[Federal Register Volume 69, Number 140 (Thursday, July 22, 2004)]
[Rules and Regulations]
[Pages 43751-43752]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 04-16753]


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DEPARTMENT OF COMMERCE

Patent and Trademark Office

37 CFR Parts 1 and 2

[Docket No. 2004-C-032]
RIN 0651-AB74


Elimination of Credit Cards as Payment for Replenishing Deposit 
Accounts

AGENCY: United States Patent and Trademark Office, Commerce.

ACTION: Final rule.

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SUMMARY: The United States Patent and Trademark Office (Office) is 
amending its rules of practice to eliminate acceptance of credit cards 
as payment for replenishing deposit accounts. Deposit account customers 
may still submit payments to replenish their deposit accounts by 
electronic funds transfer (EFT) through the Federal Reserve Fedwire 
System or over the Office's Internet Web site (http://www.uspto.gov), 
and by check or money order sent through the mail. The Office will 
continue to accept credit cards as payment for all other products and 
services for which fees are required.

DATES: Effective Date: August 23, 2004.

FOR FURTHER INFORMATION CONTACT: Matthew Lee by e-mail at 
[email protected], or by fax at (703) 308-5077 marked to the 
attention of Matthew Lee.

SUPPLEMENTARY INFORMATION: The Office is revising 37 CFR 1.23(b), 
1.25(c)(2), 2.207(b), and 2.208(c)(2) to eliminate acceptance of credit 
cards as payment for replenishing deposit accounts.
    The Office participates in the Plastic Card Network (PCN), which is 
a Government-wide network that allows Federal agencies to accept 
nationally branded credit and debit cards for collecting receipts due 
to the Government. This network promotes the efficient electronic 
collection of receipts from the public sector while providing a 
convenient and widely used payment option for remitters. The Department 
of the Treasury Financial Management Service (FMS) manages the PCN and 
pays the transaction fees incurred for processing credit and debit card 
payments.
    The Office was notified by the FMS of excessive transaction fees 
resulting from high dollar credit card charges processed by the agency. 
Nearly all of the high dollar credit card charges were payments made by 
customers to replenish deposit accounts. Although credit cards are an 
efficient means for individuals to use in replenishing deposit 
accounts, they are an expensive option that is not cost-effective. It 
is much more cost-effective to process high dollar payments by EFT or 
by check for the Government. This is because the Government is charged 
a percent fee based on the total dollar amount of the charge. Under the 
PCN, the Office is not allowed to establish minimum or maximum single 
transaction amounts or to charge a transaction fee for a specific group 
of transactions as conditions for accepting credit cards.
    Deposit account customers who replenished their deposit accounts 
with a credit card may be inconvenienced, but the vast majority of 
customers who pay for products and services with a credit card will 
continue to enjoy the convenience and will not be impacted by this 
final rule. Customers will continue to have a means of replenishing 
their deposit accounts electronically by EFT, and through the mail by 
check or money order.
    This final rule supports the FMS in controlling the PCN costs, and 
ensures the Office can continue participating in the PCN and provide 
the credit card payment option to customers for all other products and 
services.
    To ensure clarity in the implementation of this final rule, a 
discussion of specific sections is set forth below.

Discussion of Specific Rules

37 CFR 1.23 Method of Payment

    Section 1.23, paragraph (b), is revised to exclude credit cards as 
payment for replenishing a deposit account.

37 CFR 1.25 Deposit Accounts

    Section 1.25, paragraph (c)(2), is revised by removing the 
reference to credit cards for replenishing a deposit account over the 
Office's Internet Web site.

37 CFR 2.207 Method of Payment

    Section 2.207, paragraph (b), is revised to exclude credit cards as 
payment for replenishing a deposit account.

37 CFR 2.208 Deposit Accounts

    Section 2.208, paragraph (c)(2), is revised by removing the 
reference to credit cards for replenishing a deposit account over the 
Office's Internet Web site.

Other Considerations

    This final rule contains no information collection requirements 
within the meaning of the Paperwork Reduction Act of 1995, 44 U.S.C. 
3501 et seq. This final rule has been determined to be not significant 
for purposes of Executive Order 12866. This final rule does not contain 
policies with Federalism implications sufficient to warrant preparation 
of a Federalism Assessment under Executive Order 13132 (August 4, 
1999).
    Prior notice and an opportunity for public comment are not required 
by the Administrative Procedure Act, or any other statute or 
regulation, for this rule. This rule is exempted from the notice and 
comment because it involves a rule of agency practice or procedure. As 
prior notice and an opportunity for public comment are not required 
pursuant to 5 U.S.C. 553, or any other law, the analytical requirements 
of the Regulatory Flexibility Act, 5 U.S.C. 605(b), are inapplicable.

Lists of Subjects

37 CFR Part 1

    Administrative practice and procedure, Patents.

37 CFR Part 2

    Administrative practice and procedure, Trademarks.

0
For the reasons set forth in the preamble, title 37 of the Code of 
Federal Regulations, parts 1 and 2, are being amended as set forth 
below.

[[Page 43752]]

PART 1--RULES OF PRACTICE IN PATENT CASES

0
1. The authority citation for 37 CFR part 1 continues to read as 
follows:

    Authority: 35 U.S.C. 2, unless otherwise noted.


0
2. Section 1.23 is amended by revising paragraph (b) to read as 
follows:


Sec.  1.23  Methods of payment.

* * * * *
    (b) Payments of money required for United States Patent and 
Trademark Office fees may also be made by credit card, except for 
replenishing a deposit account. Payment of a fee by credit card must 
specify the amount to be charged to the credit card and such other 
information as is necessary to process the charge, and is subject to 
collection of the fee. The Office will not accept a general 
authorization to charge fees to a credit card. If credit card 
information is provided on a form or document other than a form 
provided by the Office for the payment of fees by credit card, the 
Office will not be liable if the credit card number becomes public 
knowledge.

0
3. Section 1.25 is amended by revising paragraph (c)(2) to read as 
follows:


Sec.  1.25  Deposit accounts.

* * * * *
    (c) ***
    (2) A payment to replenish a deposit account may be submitted by 
electronic funds transfer over the Office's Internet Web site 
(www.uspto.gov).
* * * * *

PART 2--RULES OF PRACTICE IN TRADEMARK CASES

0
1. The authority citation for 37 CFR part 2 continues to read as 
follows:

    Authority: 35 U.S.C. 2, unless otherwise noted.

0
2. Section 2.207 is amended by revising paragraph (b) to read as 
follows:


Sec.  2.207  Methods of payment.

* * * * *
    (b) Payments of money required for trademark fees may also be made 
by credit card, except for replenishing a deposit account. Payment of a 
fee by credit card must specify the amount to be charged to the credit 
card and such other information as is necessary to process the charge, 
and is subject to collection of the fee. The Office will not accept a 
general authorization to charge fees to a credit card. If credit card 
information is provided on a form or document other than a form 
provided by the Office for the payment of fees by credit card, the 
Office will not be liable if the credit card number becomes public 
knowledge.

0
3. Section 2.208 is amended by revising paragraph (c)(2) to read as 
follows:


Sec.  2.208  Deposit accounts.

* * * * *
    (c) ***
    (2) A payment to replenish a deposit account may be submitted by 
electronic funds transfer over the Office's Internet Web site 
(www.uspto.gov).
* * * * *

    Dated: July 14, 2004.
Jon W. Dudas,
Acting Under Secretary of Commerce for Intellectual Property and Acting 
Director of the United States Patent and Trademark Office.
[FR Doc. 04-16753 Filed 7-21-04; 8:45 am]
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