The Dangers Of Patent Fraud

Piracy, bootlegging, counterfeiting or other methods of producing and marketing goods and services illegally are at an all time high. These activities are not only gross violations of the Intellectual Property Rights, but also result in fraudulent representation of the original patented product or services. Patent frauds have given rise to a plethora of substandard products which include even life-saving drugs in some countries. The counterfeits are damaging the goodwill of the original manufacturer, capturing the market niche and usurping genuine profits of the owner of the patented trademark or brand. Though counterfeiting is more often than not described in the same context as a trademark infringement, patent frauds may also involve any or all aspects of the Intellectual Property Right (IPR) violation, including patents, copyrights, trade secrets, etc.

Patent frauds can not only damage the manufacturer's goodwill in the market, with cheap and sub-standard quality products, it is proving hazardous to the consumer and the nation at large. It misleads and confuses the end customer by providing a low priced option which comes with no quality assurance. When the patent frauds are associated with prescription drugs, it may put the customer at serous health and safety risks.

The business of counterfeiting has spread its ugly tentacles across many businesses and service functions. Today, everything from plagiarized copies of Microsoft Windows to incorrectly produced baby formula, drugs and medications, aircraft and automobile parts are easily available in the market. According to a recent report published in the American 'Chemical & Engineering News' - "just a few years ago, Americans could boast with confidence that they had the safest prescription drug supply in the world. Now, they cannot be so sanguine". Even the FDA acknowledges the rapid growth of fraudulent practices in the manufacture of prescription drugs. This is of course evident from the increase in counterfeit drug investigations from 5 times in 1990 to 20 times in a year in the year 2000.

So what could be the lessons for a new inventor in this age of IPR piracy and patent frauds? Firstly, never rush through the process of invention. Take your time to decide on all the important aspects of your idea. Then, before you divulge any bit of your invention idea or give out any money to an invention development company, thoroughly investigate. Visit the FTC website to access all relevant information about the invention marketing companies, just to be on the safe side. A well-informed and educated inventor is ultimately a safe and better inventor.

The next precautionary step an inventor should take is to get educated on the invention process. The Federal Trade Commission (FTC) and the USPTO have enormous information available for new inventors which you should take before embarking on an expensive invention process. Scam Prevention from USPTO, Spotting Sweet Sounding Promises of Fraudulent Companies (FTC) are only two of the informative articles which you can read. Make objective evaluation of any 'marketing evaluation' study which an invention marketing company may give you. Networking with other inventors is another good idea to know more about the field. Meeting these inventor groups could give you valuable insight with marketing your own inventions. Their experience could prevent make many pitfalls in your path of progress with your patent.