Clients:

Patent Services: Getting a Utlity Patent

Simply put, utility patents protect that which makes an invention useful and unique. The holder of a utility patent enjoys exclusive rights to produce, use, and sell the patented invention. Unlike a design patent, a utility patent protects the characteristic function of the invention. Competitors will have to do more than make simple cosmetic changes to the design to avoid infringing upon the patent. Whether you've developed a new device or have come up with a novel manufacturing process, a utility patent will guarantee that no one else can take credit for your innovation.

Whereas design patents protect the aesthetic or cosmetic aspects of a design or product, utility patents cover the operational or functional aspects. That means someone can't take your brilliant new device, slap a different coat of paint on it, and sell it under a different name. Another way to think of it is that a design patent helps to protect your branding, while a utility patent protects the heart of your invention: its function.

With our network of patenting experts, you can quickly find a qualified attorney to help you with the USPTO patent filing system. Our patent lawyers are experts in U.S intellectual property law, and they will guide you through every step of the process from patent drawing to application.

 

How It Works

Depending on your needs, we offer utility patent services for either hourly or fixed rates. We a free estimate based on your project description before you make any decision, allowing you the flexibility to choose the option that best suits your project. The cost of applying for a patent varies according to the complexity and specificities of your invention and the field in which it will compete. This fee covers the entire application process including one round of revisions to the draft. Included in the quote are additional drafts if they are needed or should you desire them.

Individual clients, startups or small businesses often prefer getting a quote for a fixed rate, while larger businesses tend to select hourly billing. The fixed fee on average tends to be less costly overall, though it provides less flexibility than an hourly contract.


Below are broad estimates for patenting services.

  • $6,000 to $10,000 – Complex electronic or computer inventions
  • $4,000 to $8,000 – Mechanical or electrical inventions of average complexity and intricacy
  • $7,500 upwards – Biotech or chemical inventions with DNA sequence listings, etc.
  • $6,500 to $9,500 – Internet Business Method inventions


Allow 2-3 months for our patent experts to prepare your application. Expedited services are available for an additional fee.

For Last-minute fee

For applications that need to be filed within one week, an additional fee of $1,250 applies. It is challenging to offer high-quality and personalized patenting services in such a short period of time, and we recommend against rush applications unless they are unavoidable.

 

Drawing

While the patent drawing standards at the USPTO have loosened in the recent years, a patent drawing is still an essential part of a successful utility patent application. We offer comprehensive patent drawing and drafting services for any invention of any complexity. Our drafter’s fee are approximately $100 to $175 depending on complexity on the design. Contact us for a quote for a more accurate estimate.

 

Patent Office Fees

In order to encourage innovation and support small businesses, the USPTO in 2013 introduced a tiered pricing system. Applicants can select from either Regular status, Small Entity status, or Micro Entity status. Applicants who qualify for Small Entity status are entitled to a 50% discount, and applications who qualify for Micro Entity status receive a 75% discount, relative to the regular fee.

Small Entity Status

A Small Entity is defined as an individual, a business with fewer than 500 employees, a university, or a 501(c)(3) non-profit. To apply as a small entity, you must simply declare as much when you submit the application. Applicants are not entitled to Small Entity status if your invention is to be licensed to a large entity. For example, you may not claim Small Entity Status if your patent is licensed to Samsung or another large company. 

Micro Entity Status
An applicant qualifies as a Micro Entity if they:
  1. Qualify as a Small Entity
  2. Hold less than 4 existing patents
  3. A gross annual income less than 3 times the gross medium household income reported by the Bureau of the Census

OR:

  1. Qualify as a Small Entity
  2. Receive a majority of their income from an Institute of Higher Learning, or are assigning the patent to an Institute of Higher Learning 

Fees in filing any utility application

See the USPTO website for more information on patent fees.

  • Basic Filing Fee: $280 for up to 20 claims which include 3 independent claims. The basic Small Entity paper filing fee is $140. The fee for a Micro Entity is $70
  • Electronic Filing: Small Entities are given an incentive by the USPTO to file electronically. The Basic Filing Fee is reduced to $70 for Small Entities who file electronically.
  • Utility Patent Search Fee: $600 Regular fee; $300 for Small Entities; $150 for Micro Entities
  • Examination Fee: $720 Regular fee;  $360 for Small Entities; $150 for Micro Entities

Please note the following additional fees:

  • If more than 20 claims – Add $40 for each claim that exceeds 20.
  • If more than 3 independent claims – Add $210 for each independent claim over three.
  • If there are any multiple dependent claims – Add $390; Note that the use of multiple dependent claims is not generally recommended.
  • For long applications – Add $200 per additional 50 pages if the application exceeds 100 pages.

 

Assignment

In circumstances where your application is to be assigned, meaning it will be owned by someone other than the inventor/s, there is an additional $200 fee for preparing and recording the assignment. In addition, a $40 USPTO recording fee per patent or application assigned filed on paper is paid together with the legal fees. For recording done electronically, there is no USPTO recording fee. 

Electronic Filing

Most of our filings are done electronically. However, note that there are still circumstances in which originals need to be filed physically. Examples would include certified copies of foreign applications, videos, microfilm appendices, CD-ROMs, etc.

A  penalty fee applies to new applications that are not filed electronically. This fee is $400, or $200 for Small and Micro Entities. Contact Cad Crowd is you have any question about e-filling and our patent professionals will assist you.


After Your Application Has Been Filed...

 

“Patent Pending”

Once a patent application has been filed, you may claim 'patent pending' status for your invention until the application is resolved. This usually takes about 18 to 24 months. Patent Pending status serves to notify the public, other businesses, and potential infringers that they may be liable for damages or other penalties once the patent is acquired.

 

The Information Disclosure Statement – Providing “Prior Art” to the USPTO

Applicants have a duty to supply the USPTO with any prior art or background information that may be pertinent to the patent application's eligibility. Filing an Information Disclosure Statement (IDS), together with copies of all relevant publications known to the inventor, is required by the USPTO. It is generally filed after receiving the official filing receipt from the USPTO, around three months prior filing the application.

If a client becomes aware of any references that are significant to the patentability while their patent is pending, a Supplemental IDS must be filed. A typical example of this is when a foreign patent office points out patents against a foreign counterpart of the US application, or the USPTO points out art in a similar US application.

If an applicant knowingly or intentionally fails to disclose prior art to the USPTO, any patent resulting from the application may be declared unenforceable. 

Prior art or background information typically includes things like past patents, patent applications, journal articles, books, or magazine articles of any language and originating from any nation pertaining to the invention. 

These materials should be seen by the attorney who is preparing the application or prosecuting the application to prepare responses to the Examiner in the USPTO. If you wish to let our patent experts file an IDS for you, let them read and review the reference prior filing it with the IDS.

A separate service fee of $350 is needed for preparing and filing an IDS with up to 20 references. The following additional fees will also apply:

  • For more than 20 references, a preparation fee will be quoted.
  • For references that have not been reviewed by our patent experts which you would like us to review, a quote will be provided.
  • For procuring references when a client cannot supply a copy of a reference, additional fees might be charged by document suppliers.
  • For references in a foreign language which do not have a US equivalent or translation on the internet, a translation fee can be charged.
  • A fee of $180 is charged for submitting an Information Disclosure Statement. This fee is reduced to $90 for Small Entities and $45 for Micro Entities.

 

Other Documents and Processing

A fee of approximately $200-300 is billed for the preparation of other documents. This happens when it is necessary to file a separate application containing informal drawings or application with “missing parts”. Moreover, additional fees are also billed for filing DNA sequence listings, CD-ROM listings, deposits of biological materials, etc.

 

Office Actions

An application is usually responded to by a Patent Examiner nine to eighteen months after being filed. It is not unusual for applications to be rejected or to receive at least one office action. These objections may concern matters of form, or the Patent Examiner may have found prior patents in their search which they felt covered your invention.

Applicants are given 3 months to acknowledge and answer the Office Action by revising the claims, arguing against the rejections, or both. Note that this time period can be extended up to 6 months from the date of the Office Action. However, you may need to pay extension fees. The fees are not generally set because the office actions vary in content. Contact us for more information about our fees in preparing a response.

In general, costs range from $1,200 to $3,500 for a response to a relatively uncomplicated office action. For a larger number of claims to amend, a larger number of references cited by the Patent Examiner, or if there is a need to prepare affidavits from experts and have to conduct personal interviews with the examiner and others, additional fees may be charged. It is therefore difficult to provide a reliable estimate.

There is no guarantee as for the number of times that will we need to respond to USPTO office actions, or to appeal a rejection.

 

Publication of Utility Patent Applications

The USPTO publishes U.S utility patent applications on their website around 18 months after their filing date. The information published about the application appears exactly as it was filed. Bear in mind that there will be no changes after filing the application included in the initial publication.

Note that the 18 months is measured from the earliest filing date. If you filed a provisional application first, or it is a continuation, continuation-in-part or a divisional of an earlier utility application, it will still be published 18 months after the earliest filing date in the chain of applications.

 

Non-Publication

You can request that your application not be published. Be sure to make this request at the time of filing the application, and only if the application will never be filed in a foreign country that requires publication or through the PCT.

If you later change your decision and find the need to file foreign or PCT applications, inform the USPTO immediately or your U.S application will be abandoned.

 

Issue

Currently, the regular issue fee is $960. This is reduced to $480 for Small Entities and $240 for Micro Entities. Once the Patent Examiner has concluded that the application may be issued as a patent, you will be given three months to pay the issue fee. There are also legal fees you need to settle. For preparation and filing of papers, an $800 fee is required together with the issue fee. This fee also includes: reviewing the claims for errors, docketing, and reminding the client about the payment for the first maintenance fee.

Allow 3-4 months after paying the issue fee for the patent to be issued. 

 

Maintenance Fees

The patent is valid for up to 20 years from the date of filing the application. Note that this is from the date of the earliest non-provisional application in the chain, if a continuation, continuation in part or divisional application. Throughout the life of the patent, there are periodic maintenance fees that need to be settled to prevent the patent from expiring.

Currently, we charge a fee of $250 that covers tracking fees listed below, reminding clients when pay is due and filing the fee. Here are the current applicable maintenance fees:

  • 3.5 years after patent date: $1600 fee, reduced to $800 for Small Entities, and $400 for Micro Entities.
  • 7.5 years after patent date: $3600, reduced to $1800 for Small Entities and $900 for Micro Entities
  • 11.5 years after patent date: $7400, reduced to $3700 for Small Entities, $1850 for Micro Entities

“Patent Date” is the date that the Patent Office issued or granted the patent. You can see this date printed on the patent, generally in the upper right-hand corner of the first page, containing the code [45].

 

Are you ready to start the patenting process? Get an estimate now and connect with an expert patent attorney. We offer a full range of U.S intellectual property legal services, including trademarks and copyright. We believe in inventors, and in protecting their intellectual property.