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White House keeps heat on Bill clause

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HR 1908 – also known as the US Patent Reform Bill – passed a full House of Representatives vote on 7 September, maintaining its impressive pace through the legislature. Yet despite its momentum, the Bill continues to attract controversy, with some of the most significant criticisms issuing from the highest level.

After the vote, a statement from the White House Office of Management and Budget (OMB) kept up President Bush’s disagreement with the Bill’s plans for the apportionment of infringement damages. ‘The Administration continues to oppose HR 1908's limits on the discretion of a court in determining damages adequate to compensate for an infringement,’ said the OMB.

‘Making this change to a reasonably well-functioning patent legal system is unwarranted and risks reducing the rewards from innovation – a result that would undercut the other useful reforms in this bill. The Administration therefore opposes HR 1908 unless it is appropriately revised to address this concern.’

However, praise was also dispensed towards the Bill as it passed its latest hurdle. Jonathan Yarowsky, counsel at the Coalition for Patent Fairness, said: ‘This patent reform will help speed up patent decisions, clear up disputes and clarify the jurisprudence behind these lawsuits. This will streamline innovation.’

The Bill’s next mission is to pass a Senate vote, date TBC; but many insiders have predicted that it will face a Presidential veto if the queried provisions are not altered in time.