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Wednesday, July 9, 2014

I Think that the Worm is Turning on IP

Ten years ago, 90% of the population did not know what a patent troll was, and now popular effort sinks the nomination of a patent troll supporter to run the USPTO:

The Obama Administration has changed its mind over a plan to name pharmaceutical executive Phil Johnson as head of the U.S. Patent and Trademark Office, according to multiple sources. The reversal is a victory for the technology industry and other proponents of patent reform.

The plan to appoint Johnson surfaced in late June, and was met with outrage on social media, where critics claimed the choice reflected hypocrisy on the part of President Obama, who had called for fixes to the patent system in his January State of the Union address.

Johnson, a longtime attorney for Johnson & Johnson, was a controversial nominee in part because he helped lead opposition to a bipartisan bill, which died in May, that would have made it easier for companies to challenge bad patents and to seek legal fees from so-called “patent trolls.” He has also publicly scorned previous attempts to reform the patent system.

News of the White House’s decision to backtrack on the appointment came via a person close to the Administration, and was confirmed by several industry sources. The final decision to pull the plug may have occurred after Senator Chuck Schumer (D-NY) vocally declared his opposition to Johnson. Schumer, who was one of the authors of the failed reform bill, has regularly blasted the harm the current patent system is inflicting on start-ups and young companies.
It would have literally inconceivable that someone like Johnson would have been shot down by a bunch of people objecting to the legal fine points of the purpose of IP.

While IP protections have their place, are a form of rent seeking, and for a just and prosperous society, it behooves us to minimize the level of rent seeking to the absolute minimum level to encourage artistic and technological production (Article I, Section 8, Clause 8 of the United States Constitution).

This is baby steps, but if it is the start of a trend, it constitute a seismic shift from the (completely ahistorical, United States industry was built on IP appropriation) view that ever more expansive protections to IP are essential to economic well being.

Now if only we can convince the US Trade Rep to chill out.

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