Known as Public Law 96-517

This law allows universities and small businesses to retain title to inventions conceived or reduced to practice with federal funding. The act encourages commercialization of research by allowing institutions to license inventions to private sector companies.

According to the law, institutions must file for patent protection within a certain timeframe (18 months) to maintain their rights. The act also establishes a framework for licensing and royalties, ensuring that inventors and institutions receive fair compensation for their work.

The Bayh-Dole Act was sponsored by Senators Birch Bayh and Bob Dole, and was signed into law by President Jimmy Carter on December 12, 1980.