Own a small business in West Covina, Anaheim, Riverside, or anywhere in Southern California? If you’re planning to file a trademark application, listen up — a deadline in Washington could hit your wallet. The U.S. Patent and Trademark Office (USPTO) has special authority to set its own fees, including lower rates for small and micro businesses. That authority expires December 12, 2026, unless Congress steps in and renews it. Here’s what’s going on, who it affects, and what we think you should do about it right now.
Background: What This Means
The USPTO reviews and approves trademark and patent applications at the federal level. Back in 2011, the America Invents Act gave the USPTO something called “fee-setting authority.” Simple idea: the agency can adjust its own fees without waiting on Congress to pass a new law every single time. This same authority funds the discounted rates for “small entities” (businesses under 500 employees) and “micro entities” (very small businesses or solo inventors who meet certain income limits).
On September 29, 2026, the Senate Judiciary Committee’s IP Subcommittee held a hearing. USPTO Director John Squires fielded questions about this expiring authority. Lawmakers and industry groups aren’t thrilled — without renewal, the agency could lose the power to offer those reduced fees, or worse, face real legal uncertainty about collecting fees at all. As of October 3, 2026, Congress still hasn’t passed a renewal bill. Want to track this yourself? Check the USPTO’s official website and the Senate Judiciary Committee’s hearing records. We’re watching too — Protect your rights — we handle the rest.
If Congress does not act by December 12, 2026, trademark and patent fees could become uncertain. This could mean delays in processing, confusion about which fee schedule applies, or loss of small-entity and micro-entity discounts that many Southern California startups and small businesses rely on.
How This Affects Small Business Owners in Southern California
Many small businesses across Los Angeles, Orange, San Bernardino, and Riverside Counties depend on affordable trademark protection to build their brand. A trademark is a word, logo, or symbol that identifies your business and separates it from competitors. Registering a trademark with the USPTO gives you stronger legal rights than relying on common law use alone.
Small and micro-entity discounts can lower filing fees significantly. For a small business in Ontario or Pomona just opening its doors, or a growing company in Anaheim or Riverside expanding into new markets, these savings matter. If the fee-setting authority lapses:
- New trademark applications filed after December 12, 2026 may face unclear or higher fees until Congress resolves the issue.
- Businesses that planned to file this fall may want to consider filing before the deadline to lock in current discounted rates.
- Companies preparing to expand, franchise, or seek outside investment may face delays in securing trademark protection, which can affect contracts and licensing deals.
This uncertainty can also affect businesses that are preparing for growth events such as public offerings or franchise agreements, where strong trademark protection is often part of due diligence.
What You Should Do Now
You do not need to wait until the deadline to act. Here are practical steps for small business owners in San Bernardino, Riverside, and across the region:
- Review your trademark portfolio. Identify any brand names, logos, or slogans that are not yet registered with the USPTO.
- Consider filing before December 12, 2026. Filing now may allow you to take advantage of current fee rates before any changes take effect.
- Check your entity status. Confirm whether your business qualifies as a small or micro entity under current USPTO rules, since this affects the fees you pay.
- Monitor official updates. Follow announcements from the USPTO Trademarks page and the Federal Register for any formal fee changes.
- Budget for possible fee changes. If you plan to file multiple applications in 2027, build some flexibility into your budget in case fees increase.
Business owners who are also navigating other legal matters, such as lease disputes or partnership disagreements, may benefit from reviewing how trademark protection fits into broader business litigation and contract planning as part of their overall risk management.
How Tez Law P.C. Can Help
Tez Law P.C. assists Southern California business owners with trademark searches, applications, and USPTO filings, including guidance on small and micro-entity fee eligibility. The firm can help you prepare and file applications before the December 12, 2026 deadline or advise you on timing if the fee-setting authority is extended. For a broader look at the firm’s intellectual property services, visit the trademarks, copyrights, and IP page.
Frequently Asked Questions
What is USPTO fee-setting authority?
It is the legal authority Congress gave the USPTO to set and adjust its own trademark and patent fees, instead of requiring a new law for every fee change. This authority also supports discounted fees for small and micro entities.
When does this authority expire?
As of October 3, 2026, the authority is scheduled to expire on December 12, 2026, unless Congress passes legislation to renew it.
Will my trademark application cost more after December 12, 2026?
It is uncertain. If Congress does not act, fees could become unclear or discounts could lapse. Filing before the deadline may help you secure current rates, but outcomes depend on future congressional action.
Does this affect patent fees too?
Yes. The same fee-setting authority covers both trademark and patent fees, including small and micro-entity patent discounts.
How do I know if my business qualifies as a small or micro entity?
Generally, a small entity has fewer than 500 employees, while a micro entity must meet additional income and filing-history limits set by the USPTO. A trademark attorney can review your specific situation and confirm eligibility.
If you are considering a trademark application or have questions about how this expiring deadline may affect your business, you can schedule a consultation with Tez Law P.C. to discuss your options before December 12, 2026.
This article is general information, not legal advice, and reading it does not create an attorney-client relationship. Laws and agency practices change; contact Tez Law P.C. at 626-678-8677 or [email protected] about your situation. Prior results do not guarantee a similar outcome.