Biotechnology's Uncertainty Principle
In theory, we have a unified patent system that provides technology-neutralprotection to all kinds of technologies. However, we have recently noticedan increasing divergence between the rules actually applied to differentindustries. Biotechnology provides one of the best examples. Inbiotechnology cases, the Federal Circuit has repeatedly held thatuncertainty in predicting the structural features of biotechnologicalinventions renders them nonobvious, even if the prior art demonstrates aclear plan for producing the invention. At the same time, the court claimsthat the uncertain nature of the technology requires imposition ofstringent patent enablement and written description requirements that arenot applied to patents in other disciplines. Thus, as a practical matter itappears that although patent law is technology-neutral in theory, it istechnology-specific in application. Much of the variance in patentstandards is attributable to the use of a legal construct, the "personhaving ordinary skill in the art" (PHOSITA), to determine obviousness andenablement. We do not challenge the idea that the standards in eachindustry should vary with the level of skill in that industry. We think theuse of the PHOSITA provides needed flexibility for patent law, permittingit to adapt to new technologies without losing its essential character. Wefear, however, that the Federal Circuit has not applied that standardproperly in biotechnology. The court has a static perception of the fieldthat was set in its initial analyses of biotechnology inventions, but whichdoes not reflect the realities of the industry. In the final part of thepaper, we offer a very preliminary policy assessment of theseindustry-specific patent cases. We suggest that the special rules theFederal Circuit has constructed for biotech cases are rather poorly matchedto the specific needs of the industry. Indeed, in some ways the FederalCircuit cases have it exactly backwards. We offer a few suggestions as towhat a consciously designed biotechnology patent policy may look like.