Newsroom

Nov. 19, 2013 – NAFCU-supported legislation to reform the patent industry and bring relief to credit unions targeted by frivolous litigation associated with low-quality patents will be marked up by the House Judiciary Committee Wednesday.

H.R. 3309, the "Improving the Patent System to Promote American Innovation and Competitiveness," was introduced by House Judiciary Committee Chairman Bob Goodlatte, R-Va. NAFCU Vice President of Legislative Affairs Brad Thaler wrote in support of the bill last month, noting the measure creates "a more efficient patent system, including NAFCU-supported language that would help protect credit unions from baseless litigation involving questionable business method patents." NAFCU also signed on with other industry trades in support of the bill.

In related news, Senate Judiciary Committee Chairman Patrick Leahy, D-Vt., and committee member Mike Lee, R-Utah, on Monday introduced the "Patent Transparency and Improvements Act," legislation aimed at increasing transparency in the ownership of patents and protecting consumers targeted with frivolous lawsuits related to patent infringement. Sen. Sheldon Whitehouse, D-R.I., is an original cosponsor of the bill.

A Senate Commerce subcommittee held its own hearing earlier this month on the dangers of deceptive practices by patent assertion entities, often called "patent trolls," for their unjustified threats of litigation for alleged patent infringement.