Sorting out patent reform proposals in the 113th Congress

Shutterstock.com

Article Highlights

  • "Patent trolls" filed 62 percent of all patent suits in 2012.

    Tweet This

  • Abusive patent litigation is imposing real costs on the US economy.

    Tweet This

Subscribe to
TechPolicyDaily.com
Daily updates on technology policy issues, from TechPolicyDaily.com, the voice of AEI’s Center for Internet, Communications, and Technology Policy.

First Name:
Last Name:
Email:
Zip Code:

The impact of patent assertion entities (PAEs) on innovation and growth in the US economy is a topic of spirited debate. Far less controversial is their impact on the extent and nature of patent litigation. According to the Congressional Research Service, PAEs, often referred to as “patent trolls,” filed 62 percent of all patent suits in 2012. Despite losing 92 percent of cases that reach merit judgments, PAEs' ability to force settlements from smaller firms cost defendants and licensees $29 billion in 2011. That total marks a 400 percent increase over the $7 billion incurred in 2005. While the precise extent of the problem can be debated,  there is near-universal agreement that abusive patent litigation is imposing real costs on the US economy.

Given the broad agreement on the need to reduce unwarranted patent litigation, Congress is considering several major proposals. This analysis summarizes their main provisions.

Read the full brief.

Also Visit
AEIdeas Blog The American Magazine
About the Author

 

Guro
Ekrann

What's new on AEI

How the Common Core went wrong
image Election countdown: The mood, measurements, and mechanics
image Rubio's defense speech: Fearless, informed, and refreshing
image Sorry Kerry, there is little role for Iran in fighting ISIS
AEI on Facebook
Events Calendar
  • 22
    MON
  • 23
    TUE
  • 24
    WED
  • 25
    THU
  • 26
    FRI
Monday, September 22, 2014 | 2:30 p.m. – 4:00 p.m.
Policy implications of the new US labor market normal

We welcome you to join us as a panel of economists discuss US wage and price prospects in the coming months and the implications for the Federal Reserve’s current unorthodox monetary policy.

Friday, September 26, 2014 | 8:30 a.m. – 9:00 a.m.
#ModiInUS: Can Modi’s visit to the White House put US-India relations back on track?

Tune in for this Google Hangout discussion with three leading experts about the implications of the Obama-Modi summit. Tweet your questions and comments to @AEI with #ModiInUS.

No events scheduled this day.
No events scheduled today.
No events scheduled this day.
No events scheduled this day.
No events scheduled this day.
No events scheduled this day.