Big Banks Seek More Favors from Congress [Reader Post]


For big banks, the timing could not be worse.

The Supreme Court of the United States ruled this week in the case Stanford vs. Roche, that the historical rights of inventors should be protected – something that is threatened by a pending “Patent Reform” bill awaiting action in the House of Representatives.

Chief Justice John Roberts, writing for the court’s 7-2 majority opinion, sided with the rights of inventors. He noted that “[s]ince 1790, the patent law has operated on the premise that rights to an invention belong to the inventor.” While acknowledging that much has changed in U.S. patent law in 220 years, he emphasized that “the basic idea that inventors have the right to patent their inventions has not.”

Unfortunately for adherents to the Constitution, those “basic ideas” are now threatened. Sen. Pat Leahy (D-VT) championed the reform legislation through the Senate with the intent of harmonizing our patent system with Europe. The House and Senate bills would switch the patent system from a first-to-invent to a first-to-file process used by European and Asian countries. Unfortunately, Leahy had the support of Sen. Orrin Hatch (R-UT) and other Republicans who seemed unconcerned that the legislation would turn American patent law upside down.

Adding insult to injury, the bill contains a provision that will enrich banks at the expense of small business owners. Big banks were instrumental in getting language into the bill that would create a special court review process to invalidate valid patents. This special interest provision rewards the recipients of the largest bailout in American history.

We expect more from House Republicans but some are wondering how much more. House Judiciary Committee Chairman Lama Smith (R-TX) has drunk the Kool-Aid and is pressuring the Leadership to move the bill fast.

Conservatives like Rep. Dana Rohrabacher (R-CA) is challenging the bill on constitutional grounds (“The bottom line is this,” Rohrabacher said. “In our Constitution, the words make it very clear that the original inventor should be the one who receives the patent, not the global standard of whoever files first.”) Other conservatives like Allen West have drawn the line in the sand and are fighting the banker bailout provision.

The bottom line is the House needs to hold the line for conservative principles and ideals. The Senate did not and we know the president will not. To paraphrases the Movie Star Wars: “Help us Speaker Boehner, you are our only hope.”

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I do not know the truth of this, but I understand that the inventor of the weed wacker did not get any thing from his invention. Some large company with more money challenged him in court and made the point that the invention was only common sense that anyone could have done the same thing. Moneyied folks are always trying to break patents for their own welfare. Patents in the US have been one of the ways that a common person could pull themselves out of poverty and succeed. We need to protect our patent rights!! Good post!

Funny how that patent thing works. I’m all in favor of inventors’ rights for patents, and at the same time totally against allowing human gene patents. For those who don’t follow biotech, currently every major human (discovered) gene has now been patented, which has enormous consequences to not only costs of the related medical tests, but the control over future (yet to be discovered), uses for the specific genes.

Oh dear Gods, if they pass that Patent reform then Texas will light up like a Christmas Tree from a load of Tech Firms scrambling to sue the various major brand name companies such as SONY, Apple, Nintendo… You get the point. These “First to file” patent holders in the States and around the Globe generally sit on the patents to try and sue major successful businesses with an example of Immerision pressing a suit against Microsoft, Nintendo and SONY for apparent “patent” infringement.” LG is pressing a lawsuit against SONY over a Blu-Ray drive issue that has seen the Playstation 3 inbound shipments to many EU nations banned till the suit is over and SONY’s engineers with Toshibia were the inventors of Blu-ray…

This is going to kill technology advancement and will cause consumer goods to rise in price and become scarce if the businesses still survive from the set of parasites out there that’ll sue for being, “First to file” style of patents.

Can you fill in some more details here? Why are *banks* of all entities interested in the creation of a special court for invalidating patents? I don’t think of them as having special interest in intellectual property matters but maybe I missed something.

The banks get special privileges in Section 18 of the bill:

This is hilarious! The banks are WORTHY of a special court, they just know how to WHINE to Congress and pay to get what they want!!!!

Why do we keep these guys in office?????