INDIAN
PATENT ACT,
1970
INTRODUCTION
The word patent originates from the Latin word
“patere”, which means "to lay open" (i.e., to
make available for public inspection). which was
a royal decree granting exclusive rights to a
person, predating the modern patent system.
The term patent usually refers to a right granted to
anyone who invents or discovers any new and
useful process, machine, article of manufacture,
or composition of matter, or any new and useful
improvement thereof.
WHAT IS A PATENT?
A patent is a grant from the government which
confers on the guarantee for a limited period of
time the exclusive privilege of making, selling
and using the invention for which a patent has
been granted.
AN IDEA CANNOT BE PATENTED!!
EXAMPLES OF PATENT
1. Patent Name: "Electromagnetic inductive suspension
and stabilization system for a ground vehicle“ (Maglev
Train)
2. Patent Name: "Electronic device“ (I-Phone)
3. Patent Name: "Omni-directional, vertical-lift,
helicopter drone“ (Quadcopter Drone)
4. Patent Name: "Navigation system using satellites and
passive ranging techniques“ (Global Positioning
System-GPS)
5. Patent Name: "Vision system for an autonomous
vehicle“ (Self driving car)
WHAT CAN BE PATENTED
Any invention which must be
• Novel
• Involves an Inventive step
• Capable of industrial application
• Must not be declared as non-patentable
under the patent act.
WHAT CANNOT BE PATENTED?
1. Any artistic creation
2. Mathematical methods
3. Business schemes.
4. Anything against universal law.
5. Computer programs or algorithms
6. Mere discovery of Scientific principle or formulation of abstract
theory.
7. A method of Agriculture or horticulture.
8. Inventions relating to Atomic energy.
9. Plants & animals in whole or any part other than micro-organisms
but including seeds, varieties & species & essentially biological
processes for production or propagation of plants & animals.
SALIENT FEATURES OF PATENT
ACT
• Both product and process patent provided
• Term of patent – 20 years
• Examination on request
• Both pre-grant and post-grant opposition
• Fast track mechanism for disposal of appeals
• Provision for protection of bio-diversity and traditional
knowledge
• Publication of applications after 18 months with facility
for early publication
• Substantially reduced time-lines
TRANSFER OF PATENT
Forms of Transfer of Patent Rights:
1. Assignment: The term 'assignment' is not defined in
the Indian Patents Act. Assignment is an act by which
the patentee assigns whole or part of his patent rights
to the assignee who acquires the right to prevent
others from making, using, exercising or vending the
invention. There are three kinds of assignments
• Legal Assignment
• Equitable Assignment
• Mortgage
• Legal Assignment: An assignment (or an agreement to assign) of
an existing patent is a legal assignment, where the assignee may
enter his name as the patent owner. A patent which is created by
deed can only be assigned by a deed. A legal assignee entitled as
the proprietor of the patent acquires all rights thereof.
• Equitable Assignments: Any agreement including a letter in
which the patentee agrees to give a certain defined share of the
patent to another person is an equitable assignment of the patent.
However an assignee in such a case cannot have his name entered
in the register as the proprietor of patent. But the assignee may
have notice of his interest in the patent entered in the register.
• Mortgages: A mortgage is an agreement in which
the patent rights are wholly or partly transferred to
assignee in return for a sum of money. Once the
assignor repays the sum to the assignee, the patent
rights are restored to assignor/patentee. The person
in whose favor a mortgage is made is not entitled to
have his name entered in the register as the
proprietor, but he can get his name entered in the
register as mortgagee.
2. Licenses:
The Patents Act allows a patentee to grant a License by the way of
agreement under section 70 of the Act. A patentee by the way of
granting a license may permit a licensee to make, use, or exercise
the invention. A license granted is not valid unless it is in writing.
The license is contract signed by the licensor and the licensee in
writing and the terms agreed upon by them including the payment of
royalties at a rate mentioned for all articles made under the patent.
Licenses are of the following types,
• Voluntary License
• Statutory License(such as compulsory License)
• Exclusive/Limited License
• Express/Implied License
• Voluntary licenses:
It is the license given to any other person to make, use and sell the
patented article as agreed upon the terms of license in writing. Since it is
a voluntary license, the Controller and the Central government do not
have any role to play. The terms and conditions of such agreement are
mutually agreed upon by the licensor and licensee. In case of any
disagreement, the licensor can cancel the licensing agreement.
• Statutory licenses:
Statutory licenses are granted by central government by empowering a
third party to make/use the patented article without the consent of the
patent holder in view of public interest. Classic example of such
statutory licenses is compulsory licenses. Compulsory licenses are
generally defined as authorizations permitting a third party to make, use,
or sell a patented invention without the patent owner's consent.
• Compulsory Licenses(CLs)
Though CLs works against the interest of the patent holder, it is
granted under certain provided conditions under the Patents Act.
Under section 84 of the Indian Patents Act 1970, any person can
make an application for grant of a compulsory license for a patent
after three years, from the date of grant of that patent, on any of
the following grounds:
(a) The reasonable requirements of the public with respect to the
patented invention have not been satisfied;
(b) The patented invention is not available to the public at a
reasonably affordable price.
(c) The patented invention has not worked in the territory of India.
• Exclusive Licenses and Limited Licenses:
Depending upon the degree and extent of rights conferred
on the licensee, a license may be Exclusive or Limited
License. An exclusive license excludes all other persons
including the patentee from the right to use the invention.
Any one or more rights of the patented invention can be
conferred from the bundle of rights owned by the patentee.
The rights may be divided and assigned, restrained entirely
or in part. In a limited license, the limitation may arise as to
persons, time, place, manufacture, use or sale.
• Express and Implied Licenses:
An express license is one in which the permission to use the
patent is given in express terms. Such a license is not valid
unless it is in writing in a document embodying the terms
and conditions. In case of implied license though the
permission is not given in express terms, it is implied from
the circumstances. For example: where a person buys a
patented article, either within jurisdiction or abroad either
directly from the patentee or his licensees, there is an
implied license in any way and to resell it.
3. Transmission of Patent by Operation of law:
When a patentee dies, his interest in the patent passes to his
legal representative; in case of dissolution or winding up of
a company or bankruptcy transmission of patent by
operation of law occurs.
RIGHTS OF A PATENTEE
1. Right to exploit the patent: The patentee has a right to
prevent 3rd parties, from exploiting the patented
invention.
2. Right to grant license: The patentee has a power to
assign rights or grant license.
3. Right to surrender: The patentee is given the right to
surrender the patent by giving notice in prescribed
manner to the controller.
4. Right to sue for infringement: A patentee is given the
right to institute proceeding for infringement of the
patent in a district court .
EXPIRY OF A PATENT
A patent can expire in the following ways:
1. The patent has lived its full term.
2. The patentee has failed to pay the renewal fee.
3. The validity of the patent has been successfully
challenged by an opponent by filing an opposition either
with the patent office or with the courts.
4. As soon as the patent expires, it pass to the general public
domain and now anybody can use it without the
permission of the original inventor
WHY ONE SHOULD GO FOR A GETTING
A PATENT ?
• To enjoy the exclusive rights over the invention.
• The patent is to ensure commercial returns to the
inventor for the time and money spend in generating a
new product
OU
A N KY
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