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<title>Techdirt. Stories filed under &quot;uspto&quot;</title>
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<pubDate>Fri, 3 May 2013 15:03:00 PDT</pubDate>
<title>Angry Patent Lawyer Still Angry, Claims PatentlyO's Dennis Crouch Is Both A 'Dickhead' And Violated CFAA</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/articles/20130503/11582122939/angry-patent-lawyer-still-angry-claims-patentlyos-dennis-crouch-is-both-dickhead-violated-cfaa.shtml</link>
<guid>http://www.techdirt.com/articles/20130503/11582122939/angry-patent-lawyer-still-angry-claims-patentlyos-dennis-crouch-is-both-dickhead-violated-cfaa.shtml</guid>
<description><![CDATA[ Oh boy.  Tim Cushing recently had a post here about a <a href="http://www.techdirt.com/articles/20130426/17431822857/ip-attorney-responds-to-patent-application-rejection-filing-ranting-ad-hom-remarks.shtml">very angry patent lawyer</a>, by the name of Andrew Schroeder.  The story of his unbelievable rant filed with the patent office was originally highlighted <a href="http://www.patentlyo.com/patent/2013/04/dont-write-this-letter-to-the-patent-office.html" target="_blank">over at PatentlyO</a>, by Dennis Crouch, who most folks in the patent business are well aware of because of the blog and his regular commentary on patent-related issues.  After Crouch published the rant, the story caught on in the press and it got a bit of coverage, including on our site as an example of how not to conduct business before the patent office.  Everyone has bad days.  And the best thing to do is to admit that you had a bad day and move on.
<br /><br />
But that's apparently not how Andrew Schroeder rolls.
<br /><br />
Our friends over at Above The Law have <a href="http://abovethelaw.com/2013/05/the-return-of-the-mad-as-hell-patent-attorney-with-pics/" target="_blank">alerted us</a> to the fact that Schroeder is back... and is he ever pissed off about people knowing just how pissed off he is.  In what may be one of the worst-designed blogs ever made (and, warning, it's so badly designed that it doesn't even work at all if you have javascript turned off) Schroeder has announced that first, <a href="http://angelsharkwebsites.com/la-web-designer-blog-multimedia/2013/05/patentlyo-response-to-dennis-crouch-andrew-schroeder/" target="_blank">Dennis Crouch is the "Dickhead of the Year"</a> for 2013 (I'm wondering who the past winners are) and (even better) that he believes <a href="http://angelsharkwebsites.com/la-web-designer-blog-multimedia/2013/05/did-dennis-crouch-commit-a-crime/" target="_blank">Crouch violated the CFAA in finding and publishing his rant</a>.
<br /><br />
Both posts are filled with poorly designed graphics, mostly mocking Crouch, which Schroeder proudly takes credit for late in that first post.  These aren't even "bad in an ironic way" graphics.  They're just bad.  In the way that someone is when they first discover how Photoshop works and suddenly thinks they're a master of design bad.  But the rant is just as wacky.  He never apologizes for the language he uses, beyond noting that it was "less than flattering."  No, his focus is on the claim that his insane rant -- in which he accused a patent examiner of taking drugs, being drunk, not reading the patent application, of having to write with crayons and a variety of other euphemisms to suggest that the examiner has mental problems -- was a "confidential" communication between himself and the examiner, and revealing it involved both (a) illegal hacking into the USPTO site and (b) being a "dickhead" for thinking it might be entertaining to highlight his ranting.
<blockquote><i>
One of the things I find fascinating about this whole ordeal is the fact that many of the articles written since Patentlyo&#8217;s blog post all assume that this was some sort of &#8220;PUBLIC&#8221; rant or tirade.  Everyone assumes that this was some sort of &#8220;Open Letter&#8221; to the USPTO that I wrote to shame this particular Examiner (in fact, this was just between the Examiner, his Senior Examiner and me&#8230;and no one else).  In fact, this was a confidential letter and anyone who tells you anything to the contrary is full of shit, I don&#8217;t give a fuck what they tell you.
</i></blockquote>
Uh, no, it wasn't.
<br /><br />
From there, Schroeder goes into a big rant about how terrible it is to use the USPTO's filing system.  That may be true, but so what?  That has nothing to do with the inappropriate nature of his rant.  Schroeder, however, connects the dots to claim that because the USPTO site is so complicated, he would have thought that it would protect his "confidential" communications better (there's an assumption in there that's not quite true...).  He also includes some totally gratuitous ad hominem attacks on Crouch, because no Schroeder rant is complete without resorting to sophomoric trash talking.
<br /><br />
He further complains that Crouch appears to be "sympathizing with the Examiner!" because no one could possibly sympathize with a patent examiner.  Now, we're generally no big fans of patent examiners around here, because we tend to think they approve all sorts of junk patents, but I think it's rather easy to sympathize with the recipient of Schroeder's rage rant.  Of course, Schroeder hates examiners for the opposite reason we do.  He insists they're not approving nearly enough patents, and that their default is to reject patents.  In fact, he gives an anecdotal "side note" about some mythical patent examiner who has a 100% rejection rate.  That's amusing, since (as we pointed out recently) in 2012, nearly 90% of all patent applications <a href="http://www.techdirt.com/blog/innovation/articles/20130408/08244222623/new-study-uspto-drastically-lowered-its-standards-approving-patents-to-reduce-backlog.shtml">were eventually approved</a>.  And Schroeder thinks examiners are too quick to reject?
<br /><br />
In the second post, Schroeder insists that as far as he can tell it's absolutely impossible that Crouch could have found his rant in the PAIR system, and therefore, he believes that Crouch hacked into the USPTO's computers and violated the CFAA.
<blockquote><i>
I&#8217;m gonna have to crowdsource this one because I&#8217;ve been doing research and can&#8217;t seem to figure out how Dennis Crouch was able to access my account with the USPTO.  It has always been my understanding that patent applications less than 18 months old and their office action responses are to remain confidential.  I&#8217;m starting to think that Patentlyo&#8217;s Dennis Crouch just wants me to believe that it is common knowledge that you can access anyone&#8217;s records there at the USPTO.  However, from my own research I have found no evidence whatsoever that it is possible.  And more importantly, I DON&#8217;T EVEN KNOW IF HIS ACTIONS WERE EVEN LEGAL!
<br /><br />
The more I think about it, the more likely it is that Dennis Crouch may have broken a whole bunch of laws.  When it comes to cyber crimes there are state laws (one for where he lives, possibly where I live, and that of Alexandria, Virginia (USPTO).
<br /><br />
And then of course there are Federal laws as well such as the CFAA (Computer Fraud &#038; Abuse Act) which makes it a felony to hack and steal documents similar to what Dennis mother fucking menace may have done.
</i></blockquote>
That one comes complete with a poorly executed graphic showing Crouch's head mixed in with the text "Computer Hacking is Cool" and pretending that this is a class that Crouch teaches at the University of Missouri Law School.
<br /><br />
Randomly, at the end of the first blog post, Schroeder goes off on how proud he is of the hard work he puts into designing his websites:
<blockquote><i>
You see, for the past several years I have taught myself how to build my own websites, everything&#8230;from A-Z.  I can do HTML, the Videos, the graphics, the images, CSS, and even the SEO.  And I think that I can build one hell of a website.  For the past several years, I have had countless people call me out of the blue and ask me who built my website.  When I reveal to them that it was me, they usually respond with something like, &#8220;No, really, who actually built your website?&#8221;
<br /><br />
I love building websites.  I get absorbed in it, and I can&#8217;t tell you how many times I have looked up at the clock to see &#8220;3:AM&#8221;, and wonder where the past 12 hours went.  Some guys have video games, girls have shoe hunting expeditions, I have the website munchies.  So, if any of you have gotten this far and think you need a website, go ahead and give me a call, and I&#8217;ll hook you up!
</i></blockquote>
The website has to be seen to be believed.  Not only does it not function without javascript, but the layout is ridiculous and confusing, the graphics don't line up, and (as mentioned) the graphic design is awful.  So, not only can you get a patent lawyer who might start cursing you out and rant at you for not approving the patent he wanted you to approve, but he might start advertising his awful web design skills in the middle of it all.  Wow.  Here's a screenshot of one of the blog posts (each has their own "background" image that distracts from, well, everything.
<center>
<a href="http://imgur.com/CVDoRG0"><img src="http://i.imgur.com/CVDoRG0.png" width=560 /></a>
</center>
Schroeder might do well to consider taking a deep breath before writing any more angry rants and maybe, just maybe, taking a class on web an graphic design.<br /><br /><a href="http://www.techdirt.com/articles/20130503/11582122939/angry-patent-lawyer-still-angry-claims-patentlyos-dennis-crouch-is-both-dickhead-violated-cfaa.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20130503/11582122939/angry-patent-lawyer-still-angry-claims-patentlyos-dennis-crouch-is-both-dickhead-violated-cfaa.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20130503/11582122939/angry-patent-lawyer-still-angry-claims-patentlyos-dennis-crouch-is-both-dickhead-violated-cfaa.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>andrew-schroeder,-have-you-met-charles-carreon?</slash:department>
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<pubDate>Wed, 1 May 2013 10:43:00 PDT</pubDate>
<title>IP Attorney Responds To Patent Application Rejection By Filing Ranting, Ad Hom 'Remarks'</title>
<dc:creator>Tim Cushing</dc:creator>
<link>http://www.techdirt.com/articles/20130426/17431822857/ip-attorney-responds-to-patent-application-rejection-filing-ranting-ad-hom-remarks.shtml</link>
<guid>http://www.techdirt.com/articles/20130426/17431822857/ip-attorney-responds-to-patent-application-rejection-filing-ranting-ad-hom-remarks.shtml</guid>
<description><![CDATA[ <p>
There's a lot of anger directed at the US Patent Office, but it mainly originates with people frustrated by the office's "<a href="http://www.techdirt.com/articles/20110118/02101312707/us-patent-office-grants-massively-more-patents-than-ever-before.shtml" target="_blank">rubber stamp</a>" approval process that has littered the road to success with hundreds of trolling speedbumps, each one waving a stack of overly broad patents and demanding that <i>actual</i> innovators hand over enough cash to cover the rent on their empty <a href="http://www.techdirt.com/articles/20100311/0023488515.shtml" target="_blank">East Texas offices</a>.
<br /><br />
Patently O <a href="http://www.patentlyo.com/patent/2013/04/dont-write-this-letter-to-the-patent-office.html" target="_blank">has uncovered some anger directed at the USPTO, this time coming from the opposite direction</a>. After a client's application for a <a href="http://www.google.com/patents/US20120286075" target="_blank">telescoping sprinkler</a> was rejected for not being anything the patent office hadn't seen before, <a href="http://www.socalpatent.com/navigation.html" target="_blank">patent attorney Andrew Schroeder</a> fired off an apoplectic set of "remarks" to the patent examiner. It starts by suggesting the examiner has a drinking problem and then sinks even lower. Way lower.
<blockquote>
<i>REMARKS: Are you drunk? No, seriously&hellip;are you drinking scotch and whiskey with a side of crack cocaine while you "examine" patent applications? (Heavy emphasis on the quotes.) Do you just mail merge rejection letters from your home? Is that what taxpayers are getting in exchange for your services? Have you even read the patent application? I'm curious. Because you either haven't read the patent application or are&hellip; (I don't want to say the "R" word) "Special."</i>
</blockquote>
Andrew Schroeder is too genteel to actually use the word "retarded," but that doesn't stop him from throwing around a bunch of synonymous phrases.
<blockquote>
<i>So, tell me something Corky&hellip;what would it take for a patent application to be approved? Do we have to write patent applications in crayon? Does a patent application have to come with some sort of pop-up book? Do you have to be a family member or some big law firm who incentivizes you with some other special deal? What does it take Corky?</i>
<br /><br />
<i>Perhaps you might want to take your job seriously and actually give a sh.t! What's the point in having to deal with you Special Olympics rejects when we should just go straight to Appeals? While you idiots sit around in bathtubs farting and picking your noses, you should know that there are people out here who actually give a sh.t about their careers, their work, and their dreams.</i>
</blockquote>
The USPTO briefly posted these "remarks" before taking them down (and there's more of this spectacular rant at Patently O). As for the patent in question (posted below), the patent reviewer found the tripod sprinkler wasn't anything special, citing U.S. Patent No. <a href="http://www.google.com/patents/US2694600" target="_blank">2,694,600</a>, Patent No. <a href="http://www.google.com/patents/US4824020?pg=PA1&#038;dq=4824020&#038;hl=en&#038;sa=X&#038;ei=viB7Uc7WFoKNrgGSpIDwCA&#038;ved=0CDkQ6AEwAA" target="_blank">4,824,020</a> and Patent No. <a href="http://www.google.com/patents/US5484154?pg=PA4&#038;dq=5484154&#038;hl=en&#038;sa=X&#038;ei=5iB7Uci7CsG3rQHd2YCQBw&#038;ved=0CDkQ6AEwAA" target="_blank">5,484,154</a>.
<br /><br />
Apparently, attorney Andrew Schroeder sent another set of "remarks" to the examiner who rejected <a href="http://www.google.com/patents/US20120318098" target="_blank"><i>this</i> patent application</a>. Oddly enough, it was the same examiner who rejected the sprinkler: Alexander Valvis. This unlucky lightning rod/government employee lists <i>seven</i> patents in this rejection. These remarks have also been removed by the USPTO, somewhat limiting Schroeder's infamy.
<br /><br />
Clients hiring Schroeder to assist them in filing patent applications may be surprised to learn that "antagonizing the USPTO" is one of the bonus services the attorney provides. It's certainly not included in the <a href="http://www.socalpatent.com/fees.html" target="_blank">long list of services on his fee page</a>. (It does, however, list an intriguing option called "Office Action," which is available in 2 or 3-hour sessions [$500-$750].) Schroeder's offerings cover a <a href="http://www.socalpatent.com/navigation.html" target="_blank">whole range of IP-related services</a>, many of which are thoroughly "explained" by pages that appear to be still under construction. (Click on the "<a href="http://www.socalpatent.com/piracy-intellectual-property.html" target="_blank">IP Piracy</a>" page to watch a not-yet-uploaded video futilely attempt to buffer itself into existence and marvel as the attorney's phone number [the only text on the page] tells you all you need to know about how "IP Law Stops IP Theft.")
<br /><br />
At the end of the day, it appears that patent examiners just can't catch a break, especially if that patent examiner is Alexander Valvis, bane of Andrew Schroeder's existence and destroyer of dreams.
</p><br /><br /><a href="http://www.techdirt.com/articles/20130426/17431822857/ip-attorney-responds-to-patent-application-rejection-filing-ranting-ad-hom-remarks.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20130426/17431822857/ip-attorney-responds-to-patent-application-rejection-filing-ranting-ad-hom-remarks.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20130426/17431822857/ip-attorney-responds-to-patent-application-rejection-filing-ranting-ad-hom-remarks.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>should-try-to-patent-a-scotch-that-isn't-also-a-whiskey</slash:department>
<wfw:commentRss>http://www.techdirt.com/comment_rss.php?sid=20130426/17431822857</wfw:commentRss>
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<pubDate>Wed, 3 Apr 2013 13:11:58 PDT</pubDate>
<title>USPTO Issues Final Rejection Of Apple's Rubberbanding Patent, Which Were Among Those The Jury Said Samsung Infringed</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/articles/20130402/18313822553/uspto-issues-final-rejection-apples-rubberbanding-patent-which-were-among-those-jury-said-samsung-infringed.shtml</link>
<guid>http://www.techdirt.com/articles/20130402/18313822553/uspto-issues-final-rejection-apples-rubberbanding-patent-which-were-among-those-jury-said-samsung-infringed.shtml</guid>
<description><![CDATA[ We've argued repeatedly how silly it is for courts to move forward with cases over patent infringement while the USPTO is reviewing those same patents.  Considering just how often patent re-exams <a href="https://www.techdirt.com/articles/20120816/01045920068/why-do-we-assume-patents-are-valid-when-patent-offices-own-numbers-show-they-get-things-wrong-all-time.shtml">lead to changes</a> in the patents (including rejecting key claims), moving forward before the USPTO has ruled is kind of silly.  It's guaranteed to lead to bad rulings.  The latest is that the USPTO has <a href="http://news.cnet.com/8301-13579_3-57577405-37/uspto-reaffirms-invalidation-of-apple-patent-in-samsung-suit/" target="_blank">issued a "final" rejection of Apple's "rubberbanding" patent</a> (<a href="http://patft.uspto.gov/netacgi/nph-Parser?Sect1=PTO1&#038;Sect2=HITOFF&#038;d=PALL&#038;p=1&#038;u=%2Fnetahtml%2FPTO%2Fsrchnum.htm&#038;r=1&#038;f=G&#038;l=50&#038;s1=7,469,381.PN.&#038;OS=PN/7,469,381&#038;RS=PN/7,469,381" target="_blank">US Patent 7,469,381</a>), which was one of the patents at issue in the Samsung Apple patent fight, and which the jury said Samsung infringed.  In fact, the specific claim (19) that Samsung was said to have infringed was rejected by the USPTO.
<br /><br />
We had noted a <a href="http://www.techdirt.com/articles/20121023/11134820802/oh-sure-now-patent-office-realizes-apples-rubberbanding-patent-is-both-obvious-not-new.shtml">non-final rejection</a> last fall, and now the USPTO has reiterated that with a final rejection.  Of course, even "final rejection" is a bit of a misnomer, since Apple can (and probably will) still appeal to the Patent Trial and Appeal Board (PTAB).  Still, given the significant doubt over the quality of the patent, it seems crazy to assume that it was valid as part of the lawsuit.
<br /><br />
Also, in the meantime, if we're going to grant massively powerful, technology-landscape-changing patents to companies, is it really so much to ask that the USPTO not get it wrong so damn often?  The fact that, on second review, they suddenly realize "oops, that was a mistake!" seems like the kind of thing that we should be worried about, given just how much power there is in a single bad patent.<br /><br /><a href="http://www.techdirt.com/articles/20130402/18313822553/uspto-issues-final-rejection-apples-rubberbanding-patent-which-were-among-those-jury-said-samsung-infringed.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20130402/18313822553/uspto-issues-final-rejection-apples-rubberbanding-patent-which-were-among-those-jury-said-samsung-infringed.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20130402/18313822553/uspto-issues-final-rejection-apples-rubberbanding-patent-which-were-among-those-jury-said-samsung-infringed.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>oops</slash:department>
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<pubDate>Thu, 21 Feb 2013 00:00:00 PST</pubDate>
<title>Undisclosed USPTO Employees Write Report Saying USPTO Does A Great Job Handling Software &#038; Smartphone Patents</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/articles/20130215/02462421991/undisclosed-uspto-employees-write-report-saying-uspto-does-great-job-handling-software-smartphone-patents.shtml</link>
<guid>http://www.techdirt.com/articles/20130215/02462421991/undisclosed-uspto-employees-write-report-saying-uspto-does-great-job-handling-software-smartphone-patents.shtml</guid>
<description><![CDATA[ Two years ago, I actually found it somewhat <i>encouraging</i> that the US Patent and Trademark Office (USPTO) had <a href="http://www.techdirt.com/articles/20100330/0123128779.shtml">hired an economist</a>, since so little of the policy debate over patents deals with the economic issues.  In fact, that first hire, Stuart Graham, had done some pretty good work highlighting some problems with the system.  Since then, however, it wasn't that clear from the outside that his work was doing very much.  So I found it interesting to see, via Wayfinder Digital, that a <a href="http://pubs.aeaweb.org/doi/pdfplus/10.1257/jep.27.1.67" target="_blank">new paper in the Journal of Economic Perspectives</a>, written by Stuart Graham and Saurabh Vishnubhakat, who worked for Graham at the USPTO, argues that the USPTO actually does a <i>perfectly good job</i> in handling software and smartphone patents.
<blockquote><i> Principally, the article
highlights how the US Patent Office acts responsibly when it engages constructively
with principled criticisms and calls for reform, as it has during the passage and now  
implementation of the landmark Leahy&#8211;Smith America Invents Act of 2011.
</i></blockquote>
What was odd, the folks at Wayfinder noted, was that the bio lines for Graham and Vishnubhakat <a href="http://wayfinderinklings.blogspot.com/2013/02/author-obfuscation-in-patentsphere.html" target="_blank">significantly play down their connection to the USPTO</a>:
<blockquote><i>
Stuart J. H. Graham is an Expert Advisor at the US Patent and Trademark Office. He is 
an Assistant Professor, Scheller College of Business, Georgia Institute of Technology, Atlanta, 
Georgia, and is an attorney licensed in the State of New York. Saurabh Vishnubhakat is an 
Expert Advisor at the US Patent and Trademark Office. He is an Adjunct Professor at the 
Northern Virginia Community College, Alexandria, Virginia, and is an attorney licensed in 
the state of Illinois.
</i></blockquote>
Notice that they are named as "advisors" to the USPTO, but their full-time roles are not mentioned.  In response to the Wayfinder piece, the Journal explained that the roles had changed "at the last minute."  That is, right before publication, they apparently went from being full-time employees to mere advisors:
<blockquote><i>
Ms. Ann Norman Assistant Editor, JEP relayed the following, "Stuart Graham was Chief Economist at USPTO and now is an Expert Advisor. That status changed only at the last minute, apparently, at the last stages of preparing to send this paper for printing&#8230; 
<br /><br />
"So the authors did disclose their potential conflicts of interest to us, and it was/is an editorial decision as to whether these conflicts were significant enough to post online. We can, in-fact still post the full disclosure statements with the paper, though of course it is too late to mention in the paper itself that the online disclosure statement exists."
</i></blockquote>
From the sound of that, it certainly appears that the paper itself was written while they were still employed by the USPTO. Given that, it seems <i>highly</i> appropriate for the paper to make their former full-time employment clear.  While it's good that Graham and Vishnubhakat disclosed the proper info, it's unfortunate that the Journal of Economic Perspectives more or less tried to bury this important piece of information.
<br /><br />
As for the report itself, it seems rather meaningless: they point out that it appears that patent examiners covering "software patents" (and they work up a definition) more or less treat them similarly to other patents.  And the USPTO's "internal" quality review suggests they mostly get it right.  Also, they point to courts generally ruling disputed patents valid as if somehow everything is working just right.  Those don't exactly seem like the right metrics for determining if a patent really is good or bad, or if it's causing various innovation-killing issues such as in the smartphone wars and in the wider software ecosystem.
<br /><br />
In the meantime, if you talk to anyone actually working in these spaces, all you hear are horror story after horror story about how patent trolls with completely bogus patents are effectively killing off businesses every day.  So, while it's great that the USPTO wants to pat its own back, picking self-serving but meaningless metrics hardly helps to convince the world that the patent system is actually working.<br /><br /><a href="http://www.techdirt.com/articles/20130215/02462421991/undisclosed-uspto-employees-write-report-saying-uspto-does-great-job-handling-software-smartphone-patents.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20130215/02462421991/undisclosed-uspto-employees-write-report-saying-uspto-does-great-job-handling-software-smartphone-patents.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20130215/02462421991/undisclosed-uspto-employees-write-report-saying-uspto-does-great-job-handling-software-smartphone-patents.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>gee...</slash:department>
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<pubDate>Wed, 9 Jan 2013 15:58:20 PST</pubDate>
<title>USPTO And DOJ Shocked (Shocked!) That Companies Abuse Patents, But For The Wrong Reasons</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/articles/20130109/03214221615/uspto-doj-shocked-shocked-that-companies-abuse-patents-wrong-reasons.shtml</link>
<guid>http://www.techdirt.com/articles/20130109/03214221615/uspto-doj-shocked-shocked-that-companies-abuse-patents-wrong-reasons.shtml</guid>
<description><![CDATA[ In a move that struck some by surprise, the US Patent Office and the Department of Justice put out an interesting statement <a href="http://www.justice.gov/atr/public/guidelines/290994.pdf" target="_blank">arguing that companies need to stop abusing promises for fair, reasonable and non-discriminatory (FRAND) licenses</a> (pdf) for standards essential patents (SEPs).  They argued, quite reasonably, that lawsuits over SEPs can stifle innovation and block competition.  Well, duh.  While many are interpreting this as having to do with the FTC/Google settlement, which touched on exactly this issue, the DOJ/USPTO letter seems much more focused on trying to knock some sense into the International Trade Commission (ITC) concerning how it deals with the patent cases it hears.  As we've been discussing for years, patent holders get two (entirely) separate cracks at using the legal process to slap down those they accuse of patent infringement.  First, there's the federal court system, which is what most people think of when they think about patent disputes.  The second is <a href="http://www.techdirt.com/articles/20080702/1117121576.shtml">going to the ITC</a> and seeking to ban the product from entering the country (i.e., getting an injunction).  
<br /><br />
The ITC process does not follow the same rules or timeline as the legal process and so you could have a situation where courts go one way and the ITC goes another.  Either way, an injunction via either the courts or the ITC is like a death sentence for a product, so most companies figure out a way to "settle" a case when it reaches the injunction stage, so it becomes like a forced license at a ridiculously high price.  Thanks to the <a href="http://www.techdirt.com/articles/20060515/118257.shtml">MercExchange</a> ruling at the Supreme Court, the federal courts are much more hesitant to issue injunctions these days, but for the ITC it's <i>the only</i> remedy they have -- and while they don't always use it, they do use it often enough.
<br /><br />
The FTC has lately been expressing growing concern about the ITC's somewhat cavalier attitude towards the impact of the injunctions it gives out, and this DOJ/USPTO paper appears to be another push against the ITC.  The statement makes it clear that the ITC needs to recognize that it's core mission is focused on what's best for "the public health and welfare of consumers," and thus, when it comes to standards essential patents, it needs to take into account whether or not the public good is actually served by issuing an injunction.
<br /><br />
This is all good and we agree.
<br /><br />
But... why is this limited to SEPs?  This is an all too typical reaction from government bureaucrats on these issues.  They're all up in arms that (*gasp*) companies might use the <i>government granted monopoly privilege</i> to do exactly what it's designed to do: to exclude others in order to drive up the price and limit competition.  The real focus should be on whether or not <i>the patents themselves</i> are what's best for the public health and welfare, not whether or not the FRAND agreements on the tiny subset of all the patents out there, the SEPs, are what's best.
<br /><br />
The whole thing is somewhat comical when you think about it.  The government gives companies the ability to exclude others via a government granted monopoly.  It doesn't take a degree in economics to understand that when you give someone the right to exclude others, limit competition and drive up the price of things, that's what's going to happen -- and it's not going to be the best thing for the public health.  But rather than recognize that crux of the issue, the response is just to focus on a core subset of patents, the standard essential ones.
<br /><br />
Oh, and concerning the Google/FTC settlement, Google finally <a href="http://allthingsd.com/20130108/google-withdraws-patent-claims-against-microsoft/" target="_blank">dropped its ITC effort</a> against Microsoft.  Honestly, Google should have done that a while back.  Yes, Google inherited the situation from Motorola, but what an amazing statement it would have made about the companies position on patents and the patent wars if it had simply dropped such ITC actions upon the close of the acquisition.
<br /><br />
Either way, all of this is yet another example of just how broken the patent system remains.  And while it's nice to see the DOJ and USPTO at least paying lip service to the problems of the patent system, it's unfortunate that they think the problem is about "standards essential patents," rather than patents themselves, which create the identical problem for others.<br /><br /><a href="http://www.techdirt.com/articles/20130109/03214221615/uspto-doj-shocked-shocked-that-companies-abuse-patents-wrong-reasons.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20130109/03214221615/uspto-doj-shocked-shocked-that-companies-abuse-patents-wrong-reasons.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20130109/03214221615/uspto-doj-shocked-shocked-that-companies-abuse-patents-wrong-reasons.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>it's-a-step,-but...</slash:department>
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<pubDate>Fri, 4 Jan 2013 13:48:39 PST</pubDate>
<title>US Patent Office Seeking 'Partnership' With Software Community, Hoping To 'Enhance Quality Of Software Patents'</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/articles/20130104/03150421580/us-patent-office-seeking-partnership-with-software-community-hoping-to-enhance-quality-software-patents.shtml</link>
<guid>http://www.techdirt.com/articles/20130104/03150421580/us-patent-office-seeking-partnership-with-software-community-hoping-to-enhance-quality-software-patents.shtml</guid>
<description><![CDATA[ In what looks sort of like a government dating ad, the US Patent Office has announced that it's <a href="https://www.federalregister.gov/articles/2013/01/03/2012-31594/request-for-comments-and-notice-of-roundtable-events-for-partnership-for-enhancement-of-quality-of" target="_blank">seeking a "software partnership"</a> with the software community, with the goal of "enhancing the quality of software-related patents."  To translate: "please come to hear us speak, because we're kind of annoyed that basically everyone who works in software hates patents and thinks software patents are pure evil."  This process is kicking off with some roundtable discussions in Silicon Valley and New York City.  Unfortunately, the parameters for the roundtable seem fairly limited already:
<blockquote><i>
For these initial roundtable events, this notice sets forth several topics to begin the Software Partnership discussion. The first topic relates to how to improve clarity of claim boundaries that define the scope of patent protection for claims that use functional language. The second topic requests that the public identify additional topics for future discussion by the Software Partnership. The third topic relates to a forthcoming Request for Comments on Preparation of Patent Applications and offers an opportunity for oral presentations on the Request for Comments at the Silicon Valley and New York City roundtable events. 
</i></blockquote>
Those are important issues, but it shows where the USPTO is starting from, and it's not about taking a wider look at issues related to software patents, but looking for ways to patch up some of the symptoms of the larger problem.  It's <i>good</i> that they're looking to have this discussion, but it seems like a better first step would be to really hold an <i>open</i> discussion first, to hear more of the concerns of software holders.<br /><br /><a href="http://www.techdirt.com/articles/20130104/03150421580/us-patent-office-seeking-partnership-with-software-community-hoping-to-enhance-quality-software-patents.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20130104/03150421580/us-patent-office-seeking-partnership-with-software-community-hoping-to-enhance-quality-software-patents.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20130104/03150421580/us-patent-office-seeking-partnership-with-software-community-hoping-to-enhance-quality-software-patents.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>is-that-a-want-ad?</slash:department>
<wfw:commentRss>http://www.techdirt.com/comment_rss.php?sid=20130104/03150421580</wfw:commentRss>
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<pubDate>Wed, 26 Dec 2012 11:57:46 PST</pubDate>
<title>Mmmmm, Mmmmm Monopoly! USPTO To Hit New Record In Granting Utility Patents</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/articles/20121204/13310521223/mmmmm-mmmmm-monopoly-uspto-to-hit-new-record-granting-utility-patents.shtml</link>
<guid>http://www.techdirt.com/articles/20121204/13310521223/mmmmm-mmmmm-monopoly-uspto-to-hit-new-record-granting-utility-patents.shtml</guid>
<description><![CDATA[ Another year... another record by the USPTO in locking up all sorts of ideas with patents.  Yes, that's right, it's only early december and it's being reported that the USPTO <a href="http://www.patentlyo.com/patent/2012/12/i-can-now-say-with-almost-complete-confidence-that-the-uspto-will-grant-over-250000-utility-patents-in-calendar-year-2012-t.html" target="_blank">will set a new record in utility patents</a>, blasting through the old record, set (of course) just last year with 225,000 patents.  Remember back in the early days of the patent system, when Thomas Jefferson ran the patent office despite thinking that patents <a href="http://www.earlyamerica.com/review/winter2000/jefferson.html" target="_blank">might actually do more harm than good</a>?  One of the things he focused on was trying to avoid granting patents willy nilly since "abuse of frivolous patents is likely to cause more inconvenience than is countervail by those really useful."  I kinda miss that Patent Office.  Oh yeah, when he ran the Patent Office, it granted.. 67 patents over two years.<br /><br /><a href="http://www.techdirt.com/articles/20121204/13310521223/mmmmm-mmmmm-monopoly-uspto-to-hit-new-record-granting-utility-patents.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20121204/13310521223/mmmmm-mmmmm-monopoly-uspto-to-hit-new-record-granting-utility-patents.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20121204/13310521223/mmmmm-mmmmm-monopoly-uspto-to-hit-new-record-granting-utility-patents.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>rarest-of-circumstances?</slash:department>
<wfw:commentRss>http://www.techdirt.com/comment_rss.php?sid=20121204/13310521223</wfw:commentRss>
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<pubDate>Mon, 26 Nov 2012 03:22:00 PST</pubDate>
<title>Can The FTC And DOJ Do What The USPTO Won't? Crack Down On Patent Trolls</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/articles/20121120/23114621108/can-ftc-doj-do-what-uspto-wont-crack-down-patent-trolls.shtml</link>
<guid>http://www.techdirt.com/articles/20121120/23114621108/can-ftc-doj-do-what-uspto-wont-crack-down-patent-trolls.shtml</guid>
<description><![CDATA[ While the US Patent Office has officially declared its desire to put its <a href="http://www.techdirt.com/blog/innovation/articles/20121120/11332221103/us-patent-boss-completely-clueless-insists-that-patent-fights-show-system-wires-us-innovation.shtml">head in the sand</a> concerning the problem of patent trolls, it appears that other parts of the government aren't necessarily going to ignore the problem.  The FTC and the DOJ are planning <a href="http://arstechnica.com/tech-policy/2012/11/feds-to-take-a-closer-look-at-patent-trolls-withpatent-trolls/" target="_blank">explore the issue with patent trolls</a> at a <a href="http://www.ftc.gov/opa/2012/11/paeworkshop.shtm" target="_blank">public workshop next month</a> (they use the currently popular term "patent assertion entities" rather than "patent trolls" but it's clear what they mean).  And the indications are that they may be looking to use their power to <a href="http://online.wsj.com/article/SB10001424127887324595904578123493335950754.html" target="_blank">crackdown</a> on bad behavior, potentially even using antitrust tools:
<blockquote><i>
"There's a possibility of competitive harm here," said Joseph Wayland, who served as the Justice Department's acting antitrust chief until last week, when he stepped down to return to private practice. Mr. Wayland said officials are devoting "huge energy, particularly at a senior level" to this and other antitrust issues surrounding patents.
</i></blockquote>
This seems like a much more reasonable use of antitrust resources than some <a href="http://www.techdirt.com/articles/20121120/17211921104/google-staredown-with-ftc-may-result-ftc-blinking.shtml">other</a> recent activity.
<br /><br />
Of course, the real irony here is the idea that the government may need to use its antitrust rules to crack down on patent abuse, when the whole reason that there's a "trust" problem in the first place is that patents are a government granted monopoly.  So no one should be shocked to then see it lead to antitrust problems.  Want to not have monopolistic activity?  Don't hand out monopolies.<br /><br /><a href="http://www.techdirt.com/articles/20121120/23114621108/can-ftc-doj-do-what-uspto-wont-crack-down-patent-trolls.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20121120/23114621108/can-ftc-doj-do-what-uspto-wont-crack-down-patent-trolls.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20121120/23114621108/can-ftc-doj-do-what-uspto-wont-crack-down-patent-trolls.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>that-would-be-something</slash:department>
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<pubDate>Thu, 22 Nov 2012 12:00:00 PST</pubDate>
<title>So Long And Thanks For All The Turkey Patents</title>
<dc:creator>Leigh Beadon</dc:creator>
<link>http://www.techdirt.com/articles/20121121/23451821121/so-long-thanks-all-turkey-patents.shtml</link>
<guid>http://www.techdirt.com/articles/20121121/23451821121/so-long-thanks-all-turkey-patents.shtml</guid>
<description><![CDATA[ <p>Here in Canada, we gave our proverbial thanks over a month ago, and since all the Americans at Techdirt have taken off for the weekend, I thought I'd take a moment to put together some advice on preparing a great Thanksgiving turkey&mdash;with a little help from the USPTO.</p>
<p>If you're tired of the traditional roast, maybe it's time to try a more creative preparation&mdash;just be careful you don't run afoul of any patents. Here's an idea: with some skilled knife-work, you can slice a turkey into pieces that resemble various cuts of steak&mdash;and that method will <a href="http://www.google.com/patents/US5932278" target="_blank">only be under patent for another five years</a>!</p>
<center><a href="http://imgur.com/Bx7vk"><img src="http://i.imgur.com/Bx7vk.png" width="390" title="Hosted by imgur.com" alt="" /></a></center>
<p>There are lots of unique recipes out there that call for a deboned turkey. For the inexperienced, it's probably wise to ask your butcher to do this for you&mdash;just make sure he doesn't use <a href="http://www.google.com/patents/US6572467" target="_blank">this method</a> until 2022:</p>
<center><a href="http://imgur.com/SRv4K"><img src="http://i.imgur.com/SRv4K.png?1" title="Hosted by imgur.com" width="390" alt="" /></a></center>
<p>Luckily, there are plenty of open alternatives for the patent-savvy chef. Who needs those fancy new turkey cutlets when you can use this classic <em>"method of preparing turkey ... in the form of a flat elongated slice or slices of raw fowl free from bones, tendons, membranes and skin."</em> Mmmmmm. This patent was <a href="http://www.google.com/patents/US3347680" target="_blank">granted back in the 60s</a>, so it's long since expired:</p>
<center><a href="http://imgur.com/oqe7n"><img src="http://i.imgur.com/oqe7n.png" title="Hosted by imgur.com" alt="" /></a></center>
<p>Or you could try this <em>"<a href="http://www.google.com/patents/US3740234">method of preparing barbecued poultry</a> such as turkey which closely simulates barbecued pork"</em>, patented in the early 70s and now free for all to follow in handy flow-chart form:</p>
<center><a href="http://imgur.com/8SNPs"><img src="http://i.imgur.com/8SNPs.png" title="Hosted by imgur.com" alt="" /></a></center>
<p>And finally, for the vegetarian in your life (assuming they prefer a lump of vaguely meat-shaped tofu to a nice falafel or something), there's this <em>"method and apparatus for preparing a roast turkey analog (replica) from vegetarian ingredients"</em>. A patent was applied for in 2005, but appears not to have been granted...yet. Patents are retroactive to the date of filing, so only use this method if you want to gamble on the USPTO rejecting silly patents (then come play poker with me). All you need to do is make yourself what appears to be <a href="http://www.google.com/patents/US20050257694" target="_blank">some kind of turkey mould</a>, or possibly the sunken city of R'lyeh:</p>
<center><a href="http://imgur.com/HqImd"><img src="http://i.imgur.com/HqImd.png" title="Hosted by imgur.com" alt="" /></a></center>
<p>This is an exciting time, with much to be thankful for! Who knows what bold new turkey innovations the patent system will fuel next? A turkey-shaped gravy boat? A way of pulling the bones out from a <em>different</em> angle? A recipe where the sauce goes on <em>after</em> the broth? A toy turkey made out of a pine cone? Ooh, that's a good idea&mdash;I should call up the USPTO and... oh, never mind, <a href="http://www.google.com/patents/US1678226">some other Leigh beat me to it in 1927</a>.</p>
<center><a href="http://imgur.com/Mzr0O"><img src="http://i.imgur.com/Mzr0O.png" title="Hosted by imgur.com" alt="" /></a></center><br /><br /><a href="http://www.techdirt.com/articles/20121121/23451821121/so-long-thanks-all-turkey-patents.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20121121/23451821121/so-long-thanks-all-turkey-patents.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20121121/23451821121/so-long-thanks-all-turkey-patents.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>abstract:-gobble-gobble</slash:department>
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<pubDate>Tue, 20 Nov 2012 15:30:09 PST</pubDate>
<title>US Patent Boss Completely Clueless: Insists That Patent Fights Show The System 'Wires Us For Innovation'</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/blog/innovation/articles/20121120/11332221103/us-patent-boss-completely-clueless-insists-that-patent-fights-show-system-wires-us-innovation.shtml</link>
<guid>http://www.techdirt.com/blog/innovation/articles/20121120/11332221103/us-patent-boss-completely-clueless-insists-that-patent-fights-show-system-wires-us-innovation.shtml</guid>
<description><![CDATA[ Last week, there was a fascinating full day conference on ways to fix the patent system.  There was a lot to digest, and I've been working on a much longer post about it, which I may not finish until next week.  Someone from the USPTO was in attendance, and at one point stated that director David Kappos fully "heard" and understood the problems that people were complaining about, and that he fully intended to fix the system.  Apparently someone forgot to tell Kappos.  In a talk today, he <a href="http://arstechnica.com/tech-policy/2012/11/us-patent-chief-to-software-patent-critics-give-it-a-rest-already/" target="_blank">completely blasted "complainers"</a> telling them to "give it a rest already."  His argument is that the America Invents Act -- the completely toothless patent reform that passed last year after being stripped of almost everything useful -- was just implemented, so we should just sit around and twiddle our thumbs while hundreds of billions of dollars are wasted due to bogus patents and disputes.
<br /><br />
Except to Kappos, all that dead weight loss is a sign that the system is working.  Why?  I have no idea.
<blockquote><i>
Indeed, Kappos suggested that the volume of patent litigation in the smartphone industry was a sign that the patent system was working as intended. "The explosion of litigation we are seeing is a reflection of how the patent system wires us for innovation," Kappos said. "It's natural and reasonable that innovators would seek to protect their breakthroughs using the patent system."
</i></blockquote>
Note the giant and very questionable assumptions in the middle of that one: that it's "innovators" seeking to "protect" "breakthroughs."  I'd argue that none of the three things in quotes is accurate.  Quite frequently it's lawyers who haven't actually innovated at all looking to shakedown actual innovators for broadly worded patents that never should have been granted, and which are being interpreted to cover things they don't really have anything to do with.  That's not innovation.  It's extortion... backed up by the US government.  It's a travesty.
<br /><br />
Even worse, Kappos is still relying on the absolutely ridiculous "study" that the USPTO put out earlier this year, despite the fact that its methodology has been widely <a href="http://www.techdirt.com/articles/20120607/10055319241/feds-say-we-need-stronger-ip-laws-because-grocery-stores-employ-lots-people.shtml">debunked</a> for including grocery store baggers as "IP innovators."  Sorry.  And, if you look at what their actual report shows, it suggests that patent-intensive businesses <a href="http://www.techdirt.com/articles/20120608/16323719253/commerce-departments-own-study-debunks-commerce-departments-defense-said-study.shtml">aren't doing so well</a>.  Somehow he ignores that.  Of course, perhaps that's why his office rejected a promised interview with me earlier this year, and could only defend the patent claims by arguing the most bizarre correlation argument in the world, that because Steve Jobs was innovative and had patents, therefore, <a href="http://www.techdirt.com/articles/20120607/18223519245/commerce-dept-steve-jobs-had-patents-steve-jobs-made-cool-things-thus-patents-are-great.shtml">patents worked</a>.
<br /><br />
Rather than address any of the real and well documented concerns with the patent system, Kappos apparently just decided to spin a fairy tale.  He insists, as he's done in the past, that stronger patents automatically create more incentives, even as the evidence suggests that's not even close to true.
<blockquote><i>
<p>More recent research has estimated that litigation by patent trolls costs the economy at least <a href="http://arstechnica.com/tech-policy/2012/07/new-study-same-authors-patent-trolls-cost-economy-29-billion-yearly/">$29 billion</a> per year, and that figure may be as high as <a href="http://arstechnica.com/tech-policy/2011/09/study-patent-trolls-have-cost-innovators-half-a-trillion-bucks/">$83 billion.</a></p>
<p>Rather than engage in this empirical debate, or even acknowledge its existence, Kappos acted as though it was self-evident that stronger patents always create a larger incentive for innovation.</p>
<p>"To those commenting on the smartphone patent war with categorical statements that blame the so-called broken system on bad software patents, what I say is: get the facts. The facts don't support your position."</p>
<p>With all due respect, Mr. Kappos, we do have the facts. And they support the position of software patent critics.</p>
</i></blockquote>
It's sad that Kappos sends his lackeys to Silicon Valley to claim that he's "listening" and then spews such pure crap.  The system is broken and either Kappos is lying or clueless.  Neither reflects well on him.<br /><br /><a href="http://www.techdirt.com/blog/innovation/articles/20121120/11332221103/us-patent-boss-completely-clueless-insists-that-patent-fights-show-system-wires-us-innovation.shtml">Permalink</a> | <a href="http://www.techdirt.com/blog/innovation/articles/20121120/11332221103/us-patent-boss-completely-clueless-insists-that-patent-fights-show-system-wires-us-innovation.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/blog/innovation/articles/20121120/11332221103/us-patent-boss-completely-clueless-insists-that-patent-fights-show-system-wires-us-innovation.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>oh-come-on</slash:department>
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<pubDate>Thu, 20 Sep 2012 07:44:18 PDT</pubDate>
<title>StackExchange, Google Team Up With USPTO To Help Crowdsource Prior Art Discovery</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/articles/20120920/00170220441/stackexchange-google-team-up-with-uspto-to-help-crowdsource-prior-art-discovery.shtml</link>
<guid>http://www.techdirt.com/articles/20120920/00170220441/stackexchange-google-team-up-with-uspto-to-help-crowdsource-prior-art-discovery.shtml</guid>
<description><![CDATA[ I've been a big fan of <a href="http://stackexchange.com/" target="_blank">StackExchange</a>, for a while, as a very cool platform for getting expert insight into a variety of (mostly, but not entirely, technical) questions.  The platform is so useful that, last week, Google even announced that it was pushing its own YouTube API developer support efforts <i>off</i> of its own Google Groups platform and <a href="http://techcrunch.com/2012/09/14/youtube-moves-api-discussions-and-support-to-stack-overflow-ditches-google-groups/" target="_blank">over to Stack Overflow</a> (the original StackExchange site).  But that appears to be just one area in which the two companies are collaborating.  As <a href="http://blog.stackoverflow.com/2012/09/askpatents-com-a-stack-exchange-to-prevent-bad-patents/?cb=1" target="_blank">they announced today</a>, StackExchange and Google are working together on <a href="http://askpatents.com" target="_blank">AskPatents.com</a>, a site dedicated to better crowdsourcing prior art.
<br /><br />
And it's not just StackExchange and Google working together: they've teamed up with the USPTO to make it easier for good prior art to be submitted to the USPTO to (hopefully) invalidate bad patents.  While we were incredibly underwhelmed by the America Invents Act, which was last year's attempt at patent reform, it has (finally) made it <a href="http://www.techdirt.com/articles/20120717/00232219721/patent-office-releases-rules-to-let-third-parties-provide-documents-to-help-reject-patent-applications.shtml">much easier</a> to allow third parties to submit prior art which may be helpful to examiners during the ~18 hours they spend in reviewing each patent.  There was the famed Peer-to-Patent program, which I was <a href="https://www.techdirt.com/articles/20101012/01364511378/peer-to-patent-about-to-come-back.shtml">quite skeptical about</a>, but this seems to take that to another level, thanks in part to the useful setup of StackExchange's system that helps float good ideas to the top.
<br /><br />
But where this gets much more powerful is through integration in two key spots.  First up, this will be <i>integrated into Google's patent pages</i>.  Recently, Google launched its <a href="http://www.techdirt.com/articles/20120814/10183120047/google-launches-prior-art-finder-patents.shtml">prior art finder</a>, which tried to help people find prior art through automated searches -- but you can now <i>also</i> click through directly to the AskPatents site by clicking a "discuss" button that will be shown on each patent page, which will take you straight to the StackExchange page.  Neat.  The second integration may be even more powerful.  As people find useful prior art and it bubbles to the top, StackExchange's system will make it easy to then directly submit it to the USPTO.  Clicking a button will take you to an already filled out USPTO form, where a bit of additional info can be added and submitted.
<br /><br />
StackExchange founder Joel Spolsky sees this as an opportunity to help stamp out bad patents: "Collectively, we&#8217;re building a crowd-sourced worldwide detective agency to track down and obliterate bogus applications. Over time, we hope that the Patent Stack Exchange will mitigate the problems caused by rampant patent trolling. It&#8217;s not a complete fix, but it&#8217;s a good start."
<br /><br />
There are still tremendous structural problems with the patent system.  And, <i>at best</i>, a system like this just helps to prevent some of the bigger mistakes, rather than attacking any of the fundamental problems.  But, given just how damaging absolutely ridiculous patents are these days, anything that helps stop bad patents has to be seen as a good thing.<br /><br /><a href="http://www.techdirt.com/articles/20120920/00170220441/stackexchange-google-team-up-with-uspto-to-help-crowdsource-prior-art-discovery.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20120920/00170220441/stackexchange-google-team-up-with-uspto-to-help-crowdsource-prior-art-discovery.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20120920/00170220441/stackexchange-google-team-up-with-uspto-to-help-crowdsource-prior-art-discovery.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>this-is-a-good-thing</slash:department>
<wfw:commentRss>http://www.techdirt.com/comment_rss.php?sid=20120920/00170220441</wfw:commentRss>
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<pubDate>Tue, 18 Sep 2012 12:52:00 PDT</pubDate>
<title>The USPTO's Reality Distortion Field: Web Filter Blocks Critics Like EFF, Welcomes Maximalist Lobbyists</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/articles/20120918/12131620417/usptos-reality-distortion-field-web-filter-blocks-critics-like-eff-welcomes-maximalist-lobbyists.shtml</link>
<guid>http://www.techdirt.com/articles/20120918/12131620417/usptos-reality-distortion-field-web-filter-blocks-critics-like-eff-welcomes-maximalist-lobbyists.shtml</guid>
<description><![CDATA[ <i><b>Updated</b>: At 5pm ET, the USPTO called Jamie to say that a contractor had set this up, and after reviewing their policies, they had stopped blocking such sites...  </i>
<br /><br />
Well this is bizarre.  Jamie Love from KEI was over at the US Patent and Trademark Office (USPTO) for a meeting about "global negotiations on intellectual property and access to medicine."  The meeting itself was held in a room that it uses for the USPTO's Global Intellectual Property Academy (GIPA), and there is free WiFi for people to use.  Love tried to log onto his own website... and found <a href="http://keionline.org/node/1548" target="_blank">that it was being blocked as a "political/activist group."</a>
<blockquote><i>
Access Denied (content_filter_denied) 
<br /><br />
Your request was denied because this URL contains content that is categorized as: "Political/Activist Groups" which is blocked by USPTO policy. If you believe the categorization is inaccurate, please contact the USPTO Service Desk and request a manual review of the URL.
<br /><br />
For assistance, contact USPTO OCIO IT Service Desk. (io-proxy4)
</i></blockquote>
Love then checked a bunch of other sites... and noticed a rather distressing pattern.  For public interest groups who advocate that the existing copyright/patent system is broken, the websites were all blocked.  ACLU, EFF, Public Knowledge, Public Citizen, CDT... all blocked.  However, if you're a lobbyist for maximalism?  No problem!  MPAA, RIAA, IIPA, IPI, PHRMA, BSA... come on through.  They do allow Creative Commons.  Thankfully (for us, at least), they don't seem to block blogs that talk about this stuff.  Techdirt is allowed, as are things like BoingBoing, Groklaw and Larry Lessig and Michael Geist's blogs.  Though, oddly, a bunch of political sites (DailyKos, TPM, RedState, Rush Limgaugh's site) are blocked.
<br /><br />
It may be an "over active" filter -- but it does seem particularly disturbing that all those groups who fight for the public's rights on the very issues the USPTO is dealing with on a regular basis have their sites completely blocked.<br /><br /><a href="http://www.techdirt.com/articles/20120918/12131620417/usptos-reality-distortion-field-web-filter-blocks-critics-like-eff-welcomes-maximalist-lobbyists.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20120918/12131620417/usptos-reality-distortion-field-web-filter-blocks-critics-like-eff-welcomes-maximalist-lobbyists.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20120918/12131620417/usptos-reality-distortion-field-web-filter-blocks-critics-like-eff-welcomes-maximalist-lobbyists.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>but-techdirt's-available</slash:department>
<wfw:commentRss>http://www.techdirt.com/comment_rss.php?sid=20120918/12131620417</wfw:commentRss>
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<pubDate>Thu, 30 Aug 2012 10:34:34 PDT</pubDate>
<title>Revolving Door: US Copyright Office General Counsel Becomes IFPI Lobbyist</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/articles/20120830/02135620215/revolving-door-us-copyright-office-general-counsel-becomes-ifpi-lobbyist.shtml</link>
<guid>http://www.techdirt.com/articles/20120830/02135620215/revolving-door-us-copyright-office-general-counsel-becomes-ifpi-lobbyist.shtml</guid>
<description><![CDATA[ We've pointed out over and over again that the revolving door between the government and the big copyright maximalists represents a broken system -- and we're seeing it yet again.  David Carson, the long time General Counsel of the US Copyright Office has announced that he's leaving that job... <a href="http://www.ip-watch.org/2012/08/29/revolving-door-us-copyright-general-counsel-joins-music-industry/?utm_source=post&#038;utm_medium=email&#038;utm_campaign=alerts" target="_blank">to become head of global legal policy for the IFPI</a> (the international version of the RIAA).  His role will be to "coordinate the recorded music industry's legal policy strategy worldwide."  Think he'll have undue influence with the US Copyright Office?  He's only been in General Counsel of the US Copyright Office for 15 years.  Of course, the IP-Watch story linked above shows how the revolving door works both ways.  In effect, Carson is replacing Shira Perlmutter, who left the IFPI role earlier this year... to become the chief policy advisor on IP issues for the US Patent and Trademark Office.<br /><br /><a href="http://www.techdirt.com/articles/20120830/02135620215/revolving-door-us-copyright-office-general-counsel-becomes-ifpi-lobbyist.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20120830/02135620215/revolving-door-us-copyright-office-general-counsel-becomes-ifpi-lobbyist.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20120830/02135620215/revolving-door-us-copyright-office-general-counsel-becomes-ifpi-lobbyist.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>system-failure</slash:department>
<wfw:commentRss>http://www.techdirt.com/comment_rss.php?sid=20120830/02135620215</wfw:commentRss>
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<pubDate>Tue, 31 Jul 2012 22:58:40 PDT</pubDate>
<title>Patent Office Seeking Comments On How To Implement A 'First To File' Regime Instead Of 'First To Invent'</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/articles/20120731/01341819888/patent-office-seeking-comments-how-to-implement-first-to-file-regime-instead-first-to-invent.shtml</link>
<guid>http://www.techdirt.com/articles/20120731/01341819888/patent-office-seeking-comments-how-to-implement-first-to-file-regime-instead-first-to-invent.shtml</guid>
<description><![CDATA[ You may remember that last fall, there was an incredibly weak attempt at <a href="https://www.techdirt.com/articles/20110916/12123115983/patent-reform-official-along-with-more-bad-ideas.shtml">patent reform</a> known as the America Invents Act.  This was the result of a nearly seven-year-long fight over patent reform, with nearly every good idea from early proposals being watered down to completely useless, and a few bad ideas ramped up for good measure.  Nothing in the AIA actually dealt with the problems of patent trolls or patent thickets.  One of the ideas that survived the years-long culling was flipping the US patent system from a "first to invent" system to a "first to file" system.  I've long argued that this is a very bad idea for a variety of reasons.  First, it encourages inventors to file for lots of patents as early as possible to beat anyone else to the Patent Office, rather than making sure that the invention is actually worth patenting.  It also seems to go against the basic principle of the patent system, if it's supposed to reward actual inventors.  Finally, switching to a first to file certainly seems likely to favor large companies with big legal staffs that can focus on rushing out as many patent applications as possible.  Smaller entities might be in trouble.
<br /><br />
To be fair, the arguments in favor of this switch are basically (1) everyone else does it (mostly true) and (2) proving who was first to invent is a total pain in the ass and can be slow and costly.  Thus switching to a first to file system could save a lot of wasted time and money in the cases where there's a dispute.  That may be true, but I'm not convinced it's a <i>good</i> reason.
<br /><br />
That said, it doesn't much matter what I think: it made it into the bill and is now the law.  The US Patent Office is now seeking comment on how it should go about implementing this new rule.  It's put out two requests.  First, it wants to know how it should <a href="http://www.gpo.gov/fdsys/pkg/FR-2012-07-26/pdf/2012-17898.pdf" target="_blank">change the examination guidelines for patent examiners</a> (pdf and embedded below) to take this new rule into account.   Second, it wants comments on how it should <a href="http://www.gpo.gov/fdsys/pkg/FR-2012-07-26/pdf/2012-18121.pdf" target="_blank">amend the "rules of practice,"</a> regarding this change -- since the current rules are based on the old "first to invent" system.
<br /><br />
For those thinking of participating, this is not the place to argue why "first to file" is a bad system (or even why the patent system is broken).   I imagine any such filings will be (correctly) deemed off-topic and discarded.  However for those patent holders and patent lawyers (and scholars) for whom this change is a big deal, now might be the time to share some thoughts with the USPTO for how it can implement this change with as little damage as possible.<br /><br /><a href="http://www.techdirt.com/articles/20120731/01341819888/patent-office-seeking-comments-how-to-implement-first-to-file-regime-instead-first-to-invent.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20120731/01341819888/patent-office-seeking-comments-how-to-implement-first-to-file-regime-instead-first-to-invent.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20120731/01341819888/patent-office-seeking-comments-how-to-implement-first-to-file-regime-instead-first-to-invent.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>help-them-not-muck-it-up</slash:department>
<wfw:commentRss>http://www.techdirt.com/comment_rss.php?sid=20120731/01341819888</wfw:commentRss>
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<pubDate>Wed, 18 Jul 2012 19:29:11 PDT</pubDate>
<title>Patent Office Releases Rules To Let Third Parties Provide Documents To Help Reject Patent Applications</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/articles/20120717/00232219721/patent-office-releases-rules-to-let-third-parties-provide-documents-to-help-reject-patent-applications.shtml</link>
<guid>http://www.techdirt.com/articles/20120717/00232219721/patent-office-releases-rules-to-let-third-parties-provide-documents-to-help-reject-patent-applications.shtml</guid>
<description><![CDATA[ One of the big problems with the patent system is that it's not an <a href="http://www.techdirt.com/blog/innovation/articles/20120218/00481917799/how-patent-system-is-rigged-to-only-expand-whats-patentable.shtml">adversarial</a> process at all.  You only have advocates for why a patent <i>should</i> be granted.  No one is on the other side arguing why it shouldn't be.  The examiner is supposed to be neutral, but actually has some implicit incentives to find things more patentable than not.  For example, patent examiners are often reviewed on their productivity in getting through patent applications.  Considering the backlog of patents, this isn't a surprise.  But since there's no such thing as a true "final rejection" of a patent, the inventor and their lawyers can keep coming back, asking the patent office to try again.  But each time the examiner has to go back and review the same application all over again, that's time away from a new application, and thus hurts his or her "productivity."
<br /><br />
Making matters worse, once a patent is granted, it has to be presumed valid under the law.  Meaning that even though it has never actually been tested in an adversarial process, the courts simply assume it's a valid patent.  The fact that when patents do get re-examined, somewhere around <a href="http://www.techdirt.com/articles/20080313/021643530.shtml">three quarters</a> of them have to be adjusted, with previously approved claims rejected, certainly calls into question just how "valid" those patents are.  One of the small changes in the patent reform bill that past last year, the America Invents Act (AIA), was that it will now be slightly easier to file documents with the Patent Office for a patent application under consideration, rather than waiting until after the patent is granted.
<br /><br />
This is definitely a step in the right direction, though, I do wonder how widely it will be used.  Part of the problem is that it's often not at all possible to tell what a patent actually impacts until after its granted and the holder sues or threatens to sue.  And no one can watch every application to see if they might have some useful prior art or evidence of obviousness.  Either way, the rules for such third party submissions go into effect September 16th, and the USPTO <a href="https://s3.amazonaws.com/public-inspection.federalregister.gov/2012-16710.pdf" target="_blank">is releasing its official rules for how the process will work</a> (pdf and embedded below).  There <i>is</i> a fee involved -- $180 -- but it's exempted for your first submission on a particular patent application if that submission is less than three documents.  That may be a bit limiting, but it does suggest that individuals with clear prior art or proof of obviousness might at least be able to weigh in a bit to convince the examiner that an application is totally bogus.<br /><br /><a href="http://www.techdirt.com/articles/20120717/00232219721/patent-office-releases-rules-to-let-third-parties-provide-documents-to-help-reject-patent-applications.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20120717/00232219721/patent-office-releases-rules-to-let-third-parties-provide-documents-to-help-reject-patent-applications.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20120717/00232219721/patent-office-releases-rules-to-let-third-parties-provide-documents-to-help-reject-patent-applications.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>could-be-useful</slash:department>
<wfw:commentRss>http://www.techdirt.com/comment_rss.php?sid=20120717/00232219721</wfw:commentRss>
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<pubDate>Mon, 16 Jul 2012 03:03:00 PDT</pubDate>
<title>RIM Loses Another Patent Case, Told To Pay $147.2 Million</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/articles/20120715/15122919703/rim-loses-another-patent-case-told-to-pay-1472-million.shtml</link>
<guid>http://www.techdirt.com/articles/20120715/15122919703/rim-loses-another-patent-case-told-to-pay-1472-million.shtml</guid>
<description><![CDATA[ Perhaps one of the most famous patent lawsuits -- which really highlighted the whole patent troll problem -- was the case of NTP vs. RIM, which ended with RIM paying <a href="http://www.techdirt.com/articles/20060303/1446243.shtml">over $600 million</a> to settle the case, even as the USPTO was <a href="http://www.techdirt.com/articles/20060222/1155242.shtml">rejecting</a> NTP's patents.  Since then, RIM has been involved in a number of other patent lawsuits as well, including one that <a href="http://www.pcmag.com/article2/0,2817,2407145,00.asp" target="_blank">it lost last week against "Mformation Technologies."</a>  RIM has been told to pay up another $147.2 million in this case.
<br /><br />
Of course, what some people forget is that RIM brought much of this on itself.  Before NTP even came on the scene, it was <i>RIM</i> who <a href="http://www.techdirt.com/blog/wireless/articles/20020919/090102.shtml">started suing</a> a bunch of other companies for patent infringement, based on its broad portfolio of patents around wireless email and mobile devices.  On top of all that, RIM's business is collapsing.  The company is <a href="http://www.cbc.ca/news/technology/story/2012/07/14/rim-patent-lawsuit-loss.html" target="_blank">fighting for relevancy</a> as its latest operating system has been delayed -- and there's growing evidence that even once it comes out, <a href="http://blogs.wsj.com/canadarealtime/2012/07/13/rim-objects-to-survey-showing-weak-blackberry-developer-outlook/" target="_blank">no one's going to care about it</a>.  
<br /><br />
RIM can try to <a href="http://techcrunch.com/2012/07/15/rim-ceo-thorsten-heins-we-will-continue-to-make-the-people-that-use-a-blackberry-successful/" target="_blank">put a nice spin on things</a>, but it seems clear that the company is in serious trouble.  Perhaps, next time, it will focus on improving its products more than getting caught up in the patent game.  Yes, many of these more recent lawsuits came from it getting sued, but there's no doubt that RIM drew a lot of attention to itself early on with its own patent lawsuits against others.<br /><br /><a href="http://www.techdirt.com/articles/20120715/15122919703/rim-loses-another-patent-case-told-to-pay-1472-million.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20120715/15122919703/rim-loses-another-patent-case-told-to-pay-1472-million.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20120715/15122919703/rim-loses-another-patent-case-told-to-pay-1472-million.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>live-by-the-patent,-die-by-the-patent</slash:department>
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<pubDate>Wed, 11 Jul 2012 13:54:00 PDT</pubDate>
<title>India Moves Even More Of Its Healthcare Away From Western Pharma</title>
<dc:creator>Glyn Moody</dc:creator>
<link>http://www.techdirt.com/articles/20120710/12063819648/india-moves-even-more-its-healthcare-away-western-pharma.shtml</link>
<guid>http://www.techdirt.com/articles/20120710/12063819648/india-moves-even-more-its-healthcare-away-western-pharma.shtml</guid>
<description><![CDATA[ <p>A few years back, Techdirt <a href="http://www.techdirt.com/articles/20090530/1620345062.shtml">noted</a> that India had 16,000 licensed drug manufacturers in the 1990s, and became a net exporter of pharmaceutical products.  Things changed somewhat when India joined the WTO, which forced it to recognize pharmaceutical patents, but more recently it has started moving back towards generics, notably with the <a href="http://www.techdirt.com/articles/20120312/02424818071/putting-lives-before-patents-india-says-pricey-patented-cancer-drug-can-be-copied.shtml">compulsory licensing</a> of a kidney and liver cancer drug that was being sold by Bayer in the country for around $70,000 a year.  
</p><p>
Now <a href="http://www.reuters.com/article/2012/07/05/us-india-drugs-idUSBRE8630PW20120705">India has made another bold move in the field of healthcare</a>:

<i><blockquote>From city hospitals to tiny rural clinics, India's public doctors will soon be able to prescribe free generic drugs to all comers, vastly expanding access to medicine in a country where public spending on health was just $4.50 per person last year.
<br /><br />
The plan was quietly adopted last year but not publicized. Initial funding has been allocated in recent weeks, officials said.
<br /><br />
Under the plan, doctors will be limited to a generics-only drug list and face punishment for prescribing branded medicines, a major disadvantage for pharmaceutical giants in one of the world's fastest-growing drug markets.</blockquote></i>

That's clearly going to have an immense effect on a country where 40% of the population live on $1.25 or less, meaning that paying for drugs is out of the question.  The article quoted above estimates that 600 million people could take advantage of the scheme over the next five years.
</p><p>
But it will also have a major impact on the Western pharma companies, since it will effectively lock their products out of one of the two most important markets for the future.  Combined with the compulsory licensing of more modern drugs, the latest move by India is deeply troubling for the world's main drug companies.  That's reflected in both Bayer's attempt to <a href="http://www.techdirt.com/articles/20120523/03175119032/generics-drive-down-drug-prices-india-tpp-trying-to-stop-that.shtml">contest</a> the compulsory licensing order, and USPTO deputy director Teresa Stanek Rea's extraordinary claim that the move was in violation of TRIPS, clearly <a href="http://www.techdirt.com/articles/20120702/12502619555/uspto-where-up-is-down-expensive-medicine-saves-lives-cheap-alternatives-violate-international-law.shtml">not the case</a>.
</p><p>
India's decision to adopt generics across its entire healthcare system also stands in stark contrast to provisions in TPP that will make it <a href="http://www.msfaccess.org/content/how-trans-pacific-partnership-agreement-threatens-access-medicines">much harder for local manufacturers in signatory countries to produce generics legally</a>.   As a result, TPP looks more and more like an attempt to lock emerging countries into old and one-sided business models that are stacked against them.
</p><p>
Follow me @glynmoody on <a href="http://twitter.com/glynmoody">Twitter</a> or <a href="http://identi.ca/glynmoody">identi.ca</a>, and on <a href="https://plus.google.com/100647702320088380533">Google+</a></p><br /><br /><a href="http://www.techdirt.com/articles/20120710/12063819648/india-moves-even-more-its-healthcare-away-western-pharma.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20120710/12063819648/india-moves-even-more-its-healthcare-away-western-pharma.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20120710/12063819648/india-moves-even-more-its-healthcare-away-western-pharma.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>why-pay-more?</slash:department>
<wfw:commentRss>http://www.techdirt.com/comment_rss.php?sid=20120710/12063819648</wfw:commentRss>
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<pubDate>Tue, 3 Jul 2012 07:29:00 PDT</pubDate>
<title>The USPTO: Where Up Is Down, Expensive Medicine Saves Lives, And Cheap Alternatives Violate International Law</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/articles/20120702/12502619555/uspto-where-up-is-down-expensive-medicine-saves-lives-cheap-alternatives-violate-international-law.shtml</link>
<guid>http://www.techdirt.com/articles/20120702/12502619555/uspto-where-up-is-down-expensive-medicine-saves-lives-cheap-alternatives-violate-international-law.shtml</guid>
<description><![CDATA[ Well, this is unfortunate.  We've written a few times about how various countries, under the TRIPS agreement are able to break patents on important medicines in the interest of public health.  Most recently, we wrote about how India <a href="http://www.techdirt.com/articles/20120312/02424818071/putting-lives-before-patents-india-says-pricey-patented-cancer-drug-can-be-copied.shtml">did this</a> with a cancer drug made by Bayer called Nexavar.  Despite the fact that Bayer has more than made back the money it spent bringing Nexavar to market, it's been pricing the drug at an unaffordable $70,000/year.  After India allowed a small bit of competition, the price has <a href="http://www.techdirt.com/articles/20120523/03175119032/generics-drive-down-drug-prices-india-tpp-trying-to-stop-that.shtml">dropped</a>.  We've seen that the USPTO doesn't like this at all and has tried to claim that high priced drugs are <a href="http://www.techdirt.com/articles/20120523/17340919053/us-govt-tells-developing-nations-that-patents-high-prices-are-good-health-their-citizens.shtml">good</a> for one's health, but that's beyond ridiculous to anyone who actually thinks.
<br /><br />
Of course, "thinking" and "Congress" aren't words that often go together, so it appears that the USPTO is now trying to pull one over on Congress, with USPTO deputy director Teresa Stanek Rea <a href="http://infojustice.org/archives/26461" target="_blank">misleading Congress by suggesting that these efforts violate international agreements like TRIPS</a>.  Unfortunately, TRIPS says exactly the opposite:
<blockquote><i>
Rea told the committee, saying she believes the issuance of the Indian compulsory license was in violation of the Agreement on Trade Related Aspects of Intellectual Property Rights, an international pact administered by the World Trade Organization which sets minimum standards for intellectual property regulation.  Rea said the USPTO is working to stem the tide of IP infringement in foreign countries by the use of a host of training programs and educational efforts aimed at foreign officials and judges along with the placement USPTO overseas IP attaches in Thailand, China, Russia, India, Brazil and Egypt.
<br /><br />
Article 31 of the TRIPS Agreement expressly permits compulsory licenses as does the much earlier Paris Convention on the Protection of Industrial Property.  The U.S. Itself routinely makes government use of patented inventions pursuant to Congressional authority under 28 U.S.C. Sec. 1498, but also has other laws allowing compulsory licenses in specific circumstances.  Compulsory licenses have been allowed globally in the vast majority of intellectual property regimes since the 19th century.  And, the patent on Nexavar in India had been granted under a 2005 Amended Patents Act that clearly articulated compulsory licensing rights at the time that Bayer prosecuted its patent and the patent was granted.
<br /><br />
Finally, and most to the point, the US signed the Doha Declaration on the TRIPS Agreement and Public Health that pointedly grants countries the right to issue compulsory licenses, to define the terms upon which such licenses are granted &#8211; without restrictions, and to define the emergency circumstances that permit licenses to be granted without any prior notice to or negotiation with the patent holder (note: these expedited, no-negotiation procedures were not used in the Natco case).  Under the Doha Declaration, countries are permitted to issue compulsory licenses in order to ensure &#8220;access to medicines for all&#8221; &#8211; something that India has attempted to do via the license granted.
</i></blockquote>
It's a shame that the USPTO appears to be so in the tank for big pharma (they get lots of patents, which helps pay USPTO salaries...), that they're willing to mislead Congress on issues like this, even if it means that very sick people around the globe don't get the medicines they need.<br /><br /><a href="http://www.techdirt.com/articles/20120702/12502619555/uspto-where-up-is-down-expensive-medicine-saves-lives-cheap-alternatives-violate-international-law.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20120702/12502619555/uspto-where-up-is-down-expensive-medicine-saves-lives-cheap-alternatives-violate-international-law.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20120702/12502619555/uspto-where-up-is-down-expensive-medicine-saves-lives-cheap-alternatives-violate-international-law.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>not-a-surprise</slash:department>
<wfw:commentRss>http://www.techdirt.com/comment_rss.php?sid=20120702/12502619555</wfw:commentRss>
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<item>
<pubDate>Wed, 27 Jun 2012 09:37:00 PDT</pubDate>
<title>Sports Stars Rushing To The Trademark Office: Fear The Brow &#038; That's A Clown Question, Bro</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/articles/20120626/23325219499/sports-stars-rushing-to-trademark-office-fear-brow-thats-clown-question-bro.shtml</link>
<guid>http://www.techdirt.com/articles/20120626/23325219499/sports-stars-rushing-to-trademark-office-fear-brow-thats-clown-question-bro.shtml</guid>
<description><![CDATA[ Ah, the wonders of trademark law and sports stars.  Earlier this year, we wrote about the rush to <a href="http://www.techdirt.com/articles/20120215/01523817765/linsanity-trademark-office.shtml">trademark "Linsanity"</a> when afterthought point guard Jeremy Lin suddenly became an overnight sensation for the NY Knicks.  In that case, a bunch of others sought the trademark, and a week or so later, Jeremy Lin himself <a href="http://www.techdirt.com/articles/20120220/03241617809/jeremy-lin-joins-linsanity-trademark-scrum-files-his-own-application.shtml">jumped in</a> to try to get the trademark as well.  A quick search at the USPTO shows nine "live" trademarks on Linsanity (well, eight that are just "Linsanity" and one that is "Linsanity 17" -- which is Lin's uniform number).  For what it's worth, it seems like only one of those marks is actually held by Jeremy Lin, and it certainly looks like there may be some overlap, so perhaps there will be some litigation at some point.
<br /><br />
Apparently, young sports stars are very quickly learning to rush to the trademark office.  Baseball phenom Bryce Harper -- at 19 already living up to the <a href="http://sportsillustrated.cnn.com/vault/article/magazine/MAG1156215/index.htm" target="_blank">massive expectations</a> Sports Illustrated lumped on his shoulders three years ago -- recently got some attention for telling a Canadian reporter <a href="http://www.youtube.com/watch?v=JzbhjzsyvGk" target="_blank">"that's a clown question, bro"</a> in response to a question about his favorite beer and if he was going to go out and celebrate with a beer since he's of legal drinking age in Canada (where they were playing).
<br /><br />
The <i>very next day</i>, Harper <a href="http://religion.blogs.cnn.com/2012/06/25/clown-question-bro-takes-off-with-a-t-shirt-a-beer-and-a-trademark/?hpt=hp_c3" target="_blank">filed for a trademark</a> on "that's a clown question, bro."  It almost makes you wonder if he'd been saving up  that line...  As of the latest search, he's the only one filing for it so far, but the link above notes that a brewery in Colorado has already brewed up a batch of beer called "Clown Question, Bro."  Since Harper's application is for apparel, it's unlikely it applies to beer.  Though, if it were me, I probably would have called it "Clown Question, Brew."  Either way, Under Armour, the sporting goods company that Harper has a deal with already, has said that it's going to be releasing a "line" of shirts around the "clown question, bro" phrase.
<br /><br />
Meanwhile, moving back to basketball, there's the news that NBA-bound college hoops star Anthony Davis has <a href="http://www.cnbc.com/id/47951613" target="_blank">filed for trademarks on both "Fear the Brow" and "Raise the Brow"</a> after his... er... "trademark" unibrow.  His explanation?
<blockquote><i>
&#8220;I don&#8217;t want anyone to try to grow a unibrow because of me and then try to make money off of it,&#8221; Davis told CNBC. &#8220;Me and my family decided to trademark it because it&#8217;s very unique.&#8221; 
</i></blockquote>
I'm not quite sure how one "tries to grow a unibrow" if they don't have one already -- and if they legitimately have one, then why is it that only Davis gets to make money from his unibrow?  For what it's worth, as the article notes, the phrase has been popular for a while, surrounding his success at Kentucky, but he couldn't profit from it as that would cut into his eligibility as an amateur (cue rant about stupid college sports rules).  Either way, lots of "bootleg" apparel was sold -- some of which the university tried to stop, though I'm not sure they had any legal basis for doing so in many cases.  There was also one local store, Blue Zone, that sold stuff and filed for its own trademark on the phrase for apparel.  There may be an issue there.  Davis' trademark application is <i>super broad</i> in terms of what he claims it will apply to.   Blue Zone's mark is just for clothing, but Davis' is for a ton of stuff, including clothing, but also fragrances, entertainment "services," water bottles, book covers, pencils, trading cards, lunch bags, <i>facial tissues</i> and much, much more.
<br /><br />
Does Davis have the right to supercede Blue Zone's mark just because he's the one who has the actual unibrow?
<br /><br />
Either way, it seems like a sign of the times, that sports stars these days are rushing to the trademark office at every opportunity to file trademarks on some identifying characteristic.  I'm not sure this is a positive development.<br /><br /><a href="http://www.techdirt.com/articles/20120626/23325219499/sports-stars-rushing-to-trademark-office-fear-brow-thats-clown-question-bro.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20120626/23325219499/sports-stars-rushing-to-trademark-office-fear-brow-thats-clown-question-bro.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20120626/23325219499/sports-stars-rushing-to-trademark-office-fear-brow-thats-clown-question-bro.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>fear-the-clown-brow-question-bro</slash:department>
<wfw:commentRss>http://www.techdirt.com/comment_rss.php?sid=20120626/23325219499</wfw:commentRss>
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<pubDate>Tue, 12 Jun 2012 14:32:00 PDT</pubDate>
<title>What Kind Of Professor Patents A Way To Make It More Expensive &#038; More Difficult For Students To Learn?</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/articles/20120612/03005619283/what-kind-professor-patents-way-to-make-it-more-expensive-more-difficult-students-to-learn.shtml</link>
<guid>http://www.techdirt.com/articles/20120612/03005619283/what-kind-professor-patents-way-to-make-it-more-expensive-more-difficult-students-to-learn.shtml</guid>
<description><![CDATA[ Torrentfreak has the story of an economics professor (of all things) who has apparently <a href="http://torrentfreak.com/anti-piracy-patent-prevents-students-from-sharing-books-120610/" target="_blank">received a patent on a way to try to force students to buy expensive textbooks</a>.  The professor, Joseph Henry Vogel, is positioning this patent (<a href="http://www.patentgenius.com/patent/8195571.html" target="_blank">8,195,571</a>) as an <a href="http://www.prweb.com/releases/2012/6/prweb9574784.htm">"anti-piracy" technique</a>, though it appears that it works equally well in preventing students from <i>sharing</i> a single textbook or merely checking the textbook out of the library.  The details of the patent are hardly new or innovative either.  The basics are that the class has both a textbook and an online discussion board -- and buying the textbook provides you a code that allows you to enter the discussion board.  In theory, you could also just buy the code.
<br /><br />
There'a all sorts of idiocy involved in this situation.  Let's just separate out a few examples:
<ol>
<li>How the hell does something like this get patented in the first place?  There is a tremendous amount of prior art in the form of things like "one-time" use codes for video games and other digital offerings to limit the used sales market.  And yet this still gets approved?  USPTO examiner James D. Nigh should be ashamed for letting this piece of garbage get approved.
</li><li>The claims here (the patent only has four) are so broad and so general, I don't see how it passes the non-obvious test, nor how it is anything more than mashing together a few different things that are widely available already and have been for years.  After the <a href="http://en.wikipedia.org/wiki/KSR_v._Teleflex" target="_blank">KSR ruling</a> the USPTO was <i>supposed</i> to reject broad patents that just combined basic concepts already found in the market.
</li><li>How could a professor of economics actually think that locking up access to information is a good idea?  That alone would make me avoid any class that he taught, as his understanding of information economics is way, way off.
</li><li>It's sad that anyone in academia would think that this is a good idea.  In an age where Harvard and MIT are investing a ton into <a href="http://www.techdirt.com/articles/20120503/05305518758/harvard-mit-back-open-education-with-60-million-online-learning-project.shtml">opening up access</a>, this guy is focused on locking it down.
</li></ol>
The whole thing is extraordinary for how bad of an idea it is -- and the fact that a patent was actually issued on this only compounds the ridiculousness.<br /><br /><a href="http://www.techdirt.com/articles/20120612/03005619283/what-kind-professor-patents-way-to-make-it-more-expensive-more-difficult-students-to-learn.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20120612/03005619283/what-kind-professor-patents-way-to-make-it-more-expensive-more-difficult-students-to-learn.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20120612/03005619283/what-kind-professor-patents-way-to-make-it-more-expensive-more-difficult-students-to-learn.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>insanity</slash:department>
<wfw:commentRss>http://www.techdirt.com/comment_rss.php?sid=20120612/03005619283</wfw:commentRss>
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<item>
<pubDate>Mon, 11 Jun 2012 11:30:00 PDT</pubDate>
<title>Commerce Department's Own Study Debunks Commerce Department's Defense Of Said Study</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/articles/20120608/16323719253/commerce-departments-own-study-debunks-commerce-departments-defense-said-study.shtml</link>
<guid>http://www.techdirt.com/articles/20120608/16323719253/commerce-departments-own-study-debunks-commerce-departments-defense-said-study.shtml</guid>
<description><![CDATA[ So, back in April we <a href="http://www.techdirt.com/articles/20120412/01530018462/ridiculous-white-house-report-pretends-getting-copyrights-patents-trademarks-means-you-benefit-them.shtml">wrote</a> about a bizarre report from the US Commerce Department and the US Patent and Trademark Office, which tried to sum up the "jobs" in "IP-intensive" industries, as a measure of how important those laws were.  As we noted last week, the White House reached out to us and offered up the experts behind the report for an interview -- but when we submitted some questions (as they asked us to do prior to setting up the final interview), they suddenly rescinded that offer and offered up this bizarre and nonsensical statement about how Steve Jobs had lots of patents and Steve Jobs created cool products, so <a href="http://www.techdirt.com/articles/20120607/18223519245/commerce-dept-steve-jobs-had-patents-steve-jobs-made-cool-things-thus-patents-are-great.shtml">patents are important</a>.  They did nothing to refute the insane methodology of the study that attributes all of the jobs of people working in <a href="http://www.techdirt.com/articles/20120607/10055319241/feds-say-we-need-stronger-ip-laws-because-grocery-stores-employ-lots-people.shtml">grocery stores</a>, insurance companies, clothing stores and more to "IP intensive industries."  Nor do they explain why the report is useful in suggesting why we need more copyright laws to protect all those jobs -- when copyright really barely touches on any of the jobs in the list.
<br /><br />
Instead... they focus on this bizarre Steve Jobs example.
<blockquote><i>
All evidence suggests that patents continue to drive innovation in technology. At the time of his death, innovator Steve Jobs had more than 300 patents. Companies such as Apple have made transformative changes in our lives, made possible by massive investments made by intellectual property. But while such companies develop brand-new technologies and services, they also perform incremental innovation. Thus, IP conflicts arise as the byproducts of a very healthy overall innovation environment. The tech industry is characterized by extremely sharp drops in costs over time, extremely strong increases in performance, and multiple changes in market leads, with different companies leading at different points in time. That tremendously competitive marketplace is a sign of the critical role IP rights play in driving technology companies to invest, compete, create jobs, and drive exports. 
</i></blockquote>
Of course, as a friend pointed out, since the report covers trademarks, copyright and patents, it's a little strange that they focused solely on patents in their "defense" of the report.  After all, as the "grocery store" discussion points out, the vast, vast majority of the "jobs" counted in the report are related to trademarks.  And, so far, nearly all of the policy efforts that are highlighting the report are around copyright issues.
<br /><br />
Oh, and then there's this:
<center>
<a href="http://imgur.com/hBUPc"><img src="http://i.imgur.com/hBUPc.png" width=560" /></a>
</center>
That's figure 2 from this very same report.  And, as you might notice, it seems to show that, on an indexed basis, jobs in "patent intensive" industries have been on the decline relative to everything else.  In fact, it seems to suggest that since about 1998 (hmmm... right at the point in which the Federal Circuit appeals court deemed software patentable in the infamous <a href="http://en.wikipedia.org/wiki/State_Street_Bank_v._Signature_Financial_Group" target="_blank">State Street</a> case), relative employment in patent-intensive industries has gone down.  Pretty massively.
<br /><br />
Lets add to it another chart, one we published a year and a half ago, put together by the folks at <a href="http://www.patentlyo.com/patent/2011/01/uspto-patent-grants.html?utm_source=feedburner&#038;utm_medium=feed&#038;utm_campaign=Feed:%20PatentlyO%20(Dennis%20Crouch%27s%20Patently-O)&#038;utm_content=Google%20Reader" target="_blank">Patently-O</a>.
<center>
<img src="http://i.imgur.com/fErsO.jpg" width=560/>
</center>
Note the big jump in patents in 1998, and the continued growth all the while jobs in "patent-intensive industries" seemed to be on the decline?  Yeah.  Isn't that interesting?
<br /><br />
Yes, these are also correlation figures, possibly not causal.  But the correlation can be useful in showing that <i>something</i> doesn't add up from the story (it's not so useful for explaining causation, but rather just for indicating that a causal relationship doesn't appear to be present).  So it seems even more bizarre and more questionable that the Commerce Department is waving around "Steve Jobs had patents" as the defense of the report -- when the data from their own report doesn't even seem to agree with their own conclusion.<br /><br /><a href="http://www.techdirt.com/articles/20120608/16323719253/commerce-departments-own-study-debunks-commerce-departments-defense-said-study.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20120608/16323719253/commerce-departments-own-study-debunks-commerce-departments-defense-said-study.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20120608/16323719253/commerce-departments-own-study-debunks-commerce-departments-defense-said-study.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>*sigh*</slash:department>
<wfw:commentRss>http://www.techdirt.com/comment_rss.php?sid=20120608/16323719253</wfw:commentRss>
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<pubDate>Fri, 8 Jun 2012 11:25:00 PDT</pubDate>
<title>Commerce Dept: Steve Jobs Had Patents, Steve Jobs Made Cool Things; Thus Patents Are Great</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/articles/20120607/18223519245/commerce-dept-steve-jobs-had-patents-steve-jobs-made-cool-things-thus-patents-are-great.shtml</link>
<guid>http://www.techdirt.com/articles/20120607/18223519245/commerce-dept-steve-jobs-had-patents-steve-jobs-made-cool-things-thus-patents-are-great.shtml</guid>
<description><![CDATA[ Yesterday, I wrote about the ridiculousness of the Department of Commerce/US Patent and Trademark Office "study" that claimed to show how many "jobs" there were in "IP-intensive" industries.  Among the many problems with the report was how it defined IP-intensive industries, with the top one on the list being.... <a href="http://www.techdirt.com/articles/20120607/10055319241/feds-say-we-need-stronger-ip-laws-because-grocery-stores-employ-lots-people.shtml">grocery stores</a>.  In fact, most of the "top employers" on the list are industries that -- while they may find IP laws useful to stop consumer confusion over trademarks -- are not at all <em>dependent</em> on intellectual property laws to exist.  In fact, the only one of the "top" industries that you might normally think of as being "IP-intensive" was "computer systems and designs," which includes many of the companies and individuals who have been fighting hard <i>against</i> the expansion of copyright and patent laws.
<br /><br />
And yet, the entertainment industry and government officials have been trotting out the massive "jobs" count in this report as proof that we need expansionist IP laws and agreements like SOPA and ACTA.
<br /><br />
As I mentioned in the post yesterday, back before this report <a href="http://www.techdirt.com/articles/20120412/01530018462/ridiculous-white-house-report-pretends-getting-copyrights-patents-trademarks-means-you-benefit-them.shtml">came out</a>, the White House had reached out to say that they knew I was interested in this kind of information, and asked if I'd like to interview the "economic experts" behind the report.  I said I'd love to interview their experts.  I was passed along to a Department of Commerce spokesperson, who asked me to pre-submit questions before I could interview the "economic experts."  I always find that sort of setup to be a little ridiculous.  Either let me interview the people, or don't.  Don't make me pre-submit questions.
<br /><br />
Either way, I was in the middle of a heavy travel schedule, and it took me a few weeks to have the time to go through the report more carefully, and come up with a list of questions, which I eventually sent.  The spokesperson seemed confused that I would still be interested in this report, even as it was being used repeatedly by entertainment industry execs and government officials as justification for bad policies.  After I followed up a few times, I was told yesterday morning that they were "unable to accommodate an interview" (remember, <em>they</em> had reached out to <em>me</em> first), but provided me with the following "statement."
<blockquote><i>
All evidence suggests that patents continue to drive innovation in technology. At the time of his death, innovator Steve Jobs had more than 300 patents. Companies such as Apple have made transformative changes in our lives, made possible by massive investments made by intellectual property. But while such companies develop brand-new technologies and services, they also perform incremental innovation. Thus, IP conflicts arise as the byproducts of a very healthy overall innovation environment. The tech industry is characterized by extremely sharp drops in costs over time, extremely strong increases in performance, and multiple changes in market leads, with different companies leading at different points in time.  That tremendously competitive marketplace is a sign of the critical role IP rights play in driving technology companies to invest, compete, create jobs, and drive exports.
 <br /><br />
On methodological question:
<br /><br />
The IP report focused on identifying &#8220;IP-intensive industries and examining their characteristics and contributions to the overall economy.&#8221;  One measure of the contribution of these industries to the overall economy is the number of jobs in these industries; other measures we looked at are value-added; wages earned by workers in these industries; and exports.
</i></blockquote>
As I said yesterday, this statement is so ridiculous that I emailed the spokesperson back and said that, while a statement like this one is a <i>goldmine</i> from the perspective of being able to write a story about <i>just how clueless the Commerce Department is</i>, I'd much prefer a substantive discussion in which they respond to the various criticisms and concerns about the report and the methodology.  I pointed out that the statements above do not respond to the criticism, and instead appear to suggest that they don't have a substantive response to that criticism at all.  And thus I hoped they would reconsider and actually respond to the questions.
<br /><br />
Instead, they seem to double down on the exact things that sparked the initial criticism of the report: they don't even try to distinguish the fact that people get patents or copyrights from the question of whether or not those tools were needed for the innovation to occur.  Instead, it's just "well, Steve Jobs had a bunch of patents, Steve Jobs made cool gadgets, thus patents are good."  Correlation/causation fallacy, anyone?  Of course, it's even worse than that.  They talk about the natural state of innovation (competition, driving prices down) and then make the leap to the claim that this proves "the critical role IP rights play in driving technology companies to invest, compete, create jobs and drive exports," despite failing to mention how IP rights have anything whatsoever to do with any of those things.
<br /><br />
As I told the Commerce Department, pointing to some correlation between Jobs having patents and Apple having cool products as proof that the patent system works is like standing on the deck of a sinking Titanic and saying that everything's fine because at least <i>part</i> of the boat is still above water.
<br /><br />
At this point, I can only conclude that the government <i>knows</i> it put out a ridiculously misleading report... or the people involved are so clueless that they honestly think that correlation between companies getting patents honestly means those patents "drives" the innovation in that technology, contrary to plenty of <i>actual</i> studies on the impact of patents on innovation.
<br /><br />
We should demand better of our government.<br /><br /><a href="http://www.techdirt.com/articles/20120607/18223519245/commerce-dept-steve-jobs-had-patents-steve-jobs-made-cool-things-thus-patents-are-great.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20120607/18223519245/commerce-dept-steve-jobs-had-patents-steve-jobs-made-cool-things-thus-patents-are-great.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20120607/18223519245/commerce-dept-steve-jobs-had-patents-steve-jobs-made-cool-things-thus-patents-are-great.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>seriously?</slash:department>
<wfw:commentRss>http://www.techdirt.com/comment_rss.php?sid=20120607/18223519245</wfw:commentRss>
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<pubDate>Thu, 7 Jun 2012 10:40:00 PDT</pubDate>
<title>Feds Say We Need Stronger IP Laws Because Grocery Stores Employ Lots Of People</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/articles/20120607/10055319241/feds-say-we-need-stronger-ip-laws-because-grocery-stores-employ-lots-people.shtml</link>
<guid>http://www.techdirt.com/articles/20120607/10055319241/feds-say-we-need-stronger-ip-laws-because-grocery-stores-employ-lots-people.shtml</guid>
<description><![CDATA[ You may recall that, back in April, we <a href="http://www.techdirt.com/articles/20120412/01530018462/ridiculous-white-house-report-pretends-getting-copyrights-patents-trademarks-means-you-benefit-them.shtml">criticized</a> a Department of Commerce/US Patent and Trademark Office "study" that claimed it was trying to "better understand" intellectual property by adding up all the jobs in "IP-intensive" industries.  We had significant concerns about the report, in particular the reasoning behind the methodology of how it chose "IP-intensive" jobs (and why it thought that had anything to do with stronger IP laws).
<br /><br />
The folks over at KEI have put the problems of the report into plain view by digging into the details of the methodology, and realizing that the vast, vast majority of these "IP-intensive" industries are actually coming from the trademark side of things.  Now, that's fine, but trademark is an entirely different issue than copyrights and patents.  And, even if we dig into the trademark side of things some big questions are raised about the methodology.  For example, in counting up all these jobs, what "IP intensive" industry employs the most people?  
<a href="http://www.keionline.org/node/1432" target="_blank">Grocery stores</a>.
<blockquote><i>
<p>According to the report, the number one IP intensive industry in terms of employment is &#8220;grocery stores,&#8221; with 2.5 million jobs.  The six industries with more than a million jobs are the following:</p>
<p> 1. Grocery stores, 2.5 million<br />
 2. Depository credit intermediation, 1.7 million<br />
 3. Computer systems and designs,. 1.6 million<br />
 4. Insurance carriers, 1.4 million<br />
 5. Management and technical consultants, 1.2 million<br />
 6. Clothing stores, 1.1 million</p>

These are just a few of the industries the Department of Commerce calls IP-Intensive: Oil and gas extraction, Residential building construction, Grain and oilseed milling, Dairy product manufacturing, Lessors of real estate, Gambling industries, Household and institutional furniture, Pulp, paper, and paperboard mills, Sporting goods and musical instrument stores, Travel arrangement and reservation, etc. 
</i></blockquote>
Now, we can argue over just how much grocery stores rely on IP protection, but I think most normal people would agree that even if we abolished IP laws, grocery stores would likely still exist.  Would they employ a different number of people?  Possibly, though I'm not sure the difference would be significant.  The simple fact is that even if grocery stores do benefit from trademark law, the number of jobs at grocery stores that exist because of trademark laws is minimal.  And yet all of them are counted towards this total number -- which is <i>regularly</i> being touted by the entertainment industry as proof as to how important stricter IP laws are.
<br /><br />
But, you might be saying, you know what's missing from the list above?  Yes, that's right: the entertainment industry.  In fact, as KEI points out, the only sector in that list above that can "honestly" be described as "IP-intensive" is "computer systems and designs," and if you look, those were some of the folks arguing most vociferously <i>against</i> copyright law expansions like SOPA and <i>for</i> patent reform that reduced the impact of patents.  To use those jobs as evidence of the need for a stronger IP regime is downright misleading.
<br /><br />
KEI points out that when you look at the number of jobs in the industries that people normally think of as relying on IP, the numbers are much smaller... and even then are potentially misleading in terms of the need and reliance on actual IP laws:
<blockquote><em>
Industries like these overwhelm the statistics on jobs for the more legitimate choices, such as Sound recording industries (just 36.4 thousand jobs), or Software publishers (259.8 thousand), making it seem as though the IP-Intensive industries are truly enormous employers.
<br /><br />
[....]
<br /><br />
It was also pointed out that while the Software publishing sector was a high wage sector, it was a relatively small employer of the professionals in its key occupations. For example, less than 5 percent of computer programmers work for Software publishers. What do the other 95+ percent of computer programmers do? Quite a few build applications and services than use various open source free software platforms, which are both inexpensive and easy to customize.
<br /><br />
And, where is the growth for employment? For the computer, mathematical science occupations, the rate of growth is three times higher outside of the Software Publishers Sector than inside the sector. So what can USPTO or the Economics and Statistics Administration tell us about the relationship between IP and employment? Not much, other than grocery stores, insurance companies and oil companies use a lot of trademarks, and not many people work in the sound recording industry. 
</em></blockquote>
The report itself explicitly states that it is not designed to be used to support any particular policy.  Yet since it's come out, and despite this ridiculous methodology, it is regularly cited by the MPAA, the RIAA and supporters of things like SOPA and ACTA as "proof" that we need these laws.  In fact, Jamie Love from KEI notes that right after the event where they discussed these problems with the methodology of the report, and the fact that all these grocery store employees have been unwillingly drafted to claim they need more IP laws to protect the small number of jobs under the RIAA umbrella, he went to a meeting where a US trade official used the report to claim that it showed we needed to adopt ACTA:
<blockquote><i>
After we left the TACD plenary where the IP and employment report was discussed, the TACD IP Policy Committee met with four US IP/Trade agencies, and three Directorates of the European Union. The meeting began with a US trade official telling us about this new employment study that showed the need for ACTA. No kidding. And, we will certainly continue to hear about this report, with very little understanding of how it was put together.
</i></blockquote>
Before the report came out, the White House had reached out to me, and said that since they knew I was interested in these issues, they could set up an interview with the "economic experts" who put together the report.  I tried to take them up on the offer.  The response was so ridiculous and so embarrassing for the Department of Commerce that I have actually emailed them back asking them to make sure they really wanted me to run a story based on what was said.  I'll have a follow up story soon, either with that response or (hopefully) with a more substantive discussion, should they reconsider.<br /><br /><a href="http://www.techdirt.com/articles/20120607/10055319241/feds-say-we-need-stronger-ip-laws-because-grocery-stores-employ-lots-people.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20120607/10055319241/feds-say-we-need-stronger-ip-laws-because-grocery-stores-employ-lots-people.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20120607/10055319241/feds-say-we-need-stronger-ip-laws-because-grocery-stores-employ-lots-people.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>but-think-of-the-poor-can-stackers</slash:department>
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<pubDate>Mon, 4 Jun 2012 05:03:00 PDT</pubDate>
<title>Cisco Has Enough Of TiVo Patent Claims, Files To Invalidate TiVo Patents</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/articles/20120601/17160019178/cisco-has-enough-tivo-patent-claims-files-to-invalidate-tivo-patents.shtml</link>
<guid>http://www.techdirt.com/articles/20120601/17160019178/cisco-has-enough-tivo-patent-claims-files-to-invalidate-tivo-patents.shtml</guid>
<description><![CDATA[ Over the past few years, as competition in the DVR market has become tougher, TiVo has become more and more reliant on using its patents to stop competition and innovation, rather than focusing on competing in the marketplace.  its most famous case was the one <a href="http://www.techdirt.com/articles/20060413/1929250.shtml">against</a> EchoStar, which even included TiVo <a href="http://www.techdirt.com/articles/20090625/2343205367.shtml">buying a bull</a> (literally) in Eastern Texas, where the district court case was heard.  While it won at the district court level, during the appeals process, the Patent Office suddenly indicated that the patents <a href="http://www.techdirt.com/articles/20100608/1521449744.shtml">might not</a> be so solid.  Not long after that, TiVo and EchoStar worked out a <a href="http://www.techdirt.com/articles/20110502/11360114119/guess-that-bull-texas-was-good-investment-echostar-agrees-to-pay-tivo-to-settle-patent-case.shtml">settlement</a>.
<br /><br />
TiVo found the process so enjoyable that it apparently started thinking about a <a href="http://www.techdirt.com/articles/20110826/00210115693/tivo-apparently-considering-patent-trolling-as-second-act.shtml">second career</a> as a patent troll -- and has already sued Verizon and Motorola.  Not surprisingly, it's been pushing some others to license some patents... and at least one large player has had enough.  Cisco, owners of Scientific Atlanta, a maker of settop boxes and DVRs, has <a href="http://www.reuters.com/article/2012/06/01/us-tivo-cisco-lawsuit-idUSBRE85010320120601?feedType=RSS&#038;feedName=technologyNews&#038;utm_source=feedburner&#038;utm_medium=feed&#038;utm_campaign=Feed%3A reuters%2FtechnologyNews %28Reuters Technology News%29" target="_blank">filed a lawsuit seeking to invalidate four TiVo patents</a> -- or, if the patents are found valid, a declaratory judgment that it does not infringe.
<br /><br />
Of course, by filing first, Cisco was also able to file the case in San Jose, rather than letting TiVo try to get the case into Texas (despite the fact that both Cisco and Tivo are located not far from each other in Northern California).  As far as I know, TiVo has not purchased a bull in San Jose.<br /><br /><a href="http://www.techdirt.com/articles/20120601/17160019178/cisco-has-enough-tivo-patent-claims-files-to-invalidate-tivo-patents.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20120601/17160019178/cisco-has-enough-tivo-patent-claims-files-to-invalidate-tivo-patents.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20120601/17160019178/cisco-has-enough-tivo-patent-claims-files-to-invalidate-tivo-patents.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>offensively-defensive</slash:department>
<wfw:commentRss>http://www.techdirt.com/comment_rss.php?sid=20120601/17160019178</wfw:commentRss>
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<pubDate>Fri, 25 May 2012 10:21:00 PDT</pubDate>
<title>US Gov't Tells Developing Nations That Patents &amp; High Prices Are Good For The Health Of Their Citizens</title>
<dc:creator>Mike Masnick</dc:creator>
<link>http://www.techdirt.com/articles/20120523/17340919053/us-govt-tells-developing-nations-that-patents-high-prices-are-good-health-their-citizens.shtml</link>
<guid>http://www.techdirt.com/articles/20120523/17340919053/us-govt-tells-developing-nations-that-patents-high-prices-are-good-health-their-citizens.shtml</guid>
<description><![CDATA[ There have been plenty of studies showing how -- especially in developing nations -- patents for pharmaceuticals serve to keep important drugs (which are cheap to manufacture) out of reach of the patients who need them most.  In large part, because of this, various world bodies have accepted the idea that nations may decide to ignore patents in the interest of public health and safety.  And that appears to work and be helpful.  For example, we were just discussing how such generic copies were helpful in massively <a href="http://www.techdirt.com/articles/20120523/03175119032/generics-drive-down-drug-prices-india-tpp-trying-to-stop-that.shtml">reducing the price</a> of key drugs in India.  And, no, this did not mean that the original manufacturer was unable to profit.  This was on a drug where the company (Bayer) had made many times over its investment around the globe already, yet was still pricing the drug at over $5,000, while the generics were coming in at between $100 and $200.
<br /><br />
There have been so many studies on this that you'd have to be either ignorant or deceitful to suggest that such a plan was a problem.
<br /><br />
So I'm trying to figure out which adjective should apply to the USPTO, who recently gave a talk to a WIPO committee on the issue of patents and health, in which they argued that such efforts actually <a href="http://keionline.org/node/1416" target="_blank">did more harm than good</a>, and the way to keep people safe in developing countries was to <b>increase patent protection</b>:
<blockquote><i>
There is no easy solution to these problems. Reducing patent protection is not likely to solve these thorny issues.... <b>To the contrary, the lack of effective patent protection can be one of the many factors which prevent the appropriate medicines from reaching the neediest patients in DC and LDCs</b>. Weakening the patent rights granted to pharmaceutical researchers and manufacturers in certain markets not only removes or reduces the incentive to develop new medicines, but also reduces the incentives for innovative medicine developers to invest in those countries and harness their innovation to solving the public health challenges that disproportionately affect developing countries, and are not being solved in other ways.
</i></blockquote>
This statement is hogwash.  First of all, there's nothing stopping these companies from profiting greatly in the developed world with these drugs, as they do already.  And the idea that they wouldn't, say, invest in India if they could only get $100 per drug rather than $5,000... well, who cares?  Considering how much more of these drugs they'd sell at those lower prices, there would still be plenty of profit to go around.  Apparently, the folks at the USPTO have never learned a thing about price elasticity.  Second, if a big pharma is too stupid to know how to provide drugs (which are relatively cheap to manufacture) at a reasonable cost for a profit, it seems pretty freaking natural that other companies are willing to step in and offer generics.  So, really, why should anyone care if, say, Bayer decides to ignore India because it wants $5,000 for pills that others are willing to sell at $120?  We're talking about the health and safety of the public, not Bayer.
<blockquote><i>	Weakening patent protection for innovative medicines is not a productive approach to improving availability of health care, because many other factors other than patents more directly affect the availability of medicines.
<br /><br />
The proof of the weakness of that argument is that although most medicines on the World Health Organization&#8217;s List of Essential Medicines are not protected by patents, their availability in many markets is still limited. This is particularly true in DC/LDCs. Many other factors affect the availability of all medicines, patented or not.
</i></blockquote>
This is a nice bit of sleight of hand, confusing correlation with causation.  No one says that a lack of patents means that such drugs are automatically made available in every market.  But it takes a truly demented view of the world to take that fact and assume that such drugs would be more widely available if only those non-patented drugs <i>were</i> in fact covered by patent.
<br /><br />
From there, the USPTO proposed a study to show how wonderful patents are in getting drugs to poor countries, to "restore balance to the discussion by evaluating the role of patent protection in providing incentives for research and development...."  Funny how they were just talking about drugs that were off-patent not being available... but now they ignore that and it's all about new drug development.  But, more seriously, I find it absolutely hilarious that the USPTO wants to talk about "restoring balance."  This is an organization that has always pushed for "more patents" at pretty much any cost.  The whole software industry is facing a massive crisis of gridlocked development over bogus patents.  If we're going to start "restoring balance" to the patent system, let's start at home.
<br /><br />
This kind of stuff is really sickening, because it's basically the USPTO saying that poor people around the globe should suffer and die if helping them doesn't produce enough profits for big pharmaceutical conglomerates.  I don't know how people taking that position can sleep at night.<br /><br /><a href="http://www.techdirt.com/articles/20120523/17340919053/us-govt-tells-developing-nations-that-patents-high-prices-are-good-health-their-citizens.shtml">Permalink</a> | <a href="http://www.techdirt.com/articles/20120523/17340919053/us-govt-tells-developing-nations-that-patents-high-prices-are-good-health-their-citizens.shtml#comments">Comments</a> | <a href="http://www.techdirt.com/articles/20120523/17340919053/us-govt-tells-developing-nations-that-patents-high-prices-are-good-health-their-citizens.shtml?op=sharethis">Email This Story</a><br />
 ]]></description>
<slash:department>oh-really-now?</slash:department>
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