In some countries, the fees for maintaining a patent are referred to as maintenance fees, while in others, they are called annual fees. The deadlines for paying annual fees also vary across countries; some require payment before authorization, while others require payment after authorization.
In China, no maintenance fees need to be paid before patent authorization. Annual fees begin to be paid after the patent is authorized. The starting point for calculating the annual fee date is the application date.
When Should Patent Annual Fees Be Paid?
- Annual Fee for the Year of Authorization:
- The annual fee for the year of authorization should be paid within the time limit specified in the Notice of Registration Procedures, i.e., within two months from the date the applicant receives the Notice of Registration Procedures.
- Annual Fees for Subsequent Years:
- The annual fees for the years following the year of authorization should be paid before the end of the previous year. The deadline is the corresponding date of the application date in that year.
- For example, if a patent application has an application date of December 29, 2020, and the patent is granted on September 28, 2021, and the applicant has paid the annual fee for the second year during the registration procedures, the patentee should pay the annual fee for the third year by December 29, 2022.
What If the Annual Fee for the Year of Authorization Is Not Paid or Paid Insufficiently?
- If the applicant does not pay or pays insufficiently the annual fee for the year of authorization by the deadline, it is deemed that the registration procedures have not been completed. The Patent Office will issue a Notice of Deemed Abandonment of Patent Rights. The applicant can request the restoration of rights under the relevant provisions of Article 6 of the Implementing Regulations of the Patent Law.
- Similarly, if the annual fee for subsequent years is not paid or paid insufficiently, the Patent Office will issue a payment notice, requiring the patentee to pay the annual fee and the late fee within six months from the due date.
- If the annual fee or late fee is still not fully paid after the six-month grace period, the Patent Office will issue a Notice of Termination of Patent Rights. The patentee can request the restoration of rights under the relevant provisions of Article 6 of the Implementing Regulations of the Patent Law.
- It is important to note that, in the restoration procedure, the patentee must not only pay the due annual fees but also pay or make up the late fees.
How Is the Late Fee Calculated?
- If the annual fee payment deadline is exceeded by less than one month, no late fee is required.
- If the deadline is exceeded by more than one month (but not a full month) to six months (inclusive), the late fee is calculated at 5% of the full annual fee for each month.
- The corresponding late fees for each period are as follows:
- Exceeded by one month (but not a full month) to two months (inclusive): 5% of the full annual fee.
- Exceeded by two months to three months (inclusive): 10% of the full annual fee.
- Exceeded by three months to four months (inclusive): 15% of the full annual fee.
- Exceeded by four months to five months (inclusive): 20% of the full annual fee.
- Exceeded by five months to six months: 25% of the full annual fee.
- For example, if a utility model patent application has an application date of April 9, 2019, the first late fee period for the third-year annual fee is April 10, 2021, to May 10, 2021 (extended for legal holidays), and the late fee is 0 yuan. The second late fee period is May 11, 2021, to June 9, 2021, with a late fee of 600 yuan × 5% = 30 yuan. The third late fee period is June 10, 2021, to July 9, 2021, with a late fee of 600 yuan × 10% = 60 yuan. The fourth late fee period is July 10, 2021, to August 9, 2021, with a late fee of 600 yuan × 15% = 90 yuan. The fifth late fee period is August 10, 2021, to September 9, 2021, with a late fee of 600 yuan × 20% = 120 yuan. The sixth late fee period is September 10, 2021, to October 11, 2021 (extended for legal holidays), with a late fee of 600 yuan × 25% = 150 yuan.
How to Supplement Insufficient Annual Fees or Late Fees Within the Six-Month Grace Period?
- If the annual fee or late fee is insufficient and needs to be supplemented within the six-month grace period, the standard for the late fee at the time of the supplementary payment should be followed.
- For example, if the 5% late fee period for the annual fee is from May 5 to June 5, with a late fee of 45 yuan, but the payer only paid 25 yuan. If the payer supplements the late fee on June 7, the standard for the corresponding period of 10% late fee should be applied. The late fee for that period is 90 yuan, so the payer should supplement 90 – 25 = 65 yuan.
Patent Annual Fee Schedule:
Year | Invention (CNR) | Utility Model (CNR) | Design (CNR) |
---|---|---|---|
1 | 900 | 600 | 600 |
2 | 900 | 600 | 600 |
3 | 900 | 600 | 600 |
4 | 1200 | 900 | 900 |
5 | 1200 | 900 | 900 |
6 | 1200 | 1200 | 1200 |
7 | 2000 | 1200 | 1200 |
8 | 2000 | 1200 | 1200 |
9 | 2000 | 2000 | 2000 |
10 | 4000 | 2000 | 2000 |
11 | 4000 | / | 3000 |
12 | 4000 | / | 3000 |
13 | 6000 | / | 3000 |
14 | 6000 | / | 3000 |
15 | 6000 | / | 3000 |
16 | 8000 | / | / |
17 | 8000 | / | / |
18 | 8000 | / | / |
19 | 8000 | / | / |
20 | 8000 | / | / |
How to Handle Patent Withdrawal Due to Non-Payment of Annual Fees?
- In China, you can request restoration within two months from the date of receiving the Notice of Loss of Rights issued by the Patent Office.
- Payment Deadline: The deadline is within two months from the date the party receives the Notice of Loss of Rights issued by the Patent Office. If the payment is not made or not fully made within the deadline, the request for restoration will be deemed not submitted.
- Fee Standard: The restoration fee for invention, utility model, and design patents is 1000 yuan.