PTLR Codification

Created from: http://mcnair.bakerinstitute.org/wiki/Patent_Thicket_Literature_Review

The Patent Thicket Literature Review Coding Rules

This collection of terms, definitions, key words have been organized and assigned shorthand codes to identify them. See below:

Core Terms

Saturated Invention Spaces = (SIS)

As first defined by Teece: when a single firm, or a small number of firms, successfully patents an entire technological area. (p.15)
 
Example of:  
imperfect competition - (IC)
Look for:
cluster - (CLSTR)
coherent groups - (CoGs)
adjacent - (Adj)

Diversely-held Complimentary Inputs = (DHCI)

1) products require complementary patented inputs; 2) these inputs are diversely-held (i.e. held by N patent-holders); and 3) patent-holders set their license prices independently. (Shapiro,  pg.17)  

Example of:
coordination - (COOR)
Look for:
diversely-held - (DH)
complementary inputs - (CI)
dispersed - (DIS)
fragmented - (Frag)
Cournot problem - (CP)
multiple marginalization - (MM)

Overlapping Patents - (OP)

Second most common foundation of a thicket.  Vertical overlap is largely adjacent. Horizontal likely due to poorly defined rights.
Refinement patents and research tool patents can result in OP

Example of:
Imperfectly defined property rights - (IDPR)'
Look for:
patent overlap - (PO)
overlapping claims - (OC)
similar claims - (SC)
simultaneous infringement - (SI)

Gaming the Patent System - (GPS)

Patent applicants partake in inappropriate action - such as applying for obvious or non-novel patents.  Puts undue burden on the patent office and crates neg. externalities, such as imposing additional costs on genuine inventors.

Example of:
Moral Hazard - (MH)
Look for:
spurious patents - (SP)
dubious
bad
likely invalid
junk
impeding genuine innovators
rent-seeking
bad faith

Modern Terms

Transaction Costs - (TC)

All fees associated with patenting: applications, prosecution costs, renewal maintenance.  Should de-incentivize low value patents, but may also de-incentivize invention by small firms.

Look for:
search costs
prosecution costs
perverse incentive
bargaining costs
coordinating costs
maintenance fees
Leahy- Smith America Invents Act
Coasian

Probabilistic Patents - (PP)

Patents are inherently probabilistic b/c they do not guarantee monopoly rights over new art.  Rather patents suggest a greater likelihood to prevail in court should there be litigation.  They cannot provide perfect protection from infringement or obstruct the filing of invalid patents.  

Look for:
Bessen
Lemley & Shapiro
information asymmetry
uncertainty
invalid patents
infringement

Unspecified / Extended Use - (UnEx):

Patents issued for reason/utility unknown.  Also applies to patents issued for discreet, inventive steps that do not have stand-alone commercial value.

Look for:
Kiley
ever-greening
Jacob
submarine patents
viagra
expected returns
commercialization opportunities
spurious patents
gaming the patent system
patent portfolios
stand-along commercial value