One of the aspects of this country that makes us such a global beacon of innovation is a patent system where anyone can invent an idea, register it, and be able to profit from it.
However, like all good things, people have found a way to abuse it by over-patenting repeat ideas, filing patents they have no intention of using, and filing patents to extort money out of large companies.
Mark Cuban, high-profile investor, has this to say: “Dumbass patents are crushing small businesses. I have had multiple small companies i am an investor in have to fight or pay trolls for patents that were patently ridiculous”.
Which is why he is starting “The Mark Cuban Chair to Eliminate Stupid Patents” with the Electronic Frontier Foundation.
Here’s what Cuban would like to happen:
I would like to see software patents completed eliminated, or if not eliminated have a five-year max shelf life.
I would like to see design patents eliminated. I would like to require that all patents be used in a business within five years or otherwise become public domain. The concept that patents are being held by non operating companies in hopes that someone will invent something they can sue over is Anti American, a huge tax on the economy and stymies innovation when entrepreneurs truly come up with a business only to find that the way they included tying the shoelaces on their new shoe was patented.
I would also like to see a “cold room” exception. If you can show you invented the idea using completely independent thought, you don’t violate the patent and the patent is invalidated.
This would certainly declog some of the regulatory system and put hundreds of lawyers out of a job.
According to Neil Stevens of Red State, however, the most recent attempt at patent reform, the Obama administration’s “America Invents Act”, has:
crushing small businesses was a feature, since it meant a) more work for lawyers who backed the bill and b) easier competition for the big businesses who backed the bill.
Gee…easier competition for big business, crushing small businesses, and more work for lawyers—sounds like the patent system at work!
This isn’t a left-right issue either: Cuban ascribes very much to the left, and Red State swings right. It goes to show that there are still some issues that we can come together at from both sides and find common ground on, especially ones where the only benefits are going to government and crony capitalists instead of the people.
