The United States Patent and Trademark Office (USPTO) is implementing significant changes to its trademark fees and procedures starting January 18, 2025. While numerous changes have taken place over the past few years, the following changes will be the most significant we’ve seen in more than two decades.
These updates are designed to simplify the application process while introducing a new fee structure. For businesses in the cannabis industry, understanding these changes is critical to protecting intellectual property and planning for associated costs that won’t be as predictable as they were before.
Changes to the Trademark Application System
The 2025 updates affect various aspects of the trademark application process. Below is a breakdown of key changes and their implications for applicants.
Introduction of Trademark Center
The USPTO will replace the TEAS Plus and TEAS Standard filing options with a unified “base application” that can be found at the “Trademark Center.” The previous filing system was cumbersome, with limited user-friendly tools and a challenging process for obtaining applicant signatures. In contrast, the new Trademark Center offers significant improvements, including:
- Clear guidelines
- Helpful information buttons
- The ability to save drafts
- Streamlined signature tools
- Real-time cost updates based on provided information, and
- A complete preview of the application before submission.
This new system applies a flat fee of $350 per class of goods or services. The TEAS Plus application fee of $250, and TEAS Plus processing fee of $100 per class, will be discontinued.
However, additional fees will be assessed based on the application’s complexity and completeness. Fear not, applicants who applied before January 18, 2025: all applications filed on or after January 17, 2025 will not be subject to the new initial application fee structure.
Why This Matters: Applicants must ensure that their applications are thorough and comply with USPTO standards to avoid extra charges.
Fee Increases
Several new fees will be introduced, including:
- Insufficient Information Fee: $100 per class for applications missing required information such as entity information, address, or signatures.
- Free-form Text ID Fee: $200 per class for not using the USPTO’s ID Manual and utilizing custom descriptions common in the cannabis industry.
- Excess Character Fee: $200 for every 1,000 characters exceeding the initial threshold in descriptions.
Why This Matters: Preparing applications accurately and concisely is more important than ever to avoid excessive fees.
Insufficient Information Fee
One of the newer fee structures is the “Insufficient Information Fee.” Typically, if the information was missing from an application, a USPTO trademark examiner would either:
- 1) issue an office action, or
- 2) reach out directly to the registered correspondence to obtain the information and issue an examiner’s amendment (the most ideal avenue!).
As of January 18, 2025, an insufficient information fee per class will be attached to this service.
According to 37 CFR § 2.22, there are about 20 specific application requirements that, if omitted, trigger the insufficient information fee. Common omissions include but are not limited to:
- Failing to provide the applicant’s name.
- Omitting the applicant’s domicile address.
- Excluding a required disclaimer.
- Not including translations for non-English wording in the trademark.
- Failing to reference prior registrations when applicable.
Why this matters: Previously, minor omissions could be resolved without financial penalties, but now, businesses face additional costs if they fail to meet application requirements. For cannabis businesses, which already navigate a complex regulatory landscape, this added layer of scrutiny makes precise preparation even more critical.
Changes to Fee Structure
Fees will now be assessed at the time of filing, with different charges possible for the same application based on its details.
The TEAS Plus application, which previously cost $250, will be phased out and replaced by the new Base Application fee of $350. This fee aligns with the amount currently charged for TEAS Standard trademark applications.
The following filings will increase:
- Section 8 and 9 Renewals, required every 10 years, will rise from $525 to $650, while Section 8 Declarations due at the six-year mark will increase from $225 to $325. Similarly, fees for Section 15 Declarations will go from $200 to $250.
- Filing an Amendment to Allege Use (AAU) or Statement of Use (SOU) will now cost $150, up from $100. The fee for submitting a Letter of Protest will increase significantly, from $50 to $150, and the cost to file a Petition to Revive will jump from $150 to $250.
Why This Matters: Applicants should plan their filings strategically to minimize extra costs.
Stricter Definitions and Applications
Applications must strictly adhere to USPTO’s guidelines, particularly regarding the identification of goods and services. Misuse of free-form text fields or vague descriptions will incur penalties.
Why This Matters: Ensuring compliance with USPTO’s ID Manual and guidelines is essential for successful registration without additional expenses. For cannabis-related trademark applications, which often require custom descriptions to accurately capture the nature of the goods and services, the strict adherence to USPTO guidelines can present significant challenges.
The USPTO’s system penalizes the misuse of free-form text fields or vague descriptions, which are sometimes necessary for cannabis businesses to describe novel or evolving products and services that don't fit neatly within pre-existing categories. This new limitation may result in rejected applications or costly amendments, as applicants must carefully balance compliance with the USPTO's stringent standards while accurately describing their offerings in a way that avoids misclassification or ambiguity.
When Do the Changes Take Effect?
The new fees and procedures will take effect on January 18, 2025. Any applications submitted on or after this date will be subject to the updated system.
How the USPTO’s Changes Affect the Cannabis Industry
For cannabis businesses eligible to register trademarks, these changes pose several challenges and opportunities:
- Higher Costs: Businesses must budget for increased fees and additional charges if their applications don’t meet the new requirements.
- Creative Applications: Restrictions on free-form text may require innovative approaches to describe cannabis-related goods and services.
- Proof of Use: The USPTO continues to require actual use of the trademark in commerce, emphasizing accurate and appropriate classifications.
Are State Trademark Applications Affected by These Changes?
No, the USPTO’s changes apply only to federal trademark applications. State trademark systems remain unaffected, providing an alternative for businesses not yet eligible for federal registration.
How Rudick Law Group Is Preparing for the Changes
At Rudick Law Group, we are proactively preparing for the USPTO’s new procedures to help our clients navigate these updates efficiently. Our services include:
- Reviewing and updating filing strategies to minimize additional fees
- Offering expert guidance on using the USPTO’s ID Manual effectively
- Providing personalized consultations to ensure applications meet the stricter requirements
Trademark Your Cannabis Brand in 2025 with Rudick Law Group
Don’t let these changes delay your plans to protect your cannabis brand. Schedule a consultation with Rudick Law Group and let us guide you through the new trademark application process seamlessly.