Squires Updates Conflict of Interest Guidance for Examiners Following DOJ Settlement Announcement

"For patents to be born strong, and the public to have confidence that they are, we must ensure strict adherence to USPTO's ethical standards and avoid (real or apparent) conflicts of interest."

"The current USPTO guidance instructs examiners to recuse themselves when they hold more than $15,000 in stocks or bonds in an assignee of an application they are examining. Squires' guidance reduces that threshold to zero."

"Examiner Daxin Wu agreed to pay $500,000 over allegations that she examined at least nine applications for companies she held stock in between January 2019 and May 2022. Specifically, the DOJ said that she reviewed applications for companies in which she held more than $300,000 and $140,000 worth of stock, respectively."

Following a $500,000 settlement with patent examiner Daxin Wu for examining applications in companies where she held substantial financial interests, USPTO Director John Squires implemented stricter conflict-of-interest rules. Wu examined at least nine patent applications for companies in which she held over $300,000 and $140,000 in stock, and reviewed competitors of firms where she owned over $900,000 in stock between January 2019 and May 2022. The new guidance eliminates the previous $15,000 threshold for recusal, requiring examiners to recuse themselves from any case involving companies in which they, their spouse, or minor children hold stocks or bonds, regardless of amount. This change aims to strengthen ethical standards and maintain public confidence in patent quality.

Read at IPWatchdog.com | Patents & Intellectual Property Law