Title 35, PatentsRelease 119-110

§201 Definitions

Title 35 › PART II — PATENTABILITY OF INVENTIONS AND GRANT OF PATENTS › CHAPTER 18 — PATENT RIGHTS IN INVENTIONS MADE WITH FEDERAL ASSISTANCE › § 201

Last updated Sep 23, 2026|Official source

Summary

Gives plain meanings for important words used in this chapter. It explains who counts as a federal agency, what a funding agreement is, who a contractor is, what an invention or subject invention is, what "practical application" and "made" mean, and what counts as a small business or nonprofit. Federal agency: an executive agency and the military departments. Funding agreement: a contract, grant, or cooperative agreement (not including the TVA) for research or development paid by the federal government, including assignments and subcontracts. Contractor: the person, small business, or nonprofit on that agreement. Invention: something that can be patented or otherwise protected, including new plant varieties (see 7 U.S.C. 2321 et seq.). Subject invention: an invention by the contractor made or first reduced to practice during the funded work (for plant varieties see 7 U.S.C. 2401(d)). Practical application: making, using, or operating the invention so it is actually used and its benefits are available to the public on reasonable terms. Made: the first idea or first actual test/build of the invention. Small business firm: a small business as defined in Public Law 85–536 (15 U.S.C. 632) and SBA rules. Nonprofit organization: universities or groups described in 26 U.S.C. 501(c)(3) and exempt under 26 U.S.C. 501(a), or similar state nonprofit scientific or educational groups.

Full Legal Text

Title 35, §201

Patents, Source: USLM XML via OLRC

As used in this chapter—
(a)The term “Federal agency” means any executive agency as defined in section 105 of title 5, and the military departments as defined by section 102 of title 5.
(b)The term “funding agreement” means any contract, grant, or cooperative agreement entered into between any Federal agency, other than the Tennessee Valley Authority, and any contractor for the performance of experimental, developmental, or research work funded in whole or in part by the Federal Government. Such term includes any assignment, substitution of parties, or subcontract of any type entered into for the performance of experimental, developmental, or research work under a funding agreement as herein defined.
(c)The term “contractor” means any person, small business firm, or nonprofit organization that is a party to a funding agreement.
(d)The term “invention” means any invention or discovery which is or may be patentable or otherwise protectable under this title or any novel variety of plant which is or may be protectable under the Plant Variety Protection Act (7 U.S.C. 2321 et seq.).
(e)The term “subject invention” means any invention of the contractor conceived or first actually reduced to practice in the performance of work under a funding agreement: Provided, That in the case of a variety of plant, the date of determination (as defined in section 41(d) of the Plant Variety Protection Act (7 U.S.C. 2401(d))) must also occur during the period of contract performance.
(f)The term “practical application” means to manufacture in the case of a composition or product, to practice in the case of a process or method, or to operate in the case of a machine or system; and, in each case, under such conditions as to establish that the invention is being utilized and that its benefits are to the extent permitted by law or Government regulations available to the public on reasonable terms.
(g)The term “made” when used in relation to any invention means the conception or first actual reduction to practice of such invention.
(h)The term “small business firm” means a small business concern as defined at section 2 of Public Law 85–536 (15 U.S.C. 632) and implementing regulations of the Administrator of the Small Business Administration.
(i)The term “nonprofit organization” means universities and other institutions of higher education or an organization of the type described in section 501(c)(3) of the Internal Revenue Code of 1986 (26 U.S.C. 501(c)) and exempt from taxation under section 501(a) of the Internal Revenue Code (26 U.S.C. 501(a)) or any nonprofit scientific or educational organization qualified under a State nonprofit organization statute.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

References in Text

The Plant Variety Protection Act, referred to in subsec. (d), is Pub. L. 91–577, Dec. 24, 1970, 84 Stat. 1542, which is classified principally to chapter 57 (§ 2321 et seq.) of Title 7, Agriculture. For complete classification of this Act to the Code, see

Short Title

note set out under section 2321 of Title 7 and Tables. section 41 of the Plant Variety Protection Act (7 U.S.C. 2401(d)), referred to in subsec. (e), was subsequently amended, and no longer defines the term “date of determination”.

Amendments

2002—Subsec. (a). Pub. L. 107–273 struck out “United States Code,” after “section 105 of title 5,” and “, United States Code” after “section 102 of title 5”. 1986—Subsec. (i). Pub. L. 99–514 substituted “Internal Revenue Code of 1986” for “Internal Revenue Code of 1954”. 1984—Subsec. (d). Pub. L. 98–620, § 501(1), inserted “or any novel variety of plant which is or may be protectable under the Plant Variety Protection Act (7 U.S.C. 2321 et seq.)” after “title”. Subsec. (e). Pub. L. 98–620, § 501(2), inserted “: Provided, That in the case of a variety of plant, the date of determination (as defined in section 41(d) of the Plant Variety Protection Act (7 U.S.C. 2401(d))) must also occur during the period of contract performance” after “agreement”.

Statutory Notes and Related Subsidiaries

Effective Date

Section effective July 1, 1981, but implementing

Regulations

authorized to be issued earlier, see section 8(f) of Pub. L. 96–517, set out as an

Effective Date

of 1980 Amendment note under section 41 of this title.

Reference

Citations & Metadata

Citation

35 U.S.C. § 201

Title 35, Patents

Last Updated

Sep 23, 2026

Release point: 119-110