Variable-lifetime patents already exist to a certain extent (utility patents vs.
design patents). But it would be interesting to extend the idea further.
As long as we can make arbitrary changes to patent law, I think the most valuable thing you could do is to mandate a periodic investigation into whether or not the current policies encourage innovation. Are algorithm patents slowing down innovation? Shorten their duration by a few years/be stricter about what you accept.
- Frivolous lawsuits would be severely discouraged. And I mean severely.
- The patent process now involves wrestling with a live bear. Anyone who successfully survives the experience is awarded the patent.
I can only imagine the punishment you have in mind for a frivolous lawsuit.