105TH CONGRESS
1ST SESSION
H. R. 400
AN ACT
To amend title 35, United States Code, with
respect to patents, and for other purposes.
105TH CONGRESS
1ST SESSION
H. R. 400
AN ACT
To amend title 35, United States Code, with respect to
patents, and for other purposes.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘21st Century Patent
System Improvement Act’’.
SEC. 2. TABLE OF CONTENTS.
Sec. 1. Short title.
Sec. 2. Table of contents.
TITLE I—PATENT AND TRADEMARK OFFICE MODERNIZATION
Sec. 101. Short title.
Subtitle A—United States Patent and Trademark Office
Sec. 111. Establishment of Patent and Trademark Office as a Government cor-
poration.
Sec. 112. Powers and duties.
Sec. 113. Organization and management.
Sec. 114. Management Advisory Board.
Sec. 115. Conforming amendments.
Sec. 116. Trademark Trial and Appeal Board.
Sec. 117. Board of Patent Appeals and Interferences.
Sec. 118. Suits by and against the Office.
Sec. 119. Annual report of Director.
Sec. 120. Suspension or exclusion from practice.
Sec. 121. Funding.
Sec. 122. Extension of surcharges on patent fees.
Sec. 123. Transfers.
Sec. 124. GAO study and report.
Subtitle B—Effective Date; Technical Amendments
Sec. 131. Effective date.
Sec. 132. Technical and conforming amendments.
Subtitle C—Miscellaneous Provisions
Sec. 141. References.
Sec. 142. Exercise of authorities.
Sec. 143. Savings provisions.
Sec. 144. Transfer of assets.
Sec. 145. Delegation and assignment.
Sec. 146. Authority of Director of the Office of Management and Budget with
respect to functions transferred.
Sec. 147. Certain vesting of functions considered transfers.
Sec. 148. Availability of existing funds.
Sec. 149. Definitions.
Subtitle D—Under Secretary of Commerce for Intellectual Property Policy
Sec. 151. Under Secretary of Commerce for Intellectual Property Policy.
Sec. 152. Relationship with existing authorities.
TITLE II—EXAMINING PROCEDURE IMPROVEMENTS: PUBLICA-
TION WITH PROVISIONAL ROYALTIES; TERM EXTENSIONS;
FURTHER EXAMINATION
Sec. 201. Short title.
Sec. 202. Publication.
Sec. 203. Time for claiming benefit of earlier filing date.
Sec. 204. Provisional rights.
Sec. 205. Prior art effect of published applications.
Sec. 206. Cost recovery for publication.
Sec. 207. Conforming changes.
Sec. 208. Patent term extension authority.
Sec. 209. Further examination of patent applications.
Sec. 210. Last day of pendency of provisional application.
Sec. 211. Reporting requirement.
Sec. 212. Effective date.
TITLE III—PROTECTION FOR PRIOR DOMESTIC USERS OF
PATENTED TECHNOLOGIES
Sec. 301. Short title.
Sec. 302. Defense to patent infringement based on prior domestic commercial
or research use.
Sec. 303. Effective date and applicability.
TITLE IV—ENHANCED PROTECTION OF INVENTORS’ RIGHTS
Sec. 401. Short title.
Sec. 402. Invention promotion services.
Sec. 403. Technical and conforming amendment.
Sec. 404. Effective date.
TITLE V—MISCELLANEOUS IMPROVEMENTS
Sec. 501. Provisional applications.
Sec. 502. International applications.
Sec. 503. Plant patents.
Sec. 504. Electronic filing.
Sec. 505. Divisional applications.
Sec. 506. Publications.
TITLE I—PATENT AND TRADE-
MARK 
OFFICE 
MODERNIZA-
TION
SEC. 101. SHORT TITLE.
This title may be cited as the ‘‘Patent and Trade-
mark Office Modernization Act’’.
Subtitle A—United States Patent
and Trademark Office
SEC. 111. ESTABLISHMENT OF PATENT AND TRADEMARK
OFFICE AS A GOVERNMENT CORPORATION.
Section 1 of title 35, United States Code, is amended
to read as follows:
‘‘§ 1. Establishment
‘‘(a) ESTABLISHMENT.—The United States Patent
and Trademark Office is established as a wholly owned
Government corporation subject to chapter 91 of title 31,
separate from any department of the United States, and
shall be an agency of the United States under the policy
direction of the Secretary of Commerce. For purposes of
internal management, the United States Patent and
Trademark Office shall be a corporate body not subject
to direction or supervision by any department of the Unit-
ed States, except as otherwise provided in this title.
‘‘(b) OFFICES.—The United States Patent and
Trademark Office shall maintain its principal office in the
metropolitan Washington, D.C. area, for the service of
process and papers and for the purpose of carrying out
its functions. The United States Patent and Trademark
Office shall be deemed, for purposes of venue in civil ac-
tions, to be a resident of the district in which its principal
office is located, except where jurisdiction is otherwise pro-
vided by law. The United States Patent and Trademark
Office may establish satellite offices in such other places
as it considers necessary and appropriate in the conduct
of its business.
‘‘(c) REFERENCE.—(1) For purposes of this title, the
United States Patent and Trademark Office shall also be
referred to as the ‘Office’ and the ‘Patent and Trademark
Office’.
‘‘(2) As used in this title, the term ‘Under Secretary’
means the Under Secretary of Commerce for Intellectual
Property Policy.’’.
SEC. 112. POWERS AND DUTIES.
Section 2 of title 35, United States Code, is amended
to read as follows:
‘‘§ 2. Powers and duties
‘‘(a) IN GENERAL.—The United States Patent and
Trademark Office, subject to the policy direction of the
Secretary of Commerce—
‘‘(1) shall be responsible for the granting and
issuing of patents and the registration of trade-
marks;
‘‘(2) may, in support of the Under Secretary,
assist with studies, programs, or exchanges of items
or services regarding domestic and international law
of patents, trademarks, and other matters;