Deteriorating patent quality: EPO under fire, management is not impressed

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The EPO management has been under increasing criticism for its perceived lack of attention for the deteriorating quality of EPO patents. The subject was put on the agenda prominently last year in October by the Industry Patent Quality Charter (IPQC), a group representing a series of major and smaller international corporations, and endorsed by the staff union SUEPO. Apparently it was also brought forward during the meeting of the EPO’s Administrative Council late June by various member states. But in a letter sent two days ago, the EPO refutes most of the IPQC’s quality concerns.

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The AC meeting coincided with the publication of the EPO’s Annual Review 2022 and a video ‘featuring highlights from the past 18 months. Together they tell a story of a commitment to provide innovators with the highest quality products and services, as the race for sustainable inventions intensifies’, according to a press release.

However, it is clear not everyone agrees with the positive message. In meetings last February and May, the IPQC had already expressed its concerns about quality at the EPO and made suggestions for change. And on 22 June, Beat Weibel, driving force behind the IPQC, wrote a letter to EPO president António Campinos, vice-president for the patent granting process Steve Rowan and the members of the Administrative Council, in which he criticized the lack of response to the industry’s quality concerns: ‘We sincerely regret that the EPO did neither accept an invitation to a roundtable in December 2022 nor to the panel discussion in May 2023 in Osnabrück. We even more regret that our request for processual data expressed in our letter of February 8, 2023, has not been answered.’

The letter is interesting as it shows in detail what was discussed in Osnabrück and why the IPQC thinks things are heading in a wrong direction. For example, it pointed out that whereas the industry needs ever more time for drafting patents due to their increased complexity (at Siemens, for instance, 35% more time is invested), time spent for granting a patent application by EPO examiners has decreased by 50%. Beat Weibel summarized some of the concerns on LinkedIn:

  • There is a gap between increased investments in careful patent drafting by industry and decreasing time for search and examination at the European Patent Office.
  • The patent system needs complete searches and substantive examination for functioning well. German Courts are decreasingly relying on the grant quality of the EPO.
  • Complete searches and examination leading to reliable patents are crucial for industry.
  • In certain fields, the granting rate is highly depending on the experience of the examiners and three pair of eye quality control isn´t working properly anymore.
  • Nearly 90% of all Board of Appeal of the EPO decisions either completely or partly revoke the patent in question. Most of the decisions being based on prior art that could and should have been found in first instance!
  • Incentives and working conditions of the examiners are favoring granting a patent over rejecting it because a rejection needs more time and effort and eventually an oral hearing.

As Kluwer IP Law was informed, the quality issue was brought up during the recent meeting of the Administrative Council – likely as a result of the IPQC letter, with several states complaining about the lack of relevant information and the apparent gap between the companies' and the EPO’s view on quality.

The EPO and its staff are fully focused on substantive quality

However, the EPO doesn’t seem impressed. Two days ago, on 3 July 2023, Beat Weibel received an annotated version of his own letter back from EPO vice-president Steve Rowan, refuting and/or denying almost all of the issues brought forward by the IPQC: ‘The EPO and its staff are fully focused on substantive quality. We are proud to be ranked number one for quality by independent IAM surveys for 10 years in a row and strong results from our independent User Satisfaction Surveys. The careful and diligent assessment of patentability requirements is the backbone of the work of the search, examination, and opposition divisions’, was the first comment.

The IPQC letter plus the EPO reaction are available here. In reaction to the IPQC’s invitation to enter into a constructive and continuous dialogue, the EPO wrote: ‘The EPO publishes the most complete data sets of any Office. Full information on quality, technical improvements, social aspects etc can be found in our Annual Report and the complete set of Annexes thereto.’ A remarkable way to address the concerns of an important group of clients.

Comments (18)
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law sniffer
July 5, 2023 AT 4:59 PM

(only) two striking data are provided against the quality of the EPO: the 50% time reduction on a single file which I wonder how was determined, I can impossibly judge this from my (not large) law firm point of view, they must have really reliable insider sources within the EPO to be able to state that. And the 90% of patents revoked or amended at the Board of Appeal: how is this possible? In Opposition the first instance relies on the same arguments and documents (provided by the parties) as the Board of Appeal does, it is not a matter of complete search or examination, is a matter of non uniform application of the EPC within the EPO, so I fear that the figure had been like that also many years ago

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Time Per File response to law sniffer
July 5, 2023 AT 10:06 PM

The time available per file can be estimated from official EPO data (published in the EPO reports): average number of files per examiner = (applications processed to a conclusion) / (number of examiners) You can find a summary of the number of applications processed to a conclusion and the number of examiners in the article "The European Patent Office – The Story in Numbers – Part 2" by James Ward and Frances Wilding. That article shows the data from 1978 to 2020. Based on that data, you can estimate how many files every examiner processed per year.

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law sniffer response to Time Per File
July 5, 2023 AT 10:53 PM

examiners are now and then involved in many other activities which can fluctuate a lot, I know that for sure, finalized procedures depend also on these extra activities, on the number of searches done, on how many examiners work part time, etc. so that figure cannot be considered quality relevant. What I would like to see are real procedural cases that prove the degradation, and not generic data or irrelevant Board of Appeal statistics. In our law firm we log any kind of data but apart from issues with few specific examiners we cannot confirm any trend over time, but I would be happy to see cases that show a generally negative tendency: without a deep analysis of these specific cases it is all politics with an unclear (to me) hidden agenda

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Let's face reality response to law sniffer
July 6, 2023 AT 6:51 PM

Dear law sniffer, Either you are part of the upper management of the EPO or you have very good contacts with the latter. In any case, you seem to have gripes with some examiners, but this is not a reason to generalise your negative impression of them. Nowadays, examiners are primarily at the office to deal with files, sorry “products”, and no time should be spent on “extra-curricular” activities. Examiners can indulge in activities outside their normal duties, but in principle the production figures are not changed and the time for those activities have to be taken from their annual leave. Your argument is thus beside the point, and a rough estimate of the time spent per file can be given. Furthermore the objectives to be fulfilled are regularly increased under the pretext of better IT tools, streamlining of the procedures and the like. furthermore, why should Board of Appeal statistics be irrelevant? As the boards of appeal are the last instance, it is possible to see on the basis of which documents an OD has taken its decision, and whether or not a board has confirmed the OD’s decision. The number of cases in which a board has set aside the decision of an OD is way beyond anything reasonable. It is 40%+ from all OD’s decision for 2022. The number of cases an opponent comes with documents available in the search files, but not found during the original search is astounding=90%+. It is only in a very limited number of cases in which the opponents come with documents truly not available in the search files. When for instance, an opponent comes with a prior art under Art 54(3), sometimes from the proprietor itself, something must have gone wrong. When the search report established by the EPO mentions lots of A or X documents and the opponent comes with a true novelty killer or a combination of documents allowing to deny IS, and those documents are in the classes searched or even in the same class as the patent, something must manifestly have gone wrong. I can agree that the results found after an appeal in opposition cannot be generalised, as there are some areas in which there are no oppositions and other laden with them. Nowadays oppositions are not filed for fun, but the granted patent hinders the presence on the market of some products or future products, patents opposed are those which manifestly have an economic interest. If those patents do not sustain scrutiny, there is manifestly a problem ahead of the opposition procedure. When roughly 85% of the patents come out maimed from the opposition procedure, the results cannot be said to be insignificant and show a clear tendency towards less quality of the patents granted. If the Quality Charter of the EPO published in the autumn of 2022 would apply in full, the IPQC would have no reason to complain. Besides beautifully phrased sentences, there is not substance in this document. The EPO keeps claiming that user satisfaction surveys are still very positive, but the actual questions are never published. What matters is not the result of a user satisfaction survey but the result of the judicial review of the decisions taken by first instance divisions. This result is anything but in favour of the EPO and its upper management.

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law sniffer response to Let's face reality
July 9, 2023 AT 11:17 PM

dont worry I dont generalize at all, I appreciate most of the examiners, especially some less experienced, they do a fantastic job and are enthusiastic, and their quality and comprehension of patent matters have improved over the last years, I dont know anyone of the EPO managers and I would like to have access to files that show the meant degradation because I havent seen any so far, I am not saying that all files are treated correctly, the quality is maybe low if you prefer so, but I cannot absolutely see any degradation over the last 15 years, at least from my small perspective

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