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Patent Rights and Licensing in Intellectual Property

Explore the scope of patent rights, types of intellectual property, licensing agreements, and technology transfer mechanisms essential for protecting and commercializing innovations.

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Patent Rights Dr. A. B. Shinde Associate Professor, Electronics and Computer Science, PVPIT Budhgaon, Sangli (MS), India
Dr. A. B. Shinde • Scope of Patent Rights. • Licensing and transfer of technology. • Patent information and databases. • Geographical Indications. Contents… 2
Dr. A. B. Shinde Scope of Patent Rights
Dr. A. B. Shinde Scope of Patent Rights 4 IPR Type Governing Law Patents The Patents Act, 1970 Trademarks The Trade Marks Act, 1999 Copyright The Copyright Act, 1957 Designs The Designs Act, 2000 GI The Geographical Indications Act, 1999 Plant Varieties Protection of Plant Varieties and Farmers’ Rights Act, 2001
Dr. A. B. Shinde • Scope of IPR: • IPR includes copyright, patent, trademark, geographic indication of origin, industrial design, trade secrets, database protection laws, publicity rights laws, laws for the protection of plant varieties, laws for the protection of semi-conductor chips etc. • There is a conventional mode of classification of intellectual property as industrial property and copyrights. • Industrial properties includes inventions (patent), property interest on minor invention (Utility model certificate) and commercial interests (Trade Marks, trade names, geographical indications, and industrial design), plant breeder rights, biodiversity, etc. Scope of Patent Rights 5
Dr. A. B. Shinde • Patents: • A patent is a type of intellectual property right which allows the holder of the right to exclusively make use of and sale it when one develops an invention. • Invention is a new process, machine, manufacture, composition of matter. • It is not an obvious derivation of the prior art (It should involve an inventive step). • A person who has got a patent has an exclusive rights. • The exclusive rights is a true monopoly but its grant involves an administrative process. Scope of Patent Rights 6
Dr. A. B. Shinde • Copyright: • It is an IPR which does not essentially grant an exclusive right over an idea but the expressions of ideas which makes if different from patent law. • Copyright is a field which has gone with artistic, literary creativity- creativity in scientific works, audio-visual works, musical works, software and others. • There are neighbouring rights. These are different from copyright but related with it – performers in a theatre, dancers, actors, broadcasters, producers of sound recorders, etc. • It protects not ideas but expressions of ideas as opposed to patent. • Copyright lasts for a longer period of time. The practice is life of author plus 60 years after his/her life. • Administrative procedures are not required, unlike patent laws. Scope of Patent Rights 7
Dr. A. B. Shinde • Industrial Design Law: • Some call this design right (European) and some call it patentable design, industrial design. • A design is a kind of intellectual property which gives an exclusive right to a person who has created a novel appearance of a product. • It deals with appearance: How they look like. • It is exclusively concerned with appearance, not quality. • The principles which have been utilized in developing industrial design law are from experiences of patent and copyright laws. • It shares copyright laws because the design is artistic. • It shares patent law because there are scientific considerations. • Duration is most of the time 20 years like the patent law and trademark rights law. Scope of Patent Rights 8
Dr. A. B. Shinde • Trademarks Rights Law: • It is a regime of the law giving protection to graphic representation to words or logos or depending on the jurisdiction question such as sound or smells which are distinctive in nature and serve as source identification. • There is also a recent phenomenon which is representing goods in their smell and sound. • Trademarks perform communication function. • It begins with registration an publication of the mark. But there are exceptions which serve what trademarks registered serve which are not registered. • It means they deserve protection even though they are not registered. • They exist forever so long as the good with which they are associated continue to be sold. But they require renewal. Scope of Patent Rights 9
Dr. A. B. Shinde • Right of Publicity: • It protects the right to use one’s own name or likeness for commercial purposes. Scope of Patent Rights 10
Dr. A. B. Shinde • Geographic Indication: • It is indications on products of the geographic origin of the goods. • It indicates the general source. • The indication relates to the quality or reputation or other characteristics of the good. • For example, “Made in Ethiopia” is not influenced by the geographical Indication. • Geographical indications are sometimes called appellations of origin. • For example: • Shampagne (name of a region in France) are geographical indications. • Basmati Rice Solapuri Chadar • Devagad Hapus Ratnagiri Hapus • Darjiling Tea Asam Tea • Kanchipuram Silk SareeBanarasi Shalu Yevala Paithani etc. Scope of Patent Rights 11
Dr. A. B. Shinde • Trade Secrets: • It gives the owner of commercial information that provides a competitive edge the right to keep others from using such information if the information was improperly disclosed to or acquired by a competitor and the owner of the information took reasonable precautions to keep it secret. • It protects confidential secrets of some commercial value. • The holder (owner) has to do his/her best to keep the information secret. • Trade secrets exist without registration as it is to make the information public, for example, the formula of Coca Cola, Maggie Masala etc.. • Information that are protected in trade secrets can be patentable if they are novel and non-obvious. But it is, most of the time, not to make the secret public. Scope of Patent Rights 12
Dr. A. B. Shinde Licensing and Transfer of Technology
Dr. A. B. Shinde • An Intellectual Property Rights (IPR) license is a contractual agreement where an owner (licensor) grants permission to another party (licensee) to use their IP—such as patents, trademarks, or copyrights—in exchange for fees or royalties, while retaining ownership. • It enables commercialization, market expansion, and authorized use of protected assets, often detailing specific territories, timeframes, and usage restrictions. Licensing of IPR 14
Dr. A. B. Shinde • Major types of IPR licensing: • Exclusive License: This type of license involves the exertion of intellectual property rights of the licensor by the licensee to the exclusion of all, including the licensor. Thus, only the licensee is authorized to use the intellectual property. • Sole License: In this license, while the licensee is permitted to use the intellectual property, the licensor is also authorized to use the property, however, such rights cannot be transferred to any third party. Only the licensor and licensee may exercise these rights. • Non-Exclusive License: This license allows for the licensee to exercise the rights as well as the keeping open the scope for the licensor to exercise the rights and licensing these rights to any other third party. Licensing of IPR 15
Dr. A. B. Shinde • The World Intellectual Property Organization broadly categorizes intellectual property licenses under: • Technology License Agreement: In this license, the licensee is permitted to exercise rights related to patents, utility models or know-hows protected by a trade secret owned by the licensor. • Franchise or Trademark License Agreement: Trademarks are a way of distinguishing the goods and services of one enterprise from another. The franchiser has usually gained reputation for his trademark and via a license agreement, authorizes the franchisee to make use of the trademark under certain conditions like maintaining the quality of goods and services since the goodwill of the trademark is at stake. • Copyright License Agreement: Copyrights are granted over creative works such as music, cinematograph films, artistic works etc. In order for them to be reproduced and published by others, there must be a copyright license agreement between them authorizing the licensee to exercise rights over the copyright owned by the licensor. Licensing of IPR 16
Dr. A. B. Shinde • The following are some of the common provisions that are used in licensing agreements: • Parties: It is necessary to clearly identify the licensor and licensee and to mention whether they be individuals or companies and their respective addresses. • Recital Clause: This clause explains the background of the agreement. It contains what the intellectual property rights are owned in and what they are to be used for. • Definition of Licensed Property: This clearly defines the intellectual property. Usually, license agreements contain an attached schedule that provides a complete description of the property. • Jurisdiction: This defines the territorial limits to which the license extends. • Grant: This defines the scope and the rights that are accorded to the licensee and any limitations. • Term: The term of the license should clearly be mentioned in the agreement. The license duration should not exceed the term of protection accorded to the property. Licensing of IPR 17
Dr. A. B. Shinde • The following are some of the common provisions that are used in licensing agreements: • Consideration: This forms the basis of any contract. In a license agreement, this takes the form of royalties payable by the licensee to the licensor. • Confidentiality: This is an important clause to prevent the licensee from gaining any additional benefits by disclosure of information of the license. • Warranties: These are promises made by either party to the other, the breach of which results into a claim for damages. Usually, the warranty provided by the licensor is that he is the owner of the property and has the right to license the property to the licensee. • Indemnity: This involves the financial responsibility taken by parties for any loss or damage or penalty etc. This involves infringement and the further consequences faced by a party due to the other party's fault. Licensing of IPR 18
Dr. A. B. Shinde • Technology transfer in IPR is the formal process of transferring scientific findings, patents, or know-how from innovators to other entities for commercialization, development, or manufacturing. • Usually, the process involves a research organization or university sharing a new technology with a business or government body that can apply it. • For example, a university develops a new water purification system. But the university is not a manufacturer. So, it partners with a company that can build and sell the device. • This entire process of handing over knowledge, rights, and technical support is called technology transfer. Transfer of Technology in IPR 19
Dr. A. B. Shinde • Why is Technology Transfer Important? • Technology transfer ensures that innovations don’t stay locked in laboratories but reach people who need them. Technology transfer is important for several reasons: • Inventions become useful tools when they are made available to people. • It creates jobs. New products lead to new businesses and industries. • It improves lives. Technologies in health, agriculture, and education can solve real-world problems. • It supports inventors. Researchers gain recognition and income from their discoveries. • It grows the economy. Countries with strong technology transfer systems can move forward faster. Transfer of Technology in IPR 20
Dr. A. B. Shinde • Key Aspects of Technology Transfer: • Innovation: The process begins with research and discovery. A new product, device, method or system is created. • Ownership and Protection: The inventor or organization must protect their idea using legal tools such as patents, copyrights, or trademarks. • Evaluation: Experts assess the invention. They check if the idea is original, useful, and likely to succeed in the market. • Legal Agreements: Contracts are signed between the inventor and the company that wants to use the invention. These legal documents define how profits and responsibilities are shared. • Licensing: Licensing means giving permission to another company or person to use the technology for a fee or under certain terms. Transfer of Technology in IPR 21
Dr. A. B. Shinde • Process of Technology Transfer: • Step 1: Research and Discovery • The process begins when a researcher or scientist invents something new through experiments or innovation. This could be a product, method, or technology with practical value to solve real-world problems. • Step 2: Invention Disclosure • The inventor tells the institution's technology transfer office about what they've found. • Step 3: Evaluation • Experts review the invention to check if it is new, useful, and can be sold. • Step 4: Protection (Patent Filing) • If the invention has value. This legally protects the idea and ensures that no one else can use or copy it without the inventor’s or organization’s permission. Transfer of Technology in IPR 22
Dr. A. B. Shinde • Process of Technology Transfer: • Step 5: Marketing the Invention • The technology transfer team promotes the invention to companies or investors. • Step 6: Licensing or Startup Formation • This gives the company the right to use the invention. • Step 7: Product Development • The company builds a working model or prototype of the invention. It is tested, improved and made ready for large-scale production. • Step 8: Commercialization • The final product is launched in the market. It is sold to customers through shops, online platforms or services. The inventor and institution often receive profits or royalties from the sales. Transfer of Technology in IPR 23
Dr. A. B. Shinde • Challenges in Technology Transfer: • Challenges include funding issues, legal problems or a lack of expertise which can slow down or block the journey from invention to impact. • High Costs: Applying for patents and developing prototypes requires money. Not all inventors can afford it. • Lack of Skills: Researchers may not have business knowledge. They need help from experts to market their inventions. • Legal Issues: Disputes over ownership or profit-sharing may delay the process. • Market Uncertainty: Some inventions may be useful but not needed in the market. This makes commercialization difficult. • Poor Communication: If inventors and companies don’t communicate well, misunderstandings can block progress. Transfer of Technology in IPR 24
Dr. A. B. Shinde Patent Information
Dr. A. B. Shinde • Patent Information: • It is the technical and legal information contained in patent documents that are published periodically by patent office. • The phrase patent information refers to both granted patent and patent applications. • It may include bibliographic data about the inventor, a description of the claimed invention, newest developments in a particular field of technology, or a list of claims indicating the scope of patent protection sought by the applicant. Patent Information 26
Dr. A. B. Shinde • Advantages of patent information: • Up to date information • Uniform structure • Detailed description • Unique source of information • Well organized information • Quick and easy access • Wide fields of technology • Citations Intelligence Patent Information 27
Dr. A. B. Shinde • Patent information can help you to: • Avoid duplication of research and development work. • Build on and improve existing products or processes. • Assess the latest developments in a particular field of technology • Evaluate the patentability of inventions, in particular their novelty and inventiveness, before applying for patent protection. • Avoid infringement. • Seek opportunities for licensing. • Monitor activities of potential partners and competitors both within the country and abroad and • Discover new trends in technology or product development at an early stage. Patent Information 28
Dr. A. B. Shinde Patent Databases
Dr. A. B. Shinde • Patent database is a collection of technical information that is organized so that it can easily be accessed, managed and updated. • Across the globe, there are approx. 180 Patent offices in different countries operating in different languages. • Thus, it is important for any database to timely cover the documents of all possible jurisdictions. • About 6,00,000 patents are granted globally each year covering almost every field of technology. • As patent applications disclose a new technology, it is important for the innovators to track the development in the field. Patent Databases 30
Dr. A. B. Shinde • Patent databases are classified into free patent databases and commercial patent databases. • The free patent databases are further classified into Government databases and Non-Government databases. • The Government databases are generally maintained by the respective Intellectual Property Offices. • Each patent database may differ in terms of use of keywords, search strategies, use of special operators, collection of patents, time periods, languages etc. Patent Databases 31
Dr. A. B. Shinde • Free Patent Databases • Free patent databases are available for free access without any subscription and can be accessed directly. This include • Government Database • Non-government Database Patent Databases 32
Dr. A. B. Shinde • Government Databases are maintained by the respective patent offices of the country. • They include the details of the patent applications only restricted to the respective jurisdiction or globally. • Government databases are as follows: • Patentscope https:// patentscope.wipo.int/search/en/search.jsf • Espacenet https://worldwide.espacenet.com/ • JPO IPDL https://www.jpo.go.jp/e/ • PatFT/AppFT • inPASS https://iprsearch.ipindia.gov.in/PublicSearch/ Patent Databases 33
Dr. A. B. Shinde • Non-government databases include Google Patents, Freepatentsonline, Patent Lens etc. • Google Patents indexes more than 87 million patents and patent applications with full text from 17 patent offices including the USPTO, the EPO and databases from China, Japan and Korea. • Freepatentsonline allows for searches including U.S., EP, (European), JP (Japanese), and WO (PCT) patents. Alerts, portfolios, and PDF downloading are available with free registration. • Patent Lens, created by CAMBIA, an independent, international non- profit organization. • It provides full text of PCT (1978-present), USPTO (AppFT, and PATFT (1976-present), EPO (1980-present) and IP Australia (applications and patents 1998-present). Patent Databases 34
Dr. A. B. Shinde • Commercial Patent Databases are available for search analytics only upon subscription. • The subscription tariffs vary from one database to the other. • The coverage and the provision of search strategies and flexibility of operators also vary from one database to the other. • Following are the few commercial patent databases: • TotalPatentOne from LexisNexis http://www.totalpatentone.com • Patbase from minesoft https://www.patbase.com • Dialog from ProQuest https://clarivate.com • Orbit from Questal https://inspire.wipo.int/orbit-intelligence • STN https://www.stn.org • Thomson Innovation from Thomson Reuters https://thomsonreuters.com • WIPS Global from WIPS https://www.wipsglobal.com/ Patent Databases 35
Dr. A. B. Shinde • Commercial Patent databases are associated with few advantages: • Value added data: Corrected bibliographic data, improved classification or indexing and timely update • Sophisticated search and analysis tools: Chemical formula/Structure, sequence searches, patent topographical tools, citation analysis, machine translation • Integrated access to non-patent literature • Export of data into multiple formats • Cost based on preferential access cost Patent Databases 36
Dr. A. B. Shinde Geographical Indications
Dr. A. B. Shinde • Geographical Indications (GIs) are one of the most important types of intellectual property (IP) that connect products to certain regions. • These products have qualities or characteristics determined by their origin from a particular region. • GIs protect the reputation of regional products, preserve traditional knowledge, and offer economic benefits to local communities. • Only those products that genuinely originate from a particular region are allowed to use its name. Geographical Indications 38
Dr. A. B. Shinde • Geographical Indication in IPR is a sign that identifies a product as originating in a particular geographical region. • The qualities, like taste, texture, and aroma, of such a product are closely linked to its place of production. • These include geographical and natural factors, as well as human ones, like know-how and tradition, of the region concerned. • For Example: • Darjeeling Tea has a specific taste that characterizes the region in India due to its particular climate and soil; • Champagne is only produced in France. • GIs distinguish these products and assure consumers of quality and originality in the market. Geographical Indications 39
Dr. A. B. Shinde • Importance of Geographical Indications in IPR 1. Protection of Regional Identity • GIs preserve the cultural and historic significance of products connected with a particular region. 2. Economic Benefits to Local Producers • GIs prevent unauthorized producers from using the names of famous regional products. Beneficial to the local economy. 3. Consumer Confidence • GIs assure consumers about the quality and authenticity of the products they purchase. It guarantees the product is authentic. 4. Rural Development • Many GI products have their origins in rural areas. Registering a GI brings the product to national and international markets. Geographical Indications 40
Dr. A. B. Shinde • Legal Framework for Geographical Indications • The Geographical Indications of Goods (Registration and Protection) Act, 1999 governs the registration and protection of GIs in India. • The Controller General of Patents, Designs, and Trade Marks manages GI registrations in India. • Internationally, the WTO's Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPS) covers the protection of GIs. • TRIPS mandates its member countries to establish systems of protection of GIs and the prevention of any misuse of geographical names. • Besides TRIPS, various regional agreements, such as the Lisbon Agreement for the Protection of Appellations of Origin and the European Union (EU) system for GIs, provide protection to GIs across borders. Geographical Indications 41
Dr. A. B. Shinde • Rights and Protection Under Geographical Indications 1. Exclusive Use • The GI label can only be used by producers in the selected region who follow the standard of quality set by them. • This will not allow those from other regions or who do not produce with traditional methods to misuse the name. 2. Legal Protection Against Misuse • The rights of GI holders are entitled to take legal action against anyone using the name or symbol of the GI without permission. 3. Collective Marketing • GIs promote collective marketing. Producers in a region will work together to market their products. This develops a strong brand image of the product and creates a strong link between the product and the region of its origin. Geographical Indications 42
Dr. A. B. Shinde • Rights and Protection Under Geographical Indications 4. Quality Assurance • The registration of a GI ensures that the product has met certain standards for quality. • This maintains the product's reputation and ensures that it remains in line with the consumer's expectations. 5. Economic Benefits • GI registration generally means higher market prices and improved commercial prospects for producers. • The product's unique reputation can ensure it stands out in both national and international markets. • For more info: refer • https://www.wipo.int/en/web/geographical-indications/faq_geographicalindications Geographical Indications 43
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