vice and consent of the Senate, from the general public, without regard to the civil service laws, and to consist of persons representing each of the sectors affected by the patent system, including manufacturers, scientists, engineers, consumers, legal scholars, jurists or former jurists, and representatives of Federal agencies involved in the promotion of science and useful arts, the administration of the patent system, and the enforcement of Federal law. The President shall designate the Chairman of the Council and set the term of members.

"(b) It shall be the duty of the Council, on a continuing basis, to evaluate the effectiveness of the patent system in serving the public interest; to analyze the contemporary conditions and needs of the patent system; to study and appraise the methods and operations of the United States Patent Office including the quality of United States patents; and to report to the Commissioner and the Congress its conclusions and recommendations.

"(c) The Commissioner shall furnish to the Council such professional, secretarial, clerical, and other services and facilities as the Chairman of the Council deems necessary to the conduct of its business. The Chairman of the Council shall appoint an executive secretary, the basic rate of compensation for whom shall not exceed the maximum scheduled for positions in grade 15 of the General Schedule (5 U.S.C. 5104), and such compensation shall be charged to the appropriation of the Patent Office.

"Sec.

"CHAPTER 2.-PROCEEDINGS IN THE PATENT OFFICE

"21. Day for taking action falling on Saturday, Sunday, or holiday. "22. Form of papers filed.

"23. Issue of subpenas and other orders by Patent Office; review and enforcement.

"24. Issue of subpenas and other orders by Public Counsel.

"25. Oath and declaration in lieu of oath.

"26. Effect of defective execution.

" 21. Day for taking action falling on Saturday, Sunday, or holiday "When the day, or the last day, for taking any action or paying any fee in the United States Patent Office, or as otherwise provided in this title, falls on Saturday, Sunday, a holiday within the District of Columbia, or on any other day the Patent Office is closed for the receipt of papers, the action may be taken, or the fee paid, on the next succeeding secular or business day. "§ 22. Form of papers filed.

"The_Commissioner may by regulation prescribe the form of papers filed in the Patent Office.

"§ 23. Issue of subpenas and other orders by Patent Office; review and enforcement

“(a) Any party of record in any Patent Office proceeding may apply at any time to the primary examiner or other presiding official for subpenas or other orders to provide discovery, testimony, or evidence, and he shall issue the same ex parte. The primary examiner or any member of the Board of Appeals may also issue such subpenas or orders on his own motion, in any proceeding. Such subpenas and orders may issue against the applicant or any person within the jurisdiction of the United States, whether or not he is a party of record. "(b) (1) The Commissioner shall establish rules for taking such discovery, testimony, and evidence. Such rules shall provide the parties of record all discovery permitted, and the sanctions for noncompliance therewith prescribed, in the Federal courts pursuant to the Federal Rules of Civil Procedure, as procedural necessities within the Office permit. Such rules shall provide, further, for the payment of witness fees and expenses as prescribed for proceedings in the district courts.

"(2) The Commissioner shall also establish rules governing inter partes proceedings by which subpenas and orders issued pursuant to subsection (a) of this section may be sustained, quashed, or modified.

"(c) (1) Agency action pursuant to subsections (a) and (b) of this section shall not be deemed final decisions or orders for the purposes of chapter 13 of this title. Judicial review of such orders may be had upon review of the

final decision or order in the entire proceeding, pursuant to chapter 13 of this title, or as may otherwise be required by sections 701-706 of title 5, United States Code. Judicial review of agency action pursuant to subsections (a) or (b) of this section may also be had in the course of a civil enforcement proceeding. Such proceeding may be by way of application by any party aggrieved by refusal or failure to comply with a subpena or order issued pursuant to subsections (a) or (b) of this section, to the United States District Court for the District of Columbia, for an order to show cause why the person refusing or failing to comply with such subpena or order should not be commanded by the court to comply therewith.

"(2) The process of such district court for such purpose shall run throughout the United States and otherwise as provided by the Federal Rules of Civil Procedure or any Federal statute.

"(3) Disobedience to any court order entered pursuant to this subsection shall be punishable as a contempt.

"$ 24. Issue of subpenas and other orders by Public Counsel

"(a) The Public Counsel may issue a subpena or order to any applicant, patentee, or any person within the jurisdiction of the United States, requiring him

"(1) to appear before a designated representative of the Office, in a nonadjudicative proceeding, to testify, produce documentary evidence, or produce other information or material; or

"(2) to file reports or answers in writing to specific questions-relating to any matter under investigation or inquiry by the Public Counsel, or likely to lead to the production of information relating thereto, whether or not the subject matter of the investigation or inquiry may also be involved in any proceeding before a primary examiner or the Board of Appeals, or any other proceeding before any court or other tribunal.

"(b) Agency review of subpenas or orders issued pursuant to this section shall be before the Public Counsel, in accordance with such rules as the Patent Office may prescribe.

"(c) In the case of disobedience to or failure to comply with such subpenas or orders, the Public Counsel may, in his discretion, seek enforcement thereof by the procedure specified in section 23(c) of this chapter, and the procedures specified therein shall be applicable to subpenas and orders entered pursuant to this section. The Public Counsel or his delegate shall be authorized to appear before the court and institute any such proceeding pursuant to this subsection, notwithstanding any other provisions of law.

"§ 25. Oath and declaration in lieu of oath

"(a) An oath to be filed in the Patent Office may be made before any person within the United States authorized to administer oaths, or before any officer authorized to administer oaths in the foreign country in which the affiant may be, whose authority shall be proved by certificate of a diplomatic or consular officer of the United States, and such oath shall be valid if it complies with the laws of the State or country where made.

"(b) The Commissioner may by regulation prescribe that any document to be filed in the Patent Office and which is required by any law or regulation to be under cath may be subscribed to by a written declaration in such form as the Commissioner may prescribe, such declaration to be in lieu of the oath otherwise required.

"(c) Whenever such written declaration is used, the document must warn the declarant that willful false statements and the like are subject to punishment including fine or imprisonment, or both (18 U.S.C. 1001).

"(d) Whenever the affiant or declarant does not use English as his primary language, the oath or declaration shall be made in his primary language and shall be filed with an English translation, the accuracy of which shall be attested pursuant to such rules as the Commissioner may prescribe.

"§ 26. Effect of defective execution

"Any document to be filed in the Patent Office and which is required by any law or regulation to be executed in a specified manner may be provisionally accepted by the Commissioner despite a defective execution, provided a properly executed document is submitted within such time as may be prescribed by the Commissioner, not to exceed six months.

"Sec.

"CHAPTER 3.-PRACTICE BEFORE THE PATENT OFFICE

"31. Regulations for agents and attorneys.

"32. Suspension or exclusion from practice.

“33. Unauthorized representation as practitioner.

"§ 31. Regulations for agents and attorneys

"The Commissioner may prescribe regulations governing the recognition and conduct of agents, attorneys, or other persons representing applicants or other persons before the Patent Office, and may require them, before being recognized as representatives of applicants or other persons, to show that they are of good moral character and reputation and are possessed of the necessary qualifications to render to applicants or other persons valuable service, advice, and assistance in the presentation or prosecution of their applications or other business before the Office.

"§ 32. Suspension or exclusion from practice

"The Patent Office may, pursuant to such rules and regulations as the Commissioner shall prescribe, suspend, or exclude, either generally or in any particular case, from further practice before the Office, any person, agent, or attorney shown to be incompetent or disreputable, or guilty of gross misconduct, or who does not comply with the regulations established under section 31 of this chapter, or section 115 of this title, or who shall, by word, circular, letter, or advertising, with intent to defraud in any manner, deceive, mislead, or threaten any applicant or prospective applicant, or other person having immediate or prospective business before the Office. The decision of the agency shall be determined on the record after notice and opportunity for an agency hearing, and shall be subject to the provisions of sections 551-559 of title 5, United States Code. The United States District Court for the District of Columbia, under such conditions and upon such proceedings as it by its rules determines, may review the final action of the agency upon the petition of the person so suspended or excluded, and such suspension or exclusion shall be set aside if unsupported by substantial evidence or otherwise not in accordance with law.

"§ 33. Unauthorized representation as practitioner

"(a) Whoever, not being recognized to practice before the Patent Office, holds himself out or permits himself to be held out as so recognized, or as being qualified to prepare or prosecute an application for patent, shall be fined not more than $1,000 for each offense.

"(b) Where an agent, attorney, or firm recognized to practice before the Patent Office, assumes responsibility for the service of preparing or prosecuting a patent application at the time such service is rendered, the service shall be considered as performed by such agent, attorney, or firm within the meaning of this section.

"Sec.

"41. Patent Office fees.

"CHAPTER 4.-PATENT OFFICE FEES

"42. Payment of fees; return of excess amounts; review of budget.

"S 41. Patent Office fees

"(a) The Commissioner shall prescribe by regulations the fees to be paid in connection with the filing and examination of patent and trademark applications, the issuance of patents, the maintenance of patents in force, the supply of copies of records, the furnishing of publications or other services furnished by the Patent Office, and any other matters set forth in this title or in the Trademark Act of 1946 (60 Stat. 427; 15 U.S.C. 1051), as amended, requiring a fee; and the time within which such fees shall be paid.

"(b) (1) Fees shall be designed to affect an overall recovery in the range of 65 to 75 per centum of the costs of operation of the Patent Office: Provided, however, for a patent with one claim in independent form, and with no more than nine additional dependent claims, the application fee, issue fee, and annual maintenance fee (for the first three years thereof) shall not exceed $100.

"(2) The Commissioner shall by regulation prescribe fee exemptions on a progressively graduated basis, not to exceed 50 per centum of filing and exami

nation fees and 80 per centum of maintenance fees, to benefit and encourage individual inventors and small businessmen.

"(c) (1) Beginning the fourth year after a patent issues, the maintenance fee thereon shall be no less than $1,000, and shall increase annually by at least 25 per centum each year, except as may be provided pursuant to subsection (b) (2) of this section.

"(2) The Commissioner by regulation may in whole or in part defer payment of accrued maintenance fees for up to four years from the date of issuance, and he may waive such fees if such patent is disclaimed or canceled before the commencement of the fifth year. Additionally, a member of the Board of Appeals, pursuant to section 5(c) of this title, may extend such four-year period up to ten years, in individual cases, if the patentee establishes, by a preponderance of proof that he

"(A) has made a good faith effort commercially to work the subject matter patented and that such efforts were without success due solely to circumstances beyond his control; or

"(B) is otherwise unable to pay any fee charged for maintaining an issued patent in force.

"(d) If payment of the fees in connection with the examination, publication, or issuance of a patent application, or the maintenance of a patent, are not timely made, the application shall be regarded as abandoned, or the patent canceled (and notice of such cancellation shall be endorsed on copies of the specification of the patent thereafter distributed by the Patent Office). An applicant shall be given at least thirty days, and no more than six months, following notice of a fee due in which to pay the fee, except as otherwise provided in this title.

"(e) Except as otherwise provided in this title, the fees established under the authority of this section shall apply to any other Government department or agency, or officer thereof, except that the Commissioner may waive the payment of any fee for services or materials in cases of occasional or incidental requests by a Government department or agency, or officer thereof.

"(f) The Commissioner may prescribe by regulations that copies of Patent Office records and publications may be provided without charge, or at reduced or nominal fees, to libraries or other similar bodies, or in exchange for records or publications of foreign countries.

"42. Payment of fees; return of excess amounts; review of budget

"(a) All fees shall be paid to the Commissioner who shall deposit the same in the Treasury of the United States in such manner as the Secretary of the Treasury directs.

"(b) The Commissioner may refund any sum paid by mistake or in excess of the fee required.

"(c) The Office of Management and Budget shall not inspect, examine, audit, or review the subpenas, orders, records, work, congressional recommendations, or testimony of the Patent Office or the Public Counsel or comment on any budget request made by the Office, any other provision of law to the contrary notwithstanding. The Comptroller General shall conduct such reviews, audits, and evaluations of the Office as he deems necessary. All accounts, budgets, and records of the Office shall be submitted to the General Accounting Office from time to time as the Comptroller General may require, and the Office shall maintain, preserve, and make available for inspection by the General Accounting Office such records as the Comptroller General may require.

"Chapter

"PART II- PATENTABILITY OF INVENTIONS AND GRANT OF PATENTS

Sec.

100

111

131

141

151

161

181

191

201

"CHAPTER 10.-PATENTABILITY OF INVENTIONS

"Sec.

"100. Definitions.

"101. Subject matter patentable.

"102. Conditions for patentability; novelty and bars to patent. "103. Conditions for patentability; nonobvious subject matter. "104. Date of invention; priority.

"§ 100. Definitions

"When used in this title, unless the context otherwise indicates"(a) The term 'invention' means invention or discovery.

"(b) The term 'process' means process, art, or method and includes a new use of a known process, machine, manufacture, composition of matter, or material.

"(c) The terms 'United States' and 'this country' mean the United States of America, its territories, and possessions, and the Commonwealth of Puerto Rico.

“(d) The term 'applicant' means any person who owns an application for a patent, as provided in this title.

"(e) The term 'patentee' includes not only the person to whom the patent was issued but also the successors in title to such person.

"(f) The term 'actual filing date in the United States' includes the filing date to which an application or patent, or the subject matter of any claim thereof, may be entitled under the provisions of section 120 of this title (and excludes any date under section 119 of this title). An application or the resulting patent may contain separate claims for subject matter having different actual filing dates in the United States by virtue of the provisions of section 120 of this title or may contain claims entitled to the benefit of a prior date under the provisions of section 119 of this title, in addition to claims not so entitled.

"(g) The terms 'manufacture', 'composition of matter', and 'new and useful improvement thereof' do not include any known manufacture or composition of matter, any obvious variation of or on such known composition of matter or the structure thereof, or any conventional formulation or preparation of any of the foregoing or of any material, whether or not the same is adapted for practicing a new use thereof.

"(h) The term 'party' includes any agency (as that term is defined in 5 U.S.C. 551(a)), the United States, the Public Counsel, the government of the District of Columbia, any State or political subdivision thereof, or any agency or instrumentality thereof, and any person who is or may be adversely affected by any action (as that term is defined in 5 U.S.C. 551(g)), of the Patent Office.

"§ 101. Subject matter patentable

"Whoever invents or discovers any new and useful process, machine, manu facture, or composition of matter, or any new and useful improvement thereof, or his successor in title, may obtain a patent therefor, subject to the conditions and requirements of this title.

"§ 102. Conditions for patentability; novelty and bars to potent

"A person shall not be entitled to a patent if the subject matter sought to be patented

"(a) was known or used by others in this or a foreign country, or was patented or described in printed or other tangible form in this or a foreign country, before the invention thereof by the inventor named in the application, or

"(b) was patented or described in printed or other tangible form in this or a foreign country, or was in public use or on sale in this or a foreign country, more than one year prior to the actual filing date of the application for the patent in the United States, or

"(c) was forfeited, suppressed, or concealed by him, or

“(d) was first patented or caused to be patented by, or was the subject of an inventor's certificate issued to, the applicant or his legal representatives, assigns, or predecessors in title in a foreign country prior to the actual filing date of the application for patent in the United States, on an application for patent or inventor's certificate filed more than twelve months before the actual filing date of the application in the United States, or