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Pub.L. 104-114 To seek international sanctions against the Castro government in Cuba, to plan for support of a transition government leading to a democratically elected government in Cuba, and for other purposes. <> %%Fil...
[[Page 110 STAT. 775]]
Public Law 104-113
To amend the Stevenson-Wydler Technology Innovation Act of 1980 with
respect to inventions made under cooperative research and development
agreements, and for other purposes. <<NOTE: Mar. 7, 1996 - [H.R.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled, <<NOTE: National
Technology Transfer and Advancement Act of 1995.>>
SECTION 1. <<NOTE: 15 USC 3701 note.>> SHORT TITLE.
This Act may be cited as the ``National Technology Transfer and
Advancement Act of 1995''.
SEC. 2. <<NOTE: 15 USC 3701 note.>> FINDINGS.
The Congress finds the following:
(1) Bringing technology and industrial innovation to the
marketplace is central to the economic, environmental, and
social well-being of the people of the United States.
(2) The Federal Government can help United States business
to speed the development of new products and processes by
entering into cooperative research and development agreements
which make available the assistance of Federal laboratories to
the private sector, but the commercialization of technology and
industrial innovation in the United States depends upon actions
(3) The commercialization of technology and industrial
innovation in the United States will be enhanced if companies,
in return for reasonable compensation to the Federal Government,
can more easily obtain exclusive licenses to inventions which
develop as a result of cooperative research with scientists
employed by Federal laboratories.
SEC. 3. USE OF FEDERAL TECHNOLOGY.
Subparagraph (B) of section 11(e)(7) of the Stevenson-Wydler
Technology Innovation Act of 1980 (15 U.S.C. 3710(e)(7)(B)) is amended
to read as follows:
``(B) A transfer shall be made by any Federal agency under
subparagraph (A), for any fiscal year, only if the amount so transferred
by that agency (as determined under such subparagraph) would exceed
SEC. 4. TITLE TO INTELLECTUAL PROPERTY ARISING FROM COOPERATIVE RESEARCH
AND DEVELOPMENT AGREEMENTS.
Subsection (b) of section 12 of the Stevenson-Wydler Technology
Innovation Act of 1980 (15 U.S.C. 3710a(b)) is amended to read as
``(b) Enumerated Authority.--(1) Under an agreement entered into
pursuant to subsection (a)(1), the laboratory may grant, or
[[Page 110 STAT. 776]]
agree to grant in advance, to a collaborating party patent licenses or
assignments, or options thereto, in any invention made in whole or in
part by a laboratory employee under the agreement, for reasonable
compensation when appropriate. The laboratory shall ensure, through such
agreement, that the collaborating party has the option to choose an
exclusive license for a pre-negotiated field of use for any such
invention under the agreement or, if there is more than one
collaborating party, that the collaborating parties are offered the
option to hold licensing rights that collectively encompass the rights
that would be held under such an exclusive license by one party. In
consideration for the Government's contribution under the agreement,
grants under this paragraph shall be subject to the following explicit
``(A) A nonexclusive, nontransferable, irrevocable, paid-up
license from the collaborating party to the laboratory to
practice the invention or have the invention practiced
throughout the world by or on behalf of the
Government. <<NOTE: Confidential information.>> In the exercise
of such license, the Government shall not publicly disclose
trade secrets or commercial or financial information that is
privileged or confidential within the meaning of section
552(b)(4) of title 5, United States Code, or which would be
considered as such if it had been obtained from a non-Federal
``(B) If a laboratory assigns title or grants an exclusive
license to such an invention, the Government shall retain the
``(i) to require the collaborating party to grant to
a responsible applicant a nonexclusive, partially
exclusive, or exclusive license to use the invention in
the applicant's licensed field of use, on terms that are
reasonable under the circumstances; or
``(ii) if the collaborating party fails to grant
such a license, to grant the license itself.
``(C) The Government may exercise its right retained under
subparagraph (B) only in exceptional circumstances and only if
the Government determines that--
``(i) the action is necessary to meet health or
safety needs that are not reasonably satisfied by the
``(ii) the action is necessary to meet requirements
for public use specified by Federal regulations, and
such requirements are not reasonably satisfied by the
collaborating party; or
``(iii) the collaborating party has failed to comply
with an agreement containing provisions described in
This determination is subject to administrative appeal and
judicial review under section 203(2) of title 35, United States
``(2) Under agreements entered into pursuant to subsection (a)(1),
the laboratory shall ensure that a collaborating party may retain title
to any invention made solely by its employee in exchange for normally
granting the Government a nonexclusive, nontransferable, irrevocable,
paid-up license to practice the invention or have the invention
practiced throughout the world by or on behalf of the Government for
research or other Government purposes.
[[Page 110 STAT. 777]]
``(3) Under an agreement entered into pursuant to subsection (a)(1),
a laboratory may--
``(A) accept, retain, and use funds, personnel, services,
and property from a collaborating party and provide personnel,
services, and property to a collaborating party;
``(B) use funds received from a collaborating party in
accordance with subparagraph (A) to hire personnel to carry out
the agreement who will not be subject to full-time-equivalent
restrictions of the agency;
``(C) to the extent consistent with any applicable agency
requirements or standards of conduct, permit an employee or
former employee of the laboratory to participate in an effort to
commercialize an invention made by the employee or former
employee while in the employment or service of the Government;
``(D) waive, subject to reservation by the Government of a
nonexclusive, irrevocable, paid-up license to practice the
invention or have the invention practiced throughout the world
by or on behalf of the Government, in advance, in whole or in
part, any right of ownership which the Federal Government may
have to any subject invention made under the agreement by a
collaborating party or employee of a collaborating party.
``(4) A collaborating party in an exclusive license in any invention
made under an agreement entered into pursuant to subsection (a)(1) shall
have the right of enforcement under chapter 29 of title 35, United
``(5) A Government-owned, contractor-operated laboratory that enters
into a cooperative research and development agreement pursuant to
subsection (a)(1) may use or obligate royalties or other income accruing
to the laboratory under such agreement with respect to any invention
``(A) for payments to inventors;
``(B) for purposes described in clauses (i), (ii), (iii),
and (iv) of section 14(a)(1)(B); and
``(C) for scientific research and development consistent
with the research and development missions and objectives of the
SEC. 5 <<NOTE: Royalties.>> . DISTRIBUTION OF INCOME FROM INTELLECTUAL
PROPERTY RECEIVED BY FEDERAL LABORATORIES.
Section 14 of the Stevenson-Wydler Technology Innovation Act of 1980
(15 U.S.C. 3710c) is amended--
(1) by amending subsection (a)(1) to read as follows:
``(1) Except as provided in paragraphs (2) and (4), any royalties or
other payments received by a Federal agency from the licensing and
assignment of inventions under agreements entered into by Federal
laboratories under section 12, and from the licensing of inventions of
Federal laboratories under section 207 of title 35, United States Code,
or under any other provision of law, shall be retained by the laboratory
which produced the invention and shall be disposed of as follows:
``(A)(i) The head of the agency or laboratory, or such
individual's designee, shall pay each year the first $2,000, and
thereafter at least 15 percent, of the royalties or other
payments to the inventor or coinventors.
``(ii) An agency or laboratory may provide appropriate
incentives, from royalties, or other payments, to laboratory
[[Page 110 STAT. 778]]
employees who are not an inventor of such inventions but who
substantially increased the technical value of such inventions.
``(iii) The agency or laboratory shall retain the royalties
and other payments received from an invention until the agency
or laboratory makes payments to employees of a laboratory under
clause (i) or (ii).
``(B) The balance of the royalties or other payments shall
be transferred by the agency to its laboratories, with the
majority share of the royalties or other payments from any
invention going to the laboratory where the invention occurred.
The royalties or other payments so transferred to any laboratory
may be used or obligated by that laboratory during the fiscal
year in which they are received or during the succeeding fiscal
``(i) to reward scientific, engineering, and
technical employees of the laboratory, including
developers of sensitive or classified technology,
regardless of whether the technology has commercial
``(ii) to further scientific exchange among the
laboratories of the agency;
``(iii) for education and training of employees
consistent with the research and development missions
and objectives of the agency or laboratory, and for
other activities that increase the potential for
transfer of the technology of the laboratories of the
``(iv) for payment of expenses incidental to the
administration and licensing of intellectual property by
the agency or laboratory with respect to inventions made
at that laboratory, including the fees or other costs
for the services of other agencies, persons, or
organizations for intellectual property management and
licensing services; or
``(v) for scientific research and development
consistent with the research and development missions
and objectives of the laboratory.
``(C) All royalties or other payments retained by the agency
or laboratory after payments have been made pursuant to
subparagraphs (A) and (B) that is unobligated and unexpended at
the end of the second fiscal year succeeding the fiscal year in
which the royalties and other payments were received shall be
paid into the Treasury.'';
(2) in subsection (a)(2)--
(A) by inserting ``or other payments'' after
(B) by striking ``for the purposes described in
clauses (i) through (iv) of paragraph (1)(B) during that
fiscal year or the succeeding fiscal year'' and
inserting in lieu thereof ``under paragraph (1)(B)'';
(3) in subsection (a)(3), by striking ``$100,000'' both
places it appears and inserting ``$150,000'';
(4) in subsection (a)(4)--
(A) by striking ``income'' each place it appears and
inserting in lieu thereof ``payments'';
(B) by striking ``the payment of royalties to
inventors'' in the first sentence thereof and inserting
in lieu thereof ``payments to inventors'';
[[Page 110 STAT. 779]]
(C) by striking ``clause (i) of paragraph (1)(B)''
and inserting in lieu thereof ``clause (iv) of paragraph
(D) by striking ``payment of the royalties,'' in the
second sentence thereof and inserting in lieu thereof
``offsetting the payments to inventors,''; and
(E) by striking ``clauses (i) through (iv) of''; and
(5) by amending paragraph (1) of subsection (b) to read as
``(1) by a contractor, grantee, or participant, or an
employee of a contractor, grantee, or participant, in an
agreement or other arrangement with the agency, or''.
SEC. 6. EMPLOYEE ACTIVITIES.
Section 15(a) of the Stevenson-Wydler Technology Innovation Act of
1980 (15 U.S.C. 3710d(a)) is amended--
(1) by striking ``the right of ownership to an invention
under this Act'' and inserting in lieu thereof ``ownership of or
the right of ownership to an invention made by a Federal
(2) by inserting ``obtain or'' after ``the Government, to''.
SEC. 7. AMENDMENT TO BAYH-DOLE ACT.
Section 210(e) of title 35, United States Code, is amended by
striking ``, as amended by the Federal Technology Transfer Act of
SEC. 8. NATIONAL INSTITUTE OF STANDARDS AND TECHNOLOGY ACT AMENDMENTS.
The National Institute of Standards and Technology Act (15 U.S.C.
271 et seq.) is amended--
(1) <<NOTE: 15 USC 278.>> in section 10(a)--
(A) by striking ``nine'' and inserting in lieu
thereof ``15''; and
(B) by striking ``five'' and inserting in lieu
(2) <<NOTE: 15 USC 278e.>> in section 15--
(A) by striking ``Pay Act of 1945; and'' and
inserting in lieu thereof ``Pay Act of 1945;''; and
(B) by inserting ``; and (h) the provision of
transportation services for employees of the Institute
between the facilities of the Institute and nearby
public transportation, notwithstanding section 1344 of
title 31, United States Code'' after ``interests of the
(3) <<NOTE: 15 USC 278g-2.>> in section 19--
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104th Congressional Public Laws Records and Documents
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