Citizen Outreach Foundation Applauds Trump Patent Reforms While Pushing for More Action

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Thanking the Administration for Early Wins

Citizen Outreach Foundation joined 24 other conservative organizations this week to send a clear message to Commerce Secretary Howard Lutnick: thank you for the good work so far, but there’s more to fix.

The letter praises the Trump administration for taking quick action to restore fairness to America’s patent system. Under new leadership at the Patent and Trademark Office, Acting Director Coke Morgan Stewart has already thrown out harmful Biden-era policies that hurt inventors and small businesses.

“We sincerely appreciate your and President Trump’s continuing efforts to fix the many problems left to you by the Biden Administration,” the coalition wrote to Secretary Lutnick.

Read the full letter here: Property Rights Group Ltr June 27, 2025

What’s Already Been Fixed

The new Trump team moved fast to clean house at the Patent Office. Acting Director Stewart rescinded a controversial policy called the “compelling merits” standard that the Biden administration used to help big corporations attack smaller inventors.

This policy, created by former Director Kathi Vidal in 2022, made it easier for large companies to restart patent challenges they had already lost. Stewart not only threw out this unfair rule but also vacated proceedings that never should have been allowed in the first place.

The conservative groups see this as exactly the kind of action they voted for: getting government out of the way of innovation and protecting property rights.

The Unfinished Business

But Citizen Outreach Foundation and the other groups say there’s still work to do. They’re asking the administration to clean up two ongoing court cases that represent the worst examples of the Biden administration’s anti-inventor policies.

These cases involve Intel Corporation and a company called VLSI Technology. Here’s what happened: Intel lost a court case and owed VLSI over $2 billion for using their patents without permission. Intel was legally blocked from challenging those patents again because they already had their chance and lost.

But then mysterious shell companies appeared out of nowhere to challenge the same patents. The Biden administration’s Patent Office let Intel step in and take over these challenges, even though Intel wasn’t supposed to get another bite at the apple.

The coalition letter explains:

“Intel already had attempted to challenge these same patents during the first Trump Administration. Intel lost and was statutorily barred from bringing further challenges.” 

Why This Matters to Property Rights Conservatives

For conservatives who believe in limited government and strong property rights, this case hits all the wrong notes. Patents are property, just like your house or car. When the government helps big corporations avoid paying what they owe to inventors, it undermines the whole system.

The groups see this as a classic example of “swamp culture,” where government agencies get captured by special interests and work against regular Americans. Instead of protecting inventors who create new technologies, the Biden administration helped giant corporations game the system.

“We are extremely concerned about the Biden Administration’s tolerance of the abuse of the Inter Partes Review (IPR) process,” the letter states.

This isn’t just about one company or one case. It’s about whether America will have a patent system that rewards innovation or one that lets big corporations crush smaller competitors using government power.

The Shell Game Problem

What makes this case especially troubling is how it was done. Instead of Intel challenging the patents directly, which they couldn’t do because they were legally blocked, mysterious shell companies did it for them.

Even worse, former Director Vidal suppressed and sealed a whistleblower report that linked Intel to one of these shell companies. The current Patent Office leadership admits this was wrong and calls it “serious misconduct.”

Acting Director Stewart has said she would never have allowed these cases to proceed, especially given the misconduct involved. But the Patent Office is still defending the Biden administration’s decisions in federal court.

What Critics Might Say

Supporters of the current system might argue that patents sometimes need to be challenged if they’re invalid or too broad. They could say the review process serves an important purpose in weeding out bad patents that stifle innovation.

They might also argue that these are complex legal matters where both sides deserve their day in court. Some could question whether the conservative groups fully understand the technical aspects of patent law.

The Path Forward

Citizen Outreach Foundation and the other groups want Secretary Lutnick to ask federal courts to send these cases back to the Patent Office for a fresh look. This would let the Trump administration investigate what really happened and who was behind the shell companies.

The groups believe this would send a powerful message that the new administration won’t tolerate abuse of the patent system.

As the letter puts it:

“The Trump Administration will hold those who engage in ‘serious misconduct’ accountable.”

This could also set an important precedent for how patent challenges work going forward. It would show that big corporations can’t use shell companies and government connections to avoid paying inventors what they owe.

What Happens Next

The Commerce Department now has to decide whether to keep defending the Biden administration’s decisions or take a fresh approach that aligns with conservative principles. This decision will show whether the Trump administration is serious about draining the swamp in all areas of government.

For conservative activists, this case shows why elections matter for issues that might seem technical but have real impact on innovation and economic growth. When government agencies work for special interests instead of the American people, it hurts inventors, entrepreneurs, and ultimately all of us.

The patent system should reward the people who create new technologies, not help big corporations avoid paying their bills. That’s a principle worth fighting for.

This article was written with the assistance of AI. Please verify information and consult additional sources as needed.