NEWYou can now listen to Fox News articles!
In his address a A common session of CongressThe president predicted that “our country was on the verge of a return, which the world never testified about.” This prediction was substantiated by his recent announcements on the massive investments of the new private sector in AI infrastructure and new executive orders to ensure that the US leads the world in the future industry.
In order to fulfill the promise that these actions suggest, however, it is crucial that the president Donald Trump Support for steps to achieve the US intellectual ownership system, the cornerstone of our innovation economy, exploitation of malicious foreign interests and installing a new leadership to help lead a return.
For starters, we have to deal with the fact that legal damage to patent violation is no longer calculated reliably. US courts have strayed from healthy estimates at the expense of US innovation.
President Donald Trump signs the executive order at the oval office of the White House, March 7, 2025. (Reuters/Evelyn Hockstein/File Photo/File Photo)
When the company sues for patent violation, potential damage should be limited to specific the value of fundamental technology. Unfortunately, this narrow focus has become more relaxed, and prosecutors now claim that the calculations of the damage are far greater than the value of their intellectual property.
Why do the US have to confirm industrial domination in the light of the ends of China-European
Consider advanced Chips are powered by AI technology. Each chip contains thousands of parts, many of which are covered with separate patents. If the prosecutor accuses the manufacturer of patent violation, he should be able to seek only the damage limited to the value his patented invention adds the values of the chip. Instead, courts are increasingly assisting damage based on the value of the entire chip.
The outcome is unreasonably major reward for damage. In 2024, judgments of more than $ 10 million, $ 50 million and $ 100 million in patent cases rose over previous years. We even see cases where the damage comes to billions. Excessive damage is unjust is the financial drainage for high -tech manufacturers and a number of other innovative companies forced to pay more than they should reach.
Passed damage is in legal waters. Chum attracts sharks. In this case, entities that do not practice (NPE)-which do not invent devices or techniques or build and sell products-collect patents for breastfeeding and profit from lawsuits that require violation. More than half of all patent violations In the US, they are now running NPES because the patent lawsuit has attracted a rush of external capital.
The possibility of winning the damage from the eye has attracted the attention of investors in civil procedures that finance legal actions in exchange for a share in any financial return. Investments in litigation are a big job, which today is more than $ 15 billion in the US; Patent cases are also the largest category of new financial obligations in recent years.
Left thinks Trump’s tariffs are a statement of war. But they are without a idea of a battlefield
The NPES awards for great damage are ideal investment vehicles, especially because in many jurisdictions, the investor is allowed to remain anonymous. Director of Trump CIA President John Ratcliffe called NPES their famous colloquial name “patent trolls” when he explained problems with this arrangement, namely “by financing the patent trolls – Shell Companies, whose independent purpose is to submit patent laws on violation – unpublished, including intellectual companies.
US patent scholarships to global competitors increase. The 2024 Chinese companies recorded a 32% increase in American patents, and foreign companies play a game for superiority in a series of top industries. Among them, Chinese startup, Deepseekpublished by AI model that causes the best that US companies can offer.
It is crucial that we strengthen the rules that regulate our intellectual ownership system so that US innovators do not interfere with those who try to dinner the system.
President Trump makes moves to bring golden age to US small businesses
Three reforms are needed to resolve the causes of this abuse. First, the federal courts should re -confirm their role as evidential goalkeepers, ensuring that unreliable testimony, which inflates the damage, does not represent the jury. We cannot expect the jury to make accurate decisions if alleged experts feed them on bad information.
Second, the Congress should adopt the Law on Transparency of the Civil Procedure Darrell Issa, a simple measure of transparency that requires that investors in litigation discover their participation in cases.
Finally, Trump’s administration must strengthen the Committee on Patent Patent Patent (PTAB) to give our innovators resistance to distract and defense against abuse. PTAB and administrative patent judges (Absjs) serve there are in charge of canceling bad patents, many of which use NPES to extort productive companies.
Click here for more Fox News opinions
The APJ -do their jobs much more effective than federal courts, and PTAB is funded by fees, not taxpayers. President’s new nominated to run a patent officeJohn Squires, it would be wise to ensure that PTAB could continue this important operation.
Rewards for damage to the right size, increasing judicial transparency and empowering the patent quality examination will eliminate obstacles with economic progress and prevent our competitors to undermine the US industry. Everyone should be priorities for creators of politics in the days to come.
