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section27.203

Security requirements for patent applications containing classified subject matter

Overview

This section prescribes the procedures and security measures required to prevent the unauthorized disclosure of classified subject matter contained within patent applications. It ensures that both the Government and contractors comply with national security laws, specifically espionage and censorship statutes, while protecting intellectual property rights.

Key Rules

  • Legal Compliance: Unauthorized disclosure of classified matter in patent applications is a potential violation of 18 U.S.C. 792 (Espionage and Censorship) and related national security statutes.
  • Classification Determination: Upon receiving a patent application, the Contracting Officer (CO) must ascertain its proper security classification and provide the contractor with specific transmission instructions for the U.S. Patent Office.
  • Notification Timeline: For materials classified as "Secret" or higher, the CO must make every effort to notify the contractor of the Government’s determination within 30 days.
  • Foreign Filing Protection: The CO is required to act promptly on requests for foreign patent filings to prevent the forfeiture of valuable patent rights for both the contractor and the Government.
  • Mandatory Clause: FAR clause 52.227-10 must be inserted in all classified solicitations/contracts and any contract where the work performed might reasonably lead to a patent application containing classified information.

Practical Implications

  • Contractors engaged in sensitive R&D must establish rigorous internal controls to identify potential classified subject matter before filing patent applications to avoid criminal liability.
  • The regulation places a significant administrative burden on the Contracting Officer to coordinate with legal counsel and the U.S. Patent Office to ensure secure transmission and timely processing of intellectual property claims.

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