Patent Rules fee and small-entity changes

Summary#

These are the final Rules Amending the Patent Rules (SOR/2023-113) that change how some patent fees and procedures work. The rules update many fee amounts (most were effectively increased as part of a wider fee review), expand who counts as a “small entity” for patent fees, and set when different parts come into force — main date January 1, 2024, with some sections already in force on registration (June 2, 2023).

What it does#

• Changes the definition of a small entity for patents under the Patent Rules so an organization with fewer than 100 employees can qualify (previously the cutoff was 50). Universities remain eligible. The rules exclude entities controlled by, or that have licensed/transferred rights to, a non-university organization with 100 or more employees.

• Updates how examiners notify applicants about continued examination. After three examiner notices, applicants must be told to request continued examination and pay the required fee.

• Adds late-payment fees tied to international patent (PCT) processing when the Canadian office issues certain invitations for PCT steps.

• Replaces many fee amounts in the Patent Rules’ schedules. Examples in the new schedules include an application-related fee of $277.00, an examination-related fee of $694.00, and other specific line items such as $225.00, $555.00, $1,110.00, and $2,220.00 (the amendment text lists many more exact amounts).

• Removes one repealed section and makes several technical clarifications to how earlier 2022 rule changes apply to older filing dates.

• Sets the coming-into-force schedule: most of the amendments take effect on January 1, 2024; some specific sections (notably those numbered 2 and 7–10 in the order) came into force on registration (June 2, 2023).

Who's affected#

• Canadian Intellectual Property Office (CIPO) — implements and collects the changed fees and follows the clarified procedures.

• Inventors, patent applicants, patent owners, and their agents and law firms — they will see different fees and some procedural changes when filing or prosecuting patents in Canada.

• Small businesses and universities — more organizations may now qualify as small entities for reduced patent fees because the employee threshold increases from 50 to fewer than 100.

• Foreign applicants — a large share of patent filings at CIPO come from outside Canada, so many non-Canadian applicants will feel the fee changes.

• It is clear who is affected; the rule text and accompanying analysis spell out which fees and applicant categories change.

Why it matters#

• The government (through CIPO) says the fee changes are meant to stabilize CIPO’s finances so it can continue operating, invest in IT, and avoid service cuts. The regulatory analysis describes a broad fee adjustment program (about 25% on many fees as part of the overall package) to close a funding gap and fund improvements.

• For people and companies: patent-related costs can be higher for some filings. The analysis gives examples — a full-term patent could see a lifetime increase on the order of $1,650 in total fees, while small-entity patent fees were largely held at current levels and small entities may benefit from the expanded eligibility (the analysis cites an approximate $20 change for some small-entity fees).

• For small businesses: more firms can claim small-entity status (up to fewer than 100 employees), which protects many from the full fee increases for patent services.

• For the public and the IP system: the stated goal is to avoid insolvency at CIPO and to fund upgrades that could reduce backlogs and modernize online services. The outcome depends on how the fee changes affect filings and how CIPO uses the extra revenue.