By Steve Wrigley, Governor’s Office of Economic Development
As a major emerging economy on the international scene, China continually strives to become a more innovative country, despite facing major concerns of Intellectual Property Rights (IPR) abuses. Utah companies should be aware that after more than three years of preparation work, new amendments to China’s patent laws became effective October 1, 2009. Since its enactment in 1984, the patent laws have been amended three times, most recently in 2009. The new amendment covers wide-ranging areas such as genetic resources, genetic materials, joint ownership rights, and foreign filings for patents.
Since the third amendment is so recent, experts are finding the language to be far from clear, and ambiguities still exist. Therefore, many of these ambiguities remain to be clarified in new judicial interpretations, regulations, and rules.
Nonetheless, there are some areas in which the amendment is clear in its ability to aid Utah businesses that work with China. In regards to foreign filings, the new amendment provides greater ease for investors to apply for foreign patents before getting domestic patents. Chen Guangjun, a senior official with the National People’s Congress, said that, “the amendments are aimed at encouraging innovation and improving China’s ‘international competitiveness’.”
China Daily reported that the changes will also strengthen Intellectual Property Rights (IPR) protections. The new amendment also includes requirements that govern unilateral exploitation of the patent rights without the consent of joint owners. As Utah companies collaborate on research and business ventures with Chinese organizations, it is paramount to understand how Chinese law governs jointly developed and owned patent rights.
Source: China Daily 11/16/2009 page 9
