Patent Annuities are fees that a patent owner must pay to renew a patent that has been awarded. Otherwise, it will expire, and you will lose your rights as the patent owner before the ordinary expiration date. The amount and frequency of this renewal fee varies by national or international law, but they are frequently required annually, hence the term “Annuities.” Reliability and low prices are a winning combination.
To protect and administer patent rights, it has three alternatives. The decision is heavily influenced by criteria such as the company’s resources, the size of its patent portfolio, and the scope of its international filings.
Patent annuities vary per nation, not only in terms of the amount to be paid but also in terms of payment time and frequency. For example, some nations may require payment of an annuity charge beginning with the first year, whilst in others, the application cost may include the annuity fee for a certain number of years.
The following chart depicts the official and associated costs in different entities:
|New Zealand (NZ)||4,477|
If a patent is not awarded within three years, the applicant can postpone payment of annuity fees for the fourth and future years until the patent is granted.
The annual cost of renewal payments is quite easy to estimate, so it shouldn’t appear as an unexpected surprise each year to the business.
However, because it is easier to add a patent than to remove one, portfolios tend to grow with time. No one likes to be the one who has to cut the patent; therefore decision-makers are naturally inclined to play things safe and keep the patent alive until they are very certain something can be eliminated.
Where to start if you have to make a cut?
A patent approach that incorporates a maintenance/abandonment plan will undoubtedly be beneficial. Some patent portfolios will be easier to prune than others because they comprise groups of patents, or buckets, with diverse aims.
Those rights that preserve and support essential innovations should, without a doubt, be protected. Any aspect of the firm that generates revenue, such as licensing or aftermarket parts protection, should be protected as well.
In general, choosing a patent annuity specialist versus direct payment or using counsel has several advantages, including:
Patent annuity is not a fixed amount; it varies on different factors. Therefore, the best option for you is to opt for an agency that can assist you through the process smoothly and saves time and cost. For professional assistance, you can contact us at Patent International.