What Are the Costs of Obtaining a US Patent – Part 3

by admin - February 10th, 2015. Filed under: Intellectual Property - General, IP Management, Patents.

In my last two posts, I discussed cost considerations for obtaining a United States patent.  However, I did not discuss prices and I know that most readers of this blog would like to see “ball park” estimates.

First, it is essential to understand that with patent applications you will always “get what you pay for” as I explained in my previous posts.  Second, the type of invention and the degree of complexity are probably the next most important cost considerations.

Unfortunately, clients almost universally believe that their inventions are relatively simple and can be easily described and claimed in a few hours.  This is almost always wishful thinking and, thus, totally false.  In fact, if clients reviewed other patent specifications in their area, they would find that that there are a lot of drawings and a large amount of text creating a document that is largely incomprehensible by anyone not familiar with in the intricacies of patent law.  Furthermore, as explained in previous posts, small clients often need greater protection and, thus should expect to incur greater costs.

Statistics indicate that the average U.S. patent costs $36,000 over the 20 year life of the patent.  This number includes application, issue, and maintenance fees paid to the patent office, prosecution costs (preparing responses to patent office rejections), and initial patent application preparation and filing.  Typically, the initial patent application preparation is about half of this cost.  So, if the average patent costs $36,000, the average cost for patent application and filing is about $18,000.  However, this number represents an average cost.  As stated previously, the type of invention and the degree of complexity are probably the most important factors in determining costs.

Below is rough guidance regarding estimating the costs for the preparation and filing of a non-provisional application:

Complexity:

Examples

Attorney Fees

Draftsman Fees

USPTO Fees

Design Applications Shape of an object, such as a cup or bottle $1000 – $2000 $600 – $1000 $400
Extremely Simple A coat hanger or a belt clip $4000 to

$6000

$400 – $600 $730
Relatively Simple A single embodiment of a surgical instrument, a flashlight $5000 – $7000 $500 – $700 $730
Minimally Complex A medical device accessory, a portable oven, a crankshaft, simple gear systems. $7000 – $9000 $700 – $900 $730
Moderately Complex Medical waste compactors, RFID devices, medical devices. $8,000 – $10,000 $700 – $1100 $730
Relatively Complex Business methods, a simple electric motor/generator, medical device systems, medical devices involving limited biologics. $12,000 – $15,000 $800 – $1500 $2000
Highly Complex MRI scanner; complex software systems or networks, pharma, biotech. $15,000+ $1500 + $3000

The above table does not include the costs of patent searching or filing provisional patents.  Often clients can file a provisional patent application for about a third to three quarters of the costs for filing a non-provisional application.

It is also important to note that the above costs are from historical and personal observations and do not represent the costs that my firm charges.  Again, they are only meant to provide the reader with ballpark or order of magnitude estimates.  The reader should talk to a competent patent attorney for estimates involving a specific invention or technology.  For additional questions, contact Bill Naifeh at www.naifeh.com.

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