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PROPERTY
CODE
Cataquis, Zyreen Kate B.
Intellectual
Property Rights,
In General
REPUBLIC ACT NO. 8293
Novelty
An invention shall not be considered new if it
forms part of a prior art (Sec. 23, IPC).
Inventive Step
if, having regard to prior art, it is not obvious to a
person skilled in the art at the time of the filing date or
priority date of the application claiming the invention.
Industrially Applicable
An invention that can be produced and used in any industry
(IPC, Sec. 27).
Prior Art
a. Everything which has been made available to the public anywhere in the
world, before the filing date or the priority date of the application claiming the
invention; and
b. b. The whole contents of an earlier published Philippine application or
application with earlier priority date of a different inventor.
Only prior art made available to the public before the filing date or priority date is
considered in assessing inventive step (Revised IRR for RA 8293, Rule 206).
Public disclosure
The ultimate goal of a patent system is to bring new designs and technologies into
the public through disclosure; hence ideas, once disclosed to the public without
protection of a valid patent, are subject to appropriation without significant
restraint (Pearl & Dean vs. Shoemart Inc., G.R. No. 148222, August 15, 2003).
GR: When a work has already been made available to the public, it shall be non-
patentable for absence of novelty.
Public disclosure
XPNs: Non-prejudicial disclosure – the disclosure of information contained in the
application during the 12-month period before the filing date or the priority date of
the application if such disclosure was made by:
1. The inventor;
2. A patent office and the information was contained:
a. In another application filed by the inventor and should have not have
been disclosed by the office, or
b. In an application filed without the knowledge or consent of the inventor
by a third party which obtained the information directly or indirectly from
the inventor;
3. A third party who obtained the information directly or indirectly from the
inventor (IPC, Sec. 25).
Public disclosure
● Utility models differ from inventions for which patents for invention are available
mainly in two respects. First, the technological progress required is smaller
than the technological progress (“inventive step”) required in the case of an
invention for which a patent for invention is available. Second, the maximum
term of protection provided in the law for a utility model is generally much
shorter than the maximum term of protection provided in the law for an
invention for which a patent for invention is available (WIPO Handbook, Chapter
2, “Fields of Intellectual Property Protection”, WIPO Publication No. 489 (E), 2nd
Edition, p. 40.).
Requisites for an invention to be considered as a utility model
Pursuant to a commission: The person who commissions the work shall own the
patent, unless otherwise provided in the contract.
Pursuant to employment: In case the employee made the invention in the course of
his employment contract, the patent shall belong to:
a. The employee, if the inventive activity is not a part
of his regular duties even if the employee uses the
time, facilities and materials of the employer;
b. The employer, if the inventive activity is the result
of the performance of his regularly-assigned duties,
unless there is an agreement, express or implied, to
the contrary (IPC, Sec. 30).
RIGHT OF PRIORITY
● 1. Actual knowledge that the invention that he was using was the subject matter of a
published application; or
● 2. Received written notice that the invention was the subject matter of a published
application being identified in the said notice by its serial number.
The action may not be filed until after the grant of a patent on the published application
and within four (4) years from the commission of the acts complained of (IPC, Sec. 46).
Effectivity of a patent
The right to import the drugs and medicines shall be available to any government
agency or any private third party (IPC, Sec. 72.1, as amended by RA No. 9502)
b. Where the act is done privately and on a non-commercial scale or for a non-
commercial purpose (IPC, Sec. 72.2).
f. Where the invention is used in any ship, vessel, aircraft, or land vehicle of any
other country entering the territory of the Philippines temporarily or accidentally:
Provided, That such invention is used exclusively for the needs of the ship,
vessel, aircraft, or land vehicle and not used for the manufacturing of anything to
be sold within the Philippines (IPC, Sec. 72.5).
Prior user
d. Compulsory licensing;
3. Prescription
The burden of proof to substantiate a charge of
infringement is with the plaintiff. But where the
plaintiff introduces the patent in evidence, and the
same is in due form, there is created a prima facie
presumption of its correctness and validity. The
decision of the Director of Patent in granting the
patent is presumed to be correct. The burden of
going forward with the evidence (burden of
evidence) then shifts to the defendant to
overcome by competent evidence this legal
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LICENSING
Modes of obtaining license to exploit
patent rights
14. Those which exempt the licensor for liability for non-
fulfillment of his responsibilities under the technology
transfer arrangement and/or liability arising from third
party suits brought about by the use of the licensed
product or the licensed technology; and
2. R.A. No. 9502 (Universally Accessible Cheaper and Quality Medicines Act of
2008) however amended Sec. 93 so that it is the Director General of the
IPO who may grant a license to exploit patented invention under the
grounds enumerated therein.
COMPULSORY LICENSING
Jurisdiction
2. R.A. No. 9502 (Universally Accessible Cheaper and Quality Medicines Act of
2008) however amended Sec. 93 so that it is the Director General of the
IPO who may grant a license to exploit patented invention under the
grounds enumerated therein.
COMPULSORY LICENSING
The Director General of the Intellectual Property Office may grant a
license to exploit a patented invention, even without the agreement of
the patent owner, in favor of any person who has shown his capability
to exploit the invention, under any of the following circumstances:
6. Where the demand for patented drugs and medicines is not being met
to an adequate extent and on reasonable terms, as determined by
the Secretary of the Department of Health (IPC, Sec. 93, as
amended by RA 9502).
Procedure on Issuance of a Special Compulsory
License under the TRIPS Agreement
The Director General of the Intellectual Property Office,
upon the written recommendation of the Secretary of the
Department of Health, shall, upon filing of a petition, grant a
special compulsory license for the importation of patented
drugs and medicines. The special compulsory license for the
importation contemplated under this provision shall be an
additional special alternative procedure to ensure access to
quality affordable medicines and shall be primarily for
domestic consumption: Provided, that adequate
remuneration shall be paid to the patent owner either by the
exporting or importing country. The compulsory license shall
also contain a provision directing the grantee the license to
exercise reasonable measures to prevent the re-exportation
of the products imported under this provision.
Procedure on Issuance of a Special Compulsory
License under the TRIPS Agreement
General Rule: The license will only be granted after the petitioner has made
efforts to obtain authorization from the patent owner on reasonable commercial
terms and conditions but such efforts have not been successful within a
reasonable period of time (IPC, Sec. 95.1).
Exceptions:
1. Where the petition for compulsory license seeks to remedy a practice
determined after judicial or administrative process to be anti-competitive;
2. In situations of national emergency or other circumstances of extreme
urgency;
3. In cases of public non-commercial use; and
4. In cases where the demand for the patented drugs and medicines in the
Philippines is not being met to an adequate extent and on reasonable terms, as
determined by the Secretary of the Department of Health (R.A. 8293, Sec. 95 as
amended by R.A. 9502).
Cancellation of compulsory license
Upon the request of the patentee, the Director may cancel the
compulsory license:
a. If the ground for the grant of the compulsory license no longer exists
and is unlikely to recur;
b. If the licensee has neither begun to supply the domestic market nor
made serious preparation therefor;
c. If the licensee has not complied with the prescribed terms of the
license (IPC, Sec. 101.2).
ASSIGNMENT
AND
TRANSMISSION
OF RIGHTS
ASSIGNMENT AND
TRANSMISSION OF RIGHTS
Patents or applications for patents and invention to which they relate,
shall be protected in the same way as the rights of other property under
the Civil Code.
1. By inheritance or bequest
2. License contract
Effect of an assignment of a patent
The assignment works as an estoppel by deed,
preventing the assignor from denying the novelty
and utility of the patented invention when sued by
the assignee for infringement.
Effect if the assignment was not recorded in the IPO
Identifies or Identifies or
distinguishes the goods distinguishes the
or services business or enterprise
Indicator of
Indicator of
goodwill or
source or origin
business
reputation;
1. Dominancy Test
2. Holistic Test
DOMINANCY TEST
Goods are related when they belong to the same class or have
the same descriptive properties; when they possess the same
physical attributes or essential characteristics with reference
to their form, composition, texture or quality. They may also be
related because they serve the same purpose or are sold in
grocery stores (Esso Standard Eastern, Inc. vs. The Honorable
Court of Appeals; Canon Kabushiki Kaisha v. Court of Appeals,
G.R. No. 120900, July 20, 2000).
In resolving whether goods are related, several
factors come into play:
h. fields of manufacture;
j. the channels of trade through which the goods flow, how they are
distributed, marketed, displayed and sold (Mighty Corporation vs. E.
J. Gallo Winery, G.R. No. 154342, July 14, 2004).
Non-competing goods
The mere fact that one person has adopted and used a
trademark on his goods does not prevent the adoption and
use of the same trademark by others on unrelated articles of
a different kind. Since in this case the trademark of petitioner
is used in the sale of leather wallets, key cases, money folds
made of leather, belts, men's briefs, neckties, handkerchiefs
and men's socks, and the trademark of registrant-appellant is
used in the sale of shoes, which have different channels of
trade, the Director of Patents ought to have reached a
different conclusion (Hickok Manufacturing Co., v. CA, G.R. No.
L-44707, August 31, 1982).
Generic figure
3. Need not be known by the public at large but only by relevant sector
of the public.
Rules regarding internationally-
well known marks
A mark cannot be registered if it is identical with, or
confusingly similar to, or constitutes a translation of a mark
which is considered by the competent authority of the
Philippines to be well-known internationally and in the
Philippines, whether or not it is registered here, as being
already the mark of a person other than the applicant for
registration, and used for identical or similar goods or
services: Provided, That in determining whether a mark is well-
known, account shall be taken of the knowledge of the
relevant sector of the public, rather than of the public at large,
including knowledge in the Philippines which has been
obtained as a result of the promotion of the mark;
Rules regarding internationally-
well known marks
A mark cannot be registered if it is identical with, or
confusingly similar to, or constitutes a translation of a mark
considered well-known in accordance with the preceding
paragraph, which is registered in the Philippines with respect
to goods or services which are NOT similar to those with
respect to which registration is applied for: Provided, That use
of the mark in relation to those goods or services would
indicate a connection between those goods or services, and
the owner of the registered mark: Provided further, That the
interests of the owner of the registered mark are likely to be
damaged by such use (Sec. 123.IPC).
Factors to be considered in determining well-
known marks
Account shall be taken of the knowledge of the relevant sector of the
public, rather than of the public at large, including knowledge in the
Philippines which has been obtained as a result of the promotion of
the mark. The following criteria or any combination thereof may be
taken into account in determining whether a mark is well-known:
11. outcome of litigations dealing with the issue of whether the mark is
a well-known mark; and
2. At any time;
a. If the registered mark becomes the generic
name for the goods or services, or a portion
thereof, for which it is registered;
b. If the mark has been abandoned;
c. If its registration was obtained fraudulently
or contrary to the provisions of the IPC;
A trademark registration may be cancelled by
any person who believes that he will be damaged
by the registration of the mark:
d. If the registered mark is being used by, or with
the permission of, the registrant so as to
misrepresent the source of the goods or
services on or in connection with which the
mark is used;
e. Non-use of the mark within the Philippines,
without legitimate reason, for an
uninterrupted period of 3 years.
NOTE: If in a petition for cancellation of a trademark, it
was established that the petitioner was not its owner,
prior registration can be cancelled without need of filing
a separate petition
USE BY THIRD PARTIES OF
NAMES, ETC.
SIMILAR TO REGISTERED MARK
USE BY THIRD PARTIES OF NAMES, ETC.
SIMILAR TO REGISTERED MARK
Use of indications by third parties for purposes other than
those for which the mark is used
b. The infringing mark or trade name is used in connection with the sale,
offering for sale, or advertising of any goods, business or services;
or the infringing mark or trade name is applied to labels, signs,
prints, packages, wrappers, receptacles or advertisements intended
to be used upon or in connection with such goods, business or
services;
Elements to be established in trademark
infringement
c. The use or application of the infringing mark or trade name is likely to
cause confusion or mistake or to deceive purchasers or others as to
the goods or services themselves or as to the source or origin of
such goods or services or the identity of such business; and
1. The reasonable profit which the complaining party would have made,
had the defendant not infringed his said rights; or
2. The profit which the defendant actually made out of infringement; or
3. The court may award as damages a reasonable percentage based
upon the amount of gross sales of the defendant or the value of the
services in connection with which the mark or trade name was
issued.
R.A. No. 8293 and R.A. No. 166 are special laws conferring
jurisdiction over violations of intellectual property rights to
the Regional Trial Court. They should therefore prevail over
R.A. No. 7691, which is a general law (Samson v. Daway, G.R.
No. 160054-55, July 21, 2004).
Venue in filing actions for
infringement
INFRINGEMENT OF UNFAIR
TRADEMARK COMPETITION
Unauthorized use of a trademark. The passing off of one’s goods as those of
another.
GR: Prior registration of the trademark is Registration is not necessary. (Del Monte
a prerequisite to the action. Corp. v. CA, G.R. No. 78325, January 23,
XPN: Well-known marks 1990)
Right protected under unfair
competition
A person who has identified in the mind of the public the
goods he manufactures or deals in, his business or
services from those of others, whether or not a
registered mark is employed, has a property right in the
goodwill of the said goods, business or services so
identified, which will be protected in the same manner
as other property rights (IPC, Sec. 168.1).
Persons guilty of unfair
competition
1. Any person, who is selling his goods and gives
them the general appearance of goods of another
manufacturer or dealer, either as to the goods
themselves or in the wrapping of the packages in
which they are contained, or the devices or words
thereon, or in any other feature of their
appearance, which would be likely to influence
purchasers to believe that the goods offered are
those of a manufacturer or dealer, other than the
actual manufacturer or dealer, or who otherwise
clothes the goods with such
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legitimate trade, or any subsequent vendor of such
goods or any agent of any vendor engaged in selling
such goods with a like purpose;
2. Any person who by any artifice, or
device, or who employs any other
means calculated to induce the
false belief that such person is
offering the services of another
who has identified such services
in the mind ofCREDITS:
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3. Any person who shall make any
false statement in the course of
trade or who shall commit any
other act contrary to good faith of
a nature calculated to discredit
the goods, business or services of
another. CREDITS: This presentation template was created
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Essential Elements of an action for
unfair competition
1. 2.