System to Perfect Intellectual Property Security Interests
Tech ID: 07_010
Funded the USPTO, Dr. Venkatachalam analyzed impediments to leveraging the value of intellectual property (patents, copyrights and trademarks) as collateral. He found that there did not exist a nationwide system to determine the ownership and any pre-existing security interests in intangible assets. Dr. Venkatachalam suggested that the difficulty in determining ownership creates a large amount of uncertainty, leading to increased risk to investors, and subsequent higher costs for capital for entrepreneurs and small businesses.
To address this, Dr. Venkatachalam developed a unique approach to determine both the ownership and any existing security interests in intellectual property though a web-deployed, searchable system that can link state-wide UCC databases with the federal USPTO patent assignment database. The system evaluates a number of factors, including the assignment of an intellectual property asset, whether all inventors of the asset assigned their interest to a party of interest, and whether the recordation of ownership transfer of an asset was recorded within a specific time period. The system assigns a value based on the evaluation of a pre-determined list of criteria, with the ultimate goal of providing an evaluation that can assist, for example, venture capitalists, angels, and financial investors reduce risk by making it easier to evaluate security interests in intangible assets.
U.S. Patent Application No. 11/881,741 (pending)