WASHINGTON (Tuesday, March 3, 2009) – Leaders of the Senate and House Judiciary Committees introduced bipartisan, bicameral patent reform legislation Tuesday.

Senate Judiciary Committee Chairman Patrick Leahy (D-Vt.) and Sen. Orrin Hatch (R-Utah), a senior member and former Chairman of the Committee, and House Judiciary Committee Chairman John Conyers (D-Mich.) and Ranking Member Lamar Smith (R-Texas), introduced the Patent Reform Act of 2009 on Tuesday.

The Senate and House bills are similar to bipartisan legislation introduced in the 110th Congress. The House of Representatives passed patent reform legislation (H.R. 1908) in the last Congress, and the Senate Judiciary Committee reported companion legislation in the Senate (S. 1145).

It has been more than 50 years since significant reforms were made to the nation’s patent system. The legislation makes needed updates to the system that will improve patent quality and increase certainty among parties in litigation. Among other things, the legislation introduced Tuesday would move the U.S. patent system toward a “first-inventor-to-file system,” which would give priority to the first true inventor to file an application with the United States Patent and Trademark Office (PTO). The legislation would also improve administrative reexamination procedures, and provide more clarity to all parties about their rights and potential liabilities earlier in the infringement litigation process.

Leahy said, “Patent reform is ultimately about economic development. It is about jobs, it is about innovation, and it is about consumers. All benefit under a patent system that reduces unnecessary costs, removes inefficiencies, and holds true to the vision of our Founders that Congress should establish a national policy that promotes the progress of science and the useful arts. This bill will establish a more efficient and streamlined patent system that will improve patent quality and limit unnecessary and counterproductive litigation costs, while making sure no party’s access to court is denied.”

Hatch said, “I have always said that the patent reform bill would be a multi-Congress endeavor. Today's introduction signals the third and what I hope will be the final round. If we are to continue to lead the globe in innovation and production, we must have an efficient and streamlined patent system. For those who might say nothing has changed, I can attest that it has. Just look at the bill. We have listened to many of the concerns raised by stakeholders and have changed the legislative text accordingly. We all agree that more work needs to be done on the damages and inequitable-conduct provisions. I am confident we can rely upon well-reasoned and persuasive case law, scholarship and other texts to achieve consensus on these two key provisions. Now is the time for patent reform.”

Conyers said, “After working on patent reform for last few years, I am pleased with the introduction of the Patent Reform Act of 2009. I look forward to working with my colleagues to perfect this legislation to bring the reforms that are needed to ensure that the Unites States remains strong in protecting and enforcing the creations of our inventors. This is among the most important things that we will work on as our economic future is dependent on our ability to innovate.”

Smith said, “Part of stimulating the American economy means encouraging growth in industries that are job generators. IP industries provide millions of Americans with well-paying jobs and are critical to restoring American prosperity. But we cannot expect individuals or companies to drive innovation without protecting the creative ideas that generate profit. The Patent Reform Act updates current law to better protect intellectual property and encourage invention. All businesses, small and large, will benefit from this bill.”

The Senate Judiciary Committee is scheduled to hold a hearing on “Patent Reform in the 111th Congress: Legislation and Recent Court Decisions” on Tuesday, March 10. The hearing will be webcast live online (http://judiciary.senate.gov/).

The Leahy-Hatch Patent Reform Act is cosponsored by Senators Chuck Schumer (D-N.Y.), Mike Crapo (R-Idaho), Sheldon Whitehouse (D-R.I.), James Risch (R-Idaho), and Kirsten Gillibrand (D-N.Y.)