Legal Definitions - Patent and Trademark Law Amendments Act

The Patent and Trademark Law Amendments Act, also known as the Bayh-Dole Act, is a federal law that allows the U.S. Government to take ownership or require licensing of inventions made by small businesses and non-profit organizations while participating in federally funded programs.

For example, if a small business receives funding from the government to develop a new technology, the government may require the business to disclose any inventions made during the project. The business can choose to keep ownership of the invention and file for a patent, but the government still has the right to force the business to grant licenses to others if necessary.

The purpose of the Bayh-Dole Act is to encourage innovation and the commercialization of new technologies by allowing small businesses and non-profit organizations to retain ownership of their inventions and benefit financially from them.