Australian Patent Fee Changes in 2024
As of 1 October 2024, IP Australia introduced significant Australian patent fee changes to its fee structure.
If you’re running a business and managing intellectual property (IP), you can’t afford to ignore these updates. Patent costs are a long-term investment, and these new rules could impact how you plan and budget for your IP strategy.
Let’s break down the Australian patent fee changes in 2024, how they affect Australian businesses, and what you can do to stay ahead.
Why Did IP Australia Change the Patent Fee Structure?
Every four years, IP Australia reviews its fees under a cost recovery model. What does that mean? Essentially, IP Australia looks at how much it costs to process, examine, and maintain patents and adjusts fees accordingly to recover these costs over a patent’s lifecycle.
This time, they had a few goals in mind:
Simplify the fee structure to make it easier to understand.
Encourage smarter IP strategies, so businesses think critically about what IP they need and why.
Balance workload and fees, ensuring the costs reflect the effort required at various stages.
These aren’t random tweaks—they’re aimed at making the system more efficient and sustainable. But as a business owner, it’s crucial to understand how these 2024 Australian patent fee changes might affect your bottom line.
Key Changes to Australian Patent Fees in 2024
IP Australia didn’t hold back this year. There’s a lot to unpack, but here are the most important Australian patent fee changes in 2024 you need to know:
1. Excess Claim Fees: The Loophole Is Gone
Previously, excess claim fees were calculated based on the number of claims in your patent application at the time of acceptance. This gave applicants the flexibility to adjust claims before paying fees.
Not anymore.
Under the new rules, you’re on the hook for the highest number of claims on file during examination of your patent application.
Here’s how it works now:
You’ll pay excess claim fees for every claim over 20 at the time of your first examination report.
If you add more claims after the first report, you’ll pay corresponding excess fees again at acceptance.
How much are we talking?
For claims 21 to 30: $125 per claim.
For claims 31+: $250 per claim.
Here’s where it gets serious:
You’ve got one month from the date of your first examination report to pay up. Miss that? Your application lapses.
If you add claims later, extra fees are due within three months of the date that acceptance of your patent application is advertised.
And yes, this applies only if you request examination on or after 1 October 2024. So, if you acted before then, good on you—you dodged this new structure.
But if you’re in the game now, what’s the move?
Streamline your claims early. Reduce your claims through voluntary amendments before the first examination report hits. IP Australia says they’ll give you a six-month heads-up before issuing it. Take advantage of that.
File amendments strategically. Do it before or shortly after requesting examination. Don’t procrastinate—fees rack up fast if you’re not careful.
The old “trim before acceptance” trick is gone, so you need to play smarter. If your applications has a truckload of claims, get with your patent attorney and optimise your application before that first examination report issues.
2. Filing Fees Have Increased
Patent application fees have seen their first increase in over a decade. Here’s the breakdown:
Direct route or national phase entry (preferred means): $370 → $400.
Other filing methods: $570 → $600.
While the increase might not seem massive, it can add up over time, especially if your business has multiple filings in the pipeline.
3. Examination Request Fees Are Higher
The cost to request an examination has gone up as well:
Standard examination request: $490 → $550.
Examination with an International Preliminary Report: $300 → $350.
Subsection 44(3) examination request: $100 → $150.
Given that this is the first increase in more than 10 years, the adjustment aligns with IP Australia’s strategy to recover costs and streamline processes.
4. Renewal Fees Keep Climbing
Patent renewal fees have also jumped, particularly for patents in their later years:
Years 6–14: Fees increase by $10 per year.
Years 15–19: Fees increase by $15 per year.
This could put pressure on businesses managing older patents, particularly if they have a portfolio of old patents that are not necessarily delivering the value they had originally intended.
If this is you, it may be worth revisiting the value of maintaining those older patents versus letting them lapse.
5. Some Fees Are Decreasing (Yes, Really)
Not all fees are going up. Two noteworthy reductions include:
Provisional application filing fees: $110 → $100.
Transmittal fee for international applications under the PCT: Removed entirely.
While these reductions might save a few dollars, they’re relatively minor compared to the other increases.
6. Patent oppositions and hearings
Fees associated with patent oppositions and hearings are doubling.
This is a big price hike but thankfully will only affect a minority who find themselves involved in a patent opposition.
What These Changes Mean for Your Business
If you’re a business owner navigating the world of patents, here’s what these 2024 Australian patent fee changes mean for you:
1. Filing Strategy Just Got More Important
The new excess claim fee rules mean you need to think strategically before filing your patent.
If you’re planning to file more than 20 claims, work with your patent attorney to streamline them before submitting your examination request. This will help you avoid paying unnecessary fees.
For example, can you utilise multiple claim dependencies to cut down on claim numbers? Are any of the claims redundant? Is each and every claim a possible contender for defining an invention that is at least novel?
2. Budgeting for IP Costs
With higher fees for applications, examinations, and renewals, it’s essential to revisit your IP budget. If you’re managing multiple patents or considering expanding your portfolio, these cost increases could add up quickly.
3. Renewals Require Strategic Thinking
Higher renewal fees mean you need to assess the value of each patent in your portfolio. Does it still align with your business goals? Is it worth the annual cost? Prioritising high-value patents while letting go of others might free up resources for new innovations.
Final Thoughts
Keeping on top of patent fees can be a critical part of managing your business’s cashflow.
With the Australian patent fee changes in 2024, it’s more important than ever to think strategically about how you manage your patents.
As always, the best move is to work with an experienced patent attorney who can help you navigate these changes, minimise costs, and maximise the value of your IP.
Have questions or need help with your patents? Let’s talk.
