The State Impact of the America Invents Act on Small Entities

Abstract

In 2011, the United States adopted the most thorough change to the patent law in fifty years, purposing to assist enterpreneurs and businesses to perform their products to the market sooner, convert the ideas from America`s universities and research labs into new products, expanding the U.S. economy in the 21st century jobs. The act also intends to increase the efficiency of the U.S. Patent and Trademark Office and lower its service costs. The most substantial changes to the patent law are the move from a first-to-invent regime to a first-inventor-to-file system. Under the Leahy-Smith America Invents Act an individual to create an invention is no longer entitled to the patent unless that individual to be the first either to file a patent application or discloes it. Thus, in the first-inventor-to-file system the first individual to file is entitled to the patent, regardless of whether that individual was the first to invent.

While the act clearly possesses a number of positive aspects, there are several serious concerns as to whether the Leahy-Smith America Invents Act is advantageous for small entities and individual inventors. The main rational for conducting this paper involves evaluating the Leahy-Smith America Invents Act`s potential impact on individual inventors and small companies. This was done by analysis of major amendments of the patent law. The prospective affects of these amendments were studied carefully. To examine both positive and negative aspects of the act this work relies on three empirical studies conducted by experts in the patent industry. While a couple of views support advantageous and disadvantageous features of the Leahy-Smith America Invents Act for small businesses, due to the absence of yet made courts` rulings on the subject matter makes this difficult to claim whether the patent law is in absolute advantage or disadvantage on small entities and individual inventors.