Commerce Dept. Awards $193M for Patent Cooperation Treaty Services to Cardinal Intellectual Property Inc
Contract Overview
Contract Amount: $193,402,579 ($193.4M)
Contractor: Cardinal Intellectual Property Inc.
Awarding Agency: Department of Commerce
Start Date: 2012-01-03
End Date: 2025-02-01
Contract Duration: 4,778 days
Daily Burn Rate: $40.5K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 8
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: PATENT COOPERATION TREATY.
Place of Performance
Location: EVANSTON, COOK County, ILLINOIS, 60201
State: Illinois Government Spending
Plain-Language Summary
Department of Commerce obligated $193.4 million to CARDINAL INTELLECTUAL PROPERTY INC. for work described as: PATENT COOPERATION TREATY. Key points: 1. Significant contract value of $193.4M over 13 years. 2. Services fall under 'All Other Professional, Scientific, and Technical Services' (NAICS 541990). 3. Contract awarded via full and open competition, suggesting market availability. 4. Potential for cost savings through firm fixed-price structure.
Value Assessment
Rating: good
The contract's firm fixed-price structure provides cost certainty. Benchmarking against similar long-term, specialized intellectual property services is difficult without more granular data, but the duration suggests a potentially competitive rate was secured.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
Awarded under full and open competition, this method allows all responsible sources to submit offers, promoting price discovery and potentially leading to a more competitive price. The definitive contract type indicates a long-term agreement.
Taxpayer Impact: The firm fixed-price contract aims to control costs, ensuring taxpayer funds are used efficiently for essential patent cooperation treaty services.
Public Impact
Ensures continued operation and administration of the Patent Cooperation Treaty, vital for international patent filings. Supports U.S. businesses and inventors seeking global patent protection. The long-term nature of the contract provides stability for service delivery.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Long contract duration could lead to price erosion if market rates decrease.
- Reliance on a single contractor for a critical function.
Positive Signals
- Firm fixed-price contract provides budget certainty.
- Full and open competition likely secured a competitive price.
- Long-term award ensures continuity of essential services.
Sector Analysis
This contract falls within professional, scientific, and technical services, specifically related to intellectual property management. Spending in this sector can vary widely based on government needs and international agreements.
Small Business Impact
The data does not indicate specific subcontracting opportunities for small businesses. Further analysis would be needed to determine if small businesses are involved in fulfilling this contract.
Oversight & Accountability
The award was made by the U.S. Patent and Trademark Office, an agency within the Department of Commerce, suggesting established oversight mechanisms. The definitive contract type implies a structured agreement.
Related Government Programs
- All Other Professional, Scientific, and Technical Services
- Department of Commerce Contracting
- U.S. Patent and Trademark Office Programs
Risk Flags
- Long contract duration (13 years)
- Potential for price escalation if market conditions change unfavorably
- Dependence on a single contractor for critical international treaty services
Tags
all-other-professional-scientific-and-te, department-of-commerce, il, definitive-contract, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Commerce awarded $193.4 million to CARDINAL INTELLECTUAL PROPERTY INC.. PATENT COOPERATION TREATY.
Who is the contractor on this award?
The obligated recipient is CARDINAL INTELLECTUAL PROPERTY INC..
Which agency awarded this contract?
Awarding agency: Department of Commerce (U.S. Patent and Trademark Office).
What is the total obligated amount?
The obligated amount is $193.4 million.
What is the period of performance?
Start: 2012-01-03. End: 2025-02-01.
What is the specific scope of services provided under the Patent Cooperation Treaty agreement?
The Patent Cooperation Treaty (PCT) facilitates the process for applicants seeking patent protection in multiple countries. Services likely include administrative support, processing international applications, managing communications between national patent offices, and ensuring compliance with PCT regulations. This ensures a streamlined and cost-effective way for inventors to pursue international patent rights.
How does the firm fixed-price structure mitigate risks associated with long-term service contracts?
A firm fixed-price contract establishes a set price for the work, shifting the risk of cost overruns to the contractor. For a long-term agreement like this, it provides the government with budget certainty and protects against potential inflation or unforeseen cost increases that the contractor might incur. This ensures predictable spending for the duration of the contract.
What is the potential impact on innovation if competition is limited in future contract renewals?
Limited competition in future renewals could stifle innovation by reducing the incentive for the incumbent contractor to improve services or offer competitive pricing. It might also prevent newer, potentially more innovative firms from entering the market. This could lead to higher costs and less advanced service delivery for the Patent Cooperation Treaty.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Other Professional, Scientific, and Technical Services › All Other Professional, Scientific, and Technical Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 8
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 1603 ORRINGTON AVE STE 2010, EVANSTON, IL, 60201
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business
Financial Breakdown
Contract Ceiling: $205,831,220
Exercised Options: $193,402,579
Current Obligation: $193,402,579
Contract Characteristics
Multi-Year Contract: Yes
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Timeline
Start Date: 2012-01-03
Current End Date: 2025-02-01
Potential End Date: 2025-02-01 00:00:00
Last Modified: 2024-12-03
More Contracts from Cardinal Intellectual Property Inc.
- Patent Cooperation Treaty (PCT) International Search and Opinion (piso) Services - Base Year Task Order Award — $17.2M (Department of Commerce)
- Patent Cooperation Treaty International Search and Opinion Services - Option Year ONE Task Order Award — $4.8M (Department of Commerce)
View all Cardinal Intellectual Property Inc. federal contracts →
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