People and companies on security lists would not receive or enforce patents

Covered people and companies could not be issued U.S. patents or enforce U.S. patents. This covers entries on two named federal lists tied to Chinese military activity or operations and an FCC list of communications equipment or services. It also covers specified related parties, including subsidiaries, affiliates, successors, assignees, legal representatives, and legally connected parties. These limits would apply unless a presidential waiver is in effect. The enforcement bar would cover patents issued before, on, or after enactment, but only while the owner is covered by a listed category.

The government could not use any process to give covered patent applications faster review. The restriction would apply to every expedited review process, including the Patent Prosecution Highway Program. Covered applicants could still file applications and receive regular examination. Neither the limits nor a waiver would change who owns a patent or how long it lasts.

The President could waive the patent limits for one person or company. A waiver would apply to the person or company covered by the President's determination. The President must determine that applying the limits serves no essential security interest. A report to both congressional judiciary committees must explain the decision, the listed activity and its security importance, and U.S. efforts to stop or punish that activity. Each waiver must follow U.S. international obligations. The report must reach Congress at least 30 days before a waiver. Each waiver may last up to 180 days, and the President may renew it.