What is a "Small Entity"?
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Patent Rules, s. 2
For patent applications filed on or after October 1, 1996, a small entity is either:
- an entity with 50 or fewer employees;
- or a university;
so long as it has not, directly or indirectly: transferred; licensed; or contracted with or is otherwise legally obliged to transfer or license; to an entity having more than 50 employees (other than a university) [Patent Rules, s. 2(a) "small entity"]
An Applicant cannot use a small entity as a "front" for a large entity to avoid paying large entity fees.
Universities receive special treatment: they are by definition, small entities, unless they have assigned or licensed the invention to a large entity.
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