People's Republic of China (PRC) Patent Law (III)

Chapter V Duration, Termination and Invalidation of Patent Right

Article 45 The term of the invention patent right is fifteen years, counting from the date of application.

The term of patent right for utility model and design is five years, counting from the date of application. Before the expiration, the patentee may apply for a three-year extension.

Where the patentee enjoys priority, the term of the patent right shall be counted from the date of China's application.

Article 46 The patentee shall pay the annual fee from the year when the patent right is granted.

Article 47 In any of the following circumstances, the patent right shall be terminated before the expiration of the time limit:

1. Failing to pay the annual fee as required;

2. The patentee waives his patent right in writing.

The termination of the patent right shall be registered and announced by the Patent Office.

Article 48 After the patent right is granted, if any unit or individual thinks that the grant of the patent right is not in conformity with the provisions of this Law, it may request the Patent Reexamination Board to declare the patent right invalid.

Article 49 The Patent Reexamination Board shall examine the request for invalidation of the patent right, make a decision and notify the requester and the patentee. The decision to declare the patent right invalid shall be registered and announced by the Patent Office.

Anyone who refuses to accept the decision of the Patent Reexamination Board to declare the invention patent invalid or maintain the invention patent right may bring a lawsuit to the people's court within three months from the date of receiving the notice.

The decision made by the Patent Reexamination Board on the request for invalidation of the patent right for utility model and design is final.

Article 50 An invalid patent right shall be regarded as nonexistent from the beginning.

Chapter VI Compulsory License for Patent Exploitation

Article 51 The patentee shall have the obligation to manufacture its patented product in China or use its patented method or permit others to manufacture its patented product or use its patented method in China.

Article 52 Where the patentee of an invention or utility model fails to perform the obligations stipulated in Article 51 of this Law for three years without justifiable reasons from the date of the grant of the patent right, the Patent Office may grant a compulsory license to exploit the patent upon the application of an entity with the conditions for implementation.

Article 53 Where an invention or utility model for which a patent right has been granted is technically more advanced than the invention or utility model for which a patent right has been previously granted, and its implementation depends on the implementation of the previous invention or utility model, the Patent Office may, upon the application of the latter patentee, grant a compulsory license to exploit the previous invention or utility model.

Where a compulsory license for exploitation is granted in accordance with the provisions of the preceding paragraph, the Patent Office may also grant a compulsory license for exploitation of the latter invention or utility model upon the application of the former patentee.

Article 54 A unit or individual applying for compulsory license in accordance with the provisions of this Law shall provide proof that it has not signed a license contract with the patentee on reasonable terms.

Article 55 The decision made by the Patent Office to grant a compulsory license for exploitation shall be registered and announced.

Article 56 A unit or individual that has obtained a compulsory license for exploitation shall not enjoy the exclusive right to exploit it, nor shall it have the right to allow others to exploit it.

Article 57 A unit or individual that has obtained a compulsory license for exploitation shall pay the patentee a reasonable royalty, the amount of which shall be determined by both parties. If both parties cannot reach an agreement, it shall be decided by the Patent Office.

Article 58 If the patentee refuses to accept the decision of the Patent Office to implement the compulsory license or the ruling on the exploitation fee for the compulsory license, he may bring a lawsuit to the people's court within three months from the date of receiving the notice.

Chapter VII Protection of Patent Right

Article 59 The scope of protection of the patent right for invention or utility model shall be subject to the contents of the claims, and the description and drawings may be used to interpret the claims.

The scope of protection of the patent right of design shall be subject to the patented product of design shown in pictures or photographs.

Article 60 The patentee or interested party may, without the permission of the patentee, request the patent administration organ to handle the patent infringement, or directly bring a suit in a people's court. When dealing with it, the patent administration authorities have the right to order the infringer to stop the infringement and compensate for the losses; If a party refuses to accept it, he may bring a suit in a people's court within three months from the date of receiving the notice; If neither prosecution nor performance is made at the expiration of the time limit, the patent administration organ may request the people's court for compulsory execution.

When an infringement dispute occurs, the invention patent is a product manufacturing method, and the unit or individual that manufactures the same product shall provide proof of its manufacturing method.

Article 61 The limitation of action for patent infringement shall be two years, counting from the date when the patentee or interested party knows or should know about the infringement.

Article 62 Any of the following circumstances shall not be regarded as infringement of the patent right:

1. After the patented product manufactured by the patentee or licensed by the patentee is sold, it is used or sold;

Two, the use or sale of products that are not known to be patented and manufactured and sold without the permission of the patentee;

3. Having manufactured the same product, used the same method or made necessary preparations for manufacture and use before the patent application date, and continuing to manufacture and use it only within the original scope;

4. Foreign means of transport that temporarily pass through the territory, territorial sea and airspace of China use the relevant patents in their devices and equipment for their own purposes according to the agreement signed between their countries and China or the international treaties to which they are both parties, or according to the principle of reciprocity;

5. Use the relevant patents exclusively for scientific research and experiments.

Article 63 Anyone who counterfeits another person's patent shall be dealt with in accordance with the provisions of Article 60 of this Law; If the circumstances are serious, the criminal responsibility of the person directly responsible shall be investigated by applying mutatis mutandis the provisions of Article 127 of the Criminal Law.

Article 64 Whoever, in violation of the provisions of Article 20 of this Law, applies for a patent from a foreign country without authorization and divulges important state secrets shall be given administrative sanctions by his unit or the competent authority at a higher level; If the circumstances are serious, criminal responsibility shall be investigated according to law.

Article 65 Whoever infringes on the inventor's or designer's right to apply for a patent for non-service invention-creation and other rights and interests as stipulated in this Law shall be given administrative sanctions by his unit or the competent authority at a higher level.

Article 66 Where the staff of the Patent Office and the staff of the relevant state practice favoritism and malpractice, they shall be given administrative sanctions by the Patent Office or the relevant competent authorities; If the circumstances are serious, criminal responsibility shall be investigated by applying mutatis mutandis the provisions of Article 188 of the Criminal Law.

Chapter VIII Supplementary Provisions

Article 67 Anyone who applies to the Patent Office for a patent or goes through other formalities shall pay the fees in accordance with the regulations.

Article 68 The detailed rules for the implementation of this Law shall be formulated by the Patent Office and shall come into force after being submitted to the State Council for approval.

Article 69 This Law shall come into force as of April 2005 1985.