Compulsory licensing of inventions

Compulsory licensing of inventions
March 14 07:21 2014 Print This Article

In the following cases, the right to use an invention may be licensed to another organization or individual under a decision of the competent state agency without permission from the holder of exclusive right to use such invention:

– Where the use of such invention is for public and non-commercial purposes or in service of national defense, security, disease prevention and treatment and nutrition for people or other urgent needs of the society.

– Where the holder of exclusive right to use such invention fails to fulfill the obligations to use such invention provided for in Clause 1, Article 136  and Clause 5, Article 142 of Intellctual property  Law upon the expiration of a 4-year duration as from the date of filing the invention registration application and the expiration of a 3-year duration as from the date of granting the invention patent;

– Where a person who wishes to use the invention fails to reach an agreement with the holder of exclusive right to use such invention on the entry of an invention license contract in spite of his/her efforts made within a reasonable time for negotiation on satisfactory commercial price and conditions;

– Where the holder of exclusive right to use such invention is considered having performed anti- competition practices banned by competition law.

The holder of exclusive right to use an invention may request the termination of the use right when the bases for licensing provided above  no longer exist and are unlikely to recur, provided that such termination shall not be prejudicial to the invention licensee

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