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Get Your Wallets Ready – The Price of Patents Are Going Up!

By Puya Partow-Navid on November 21, 2024
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Vladimir Solomianyi, Unsplash

Attention, inventors, in-house counsel, and anyone with a vested interest in the world of intellectual property: the USPTO just issued its final rule for patent fees. This is a follow-up to the 2023 proposal—but with a slightly softer landing.

Starting January 19, 2025, the cost of securing those all-important patent rights is going up—because inflation, higher examiner pay, and new small-entity discounts have left the USPTO needing more revenue to keep the lights running. USPTO Director Kathi Vidal, who is heading back to private practice next month, assures us these changes will “enhance examination quality” and keep pendency goals on track. So, while you may be feeling the burn in your wallet, rest easy knowing the extra cash is (hopefully) going to good use.

Most fees will increase by 7.5% across the board (down from the proposed 10%—phew!). Filing, search, and examination fees will see a smaller bump of 2.5%. Still, the USPTO points out that these increases are lower than inflation since 2020, so… yay for perspective?

Here is a brief summary of what is changing and what is staying (relatively) the same after some heavy public pushback. The fee changes are not limited to the fees discussed below. As noted in the Federal Register notice, the USPTO is setting or adjusting 433 fees, including 52 new fees.

  • Patent Term Extensions (PTE): Originally slated to jump from $1,180 to $6,700, the fee is now a more reasonable $2,500. Drug industry critics called the earlier hike a “tax on innovation,” and the USPTO relented, but only a little.
  • Requests for Continued Examination (RCEs): No more tiered pricing! The second and subsequent RCEs will now cost $2,860 (instead of the proposed $3,600 for the third). Critics argued the previous plan penalized applicants for clarifying rights. The USPTO says it’s not here to discourage filings, just to align fees with costs.
  • Continuing Applications: Filing fees kick in at six years ($2,700) and nine years ($4,000) after the original application, giving applicants more breathing room than the five- and seven-year proposals from 2023.
  • Design Patents: Filing will now cost $2,600 (up from $1,760). Critics argue that it is too steep compared to other countries, but the USPTO says its examinations are more thorough.
  • PTAB Proceedings: Inter partes review will now set you back $23,750 for up to 20 claims. Post-grant reviews? $25,000. Ouch.
  • Director Reviews: This new fee ($452) covers requests for the USPTO director to review PTAB decisions. Fun fact: this used to be free. All good things must come to an end!

With fee-setting authority expiring in 2026, it’ll be interesting to see if Congress lets the USPTO keep the reins. Critics are warning that these “dramatic” increases could put the USPTO’s fee-setting authority in jeopardy. The office counters that it’s listening to feedback while staying financially responsible. With the freshly minted Department of Government Efficiency (DOGE) on the horizon, perhaps the USPTO is preemptively hedging against potential cost-cutting interventions. Stay tuned—this could get interesting!

Mark your calendars for January 19 and get those budgets ready. These fee changes are approaching fast. If you are working with budget constraints, consider filing your patent application or tackling related prosecution matters before the deadline to save some cash.

Photo of Puya Partow-Navid Puya Partow-Navid
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  • Posted in:
    Featured Posts, Intellectual Property, Technology, Trademark
  • Blog:
    Gadgets, Gigabytes & Goodwill Blog
  • Organization:
    Seyfarth Shaw LLP
  • Article: View Original Source

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