How to fix the patent system

patent-fix.txt

How to fix the patent system:

Each time a legal entity files a patent the fee doubles. When an entity with patents acquires another entity with patents then the patent fee is recalculated and the difference must be paid to acquire the patents of the new entity. 

Example:

Legal entity A files for its first design patent. The fee is $180. 

Legal entity A files for its second design patent. The fee is $360. 

Legal entity A files for its third design patent. The fee is $720. 

Legal entity B has previously filed for 2 patents and paid a total fee of $540. 

In order for A to acquire B and retain all patents A must pay for filing two more patents ($1440 + $2880) minus the $540 already paid by B. 

This may not sound like a lot, but the price of holding 18 patents would be $94,371,600:

http://www.wolframalpha.com/input/?i=180+%2B+180*2+%2B+180*2%5E2+%2B+180*2%5E3+%2B+180*2%5E4+%2B+180*2%5E5+%2B+180*2%5E6+%2B+180*2%5E7+%2B+180*2%5E8+%2B+180*2%5E9+%2B+180*2%5E10+%2B+180*2%5E11+%2B+180*2%5E12+%2B+180*2%5E13+%2B+180*2%5E14+%2B+180*2%5E15+%2B+180*2%5E16+%2B+180*2%5E17+%2B+180*2%5E18+

The price of holding 22 patents would be over 1.5 billion dollars.

This should deter even the largest corporations from holding thousands of patents while still allowing the small inventors to patent their inventions without a prohibitive cost.