Appendix F: "Patent Policy" and "Patent Policy Procedures"

Patent Policy

I. Introduction

This policy defines and establishes the respective rights and obligations of University faculty and staff regarding patents and inventions developed by them. Certain terms used in this policy are defined in Section V.

II. Ownership of Patents

A. Patents Developed by University Staff

Patents and inventions developed by University staff within the scope of their employment are the property of the University.

B. Patents Created by University Faculty

Patents and inventions developed by faculty members shall be the property of such faculty members, except as follows:

  1. Sponsored Research

    Patents and inventions arising in the course of sponsored research shall belong to the University.

  2. Research Financed Wholly or in Part by Federal Government Funds

    Patents and inventions which result from research financed wholly or in part by Federal Government funds will be treated in accordance with the provisions of Public Law 96-517, "The Patent and Trademark Amendments of 1980," and will be owned by the University.

  3. Research Financed Wholly or in Part by Industrial, Philanthropic or Other Organizations, Including Non-Federal Government Agencies or by Individuals, Under Contracts or Written Agreements with the University

    Rights with respect to patents and inventions in this category will be governed by the agreement between the University and funding source.

  4. Research in the Course of Assigned Duties or Conducted Wholly or Significantly Through the Use of General Funds

    Patents and inventions developed in the course of assigned duties or developed wholly or significantly through the use of general funds shall belong to the University.

  5. Foreign Patents

    All rights to foreign patents and inventions shall be retained by the inventor, unless these rights are specifically claimed by the University.

  6. Special Projects

Special projects are activities to which the University makes a substantial contribution of funds, personnel, facilities, services, or reduction of workload. What constitutes a "substantial contribution" for purposes of this definition must be decided on a case by case basis. Special projects will frequently, but not always, be characterized by release time to the inventor or inventors, by the substantial use of University facilities, and/or by the contribution of University employees other than clerical and secretarial employees.

C. Research Financed Under Terms of Consulting Contracts

Patents and inventions developed under terms of consulting contracts are governed by Section III of this policy. University personnel may not use University facilities for work related to consulting agreements without prior written approval of the appropriate deans. It is the responsibility of University personnel to advise potential consulting clients of their University obligations prior to entering into consulting agreements.

D. Student Developed Patents and Inventions

Patentable works developed in connection with coursework by students who are not University employees are deemed to belong to the student. However, the University may claim ownership of a work when extraordinary use of University facilities, personnel, or resources is made in the development of the invention, especially when unrelated to course work.

III. Royalty Allocation

Income received by the University from a patent or invention shall be used first to reimburse the University for direct assignable expenses incurred in connection with the patent or invention. Income which exceeds reimbursable expenses shall be divided between the inventor and the University.

IV. Authority to Act for the University

The Board has adopted initial procedures to implement this policy. The President may make changes in such procedures. The President or his designee shall report to the Board on University patent activities, including but not limited to any changes in the procedures and a list of patents and inventions in which the University has claimed an interest, at the November meeting of the Board each year beginning in 1986.

V. Definitions

A. Administrative Unit means college, institute, school, department, center or other similar sub-division of the University.

B. Board means the Board of Visitors of George Mason University.

C. Faculty has the same meaning as in the current George Mason University Faculty Handbook. For the purpose of this policy statement, administrative faculty are considered "staff" when they are fulfilling their administrative roles and "faculty" when they are carrying out their duties as regular faculty members.

D. Invention means any patentable invention, discovery, or new plant variety.

E. Inventor means sole or joint inventors, discoverers, or plant breeders.

F. Patent means a United States or foreign national patent grant, or United States certificate of invention or certificate of protection under the Plant Variety Protection Act.

G. President means the President of George Mason University.

H. Proceeds means the net remaining after deduction of unreimbursed development costs incurred and the expenses of marketing, including cost of advertising, sales, distribution, and related overhead costs.

I. Reimbursable Expenses includes all direct assignable expenses incurred in connection with the development of a patent or invention.

J. Sponsor means any agency outside the University which supplies funds or facilities for research conducted under agreement with the University.

K. Staff means all employees of the University other than faculty.

L. University research personnel means University faculty, staff, and students who as part of their normal scholarly activities carry on research which may be supported in whole or in part, by the University from its own resources or by grants from or contracts with outside sponsors.

M. Assigned Duty is narrower than "scope of employment," and is an undertaking of a task or project as a result of a specific request or direction. A general obligation to do research, even if it results in a specific end product such as a vaccine, a published article, or a computer program, or to produce scholarly publications, is not a specific request or direction and hence is not an assigned duty. In contrast, an obligation to develop a particular vaccine or write a particular article or produce a particular computer program is a specific request or direction and is therefore an assigned duty.

N. Significant Use of General Funds, and the phrase "developed wholly or significantly through the use of general funds," mean that general funds provided over half of the identifiable resources used to develop a particular intellectual property, and exceeded $10,000.00. A reasonable cost should be assigned to those resources for which a cost figure is not readily available, such as salary, support staff, and other equipment and resources dedicated to the creator's efforts. Resources such as libraries that are available to employees generally should not be counted in the assessment of the use of general funds.

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Patent Policy Procedures

I. Introduction

These procedures implement the Patent Policy established by the Board of Visitors. Certain terms used in these procedures are defined in Section V of the Patent Policy.

II. Authority to Act for the President

The authority to act for the President in all matters involving intellectual property including copyrights and patents, including the making of contracts and the waiving or assigning of University rights is hereby delegated to the Vice Provost for Faculty Affairs and Research ("The Vice Provost").

III. University Intellectual Property Committee

The Vice Provost will be advised by a University Intellectual Property Committee ("the Committee") elected by the Research Advisory Committee. The Committee will consist of five faculty members actively involved in intellectual property matters. The Vice Provost will chair the Committee and will be a non-voting participant in all Committee deliberations. All Committee terms are rotating for three years; the members may be reappointed.

The Committee's duties will include:

A. To recommend whether the University has a proprietary interest in a faculty invention, and, if so, to what extent, should the faculty inventors and the Vice Provost disagree;

B. To recommend the relative shares in the work of faculty co-inventors, should the faculty co-inventors and the Vice Provost disagree;

C. To recommend whether to apply for a patent and/or to market the work, should the faculty inventors and the Vice Provost disagree; and

D. To make recommendations on all matters pertaining to patents not resolved by this policy procedure and recommend modifications of the Patent Policy that may be appropriate.

IV. Procedure for Identifying Ownership of Patents

Each faculty member shall report to his or her chair any invention that might be subject to patent, including a statement describing the circumstances under which the invention was conceived and reduced to practice, generally in the form of a Record of Invention (ROI). The faculty member will also:

A. Identify the sponsor, if any, of the project or programs under which the invention was developed, directly or indirectly;

B. Indicate whether the invention was made under terms of a consulting agreement between the inventor and a client.

The Chair shall forward this material to the Dean, and they shall recommend to the Vice Provost those inventions in which the University does and does not hold rights. The Vice Provost, following any necessary consultation with the Intellectual Property Committee, shall make a final recommendation to the President. If the President determines the University holds rights to an invention, the inventor agrees to assign all rights, title and interest in and to said invention to the University in consideration of his employment remuneration and the compensation provided by this policy on inventions.

V. Rights with Outside Agencies

Public Law 96-517, "The Patent and Trademark Amendments of 1980", provides that George Mason University may retain full title, rights and interest in inventions made under contract with the government, with certain exceptions for unusual circumstances and requires that the University act in timely fashion to:

A. Disclose inventions to the Government;

B. Elect to retain title to inventions;

C. File patent application on such inventions.

Except as superceded by provisions of a specific funding agreement, inventions and discoveries covered are retained by the University.

The principal investigator is responsible for informing co-workers of their rights and obligations under consulting contracts or sponsored agreements before initiation of the research. Inventions which are not required to be assigned by contractual terms shall be processed and disposed of by the University under the procedures of Section VI of these procedures.

VI. Procedures for Processing Patents in which the University has an Interest

Inventions shall be evaluated within 90 days of notice by the University for novelty and patentability, and then:

A. Released to the inventors if found not to be of interest to the University in which case the University shall retain a non-exclusive, royalty free license to use the invention for its educational, research, and service purposes forever, or

B. If of interest, referred to a patent management entity with whom the University has a contract to assess for commercial potential.

  1. If judged by a patent management company to have sufficient commercial potential for development by them, the invention shall be assigned to them or suitable licensed agency for protection and exploitation; or

    2. If judged by a patent management entity not to have sufficient commercial potential for development by them, the invention shall be

    a). Referred back to the University for patenting or exploitation by the University or, at the University's sole option,

    b). Released to the inventors. If an invention is released to the inventors, the University shall retain a non-exclusive, royalty free license to use the invention for its educational, research, and service purposes forever.

Whenever the University determines that it has no proprietary interest in an invention, or whenever the University releases an invention to its inventors, the inventors agree not to use the University, or the University's name, in the exploitation of such invention without prior written approval by the University.

VII. Income Allocation

In the usual case where a patent is owned by the University and net proceeds from royalties are to be shared with the inventors, an appropriate sharing of these proceeds would be as follows:

A. Income which exceeds reimbursable expenses shall be divided fifty percent to the inventors and the balance to the University.

B. When inventions are made under contract with an outside agency, the division of income shall be in accordance with the terms of the contract.

C. The allocation of income between the inventors and the University may be changed in individual cases with the President's approval.

8/23/89