What is Patents Amendment Bill?
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The Patents (Third) Amendment Bill, which might be tabled in Parliament during the coming winter session, is a Bill which will pave the way for a new patent law.
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Biotech and high technology, two key Massachusetts industries, are often seen as allies -- innovation-driven businesses that depend on a highly educated workforce. But this week they're on opposite sides of a fight playing out in Washington: How to overhaul the nation's patent system.
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(InfoWorld) - Patent reform legislation before the U.S. Congress would kill the value of patents and allow companies from other countries to steal U.S. intellectual property, a group of inventors said Thursday. About 20 inventors and U.S. company executives, visiting Washington, D.C., encouraged Congress to defeatÂ the Patent Reform Act, a version of which passed the House of Representatives earlier this month. The Senate has not yet voted on its version of the bill. The legislation "will weaken the patent system," said Dean Kamen, inventor of the Segway and the AutoSyringe. "It will devalue patents. It will be a disincentive for people to invest in the future." Several large tech vendors, including Microsoft, IBM, and Cisco, support the legislation, which would allow courts to change they way they assess damages in patent infringement cases. Currently, courts generally consider the value of the entire product when a small piece of the product infringes a patent, and the legislation would allow courts to base damages only on the value of the infringing piece. The legislation would also allow a new way to challenge patents after they've been granted. Supporters say the bill is needed because patent infringement lawsuits have gotten out of hand. It's too easy for patent holders to sue and collect huge damage awards when a small piece of a tech product is found to infringe, supporters argue. Microsoft this month praised the House passage of the legislation, saying lawmakers voted to "support American innovation and to preserve incentives for progress." But Peter Volanakis, president and COO of Corning, said the legislation would be an invitation for its competitors in Asia to repeatedly challenge his company's patents. "This encourages infringement, plain and simple," he said. "It is much easier to infringe patents with this legislation." The patent reform legislation would also "undermine" Corning's ability to invest in new products, Volanakis added. Steve Perlman, inventor of WebTV and lead developer of Apple's QuickTime, said he was surprised to learn of the legislation when he read of the House passage of the bill. As he's begun to contact lawmakers about his opposition to the legislation, their staffers are "stunned" to hear of tech startups that are opposed to the bill, Perlman said. Small inventors and startups were mostly ignored during hearings on the bill, Perlman added. One of the goals of the bill is to harmonize U.S. patent laws with the rest of the world. But the U.S. now has the best environment for startups and entrepreneurs, Perlman said. "I don't want to have the startup economy they have," he said. "I want the one we have." Perlman, founder and CEO of Rearden, and Kamen, founder of DEKA Research & Development, both said changes to the U.S. patent system are needed. But the legislation largely doesn't address the real needs -- more patent examiners and more money for the U.S. Patent and Trademark Office, they said. Perlman has a patent he applied for five years ago still awaiting examination, he said. "Let's first make the system we've got today work the way it's supposed to work," Perlman said. Congress should also wait to see the effects of a May 2006 Supreme Court ruling, in which justices overturned the long-held practice of issuing injunctions against infringing products in nearly all patent cases, Perlman said. That ruling should have a large effect on so-called patent trolls, he said. "There already has been a huge change" in U.S. patent law because of the Supreme Court ruling, he said.
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Experts tell lawmakers the broken patent system chills innovation and feeds lawyers and trolls. Will something finally be done? Luke O'Brien reports from Washington.
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New legislation would make it harder to obtain a new patent, easier to challenge patents, and less expensive to violate a patent.
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If reform is the right word Today, some of the biggest names in high-tech have their eyes on the nation's capital, where lawmakers are babbling about an overhaul of the U.S. patent system.â¦
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WASHINGTON - Technology and financial services firms won a key patent reform victory yesterday when the House approved legislation, 220 to 175, that the industries have pushed for years.
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Lawmakers returning from their summer break are expected to consider patent law changes that have pitted two of America's most invention-dependent industries against each other.
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Legislation designed to overhaul the U.S. patent system was approved by the House Committee on the Judiciary.
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As debate on patent reform began this morning on the floor of the US House of Representatives, twelve amendments made their way through the Rules Committee, all of which appear to be designed to tweak the bill's language rather than insert any "poison pills" that would ensure its failure.
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Everybody complains about medical malpractice problems in this country but Florida finally decided to do something about it. In a unique vote, Floridians passed an amendment to the state constitution that
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The Rules Committee of the US House of Representatives is scheduled to meet on Thursday to discuss how the latest sweeping patent reform legislation, H.R. 1908, is to be introduced to the floor of Congress. Pending the registration of proposed amendments, it could be introduced as soon as Friday.
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By Alfonse D'Amato  The Fair Media Council posted a Media Bill of Rights on its blog recently, and it requires reprinting in good old-fashioned ink. In the interest of complete accuracy, it's really not about the media's rights, which are pretty much covered under the First Amendement.
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Executives and lobbyists from some  of America's richest and most influential companies are walking  the halls of Congress, buttonholing senators to argue for  strong patents to preserve U.S. innovation.
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(InfoWorld) - Patent overhaul legislation thatÂ passed the U.S. House of Representatives FridayÂ still faces significant opposition as it heads to the Senate, opponents said. The House bill, supported by several large tech vendors, would tighten the way courts assess patent infringement damages and add a new way to challenge patents after they've been granted. Currently, courts generally consider the value of the entire product when a small piece of the product infringes a patent; the bill would allow courts to base damages only on the value of the infringing piece. DespiteÂ support from such tech vendors as Microsoft, IBM, and Symantec, the bill faces significant opposition from small inventors, many pharmaceutical companies, several small tech vendors, and labor unions. The tech supporters of patent reform have called for the changes for five years. "I would not throw a party just yet," said Bobbie Wilson, director in the litigation department at the Howard Rice Nemerovski Canady Falk & Rabkin PC law firm, based in San Francisco. "Congress has tried to address patent reform before, starting off with a bang and ending with a whimper." Wilson, who supports parts of the bill and questions other parts, said she's a "bit pessimistic" that patent reform legislation will pass before the November 2008 elections. "Remember that there is a whole cottage industry, from the so-called trolls to the patent litigators, who are heavily invested in the status quo," she added. "They will be lobbying hard and spending substantial sums of money to water down or dilute any reform." Opponents will focus hard on the debate in the Senate, added Ronald Riley, president of the Professional Inventors Alliance, a trade group that opposes the House bill. The 45-vote margin in the House is not enough for the Senate "to see it as a mandate," Riley said. Riley's group was among those recruiting labor unions to oppose the bill. In July and August, three labor unions, including the giant AFL-CIO, came out against the House bill. Groups opposed to the bill are going to target lawmakers who support the legislation during the 2008 elections, "regardless of what might happen in the end," Riley said. "We don't care if they get mad," he said. "They can't do anything worse to us than they're doing now. There has to be a price for being bought." Riley and other opponents of the bill argue that it would allow large companies to steal patented inventions from small companies without fear of repercussions. When large tech vendors steal intellectual property and "ship it off to India, everybody loses," Riley said. "This is about jobs." Supporters of the bill argue it's needed because the number of patent infringement lawsuits and size of awards have exploded in recent years. It's too easy for patent holders to sue and collect huge damage awards when a small piece of a tech product is found to infringe, supporters argue. The House passage of the bill was "a major victory for U.S. innovation and competitiveness," John W. Thompson, chairman and CEO of Symantec, said in a statement. "This landmark legislation is the first comprehensive modernization and revision of the patent law in 55 years." But Wilson said the House bill largely ignores the biggest problem with the U.S. patent system -- that an underfunded Patent and Trademark Office lacks examiners and often loses experienced employees due to poor salaries. While the bill would make "sweeping changes" in the way patents are prosecuted and whether they are litigated, the bill's post-grant review provision targets the wrong point of the patent-issuing process, she said. "That's kind of like closing the barn after the horse is gone," she said. "Most of the problem is with bad patents." Representative Howard Berman, a California Democrat and main sponsor of the Patent Reform Act, has also introduced a bill to increase funding at the Patent and Trademark Office. He said Friday he will continue to push for the legislation to be passed.
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Some tech groups are beginning to worry that major IT industry priorities, including patent reform, may lose out to other priorities in the U.S. Congress this year.In the last couple of weeks, large tech companies have renewed their push for patent reform legislation in the U.S. Congress, despite opposition from U.S. President George Bush&#39;s administration and some labor unions.The Computing Technology Industry Association (CompTIA) is concerned that a congressional debate over an economic stimulus package, plus typical election-year gridlock, could hurt the prospects for patent reform and other tech priorities, said Michael Wendy, a spokesman for the trade group.The House of Representatives&#39; economic stimulus package includes tax write-offs for small business purchase of equipment, which could include computers, Wendy said. That&#39;s a good move, but patent reform, a research and development tax credit, H-1B visa reform, and other issues remain undone, he said.&quot;We hope that Congress -- assuming they pass an [economic stimulus] package -- doesn&#39;t just say, &#39;Well, we gave you some favorable tax provisions that will help boost industry activity and have a long-tail effect on the economy, so that should be enough for you guys this session,&#39;&quot; Wendy said last week. &quot;One thing we&#39;re concerned about is that the economic stimulus bill may be seen by Congress as a &#39;get out of jail free&#39; card when it comes to other of our tech policy agenda.&quot;The House in September passed a patent reform bill -- supported by many large tech vendors, but&#160;opposed by several small tech companies&#160;-- but similar legislation has been stalled in the Senate. Large tech vendors, including Microsoft, IBM, and Symantec, have&#160;called for patent reform, saying it&#39;s too easy for companies with no intention of creating products to buy up patents and file multimillion-dollar infringement lawsuits against other companies.On Jan. 22, Senate Majority Leader Harry Reid, a Nevada Democrat, said patent reform was a priority, but it was in a line behind several other bills, including an economic stimulus package and a government surveillance authorization bill. The Senate would turn to patent reform, &quot;time permitting,&quot; he said then.&quot;On patent reform, we must carefully strike the right balance with a bill that promotes rather than blocks innovation from enterprising entrepreneurs,&quot; Reid added.The Senate Judiciary Committee approved its version of the Patent Reform Act on Jan. 24, and the bill is awaiting action in the full Senate.But earlier this week, the U.S. Department of Commerce sent a letter to the Senate Judiciary Committee raising concerns about the bill. The letter, outlining the Bush administration&#39;s views, focused on a section of the bill that would apportion infringement damages in a new way. Currently, courts generally consider the value of the entire product when a small piece of the product infringes a patent; the bill would allow courts to base damages only on the value of the infringing piece.The wide-ranging bill would also allow a new way to challenge patents after they are issued.That provision would &quot;create more problems than it solves,&quot; said the Commerce Department letter, signed by Nathaniel Wienecke, the agency&#39;s assistant secretary for legislative and intergovernmental affairs. &quot;The administration believes that such a dramatic change from current jurisprudence may have the unintended consequence of reducing the rewards of innovation and encouraging patent infringement,&quot; Wienecke wrote.Both sides can still work out their differences, Wienecke added.In addition, 14 labor unions, including the United Steelworkers, the Patent Office Professional Association and the Communications Workers of America, sent a letter to Senators Wednesday, saying they were concerned about the patent bill. &quot;Key parts of the proposed legislation may have the effect of increasing the likelihood of American inventions being stolen by our international competitors and, consequently, inhibiting sorely needed new investment in domestic manufacturing,&quot; the letter said.Still, some representatives of the tech industry say they&#39;re hopeful that patent reform can move forward.Senators, representatives of the Bush administration and other interested parties have been meeting regularly &quot;to find balanced solutions on all the issues,&quot; said Mark Isakowitz, spokesman for the Coalition for Patent Fairness, a group representing several large tech companies. &quot;We respectfully disagree [with the Bush administration] on damages, but we are confident ... we can work through concerns and achieve broad consensus on the bill, which would be a victory for the administration, the Congress and our economy,&quot; he added.
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(InfoWorld) - Technology industry executives are pushing the U.S. Congress to reform the way patents are issued in order to process them more quickly while also making sure they are legitimate. Patent reform was one of the major issues discussed at the Tech Policy Summit Monday in San Jose, California. Patent reform legislation considered, but not passed, in Congress last year is expected to be reintroduced. Among the key provisions sought is the hiring of more patent review specialists by the U.S. Patent and Trademark Office, which one critic at the conference said has a backlog of as many as 1 million applications. Another provision would make it more difficult for so-called patent "trolls" to acquire a patent, claim another company infringed on it and then force the company to pay a settlement in order to keep its business going. Lastly, reform advocates seek an improvement in the quality of patents, pointing to cases where patents are issued for innovations that are not unique. They also propose a post-patent review process. In a speech Monday night at the summit, Deborah Platt Majoras, chairman of the U.S. Federal Trade Commission, endorsed the idea of post-patent review. "Patents are not a driver of innovation, they are an impediment to innovation," said Mark Lemley, a professor of law at Stanford University Law School, speaking at the summit. "Everyone has an example of silly patents, such as the cat exerciser laser pen," Lemley said, but the problems with the patent law are more serious than that. Often, one company asserts a patent right against another company and forces that company to stop production until the patent issue is resolved. "The patent holdup forces the company to settle for more money than the patent is worth," Lemley said. There are also delays in the process of approving patents. SAP AG, the enterprise software maker, once had to wait 44 months until a patent application was approved, said Tim Crean, chief intellectual property officer and a member of the Coalition for Patent Fairness, an industry group advocating reform. An official of the U.S. Patent and Trademark Office said the agency is planning to hire 1,200 patent specialists in fiscal year 2008. The patent office receives half of its patent applications electronically and wants to increase that number. Last year it approved 350,000 patents. But some at the summit want Congress toÂ move cautiously on patent reform. A group called the Innovation Alliance was recently formed to protect companies that patent technology but don't manufacture it. Taraneh Maghame, vice president and emerging technologies counsel for Tessera Technologies, said attempts to limit the rights of companies to defend patent rights could harm legitimate patent protection efforts of some companies. Tessera develops chip packaging technology and licenses it to chip manufacturers, such as Intel. "Not all of the tech industry is behind patent reform," Maghame said. Close to 300 people, including tech executives, advocacy groups and government officials, were expected to attend the Tech Policy Summit, which continues Tuesday.