." - Victor Stenger
    5. Re:why favor large corporations? by vlm · · Score: 1

      The set of all patent trolls are a subset of the set of large corporations? I don't think so. Not even "most" or "majority".

      That's my point. Why beat on the drums that large corporations are gonna be the problem, when all you need is an unemployed attorney with about $5K startup costs, and look, insta-troll.

      For a monopoly provider like microsoft, its not so bad, but a player in a competitive field like GOOG would get terrible PR, so "on average" the little trolls are going to be more numerous and more brutal than the large corps, aren't they?

      --
      "Science flies us to the moon. Religion flies us into buildings." - Victor Stenger
    6. Re:why favor large corporations? by Anonymous Coward · · Score: 2, Interesting

      Yes but, you're ignoring the fact that under the old law, you could think of the idea first, file a patent first, and STILL get the crap sued out of you by a large corporation that claimed they invented it first (" this internal memo from five years ago full of randomly strung together buzzwords clearly shows we invented it first") At least under the new regime, as long as you file first (and were an actual inventor, not someone who just copied an idea), you win. And that's more aligned with the spirit of patent law--we want to encourage people to publish as quickly as possible..

    7. Re:why favor large corporations? by Anonymous Coward · · Score: 0

      any time you want to imply something is bad, you imply its good for the big corporations, but the logic seems to be missing.

      I can think of dozens of scenarios where the profit motive works against the interests of the public, and only a few where it works in favor. That makes it more likely that any entity with the primary mission of increasing profits in the most efficient way possible will work to my detriment more often than it will work to my benefit.

    8. Re:why favor large corporations? by Desler · · Score: 1

      If that is what he says than he is an idiot. Prior art still applies even in a first to file system.

    9. Re:why favor large corporations? by Zouden · · Score: 2

      That's not what he said at all. The first to file rule doesn't override prior art. If someone invents something and publishes it, no one else can come along and patent it. However, if someone invents something and doesn't publish it (keeping it a trade secret), it can still be patented by someone else. This is a good thing because it encourages the publication of inventions, patented or otherwise.

      Now, the reason why this act favours large corporations is that it allows for a company to publish an invention to a limited group, ie, other departments, sister corporations, whatever, but keeping it a secret from the outside world. They've satisfied the requirements to establish "prior art", but in reality no one else knows about the invention.

      The act has established a new type of trolling: alongside the submarine patent, there is now submarine prior art.

      --
      "A week in the lab saves an hour in the library"
    10. Re:why favor large corporations? by Anonymous Coward · · Score: 0

      No, idiot. First to file is about determining which of two concurrent applicants gets the patent when all else is equal. Use an invention one year or more prior to the filing: You're safe. Publish about your invention before someone files: you're safe.

    11. Re:why favor large corporations? by Anonymous Coward · · Score: 0

      Only if that Prior Art is _PUBLIC_. What if that prior art was embedded in your software, and not publicized? Patent troll wins because he was the first to file, right? IANAL.

    12. Re:why favor large corporations? by MrVictor · · Score: 1

      My point is this. In response to this legislation, corporations will shotgun sketchy patents for all sorts of ideas. That is what the guy in TFA is trying to say.

    13. Re:why favor large corporations? by nahdude812 · · Score: 1

      He does explain why:

      As one example, the Act expands the Prior Use defense to patent infringement to apply to all inventions (it was previously limited to business method patent claims) in a manner that encourages those with sufficient R & D resources -- generally, large companies -- to discover, document, use in an "internal commercial use," and maintain as a trade secret new methods and/or materials producing a "useful end result" which can then be sold or transferred with impunity. If a patent application claiming the new methods and/or materials is filed a more than a year later by another entity, and issues as a patent, this prior internal commercialization, or the transfer or sale of the end result, is immune from patent infringement, and is protected thereafter so long as it is continuously performed.

      Basically if they do a large amount of internal R&D (most big tech companies), anything they piloted internally gets them a license to the tech. Even if you come up with an amazing new idea, if their R&D team spent any time on something similar, they can sell it commercially even though you have a patent.

    14. Re:why favor large corporations? by geekoid · · Score: 1

      If I invent it, and try to get investors, and it take more then a year, I'm screwed.

      --
      The Kruger Dunning explains most post on /. http://en.wikipedia.org/wiki/Dunning%E2%80%93Kruger_effect
    15. Re:why favor large corporations? by NetNed · · Score: 1

      How is it "insightful" if the poster clearly didn't RTFA? It's in there, go read it! He never explained why in a short snip-it from the much bigger article? GO FIGURE!

    16. Re:why favor large corporations? by Anonymous Coward · · Score: 0

      True, there is now submarine prior art. However, that invention can still be patented by someone else by my reading. The company that's using the unpublished invention can't be found to be infringing because they have the submarine prior art. However, they can't use it to invalidate the patent if they haven't filed for one when the patent is granted.

    17. Re:why favor large corporations? by Baloroth · · Score: 3, Insightful

      But, unless he omitted something, the "submarine prior art" can't be used to invalidate a patent, nor to claim the patent for yourself. All it does is make you (or someone you sell the "trade secret" to), immune to being sued. I'm quite confused how that is a bad thing. It doesn't give as much incentive to publicize the technique, to be used by everyone after the patent period, but given the way patent law was before, that didn't really help before. Basically, it seems that this just makes a company, who doesn't publish their art, immune to patent suits, as long as they were using the art in question, but they cannot invalidate a patent someone else filed. Again, this is unles I am completely misreading what he said or he omitted a major point.

      The only way this benefits large companies more than small companies is because large companies can afford to maintain and develop more such art. That is all. So basically it benefits large companies the same way as patent law in general does: they can maintain more of it. All in all, however, this (part of the) reform seems good, since trolls can't file for a patent afterwards and sue some company who was actually using it before them, but didn't publish it.

      --
      "None can love freedom heartily, but good men; the rest love not freedom, but license." --John Milton
    18. Re:why favor large corporations? by Anonymous Coward · · Score: 0

      The whole fucking point of the patent system isn't to be the first to implement things, it is to PUBLISH inventions. So if you invent something and keep it private you are not pursuing the goals the patent system wants you to pursue and your invention can be lost to somebody who does publish (read: file) it. If you invent something cool and publish it (on a website or something) with an obvious timestamp, then (theoretically) nobody can patent that thing because you have established prior art and their patent would be invalid. Now, what problems does the new system create (and what problems does it solve) versus the problems (and solutions) of the old system? Both systems will have trolls, both will have people try to patent things with prior art, and in both the companies with the pockets will win - but in the NEW system, it encourages publication a lot more, which is the whole point of the patent system in the first place!

    19. Re:why favor large corporations? by Bucky24 · · Score: 1

      I think as long as you can prove it was prior art it shouldn't matter if it's public or private. Then again I don't know for sure.

      --
      All the world's a CPU, and all the men and women merely AI agents
    20. Re:why favor large corporations? by Anonymous Coward · · Score: 2, Interesting

      A few ways this favors large corporations:
      1. The "internal commercial use" allows a company to escape being prosecuted if they documented the invention and use of a patententable item internally but did not disclose it to the public in a patent but kept it as a trade secret. This seems to benefit large companies. I also think It seems to be against the intent of the constitution. Presumably it is to prevent an employee with access to trade secrets from disclosing them to a third party who then patents them and sues the original inventing company for patent infringement.

      2. He seems to say there is a new requirement to do surveilance shortly after the patent is issued to prevent people from utilizing your patent. I assume to prevent submarine patents. A small company may be developing the manufacturing, distribution, and sales parts of the company and may not have the resources to allocate to this. A large company will have a system in place.

      3) The additional fee of $4800.00 to get the patent processed in one year may be more affordable to large companies. This may cause the 34 month backlog to extend beyond the 34 months. A small company could go bankrupt waiting for their patent to be granted. The end result is that all small companies will have to pay the $4800.00 as well. It did not say if the patent office would refund the $4800.00 fee if they failed to process the patent in one year. As I understand it, the patent office typically finds problems and then kicks it back to you for further clarification by a certain deadline. If the one year is then pushed out by how long it takes you to respond, it may not be much of an improvement.

      4) I believe to invent something you must make a prototype which embodies the invention. Individuals and small companies often looked for partners to fund these prototypes during the one year grace period. I believe he said it is unclear whether this would invalidate the patent due to public disclosure. I believe it is necessary to have the interested parties sign non-disclosure agreements to prevent disclosure to the public under the current system, and I don't see how this changes anything.

    21. Re:why favor large corporations? by delt0r · · Score: 1

      In the old system you need to prove that you invented first... in a court of law, with a 1000US per hour legal fees? How did that work out for the little guy?

      It simply does not matter what system you have (first to file is cheaper to prove in court, and what the rest of the world has always used). If the only way to test or show something is with a 3 year court battle, it only supports big corporations.

      No matter who loses, lawyers always win. Note who the biggest defenders of this system are.....

      --
      If information wants to be free, why does my internet connection cost so much?
    22. Re:why favor large corporations? by delt0r · · Score: 1

      Ever tried to do that in the old system? I know several folks who have had this problem with the old system. Sure this may not fix that, but then the old system didn't either.

      --
      If information wants to be free, why does my internet connection cost so much?
    23. Re:why favor large corporations? by delt0r · · Score: 1

      How is that bad. They did also come up with it, they did also invest in R&D, they also "discovered" the secret sauce. Why should they be denied the use of it because someone else did all that and just added a lawyer?

      --
      If information wants to be free, why does my internet connection cost so much?
    24. Re:why favor large corporations? by Desler · · Score: 1

      Which is no different than how prior art works now so what's your point?

    25. Re:why favor large corporations? by Desler · · Score: 1

      And if you don't believe me, just read the words of the USPTO for it's rules of prior art (yes these are the rules of the first to invent system):

      For the purposes of Article 33(2) and (3), everything made available to the public anywhere in the world by means of written disclosure (including drawings and other illustrations) shall be considered prior art provided that such making available occurred prior to the relevant date.

      So again, what is your point since the rules on what constitutes prior art is exactly the same.

    26. Re:why favor large corporations? by nahdude812 · · Score: 1

      Because they have the resources to cast the widest possible net without regard to working out specifics or surmounting challenges present in the invention. Basically they are "inventing" in the sense that they think of an idea, and document it entirely internally (read: completely forgeably), then let the market prove the invention worthwhile. They can then pursue only those inventions the market has demonstrated a demand for.

      In effect they can let third parties take all the risk while they reap the reward. Small inventors don't have the resources to do something similar, so any time they patent something, as soon as they start seeking royalties they potentially risk having invested years of research and work creating something incredible only to have a big corporation show up claiming "Oh, we've been doing that all along, it's just that nobody but these two guys in our extremely highly paid R&D team knew about it," and start selling licenses of their own. Their investment is much lower, and their risk is practically none.

      I could understand if this exception permitted continued use in the same manner as the company has already been using it. That is, if any scale, so you get the ability to sell it the same as the patent owner does," is just a smack in the face to anyone without enormous R&D budgets.

      Since the patent system is intended to reward people for taking the risk of inventing, a clause such as this which shifts the burden of risk from the big kids to the little kids is directly opposed to the design of the patent system in the first place. It's turned into a cash-back guarantee for big companies, and this legislation furthers that trend.

    27. Re:why favor large corporations? by Anonymous Coward · · Score: 0

      And how can't they do all that under the current system?

    28. Re:why favor large corporations? by Oxford_Comma_Lover · · Score: 1

      $1000/hour is a lot for this kind of thing, unless you're bigpharm. It's worth noting that patent litigation--being in court--unlike patent "prosecution" (getting a patent)--can be done by any lawyer. You wouldn't want any lawyer, but it means the market is much bigger, so the prices don't have to be out of the budget of a corporation with limited capitalization.

      --
      -- IANAL, this isn't legal advice, and definitely isn't legal advice for you. Also, Squee!
    29. Re:why favor large corporations? by Oxford_Comma_Lover · · Score: 1

      If they can keep as a trade secret forever under the new one, expect some SCOTUS litigation over constitutionality.

      --
      -- IANAL, this isn't legal advice, and definitely isn't legal advice for you. Also, Squee!
    30. Re:why favor large corporations? by QuantumRiff · · Score: 1

      WARF, which holds ALL of the University of Wisconsin patents had a guy in the local paper talk about this very thing..
      If you publish it, you can claim prior art.. IN THE UNITED STATES. and that is a huge problem for lots of companies, that they don't even yet realize.. I can come up with something, Publish, and be somewhat protected.. Until people in other countries run out and patent my idea..

      --

      What are we going to do tonight Brain?
    31. Re:why favor large corporations? by Desler · · Score: 1

      Nope prior art requires public disclosure of the invention. Which is the way the rules have always been so his whining makes no sense.

    32. Re:why favor large corporations? by Jonner · · Score: 1

      He also said that the act clearly favors larger corporations

      Why? He never explained why. I realize they are the boogy-man now, so any time you want to imply something is bad, you imply its good for the big corporations, but the logic seems to be missing. I guess the argument is something like submarine patents will be harder to implement, but ...

      It's pretty obvious to me that the change to "file first" and "first to file" benefits entities with greater resources. Big corporations have people whose full time job it is to file for new patents. Small companies can't afford that.

    33. Re:why favor large corporations? by F.Ultra · · Score: 1

      But if the big company already had made some significant R&D on the subject then they could claim first-to-invent on the old/current system so I don't really see how this is made more bad by changing to first-to-file.

    34. Re:why favor large corporations? by Savantissimo · · Score: 1

      No, see the "so long as it is continuously performed" and "commercial use" requirements. If they put the idea on the shelf for any length of time then they lose their defense to infringement suits. Just coming up with the idea or even constructing a prototype is not enough, they have to actually use the results commercially. They have to have proof of not only the timing of the invention but also its continuous commercial practice.

      --
      "Is life so dear, or peace so sweet, as to be purchased at the price of chains and slavery?" - Patrick Henry
    35. Re:why favor large corporations? by Savantissimo · · Score: 1

      Oh, and the big company cannot transfer that right to practice to others, either. It has to make the patented item itself and cannot use outside contractors or suppliers to do so, since that is not internal use. Courts will likely interpret it that way since to do otherwise would effectively allow licensing to others by the non-patent holder, thus invalidating a valid patent.

      --
      "Is life so dear, or peace so sweet, as to be purchased at the price of chains and slavery?" - Patrick Henry
    36. Re:why favor large corporations? by nahdude812 · · Score: 1

      Maybe you missed this part:

      ...or the transfer or sale of the end result, is immune from patent infringement

      Sure, they don't own a patent that they can sell, and they can't sue others for breaching the patent (so it's not an item in their patent warchest), but they can compete directly with the actual inventor without needing to pay royalties, including selling a competing product on the market.

      There's a loophole here big enough to drive a truck through. Even though they can't license this invention directly, they can still accomplish the same thing in effect. The third party is their "distributor" and pays them a "commercial" rate equivalent to whatever the original patent licensing fee would have been. This company just has to be responsible for the manufacturing (heavily and directly subsidized, perhaps even overseen by the third party).

    37. Re:why favor large corporations? by Anonymous Coward · · Score: 0

      Ooh, I love Slashdot patent discussions!

      In short, you're wrong about prior art:

      European Patent Convention Art. 54:
      1)An invention shall be considered to be new if it does not form part of the state of the art.
      (2)The state of the art shall be held to comprise everything made available to the public by means of a written or oral description, by use, or in any other way, before the date of filing of the European patent application.

      Patent Cooperation Treaty Rule 64.1 Prior Art
      (a) For the purposes of Article 33(2) and (3), everything made available to the public anywhere in the world by means of written disclosure (including drawings and other illustrations) shall be considered prior art provided that such making available occurred prior to the relevant date.

    38. Re:why favor large corporations? by Anonymous Coward · · Score: 0

      When the Free Trade treaties made it possible to avoid manufacturing process patents by swiching manufacturing to other countries and importing the end product, it nullified much of the benefits of patent protection for manufacturing processes. The only benefit that was maintained was that the patent holder could continue to use it themselves. The patent holder could no longer prevent others from using it for 20 years. The side effect was that fewer independent inventors could profit from manufacturing process inventions and more companies kept manufacturing processes as trade secrets. I suspect employees not keeping the trade secrets is damaging the ability of the inventing companies to compete. However, I find it disturbing that the government would trust the companies to not fabricate the documentation after the fact when they clearly have a financial incentive to do so.

    39. Re:why favor large corporations? by Savantissimo · · Score: 1

      They can only sell or transfer the end result. They cannot grant the right to produce the item to others. That means they must produce it themselves, no contracting out the work on the patented portion. That makes it usually unattractive for big companies.

      Most will prefer to either file for a patent or block patents by making a public disclosure. (Some practical details will still be closely held, which still gives a competitive edge.)

      --
      "Is life so dear, or peace so sweet, as to be purchased at the price of chains and slavery?" - Patrick Henry
    40. Re:why favor large corporations? by nahdude812 · · Score: 1

      The loophole I mentioned is that although they must "produce" it themselves, it's not difficult to create a financially independent subsidiary which is effectively managed by some third party, in space rented from that third party and on equipment owned by that third party for a negligible amount, which then sells exclusively to that third party for prices reflecting what would have been the original licensing fees.

      Let's say New Patent Troll Incorporated (NPT, Inc.) "invented" a widget (in the past tense, along with some entirely-internal paperwork supporting this), which Some Startup Company (SSC) has a patent on and recently demonstrated a market for. Bob's Widget Supply (BWS) contacts SSC and asks what it costs to license the patent so they can produce it too. SSC isn't really interested in price competition since they have been working without income for the last few years, and have a lot of debt to make up, so they demand $0.50 per unit in royalties (SSC selling the widget at $1.00 wholesale).

      BWS doesn't like this price, they realize that they can't compete against SSC like that (whose net is around $0.30 per unit). So BWS contacts NPT Inc. NPT, Inc., after a few days of "exhaustive" searching is able to produce some documentation showing that they have been using some prototypes of the exact same invention. NPT, Inc. offers to sell this product to BWS for $0.10 each, but as part of the agreement, BWS must provide manufacturing space and equipment to NPT to "bolster" NPT's current supply line, and must cover the increased costs of payroll and materials acquisition for NPT.

      Basically NPT becomes a proxy for BWS to manufacture this item, and they pay a greatly reduced "markup" on the final product, but BWS is responsible for all of the details. On paper, NPT is manufacturing this product and selling it on the market exclusively to BWS at a rate which allows BWS to directly compete against the patent holder, because the law says NPT is allowed to do this even though they don't hold a patent for the product and SSC does.

      The physical widget example is a little strained, but NPT can charge any amount less than SSC's license requirements, and it's a better deal for BWS. But in the technology world, when it comes to things like software patents, there isn't actually manufacturing involved. So there's no shady setups to create where BWS has to provide manufacturing capacity to NPT, NPT's actual costs for "producing" more units of a particular software product are trivial, and that's the arena where this really creates a truck sized hole in the patent process.

      Maybe SSC could sue NPT. If NPT is a shell corporation created by BWS explicitly for this purpose, they draw things out to ramp up legal costs for SSC, then bankrupt NPT. SSC, being a startup (and therefore the "little guy"), will have had to have exhausted a lot of resources to shut NPT down, and in the mean time, BWS has spent a few years with free reign on the market, and with no permanent consequences in the end. But more likely SSC realizes it's a legal quagmire and sends a few threatening letters for good measure, but never really pursues it since they see they would bankrupt themselves and accomplish nothing.

  8. Fast Lane for Big Companies by Anonymous Coward · · Score: 0

    From TFA:
    "The Act does contain mechanisms that are supposed to accelerate patent application examination and grant. For example, under the Act, an applicant can obtain Prioritized Examination (already available as a limited pilot program) in which grant could occur within a year or so after filing. The initial cost of requesting Prioritized Examination is $4,800 in addition to the regular filing fees for a small or large entity – to date the Office indicates that a small entity discount is not available for this procedure. I believe large corporations are more likely to regularly use this procedure than small entities or start-ups."

    Gee, that sounds fair.

  9. False patent labeling by vlm · · Score: 1

    Does anyone have a cost benefit analysis of false patent marking before and after the new act?

    Looks like before the act takes effect, false patent marking is pretty business-suicidal, and after the act it seems like little more than an annoyance.

    Can we expect that in the future most patent claims will be false, since it will be cheaper to lie than to actually do the paperwork? In other words it'll make more sense economically to stamp "patent pending" on everything and only actually patent one in ten things just to keep copiers "honest"?

    I do see the standard american business model trend of find something historically trustworthy (like writing the patent numbers and/or patent pending on a product) then breaking that trust for profit, until the market falls apart and disintegrates... I can clearly see the first step, second is looking kind of fuzzy. How are the megacorps planning to make money off this particular form of dishonesty? If its not to make money for the megacorps, why promote this kind of dishonesty (or rephrased, who's paying for it?)

    --
    "Science flies us to the moon. Religion flies us into buildings." - Victor Stenger
  10. First to file.... by Anonymous Coward · · Score: 0

    I think I'll go out a patent the wheel now. After all, no one else has filed yet.

    Sit back, and watch the royalities 'roll' in.

    1. Re:First to file.... by Desler · · Score: 1

      Except for all the prior art to invalidate your patent? Oh right you don't even understand what you're talking about.

  11. False advertising by roman_mir · · Score: 2

    There is no honesty in politics, but can't they be stopped from false advertising? When they name something "Jobs Act" it doesn't mean there will be jobs, but if you are against the act on actual details of the bill, then you'll be labeled as if you are "against jobs".

    Same with the Patriot Act - do you think it's easy to be in opposition to a bill named "Patriot Act"? What are you, a terrorist?

    "America Invents Act" will only succeed in innovative litigation procedures.

    There are 152 PAGES in that bill. (PDF warning)

    How about doing something useful to get America 'inventing' again?

    How about abolishing the patent system? How about reducing regulations and all other government nonsense and stop standing in the way of inventions and innovations and stop allowing the huge companies from crashing competition with their patents?

    Of-course you don't have to stop, but all the inventions and innovations will take place somewhere else, not in America.

    The correct way to read names of government bills is to reverse the literal meaning of the names.

    This bill can be named: "America Inventing Prevention Act" or "Inventing Anywhere But America Act".

    It would be easy to vote against those names.

    Get them to give bills numbers and not names and then everybody would have to know the details of what's inside. Stop the false advertising, companies get sued for it, why not governments?

    1. Re:False advertising by fnj · · Score: 1

      I think you know the answer to your question "(how about abolishing the patent system?"). There's no MONEY in abolishing it. The thugs in charge on both sides of the aisle continue to contitute a sinister corruptocracy in collusion with megacorporations, in a death struggle against the interests of the people.

    2. Re:False advertising by geekoid · · Score: 0

      abolishing the patent system would be horrid. Why don't you try being an inventor for a few years, then get back to me.

      Another short sighted myopic idiot for Ron Paul.. wow, what a surprise.

      --
      The Kruger Dunning explains most post on /. http://en.wikipedia.org/wiki/Dunning%E2%80%93Kruger_effect
    3. Re:False advertising by bill_mcgonigle · · Score: 1

      abolishing the patent system would be horrid. Why don't you try being an inventor for a few years, then get back to me.

      BTDT. I've had to scuttle two startups due to the impossibility of navigating the patent minefield without significant investor backing. Did you know every form of onscreen keyboard that's practical to implement is patented? The other product involved a VoIP system, a field which is also entirely patented, sometimes with multiple patents covering the same basic 'invention'. Without the current US patent system, there would be two companies in operating selling useful products - that aren't now because of it (and my desire for a garage-style startup, not a VC burn-fest).

      Even if my products were entirely novel and I filed for patents on them, they would have issued after the products had become obsolete already and a new generation had been developed.

      As an inventor, can say with first hand experience that abolishing the patent system would be good for inventors. Full disclosure: you'll find my name out there in the patent system (with corporate assignment), but the patent system never encouraged or helped anything I've invented.

      --
      My God, it's Full of Source!
      OUTSIDE_IP=$(dig +short my.ip @outsideip.net)
    4. Re:False advertising by roman_mir · · Score: 1

      Except for your obvious lack of wisdom and good judgment, what I also see is lack of historic perspective. The patent system has only been in place for a few hundred years, but the real litigation didn't start until last century from about 19 hundreds to today. However the innovation has always been here and it will be here after the patent system is gone, just like the civilization has been here before this insane intruding government and it will be here long after that is gone too.

    5. Re:False advertising by GameboyRMH · · Score: 1

      I'd have a product on the market if not for a bunch of sci-fi patents on a device that only became remotely possible due to advancements in battery tech in the late 2000s. As recently as the '90s the idea would have been laughable, and there are patents on all the concepts involved going back to the '70s. I really just wanted to build one for my own personal use and sell a few hand-built units to cover the development costs (and maybe go further if there's enough demand), but I'd risk getting my ass sued off.

      Not that I'd want to abolish the patent system entirely, but certainly make it much lighter and more stringent than the current abomination.

      --
      "When information is power, privacy is freedom" - Jah-Wren Ryel
  12. Opened the door for electronic lab books by Anonymous Coward · · Score: 0

    My particular (large) corporation will be thankful for this change.
    As a scientist I have had to record all my findings and notes on a dead-tree lab-book, just in case the attorneys from the US with their first-to-invent system came knocking.

    Now I don't, we can record stuff much more efficiently in an electronic format.

  13. SNYF: situation normal; you're fucked by fnj · · Score: 2

    Microsoft and IBM (among others) supported the act, Google and Apple opposed it.

    I think that says all we need to know about the act. It's a big zero. The old situation was no good and this new act is no good either. Big whoop. The corruptocracy of government in collusion with megacorporations continues ... accelerates, actually. Regardless of which band of thugs is in charge in Washington, or even if neither band has clear control. You know why? It's a big charade. They are all the same band of thugs.

    1. Re:SNYF: situation normal; you're fucked by alienzed · · Score: 1

      well you're right. I mean, one party loses, but still has 50% control... and we wonder why nothing ever gets done. It's time to make government more local and less global. Let the people decide how they want to exist. And seriously, other than for profit, all this patent nonsense is holding the human race back. Innovation will most certainly continue even if patents cease to exist. It's called academia!

      --
      Never say never. Ah!! I did it again!
    2. Re:SNYF: situation normal; you're fucked by thoromyr · · Score: 1

      well, I don't have a citation to hand, but Microsoft filed for patents on the iPod. Under the old system Apple was able to obtain the patents anyway by immediately counterfiling as the actual inventor. Just on principle it would appear that a "first to file wins" system would favor any troll that analyzed your product and managed to come up with someone patentable about it before you did.

      In light of Microsoft's attempt to own patents on an Apple product I don't find their relative positions on this to be surprising at all. Apple preferred the actual inventor being given priority over the first to figure out a detail to file a patent on. Microsoft prefers to file patents on anything they can come up with -- whether it is based on their own invention or someone else's matters not.

      This also illustrates nicely why Apple maintains so much secrecy about their up-coming products: they don't want to give anyone else hints as to what to think about to patent. If the product is already in the market place before anyone else can analyze it for potential patent filing it strengthens their position when they fight to claim ownership.

      For anyone who thinks the current trend to scattershot patent filings on things not even remotely novel is bad this is a definite change in the status quo as it actively encourages filing more and more patents on anything and everything about *potential* products just to have a chance of strong arming your way through the inevitable patent infringement filings.

      thoromyr

    3. Re:SNYF: situation normal; you're fucked by Anonymous Coward · · Score: 0

      Just on principle it would appear that a "first to file wins" system would favor any troll that analyzed your product and managed to come up with someone patentable about it before you did.

      If the product was already being sold then that is prior art, fail.

      In light of Microsoft's attempt to own patents on an Apple product I don't find their relative positions on this to be surprising at all. Apple preferred the actual inventor being given priority over the first to figure out a detail to file a patent on. Microsoft prefers to file patents on anything they can come up with -- whether it is based on their own invention or someone else's matters not.

      If you sell a product using the invention and don't bother to patent it yourself then you can block your competitor by demonstrating your own product as prior art.

      This also illustrates nicely why Apple maintains so much secrecy about their up-coming products: they don't want to give anyone else hints as to what to think about to patent. If the product is already in the market place before anyone else can analyze it for potential patent filing it strengthens their position when they fight to claim ownership.

      You give them too much credit. It's done for marketing reasons, not patent ones. They want to make a big splash in the market, if the development was open: a) a competitor with a bigger R&D department and lower standards may scoop them and get to market first, the first entry is difficult to displace, especially when your product isn't that much better and is more expensive [see macs vs pc]; b) they would be embarrassed if they showed off a concept which didn't pan out and was cancelled. The cult of mac exists around Apple because of this "everything is secret" crap, it's like a trendy exclusive club, everyone wants to be on the guest list and focuses a lot of attention reading about what hip things are supposedly happening inside (written by other hipsters who also don't have access either).

      For anyone who thinks the current trend to scattershot patent filings on things not even remotely novel is bad this is a definite change in the status quo as it actively encourages filing more and more patents on anything and everything about *potential* products just to have a chance of strong arming your way through the inevitable patent infringement filings.

      You either patent or publish. If you patent, do it at least before your product launches (or sooner), don't wait until several years later. If you aren't going to patent then publish what you did publicly so the patent office can access it as prior art and reject future filings.

  14. Haha, Americans are screwed by Anonymous Coward · · Score: 0

    The Comment Subject is my comment.

  15. Abd uit doesn't fix the worse problem by geekoid · · Score: 1

    That congress can take money from it for other things.

    THAT'S the root of most problems. If congress would top doing that, they could hire more people for patent review.

    --
    The Kruger Dunning explains most post on /. http://en.wikipedia.org/wiki/Dunning%E2%80%93Kruger_effect
  16. Remember that this attorney is pro-patents by iMadeGhostzilla · · Score: 2

    He's saying that patents will be harder to file for smaller corporations, and that a large corporation is more likely to be immune from patent infringement if they internally developed something but did not disclose it before the small corporation filed, and so on.

    As far as I am concerned, the fewer patent "traffic" there is and the smaller chance of successful patent lawsuits, the better -- but not for him, since he gets paid more when there is more such traffic.

    If anything, I tend to think that a really bad situation got just a little better. And it's still quite bad.

    1. Re:Remember that this attorney is pro-patents by F.Ultra · · Score: 1

      But if they internally developed something but didn't disclose it before the small corporation filed, wouldn't the big company get the patent in the old system anyways since they where first-to-invent?

  17. First to invent by X10 · · Score: 1

    It should be "first to invent", not first to file. This way, a company with a lot of money can look at your work, then patent it, effectively stealing it from you. If you don't have tons of money to patent every statement you write.

    Better still, it should be "no patents".

    --
    no, I don't have a sig
  18. You mean Obama? by slapout · · Score: 1

    "Obama administration signed the America Invents Act"

    How does an administration sign something?

    --
    Coder's Stone: The programming language quick ref for iPad
  19. in short by nimbius · · Score: 1

    we screwed you all through a complex and highly guarded system of think tanks, policy centers, and lobbyists. to those of you who blame us, know that you are powerless and mute in our presence as have you always been. to those of you who blame the black person running the country, your obedience is duly noted. your television is working properly and serving its intended purpose.

    regards, The Capitalist Class(c)

    P.S. Consume.

    --
    Good people go to bed earlier.
  20. A key benefits of first to file by gstrickler · · Score: 2

    From TFA: However, in the majority of cases (e.g., if there is no derivation issue), the America Invents Act implements a "first to file" rule, and I would strongly advise clients to regard the Act in that manner, and to promptly perform a prior art search and, if the invention appears to be patentable, file a patent application before taking any other action, particularly before using, disclosing, selling or offering the invention for sale. Thus, the rule should be "file first" as well as "first to file."

    Thus it encourages early filing and disclosure, which helps prevent people keeping ideas secret. Disseminating info to encourage progress is the primary reason for having patents, so changes that encourage disclosure earlier are good. This also helps simplify prior art claims in patent approval because unpublished prior art does not prevent the patent.

    The extension of the Prior Use defense is also a net benefit. While it does allow companies to keep information private (partially offsetting the advantages above), as soon as someone else files a patent application for the same idea, the company who kept it private loses the ability to patent it, thus giving them an incentive to apply for a patent rather than keep it secret. It does allow the company to continue to use their method without infringing on the patent since they were using it prior to the patent filing. You no longer have to worry about someone patenting what you're already doing and making you license it from them.

    There are other aspect of the overall act that are only beneficial to specific industries, and some that could be a disadvantage to individual inventors or smaller companies, so it not all good news, but first to file is a good change.

    --
    make imaginary.friends COUNT=100 VISIBLE=false
  21. For a better understanding of the new law... by Anonymous Coward · · Score: 0

    The mainstream patent lawyer's observations miss the forest for the trees, to some extent, and take for granted much of the propaganda surrounding the entire patent system. I will be conducing a webinar this Friday night to discuss policy aspects of the new patent law, as described at http://mises.org/daily/5663/Obamas-Patent-Reform-Improvement-or-Continuing-Calamity

  22. "...which was one of its intended benefits." by tlambert · · Score: 1

    "...which was one of its intended benefits as claimed by proponents of the legislation."

    There, fixed that for you...

    -- Terry

  23. First to File... it works in the rest of the world by Anonymous Coward · · Score: 0

    While there is more to this act than simply bringing the USA in line with the rest of the world in regard to first to file practice, the Canadian experience following a transition in 1989 has been summed up as not fundamentally altering Canadian patent practice. http://www.torys.com/Publications/Documents/Publication%20PDFs/ARTech-19T.pdf

    While it will take a while for the US to adjust, the first inventor to file was always considered to have been the first to invent anyway... the later filer would have to prove that they had invented first... no minor obstacle. Like I say, there is more to the act than just "First to File", but that is what seems to attract all the attention. The rest of the world wonders why.

  24. Patents = Statists by raymorphic · · Score: 1

    Why don't we just get rid of patents altogether?

  25. grace period by Anonymous Coward · · Score: 0

    Elimination of the one-year "grace period" has always been one of my main points of contention with the new patent reform legislation. I hope that, as time passes and courts start to review these issues, they will equate disclosure and sale, at least under some circumstances. A grace period is vital to an inventor's evaluation of his or her product's potential performance in the marketplace.