IPfever

Atlanta law firm for global business

Tag: patent

  • How Does Patent Work for Small to Mid-size Business?

    How Does Patent Work for Small to Mid-size Business?

    Patent is an intellectual property right, which is not aimed to boost the economy but intended to advance science and technology. So, many business-minded people will struggle with the basic concept of patent and how it should be used for their business.

    On the other hand, patent is recognized as the most reliable and strong intellectual property right in business. You probably heard about its importance even if you really don’t know much.

    The hurdle for small businesses in developing a strong patent portfolio is the expense. Does it have to be prohibitively expensive? Well, it doesn’t have to be. The more you know about the patent, the more likely you will find a solution for your business yourself.

  • Value of a patent: the cost-benefit analysis

    Value of a patent: the cost-benefit analysis

    Will your patent justify your time and money?

    This is where you can benefit from a consultation to a patent attorney who understands your technology and has your best interest in mind.

    The truth is virtually anything can be patented … if you don’t mind what is claimed in the patent.

    In other words, you sufficiently narrow the scope of your claims to meet the requirements of the patent issuance, and the grant of patent is granted. Unfortunately, this is what you likely get from a cheap flat-fee patent prosecution services.

    The quality of patent matters.

    When the scope of patent claims is too narrow, you won’t get much from the patent. Let’s say you “discovered” a new chemical. When this chemical is added to a fuel, the efficiency of any internal combustion engine can be increased by more than 50 percent. Now, you’ve got to patent it.

    You can patent a fuel additive containing the chemical.

    Well, that is too narrow because it would not prevent others from selling fuels (not a fuel additive) containing the chemical. It seems you simply handed over the technology to the energy companies as no one would buy your patented fuel additive.

    Then, should you claim the chemical itself?

    Not really. When the chemical is not artificial, which is the case here because we assumed that it was “discovered” (not synthesized), it is not a patentable subject.

    Let’s talk about the cost.

    The government fees can start from a couple hundreds (as you might get discount for being a small business) to thousands of dollars. In fact, it depends on various factors like the number of claims and the length of the application.

    Now the patent practitioner’s fees

    I don’t recommend a flat fee arrangement unless you know what you’re doing. In other words, you should have sufficient knowledge to meaningfully get involved in the prosecution. Hourly charges vary widely (i.e. from hundreds to more than a thousand), and also the time. Therefore, you should find one you can trust and talk about the cost in advance.

    What good comes with the patent application?

    In the past, the customers were intrigued by the mere fact that it’s “patent pending,” but I don’t think that still works.

    1. You will thwart competitors from copying your invention although they can be quick to design around your invention (like selling fuels instead of additives).
    2. You will also prevent others from patenting the same technology.
    3. As you do a preliminary work (like clearance search), you will better understand the technology and the market.
    4. Don’t forget the value of intellectual property as an asset. When you’re selling your business, a mere know-how isn’t exactly same as the patent, which is a property right.
    5. If others are interested in licensing your tech, you can also expect a royalty.
  • Why you need a patent?

    Why you need a patent?

    Getting a patent is not like having a trademark registered.

    If you started using a name, logo, image, or even a sequence of musical notes as a symbol that stands for your product or service, you already have a trademark. Trademark registration is a way to give an affirmative notice to the public that you are using the mark. The registration offers some perks, which are very helpful for your business, but the intellectual property right is not created by it.

    On the other hand, a patent right is created when the government issue you a patent because your creative work doesn’t itself create a property right. If you invented something, you have a choice. You can disclose the ins and outs of the invention in exchange for an intellectual property right or just keep it under your sleeve.

    You should wisely decide whether you apply for a patent or not.

    A patent application usually discloses something you want to hide from the public as the law requires that (usually after 18 months from the application date) your application be published. In other words, everyone in the world will be able to access the disclosed information in the patent application.

    If you have a technology that is immune to reverse-engineering and you are confident that you can keep the secret, getting a patent is probably more of a public service than a business move. Of course, there are instances that you want to open your technology to make it an industry standard. In this case, you patent the technology so people can learn about it, and you promise that you won’t withhold this patented technology unfairly (like demanding unreasonable license fees to discriminate your competitors).

    On the other hand, if your technology is not immune to reverse-engineering or you know others will soon catch up your progress, you likely need a patent protection. It will deter copycats and protect your business from an instance where someone else is issued a patent for the same technology and sues you. This situation can be also prevented by disclosing your work to the public in advance because the means for disclosure doesn’t have to be a patent application. Though, in this case you’re simply giving up your rights to the invention.