rights-limitations-of-patent-law
rights-limitations-of-patent-law

Rights and Limitations of Patent Law: Patent Holder Rights and Limitation

The Patents Act, 1970, governs how inventions are protected through patents. It strikes a balance between giving inventors control over their creations and ensuring the public can benefit from these inventions. This article provides a detailed explanation of the rights and limitations of patent law and patent holders under the Patents Act, 1970 including exclusive rights over the inventions, remedies in case of infringement, duration of patents or right to deal with your patents and limiting the scope as to what can be patented. Lets find out more about these below.

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Rights of Patent Holders

When someone is granted a patent in India, they receive specific rights that allow them to control how their invention is used. These rights are outlined in Section 48 and other parts of the Act. Here’s what they include:

Exclusive Control Over the Invention:

For a Product Patent: If you invent a new product (like a gadget or a medicine), you can stop others from making the product, using the product, selling or offering it for sale and importing it into India without your permission.

For a Process Patent: If you invent a new method or process (like a way to manufacture something), you can prevent others from using that process, using, selling, offering for sale, or importing products made using that process without your consent. This means you have the sole authority to decide who can use your invention and how.

Duration of the Patent:

A patent lasts for 20 years from the date you file the patent application. This applies whether you file a provisional (initial) or complete application. For international applications under the Patent Cooperation Treaty (PCT), the 20 years start from the international filing date. During these 20 years, you can benefit from your invention by selling it, licensing it, or using it yourself without competition from others.

Right to Take Legal Action:

If someone uses your patented invention without permission (called infringement), you can take them to court. You can ask for the following remedies:

  • An injunction, which is a court order to stop the infringing activity.

  • Damages (money to compensate for your losses) or an account of profits (the money the infringer made using your invention).

Even if you license your patent to someone else (like an exclusive licensee), they may also have the right to sue for infringement under certain conditions.

Dealing with the Patent:

You can treat your patent like property. This means you can:

  • Sell it to someone else (assign it).

  • License it, allowing others to use it under specific terms while you still own it.

  • Use it in other ways, like forming partnerships or collaborations.

  • If the government uses your invention for its purposes (like for public services), you are entitled to adequate remuneration (payment), which is decided either by mutual agreement or by a court.

Also, Get to Know About Infringement of Geographical Indication.

Limitations on Patents

While patent holders get strong rights, the Patents Act, 1970, also sets limits to ensure these rights don’t harm the public or block access to essential goods and services. These limitations are found in various parts of the Act, such as Chapter II (what can’t be patented) and Chapter XVI (compulsory licensing). Here’s a simple breakdown:

1. What Cannot Be Patented:

The Act lists certain things that cannot be patented to avoid monopolies over basic knowledge or things that could harm society. These include:

  • Frivolous or unscientific inventions: Things that are trivial or go against well-known scientific laws.

  • Inventions against public order or morality: Anything that could harm people, animals, plants, or the environment, or is considered immoral.

  • Mere discoveries: You can’t patent something that already exists in nature, like a plant, animal, or natural substance.

  • New forms of known substances: For example, in pharmaceuticals, you can’t patent a slightly modified version of an existing drug (like a new salt or form) unless it significantly improves the drug’s effectiveness. This prevents companies from extending patents unnecessarily (a practice called “evergreening”).

  • Mere mixtures: Combining known substances without creating something new or better doesn’t qualify for a patent.

  • Agricultural or horticultural methods: Farming techniques cannot be patented to ensure farmers have free access to them.

  • Medical treatments: Methods for treating humans or animals (like surgery or therapy) cannot be patented to keep healthcare accessible.

  • Plants and animals: You can’t patent whole plants or animals (except microorganisms in some cases) or their seeds and varieties.

  • Computer programs and algorithms: Software “per se” (on its own) or mathematical methods cannot be patented.

  • Creative works: Things like books, music, movies, or art are protected by copyright, not patents.

  • Traditional knowledge: You can’t patent something that’s already part of traditional or cultural knowledge.

  • Atomic energy inventions: Anything related to atomic energy is excluded for national security reasons (under Section 4).

These restrictions ensure that patents are granted only for truly innovative inventions and not for things that should remain freely available.

2. Compulsory Licensing

In some cases, the government can allow others to use your patented invention without your permission. This is called compulsory licensing and is outlined in Sections 84–92A. It happens when:

  • The invention isn’t meeting the public’s needs (e.g., not enough supply).

  • The invention is too expensive for the public to afford.

  • The patent isn’t being used commercially in India.

a. When it applies: After 3 years from the patent grant, anyone can apply for a compulsory license. The government can also step in during:

  • National emergencies (e.g., wars or crises).

  • Public health emergencies (e.g., epidemics like AIDS, tuberculosis, or malaria).

  • Public non-commercial use (e.g., for government programs).

b. Export of medicines: The government can allow companies to make and export patented drugs to countries that lack manufacturing capacity, helping global public health.

c. How it works: The person or company using the patent pays you a reasonable royalty, and the license is non-exclusive (others can also apply for it). The goal is to make the invention available at affordable prices, especially for critical needs like medicines.

3. Government Use

The government can use your patented invention for its own purposes (like for defense or public services) without your permission, as per Section 100. You’ll still get paid a fair amount, but you can’t stop the government from using it.

If the invention was tested or recorded by the government before you applied for the patent, they can use it for free.

4. Reporting Requirements

You must regularly inform the Patent Office about how your invention is being used commercially in India (under Section 146). This includes submitting details within two months of a notice or every six months if required.

This ensures that patents are actually benefiting the public and not just sitting unused.

5. Contract Restrictions

Certain terms in contracts related to your patent are not allowed (under Section 140). For example:

  • You can’t force someone who licenses your patent to only buy your products or avoid using other processes.

  • You can’t stop them from challenging the validity of your patent.

  • You can’t impose “exclusive grant-back” conditions or coercive terms that limit competition.

6. Revocation of Patents

A patent can be revoked (cancelled) under certain conditions (Sections 64–66), such as:

  • If the invention isn’t patentable (e.g., it falls under the non-patentable categories).

  • If the patent was obtained fraudulently or illegally.

  • If the invention isn’t being used in India even after a compulsory license is granted.

  • If it relates to atomic energy or is harmful to the public or the state.

7. Termination of Contracts

If someone has a contract to use your patent (like a license or lease), they can end it with three months’ notice once the patent expires (under Section 141). This gives flexibility to users after the patent’s 20-year term ends.

Summary

The Patents Act, 1970, provides a strong framework to protect inventors while ensuring their inventions benefit society. It encourages innovation by granting exclusive rights for 20 years. At the same time, limitations like compulsory licensing, non-patentable subjects and government use ensure that critical needs like affordable medicines and public welfare are met. This balance makes the Patent Law a vital tool for fostering innovation in while addressing the country’s unique socio-economic challenges.

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Rights and Limitations of Patent Law: FAQs

Q1. What is patent law and its rights and limitations?

Patent law in India, under the Patents Act, 1970, protects inventions by giving inventors exclusive rights to make, use, sell, or import their creations for 20 years. Limitations include compulsory licensing, non-patentable items, government use, and public interest rules to ensure societal benefits.

Q2. What are the limitations of a patent?

Non-patentable items like traditional knowledge, medical treatments, or frivolous inventions; compulsory licensing after 3 years if the invention isn’t used or affordable; government use with payment; revocation if the patent isn’t worked or harms the public; research exemptions for experiments; mandatory reporting on commercial use.

Q3. What are the rights of patent protection?

Patent protection allows inventors to prevent others from making, using, selling, or importing their invention without permission.

Q4. What are the rights of a patent owner?

A patent owner can exclusively use, sell, or license the invention; sell (assign) the patent; sue for infringement to get injunctions or damages.

Q5. What are the types of patent rights?

Product patents provide control over making, using, selling, or importing a patented product. Process patents provide control over using a patented process or products made from it.

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