A patent can be an exclusive right granted with a government for an invention, which is a product or an activity that provides, in general, a fresh way to do something, or offers a new technical solution to a problem. The facts along the way of acquiring patents will be provided for protecting important intellectual properties. Anyone considering launching a company or selling a new product should think about obtaining a patent, because they provide at least three significant benefits to you as well as your business.
The benefits of securing a patent include:
- Barrier to entry: ability to avoid others from selling a competitive product,
- Increased profits and prices: because you can stop others from selling a competitive alternative, you can charge more for your product, and
- Levelled playing field: a patent can stop large companies from competing against you.
Barrier to entry
The to begin three patent protection benefits can be an exclusionary right. A patent erects a barrier to entry so that others cannot compete against the inventor. They might not have the ability to introduce their version of the patented product into the marketplace. If opponents do enter the market, the inventor could sue rivals and make them “disgorge” (i.e., give back) profits and enjoin them from engaging in (i.e., stop further) sales and marketing efforts.
Remember that a patent is not immediately granted after filing a patent application. Rather, it is merely patent pending. The competitor can only be sued for patent infringement only after the patent application matures into a patent. You may wait ranging from nine months to five years before your patent is granted. For the time being, as the invention is patent pending, competition can appropriate the invention without penalty.
Even though inventor cannot sue the competitor soon after filing the patent application, this is not reasonable to forgo patenting the invention. Filing a patent may be an important part of a successful long-term business plan, regardless of the time for your patent application to mature. For instance, opponents who market the invention prior to the USA Patent and Trademark Office (USPTO) has granted the patent may later become licensees that has to pay royalties on the issued patent. Competitors who market the invention prior to the patent issues also help build a demand for the patented invention. To get more information about inventor of patents covering waze
If it’s critical that the patent mature at the earliest opportunity, there are ways to shorten the time between your filing of the application form and its own examination (e.g., Prioritized Examination Request or Petition to create Special predicated on Age). By filing the Request or Petition, examination will occur within about 4-6 months after filing of the nonprovisional patent application. A patent can be secured in less than 6-9 months. Expedited processing pays to because utility and design patents would otherwise be useless for technology that changes rapidly, e.g., in a couple of years. Associated with that normal examination processing takes about 2-3 years prior to the patent can be granted.
If you assume that your technical solution changes soon, then it may be imperative to request expedited examination when you file your nonprovisional patent application.
Remember that if you get started marketing a product without seeking a patent, you may forfeit the capability to secure a patent. (A one-year grace period and just why you shouldn’t use it.)
Increased prices and profit
The next of three patent protection benefits is the prospect of increased pricing and profit. A patent allows an inventor to market a product at a higher price when there is significant market demand. It does not assist in market demand for the merchandise. For this reason, the benefit for a patent is merely beneficial to inventors with products that there may be a sizable market demand.
I want to explain. When there is a large enough demand for a patented invention, the patent can be used to prevent others from selling their version of the patented product. If another person could introduce their own version of the patented product, prices would drop. Fortunately, the patent prevents them from introducing their version of the patented product. They might be infringing and would be liable for damages and could be enjoined with a court of law.
Quite simply, the patent allows for the patent owner to be the only people who are able to sell the patented product. If there is no market demand, then this might be useless. However, when there is significant market demand as well as your patented product is selling like hotcakes as they say, and then you would theoretically in a position to raise your prices and become more profitable.
The patent gives you to market your patented product at a higher price under this system starting from the date that the patent is granted before patent expires which is generally 20 years after the filing of the patent application.
Levelled playing field with large corporations
The third of three patent protection benefits is that a patent levels the playing field against large corporations. Available on the market, large corporations often have many advantages compared to a small company. They may have funding, marketing relationships, distribution channels, and expertise beyond those of a little company or solo inventor. If a tiny company or solo inventor were to advertise the same product as a big corporation, the small company or solo inventor may likely lose, and the bigger corporation would capture more market share of the merchandise.
However, with a patent involved, everything changes. That is one of the significant advantages to patent protection. If a big corporation were to introduce something that infringed on a little company or solo inventor’s patent, the patent owner would be able to sue the top corporation for patent infringement. The large corporation would be liable for damages and also could be enjoined or stopped from further manufacturing and sales. You may be thinking that the to sue a sizable company is not worthwhile due to high cost of litigation. Litigation costs are high for just about any kind of lawsuit. Patent litigation is especially very high.
That said, at least two different aspects of litigation might convince you that developing a patent is better than devoid of it. First, litigation oftentimes does not go the length; discovery and a jury trial is where litigation costs a lot. Rather, many patent owners and infringers have the ability to negotiate a settlement or the infringer might stop selling the infringing product which is exactly what the patent owner oftentimes desires. Second, although the price for patent litigation is high, there are contingency fee patent litigators that can decrease the financial burden.