Overview

In Japan, a new fee reduction and exemption program for small and medium enterprises (SMEs) and other entities was introduce in April 2019. This program applies to fees related to examination requests and patent registrations, including annuities from the first year to the tenth year, provided that the entity meets specific requirements. Although four years have already passed since the system which is also applicable for foreign entities was introduced, it is not yet widely known among overseas applicants, so we will introduce it in this article.

Simplified Application

In the previous system, an applicant or a patentee who request fee reductions or exemptions should submit document for proving its eligibility for the reduction or exemption. Under the new system, submission of these documents are no longer needed. It is enough to clarify the category for which you are applying for a reduction or exemption and state “omit submitting the document for the reduction or exemption” in the application form.

Cost-Saving Impact

Given the high cost of examination fees at the JPO, which include a basic fee of JPY 138,000 and additional fees per claim (JPY 83,000 for international patent applications with Japan Patent Office-prepared international search reports), utilizing the reduction/exemption program is highly advantageous for applicants to minimize expenses.

Reduction and Exemption

* Eligible applicants are subject to various requirements related to factors such as organizational structure and business size.

Points to note

The JPO specifies eligibility requirements based on criteria such as the number of employees, the amount of capital or total investment, and the influence of large enterprises. As eligibility is assessed at the time of application, changes in an entity’s size or status before patent fee payment may affect its qualification for the reduction/exemption.

Also, there are some differences in terms of the requirements of this program between Japanese national applicants and overseas applicants. Therefore, if you would like to learn more about the eligibility requirements for overseas applicants specified by the JPO, please click the URL included in the External link below.

Recommendation

For businesses planning to file patent applications in Japan, consulting a Japanese patent attorney is strongly recommended to understand the specific requirements and maximize the benefits of the reduction/exemption program.

Conclusion

Patent applications and the maintenance of patent rights incur significant costs at each phase. By utilizing the JPO’s reduction and exemption program, applicants can achieve substantial cost savings. We encourage you to take full advantage of this system.

External link

For more details, visit the JPO’s official page on the Patent Fee Reduction/Exemption Program:

https://www.jpo.go.jp/system/process/tesuryo/genmen/genmen20190401/document/index/leaflet_e.pdf