United States Patent and Trademark Office
Fee Modernization act Of 2003
Purpose and Need for Proposed Statutory Changes to 35
U.S.C. 41 – Fees
This legislative proposal revises section 41 of title 35, United States
Code, to establish a new schedule of patent fees and trademark application
fees. The proposal complements the U.S. Patent and Trademark Office’s
(USPTO) revised 21st Century Strategic Plan announced on February
3, 2003 in realigning fees so they better reflect the needs of customers
and better correlate fees with the extra effort required to meet the
demands of certain kinds of patent requests. This proposal would generate
the levels of patent and trademark fee income needed to implement the
goals and objectives of the strategic plan.
The President’s 2004 budget proposes a fee increase to fund the USPTO’s
long-term quality, e-Government, and pendency initiatives. The proposed
fee changes in this legislation reflect more accurately the costs of
the services provided and produce income levels consistent with the 2004
budget proposal, taking into account changing expectations about patent
and trademark application filings. The resulting revenues will ensure
that there is no delay in the implementation of the USPTO’s new initiatives
aimed at improving the quality of granted patents and trademark registrations,
increasing efficiency through e-Government programs, and reducing pendency
in processing applications for patents and for the registration of trademarks.
The proposed changes to section 41 also will initiate a restructuring
of patent fees by, among other things, providing refundable search and
examination fees rather than the composite fee currently charged. This
change will provide patent applicants with a reduced filing fee and give
them an opportunity to evaluate the commercial value of their invention
and recover the cost of patent search and examination when the situation
warrants.
Enactment of this bill at the earliest possible date may provide the
USPTO with additional income and funding to support initiatives in the
President’s fiscal year 2003 budget request.