1. Patents

2. Also called patents for invention as they characteristically protect inventions. A patent is an exclusive right granted by a country to the owner of an invention to make, use, manufacture and market the invention provided the invention satisfies certain conditions stipulated in the law. Exclusivity of right implies that no one else can make, use, manufacture or market the invention without the consent of the patent holder. 2

3. Inventions An invention is a unique or novel device, method, composition or process, or new solutions to technical problems. It may be an improvement upon a machine or product, or a new process for creating an object or a result. An invention that achieves a completely unique function or result may be a radical breakthrough. Such works are novel and not obvious to others skilled in the same field. Invention means an idea of an inventor which permits in practice the solution to a specific problem in the field of technology. WIPO(1979) 3

4. Patents It can only apply to technology something that is a product, a composition or a process. The technology must be new, or novel, and different from what is gone before. It must be useful, have the potential for commercial return and do what the inventor says it will do. It must be inventive, the result of some ingenuity not just an obvious solution to a problem that was obvious to anyone.

5. Patents Subject to the provisions of paragraphs 2 and 3, patents shall be available for any inventions, whether products or processes, in all fields of technology, provided that they are new, involve an inventive step and are capable of industrial application. Subject to paragraph 4 of Article 65, paragraph 8 and paragraph 3 of Article 70, patents shall be available and patent rights enjoyable without discrimination as to the place of invention, the field of technology and whether products are imported or locally produced. Prior to 24 May 2001 there was also a 'petty patent' system, which, as the name suggests, applied for lesser inventions and gave the patentee up to six years of protection. This has been replaced by the innovation patent.

6. Patents As the right is conferred by the State, it can be revoked by the State under very special circumstances This right is available only for a limited period of time (20 years). Territorial in nature More than 140 countries give such protection. To be patentable (Article 27.1 of TRIPS) – The invention must be new – Must involve an inventive step / must be non-obvious – Must be industrially applicable. 6

7. Patentable Novelty Does not form a part of the global state of the art. Ceases to be novel –if disclosed to the public through any means any where in the world before filing a patent application in respect of the invention. –Even one demonstration in public is enough to make it ineligible. One can talk to employees, business partners or advisers about the invention but only on a confidential basis and it's advisable to have written confidentiality agreements with them. –However, there is a grace period of 12 months applying to inventions that have been accidentally disclosed and/or disclosed without having a confidentiality agreement. –Prior use of the invention in the country of interest is not allowed before filing of application for patent. 7

8. Absolute Novelty Not published & not used anywhere in the world Novelty Not published anywhere (Relative Novelty) Not used in the country Territorial Novelty Not published & used within the territory of the country. Novelty 8

9. Patentable Inventiveness (Non-obviousness) If the proposed invention is not obvious to a person skilled in subject matter of the patent application. Complexity or the simplicity of an inventive step does not have any bearing on the grant of a patent. Mere scintilla of invention is sufficient to form a valid patent. 9

10. Patentable Industrial Applicability An invention is capable of industrial application if it satisfies three conditions, Cumulatively: – Can be made; – Can be used in at least one field of activity; – Can be reproduced with the same characteristics as many times as necessary 10

11. Patentable Unity of Invention: – all the claims in the application for patent must refer to the same inventive idea. i.e. they must all share one inventive concept. Different categories of independent claims stating unity of invention: – Product, process for its manufacture and use of the product – Process and apparatus for carrying out the process – Product, process for its manufacture and apparatus for carrying out the Process 11

12. Need for Patents The scale of the global trade in fake products has become so wide that it affects every sector of the economy and virtually all types of products. The most recent OECD figures indicate that the international trade in fake goods could be as high as $250 billion – more than the GDP of 150 individual countries on the planet. Even more worrying, counterfeiters have moved to areas which endanger our health and safety. Pharmaceuticals, food, household products, spare parts for cars, electronic devices and even airplanes are all being copied illegally, with no guarantees about how those copies were made.

13. Patents and Economic Growth The patent system provides a social benefit as it bestows monetary reward for revealing technological innovation along with accolades for the inventor Patent is an award for the inventor and a reward for the investor By virtue of the grant, patentee gets the exclusive right to prevent the third parties (not having his consent) from the act of making, using, offering for sale, selling or importing the patented product or process within the territory of grant. 13

14. Share of Global R&D Spend 14 Country200920102011 USA34.7%34.4%34.0% Japan12.6%12.3%12.1% China11.2%12.3%12.9% India2.5%2.9%3.0% Source : Battelle/R&D Magazine Global Report, 2012

15. Total patent volume (2003-09) 15 CountryTotal Patents Japan 4,625,894 USA 3,547,671 China 1,803,675 Korea 1,514,183 Source : Battelle/R&D Magazine Global Report, 2010

16. Patents in India Source: National Science& Technology Management Information System, Department of Science and Technology, India 16

17. Patents in India Over a period of ten years (1989-1999) average percentage share of patents granted to Indians / Indian companies is approximately 27% of total grants in India. Only 18% patents in force in the name of Indians Indians show less interest in maintaining patents than their foreign counterparts. Number of patents granted is an indicator of technological strength whereas number of commercially working patents shows economic growth. 17