At least two associations are urging Congress to pass legislation that would protect companies from "patent trolls" that the groups allege are costing U.S. employers billions of dollars.

A patent troll is a person or company that sues other businesses for patent violations with the sole intent of making money from the lawsuit. The practice has become an expensive headache for tech companies, with the Consumer Technology Association estimating that patent trolls cost the U.S. economy $80 billon every year.

The U.S. Senate Committee on Small Business and Entrepreneurship held a hearing Wednesday about whether Congress should take up patent reform to help small businesses. In response, CTA CEO Gary Shapiro issued a statement urging action.

"Patent trolls engage in legalized extortion, costing small businesses jobs and sometimes even forcing entrepreneurs into bankruptcy," Shapiro said. "Eighty percent of patent troll victims are small and medium-sized businesses, including some of CTA's small business entrepreneurs."

The National Retail Federation also weighed in by saying Congress needed to end the "shakedown settlements" being forced on its industry by patent trolls.

"Retailers who once engaged with small technology providers no longer invest in their innovation out of fear of increased litigation brought by patent trolls," NRF Senior Vice President David French said. "Patent trolls have created a chilling effect on retailers' incorporation of technology in their stores and online."

Despite advocacy efforts by both the tech and retail sectors, legislation that would rein in patent trolls has gained little traction in Congress. A large reason is that other business sectors—particularly pharmaceuticals and biotechnology—fear the reforms being suggested by patent troll critics would so weaken the patent process that they would have a hard time fending off competitors who copy their products.

In addition, companies often accused of being patent trolls have mounted a defense of the current patent system, pointing to studies that find it levels the playing field for small startup firms trying to compete against larger, more established competitors.

"Today's hearing reinforced that Congress should reject any proposed changes to the patent system that would disrupt the ability of small businesses and startups to protect their inventions and create jobs," said Brian Pomper, executive director of the Innovation Alliance, a coalition of research and development companies who critics allege are patent trolls.

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