EPO introduces fee reductions to support European patent access

A series of fee adjustments at the European Patent Office marks changes for patent applications | Changes include reductions benefiting small entities, removing certain charges, and moderate increases in internal renewal fees.

European patent applicants and stakeholders are set to witness significant alterations in fee structures, as the European Patent Office (EPO) ushers in a wave of adjustments.

These amendments included fee reductions targeting small entities and the elimination of certain charges, alongside moderate increases in internal renewal fees.

Following a review of the EPO’s fee system by the Administrative Council, a series of changes came into effect on April 1.

Richard Ellis, director of patents at Freeths, said: “We believe that these new fee reductions will be welcomed by applicants looking to protect their intellectual property across Europe.”

Ellis explained these changes aimed to “decrease the financial burden on smaller applicants and non-profit organisations in obtaining patent protection and commercialising their inventions”.

He added that this is hoped to “encourage a higher number of these types of applicants to engage in patent protection activities at the EPO to support their growth and development.”

This comprehensive package of fee measures introduces dedicated reductions for micro-entities and also aims to “streamline the fee system, promote digitalisation, and ensure the financial sustainability of the organisation through judicious adjustments,” according to the EPO.

Tailored fee reductions to support innovation access

In a move to extend support to innovative entities looking for access to the European patent system, the EPO rolled out tailored fee reductions, particularly benefiting micro-enterprises, natural persons, non-profit organisations, universities, and public research entities.

The EPO’s definition of a micro-enterprise is a company which employs fewer than 10 full-time employees, and whose annual turnover and/or annual balance sheet total does not exceed €2 million (approximately $2.17 million).

These micro-entities will see a 30% reduction across all main fees in the patent grant procedure, as long as they filed fewer than five applications in the last five years.

However, care must be taken to ensure that the fee reductions are being validly claimed, as an application may be deemed withdrawn if it is found that fees have been underpaid due to an incorrect status declaration.

Previously, fee reductions at the EPO were only available for certain entities filing applications in European languages other than English, French or German, explained Ellis.

“The new fee reductions therefore now offer financial support for a broader range of applicants,” he added.

Applicants wanting to benefit from the fee reductions must make an appropriate status declaration prior to payment of the fees, which may be made in the request for grant of a European patent (EPO Form 1001) or request for entry into the European phase (EPO Form 1200).

Additional support

This initiative supplements existing support measures for small and medium-sized entities, such as reduced filing and examination fees for applications in official languages other than English, French, or German, a compensation lump sum for Unitary Patent-related translation expenses, and a discounted appeal fee.

Some further fee reductions have been introduced to incentivise the use of the EPOs web-based online services, said Ellis.

“In some cases, use of the online services allows certain transactions to now be carried out with zero fees,” he explained.

These fee reductions are available to all users of the online services.

Moderate fee increases

However, moderate fee increases have been introduced to counteract the impacts of inflation and reduced income.

Procedural fees, with the exception of filing, opposition, and appeal fees, will see a 4% adjustment.

This move aims to ensure that the adjustments over the past two years remain more than 7% below the real inflation rate, owing to efficiency gains within the Office.

To align internal renewal fees with operational requirements, six out of eighteen fees saw an increase. Given the comprehensive scope of fee changes, the biennial inflation adjustment scheduled for 2025 will not happen, according to the EPO.

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