REPUBLIC OF THE PHILIPPINES SEC. 3. Definition of Terms.
— As used in this act, the following
CONGRESS OF THE PHILIPPINES
Metro Manila
Twelfth Congress
Third Regular Session
REPUBLIC ACT NO. 9266
AN ACT PROVIDING FOR A MORE RESPONSIVE AND
COMPREHENSIVE REGULATION FOR THE REGISTRATION,
LICENSING AND PRACTICE OF ARCHITECTURE,
REPEALING FOR THE PURPOSE REPUBLIC ACT NO. 545,
AS AMENDED, OTHERWISE KNOWN AS “AN ACT TO
REGULATE THE PRACTICE OF ARCHITECTURE IN THE
PHILIPPINES,” AND FOR OTHER PURPOSES
Be it enacted by the Senate and House of Representatives of the
Philippines in Congress assembled:
ARTICLE I
GENERAL PROVISIONS
SECTION 1. Short title. — This Act shall be known as “The
Architecture Act of 2004.”
SEC. 2. Statement of Policy. — The State recognizes the
importance of architects in nation building and development.
Hence, it shall develop and nurture competent, virtuous,
productive and well-rounded professional architects whose
standards of practice and service shall be excellent, qualitative,
world-class and globally competitive through inviolable, honest,
effective and credible licensure examinations and through
regulatory measures, programs and activities that foster their
professional growth and development.
terms shall be defined as follows:
(1) “Architecture” is the art, science or profession of planning,
designing and constructing buildings in their totality taking into
account their environment, in accordance with the principles of
utility, strength and beauty;
(2) “Architect” means a person professionally and academically
qualified, registered and licensed under this Act with a Certificate
of Registration and Professional Identification Card issued by the
Professional Regulatory Board of Architecture and the
Professional Regulation Commission, and who is responsible for
advocating the fair and sustainable development, welfare and
cultural expression of society’s habitat in terms of space, forms
and historical context:
(a) “Architect-of-record” means the architect registered and
licensed under this Act, who is directly and professionally
responsible for the total design of the project for the client and
who shall assume the civil liability for the plans, specifications and
contract documents he/she has signed and sealed;
(b) “Architect-in-charge of construction” means an architect
registered and licensed under this Act, who is directly and
professionally responsible and liable for the construction
supervision of the project;
(c) “Consulting Architect” means the architect registered and
licensed or permitted to practice under this Act, who is
professionally and academically qualified and with exceptional or
recognized expertise or specialization in any branch of
architecture;
(3) “General Practice of Architecture” means the act of planning
and architectural designing, structural conceptualization,
specifying, supervising and giving general administration and
responsible direction to the erection, enlargement or alterations of
buildings and building environments and architectural design in
engineering structures or any part thereof; the scientific, aesthetic
and orderly coordination of all the processes which enter into the
production of a complete building structure performed through the
medium of unbiased preliminary studies of plans, consultations,
specifications, conferences, evaluations, investigations, contract
documents and oral advice and directions regardless of whether
the persons engaged in such practice are residents of the
Philippines or have their principal office or place of business in
this country or another territory, and regardless of whether such
persons are performing one or all these duties, or whether such
duties are performed in person or as directing head of an office or
organization performing them;
(4) “Scope of the Practice of Architecture” encompasses the
provision of professional services in connection with site, physical
and planning and the design, construction, enlargement,
conservation, renovation, remodeling, restoration or alteration of
a building or group of buildings. Services may include, but are not
limited to:
(a) planning, architectural designing and structural
conceptualization;
(b) consultation, consultancy, giving oral or written advice and
directions, conferences, evaluations, investigations, quality
surveys, appraisals and adjustments, architectural and
operational planning, site analysis and other pre-design services;
(c) schematic design, design development, contract documents
and construction phases including professional consultancies;
(d) preparation of preliminary, technical, economic and financial
feasibility studies of plans, models and project promotional
services.
(e) preparation of architectural plans, specifications, bill of
materials, cost estimates, general conditions and bidding
documents;
(f) construction and project management, giving general
management, administration, supervision, coordination and
responsible direction or the planning, architectural designing,
construction, reconstruction, erection, enlargement or demolition,
renovation, repair, orderly removal, remodeling, alteration,
preservation or restoration of buildings or structures or complex
buildings, including all their components, sites and environs,
intended for private or public use;
(g) the planning, architectural lay-outing and utilization of spaces
within and surrounding such buildings or structures, housing
design and community architecture, architectural interiors and
space planning, architectural detailing, architectural lighting,
acoustics, architectural lay-outing of mechanical, electrical,
electronic, sanitary, plumbing, communications and other utility
systems, equipment and fixtures;
(h) building programming, building administration, construction
arbitration and architectural conservation and restoration;
(i) all works which relate to the scientific, aesthetic and orderly
coordination of all works and branches of the work, systems and
processes necessary for the production of a complete building or
structure, whether for public or private use, in order to enhance
and safeguard life, health and property and the promotion and
enrichment of the quality of life, the architectural design of
engineering structures or any part thereof; and
(j) all other works, projects and activities which require the
professional competence of an architect, including teaching of
architectural subjects and architectural computer-aided design.
(5) “Structural Conceptualization” means the act of conceiving,
choosing and developing the type, disposition, arrangement and
proportioning of the structural elements of an architectural work
giving due consideration to safety cost-effectiveness, functionality
and aesthetics;
(6) “Architectural Firm” means a sole proprietorship, a partnership
or a corporation registered with the proper government agencies;
(7) “Authorship” refers to the author or authors of a set of
architectural plans or specifications who are in charge of their
preparation, whether made by them personally or under their
immediate supervision;
(8) “Board” refers to the Professional Regulatory Board of
Architecture;
(9) “Commission” means the Professional Regulation
Commission;
(10) “Service Agreement” means a duly notarized written contract
or equivalent public instrument stipulating the scope of services
and guaranteeing compensation of such services to be rendered
by an architect registered and licensed under this Act;
(11) “Integrated and Accredited Professional Organization”
means the existing official national organization of all architects of
the Philippines in which all registered Filipino architects shall be
members without prejudice to membership in other voluntary
professional associations;
(12) “Continuing Professional Development” refers to a sustaining
and progressive learning process that maintains, enhances, or
increases the knowledge and continuing ability of architects;
(13) “DTI” shall mean the Department of Trade and Industry; and
(14) “SEC” shall mean the Securities and Exchange Commission.
ARTICLE II
PROFESSIONAL REGULATORY BOARD OF ARCHITECTURE
SEC. 4. Creation and Composition of the Professional Regulatory
Board. — There is hereby created a Professional Regulatory
Board of Architecture, hereinafter referred to as the Board, a
collegial body under the supervision and administrative control of
the Professional Regulation Commission, hereinafter referred to
as the Commission, to be composed of a chairman and two (2)
members appointed by the President of the Philippines from a list
of three (3) recommendees chosen from a list of five (5)
nominees for each position submitted to the Commission by the
integrated and the accredited professional organization of
architects. The Board shall be organized not later than six (6)
months from the effectivity of this Act.
SEC. 5. Qualifications of Members of the Professional Regulatory
Board. — Each member shall, at the time of his/her appointment,
possess the following qualifications:
(a) be a citizen and a resident of the Philippines;
(b) be a holder of a degree in Bachelor of Science in Architecture
conferred by a school, college or university in the Philippines or
abroad that is recognized and/or accredited by the Commission
on Higher Education (CHED);
(c) be an architect with a valid Certificate of Registration and
Professional Identification Card and active practitioner of
architecture for at least ten (10) years on the date of his/her
appointment;
(d) not be a member of the faculty of any school, college,
university or review institution where a regular course or review
course in architecture is taught, nor have pecuniary interest in
such institution. No former member of the faculty of any school,
institute, university or review center where architecture is taught
can become a member of the Board unless he/she had officially
resigned from such an institution and has completely stopped
teaching, advising or reviewing activities for at least five (5) years
prior to the nomination; and
(e) Has never been convicted of any crime involving moral
turpitude.
SEC. 6. Term of Office. — The members of the Board shall hold
office for a term of three (3) years after appointment or until their
successors shall have been appointed and duty qualified. Any
vacancy occurring within the term of a member shall be filled for
the unexpired portion of the term only. Each member of the Board
may be reappointed for one full term of three (3) years. Of the
members of the Board first appointed under this Act, one (1)
member shall be appointed and hold office as chairman for three
(3) years, one (1) member for two (2) years, and one (1) member
for one (1) year. Each member of the Board shall qualify by taking
the proper oath prior to the performance of their
duties: Provided, That the incumbent members of the Board shall
continue to serve for the remainder of their term as members of
the herein created Professional Regulatory Board of Architecture
until a new Board shall have been properly organized.
SEC. 7. Powers and Functions of the Board. — The Board shall
exercise the following specific powers, functions and
responsibilities:
(a) Prescribe and adopt the rules and regulations necessary for
carrying out the provisions of this Act;
(b) Supervise the registration, licensure and practice of architects;
(c) Administer oaths in connection with the administration of this
Act;
(d) Issue, suspend, revoke, or reinstate the Certificate of
Registration and the Professional Identification Card for the
practice of the architecture profession;
(e) Adopt an official seal of the Board;
(f) Monitor the conditions affecting the practice of architecture and
adopt such measures as may be deemed proper for the
enhancement and maintenance of high professional, ethical and
technical standards of the profession;
(g) Prescribe and/or adopt the Code of Ethical Conduct and
Standards of Professional Practice;
(h) Hear and decide administrative cases involving violations of
this Act, its implementing rules and regulations, the Code of
Ethical Conduct and Standards of Professional Practice, and for
this purpose, to issue subpoena ad testificandum and subpoena
duces tecum to secure the appearance of witnesses and the
production of documents in connection therewith: Provided, That
the decision of the Board shall, unless appealed to the
Commission, become final and executory after fifteen (15) days
from receipt of notice of judgment or decision. The decision of the
Commission may be appealed to the Court of Appeals in
accordance with the procedure under the Rules of Court;
(i) Prescribe guidelines for the Continuing Professional
Development (CPD) program in consultation with the integrated
and accredited professional organization of
architects: Provided, That the attendance to said CPD shall not
be a mandatory requirement for the renewal of a professional
license;
(j) Prepare, adopt, issue or amend the syllabi of the subjects for
examinations by determining and preparing questions which shall
be within the scope of the syllabi of the subject for examination as
well as administer, correct and release the results of the licensure
examinations;
(k) Approve, issue, limit or cancel temporary or special permit to
practice architecture;
(l) In coordination with the CHED, ensure that all higher
educational instruction and offerings of architecture comply with
the policies, standards and requirements of the course prescribed
by the CHED in the areas of curriculum, faculty, library and
facilities;
(m) To adopt a program for the full computerization of the
licensure examination; and
(n) Discharge such other duties and functions as may be deemed
necessary for the enhancement of the architecture profession and
the upgrading, development and growth of the architecture
education.
The policies, resolutions, rules and regulations, issued or
promulgated by the Board shall be subject to review and approval
of the Commission. However, the Board’s decision, resolutions or
orders rendered in administrative cases shall be subject to review
only if on appeal.
SEC. 8. Administrative Supervision of the Board, Custodian of its
Records, Secretariat and Support Services. — The Board shall
be under the administrative supervision of the Commission. All
records of the Board, including applications for examination, and
administrative and other investigative cases conducted by the
Board shall be under the custody of the Commission. The
Commission shall designate the Secretary of the Board and shall
provide the secretariat and other support services to implement
the provisions of this Act.
SEC. 9. Grounds for Suspension or Removal of Members of the
Board. — The President of the Philippines, upon the
recommendation of the Commission, after giving the concerned
member an opportunity to defend himself in a proper
administrative investigation to be conducted by the Commission,
may suspend or remove any member on the following grounds:
(a) Neglect of duty or incompetence;
(b) Violation or tolerance of the violation of this Act, or its
implementing rules and regulations or the Code of Ethical
Conduct and Standards of Professional Practice;
(c) Final judgment of crimes involving moral turpitude; and
(d) Manipulation or rigging of the architecture licensure
examination results, disclosure of secret and confidential
information in the examination questions prior to the conduct of
the said examination or tampering of grades.
SEC. 10. Compensation and Allowances of the Board. — The
chairman and members of the Board shall receive compensation
and allowances comparable to that being received by the
chairman and members of existing regulatory Boards under the
Commission as provided for in the General Appropriations Act.
SEC. 11. Annual Report. — The Board shall submit an annual
report to the Commission after the close of each year giving a
detailed account of its proceedings during the year and making
such recommendations as it may deem proper.
ARTICLE III
EXAMINATION, REGISTRATION AND LICENSURE
SECTION 12. Examination Required. — All applicants for
registration for the practice of architecture shall be required to
undergo a licensure examination to be given by the Board in such
places and dates as the Commission may designate in
accordance with the provisions of Republic Act No. 8981.
SEC. 13. Qualifications of Applicant for Examination. — Any
person applying for examination shall establish to the satisfaction
of the Board that:
(a) He/she is a Filipino citizen or a citizen of a foreign country
qualified to take the examination as provided for in this Act;
(b) He/she is of good moral character;
(c) He/she is a holder of a degree of Bachelor of Science in
Architecture conferred by a school, college, academy or institute
duly recognized and/or accredited by the Commission on Higher
Education (CHED) and in addition has a specified record of at
least two (2) years or equivalent of diversified architectural
experience duly certified by a registered/licensed
architect: Provided, however, That an applicant holding a
Master’s Degree in Architecture from a school, college, university
or institute recognized by the government shall be credited one
(1) year in his/her practical experience; and
(d) He/she has not been convicted of any criminal offense
involving moral turpitude.
SEC. 14. Subjects for Examination. — The licensure examination
for architects shall cover, but are not limited to, the following
subjects:
(1) History and Theory of Architecture; Principles of Planning and
Architectural Practice;
(2) Structural Design, Building Materials, and Architectural
Specifications, and Methods of Construction and Utilities;
(3) Urban Design and Architectural Interiors; and
(4) Architectural Design and Site Planning.
The Board, subject to the approval of the Commission, may
revise or exclude any of the subjects and their syllabi, and add
new ones as the need arises to conform to technological changes
brought about by continuing trends in the profession.
SEC. 15. Rating in the Licensure Examination. — To be qualified
as having passed the licensure examination for architects, a
candidate must obtain a weighted general average of seventy
percent (70%), with no grade lower than fifty percent (50%) in any
given subject.
SEC. 16. Report of Ratings. — The Board shall submit to the
Commission the ratings obtained by each candidate within thirty
(30) calendar days after the examination, unless extended for just
cause. Upon the release of the results of the examination, the
Board shall send by mail the rating received by each examinee at
his/her given address using the mailing envelope submitted
during the examination.
SEC. 17. Oath. — All successful candidates in the examination
shall be required to take an oath of profession before any
member of the Board, any government official authorized by the
Commission or any person authorized by law to administer oaths,
prior to entering upon the practice of the profession.
SEC. 18. Issuance of Certificates of Registration and
Professional Identification Card. — A Certificate of Registration
and Professional Identification Card shall be issued to examinees
who pass the licensure examination subject to payment of fees
prescribed by the Commission. The Certificate of Registration
shall bear the signature of the chairperson of the Commission
and the chairman and members of the Board, stamped with the
official seal, indicating that the person named therein is entitled to
the practice of the profession with all the privileges appurtenant
thereto. The said certificate shall remain in full force and effect
until withdrawn, suspended or revoked in accordance with this
Act.
A Professional Identification Card bearing the registration
number, date of issuance, expiry date, duly signed by the
chairperson of the Commission, shall likewise be issued to every
registrant who has paid the prescribed fee.
SEC. 19. Roster of Architects. — A roster showing the names
and place of business of all registered professional architects
shall be prepared and updated by the Board and copies thereof
shall be made available to any party as may be deemed
necessary.
SEC. 20. Seal, Issuance and Use of Seal. — A duly licensed
architect shall affix the seal prescribed by the Board bearing the
registrant’s name, registration number and title “Architect” on all
architectural plans, drawings, specifications and all other contract
documents prepared by or under his/her direct supervision.
(1) Each registrant hereunder shall, upon registration, obtain a
seal of such design as the Board shall authorize and direct.
Architectural plans and specifications prepared by, or under the
direct supervision of a registered architect shall be stamped with
said seal during the life of the registrant’s certificate, and it shall
be unlawful for any one to stamp or seal any documents with said
seal after the certificate of the registrant named thereon has
expired or has been revoked, unless said certificate shall have
been renewed or re-issued.
(2) No officer or employee of this Republic, chartered cities,
provinces and municipalities, now or hereafter charged with the
enforcement of laws, ordinances or regulations relating to the
construction or alteration of buildings, shall accept or approve any
architectural plans or specifications which have not been
prepared and submitted in full accord with all the provisions of
this Act; nor shall any payments be approved by any such officer
for any work, the plans and specifications for which have not
been so prepared and signed and sealed by the author.
(3) It shall be unlawful for any architect to sign his/her name, affix
his/her seal or use any other method of signature on architectural
plans, specifications or other documents made under another
architect’s supervision, unless the same is made in such manner
as to clearly indicate the part or parts of such work actually
performed by the former, and it shall be unlawful for any person,
except the architect-of-record, to sign for any branch of work for
any function of architectural practice, not actually performed by
him/her. The architect-of-record shall be fully responsible for all
architectural plans, specifications and other documents issued
under his/her seal or authorized signature.
(4) Drawings and specifications duly signed, stamped or sealed
as instruments of service, are the intellectual properties and
documents of the architect, whether the object for which they are
made is executed or not. It shall be unlawful for any person,
without the consent of the architect or author of said documents,
to duplicate or to make copies of said documents for use in the
repetition of and for other projects or buildings, whether executed
partly or in whole.
(5) All architectural plans, designs, specifications, drawings, and
architectural documents relative to the construction of a building
shall bear the seal and signature only of an architect registered
and licensed under this Act together with his/her professional
identification card number and the date of its expiration.
SEC. 21. Indication of Certificate of Registration/Professional
Identification Card and Professional Tax Receipt. — The architect
shall be required to indicate his/her Certificate of Registration and
Professional Identification Card, its date of issuance and the
duration of validity, including the professional tax receipt number,
on the documents he/she signs, uses or issues in connection with
the practice of his/her profession.
SEC. 22. Refusal to Issue Certificate of Registration and
Professional Identification Card. — The Board shall not register
and issue a Certificate of Registration and Professional
Identification Card to any person who has falsely sworn or
misrepresented himself/herself in his/her application for
examination or to any person convicted by a court of competent
jurisdiction of a criminal offense involving moral turpitude or guilty
of immoral and dishonorable conduct or to any person of unsound
mind. In the event of refusal to issue certificate for any reason,
the Board shall give the applicant a written statement setting forth
the reasons for such action, which statement shall be
incorporated in the record of the Board: Provided, however, That
registration shall not be refused and a name shall not be removed
from the roster of architects on conviction for a political offense or
for an offense which should not, in the opinion of the Board, either
from the nature of the offense or from the circumstances of the
case, disqualify a person from practicing under this Act.
SEC. 23. Suspension and Revocation of Certificates of
Registration, Professional Identification Card or the
Special/Temporary Permit. — The Board shall have the power,
upon notice and hearing, to suspend or revoke the validity of a
Certificate of Registration/Professional Identification Card, or shall
cancel a special permit granted under this Act to an architect, on
any ground mentioned under Section 22 hereof for the use of or
perpetuation of any fraud or deceit in obtaining a Certificate of
Registration and Professional Identification Card or
special/temporary permit; for gross negligence or incompetence;
for unprofessional or dishonorable conduct; or for any cause
specified hereunder: Provided, however, That such action of the
Board shall be subject to appeal to the Commission whose
decision shall be final if he/she:
(a) has signed and affixed or permitted to be signed or affixed his
name or seal on architectural plans and designs, specifications,
drawings, technical reports, valuation, estimates, or other similar
documents or work not prepared by him/her or not executed
under his/her immediate supervision; or
(b) has paid money except the regular fees provided for to secure
a Certificate of Registration; or
(c) has falsely impersonated a practitioner, or former practitioner
of alike or different name or has practiced under an assumed,
fictitious or corporate name other than that of the registered; or
(d) has aided or abetted in the practice of architecture any person
not duly authorized to practice architecture in the Philippines; or
(e) has openly solicited projects by actually undertaking
architectural services without a valid service agreement
guaranteeing compensation of services to be rendered and/or
has actually allowed himself/herself to be exploited by
undertaking architectural services without a valid service
agreement, both acts being prejudicial to other architects
registered and licensed under this Act and inimical to the interests
of the profession; or
(f) has violated any provision of this Act, its implementing rules
and regulations, the Code of Ethical Conduct and Standards of
Professional Practice.
The Board shall periodically examine the grounds for the
revocation of the Certificate of Registration and Professional
Identification Card and update these as necessary under the
implementing rules and regulations.
Any person, firm or association, may prepare charges in
accordance with the provisions of this section against any
registrant, or the Board may motu proprio investigate and/or take
cognizance of acts and practices constituting sufficient cause for
suspension or revocation of the Certificate of Registration by
proper resolution or order. Such chargers shall be in writing and
shall be sworn to by the person making them and shall be filed
with the Secretary of the Board.
SEC. 24. Re-issuance or Replacement of Revoked or lost
Certificates of Registration, Professional Identification Card or
Special and Temporary Permit. — The Board may, after the
expiration of two (2) years from the date of revocation of a
Certificate of Registration, Professional Identification Card or
special/temporary permit, and upon application and for reasons
deemed proper and sufficient, reinstate the validity of a revoked
Certificate of Registration and in so doing may, in its discretion,
exempt the applicant from taking another examination.
A new Certificate of Registration or Professional Identification
Card, temporary/special permit to replace those which have been
lost, destroyed, or mutilated, may be re-issued, subject to the
rules promulgated by the Board and the Commission, upon
payment of the required fees.
ARTICLE IV
PRACTICE OF ARCHITECTURE
SEC. 25. Registration of Architects Required. — No person shall
practice architecture in this country, or engage in preparing
architectural plans, specifications or preliminary data for the
erection or alteration of any building located within the boundaries
of this country or use the title “Architect,” or display the word
“Architect” together with another word, or display or use any title,
sign, card, advertisement, or other device to indicate such person
practices or offers to practice architecture, or is an architect,
unless such person shall have received from the Board a
Certificate of Registration and be issued a Professional
Identification Card in the manner hereinafter provided and shall
thereafter comply with the provisions of this Act.
A foreign architect or any person not authorized to practice
architecture in the Philippines, who shall stay in the country and
perform any of the activities mentioned in Sections 3 and 4 of this
Act, or any other activity analogous thereto, in connection with the
construction of any building/structure/edifice or land development
project, shall be deemed engaged in the unauthorized practice of
architecture.
SEC. 26. Vested Rights: Architects Registered When this Law is
Passed. — All architects registered at the time this law takes
effect shall automatically be registered under the provisions
hereof, subject, however, to the provisions herein set forth as to
future requirements.
Certificate of Registration held by such persons in good standing
shall have the same force and effect as though issued after the
passage of this Act.
SEC. 27. Reciprocity Requirements. — A person who is not a
citizen of the Philippines at the time he/she applies to take the
examination shall not be allowed to take the licensure
examination unless he/she can prove, in the manner provided by
the Rules of Court that, by specific provision of law, the country of
which he/she is a citizen, subject or national either admits citizens
of the Philippines to the practice of the same profession without
restriction or allows them to practice it after passing an
examination on terms of strict and absolute equality with citizens,
subjects or nationals of the country concerned, including the
unconditional recognition of prerequisite degrees/diplomas issued
by the institutions of learning duly recognized for the purpose by
the Government of the Philippines.
SEC. 28. Continuing Professional Development (CPD). — To
promote public interest and to safeguard life, health and property,
all practicing architects shall maintain a program of continuing
professional development. The integrated and accredited
professional organization shall have the responsibility of
developing a continuing professional development program for
architects. Other entities or organizations may become CPD
providers upon accreditation by the Board.
SEC. 29. Prohibition in the Practice of Architecture and Penal
Clause. — Any person who shall practice or offer to practice
architecture in the Philippines without being registered/licensed
and who are not holders of temporary or special permits in
accordance with the provisions of this Act, or any person
presenting or attempting to use as his/her own the Certificate of
Registration/Professional Identification Card or seal of another or
temporary or special permit, or any person who shall give any
false or forged evidence of any kind of the Board or to any
member thereof in obtaining a Certificate of
Registration/Professional Identification Card or temporary or
special permit, or any person who shall falsely impersonate any
registrant of like or different name, or any person who shall
attempt to use a revoked or suspended Certificate of
Registration/Professional Identification Card or cancelled
special/temporary permit, or any person who shall use in
connection with his/her name or otherwise assume, use or
advertise any title or description tending to convey the impression
that he/she is an architect when he/she is not an architect, or any
person whether Filipino or foreigner, who knowingly allows the
use, adoption, implementation of plans, designs or specifications
made by any person, firm, partnership or company not duly
licensed to engage in the practice of architecture, or any person
who shall violate any of the provisions of this Act, its
implementing rules and regulations, the Code of Ethical Conduct
and Standards of Professional Practice, or any policy of the
Board and the Commission, shall be guilty of misdemeanor and
charged in court by the Commission and shall, upon conviction be
sentenced to a fine of not less than One hundred thousand pesos
(P100,000.00) but not more than Five million pesos
(P5,000,000.00) or to suffer imprisonment for a period of not less
than six (6) months or not exceeding six (6) years, or both, at the
discretion of the Court.
SEC. 30. Prohibition in the Practice of Architecture. — Any
person or entity, whether public or private, Filipino or foreigner,
who/which shall entice, compel, coerce, require or otherwise
force an architect registered and licensed under this Act to
undertake/perform any service under the general practice of
architecture as defined under this Act, without first executing a
written contract/service agreement, shall be guilty of a
misdemeanor and shall, upon conviction be sentenced to a fine of
not less than Two hundred thousand pesos (P200,000.00) or to
suffer imprisonment for a period not exceeding six (6) years, or
both, at the discretion of the Court.
SEC. 31. Liability of Representatives of Non-Registered
Persons. — It shall be unlawful for any person or firm or
corporation to seek to avoid the provisions of this Act by having a
representative or employee seek architectural work in their
behalf, unless and until, such persons have duly qualified and are
duly registered/licensed, otherwise, both those represented and
the representative, the employer and the employee shall be
deemed guilty of violation of this Act. Solicitation of architectural
work shall be construed as offering to practice architecture and
shall be unlawful for any non-registered and unlicensed persons
to do so.
SEC. 32. Signing of Architectural Plans, Specifications and Other
Contract Documents. — It shall be unlawful for any architect to
sign his/her name, affix his/her seal, or use any other method of
signature on architectural plans, specifications or other contract
documents made under another architect’s supervision, unless
the same is made in such manner as to clearly indicate the part
or parts of such work actually performed by the former; and it
shall be unlawful for any person, except the Architect-of-record to
sign for any branch of the work, or any function or architectural
practice, not actually performed by him/her. The Architect-of-
record shall be fully responsible for all architectural plans,
specifications, and other documents issued under his/her seal or
authorized signature.
The Board shall make all the necessary rules and regulations with
regards to the signing and sealing of drawings, specifications,
reports, and other documents.
SEC. 33. Ownership of Plans, Specifications and Other Contract
Documents. — Drawings and specifications and other contract
documents duly signed, stamped of sealed, as instruments of
service, are the intellectual property and documents of the
architect, whether the object for which they are made is executed
or not. It shall be unlawful for any person to duplicate or to make
copies of said documents for use in the repetition of and for other
projects or buildings, whether executed partly or in whole, without
the written consent of architect or author of said documents.
All architects shall incorporate this provision in all contract
documents and other instruments of service.
SEC. 34. Non-Registered Person Shall Not Claim Equivalent
Service. — Persons not registered as an architect shall not claim
nor represent either services or work as equivalent to those of a
duly qualified registered architect, or that they are qualified for
any branch or function of architectural practice, even though no
form of the title “Architect” is used.
SEC. 35. Positions in Government Requiring the Services of
Registered and Licensed Architects. — Within three (3) years
from the effectivity of this Act, all existing and proposed positions
in the local and national government, whether career, permanent,
temporary or contractual and primarily requiring the services of an
architect shall be filled only by registered and licensed architects.
SEC. 36. Collection of Professional Fees. — It shall be unlawful
for any unregistered person to collect a fee for architectural
services except as an employee collecting a fee as representative
of a Registered Architect.
SEC. 37. Limitation to the Registration of a Firm, Company,
Partnership, Corporation or Association. — The practice of
architecture is a professional service, admission to which shall be
determined upon the basis of individual personal qualifications.
However, a firm, company, partnership, corporation or
association may be registered or licensed as such for the practice
of architecture under the following conditions:
(a) Only Filipino citizens properly registered and licensed as
architects under this Act may, among themselves, or together
with allied technical professionals, form and obtain registration as
a firm, company, partnership, association or corporation for the
practice of architecture;
(b) Registered and licensed architects shall compose at least
seventy-five percent (75%) of the owners, shareholders,
members, incorporations, directors, executive officers, as the
case may be;
(c) Individual members of such firm, partnership, association or
corporation shall be responsible for their individual and collective
acts as an entity and as provided by law;
(d) Such firm, partnership, association or corporation shall be
registered with the Securities and Exchange Commission and the
Board.
SEC. 38. Coverage of Temporary/Special Permits. — Foreign
nationals who have gained entry in the Philippines to perform
professional services as architects or consultants in foreign-
funded or assisted projects of the government or employed or
engaged by Filipino or foreign contractors or private firms, shall,
before assuming the duties, functions and responsibilities as
architects or consultants, secure a special/temporary permit from
the Board subject to approval to the Commission, to practice
his/her profession in connection with the project to which he/she
was commissioned: Provided, That a foreign national or foreign
firm, whose name, or company name, with the title architect,
architectural consultant, design consultant, consultant or designer
appears on architectural plans, specifications and other related
construction documents, for securing building permits, licenses
and government authority clearances for actual building project
construction in the Philippines and advertisements and billboards
for marketing purposes, shall be deemed practicing architecture
in the Philippines, whether the contract for professional services
is consummated in the Philippines or in a foreign
country; Provided, further, That the following conditions are
satisfied as follows:
(a) That he/she is a citizen or subject of a country which
specifically permits Filipino professionals to practice his/her
profession within their territorial limits, on the same basis as the
subjects or citizens of such foreign state or country
(b) That he/she is legally qualified to practice architecture in
his/her own country, and that his/her expertise is necessary and
advantageous to our country particularly in the aspects of
technology transfer and specialization;
(c) That foreign nationals shall be required to work with a Filipino
counterpart and shall also be responsible for public utilities and
taxes due to the Philippine government, relative to their
participation in, or professional services rendered to the project,
in accordance with the established implementing rules and
regulations providing for the procedure for the registration and/or
issuance of temporary/special permits to foreign architects
allowed by law to practice their profession in the Philippines by
the Board of Architecture and the accredited professional
organization; and
(d) Agencies, organizations or individuals, whether public or
private, who secure the services of a foreign professional
authorized by law to practice in the Philippines for reasons
aforementioned, shall be responsible for securing a special permit
from the Professional Regulation Commission (PRC) and the
Department of Labor and Employment (DOLE) pursuant to PRC
and DOLE rules.
SEC. 39. Liability Insurance of a Person or Entity Allowed to
Practice under a Temporary/Special Permit. — Foreign nationals,
including former Filipinos wanting to engage in the general
practice of architecture as defined in Section 3(c) of this Act must
secure locally their professional liability insurance or malpractice
insurance or their acceptable equivalent in bond form
commensurate with the nature and magnitude of their project
involvement and their compensation the implementing rules and
regulations for such a requirement for practice shall be
implemented by the Board in consultation with the integrated and
accredited professional organization of architects within six (6)
months from the effectivity of this Act.
ARTICLE V
FINAL PROVISIONS
SEC. 40. Integration of the Architecture Profession. — The
Architecture profession shall be integrated into one (1) national
organization which shall be accredited by the Board, subject to
the approval by the Commission, as the integrated and accredited
professional organization of architects: Provided, however, That
such an organization shall be registered with the Securities and
Exchange Commission, as a non-profit, non-stock corporation to
be governed by by-laws providing for a democratic election of its
officials. An architect duly registered with the Board shall
automatically become a member of the integrated and accredited
professional organization of architects and shall receive the
benefits and privileges provided for in this Act upon payment of
the required fees and dues. Membership in the integrated and
accredited professional organization of architects shall not be a
bar to membership in other associations of architects.
SEC. 41. Implementing Rules and Regulations. — Within sixty
(60) days after the effectivity of this Act, the Board, subject to the
approval of the Commission and in coordination with the
integrated and accredited professional organization, shall adopt
and promulgate such rules and regulations, Code of Ethical
Conduct and Standards of Professional Practice, to carry out the
provisions of this Act and which shall be effective fifteen (15) days
following their publication in the Official Gazette or in two (2)
major daily newspapers of general circulation.
SEC. 42. Appropriations. — The Chairperson of the Professional
Regulation Commission shall immediately include in the
Commission’s programs the implementation of this Act, the
funding of which shall be included in the annual General
Appropriations Act.
SEC. 43. Act Not Affecting Other Professionals. — This Act shall
not be construed to affect or prevent the practice of any other
legally recognized profession.
SEC. 44. Enforcement of the Act. — It shall be the primary duty of
the Commission and the Board to effectively enforce the
provisions of this Act. All duly constituted law enforcement
agencies and officers of national, provincial, city or municipal
government or of any political subdivision thereof, shall, upon the
call or request of the Commission or the Board, render assistance
in enforcing the provisions of this Act and to prosecute any
person violating the provisions of the same. The Secretary of
Justice or his duly designated representative shall act as legal
adviser to the Commission and the Board and shall render legal
assistance as may be necessary in carrying out the provisions of
this Act.
Any person may bring before the Commission, Board or the
aforementioned officers of the law, cases of illegal practice or
violations of this Act committed by any person or party.
The Board shall assist the Commission in filing the appropriate
charges through the concerned prosecution office in accordance
with law and the Rules of Court.
SEC. 45. Separability Clause. — If any clause, provision,
paragraph or part hereof shall be declared unconstitutional or
invalid, such judgment shall not affect, invalidate or impair any
other part hereof, such judgment shall be merely confined to the
clause, provision, paragraph or part directly involved in the
controversy in which such judgment has been rendered.
SEC. 46. Repealing Clause. — Republic Act No. 545, as
amended by Republic Act No. 1581 is hereby repealed and all
other laws, orders, rules and regulations or resolutions or part/s
thereof inconsistent with the provisions of this Act are hereby
repealed or modified accordingly.
SEC. 47. Effectivity. — This Act shall take effect after fifteen (15)
days following its publication in the Official Gazette or in two (2)
newspapers of general circulation.
Approved,
(Sgd.) FRANKLIN M. DRILON (Sgd.) JOSE DE VENECIA, JR.
President of the Senate Speaker of the House
of Representatives
This Act which is a consolidation of House Bill No. 5389 and
Senate Bill No. 2710 was finally passed by the House of
Representatives and the Senate on January 28, 2004 and
(Sgd.) OSCAR G. YABES (Sgd.) ROBERTO P. NAZARENO
Secretary of the Senate Secretary General
House of Representatives
January 29, 2004, respectively.
Approved: MAR 17, 2004
(Sgd.) GLORIA MACAPAGAL-ARROYO
President of the Philippines

REPUBLIC OF THE PHILIPPINES
CONGRESS OF THE PHILIPPINES
Metro Manila
Eleventh Congress
REPUBLIC ACT NO. 8981
AN ACT MODERNIZING THE PROFESSIONAL REGULATION
COMMISSION, REPEALING FOR THE PURPOSE
PRESIDENTIAL DECREE NUMBERED TWO HUNDRED AND
TWENTY-THREE, ENTITLED "CREATING THE
PROFESSIONAL REGULATION COMMISSION AND
PRESCRIBING ITS POWERS AND FUNCTIONS," AND FOR
OTHER PURPOSES
Be it enacted by the Senate and House of Representatives of the
Philippines Congress assembled:
Section 1. Title – This Act shall be called the "PRC
Modernization Act of 2000."
Section 2. Statement of Policy – The State recognizes the
important role of professionals in nation-building and, towards this
end, promotes the sustained development of a reservoir of
professionals whose competence has been determined by honest
and credible licensure examinations and whose standards of
professional service and practice are internationally recognized
and considered world-class brought about the regulatory
measures, programs and activities that foster professional growth
and advancement.
Section 3. Professional Regulation Commission – There is
hereby created a three-man commission to be known as the
Professional Regulation Commission, hereinafter referred to as
the Commission, which shall be attached to the office of the
President for general direction and coordination.
Section 4. Composition – The Commission shall be headed by
one (1) full-time Chairperson and two (2) full-time
Commissioners, all to be appointed by the President for a term of
seven (7) years without reappointment to start from the time they
assume office. Appointments to a vacancy that occurs before the
expiration of the term of a Commissioner shall cover only the
unexpired term of the immediate predecessor. At the expiration of
the Chairperson, the most senior of the Commissioners shall
temporarily assume and perform the duties and functions of the
Chairperson until a permanent Chairperson is appointed by the
President.
The Chairperson or Commissioner shall be at least forty (40)
years of age, holding a valid certificate of registration/professional
license and a valid professional identification card or a valid
certificate of competency issued by the Commission or a valid
professional license issued by any government agency, familiar
with the principles and methods of professional regulation and/or
licensing and has had at least five (5) years of executive or
management experience: Provided, That, one (1) of the
Commissioners must be a past Chairperson/member of a
Professional Regulatory Board.
Section 5. Exercise of Powers and Functions of the
Commission – The Chairperson of the Commission, and the
Commissioners as members thereof shall sit and act as a body to
exercise general administrative, executive and policy-making
functions of the Commission. The Commission shall establish and
maintain a high standard of admission to the practice of all
professions and at all times ensure and safeguard the integrity of
all licensure examinations.
The Chairperson shall act as the presiding and chief executive
officer of the Commission. As presiding officer, he/she shall
preside over the meetings of the Commission sitting as a collegial
body. As chief executive officer of the Commission, he/she shall
be responsible for the implementation of the policies and the
programs adopted by the Commission for the general
administration of the Commission. He/she shall perform such
other activities which are necessary for the effective exercise of
the powers, functions and responsibilities of the Commission.
Section 6. Compensation and Other Benefits – The Chairperson
shall receive compensation and allowances equivalent to that of a
Department Secretary while the Commissioners shall receive
compensation and allowances equivalent to that of an
Undersecretary. The Chairperson and the members of the
Commission shall be entitled to retirement benefits provided
under Republic Act Numbered Fifteen Hundred and Sixty Eight,
as amended by Republic Act Numbered Three Thousand Five
Hundred and Ninety Five.
Section 7. Powers, Functions and Responsibilities of the
Commission – The powers, functions, and responsibilities of the
Commission are as follows:
(a) To administer, implement and enforce the regulatory
policies of the national government with respect to the
regulation and licensing of the various professions and
occupations under its jurisdiction including the
enhancement and maintenance of professional and
occupational standards and ethics and the enforcement of
the rules and regulations relative thereto:
(b) To perform any and all acts, enter into contracts, make
such rules and regulations and issue such orders and
other administrative issuance as may be necessary in the
execution and implementation of its functions and the
improvement of its services;
(c) To review, revise, and approve resolutions, embodying
policies promulgated by the Professional Regulatory
Boards in the exercise of their powers and functions or in
implementing the laws regulating their respective
professions and other official actions on non-ministerial
matters within their respective jurisdictions;
(d) To administer and conduct the licensure examinations
of the various regulatory boards in accordance with the
rules and regulations promulgated by the Commission;
determine and fix the places and dates of examinations;
use publicly or privately owned buildings and facilities for
examination purposes; conduct more than one (1)
licensure examination: Provided, That, when there are
two (2) or more examinations given in a year, at least one
(1) examinations shall be held on weekdays (Monday to
Friday): Provided, further, That, if only one (1)
examination is given in a year, this shall be held only on
weekdays: Provided, finally, That, the Commission is also
authorized to require the completion of a refresher course
where the examinee has failed to pass three (3) times,
except as otherwise provided by law; approve the results
of examinations and the release of the same; adopt
measures to preserve the integrity and inviolability of
licensure examinations; appoint supervisors and room
watchers from among the employees of the government
and/or private individuals with baccalaureate degrees,
who have been trained by the Commission for the
purpose and who shall be entitled to a reasonable daily
allowance for every examination day actually attended, to
be determined and fixed by the Commission; publish the
list of successful examinees; provide schools, colleges
and universities, public and private, offering courses for
licensure examinations, with copies of sample test
questions on examinations recently conducted by the
Commission and copies of the syllabi or terms of
specifications of subjects for licensure examinations; and
impose the penalty of suspension or prohibition from
taking licensure examinations to any examinee charged
and found guilty of violating the rules and regulations
governing the conduct of licensure examinations
promulgated by the Commission;
(e) To admit the successful examinees to the practice of
the profession or occupation; cause the entry of their
names on its registry book and computerized database;
issue certificates of registration/professional license,
bearing the registrant’s name, picture, and registration
number, signed by all the members of the Board
concerned and the Chairperson, with the official seal of
the Board and the Commission affixed thereto which
certificate shall be the authority to practice; and at the
option of the professional concerned, ministerially issue
the professional identification card, to be used solely for
the purpose of identification, upon payment of the
appropriate amount: Provided, That, marine deck and
marine engineer officers shall also be issued
endorsement certificates exclusively by the Commission
pursuant to the 1978 and 1995 Standards of Training,
Certification and Watch-keeping (STCW) Convention, to
the exclusion of any other government agency, Section
1(2) of Executive Order No. 149, Series of 1999 and
provisions of other existing laws, executive orders,
administrative issuance/regulations to the contrary
notwithstanding: Provided, further, That, once a certificate
of registration/professional license, or certificate of
competency, in the case of marine deck and engine
officers are issued, this cannot be withdrawn, cancelled,
revoked, or suspended except for just cause as may be
provided by law after due notice and hearing;
(f) To have custody of all the records of the various
Boards, including examination papers, minutes of
deliberation, records of administrative cases and
investigations and examination results for control and
disposition;
(g) To determine and fix the amount of fees to be charged
and collected for examination, registration, registration
without examination, professional identification card,
certification, docket, appeal, replacement, accreditation,
including surcharges and other fees not specified under
the provisions of Republic Act Numbered Four Hundred
Sixty Five as amended by Republic Act Numbered Sixty
Five Hundred and Eleven or to charge and collect
reasonable fees at the rates higher than the rates
provided thereunder subject to the approval by the Office
of the President.
(h) To appoint subject to the Civil Service laws, rules, and
regulations, officials and employees of the Commission
necessary for the effective performance of its functions
and responsibilities; prescribe their duties and fix their
compensation subject to the provisions of Republic Act
Numbered Six Thousand Seven Hundred and Fifty Eight
and allowances including other fringe benefits; and to
assign and/or reassign personnel as the exigency of the
service requires subject to the Civil Service laws, rules
and regulations; and to organize or reorganize the
structure of the Commission; and create or abolish
positions or change the designation of existing positions
in accordance with a staffing pattern prepared by it and
approved by the Office of the President upon the
recommendation of the Department of Budget and
Management (DBM) to meet the changing conditions or
as the need arises: Provided, That, such changes shall
not affect the employment status of the incumbents,
reduce their ranks and/or salaries nor shall result in their
separation from the service;
(i) To submit and recommend to the President of the
Philippines the names of licensed/registered
professionals for appointment as members of the various
Professional Regulatory Boards from among those
nominated to fill up vacancies pursuant to the provisions
of Executive Order No. 496, Series of 1991;
(j) Upon recommendation of the Professional Regulatory
Board concerned, to approve the registration of and
authorize the issuance of a certificate of
registration/license and professional identification card
with or without examination to a foreigner who is
registered under the laws of his state or country and
whose certificate of registration issued therein has not
been suspended or revoked: Provided, That, the
requirements for the registration or licensing in said
foreign state or country are substantially the same as
those required and contemplated by the laws of the
Philippines and that the laws of such foreign state or
country allow the citizens of the Philippines to practice the
profession on the same basis and grant the same
privileges as those enjoyed by the subjects or citizens of
such foreign state or country: Provided, further, That, the
Commission may, upon recommendation of the Board
concerned, authorize the issuance of a certificate of
registration/license or a special temporary permit to
foreign professionals who desire to practice their
professions in the country under reciprocity and other
international agreements; consultants in foreign-funded,
joint venture or foreign-assisted projects of the
government, employees of Philippine or foreign private
firms or institutions pursuant to law, or health
professionals engaged in humanitarian mission for a
limited period of time: Provided, finally, That agencies,
organizations or individuals whether public or private, who
secure he services of a foreign professional authorized by
law to practice in the Philippines for reasons
aforementioned, shall be responsible for securing a
special permit from the Professional Regulation
Commission (PRC) and the Department of Labor and
Employment (DOLE), pursuant to PRC and DOLE rules:
(k) To authorize any officer of the Commission to
administer oaths:
(l) To supervise foreign nations who are authorized by
existing laws to practice their professions either as
holders of a certificate of registration and a professional
identification card or a temporary special permit in the
Philippines; to ensue that the terms and conditions for
their practice or of their employment are strictly complied
with; to require the hiring or employing government
agency or private entity/institution to secure a temporary
special permit from the concerned Board subject to
approval by the Commission and to file a criminal
complaint against the head of the government agency or
officers of the said private entity/institution, who shall be
liable under the penalty provided for in the concerned
professional regulatory law or the penalty imposed
pursuant to this Act, when the professional was hired and
allowed to practice his/her profession without permit; to
file upon due process request for deportation with the
Bureau of Immigration and Deportation (BID); and to
supervise professionals who were former citizens of the
Philippines and who had been registered and issued a
certificate of registration and a professional identification
card prior to their naturalization as foreign citizens, who
may, while in the country on a visit, sojourn or permanent
residence, practice their profession: Provided, That, prior
to the practice of their profession they shall have first
been issued a special permit and updated professional
identification card by the Board concerned subject to
approval by the Commission and upon payment of the
permit and annual registration fees;
(m) To monitor the performance of schools in licensure
examinations and publish the results thereof in a
newspaper of national circulation;
(n) To adopt and institute a comprehensive rating system
for universities, colleges, and training institutes based on
the passing ratio and overall performance of students in
board examinations;
(o) To exercise administrative supervision over the
various professional regulatory boards and its members;
(p) To adopt and promulgate such rules and regulations
as may be necessary to effectively implement policies
with respect to the regulation and practice of the
professions;
(q) To implement the program for the full computerization
of all licensure examinations given by the various
professional regulatory boards including the registration of
professionals not later than the year 2003 and other
operations of the Commission;
(r) To investigate and decide administrative matters
involving officers and employees under the jurisdiction of
the Commission;
(s) To investigate motu proprio or upon the filing of a
verified complaint, any member of the Professional
Regulatory Boards for neglect of duty, incompetence,
unprofessional, unethical, immoral or dishonorable
conduct, commission of irregularities in the licensure
examinations which taint or impugn the integrity and
authenticity of the results of the said examinations and, if
found guilty, to revoke or suspend their certificates of
registration and professional licenses/identification cards
and to recommend to the President of the Philippines
their suspension or removal from office as the case may
be;
(t) To issue summons, subpoena and subpoena duces
tecum in connection with the investigation of cases
against officials and employees of the Commission and
the members of the Professional Regulatory Boards;
(u) To hold in contempt in erring party or person only
upon application with a court of competent jurisdiction;
(v) To call upon or request any department,
instrumentality, office, bureau, institution or agency of the
government including local government units to render
such assistance as it may require, or to coordinate or
cooperate in order to carry out, enforce or implement the
professional regulatory policies of the government or any
program or activity it may undertake pursuant to the
provisions of this Act;
(w) To initiate an investigation, upon complaint under oath
by an aggrieved party, of any person, whether a private
individual or professional, local or foreign, who practices
the regulated profession or occupation without being
authorized by law, or without being registered with and
licensed by the concerned regulatory board and issued
the corresponding license/professional identification card
or temporary or special permit, or who commits any of the
prohibited acts provided in the regulatory laws of the
various professions, which acts are criminal in nature, and
if the evidence so warrants, to forward the records of the
case to the office of the city or provincial prosecutor for
the filing of the corresponding information in court by the
lawyers of the legal services of the Commission who may
prosecute said case/s upon being deputized by the
Secretary of Justice;
 (x) To prepare an annual report of accomplishments on
the programs, projects and activities of the Commission
during the year for submission to Congress after the close
of its calendar year and make appropriate
recommendations on issues and/or problems affecting the
Commission, the Professional Regulatory Board, and the
various professions under its jurisdiction; and
(y) To perform such other functions and duties as may be
necessary to carry out the provisions of this Act, the
various professional regulatory laws, decrees, executive
orders and other administrative issuance.
Section 8. Regional Offices – The Commission is hereby
authorized to create regional offices as may be necessary to
carry out their functions mandated under this Act.
Section 9. Powers, Functions and Responsibilities of the Various
Professional Regulatory Boards – The various, professional
regulatory boards shall retain the following powers, functions and
responsibilities:
(a) To regulate the practice of the professions in
accordance with the provisions of their respective
professional regulatory laws;
(b) To monitor the conditions affecting the practice of the
profession or occupation under their respective
jurisdictions and whenever necessary, adopt such
measures as may be deemed proper for the
enhancement of the profession or occupation and/or the
maintenance of high professional, ethical and technical
standards, and for this purpose the members of the Board
duly authorized by the Commission with deputized
employees of the Commission, may conduct ocular
inspection in industrial, mechanical, electrical or chemical
plants or establishments, hospitals, clinics, laboratories,
testing facilities, mines and quarries, other engineering
facilities and in the case of schools, in coordination with
the Commission on Higher Education (CHED);
(c) To hear and investigate cases arising from violations
of their respective laws, the rules and regulations
promulgated thereunder and their Codes of Ethics and,
for this purpose, may issue
summons, subpoena and subpoena duces tecum to
alleged violators and/or witnesses to compel their
attendance in such investigations or hearings: Provided,
That, the decision of the Professional Regulatory Board
shall, unless appealed to the Commission, become final
and executory after fifteen (15) days from receipt of notice
of judgment or decision;
(d) To delegate the hearing or investigation of
administrative cases filed before them except in cases
where the issue or question involved strictly concerns the
practice of the profession or occupation, in which case,
the hearing shall be presided over by at least one (1)
member of the Board concerned assisted by a Legal or
Hearing Officer of the Commission;
(e) To conduct, through the Legal Officers of the
Commission, summary proceedings on minor violations of
their respective regulatory laws, violations of the rules and
regulations issued by the boards to implement their
respective laws, including violations of the general
instructions to examinees committed by examinees, and
render summary judgment thereon which shall, unless
appealed to the Commission, become final and executory
after fifteen (15) days from receipt of notice of judgment
or decision;
(f) Subject to final approval by the Commission, to
recommend registration without examination and the
 issuance of corresponding certificate of registration and
professional identification card;
(g) After due process, to suspend, revoke or reissue,
reinstate certificate of registration or licenses for causes
provided by law;
(h) To prepare, adopt and issue the syllabi or tables of
specifications of the subjects for examinations in
consultation with the academe; determine and prepare
the questions for the licensure examinations which shall
strictly be within the scope of the syllabus or table of
specifications of the subject for examination; score and
rate the examination papers with the name and signature
of the Board member concerned appearing thereon and
submit the results in all subjects duly signed by the
members of the Board to the Commission within ten (10)
days from the last day of examination unless extended by
the Commission for justifiable cause/s; and subject to the
approval by the Commission, determine the appropriate
passing general average rating in an examination if not
provided for in the law regulating the profession; and
(i) To prepare an annual report of accomplishments on
programs, projects and activities of the Board during the
year for submission to the Commission after the close of
each calendar year and make appropriate
recommendations on issues or problems affecting the
profession to the Commission.
Section 10. Compensation of the Members of the Professional
Regulatory Boards – The members of the Professional
Regulatory Boards shall receive compensation equivalent to, at
least, two salary grades lower than the salary grade of the
Commissioners: Provided, That the Chairperson of the
Regulatory Board shall receive a monthly compensation of two
steps higher than the members of the Board, and: Provided,
further, That they shall be entitled to other allowances and
benefits provided under existing laws.
Section 11. Person to Teach Subjects for Licensure Examination
on all Professions – All subjects for licensure examinations shall
be taught by persons who are holders of valid certificates of
registration and valid professional licenses of the profession and
who comply with the other requirements of the CHED.
Section 12. Assistance of Law Enforcement Agency – Any law
enforcement agency shall, upon call or request of the
Commission or of any Professional Regulatory Board, render
assistance in enforcing the regulatory law of the profession
including the rules and regulations promulgated thereunder by
prosecuting the violators thereof in accordance with law and the
rules of court.
Section 13. Appropriations – The amount necessary to carry out
the initial implementation of this Act shall be charged against the
current year’s appropriations of the Professional Regulation
Commission. Thereafter, such sums as may be necessary for the
continued implementation of this Act shall be included in the
succeeding General Appropriations Act.
Section 14. Authority to Use Income – In addition to the annual
appropriations of the Commission provided under the Annual
General Appropriations Act, the Commission is hereby authorized
to use its income not exceeding the amount of Forty-five million
pesos (P45,000,000.00) a year for a period of five (5) years after
the effectivity of this Act to implement the program for full
computerization of the operations of the Commission, subject to
the usual accounting and auditing requirements.
Section 15. Penalties for Manipulation and Other Corrupt
Practices in the Conduct of Professional Examinations –
 (a) Any person who manipulates or rigs licensure
examination results, secretly informs or makes known
licensure examination questions prior to the conduct of
the examination or tampers with the grades in
professional licensure examinations shall, upon
conviction, be punished by imprisonment of not less than
six (6) years and one (1) day to not more than twelve (12)
years or a fine of not less than Fifty thousand pesos
(P50,000.00) to not more than One hundred thousand
pesos (P100,000.00) or both such imprisonment and fine
at the discretion of the court.
(b) In case the offender is an officer or employee of the
Commission or a member of the regulatory board, he/she
shall be removed from office and shall suffer the penalty
of perpetual absolute disqualification from public office to
addition to the penalties prescribed in the preceding
section of this Act;
(c) The penalty of imprisonment ranging from four (4)
years and one (1) day to six (6) years or a fine ranging
from Twenty thousand pesos (P20,000.00) to not more
than Forty-nine thousand pesos (P49,000.00), or both
imprisonment and fine at the discretion of the court, shall
be imposed upon the accomplices. The penalty of
imprisonment ranging from two (2) years and one (1) day
to four (4) years or a fine ranging from Five thousand
pesos (P5,000.00) to not more than Nineteen thousand
pesos (P19,000.00), or both imprisonment and fine at the
discretion of the court, shall be imposed upon the
accessories.
Section 16. Penalties for Violation of Section 7 – Subparagraph
(1) by Heads of Government Agencies or Officers of Private
Entities/Institutions – Any head of a government agency or
officer(s) of a private firm/institution who violates Section 7 –
subpar. (1) of this Act shall be punished by imprisonment of not
less than six (6) months and one (1) day to not more than six (6)
years, or a fine of not less than Fifty thousand pesos
(P50,000.00) to not more than Five hundred thousand pesos
(P500,000.00) or both at the discretion of the court.
Section 17. Implementing Rules and Regulations – Within ninety
(90) days after the approval of this Act, the Professional
Regulation Commission, together with representatives of the
various Professional Regulatory Boards and accredited
professional organizations, the DBM, and the CHED shall prepare
and promulgate the necessary rules and regulations needed to
implement the provisions of this Act.
Section 18. Transitory Provisions – The incumbent
Commissioner and two (2) incumbent Associate Commissioners
shall serve as Chairperson and Commissioners respectively
under the terms for which they have been appointed without need
of new appointments. The incumbent Executive Director shall
likewise serve as Assistant Commissioner without need of new
appointment.
Section 19. Separability Clause – If any provision of this Act or
the application of such provision to any person or circumstances
is declared invalid or unconstitutional, the remainder of this Act or
application of such provisions to other persons or circumstance
shall not be affected by such declaration.
Section 20. Repealing Clause – Republic Act. No. 546,
Presidential Decree No. 223, as amended by Presidential Decree
No. 657, Republic Act No. 5181, and Executive Order No. 266,
Series of 1995 are hereby repealed. Section 23 (h) of Republic
Act No. 7836, Section 4 (m & s). Section 23 of Republic Act No.
7920, and Section 29 of Republic Act No. 8050, insofar as it
requires completion of the requirements of the Continuing
Professional Education (CPE) as a condition for the renewal of
the license are hereby repealed. All other laws, orders, rules and
regulations or resolutions and all part/s thereof inconsistent with
the provisions of this Act are hereby repealed or amended
accordingly.
Section 21. Effectivity – This Act shall take effect after fifteen (15)
days following its publication in the Official Gazette or in two (2)
newspapers of general circulation, whichever is earlier.

Approved: December 05, 2000

(Sgd.)JOSEPH EJERCITO ESTRADA

President of the Philippines
 REPUBLIC OF THE PHILIPPINES
CONGRESS OF THE PHILIPPINES
Metro Manila
Sixteenth Congress
Third Regular Session
REPUBLIC ACT NO. 10912
AN ACT MANDATING AND STRENGTHENING THE
CONTINUING PROFESSIONAL DEVELOPMENT PROGRAM
FOR ALL REGULATED PROFESSIONS, CREATING THE
CONTINUING PROFESSIONAL DEVELOPMENT COUNCIL,
AND APPROPRIATING FUNDS THEREFOR, AND FOR
OTHER RELATED PURPOSES
Be it enacted by the Senate and House of Representatives of the
Philippines in Congress assembled:
ARTICLE I
TITLE, POLICY AND DEFINITION OF TERMS
SECTION 1. Title. – This Act shall be known as the “Continuing
Professional Development Act of 2016”.
SEC. 2. Declaration of Policy. – It is hereby declared the policy of
the State to promote and upgrade the practice of professions in
the country. Towards this end, the State shall institute measures
that will continuously improve the competence of the
professionals in accordance with the international standards of
practice, thereby, ensuring their contribution in uplifting the
general welfare, economic growth and development of the nation.
SEC. 3. Definition of Terms. – The following terms shall be
defined under this Act:
(a) Accreditation refers to the formal or official approval granted to
a person, a program or an organization, upon meeting essential
requirements of achievement standards, including qualifications
or unit(s) of a qualification, usually for a particular period of time,
as defined by an accrediting agency:
(b) AIPO/APO refers to the Accredited Integrated Professional
Organization or the Accredited Professional Organization in a
given profession:
(c) ASEAN Qualifications Reference Framework or AQRF refers
to the device that enables comparisons of qualifications across
ASEAN Member States:
(d) ASEAN Mutual Recognition Arrangement or
ASEANMRA refers to a regional arrangement entered into by the
ASEAN Member States, predicated on the mutual recognition of
qualifications, requirements met, licenses and certificates
granted, experience gained by professionals, in order to enhance
mobility of professional services within the region:
(e) Competence refers to an ability that extends beyond the
possession of knowledge and skills, which include cognitive,
functional, personal and ethical competence:
(f) Continuing Professional Development or CPD refers to the
inculcation of advanced knowledge, skills and ethical values in a
post-licensure specialization or in an inter- or multidisciplinary
field of study, for assimilation into professional practice, self-
directed research and/or lifelong learning:
(g) CPD Council refers to a body created to promote and ensure
the continuous improvement of professionals, in accordance with
national, regional and international standards of practice;
(h) CPD credit unit refers to the value of an amount of learning
that can be transferred to a qualification achieved from formal,
informal or nonformal learning setting, where in credits can be
accumulated to predetermined levels for the award of a
qualification;
(i) CPD Program refers to a set of learning activities accredited by
the CPD Council such as seminars, workshops, technical lectures
or subject matter meetings, nondegree training lectures and
scientific meetings, modules, tours and visits, which equip the
professionals with advanced knowledge, skills and values in
specialized or in an inter- or multidisciplinary field of study, self-
directed research and/or lifelong learning;
(j) CPD Provider refers to a natural or juridical person accredited
by the CPD Council to conduct CPD Programs;
(k) Formal learning refers to educational arrangements such as
curricular qualifications and teaching-learning requirements that
take place in education and training institutions recognized by
relevant national authorities, and which lead to diplomas and
qualifications;
(l) Informal learning refers to learning that occurs in daily life
assessed, through the recognition, validation and accreditation
process, and which can contribute to a qualification;
(m) Learning outcomes refer to what a learner can be expected to
know, understand and/or demonstrate as a result of a learning
experience;
(n) Lifelong learning refers to learning activities undertaken
throughout fife for the development of competencies and
qualifications of the professional;
(o) Nonformal learning refers to learning that has been acquired
in addition or alternatively to formal learning, which may be
structured and made more flexible according to educational and
training arrangements;
(p) Online learning activities refer to structured or unstructured
learning initiatives, which make use of the internet and other web-
based Information and Communications Technology solutions;
(q) Pathways and Equivalencies refer to mechanisms that provide
access to qualifications and assist professionals to move easily
and readily between the different education and training sectors,
and between these sectors, and the labor market, through the
Philippine Credit Transfer System;
(r) Philippine Qualifications Framework or PQF refers to the
quality assured national system for the development, recognition
and award of qualifications at defined levels, based on standards
of knowledge, skills and values, acquired in different ways and
methods by learners and workers;
(s) Prior learning refers to a person’s skills, knowledge and
competencies that have been acquired through work experience,
training, independent study, volunteer activities and hobbies, that
may be applied for academic credit, as a requirement of a training
program or for occupational certification;
(t) Professional refers to a person who is registered and licensed
to practice a regulated profession in the Philippines and who
holds a valid Certificate of Registration and Professional
Identification Card (PIC) from the Professional Regulation
Commission (PRC);
(u) Qualification refers to a status gained after a person has been
assessed to have achieved learning outcomes or competencies
in accordance with the standard specified for a qualification title,
and is proven by a document issued by a recognized agency or
body;
(v) Quality assurance refers to planned and systematic processes
that provide confidence in the design, delivery and award of
qualifications within an education and training system, and is a of the nation.
component of quality management that is focused on ensuring
that quality requirements will be fulfilled; and SEC. 5. Nature of CPD Programs. – The CPD Programs consist
of activities that range from structured to nonstructured activities,
(w) Self-directed learning refers to learning activities such as which have learning processes and outcomes.
online training, local/international seminars/nondegree courses,
institution/company-sponsored training programs, and the like, These include, but are not limited to, the following:
which did not undergo CPD accreditation but maybe applied for
and awarded CPD units by the respective CPD Council. (a) Formal learning;

(b) Nonformal learning;

ARTICLE II
(c) Informal learning;
CPD PROGRAMS, COUNCILS AND SECRETARIAT
(d) Self-directed learning;
SEC. 4. Strengthening the CPD Program. – There shall be
formulated and implemented CPD Programs in each of the (e) Online learning activities; and
regulated professions in order to:
(f) Professional work experience.
(a) Enhance and upgrade the competencies and qualifications of SEC. 6. Powers, Functions and Responsibilities of the PRC and
professionals for the practice of their professions pursuant to the the Professional Regulatory Boards (PRBs). – The PRC and the
PQF, the AQRF and the ASEANMRAs; PRBs shall undertake the overall implementation of the CPD
Programs, and for this purpose, shall:
(b) Ensure international alignment of competencies and
qualifications of professionals through career progression (a) Organize CPD Councils for each of the regulated professions
mechanisms leading to specialization/sub-specialization; and promulgate guidelines for their operation;

(c) Ensure the development of quality assured mechanisms for
the validation, accreditation and recognition of formal, nonformal
and informal learning outcomes, including professional work
experiences and prior learning:
(d) Ensure maintenance of core competencies and development
of advanced and new competencies, in order to respond to
national, regional and international labor market needs; and
(e) Recognize and ensure the contributions of professionals in
uplifting the general welfare, economic growth and development
(b) Review existing and new CPD Programs for all of the
regulated professions;
(c) Formulate, issue, and promulgate guidelines and procedures
for the implementation of the CPD Programs;
(d) Coordinate with the academe, concerned government
agencies, and other stakeholders in the implementation of the
CPD Programs and other measures provided under this Act; and
(e) Coordinate with concerned government agencies in the
development of mechanisms and guidelines, in the grant and
transfer of credit units earned from all the learning processes and
activities, pursuant to this Act.
SEC. 7. CPD Council. – There is hereby created a CPD Council
in each of the regulated professions, which shall be under the
supervision of the concerned PRB. Every CPD Council shall be
composed of a chairperson and two (2) members.
The chairperson of the CPD Council shall be the member of the
PRB so chosen by the PRB concerned to sit in the CPD Council.
The first member shall be the president or officer of the
AIPO/APO duly authorized by its Board of Govenors/Trustees. In
the absence of the AIPO/APO, the PRB concerned shall submit
within ten (10) working days from notification of such absence, a
list of three (3) recommendees from the national professional
organizations. The PRC shall designate the first member within
thirty (30) days from receipt of the list.
The second member shall be the president or officer of the
national organization of deans or department chairpersons of
schools, colleges or universities offering the course requiring the
licensure examination. In the absence of such organization, the
PRB concerned shall submit, within ten (10) working days from
notification of such absence, a list of three (3) recommendees
from the academe. The PRC shall designate the second member
within twenty (20) working days from receipt of the list.
The term of office of the chairperson of the CPD Council shall be
coterminous with his/her incumbency in the PRB unless sooner
replaced by the PRB concerned through a resolution, subject to
the approval of the PRC. The first and second members shall
have a term of office of two (2) years unless sooner replaced
through a resolution by the AIPO/APO concerned or the
organization of deans or heads of departments, respectively.
However, members of the CPD Council who are appointed by the
PRC may be replaced before the end of the two (2)-year period,
upon the recommendation of the PRB through a resolution.
SEC. 8. Powers, Functions and Responsibilities of the CPD
Council. – The CPD Council for each profession shall:
(a) Ensure the adequate and appropriate provision of CPD
Programs for their respective profession;
(b) Evaluate and act on applications for accreditation of CPD
Providers and their CPD Programs;
(c) Monitor and evaluate the implementation of the CPD
Programs;
(d) Assess and/or upgrade the criteria for accreditation of CPD
Providers and their CPD Programs on a regular basis;
(e) Develop mechanisms for the validation, accreditation and
recognition of self-directed learning, prior/informal learning, online
learning, and other learning processes through professional work
experience;
(f) Conduct researches, studies and benchmarking for
international alignment of the CPD Programs;
(g) Issue operational guidelines, with the approval of the PRC and
the PRB concerned; and
(h) Perform such other functions related or incidental to the
implementation of the CPD.
SEC. 9. Secretariat. – A CPD Council Secretariat is hereby
created at the PRC Central and Regional Offices to provide
technical, administrative and operational support to the CPD
Councils and the PRBs in the implementation of the CPD
Programs. The CPD Council Secretariat shall be headed by an
Executive Director to be appointed by the PRC.

ARTICLE III
CPD PROGRAM IMPLEMENTATION AND MONITORING
SEC. 10. CPD as Mandatory Requirement in the Renewal of
Professional License and Accreditation System for the Practice of
Professions. – The CPD is hereby made as a mandatory
requirement in the renewal of the PICs of all registered and
licensed professionals under the regulation of the PRC.
SEC. 11. Recognition of Credit Units. – All duly validated and
recognized CPD credit units earned by a professional shall be
accumulated and transferred in accordance with the Pathways
and Equivalencies of the PQF.
SEC. 12. Career Progression and Specialization. – The PRC and
the PRBs, in consultation with the AIPO/APO, the Civil Service
Commission (CSC), other concerned government agencies and
industry stakeholders, shall formulate and implement a Career
Progression and Specialization Program for every profession.
The Career Progression and Specialization Program shall form
part of the CPD.
SEC. 13. Role of Concerned Government Agencies and the
Private Sector. – All concerned government agencies and private
firms and organizations employing professionals shall include the
CPD as part of their human resource development plan and
program.
ARTICLE IV
FINAL PROVISIONS
SEC. 14. Funding. – The implementation of the provisions of this
Act shall be immediately included in the PRC programs, the
funding of which shall be included in its annual submissions for
inclusion in the annual General Appropriations Act.
The funding requirement herein mentioned shall be used for the
regular operations of the CPD Councils, including the monitoring
of the conduct of the CPD Programs.
The PRC shall review and approve the proposed budget for each
CPD Council, taking into consideration the reasonable expenses
that will be incurred for travel, honorarium/allowances, and per
diems, when attending official CPD Council meetings or
performing other related functions assigned to them.
SEC. 15. Implementing Rules and Regulations. – The PRC and
the PRBs, in consultation with the AIPO/APO and other
stakeholders, shall promulgate the implementing rules and
regulations (IRR) within six (6) months from the effectivity of this
Act. However, a PRB may prescribe its own requirements or
procedure relating to the CPD as may be pertinent and applicable
to the specific profession: Provided, That the same does not
contravene any of the provisions of this Act and its IRR.
SEC. 16. Fraud Relating to CPD. – Fraudulent acts relating to the
implementation and enforcement of this Act shall be punishable
under the pertinent provisions of the Revised Penal Code, the
New Civil Code and other applicable laws.
In addition to the penalties prescribed in the aforementioned laws,
a professional who is adjudged guilty of any fraudulent act
relating to the CPD shall also be meted with the penalty of
suspension or revocation of his/her PRC Certificate of
Registration and/or Certificate of Specialization.
In case of a government official or employee who is party to any
fraudulent act relating to the CPD, he/she shall also be subject to
the administrative penalties that may be imposed under the anti-
graft laws, the Administrative Code and the Code of Conduct of
Public Officials and Employees.
 Lapsed into law on JUL 21 2016
SEC. 17. Separability Clause. – If any part or provision of this Act Without the signature of the President
is declared invalid or unconstitutional, the other provisions not In accordance with Article VI, Section
affected thereby shall remain in full force and effect. 27 (1) of the Constitution

SEC. 18. Repealing Clause. – All laws, decrees, executive orders

and other administrative issuances or parts thereof, which are
inconsistent with the provisions of this Act, are hereby repealed or
modified accordingly.

SEC. 19. Effectivity. – This Act shall take effect fifteen (15) days
following its complete publication in the Official Gazette or in two
(2) newspapers of general circulation in the Philippines.

Approved,

(Sgd.) FELICIANO BELMONTE (Sgd.) FRANKLIN M. DRILON

JR. President of the Senate
Speaker of the House
of Representatives

Senate Bill No. 2581. which was approved by the Senate

onAugust 3, 2015, was adopted as an amendment to House Bill
No. 6423 by the House of Representatives on May 23. 2016.

(Sgd.) MARILYN B. BARUA- (Sgd.) OSCAR G. YABES

YAP Secretary of the Senate
Secretary General
House of Representatives

Approved:

BENIGNO S. AQUINO III

President of the Philippines
 REPUBLIC OF THE PHILIPPINES It is also the policy of the State to streamline administrative
CONGRESS OF THE PHILIPPINES procedures of registering patents, trademarks and copyright, to
Metro Manila liberalize the registration on the transfer of technology, and to
enhance the enforcement of intellectual property rights in the
Tenth Congress Philippines. (n)
Second Regular Session
SECTION 3. International Conventions and Reciprocity. - Any
person who is a national or who is domiciled or has a real and
effective industrial establishment in a country which is a party to
REPUBLIC ACT NO. 8293 any convention, treaty or agreement relating to intellectual
property rights or the repression of unfair competition, to which
AN ACT PRESCRIBING THE INTELLECTUAL PROPERTY the Philippines is also a party, or extends reciprocal rights to
CODE AND ESTABLISHING THE INTELLECTUAL PROPERTY nationals of the Philippines by law, shall be entitled to benefits to
OFFICE, PROVIDING FOR ITS POWERS AND FUNCTIONS, the extent necessary to give effect to any provision of such
AND FOR OTHER PURPOSES convention, treaty or reciprocal law, in addition to the rights to
which any owner of an intellectual property right is otherwise
PART I entitled by this Act. (n)

The Intellectual Property Office SECTION 4. Definitions. - 4.1. The term “intellectual property
rights” consists of:
SECTION 1. Title. - This Act shall be known as the “Intellectual
Property Code of the Philippines.” a) Copyright and Related Rights;

SECTION 2. Declaration of State Policy. - The State recognizes b) Trademarks and Service Marks;
that an effective intellectual and industrial property system is vital
to the development of domestic and creative activity, facilitates c) Geographic Indications;
transfer of technology, attracts foreign investments, and ensures
market access for our products. It shall protect and secure the d) Industrial Designs;
exclusive rights of scientists, inventors, artists and other gifted
citizens to their intellectual property and creations, particularly e) Patents;
when beneficial to the people, for such periods as provided in this
Act. f) Layout-Designs (Topographies) of Integrated Circuits; and

The use of intellectual property bears a social function. To this g) Protection of Undisclosed Information (n, TRIPS).
end, the State shall promote the diffusion of knowledge and
information for the promotion of national development and 4.2. The term “technology transfer arrangements” refers to
progress and the common good. contracts or agreements involving the transfer of systematic
knowledge for the manufacture of a product, the application of a
process, or rendering of a service including management
contracts; and the transfer, assignment or licensing of all forms of
intellectual property rights, including licensing of computer
software except computer software developed for mass market.
4.3. The term “Office” refers to the Intellectual Property Office
created by this Act.
4.4. The term “IPO Gazette” refers to the gazette published by the
Office under this Act.
SECTION 5. Functions of the Intellectual Property Office (IPO). -
5.1. To administer and implement the State policies declared in
this Act, there is hereby created the Intellectual Property Office
(IPO) which shall have the following functions:
a) Examine applications for grant of letters patent for inventions
and register utility models and industrial designs;
b) Examine applications for the registration of marks, geographic
indication, integrated circuits;
c) Register technology transfer arrangements and settle disputes
involving technology transfer payments covered by the provisions
of Part II, Chapter IX on Voluntary Licensing and develop and
implement strategies to promote and facilitate technology
transfer;
d) Promote the use of patent information as a tool for technology
development;
e) Publish regularly in its own publication the patents, marks,
utility models and industrial designs, issued and approved, and
the technology transfer arrangements registered;
f) Administratively adjudicate contested proceedings affecting
intellectual property rights; and
g) Coordinate with other government agencies and the private
sector efforts to formulate and implement plans and policies to
strengthen the protection of intellectual property rights in the
country.
5.2. The Office shall have custody of all records, books, drawings,
specifications, documents, and other papers and things relating to
intellectual property rights applications filed with the Office. (n)
SECTION 6. The Organizational Structure of the IPO. - 6.1. The
Office shall be headed by a Director General who shall be
assisted by two (2) Deputies Director General.
6.2. The Office shall be divided into six (6) Bureaus, each of
which shall be headed by a Director and assisted by an Assistant
Director. These Bureaus are:
a) The Bureau of Patents;
b) The Bureau of Trademarks;
c) The Bureau of Legal Affairs;
d) The Documentation, Information and Technology Transfer
Bureau;
e) The Management Information System and EDP Bureau; and
f) The Administrative, Financial and Personnel Services Bureau.
6.3. The Director General, Deputies Director General, Directors
and Assistant Directors shall be appointed by the President, and
the other officers and employees of the Office by the Secretary of
Trade and Industry, conformably with and under the Civil Service
Law. (n)
SECTION 7. The Director General and Deputies Director
General. - 7.1. Functions. - The Director General shall exercise
the following powers and functions:
a) Manage and direct all functions and activities of the Office,
including the promulgation of rules and regulations to implement
the objectives, policies, plans, programs and projects of the
Office: Provided, That in the exercise of the authority to propose
policies and standards in relation to the following: (1) the
effective, efficient, and economical operations of the Office
requiring statutory enactment; (2) coordination with other
agencies of government in relation to the enforcement of
intellectual property rights; (3) the recognition of attorneys,
agents, or other persons representing applicants or other parties
before the Office; and (4) the establishment of fees for the filing
and processing of an application for a patent, utility model or
industrial design or mark or a collective mark, geographic
indication and other marks of ownership, and for all other services
performed and materials furnished by the Office, the Director
General shall be subject to the supervision of the Secretary of
Trade and Industry;
b) Exercise exclusive appellate jurisdiction over all decisions
rendered by the Director of Legal Affairs, the Director of Patents,
the Director of Trademarks, and the Director of the
Documentation, Information and Technology Transfer Bureau.
The decisions of the Director General in the exercise of his
appellate jurisdiction in respect of the decisions of the Director of
Patents, and the Director of Trademarks shall be appealable to
the Court of Appeals in accordance with the Rules of Court; and
those in respect of the decisions of the Director of
Documentation, Information and Technology Transfer Bureau
shall be appealable to the Secretary of Trade and Industry; and
c) Exercise original jurisdiction to resolve disputes relating to the
terms of a license involving the author’s right to public
performance or other communication of his work. The decisions
of the Director General in these cases shall be appealable to the
Secretary of Trade and Industry.
7.2. Qualifications. - The Director General and the Deputies
Director General must be natural born citizens of the Philippines,
at least thirty-five (35) years of age on the day of their
appointment, holders of a college degree, and of proven
competence, integrity, probity and independence: Provided, That
the Director General and at least one (1) Deputy Director General
shall be members of the Philippine Bar who have engaged in the
practice of law for at least ten (10) years: Provided, further, That
in the selection of the Director General and the Deputies Director
General, consideration shall be given to such qualifications as
would result, as far as practicable, in the balanced representation
in the Directorate General of the various fields of intellectual
property.
7.3. Term of Office. - The Director General and the Deputies
Director General shall be appointed by the President for a term of
five (5) years and shall be eligible for reappointment only once:
Provided, That the first Director General shall have a first term of
seven (7) years. Appointment to any vacancy shall be only for the
unexpired term of the predecessor.
7.4. The Office of the Director General. - The Office of the
Director General shall consist of the Director General and the
Deputies Director General, their immediate staff and such Offices
and Services that the Director General will set up to support
directly the Office of the Director General. (n)
SECTION 8. The Bureau of Patents. - The Bureau of Patents
shall have the following functions:
8.1. Search and examination of patent applications and the grant
of patents;
8.2. Registration of utility models, industrial designs, and
integrated circuits; and
8.3. Conduct studies and researches in the field of patents in
order to assist the Director General in formulating policies on the
administration and examination of patents. (n)
SECTION 9. The Bureau of Trademarks. - The Bureau of
Trademarks shall have the following functions:
9.1. Search and examination of the applications for the
registration of marks, geographic indications and other marks of
ownership and the issuance of the certificates of registration; and
9.2. Conduct studies and researches in the field of trademarks in
order to assist the Director General in formulating policies on the
administration and examination of trademarks. (n)
SECTION 10. The Bureau of Legal Affairs. - The Bureau of Legal
Affairs shall have the following functions:
10.1. Hear and decide opposition to the application for
registration of marks; cancellation of trademarks; subject to the
provisions of Section 64, cancellation of patents, utility models,
and industrial designs; and petitions for compulsory licensing of
patents;
10.2. (a) Exercise original jurisdiction in administrative complaints
for violations of laws involving intellectual property rights:
Provided, That its jurisdiction is limited to complaints where the
total damages claimed are not less than Two hundred thousand
pesos (P200,000): Provided, further, That availment of the
provisional remedies may be granted in accordance with the
Rules of Court. The Director of Legal Affairs shall have the power
to hold and punish for contempt all those who disregard orders or
writs issued in the course of the proceedings. (n)
(b) After formal investigation, the Director for Legal Affairs may
impose one (1) or more of the following administrative penalties:
(i) The issuance of a cease and desist order which shall specify
the acts that the respondent shall cease and desist from and shall
require him to submit a compliance report within a reasonable
time which shall be fixed in the order;
(ii) The acceptance of a voluntary assurance of compliance or
discontinuance as may be imposed. Such voluntary assurance
may include one or more of the following:
(1) An assurance to comply with the provisions of the intellectual
property law violated;
(2) An assurance to refrain from engaging in unlawful and unfair
acts and practices subject of the formal investigation;
(3) An assurance to recall, replace, repair, or refund the money
value of defective goods distributed in commerce; and
(4) An assurance to reimburse the complainant the expenses and
costs incurred in prosecuting the case in the Bureau of Legal
Affairs.
The Director of Legal Affairs may also require the respondent to
submit periodic compliance reports and file a bond to guarantee
compliance of his undertaking;
(iii) The condemnation or seizure of products which are subject of
the offense. The goods seized hereunder shall be disposed of in
such manner as may be deemed appropriate by the Director of
Legal Affairs, such as by sale, donation to distressed local
governments or to charitable or relief institutions, exportation,
recycling into other goods, or any combination thereof, under 11.1. Support the search and examination activities of the Office
such guidelines as he may provide; through the following activities:

(iv) The forfeiture of paraphernalia and all real and personal (a) Maintain and upkeep classification systems whether they be
properties which have been used in the commission of the national or international such as the International Patent
offense; Classification (IPC) system;

(v) The imposition of administrative fines in such amount as (b) Provide advisory services for the determination of search
deemed reasonable by the Director of Legal Affairs, which shall in patterns;
no case be less than Five thousand pesos (P5,000) nor more
than One hundred fifty thousand pesos (P150,000). In addition, (c) Maintain search files and search rooms and reference
an additional fine of not more than One thousand pesos (P1,000) libraries; and
shall be imposed for each day of continuing violation;
(d) Adapt and package industrial property information.
(vi) The cancellation of any permit, license, authority, or
registration which may have been granted by the Office, or the 11.2. Establish networks or intermediaries or regional
suspension of the validity thereof for such period of time as the representatives;
Director of Legal Affairs may deem reasonable which shall not
exceed one (1) year;
11.3. Educate the public and build awareness on intellectual
property through the conduct of seminars and lectures, and other
(vii) The withholding of any permit, license, authority, or similar activities;
registration which is being secured by the respondent from the
Office;
11.4. Establish working relations with research and development
institutions as well as with local and international intellectual
(viii) The assessment of damages; property professional groups and the like;

(ix) Censure; and 11.5. Perform state-of-the-art searches;

(x) Other analogous penalties or sanctions. (Secs. 6, 7, 8, and 9, 11.6. Promote the use of patent information as an effective tool to
Executive Order No. 913 [1983]a) facilitate the development of technology in the country;

10.3. The Director General may by Regulations establish the 11.7. Provide technical, advisory, and other services relating to
procedure to govern the implementation of this Section. (n) the licensing and promotion of technology, and carry out an
efficient and effective program for technology transfer; and
SECTION 11. The Documentation, Information and Technology
Transfer Bureau. - The Documentation, Information and
Technology Transfer Bureau shall have the following functions:
11.8. Register technology transfer arrangements, and settle
disputes involving technology transfer payments. (n)
SECTION 12. The Management Information Services and EDP
Bureau. - The Management Information Services and EDP
Bureau shall:
12.1. Conduct automation planning, research and development,
testing of systems, contracts with firms, contracting, purchase
and maintenance of equipment, design and maintenance of
systems, user consultation, and the like; and
12.2. Provide management information support and service to the
Office. (n)
SECTION 13. The Administrative, Financial and Human
Resource Development Service Bureau. - 13.1. The
Administrative Service shall: (a) Provide services relative to
procurement and allocation of supplies and equipment,
transportation, messengerial work, cashiering, payment of
salaries and other Office’s obligations, office maintenance, proper
safety and security, and other utility services; and comply with
government regulatory requirements in the areas of performance
appraisal, compensation and benefits, employment records and
reports;
(b) Receive all applications filed with the Office and collect fees
therefor; and
(c) Publish patent applications and grants, trademark
applications, and registration of marks, industrial designs, utility
models, geographic indication, and lay-out-designs of integrated
circuits registrations.
13.2. The Patent and Trademark Administration Services shall
perform the following functions among others:
(a) Maintain registers of assignments, mergings, licenses, and
bibliographic on patents and trademarks;
(b) Collect maintenance fees, issue certified copies of documents
in its custody and perform similar other activities; and
(c) Hold in custody all the applications filed with the office, and all
patent grants, certificate of registrations issued by the office, and
the like.
13.3. The Financial Service shall formulate and manage a
financial program to ensure availability and proper utilization of
funds; provide for an effective monitoring system of the financial
operations of the Office; and
13.4. The Human Resource Development Service shall design
and implement human resource development plans and
programs for the personnel of the Office; provide for present and
future manpower needs of the organization; maintain high morale
and favorable employee attitudes towards the organization
through the continuing design and implementation of employee
development programs. (n)
SECTION 14. Use of Intellectual Property Rights Fees by the
IPO. - 14.1. For a more effective and expeditious implementation
of this Act, the Director General shall be authorized to retain,
without need of a separate approval from any government
agency, and subject only to the existing accounting and auditing
rules and regulations, all the fees, fines, royalties and other
charges, collected by the Office under this Act and the other laws
that the Office will be mandated to administer, for use in its
operations, like upgrading of its facilities, equipment outlay,
human resource development, and the acquisition of the
appropriate office space, among others, to improve the delivery of
its services to the public. This amount, which shall be in addition
to the Office’s annual budget, shall be deposited and maintained
in a separate account or fund, which may be used or disbursed
directly by the Director General.
14.2. After five (5) years from the coming into force of this Act, the
Director General shall, subject to the approval of the Secretary of
Trade and Industry, determine if the fees and charges mentioned
in Subsection 14.1 hereof that the Office shall collect are
sufficient to meet its budgetary requirements. If so, it shall retain
all the fees and charges it shall collect under the same conditions
indicated in said Subsection 14.1 but shall forthwith, cease to
receive any funds from the annual budget of the National
Government; if not, the provisions of said Subsection 14.1 shall
continue to apply until such time when the Director General,
subject to the approval of the Secretary of Trade and Industry,
certifies that the above-stated fees and charges the Office shall
collect are enough to fund its operations. (n)
SECTION 15. Special Technical and Scientific Assistance. - The
Director General is empowered to obtain the assistance of
technical, scientific or other qualified officers and employees of
other departments, bureaus, offices, agencies and
instrumentalities of the Government, including corporations
owned, controlled or operated by the Government, when deemed
necessary in the consideration of any matter submitted to the
Office relative to the enforcement of the provisions of this Act.
(Sec. 3, R.A. No. 165a)
SECTION 16. Seal of Office. - The Office shall have a seal, the
form and design of which shall be approved by the Director
General. (Sec. 4, R.A. No. 165a)
SECTION 17. Publication of Laws and Regulations. - The
Director General shall cause to be printed and make available for
distribution, pamphlet copies of this Act, other pertinent laws,
executive orders and information circulars relating to matters
within the jurisdiction of the Office. (Sec. 5, R.A. No. 165a)
SECTION 18. The IPO Gazette. - All matters required to be
published under this Act shall be published in the Office’s own
publication to be known as the IPO Gazette. (n)
SECTION 19. Disqualification of Officers and Employees of the
Office. - All officers and employees of the Office shall not apply or
act as an attorney or patent agent of an application for a grant of
patent, for the registration of a utility model, industrial design or
mark nor acquire, except by hereditary succession, any patent or
utility model, design registration, or mark or any right, title or
interest therein during their employment and for one (1) year
thereafter. (Sec. 77, R.A. No. 165a)
PART II
The Law on Patents
CHAPTER I
General Provisions
SECTION 20. Definition of Terms Used in Part II, The Law on
Patents. - As used in Part II, the following terms shall have the
following meanings:
20.1. “Bureau” means the Bureau of Patents;
20.2. “Director” means the Director of Patents;
20.3. “Regulations” means the Rules of Practice in Patent Cases
formulated by the Director of Patents and promulgated by the
Director General;
20.4. “Examiner” means the patent examiner;
20.5. “Patent application” or “application” means an application
for a patent for an invention except in Chapters XII and XIII,
where “application” means an application for a utility model and
an industrial design, respectively; and
20.6. “Priority date” means the date of filing of the foreign
application for the same invention referred to in Section 31 of this
Act. (n)
CHAPTER II
Patentability
SECTION 21. Patentable Inventions. - Any technical solution of a
problem in any field of human activity which is new, involves an
inventive step and is industrially applicable shall be patentable. It
may be, or may relate to, a product, or process, or an
improvement of any of the foregoing. (Sec. 7, R.A. No. 165a)
SECTION 22. Non-Patentable Inventions. - The following shall be
excluded from patent protection:
22.1. Discoveries, scientific theories and mathematical methods,
and in the case of drugs and medicines, the mere discovery of a
new form or new property of a known substance which does not
result in the enhancement of the known efficacy of that
substance, or the mere discovery of any new property or new use
for a known substance, or the mere use of a known process
unless such known process results in a new product that employs
at least one new reactant.
For the purpose of this clause, salts, esters, ethers, polymorphs,
metabolites, pure form, particle size, isomers, mixtures of
isomers, complexes, combinations, and other derivatives of a
known substance shall be considered to be the same substance,
unless they differ significantly in properties with regard to efficacy;
22.2. Schemes, rules and methods of performing mental acts,
playing games or doing business, and programs for computers;
22.3. Methods for treatment of the human or animal body by
surgery or therapy and diagnostic methods practiced on the
human or animal body. This provision shall not apply to products
and composition for use in any of these methods;
22.4. Plant varieties or animal breeds or essentially biological
process for the production of plants or animals. This provision
shall not apply to micro-organisms and non-biological and
microbiological processes.
Provisions under this subsection shall not preclude Congress to
consider the enactment of a law providing sui generis protection
of plant varieties and animal breeds and a system of community
intellectual rights protection:
22.5. Aesthetic creations; and
22.6. Anything which is contrary to public order or morality. (Sec.
8, R.A. No. 165a)
SECTION 23. Novelty. - An invention shall not be considered new
if it forms part of a prior art. (Sec. 9, R.A. No. 165a)
SECTION 24. Prior Art. - Prior art shall consist of:
24.1. 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
24.2. The whole contents of an application for a patent, utility
model, or industrial design registration, published in accordance
with this Act, filed or effective in the Philippines, with a filing or
priority date that is earlier than the filing or priority date of the
application: Provided, That the application which has validly
claimed the filing date of an earlier application under Section 31
of this Act, shall be prior art with effect as of the filing date of such
earlier application: Provided, further, That the applicant or the
inventor identified in both applications are not one and the same.
(Sec. 9, R.A. No. 165a)
SECTION 25. Non-Prejudicial Disclosure. - 25.1. The disclosure
of information contained in the application during the twelve (12)
months preceding the filing date or the priority date of the
application shall not prejudice the applicant on the ground of lack
of novelty if such disclosure was made by:
(a) The inventor;
(b) A patent office and the information was contained (a) in
another application filed by the inventor and should 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; or
(c) A third party which obtained the information directly or
indirectly from the inventor.
25.2. For the purposes of Subsection 25.1, “inventor” also means
any person who, at the filing date of application, had the right to
the patent. (n)
SECTION 26. Inventive Step. - 26.1. An invention involves an
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. (n)
26.2. In the case of drugs and medicines, there is no inventive
step if the invention results from the mere discovery of a new
form or new property of a known substance which does not result
in the enhancement of the known efficacy of that substance, or
the mere discovery of any new property or new use for a known
substance, or the mere use of a known process unless such
known process results in a new product that employs at least one
new reactant.
SECTION 27. Industrial Applicability. - An invention that can be
produced and used in any industry shall be industrially applicable.
(n)
CHAPTER III
Right to a Patent
SECTION 28. Right to a Patent. - The right to a patent belongs to
the inventor, his heirs, or assigns. When two (2) or more persons
have jointly made an invention, the right to a patent shall belong
to them jointly. (Sec. 10, R.A. No. 165a)
SECTION 29. First to File Rule. - If two (2) or more persons have
made the invention separately and independently of each other,
the right to the patent shall belong to the person who filed an
application for such invention, or where two or more applications
are filed for the same invention, to the applicant who has the
earliest filing date or, the earliest priority date. (3rd sentence, Sec.
10, R.A. No. 165a)
SECTION 30. Inventions Created Pursuant to a Commission. -
30.1. The person who commissions the work shall own the
patent, unless otherwise provided in the contract.
30.2. 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 invention is the result of the performance
of his regularly-assigned duties, unless there is an agreement,
express or implied, to the contrary. (n)
SECTION 31. Right of Priority. - An application for patent filed by
any person who has previously applied for the same invention in
another country which by treaty, convention, or law affords similar
privileges to Filipino citizens, shall be considered as filed as of the
date of filing the foreign application: Provided, That: (a) the local
application expressly claims priority; (b) it is filed within twelve
(12) months from the date the earliest foreign application was
filed; and (c) a certified copy of the foreign application together
with an English translation is filed within six (6) months from the
date of filing in the Philippines. (Sec. 15, R.A. No. 165a)
CHAPTER IV
Patent Application
SECTION 32. The Application. - 32.1. The patent application shall
be in Filipino or English and shall contain the following:
(a) A request for the grant of a patent;
(b) A description of the invention;
(c) Drawings necessary for the understanding of the invention;
(d) One or more claims; and
(e) An abstract.
32.2. No patent may be granted unless the application identifies
the inventor. If the applicant is not the inventor, the Office may
require him to submit said authority. (Sec. 13, R.A. No. 165a)
SECTION 33. Appointment of Agent or Representative. - An
applicant who is not a resident of the Philippines must appoint
and maintain a resident agent or representative in the Philippines
upon whom notice or process for judicial or administrative
procedure relating to the application for patent or the patent may
be served. (Sec. 11, R.A. No. 165a)
SECTION 34. The Request. - The request shall contain a petition
for the grant of the patent, the name and other data of the
applicant, the inventor and the agent and the title of the invention.
(n)
SECTION 35. Disclosure and Description of the Invention. - 35.1.
Disclosure. - The application shall disclose the invention in a
manner sufficiently clear and complete for it to be carried out by a
person skilled in the art. Where the application concerns a
microbiological process or the product thereof and involves the
use of a micro-organism which cannot be sufficiently disclosed in
the application in such a way as to enable the invention to be
carried out by a person skilled in the art, and such material is not
available to the public, the application shall be supplemented by a
deposit of such material with an international depository
institution.
35.2. Description. - The Regulations shall prescribe the contents
of the description and the order of presentation. (Sec. 14, R.A.
No. 165a)
SECTION 36. The Claims. - 36.1. The application shall contain
one (1) or more claims which shall define the matter for which
protection is sought. Each claim shall be clear and concise, and
shall be supported by the description.
36.2. The Regulations shall prescribe the manner of the
presentation of claims. (n)
SECTION 37. The Abstract. - The abstract shall consist of a
concise summary of the disclosure of the invention as contained
in the description, claims and drawings in preferably not more
than one hundred fifty (150) words. It must be drafted in a way
which allows the clear understanding of the technical problem,
the gist of the solution of that problem through the invention, and
the principal use or uses of the invention. The abstract shall
merely serve for technical information. (n)
SECTION 38. Unity of Invention. - 38.1. The application shall
relate to one invention only or to a group of inventions forming a
single general inventive concept.
38.2. If several independent inventions which do not form a single
general inventive concept are claimed in one application, the
Director may require that the application be restricted to a single
invention. A later application filed for an invention divided out
shall be considered as having been filed on the same day as the
first application: Provided, That the later application is filed within
four (4) months after the requirement to divide becomes final, or
within such additional time, not exceeding four (4) months, as
may be granted: Provided, further, That each divisional
application shall not go beyond the disclosure in the initial
application.
38.3. The fact that a patent has been granted on an application
that did not comply with the requirement of unity of invention shall
not be a ground to cancel the patent. (Sec. 17, R.A. No. 165a)
SECTION 39. Information Concerning Corresponding Foreign
Application for Patents. - The applicant shall, at the request of the
Director, furnish him with the date and number of any application
for a patent filed by him abroad, hereafter referred to as the
“foreign application,” relating to the same or essentially the same
invention as that claimed in the application filed with the Office
and other documents relating to the foreign application. (n)
CHAPTER V
Procedure for Grant of Patent
SECTION 40. Filing Date Requirements. - 40.1. The filing date of
a patent application shall be the date of receipt by the Office of at
least the following elements:
(a) An express or implicit indication that a Philippine patent is
sought;
(b) Information identifying the applicant; and
(c) Description of the invention and one (1) or more claims in
Filipino or English.
40.2. If any of these elements is not submitted within the period
set by the Regulations, the application shall be considered
withdrawn. (n)
SECTION 41. According a Filing Date. - The Office shall examine
whether the patent application satisfies the requirements for the
grant of date of filing as provided in Section 40 hereof. If the date
of filing cannot be accorded, the applicant shall be given an
opportunity to correct the deficiencies in accordance with the
implementing Regulations. If the application does not contain all
the elements indicated in Section 40, the filing date should be that
date when all the elements are received. If the deficiencies are
not remedied within the prescribed time limit, the application shall
be considered withdrawn. (n)
SECTION 42. Formality Examination. - 42.1. After the patent
application has been accorded a filing date and the required fees
have been paid on time in accordance with the Regulations, the
applicant shall comply with the formal requirements specified by
Section 32 and the Regulations within the prescribed period,
otherwise the application shall be considered withdrawn.
42.2. The Regulations shall determine the procedure for the re-
examination and revival of an application as well as the appeal to
the Director of Patents from any final action by the examiner.
(Sec. 16, R.A. No. 165a)
SECTION 43. Classification and Search. - An application that has
complied with the formal requirements shall be classified and a
search conducted to determine the prior art. (n)
SECTION 44. Publication of Patent Application. - 44.1. The
patent application shall be published in the IPO Gazette together
with a search document established by or on behalf of the Office
citing any documents that reflect prior art, after the expiration of
eighteen (18) months from the filing date or priority date.
44.2. After publication of a patent application, any interested party
may inspect the application documents filed with the Office.
44.3. The Director General, subject to the approval of the
Secretary of Trade and Industry, may prohibit or restrict the
publication of an application, if in his opinion, to do so would be
prejudicial to the national security and interests of the Republic of
the Philippines. (n)
SECTION 45. Confidentiality Before Publication. - A patent
application, which has not yet been published, and all related
documents, shall not be made available for inspection without the
consent of the applicant. (n)
SECTION 46. Rights Conferred by a Patent Application After
Publication. - The applicant shall have all the rights of a patentee
under Section 76 against any person who, without his
authorization, exercised any of the rights conferred under Section
71 of this Act in relation to the invention claimed in the published
patent application, as if a patent had been granted for that
invention: Provided, That the said person had:
46.1. Actual knowledge that the invention that he was using was
the subject matter of a published application; or
46.2. Received written notice that the invention that he was using
was the subject matter of a published application being identified
in the said notice by its serial number: Provided, That 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. (n)
SECTION 47. Observation by Third Parties. - Following the
publication of the patent application, any person may present
observations in writing concerning the patentability of the
invention. Such observations shall be communicated to the
applicant who may comment on them. The Office shall
acknowledge and put such observations and comment in the file
of the application to which it relates. (n)
SECTION 48. Request for Substantive Examination. - 48.1. The
application shall be deemed withdrawn unless within six (6)
months from the date of publication under Section 41, a written
request to determine whether a patent application meets the
requirements of Sections 21 to 27 and Sections 32 to 39 and the
fees have been paid on time.
48.2. Withdrawal of the request for examination shall be
irrevocable and shall not authorize the refund of any fee. (n)
SECTION 49. Amendment of Application. - An applicant may
amend the patent application during examination: Provided, That
such amendment shall not include new matter outside the scope
of the disclosure contained in the application as filed. (n)
SECTION 50. Grant of Patent. - 50.1. If the application meets the
requirements of this Act, the Office shall grant the patent:
Provided, That all the fees are paid on time.
50.2. If the required fees for grant and printing are not paid in due
time, the application shall be deemed to be withdrawn.
50.3. A patent shall take effect on the date of the publication of
the grant of the patent in the IPO Gazette. (Sec. 18, R.A. No.
165a)
SECTION 51. Refusal of the Application. - 51.1. The final order of
refusal of the examiner to grant the patent shall be appealable to
the Director in accordance with this Act.
51.2. The Regulations shall provide for the procedure by which an
appeal from the order of refusal from the Director shall be
undertaken. (n)
SECTION 52. Publication Upon Grant of Patent. - 52.1. The grant
of the patent together with other related information shall be
published in the IPO Gazette within the time prescribed by the
Regulations.
52.2. Any interested party may inspect the complete description,
claims, and drawings of the patent on file with the Office. (Sec.
18, R.A. No. 165a)
SECTION 53. Contents of Patent. - The patent shall be issued in
the name of the Republic of the Philippines under the seal of the
Office and shall be signed by the Director, and registered
together with the description, claims, and drawings, if any, in
books and records of the Office. (Secs. 19 and 20, R.A. No.
165a)
SECTION 54. Term of Patent. - The term of a patent shall be
twenty (20) years from the filing date of the application. (Sec. 21,
R.A. No. 165a)
SECTION 55. Annual Fees. - 55.1. To maintain the patent
application or patent, an annual fee shall be paid upon the
expiration of four (4) years from the date the application was
published pursuant to Section 44 hereof, and on each
subsequent anniversary of such date. Payment may be made
within three (3) months before the due date. The obligation to pay
the annual fees shall terminate should the application be
withdrawn, refused, or cancelled.
55.2. If the annual fee is not paid, the patent application shall be
deemed withdrawn or the patent considered as lapsed from the
day following the expiration of the period within which the annual
fees were due. A notice that the application is deemed withdrawn
or the lapse of a patent for non-payment of any annual fee shall
be published in the IPO Gazette and the lapse shall be recorded
in the Register of the Office.
55.3. A grace period of six (6) months shall be granted for the
payment of the annual fee, upon payment of the prescribed
surcharge for delayed payment. (Sec. 22, R.A. No. 165a)
SECTION 56. Surrender of Patent. - 56.1. The owner of the
patent, with the consent of all persons having grants or licenses
or other right, title or interest in and to the patent and the
invention covered thereby, which have been recorded in the
Office, may surrender his patent or any claim or claims forming
part thereof to the Office for cancellation.
56.2. A person may give notice to the Office of his opposition to
the surrender of a patent under this section, and if he does so,
the Bureau shall notify the proprietor of the patent and determine
the question.
56.3. If the Office is satisfied that the patent may properly be
surrendered, he may accept the offer and, as from the day when
notice of his acceptance is published in the IPO Gazette, the
patent shall cease to have effect, but no action for infringement
shall lie and no right compensation shall accrue for any use of the
patented invention before that day for the services of the
government. (Sec. 24, R.A. No. 165a)
SECTION 57. Correction of Mistakes of the Office. - The Director
shall have the power to correct, without fee, any mistake in a
patent incurred through the fault of the Office when clearly
disclosed in the records thereof, to make the patent conform to
the records. (Sec. 25, R.A. No. 165)
SECTION 58. Correction of Mistake in the Application. - On
request of any interested person and payment of the prescribed
fee, the Director is authorized to correct any mistake in a patent
of a formal and clerical nature, not incurred through the fault of
the Office. (Sec. 26, R.A. No. 165a)
SECTION 59. Changes in Patents. - 59.1. The owner of a patent
shall have the right to request the Bureau to make the changes in
the patent in order to:
(a) Limit the extent of the protection conferred by it;
(b) Correct obvious mistakes or to correct clerical errors; and
(c) Correct mistakes or errors, other than those referred to in
letter (b), made in good faith: Provided, That where the change
would result in a broadening of the extent of protection conferred
by the patent, no request may be made after the expiration of two
(2) years from the grant of a patent and the change shall not
affect the rights of any third party which has relied on the patent,
as published.
59.2. No change in the patent shall be permitted under this
section, where the change would result in the disclosure
contained in the patent going beyond the disclosure contained in
the application filed.
59.3. If, and to the extent to which the Office changes the patent
according to this section, it shall publish the same. (n)
SECTION 60. Form and Publication of Amendment. - An
amendment or correction of a patent shall be accomplished by a
certificate of such amendment or correction, authenticated by the
seal of the Office and signed by the Director, which certificate
shall be attached to the patent. Notice of such amendment or
correction shall be published in the IPO Gazette and copies of the
patent kept or furnished by the Office shall include a copy of the
certificate of amendment or correction. (Sec. 27, R.A. No. 165)
CHAPTER VI
Cancellation of Patents and Substitution of Patentee
SECTION 61. Cancellation of Patents. - 61.1. Any interested
person may, upon payment of the required fee, petition to cancel
the patent or any claim thereof, or parts of the claim, on any of
the following grounds:
(a) That what is claimed as the invention is not new or patentable;
(b) That the patent does not disclose the invention in a manner
sufficiently clear and complete for it to be carried out by any
person skilled in the art; or
(c) That the patent is contrary to public order or morality.
61.2. Where the grounds for cancellation relate to some of the
claims or parts of the claim, cancellation may be effected to such
extent only. (Secs. 28 and 29, R.A. No. 165a)
SECTION 62. Requirement of the Petition. - The petition for
cancellation shall be in writing, verified by the petitioner or by any
person in his behalf who knows the facts, specify the grounds
upon which it is based, include a statement of the facts to be
relied upon, and filed with the Office. Copies of printed
publications or of patents of other countries, and other supporting
documents mentioned in the petition shall be attached thereto,
together with the translation thereof in English, if not in the
English language. (Sec. 30, R.A. No. 165)
SECTION 63. Notice of Hearing. - Upon filing of a petition for
cancellation, the Director of Legal Affairs shall forthwith serve
notice of the filing thereof upon the patentee and all persons
having grants or licenses, or any other right, title or interest in and
to the patent and the invention covered thereby, as appears of
record in the Office, and of notice of the date of hearing thereon
on such persons and the petitioner. Notice of the filing of the
petition shall be published in the IPO Gazette. (Sec. 31, R.A. No.
165a)
SECTION 64. Committee of Three. - In cases involving highly
technical issues, on motion of any party, the Director of Legal
Affairs may order that the petition be heard and decided by a
committee composed of the Director of Legal Affairs as chairman
and two (2) members who have the experience or expertise in the
field of technology to which the patent sought to be cancelled
relates. The decision of the committee shall be appealable to the
Director General. (n)
SECTION 65. Cancellation of the Patent. - 65.1. If the Committee
finds that a case for cancellation has been proved, it shall order
the patent or any specified claim or claims thereof cancelled.
65.2. If the Committee finds that, taking into consideration the
amendment made by the patentee during the cancellation
proceedings, the patent and the invention to which it relates meet
the requirement of this Act, it may decide to maintain the patent
as amended: Provided, That the fee for printing of a new patent is
paid within the time limit prescribed in the Regulations.
65.3. If the fee for the printing of a new patent is not paid in due
time, the patent should be revoked.
65.4. If the patent is amended under Subsection 65.2 hereof, the
Bureau shall, at the same time as it publishes the mention of the
cancellation decision, publish the abstract, representative claims
and drawings indicating clearly what the amendments consist of.
(n)
SECTION 66. Effect of Cancellation of Patent or Claim. - The
rights conferred by the patent or any specified claim or claims
cancelled shall terminate. Notice of the cancellation shall be
published in the IPO Gazette. Unless restrained by the Director
General, the decision or order to cancel by Director of Legal
Affairs shall be immediately executory even pending appeal.
(Sec. 32, R.A. No. 165a)
CHAPTER VII
Remedies of a Person with a Right to a Patent
SECTION 67. Patent Application by Persons Not Having the
Right to a Patent. - 67.1. If a person referred to in Section 29
other than the applicant, is declared by final court order or
decision as having the right to the patent, such person may,
within three (3) months after the decision has become final:
(a) Prosecute the application as his own application in place of
the applicant;
(b) File a new patent application in respect of the same invention;
(c) Request that the application be refused; or
(d) Seek cancellation of the patent, if one has already been
issued.
67.2. The provisions of Subsection 38.2 shall apply mutatis
mutandis to a new application filed under Subsection 67.1(b). (n)
SECTION 68. Remedies of the True and Actual Inventor. - If a
person, who was deprived of the patent without his consent or
through fraud is declared by final court order or decision to be the
true and actual inventor, the court shall order for his substitution
as patentee, or at the option of the true inventor, cancel the
patent, and award actual and other damages in his favor if
warranted by the circumstances. (Sec. 33, R.A. No. 165a)
SECTION 69. Publication of the Court Order. - The court shall
furnish the Office a copy of the order or decision referred to in
Sections 67 and 68, which shall be published in the IPO Gazette
within three (3) months from the date such order or decision
became final and executory, and shall be recorded in the register
of the Office. (n)
SECTION 70. Time to File Action in Court. - The actions indicated
in Sections 67 and 68 shall be filed within one (1) year from the
date of publication made in accordance with Sections 44 and 51,
respectively. (n)
CHAPTER VIII
Rights of Patentees and Infringement of Patents
SECTION 71. Rights Conferred by Patent. - 71.1. A patent shall
confer on its owner the following exclusive rights:
(a) Where the subject matter of a patent is a product, to restrain,
prohibit and prevent any unauthorized person or entity from
making, using, offering for sale, selling or importing that product;
(b) Where the subject matter of a patent is a process, to restrain,
prevent or prohibit any unauthorized person or entity from using
the process, and from manufacturing, dealing in, using, selling or
offering for sale, or importing any product obtained directly or
indirectly from such process.
71.2. Patent owners shall also have the right to assign, or transfer
by succession the patent, and to conclude licensing contracts for
the same. (Sec. 37, R.A. No. 165a)
SECTION 72. Limitations of Patent Rights. - The owner of a
patent has no right to prevent third parties from performing,
without his authorization, the acts referred to in Section 71 hereof
in the following circumstances:
72.1. Using a patented product which has been put on the market
in the Philippines by the owner of the product, or with his express
consent, insofar as such use is performed after that product has
been so put on the said market: Provided, That, with regard to
drugs and medicines, the limitation on patent rights shall apply
after a drug or medicine has been introduced in the Philippines or
anywhere else in the world by the patent owner, or by any party
authorized to use the invention: Provided, further, That the right to
import the drugs and medicines contemplated in this section shall
be available to any government agency or any private third party;
72.2. Where the act is done privately and on a non-commercial
scale or for a non-commercial purpose: Provided, That it does not
significantly prejudice the economic interests of the owner of the
patent;
72.3. Where the act consists of making or using exclusively for
experimental use of the invention for scientific purposes or
educational purposes and such other activities directly related to
such scientific or educational experimental use;
72.4. In the case of drugs and medicines, where the act includes
testing, using, making or selling the invention including any data
related thereto, solely for purposes reasonably related to the
development and submission of information and issuance of
approvals by government regulatory agencies required under any
law of the Philippines or of another country that regulates the
manufacture, construction, use or sale of any product: Provided,
That, in order to protect the data submitted by the original patent
holder from unfair commercial use provided in Article 39.3 of the
Agreement on Trade-Related Aspects of Intellectual Property
Rights (TRIPS Agreement), the Intellectual Property Office, in
consultation with the appropriate government agencies, shall
issue the appropriate rules and regulations necessary therein not
later than one hundred twenty (120) days after the enactment of
this law;
72.5. Where the act consists of the preparation for individual
cases, in a pharmacy or by a medical professional, of a medicine
in accordance with a medical prescription or acts concerning the
medicine so prepared; and
72.6. 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. (Secs. 38 and 39, R.A.
No. 165a)
SECTION 73. Prior User. - 73.1. Notwithstanding Section 72
hereof, any prior user, who, in good faith was using the invention
or has undertaken serious preparations to use the invention in his
enterprise or business, before the filing date or priority date of the
application on which a patent is granted, shall have the right to
continue the use thereof as envisaged in such preparations within
the territory where the patent produces its effect.
73.2. The right of the prior user may only be transferred or
assigned together with his enterprise or business, or with that part
of his enterprise or business in which the use or preparations for
use have been made. (Sec. 40, R.A. No. 165a)
SECTION 74. Use of Invention by Government. - 74.1. A
Government agency or third person authorized by the
Government may exploit the invention even without agreement of
the patent owner where:
(a) The public interest, in particular, national security, nutrition,
health or the development of other sectors, as determined by the
appropriate agency of the government, so requires; or
(b) A judicial or administrative body has determined that the
manner of exploitation, by the owner of the patent or his licensee
is anti-competitive; or
(c) In the case of drugs and medicines, there is a national
emergency or other circumstance of extreme urgency requiring
the use of the invention; or
(d) In the case of drugs and medicines, there is public non-
commercial use of the patent by the patentee, without satisfactory
reason; or
(e) In the case of drugs and medicines, the demand for the
patented article 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.
74.2. Unless otherwise provided herein, the use by the
Government, or third person authorized by the Government shall
be subject, where applicable, to the following provisions:
(a) In situations of national emergency or other circumstances of
extreme urgency as provided under Section 74.1(c), the right
holder shall be notified as soon as reasonably practicable;
(b) In the case of public non-commercial use of the patent by the
patentee, without satisfactory reason, as provided under Section
74.1 (d), the right holder shall be informed promptly: Provided,
That, the Government or third person authorized by the
Government, without making a patent search, knows or has
demonstrable ground to know that a valid patent is or will be used
by or for the Government;
(c) If the demand for the patented article in the Philippines is not
being met to an adequate extent and on reasonable terms as
provided under Section 74.1 (e), the right holder shall be informed
promptly;
(d) The scope and duration of such use shall be limited to the
purpose for which it was authorized;
(e) Such use shall be non-exclusive;
(f) The right holder shall be paid adequate remuneration in the
circumstances of each case, taking into account the economic
value of the authorization; and
(g) The existence of a national emergency or other circumstances
of extreme urgency, referred to under Section 74.1 (c), shall be
subject to the determination of the President of the Philippines for
the purpose of determining the need for such use or other
exploitation, which shall be immediately executory.
74.3. All cases arising from the implementation of this provision
shall be cognizable by courts with appropriate jurisdiction
provided by law.
No court, except the Supreme Court of the Philippines, shall issue
any temporary restraining order or preliminary injunction or such
other provisional remedies that will prevent its immediate
execution.
74.4. The Intellectual Property Office (IPO), in consultation with
the appropriate government agencies, shall issue the appropriate
implementing rules and regulations for the use or exploitation of
patented inventions as contemplated in this section within one
hundred twenty (120) days after the effectivity of this law.
SECTION 75. Extent of Protection and Interpretation of Claims. -
75.1. The extent of protection conferred by the patent shall be
determined by the claims, which are to be interpreted in the light
of the description and drawings.
75.2. For the purpose of determining the extent of protection
conferred by the patent, due account shall be taken of elements
which are equivalent to the elements expressed in the claims, so
that a claim shall be considered to cover not only all the elements
as expressed therein, but also equivalents. (n)
SECTION 76. Civil Action for Infringement. - 76.1. The making,
using, offering for sale, selling, or importing a patented product or
a product obtained directly or indirectly from a patented process,
or the use of a patented process without the authorization of the
patentee constitutes patent infringement: Provided, That, this
shall not apply to instances covered by Sections 72.1 and 72.4
(Limitations of Patent Rights); Section 74 (Use of Invention by
Government); Section 93.6 (Compulsory Licensing); and Section
93-A (Procedures on Issuance of a Special Compulsory License
under the TRIPS Agreement) of this Code.
76.2. Any patentee, or anyone possessing any right, title or
interest in and to the patented invention, whose rights have been
infringed, may bring a civil action before a court of competent
jurisdiction, to recover from the infringer such damages sustained
thereby, plus attorney’s fees and other expenses of litigation, and
to secure an injunction for the protection of his rights.
76.3. If the damages are inadequate or cannot be readily
ascertained with reasonable certainty, the court may award by
way of damages a sum equivalent to reasonable royalty.
76.4. The court may, according to the circumstances of the case,
award damages in a sum above the amount found as actual
damages sustained: Provided, That the award does not exceed
three (3) times the amount of such actual damages.
76.5. The court may, in its discretion, order that the infringing
goods, materials and implements predominantly used in the
infringement be disposed of outside the channels of commerce or
destroyed, without compensation.
76.6. Anyone who actively induces the infringement of a patent or
provides the infringer with a component of a patented product or
of a product produced because of a patented process knowing it
to be especially adopted for infringing the patented invention and
not suitable for substantial non-infringing use shall be liable as a
contributory infringer and shall be jointly and severally liable with
the infringer. (Sec. 42, R.A. No. 165a)
SECTION 77. Infringement Action by a Foreign National. - Any
foreign national or juridical entity who meets the requirements of
Section 3 and not engaged in business in the Philippines, to
which a patent has been granted or assigned under this Act, may
bring an action for infringement of patent, whether or not it is
licensed to do business in the Philippines under existing law.
(Sec. 41-A, R.A. No. 165a)
SECTION 78. Process Patents; Burden of Proof. - If the subject
matter of a patent is a process for obtaining a product, any
identical product shall be presumed to have been obtained
through the use of the patented process if the product is new or
there is substantial likelihood that the identical product was made
by the process and the owner of the patent has been unable
despite reasonable efforts, to determine the process actually
used. In ordering the defendant to prove that the process to
obtain the identical product is different from the patented process,
the court shall adopt measures to protect, as far as practicable,
his manufacturing and business secrets. (n)
SECTION 79. Limitation of Action for Damages. - No damages
can be recovered for acts of infringement committed more than
four (4) years before the institution of the action for infringement.
(Sec. 43, R.A. No. 165)
SECTION 80. Damages; Requirement of Notice. - Damages
cannot be recovered for acts of infringement committed before
the infringer had known, or had reasonable grounds to know of
the patent. It is presumed that the infringer had known of the
patent if on the patented product, or on the container or package
in which the article is supplied to the public, or on the advertising
material relating to the patented product or process, are placed
the words “Philippine Patent” with the number of the patent. (Sec.
44, R.A. No. 165a)
SECTION 81. Defenses in Action for Infringement. - In an action
for infringement, the defendant, in addition to other defenses
available to him, may show the invalidity of the patent, or any
claim thereof, on any of the grounds on which a petition of
cancellation can be brought under Section 61 hereof. (Sec. 45,
R.A. No. 165)
SECTION 82. Patent Found Invalid May be Cancelled. - In an
action for infringement, if the court shall find the patent or any
claim to be invalid, it shall cancel the same, and the Director of
Legal Affairs upon receipt of the final judgment of cancellation by
the court, shall record that fact in the register of the Office and
shall publish a notice to that effect in the IPO Gazette. (Sec. 46,
R.A. No. 165a)
SECTION 83. Assessor in Infringement Action. - 83.1. Two (2) or
more assessors may be appointed by the court. The assessors
shall be possessed of the necessary scientific and technical
knowledge required by the subject matter in litigation. Either party
may challenge the fitness of any assessor proposed for
appointment.
83.2. Each assessor shall receive a compensation in an amount
to be fixed by the court and advanced by the complaining party,
which shall be awarded as part of his costs should he prevail in
the action. (Sec. 47, R.A. No. 165a)
SECTION 84. Criminal Action for Repetition of Infringement. - If
infringement is repeated by the infringer or by anyone in
connivance with him after finality of the judgment of the court
against the infringer, the offenders shall, without prejudice to the
institution of a civil action for damages, be criminally liable
therefor and, upon conviction, shall suffer imprisonment for the
period of not less than six (6) months but not more than three (3)
years and/or a fine of not less than One hundred thousand pesos
(P100,000) but not more than Three hundred thousand pesos
(P300,000), at the discretion of the court. The criminal action
herein provided shall prescribe in three (3) years from date of the
commission of the crime. (Sec. 48, R.A. No. 165a)
CHAPTER IX
Voluntary Licensing
SECTION 85. Voluntary License Contract. - To encourage the
transfer and dissemination of technology, prevent or control
practices and conditions that may in particular cases constitute an
abuse of intellectual property rights having an adverse effect on
competition and trade, all technology transfer arrangements shall
comply with the provisions of this Chapter. (n)
SECTION 86. Jurisdiction to Settle Disputes on Royalties. - The
Director of the Documentation, Information and Technology
Transfer Bureau shall exercise quasi-judicial jurisdiction in the
settlement of disputes between parties to a technology transfer
arrangement arising from technology transfer payments, including
the fixing of appropriate amount or rate of royalty. (n)
SECTION 87. Prohibited Clauses. - Except in cases under
Section 91, the following provisions shall be deemed prima facie
to have an adverse effect on competition and trade:
87.1. Those which impose upon the licensee the obligation to
acquire from a specific source capital goods, intermediate
products, raw materials, and other technologies, or of
permanently employing personnel indicated by the licensor;
87.2. Those pursuant to which the licensor reserves the right to
fix the sale or resale prices of the products manufactured on the
basis of the license;
87.3. Those that contain restrictions regarding the volume and
structure of production;
87.4. Those that prohibit the use of competitive technologies in a
non-exclusive technology transfer agreement;
87.5. Those that establish a full or partial purchase option in favor
of the licensor;
87.6. Those that obligate the licensee to transfer for free to the
licensor the inventions or improvements that may be obtained
through the use of the licensed technology;
87.7. Those that require payment of royalties to the owners of
patents for patents which are not used;
87.8. Those that prohibit the licensee to export the licensed
product unless justified for the protection of the legitimate interest
of the licensor such as exports to countries where exclusive
licenses to manufacture and/or distribute the licensed product(s)
have already been granted;
87.9. Those which restrict the use of the technology supplied after
the expiration of the technology transfer arrangement, except in
cases of early termination of the technology transfer arrangement
due to reason(s) attributable to the licensee;
87.10. Those which require payments for patents and other
industrial property rights after their expiration, termination
arrangement;
87.11. Those which require that the technology recipient shall not
contest the validity of any of the patents of the technology
supplier;
87.12. Those which restrict the research and development
activities of the licensee designed to absorb and adapt the
transferred technology to local conditions or to initiate research
and development programs in connection with new products,
processes or equipment;
87.13. Those which prevent the licensee from adapting the
imported technology to local conditions, or introducing innovation
to it, as long as it does not impair the quality standards prescribed
by the licensor;
87.14. Those which exempt the licensor for liability for non-
fulfilment 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
87.15. Other clauses with equivalent effects. (Sec. 33-C (2), RA
165a)
SECTION 88. Mandatory Provisions. - The following provisions
shall be included in voluntary license contracts:
88.1. That the laws of the Philippines shall govern the
interpretation of the same and in the event of litigation, the venue
shall be the proper court in the place where the licensee has its
principal office;
88.2. Continued access to improvements in techniques and
processes related to the technology shall be made available
during the period of the technology transfer arrangement;
88.3. In the event the technology transfer arrangement shall
provide for arbitration, the Procedure of Arbitration of the
Arbitration Law of the Philippines or the Arbitration Rules of the
United Nations Commission on International Trade Law
(UNCITRAL) or the Rules of Conciliation and Arbitration of the
International Chamber of Commerce (ICC) shall apply and the
venue of arbitration shall be the Philippines or any neutral
country; and
88.4. The Philippine taxes on all payments relating to the
technology transfer arrangement shall be borne by the licensor.
(n)
SECTION 89. Rights of Licensor. - In the absence of any
provision to the contrary in the technology transfer arrangement,
the grant of a license shall not prevent the licensor from granting
further licenses to third person nor from exploiting the subject
matter of the technology transfer arrangement himself. (Sec. 33-
B, R.A. 165a)
SECTION 90. Rights of Licensee. - The licensee shall be entitled
to exploit the subject matter of the technology transfer
arrangement during the whole term of the technology transfer
arrangement. (Sec. 33-C (1), R.A. 165a)
SECTION 91. Exceptional Cases. - In exceptional or meritorious
cases where substantial benefits will accrue to the economy,
such as high technology content, increase in foreign exchange
earnings, employment generation, regional dispersal of industries
and/or substitution with or use of local raw materials, or in the
case of Board of Investments, registered companies with pioneer
status, exemption from any of the above requirements may be
allowed by the Documentation, Information and Technology
Transfer Bureau after evaluation thereof on a case by case basis.
(n)
SECTION 92. Non-Registration with the Documentation,
Information and Technology Transfer Bureau. - Technology
transfer arrangements that conform with the provisions of
Sections 86 and 87 need not be registered with the
Documentation, Information and Technology Transfer Bureau.
Non-conformance with any of the provisions of Sections 87 and
88, however, shall automatically render the technology transfer
arrangement unenforceable, unless said technology transfer
arrangement is approved and registered with the Documentation,
Information and Technology Transfer Bureau under the
provisions of Section 91 on exceptional cases. (n)
CHAPTER X
Compulsory Licensing
SECTION 93. Grounds for 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:
93.1. National emergency or other circumstances of extreme
urgency;
93.2. Where the public interest, in particular, national security,
nutrition, health or the development of other vital sectors of the
national economy as determined by the appropriate agency of the
Government, so requires; or
93.3. Where a judicial or administrative body has determined that
the manner of exploitation by the owner of the patent or his
licensee is anti-competitive; or
93.4. In case of public non-commercial use of the patent by the
patentee, without satisfactory reason;
93.5. If the patented invention is not being worked in the
Philippines on a commercial scale, although capable of being
worked, without satisfactory reason: Provided, That the
importation of the patented article shall constitute working or
using the patent. (Secs. 34, 34-A, 34-B, R.A. No. 165a) and
93.6. 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.
SECTION 93-A. Procedures on Issuance of a Special
Compulsory License under the TRIPS Agreement. - 93-A.1. 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.
The grant of a special compulsory license under this provision
shall be an exception to Sections 100.4 and 100.6 of Republic Act
No. 8293 and shall be immediately executory.
No court, except the Supreme Court of the Philippines, shall issue
any temporary restraining order or preliminary injunction or such
other provisional remedies that will prevent the grant of the
special compulsory license.
93-A.2. A compulsory license shall also be available for the
manufacture and export of drugs and medicines to any country
having insufficient or no manufacturing capacity in the
pharmaceutical sector to address public health problems:
Provided, That, a compulsory license has been granted by such
country or such country has, by notification or otherwise, allowed
importation into its jurisdiction of the patented drugs and
medicines from the Philippines in compliance with the TRIPS
Agreement.
93-A.3. The right to grant a special compulsory license under this
section shall not limit or prejudice the rights, obligations and
flexibilities provided under the TRIPS Agreement and under
Philippine laws, particularly Section 72.1 and Section 74 of the
Intellectual Property Code, as amended under this Act. It is also
without prejudice to the extent to which drugs and medicines
produced under a compulsory license can be exported as allowed
in the TRIPS Agreement and applicable laws.
SECTION 94. Period for Filing a Petition for a Compulsory
License. - 94.1. A compulsory license may not be applied for on
the ground stated in Subsection 93.5 before the expiration of a
period of four (4) years from the date of filing of the application or
three (3) years from the date of the patent whichever period
expires last.
94.2. A compulsory license which is applied for on any of the
grounds stated in Subsections 93.2, 93.3, 93.4, and 93.6 and
Section 97 may be applied for at any time after the grant of the
patent. (Sec. 34(1), R.A. No. 165)
SECTION 95. Requirement to Obtain a License on Reasonable
Commercial Terms. - 95.1. 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.
95.2. The requirement under Subsection 95.1 shall not apply in
any of the following cases:
(a) Where the petition for compulsory license seeks to remedy a
practice determined after judicial or administrative process to be
anti-competitive;
(b) In situations of national emergency or other circumstances of
extreme urgency;
(c) In cases of public non-commercial use; and
(d) 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.
95.3. In situations of national emergency or other circumstances
of extreme urgency, the right holder shall be notified as soon as
reasonably practicable.
95.4. In the case of public non-commercial use, where the
government or contractor, without making a patent search, knows
or has demonstrable grounds to know that a valid patent is or will
be used by or for the government, the right holder shall be
informed promptly. (n)
95.5. 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, the right holder shall be informed promptly.
SECTION 96. Compulsory Licensing of Patents Involving Semi-
Conductor Technology. - In the case of compulsory licensing of
patents involving semi-conductor technology, the license may
only be granted in case of public non-commercial use or to
remedy a practice determined after judicial or administrative
process to be anti-competitive. (n)
SECTION 97. Compulsory License Based on Interdependence of
Patents. - If the invention protected by a patent, hereafter referred
to as the “second patent,” within the country cannot be worked
without infringing another patent, hereafter referred to as the “first
patent,” granted on a prior application or benefiting from an earlier
priority, a compulsory license may be granted to the owner of the
second patent to the extent necessary for the working of his
invention, subject to the following conditions:
97.1. The invention claimed in the second patent involves an
important technical advance of considerable economic
significance in relation to the first patent;
97.2. The owner of the first patent shall be entitled to a cross-
license on reasonable terms to use the invention claimed in the
second patent;
97.3. The use authorized in respect of the first patent shall be
non-assignable except with the assignment of the second patent;
and
97.4. The terms and conditions of Sections 95, 96 and 98 to 100
of this Act. (Sec. 34-C, R.A. No. 165a)
SECTION 98. Form and Contents of Petition. - The petition for
compulsory licensing must be in writing, verified by the petitioner
and accompanied by payment of the required filing fee. It shall
contain the name and address of the petitioner as well as those of
the respondents, the number and date of issue of the patent in
connection with which compulsory license is sought, the name of
the patentee, the title of the invention, the statutory grounds upon
which compulsory license is sought, the ultimate facts constituting
the petitioner’s cause of action, and the relief prayed for. (Sec.
34-D, R.A. No. 165)
SECTION 99. Notice of Hearing. - 99.1. Upon filing of a petition,
the Director of Legal Affairs shall forthwith serve notice of the
filing thereof upon the patent owner and all persons having grants
or licenses, or any other right, title or interest in and to the patent
and invention covered thereby as appears of record in the Office,
and of notice of the date of hearing thereon, on such persons and
petitioner. The resident agent or representative appointed in
accordance with Section 33 hereof, shall be bound to accept
service of notice of the filing of the petition within the meaning of
this Section.
99.2. In every case, the notice shall be published by the said
Office in a newspaper of general circulation, once a week for
three (3) consecutive weeks and once in the IPO Gazette at
applicant’s expense. (Sec. 34-E, R.A. No. 165)
SECTION 100. Terms and Conditions of Compulsory License. -
The basic terms and conditions including the rate of royalties of a
compulsory license shall be fixed by the Director of Legal Affairs
subject to the following conditions:
100.1. The scope and duration of such license shall be limited to
the purpose for which it was authorized;
100.2. The license shall be non-exclusive;
100.3. The license shall be non-assignable, except with that part
of the enterprise or business with which the invention is being
exploited;
100.4. Use of the subject matter of the license shall be devoted
predominantly for the supply of the Philippine market: Provided,
That this limitation shall not apply where the grant of the license is
based on the ground that the patentee’s manner of exploiting the
patent is determined by judicial or administrative process, to be
anti-competitive.
100.5. The license may be terminated upon proper showing that
circumstances which led to its grant have ceased to exist and are
unlikely to recur: Provided, That adequate protection shall be
afforded to the legitimate interest of the licensee; and
100.6. The patentee shall be paid adequate remuneration taking
into account the economic value of the grant or authorization,
except that in cases where the license was granted to remedy a
practice which was determined after judicial or administrative
process, to be anti-competitive, the need to correct the anti-
competitive practice may be taken into account in fixing the
amount of remuneration. (Sec. 35-B, R.A. No. 165a)
SECTION 101. Amendment, Cancellation, Surrender of
Compulsory License. - 101.1. Upon the request of the patentee or
the licensee, the Director of Legal Affairs may amend the decision
granting the compulsory license, upon proper showing of new
facts or circumstances justifying such amendment.
101.2. Upon the request of the patentee, the said 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;
101.3. The licensee may surrender the license by a written
declaration submitted to the Office.
101.4. The said Director shall cause the amendment, surrender,
or cancellation in the Register, notify the patentee, and/or the
licensee, and cause notice thereof to be published in the IPO
Gazette. (Sec. 35-D, R.A. No. 165a)
SECTION 102. Licensee’s Exemption from Liability. - Any person
who works a patented product, substance and/or process under a
license granted under this Chapter, shall be free from any liability
for infringement: Provided, however, That in the case of voluntary
licensing, no collusion with the licensor is proven. This is without
prejudice to the right of the rightful owner of the patent to recover
from the licensor whatever he may have received as royalties
under the license. (Sec. 35-E, R.A. No. 165a)
CHAPTER XI
Assignment and Transmission of Rights
SECTION 103. Transmission of Rights. - 103.1. 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.
103.2. Inventions and any right, title or interest in and to patents
and inventions covered thereby, may be assigned or transmitted
by inheritance or bequest or may be the subject of a license
contract. (Sec. 50, R.A. No. 165a)
SECTION 104. Assignment of Inventions. - An assignment may
be of the entire right, title or interest in and to the patent and the
invention covered thereby, or of an undivided share of the entire
patent and invention, in which event the parties become joint
owners thereof. An assignment may be limited to a specified
territory. (Sec. 51, R.A. No. 165)
SECTION 105. Form of Assignment. - The assignment must be in
writing, acknowledged before a notary public or other officer
authorized to administer oath or perform notarial acts, and
certified under the hand and official seal of the notary or such
other officer. (Sec. 52, R.A. No. 165)
SECTION 106. Recording. - 106.1. The Office shall record
assignments, licenses and other instruments relating to the
transmission of any right, title or interest in and to inventions, and
patents or application for patents or inventions to which they
relate, which are presented in due form to the Office for
registration, in books and records kept for the purpose. The
original documents together with a signed duplicate thereof shall
be filed, and the contents thereof should be kept confidential. If
the original is not available, an authenticated copy thereof in
duplicate may be filed. Upon recording, the Office shall retain the
duplicate, return the original or the authenticated copy to the party
who filed the same and notice of the recording shall be published
in the IPO Gazette.
106.2. Such instruments shall be void as against any subsequent
purchaser or mortgagee for valuable consideration and without
notice, unless, it is so recorded in the Office, within three (3)
months from the date of said instrument, or prior to the
subsequent purchase or mortgage. (Sec. 53, R.A. No. 165a)
SECTION 107. Rights of Joint Owners. - If two (2) or more
persons jointly own a patent and the invention covered thereby,
either by the issuance of the patent in their joint favor or by
reason of the assignment of an undivided share in the patent and
invention or by reason of the succession in title to such share,
each of the joint owners shall be entitled to personally make, use,
sell, or import the invention for his own profit: Provided, however,
That neither of the joint owners shall be entitled to grant licenses
or to assign his right, title or interest or part thereof without the
consent of the other owner or owners, or without proportionally
dividing the proceeds with such other owner or owners. (Sec. 54,
R.A. No. 165)
CHAPTER XII
Registration of Utility Models
SECTION 108. Applicability of Provisions Relating to Patents. -
108.1. Subject to Section 109, the provisions governing patents
shall apply, mutatis mutandis, to the registration of utility models.
108.2. Where the right to a patent conflicts with the right to a
utility model registration in the case referred to in Section 29, the
said provision shall apply as if the word “patent” were replaced by
the words “patent or utility model registration”. (Sec. 55, R.A. No.
165a)
SECTION 109. Special Provisions Relating to Utility Models. -
109.1. (a) An invention qualifies for registration as a utility model
if it is new and industrially applicable.
(b) Section 21, “Patentable Inventions”, shall apply except the
reference to inventive step as a condition of protection.
109.2. Sections 43 to 49 shall not apply in the case of
applications for registration of a utility model.
109.3. A utility model registration shall expire, without any
possibility of renewal, at the end of the seventh year after the
date of the filing of the application.
109.4. In proceedings under Sections 61 to 64, the utility model
registration shall be canceled on the following grounds:
(a) That the claimed invention does not qualify for registration as
a utility model and does not meet the requirements of
registrability, in particular having regard to Subsection 109.1 and
Sections 22, 23, 24 and 27;
(b) That the description and the claims do not comply with the
prescribed requirements;
(c) That any drawing which is necessary for the understanding of
the invention has not been furnished;
(d) That the owner of the utility model registration is not the
inventor or his successor in title. (Secs. 55, 56, and 57, R.A. No.
165a)
SECTION 110. Conversion of Patent Applications or Applications
for Utility Model Registration. - 110.1. At any time before the grant
or refusal of a patent, an applicant for a patent may, upon
payment of the prescribed fee, convert his application into an
application for registration of a utility model, which shall be
accorded the filing date of the initial application. An application
may be converted only once.
110.2. At any time before the grant or refusal of a utility model
registration, an applicant for a utility model registration may, upon
payment of the prescribed fee, convert his application into a
patent application, which shall be accorded the filing date of the
initial application. (Sec. 58, R.A. No. 165a)
SECTION 111. Prohibition Against Filing of Parallel Applications.
- An applicant may not file two (2) applications for the same
subject, one for utility model registration and the other for the
grant of a patent whether simultaneously or consecutively. (Sec.
59, R.A. No. 165a)
CHAPTER XIII
Industrial Design and Layout-Designs (Topographies) of
Integrated Circuits
SECTION 112. Definition of Terms:
1. An Industrial Design is any composition of lines or colors or
any three-dimensional form, whether or not associated with lines
or colors: Provided, That such composition or form gives a
special appearance to and can serve as pattern for an industrial
product or handicraft;
2. Integrated Circuit means a product, in its final form, or an
intermediate form, in which the elements, at least one of which is
an active element, and some or all of the interconnections are
integrally formed in and/or on a piece of material, and which is
intended to perform an electronic function; and
3. Layout-Design is synonymous with ‘Topography’ and means
the three-dimensional disposition, however expressed, of the
elements, at least one of which is an active element, and of some
or all of the interconnections of an integrated circuit, or such a
three-dimensional disposition prepared for an integrated circuit
intended for manufacture.
SECTION 113. Substantive Conditions for Protection. - 113.1.
Only industrial designs that are new or ornamental shall benefit
from protection under this Act.
113.2. Industrial designs dictated essentially by technical or
functional considerations to obtain a technical result or those that
are contrary to public order, health or morals shall not be
protected.
113.3. Only layout-designs of integrated circuits that are original
shall benefit from protection under this Act. A layout-design shall
be considered original if it is the result of its creator’s own
intellectual effort and is not commonplace among creators of
layout-designs and manufacturers of integrated circuits at the
time of its creation.
113.4. A layout-design consisting of a combination of elements
and interconnections that are commonplace shall be protected
only if the combination, taken as a whole, is original.
SECTION 114. Contents of the Application. - 114.1. Every
application for registration of an industrial design or layout-design
shall contain:
(a) A request for registration of the industrial design or layout-
design;
(b) Information identifying the applicant;
(c) An indication of the kind of article of manufacture or handicraft
to which the industrial design or layout-design shall be applied;
(d) A representation of the article of manufacture or handicraft by
way of drawings, photographs or adequate graphic representation
of the industrial design or of the layout-design as applied to the
article of manufacture or handicraft which clearly and fully
discloses those features for which protection is claimed; and
(e) The name and address of the creator, or where the applicant
is not the creator, a statement indicating the origin of the right to
the industrial design or layout-design registration.
114.2. The application may be accompanied by a specimen of the
article embodying the industrial design or layout-design and shall
be subject to the payment of the prescribed fee.
SECTION 115. Several Industrial Designs in One Application. -
Two (2) or more industrial designs may be the subject of the
same application: Provided, That they relate to the same sub-
class of the International Classification or to the same set or
composition of articles. (n)
SECTION 116. Examination. - 116.1. The Office shall accord as
the filing date the date of receipt of the application containing
indications allowing the identity of the applicant to be established
and a representation of the article embodying the industrial
design or the layout-design or a pictorial representation thereof.
116.2. If the application does not meet these requirements, the
filing date should be that date when all the elements specified in
Sec. 114 are filed or the mistakes corrected. Otherwise, if the
requirements are not complied within the prescribed period, the
application shall be considered withdrawn.
116.3. After the application has been accorded a filing date and
the required fees paid on time, the applicant shall comply with the
requirements of Sec. 114 within the prescribed period, otherwise
the application shall be considered withdrawn.
116.4. The Office shall examine whether the industrial design or
layout-design complies with requirements of Sec. 112
(Definitions) and Sec. 113 (Substantive Conditions for
Protection).
SECTION 117. Registration. - 117.1. Where the Office finds that
the conditions referred to in Sec. 113 are fulfilled, it shall order
that registration be effected in the industrial design or layout-
design register and cause the issuance of an industrial design or
layout-design certificate of registration; otherwise, it shall refuse
the application.
117.2. The form and contents of an industrial design or layout-
design certificate shall be established by the Regulations:
Provided, That the name and address of the creator shall be
mentioned in every case.
117.3. Registration shall be published in the form and within the
period fixed by the Regulations.
117.4. The Office shall record in the register any change in the
identity of the proprietor of the industrial design or layout-design
or his representative, if proof thereof is furnished to it. A fee shall
be paid, with the request to record the change in the identity of
the proprietor. If the fee is not paid, the request shall be deemed
not to have been filed. In such case, the former proprietor and the
former representative shall remain subject to the rights and
obligations as provided in this Act.
117.5. Anyone may inspect the Register and the files of
registered industrial designs or layout-designs including files of
cancellation proceedings.
SECTION 118. The Term of Industrial Design or Layout-Design
Registration. - 118.1. The registration of an industrial design shall
be for a period of five (5) years from the filing date of the
application.
118.2. The registration of an industrial design may be renewed for
not more than two (2) consecutive periods of five (5) years each,
by paying the renewal fee.
118.3. The renewal fee shall be paid within twelve (12) months
preceding the expiration of the period of registration. However, a
grace period of six (6) months shall be granted for payment of the
fees after such expiration, upon payment of a surcharge.
118.4. The Regulations shall fix the amount of renewal fee, the
surcharge and other requirements regarding the recording of
renewals of registration.
118.5. Registration of a layout-design shall be valid for a period of
ten (10) years, without renewal, and such validity to be counted
from the date of commencement of the protection accorded to the
layout-design. The protection of a layout-design under this Act
shall commence:
a) on the date of the first commercial exploitation, anywhere in
the world, of the layout-design by or with the consent of the right
holder: Provided, That an application for registration is filed with
the Intellectual Property Office within two (2) years from such
date of first commercial exploitation; or
b) on the filing date accorded to the application for the registration
of the layout-design if the layout-design has not been previously
exploited commercially anywhere in the world.
SECTION 119. Application of Other Sections and Chapters. -
119.1. The following provisions relating to patents shall apply
mutatis mutandis to an industrial design registration:
SECTION 21 - Novelty;
SECTION 24 - Prior art: Provided, That the disclosure is
contained in printed documents or in any tangible form;
SECTION 25 - Non-prejudicial Disclosure,
SECTION 28 - Right to a Patent;
SECTION 29 - First to File Rule;
SECTION 30 - Inventions Created Pursuant to a Commission;
SECTION 31 - Right of Priority: Provided, That the application for
industrial design shall be filed within six (6) months from the
earliest filing date of the corresponding foreign application;
SECTION 33 - Appointment of Agent or Representative;
SECTION 51 - Refusal of the Application;
SECTIONS 56 to 60 — Surrender, Correction of and Changes in
Patent;
CHAPTER VII - Remedies of a Person with a Right to Patent;
CHAPTER VIII - Rights of Patentees and Infringement of Patents;
and
CHAPTER XI - Assignment and Transmission of Rights.
119.2. If the essential elements of an industrial design which is
the subject of an application have been obtained from the
creation of another person without his consent, protection under
this Chapter cannot be invoked against the injured party.
119.3. The following provisions relating to patents shall apply
mutatis mutandis to a layout-design of integrated circuits
registration:
SECTION 28 - Right to a Patent;
SECTION 29 - First to File Rule;
SECTION 30 - Inventions Created Pursuant to a Commission;
SECTION 33 - Appointment of Agent or Representative;
SECTION 56 - Surrender of Patent;
SECTION 57 - Correction of Mistakes of the Office;
SECTION 58 - Correction of Mistakes in the Application;
SECTION 59 - Changes in Patents;
SECTION 60 - Form and Publication of Amendment;
CHAPTER VII - Remedies of a Person with a Right to Patent;
CHAPTER VIII - Rights of Patentees and Infringement of Patents:
Provided, That the layout-design rights and limitation of layout-
design rights provided hereunder shall govern;
CHAPTER X - Compulsory Licensing;
CHAPTER XI — Assignment and Transmission of Rights
119.4. Rights Conferred to the Owner of a Layout-Design
Registration. - The owner of a layout-design registration shall
enjoy the following rights:
(1) to reproduce, whether by incorporation in an integrated circuit
or otherwise, the registered layout-design in its entirety or any
part thereof, except the act of reproducing any part that does not
comply with the requirement of originality; and
(2) to sell or otherwise distribute for commercial purposes the
registered layout-design, an article or an integrated circuit in
which the registered layout-design is incorporated.
119.5. Limitations of Layout Rights. - The owner of a layout
design has no right to prevent third parties from reproducing,
selling or otherwise distributing for commercial purposes the
registered layout-design in the following circumstances:
(1) Reproduction of the registered layout-design for private
purposes or for the sole purpose of evaluation, analysis, research
or teaching;
(2) Where the act is performed in respect of a layout-design
created on the basis of such analysis or evaluation and which is
itself original in the meaning as provided herein;
(3) Where the act is performed in respect of a registered layout- 120.2. Where the grounds for cancellation relate to a part of the
design, or in respect of an integrated circuit in which such a industrial design, cancellation may be effected to such extent
layout-design is incorporated, that has been put on the market by only. The restriction may be effected in the form of an alteration of
or with the consent of the right holder; the effected features of the design.

(4) In respect of an integrated circuit where the person performing 120.3. Grounds for Cancellation of Layout-Design of Integrated
or ordering such an act did not know and had no reasonable Circuits. - Any interested person may petition that the registration
ground to know when acquiring the integrated circuit or the article of a layout-design be cancelled on the ground that:
incorporating such an integrated circuit, that it incorporated an
unlawfully reproduced layout-design: Provided, however, That (i) the layout-design is not protectable under this Act;
after the time that such person has received sufficient notice that
the layout-design was unlawfully reproduced, that person may (ii) the right holder is not entitled to protection under this Act; or
perform any of the said acts only with respect to the stock on
hand or ordered before such time and shall be liable to pay to the
(iii) where the application for registration of the layout-design, was
right holder a sum equivalent to at least 5% of net sales or such
not filed within two (2) years from its first commercial exploitation
other reasonable royalty as would be payable under a freely
anywhere in the world.
negotiated license in respect of such layout-design; or
Where the grounds for cancellation are established with respect
(5) Where the act is performed in respect of an identical layout
only to a part of the layout-design, only the corresponding part of
design which is original and has been created independently by a
the registration shall be cancelled.
third party.
Any cancelled layout-design registration or part thereof, shall be
SECTION 120. Cancellation of Design Registration. - 120.1. At
regarded as null and void from the beginning and may be
any time during the term of the industrial design registration, any
expunged from the records of the Intellectual Property Office.
person upon payment of the required fee, may petition the
Reference to all cancelled layout-design registration shall be
Director of Legal Affairs to cancel the industrial design on any of
published in the IPO Gazette.
the following grounds:
PART III
(a) If the subject matter of the industrial design is not registerable
within the terms of Sections 112 and 113;
The Law on Trademarks, Service Marks and Trade Names
(b) If the subject matter is not new; or
SECTION 121. Definitions. - As used in Part III, the following
terms have the following meanings:
(c) If the subject matter of the industrial design extends beyond
the content of the application as originally filed.
121.1. “Mark” means any visible sign capable of distinguishing
the goods (trademark) or services (service mark) of an enterprise
and shall include a stamped or marked container of goods; (Sec.
38, R.A. No. 166a)
121.2. “Collective mark” means any visible sign designated as
such in the application for registration and capable of
distinguishing the origin or any other common characteristic,
including the quality of goods or services of different enterprises
which use the sign under the control of the registered owner of
the collective mark; (Sec. 40, R.A. No. 166a)
121.3. “Trade name” means the name or designation identifying
or distinguishing an enterprise; (Sec. 38, R.A. No. 166a)
121.4. “Bureau” means the Bureau of Trademarks;
121.5. “Director” means the Director of Trademarks;
121.6. “Regulations” means the Rules of Practice in Trademarks
and Service Marks formulated by the Director of Trademarks and
approved by the Director General; and
121.7. “Examiner” means the trademark examiner. (Sec. 38, R.A.
No. 166a)
SECTION 122. How Marks are Acquired. — The rights in a mark
shall be acquired through registration made validly in accordance
with the provisions of this law. (Sec. 2-A, R.A. No. 166a)
SECTION 123. Registrability. - 123.1. A mark cannot be
registered if it:
(a) Consists of immoral, deceptive or scandalous matter, or
matter which may disparage or falsely suggest a connection with
persons, living or dead, institutions, beliefs, or national symbols,
or bring them into contempt or disrepute;
(b) Consists of the flag or coat of arms or other insignia of the
Philippines or any of its political subdivisions, or of any foreign
nation, or any simulation thereof;
(c) Consists of a name, portrait or signature identifying a
particular living individual except by his written consent, or the
name, signature, or portrait of a deceased President of the
Philippines, during the life of his widow, if any, except by written
consent of the widow;
(d) Is identical with a registered mark belonging to a different
proprietor or a mark with an earlier filing or priority date, in
respect of:
(i) The same goods or services, or
(ii) Closely related goods or services, or
(iii) If it nearly resembles such a mark as to be likely to deceive or
cause confusion;
(e) 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;
(f) 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;
(g) Is likely to mislead the public, particularly as to the nature,
quality, characteristics or geographical origin of the goods or
services;
(h) Consists exclusively of signs that are generic for the goods or
services that they seek to identify;
(i) Consists exclusively of signs or of indications that have
become customary or usual to designate the goods or services in
everyday language or in bona fide and established trade practice;
(j) Consists exclusively of signs or of indications that may serve in
trade to designate the kind, quality, quantity, intended purpose,
value, geographical origin, time or production of the goods or
rendering of the services, or other characteristics of the goods or
services;
(k) Consists of shapes that may be necessitated by technical
factors or by the nature of the goods themselves or factors that
affect their intrinsic value;
(l) Consists of color alone, unless defined by a given form; or
(m) Is contrary to public order or morality.
123.2. As regards signs or devices mentioned in paragraphs (j),
(k), and (l), nothing shall prevent the registration of any such sign
or device which has become distinctive in relation to the goods for
which registration is requested as a result of the use that have
been made of it in commerce in the Philippines. The Office may
accept as prima facie evidence that the mark has become
distinctive, as used in connection with the applicant’s goods or
services in commerce, proof of substantially exclusive and
continuous use thereof by the applicant in commerce in the
Philippines for five (5) years before the date on which the claim of
distinctiveness is made.
123.3. The nature of the goods to which the mark is applied will
not constitute an obstacle to registration. (Sec. 4, R.A. No. 166a)
SECTION 124. Requirements of Application. - 124.1. The
application for the registration of the mark shall be in Filipino or in
English and shall contain the following:
(a) A request for registration;
(b) The name and address of the applicant;
(c) The name of a State of which the applicant is a national or
where he has domicile; and the name of a State in which the
applicant has a real and effective industrial or commercial
establishment, if any;
(d) Where the applicant is a juridical entity, the law under which it
is organized and existing;
(e) The appointment of an agent or representative, if the applicant
is not domiciled in the Philippines;
(f) Where the applicant claims the priority of an earlier application,
an indication of:
i) The name of the State with whose national office the earlier
application was filed or if filed with an office other than a national
office, the name of that office,
ii) The date on which the earlier application was filed, and
iii) Where available, the application number of the earlier
application;
(g) Where the applicant claims color as a distinctive feature of the
mark, a statement to that effect as well as the name or names of
the color or colors claimed and an indication, in respect of each
color, of the principal parts of the mark which are in that color;
(h) Where the mark is a three-dimensional mark, a statement to
that effect;
(i) One or more reproductions of the mark, as prescribed in the
Regulations;
(j) A transliteration or translation of the mark or of some parts of
the mark, as prescribed in the Regulations;
(k) The names of the goods or services for which the registration
is sought, grouped according to the classes of the Nice
Classification, together with the number of the class of the said
Classification to which each group of goods or services belongs;
and
(l) A signature by, or other self-identification of, the applicant or
his representative.
124.2. The applicant or the registrant shall file a declaration of
actual use of the mark with evidence to that effect, as prescribed
by the Regulations within three (3) years from the filing date of
the application. Otherwise, the application shall be refused or the
mark shall be removed from the Register by the Director.
124.3. One (1) application may relate to several goods and/or
services, whether they belong to one (1) class or to several
classes of the Nice Classification.
124.4. If during the examination of the application, the Office finds
factual basis to reasonably doubt the veracity of any indication or
element in the application, it may require the applicant to submit
sufficient evidence to remove the doubt. (Sec. 5, R.A. No. 166a)
SECTION 125. Representation; Address for Service. - If the
applicant is not domiciled or has no real and effective commercial
establishment in the Philippines, he shall designate by a written
document filed in the Office, the name and address of a
Philippine resident who may be served notices or process in
proceedings affecting the mark. Such notices or services may be
served upon the person so designated by leaving a copy thereof
at the address specified in the last designation filed. If the person
so designated cannot be found at the address given in the last
designation, such notice or process may be served upon the
Director. (Sec. 3, R.A. No. 166a)
SECTION 126. Disclaimers. - The Office may allow or require the
applicant to disclaim an unregistrable component of an otherwise
registrable mark but such disclaimer shall not prejudice or affect
the applicant’s or owner’s rights then existing or thereafter arising
in the disclaimed matter, nor such shall disclaimer prejudice or
affect the applicant’s or owner’s right on another application of
later date if the disclaimed matter became distinctive of the
applicant’s or owner’s goods, business or services. (Sec. 13, R.A.
No. 166a)
SECTION 127. Filing Date. - 127.1. Requirements. - The filing
date of an application shall be the date on which the Office
received the following indications and elements in English or
Filipino:
(a) An express or implicit indication that the registration of a mark
is sought;
(b) The identity of the applicant;
(c) Indications sufficient to contact the applicant or his
representative, if any;
(d) A reproduction of the mark whose registration is sought; and
(e) The list of the goods or services for which the registration is
sought.
127.2. No filing date shall be accorded until the required fee is
paid. (n)
SECTION 128. Single Registration for Goods and/or Services. -
Where goods and/or services belonging to several classes of the
Nice Classification have been included in one (1) application,
such an application shall result in one registration. (n)
SECTION 129. Division of Application. - Any application referring
to several goods or services, hereafter referred to as the “initial
application,” may be divided by the applicant into two (2) or more
applications, hereafter referred to as the “divisional applications,”
by distributing among the latter the goods or services referred to
in the initial application. The divisional applications shall preserve
the filing date of the initial application or the benefit of the right of
priority. (n)
SECTION 130. Signature and Other Means of Self-Identification.
- 130.1. Where a signature is required, the Office shall accept:
(a) A hand-written signature; or
(b) The use of other forms of signature, such as a printed or
stamped signature, or the use of a seal, instead of a hand-written
signature: Provided, That where a seal is used, it should be
accompanied by an indication in letters of the name of the
signatory.
130.2. The Office shall accept communications to it by telecopier,
or by electronic means subject to the conditions or requirements
that will be prescribed by the Regulations. When communications
are made by telefacsimile, the reproduction of the signature, or
the reproduction of the seal together with, where required, the
indication in letters of the name of the natural person whose seal
is used, appears. The original communications must be received
by the Office within thirty (30) days from date of receipt of the
telefacsimile.
130.3. No attestation, notarization, authentication, legalization or
other certification of any signature or other means of self-
identification referred to in the preceding paragraphs, will be
required, except, where the signature concerns the surrender of a
registration. (n)
SECTION 131. Priority Right. - 131.1. An application for
registration of a mark filed in the Philippines by a person referred
to in Section 3, and who previously duly filed an application for
registration of the same mark in one of those countries, shall be
considered as filed as of the day the application was first filed in
the foreign country.
131.2. No registration of a mark in the Philippines by a person
described in this section shall be granted until such mark has
been registered in the country of origin of the applicant.
131.3. Nothing in this section shall entitle the owner of a
registration granted under this section to sue for acts committed
prior to the date on which his mark was registered in this country:
Provided, That, notwithstanding the foregoing, the owner of a
well-known mark as defined in Section 123.1(e) of this Act, that is
not registered in the Philippines, may, against an identical or
confusingly similar mark, oppose its registration, or petition the
cancellation of its registration or sue for unfair competition,
without prejudice to availing himself of other remedies provided
for under the law.
131.4. In like manner and subject to the same conditions and
requirements, the right provided in this section may be based
upon a subsequent regularly filed application in the same foreign
country: Provided, That any foreign application filed prior to such
subsequent application has been withdrawn, abandoned, or
otherwise disposed of, without having been laid open to public
inspection and without leaving any rights outstanding, and has
not served, nor thereafter shall serve, as a basis for claiming a
right of priority. (Sec. 37, R.A. No. 166a)
SECTION 132. Application Number and Filing Date. - 132.1. The
Office shall examine whether the application satisfies the
requirements for the grant of a filing date as provided in Section
127 and Regulations relating thereto. If the application does not
satisfy the filing requirements, the Office shall notify the applicant
who shall within a period fixed by the Regulations complete or
correct the application as required, otherwise, the application
shall be considered withdrawn.
132.2 Once an application meets the filing requirements of
Section 127, it shall be numbered in the sequential order, and the
applicant shall be informed of the application number and the
filing date of the application will be deemed to have been
abandoned. (n)
SECTION 133. Examination and Publication. - 133.1. Once the
application meets the filing requirements of Section 127, the
Office shall examine whether the application meets the
requirements of Section 124 and the mark as defined in Section
121 is registrable under Section 123.
133.2. Where the Office finds that the conditions referred to in
Subsection 133.1 are fulfilled, it shall, upon payment of the
prescribed fee, forthwith cause the application, as filed, to be
published in the prescribed manner.
133.3. If after the examination, the applicant is not entitled to
registration for any reason, the Office shall advise the applicant
thereof and the reasons therefor. The applicant shall have a
period of four (4) months in which to reply or amend his
application, which shall then be re-examined. The Regulations
shall determine the procedure for the re-examination or revival of
an application as well as the appeal to the Director of Trademarks
from any final action by the Examiner.
133.4. An abandoned application may be revived as a pending
application within three (3) months from the date of
abandonment, upon good cause shown and the payment of the
required fee.
133.5. The final decision of refusal of the Director of Trademarks
shall be appealable to the Director General in accordance with
the procedure fixed by the Regulations. (Sec. 7, R.A. No. 166a)
SECTION 134. Opposition. - Any person who believes that he
would be damaged by the registration of a mark may, upon
payment of the required fee and within thirty (30) days after the
publication referred to in Subsection 133.2, file with the Office an
opposition to the application. Such opposition shall be in writing
and verified by the oppositor or by any person on his behalf who
knows the facts, and shall specify the grounds on which it is
based and include a statement of the facts relied upon. Copies of
certificates of registration of marks registered in other countries or
other supporting documents mentioned in the opposition shall be
filed therewith, together with the translation in English, if not in the
English language. For good cause shown and upon payment of
the required surcharge, the time for filing an opposition may be
extended by the Director of Legal Affairs, who shall notify the
applicant of such extension. The Regulations shall fix the
maximum period of time within which to file the opposition. (Sec.
8, R.A. No. 165a)
SECTION 135. Notice and Hearing. - Upon the filing of an
opposition, the Office shall serve notice of the filing on the
applicant, and of the date of the hearing thereof upon the
applicant and the oppositor and all other persons having any
right, title or interest in the mark covered by the application, as
appear of record in the Office. (Sec. 31, R.A. No. 165)
SECTION 136. Issuance and Publication of Certificate. - When
the period for filing the opposition has expired, or when the
Director of Legal Affairs shall have denied the opposition, the
Office upon payment of the required fee, shall issue the certificate
of registration. Upon issuance of a certificate of registration,
notice thereof making reference to the publication of the
application shall be published in the IPO Gazette. (Sec. 10, R.A.
No. 165)
SECTION 137. Registration of Mark and Issuance of a Certificate
to the Owner or his Assignee. - 137.1. The Office shall maintain a
Register in which shall be registered marks, numbered in the
order of their registration, and all transactions in respect of each
mark, required to be recorded by virtue of this law.
137.2. The registration of a mark shall include a reproduction of
the mark and shall mention: its number; the name and address of
the registered owner and, if the registered owner’s address is
outside the country, his address for service within the country; the
dates of application and registration; if priority is claimed, an
indication of this fact, and the number, date and country of the
application, basis of the priority claims; the list of goods or
services in respect of which registration has been granted, with
the indication of the corresponding class or classes; and such
other data as the Regulations may prescribe from time to time.
137.3. A certificate of registration of a mark may be issued to the
assignee of the applicant: Provided, That the assignment is
recorded in the Office. In case of a change of ownership, the
Office shall at the written request signed by the owner, or his
representative, or by the new owner, or his representative and
upon a proper showing and the payment of the prescribed fee,
issue to such assignee a new certificate of registration of the said
mark in the name of such assignee, and for the unexpired part of
the original period.
137.4. The Office shall record any change of address, or address
for service, which shall be notified to it by the registered owner.
137.5. In the absence of any provision to the contrary in this Act,
communications to be made to the registered owner by virtue of
this Act shall be sent to him at his last recorded address and, at
the same, at his last recorded address for service. (Sec. 19, R.A.
No. 166a)
SECTION 138. Certificates of Registration. - A certificate of
registration of a mark shall be prima facie evidence of the validity
of the registration, the registrant’s ownership of the mark, and of
the registrant’s exclusive right to use the same in connection with
the goods or services and those that are related thereto specified
in the certificate. (Sec. 20, R.A. No. 165)
SECTION 139. Publication of Registered Marks; Inspection of
Register. - 139.1. The Office shall publish, in the form and within
the period fixed by the Regulations, the marks registered, in the
order of their registration, reproducing all the particulars referred
to in Subsection 137.2.
139.2. Marks registered at the Office may be inspected free of
charge and any person may obtain copies thereof at his own
expense. This provision shall also be applicable to transactions
recorded in respect of any registered mark. (n)
SECTION 140. Cancellation upon Application by Registrant;
Amendment or Disclaimer of Registration. - Upon application of
the registrant, the Office may permit any registration to be
surrendered for cancellation, and upon cancellation the
appropriate entry shall be made in the records of the Office. Upon
application of the registrant and payment of the prescribed fee,
the Office for good cause may permit any registration to be
amended or to be disclaimed in part: Provided, That the
amendment or disclaimer does not alter materially the character
of the mark. Appropriate entry shall be made in the records of the
Office upon the certificate of registration or, if said certificate is
lost or destroyed, upon a certified copy thereof. (Sec. 14, R.A.
No. 166)
SECTION 141. Sealed and Certified Copies as Evidence. -
Copies of any records, books, papers, or drawings belonging to
the Office relating to marks, and copies of registrations, when
authenticated by the seal of the Office and certified by the
Director of the Administrative, Financial and Human Resource
Development Service Bureau or in his name by an employee of
the Office duly authorized by said Director, shall be evidence in
all cases wherein the originals would be evidence; and any
person who applies and pays the prescribed fee shall secure
such copies. (n)
SECTION 142. Correction of Mistakes Made by the Office. -
Whenever a material mistake in a registration incurred through
the fault of the Office is clearly disclosed by the records of the
Office, a certificate stating the fact and nature of such mistake
shall be issued without charge, recorded and a printed copy
thereof shall be attached to each printed copy of the registration.
Such corrected registration shall thereafter have the same effect
as the original certificate; or in the discretion of the Director of the
Administrative, Financial and Human Resource Development
Service Bureau a new certificate of registration may be issued
without charge. All certificates of correction heretofore issued in
accordance with the Regulations and the registration to which
they are attached shall have the same force and effect as if such
certificates and their issuance had been authorized by this Act.
(n)
SECTION 143. Correction of Mistakes Made by Applicant. -
Whenever a mistake is made in a registration and such mistake
occurred in good faith through the fault of the applicant, the Office
may issue a certificate upon the payment of the prescribed fee:
Provided, That the correction does not involve any change in the
registration that requires republication of the mark. (n)
SECTION 144. Classification of Goods and Services. - 144.1.
Each registration, and any publication of the Office which
concerns an application or registration effected by the Office shall
indicate the goods or services by their names, grouped according
to the classes of the Nice Classification, and each group shall be
preceded by the number of the class of that Classification to
which that group of goods or services belongs, presented in the
order of the classes of the said Classification.
144.2. Goods or services may not be considered as being similar
or dissimilar to each other on the ground that, in any registration
or publication by the Office, they appear in different classes of the
Nice Classification. (Sec. 6, R.A. No. 166a)
SECTION 145. Duration. - A certificate of registration shall remain
in force for ten (10) years: Provided, That the registrant shall file a
declaration of actual use and evidence to that effect, or shall
show valid reasons based on the existence of obstacles to such
use, as prescribed by the Regulations, within one (1) year from
the fifth anniversary of the date of the registration of the mark.
Otherwise, the mark shall be removed from the Register by the
Office. (Sec. 12, R.A. No. 166a)
SECTION 146. Renewal. - 146.1. A certificate of registration may
be renewed for periods of ten (10) years at its expiration upon
payment of the prescribed fee and upon filing of a request. The
request shall contain the following indications:
(a) An indication that renewal is sought;
(b) The name and address of the registrant or his successor-in-
interest, hereafter referred to as the “right holder”;
(c) The registration number of the registration concerned;
(d) The filing date of the application which resulted in the
registration concerned to be renewed;
(e) Where the right holder has a representative, the name and
address of that representative;
(f) The names of the recorded goods or services for which the
renewal is requested or the names of the recorded goods or
services for which the renewal is not requested, grouped
according to the classes of the Nice Classification to which that
group of goods or services belongs and presented in the order of
the classes of the said Classification; and
(g) A signature by the right holder or his representative.
146.2. Such request shall be in Filipino or English and may be
made at any time within six (6) months before the expiration of
the period for which the registration was issued or renewed, or it
may be made within six (6) months after such expiration on
payment of the additional fee herein prescribed.
146.3. If the Office refuses to renew the registration, it shall notify
the registrant of his refusal and the reasons therefor.
146.4. An applicant for renewal not domiciled in the Philippines
shall be subject to and comply with the requirements of this Act.
(Sec. 15, R.A. No. 166a)
SECTION 147. Rights Conferred. - 147.1. Except in cases of
importation of drugs and medicines allowed under Section 72.1 of
this Act and of off-patent drugs and medicines, the owner of a
registered mark shall have the exclusive right to prevent all third
parties not having the owner’s consent from using in the course of
trade identical or similar signs or containers for goods or services
which are identical or similar to those in respect of which the
trademark is registered where such use would result in a
likelihood of confusion. In case of the use of an identical sign for
identical goods or services, a likelihood of confusion shall be
presumed.
There shall be no infringement of trademarks or tradenames of
imported or sold patented drugs and medicines allowed under
Section 72.1 of this Act, as well as imported or sold off-patent
drugs and medicines: Provided, That, said drugs and medicines
bear the registered marks that have not been tampered,
unlawfully modified, or infringed upon, under Section 155 of this
Code.
147.2. The exclusive right of the owner of a well-known mark
defined in Subsection 123.1(e) which is registered in the
Philippines, shall extend to goods and services which are not
similar to those in respect of which the mark is registered:
Provided, That use of that 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. (n)
SECTION 148. Use of Indications by Third Parties for Purposes
Other than those for which the Mark is Used. - Registration of the
mark shall not confer on the registered owner the right to
preclude third parties from using bona fide their names,
addresses, pseudonyms, a geographical name, or exact
indications concerning the kind, quality, quantity, destination,
value, place of origin, or time of production or of supply, of their
goods or services: Provided, That such use is confined to the
purposes of mere identification or information and cannot mislead
the public as to the source of the goods or services. (n)
SECTION 149. Assignment and Transfer of Application and
Registration. - 149.1. An application for registration of a mark, or
its registration, may be assigned or transferred with or without the
transfer of the business using the mark. (n)
149.2. Such assignment or transfer shall, however, be null and
void if it is liable to mislead the public, particularly as regards the
nature, source, manufacturing process, characteristics, or
suitability for their purpose, of the goods or services to which the
mark is applied.
149.3. The assignment of the application for registration of a
mark, or of its registration, shall be in writing and require the
signatures of the contracting parties. Transfers by mergers or
other forms of succession may be made by any document
supporting such transfer.
149.4. Assignments and transfers of registrations of marks shall
be recorded at the Office on payment of the prescribed fee;
assignment and transfers of applications for registration shall, on
payment of the same fee, be provisionally recorded, and the
mark, when registered, shall be in the name of the assignee or
transferee.
149.5. Assignments and transfers shall have no effect against
third parties until they are recorded at the Office. (Sec. 31, R.A.
No. 166a)
SECTION 150. License Contracts. - 150.1. Any license contract
concerning the registration of a mark, or an application therefor,
shall provide for effective control by the licensor of the quality of
the goods or services of the licensee in connection with which the
mark is used. If the license contract does not provide for such
quality control, or if such quality control is not effectively carried
out, the license contract shall not be valid.
150.2. A license contract shall be submitted to the Office which
shall keep its contents confidential but shall record it and publish
a reference thereto. A license contract shall have no effect
against third parties until such recording is effected. The
Regulations shall fix the procedure for the recording of the license
contract. (n)
SECTION 151. Cancellation. - 151.1. A petition to cancel a
registration of a mark under this Act may be filed with the Bureau
of Legal Affairs by any person who believes that he is or will be
damaged by the registration of a mark under this Act as follows:
(a) Within five (5) years from the date of the registration of the
mark under this Act.
(b) At any time, if the registered mark becomes the generic name
for the goods or services, or a portion thereof, for which it is
registered, or has been abandoned, or its registration was
obtained fraudulently or contrary to the provisions of this Act, or 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. If the
registered mark becomes the generic name for less than all of the
goods or services for which it is registered, a petition to cancel
the registration for only those goods or services may be filed. A
registered mark shall not be deemed to be the generic name of
goods or services solely because such mark is also used as a
name of or to identify a unique product or service. The primary
significance of the registered mark to the relevant public rather
than purchaser motivation shall be the test for determining
whether the registered mark has become the generic name of
goods or services on or in connection with which it has been
used. (n)
(c) At any time, if the registered owner of the mark without
legitimate reason fails to use the mark within the Philippines, or to
cause it to be used in the Philippines by virtue of a license during
an uninterrupted period of three (3) years or longer.
151.2. Notwithstanding the foregoing provisions, the court or the
administrative agency vested with jurisdiction to hear and
adjudicate any action to enforce the rights to a registered mark
shall likewise exercise jurisdiction to determine whether the
registration of said mark may be cancelled in accordance with this
Act. The filing of a suit to enforce the registered mark with the
proper court or agency shall exclude any other court or agency
from assuming jurisdiction over a subsequently filed petition to
cancel the same mark. On the other hand, the earlier filing of
petition to cancel the mark with the Bureau of Legal Affairs shall
not constitute a prejudicial question that must be resolved before
an action to enforce the rights to same registered mark may be
decided. (Sec. 17, R.A. No. 166a)
SECTION 152. Non-use of a Mark When Excused. - 152.1. Non-
use of a mark may be excused if caused by circumstances arising
independently of the will of the trademark owner. Lack of funds
shall not excuse non-use of a mark.
152.2. The use of the mark in a form different from the form in
which it is registered, which does not alter its distinctive
character, shall not be ground for cancellation or removal of the
mark and shall not diminish the protection granted to the mark.
152.3. The use of a mark in connection with one or more of the
goods or services belonging to the class in respect of which the
mark is registered shall prevent its cancellation or removal in
respect of all other goods or services of the same class.
152.4. The use of a mark by a company related with the registrant
or applicant shall inure to the latter’s benefit, and such use shall
not affect the validity of such mark or of its registration: Provided,
That such mark is not used in such manner as to deceive the
public. If use of a mark by a person is controlled by the registrant
or applicant with respect to the nature and quality of the goods or
services, such use shall inure to the benefit of the registrant or
applicant. (n)
SECTION 153. Requirements of Petition; Notice and Hearing. -
Insofar as applicable, the petition for cancellation shall be in the
same form as that provided in Section 134 hereof, and notice and
hearing shall be as provided in Section 135 hereof.
SECTION 154. Cancellation of Registration. - If the Bureau of
Legal Affairs finds that a case for cancellation has been made
out, it shall order the cancellation of the registration. When the
order or judgment becomes final, any right conferred by such
registration upon the registrant or any person in interest of record
shall terminate. Notice of cancellation shall be published in the
IPO Gazette. (Sec. 19, R.A. No. 166a)
SECTION 155. Remedies; Infringement. - Any person who shall,
without the consent of the owner of the registered mark:
155.1. Use in commerce any reproduction, counterfeit, copy, or
colorable imitation of a registered mark or the same container or
a dominant feature thereof in connection with the sale, offering for
sale, distribution, advertising of any goods or services including
other preparatory steps necessary to carry out the sale of any
goods or services on or in connection with which such use is
likely to cause confusion, or to cause mistake, or to deceive; or
155.2. Reproduce, counterfeit, copy or colorably imitate a
registered mark or a dominant feature thereof and apply such
reproduction, counterfeit, copy or colorable imitation to labels,
signs, prints, packages, wrappers, receptacles or advertisements
intended to be used in commerce upon or in connection with the
sale, offering for sale, distribution, or advertising of goods or
services on or in connection with which such use is likely to cause
confusion, or to cause mistake, or to deceive, shall be liable in a
civil action for infringement by the registrant for the remedies
hereinafter set forth: Provided, That the infringement takes place
at the moment any of the acts stated in Subsection 155.1 or this
subsection are committed regardless of whether there is actual
sale of goods or services using the infringing material. (Sec. 22,
R.A. No. 166a)
SECTION 156. Actions, and Damages and Injunction for
Infringement. - 156.1. The owner of a registered mark may
recover damages from any person who infringes his rights, and
the measure of the damages suffered shall be either the
reasonable profit which the complaining party would have made,
had the defendant not infringed his rights, or the profit which the
defendant actually made out of the infringement, or in the event
such measure of damages cannot be readily ascertained with
reasonable certainty, then 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 used in the infringement of the
rights of the complaining party. (Sec. 23, first par., R.A. No. 166a)
156.2. On application of the complainant, the court may impound
during the pendency of the action, sales invoices and other
documents evidencing sales. (n)
156.3. In cases where actual intent to mislead the public or to
defraud the complainant is shown, in the discretion of the court,
the damages may be doubled. (Sec. 23, first par., R.A. No. 166)
156.4. The complainant, upon proper showing, may also be
granted injunction. (Sec. 23, second par., R.A. No. 166a)
SECTION 157. Power of Court to Order Infringing Material
Destroyed. - 157.1 In any action arising under this Act, in which a
violation of any right of the owner of the registered mark is
established, the court may order that goods found to be infringing
be, without compensation of any sort, disposed of outside the
channels of commerce in such a manner as to avoid any harm
caused to the right holder, or destroyed; and all labels, signs,
prints, packages, wrappers, receptacles and advertisements in
the possession of the defendant, bearing the registered mark or
trade name or any reproduction, counterfeit, copy or colorable
imitation thereof, all plates, molds, matrices and other means of
making the same, shall be delivered up and destroyed.
157.2. In regard to counterfeit goods, the simple removal of the
trademark affixed shall not be sufficient other than in exceptional
cases which shall be determined by the Regulations, to permit the
release of the goods into the channels of commerce. (Sec. 24,
R.A. No. 166a)
SECTION 158. Damages; Requirement of Notice. - In any suit for
infringement, the owner of the registered mark shall not be
entitled to recover profits or damages unless the acts have been
committed with knowledge that such imitation is likely to cause
confusion, or to cause mistake, or to deceive. Such knowledge is
presumed if the registrant gives notice that his mark is registered
by displaying with the mark the words ‘”Registered Mark” or the
letter R within a circle or if the defendant had otherwise actual
notice of the registration. (Sec. 21, R.A. No. 166a)
SECTION 159. Limitations to Actions for Infringement. -
Notwithstanding any other provision of this Act, the remedies
given to the owner of a right infringed under this Act shall be
limited as follows:
159.1. Notwithstanding the provisions of Section 155 hereof, a
registered mark shall have no effect against any person who, in
good faith, before the filing date or the priority date, was using the
mark for the purposes of his business or enterprise: Provided,
That his right may only be transferred or assigned together with
his enterprise or business or with that part of his enterprise or
business in which the mark is used.
159.2. Where an infringer who is engaged solely in the business
of printing the mark or other infringing materials for others is an
innocent infringer, the owner of the right infringed shall be entitled
as against such infringer only to an injunction against future
printing.
159.3. Where the infringement complained of is contained in or is
part of paid advertisement in a newspaper, magazine, or other
similar periodical or in an electronic communication, the remedies
of the owner of the right infringed as against the publisher or
distributor of such newspaper, magazine, or other similar
periodical or electronic communication shall be limited to an
injunction against the presentation of such advertising matter in
future issues of such newspapers, magazines, or other similar
periodicals or in future transmissions of such electronic
communications. The limitations of this subparagraph shall apply
only to innocent infringers: Provided, That such injunctive relief
shall not be available to the owner of the right infringed with
respect to an issue of a newspaper, magazine, or other similar
periodical or an electronic communication containing infringing
matter where restraining the dissemination of such infringing
matter in any particular issue of such periodical or in an electronic
communication would delay the delivery of such issue or
transmission of such electronic communication is customarily
conducted in accordance with the sound business practice, and
not due to any method or device adopted to evade this section or
to prevent or delay the issuance of an injunction or restraining
order with respect to such infringing matter; and
159.4 There shall be no infringement of trademarks or
tradenames of imported or sold drugs and medicines allowed
under Section 72.1 of this Act, as well as imported or sold off-
patent drugs and medicines: Provided, That said drugs and
medicines bear the registered marks that have not been
tampered, unlawfully modified, or infringed upon as defined under
Section 155 of this Code.
SECTION 160. Right of Foreign Corporation to Sue in Trademark
or Service Mark Enforcement Action. - Any foreign national or
juridical person who meets the requirements of Section 3 of this
Act and does not engage in business in the Philippines may bring
a civil or administrative action hereunder for opposition,
cancellation, infringement, unfair competition, or false designation
of origin and false description, whether or not it is licensed to do
business in the Philippines under existing laws. (Sec. 21-A, R.A.
No. 166a)
SECTION 161. Authority to Determine Right to Registration. - In
any action involving a registered mark, the court may determine
the right to registration, order the cancellation of a registration, in
whole or in part, and otherwise rectify the register with respect to
the registration of any party to the action in the exercise of this.
Judgment and orders shall be certified by the court to the
Director, who shall make appropriate entry upon the records of
the Bureau, and shall be controlled thereby. (Sec. 25, R.A. No.
166a)
SECTION 162. Action for False or Fraudulent Declaration. - Any
person who shall procure registration in the Office of a mark by a
false or fraudulent declaration or representation, whether oral or
in writing, or by any false means, shall be liable in a civil action by
any person injured thereby for any damages sustained in
consequence thereof (Sec. 26, R.A. No. 166)
SECTION 163. Jurisdiction of Court. - All actions under Sections
150, 155, 164, and 166 to 169 shall be brought before the proper
courts with appropriate jurisdiction under existing laws. (Sec. 27,
R.A. No. 166)
SECTION 164. Notice of Filing Suit Given to the Director. - It shall
be the duty of the clerks of such courts within one (1) month after
the filing of any action, suit, or proceeding involving a mark
registered under the provisions of this Act, to notify the Director in
writing setting forth: the names and addresses of the litigants and
designating the number of the registration or registrations and
within one (1) month after the judgment is entered or an appeal is
taken, the clerk of court shall give notice thereof to the Office, and
the latter shall endorse the same upon the filewrapper of the said
registration or registrations and incorporate the same as a part of
the contents of said filewrapper. (n)
SECTION 165. Trade Names or Business Names. - 165.1. A
name or designation may not be used as a trade name if by its
nature or the use to which such name or designation may be put,
it is contrary to public order or morals and if, in particular, it is
liable to deceive trade circles or the public as to the nature of the
enterprise identified by that name.
165.2. (a) Notwithstanding any laws or regulations providing for
any obligation to register trade names, such names shall be
protected, even prior to or without registration, against any
unlawful act committed by third parties.
(b) In particular, any subsequent use of the trade name by a third
party, whether as a trade name or a mark or collective mark, or
any such use of a similar trade name or mark, likely to mislead
the public, shall be deemed unlawful.
165.3. The remedies provided for in Sections 153 to 156 and
Sections 166 and 167 shall apply mutatis mutandis.
165.4. Any change in the ownership of a trade name shall be
made with the transfer of the enterprise or part thereof identified
by that name. The provisions of Subsections 149.2 to 149.4 shall
apply mutatis mutandis.
SECTION 166. Goods Bearing Infringing Marks or Trade Names.
- No article of imported merchandise which shall copy or simulate
the name of any domestic product, or manufacturer, or dealer, or
which shall copy or simulate a mark registered in accordance with
the provisions of this Act, or shall bear a mark or trade name
calculated to induce the public to believe that the article is
manufactured in the Philippines, or that it is manufactured in any
foreign country or locality other than the country or locality where
it is in fact manufactured, shall be admitted to entry at any
customhouse of the Philippines. In order to aid the officers of the
customs service in enforcing this prohibition, any person who is
entitled to the benefits of this Act, may require that his name and
residence, and the name of the locality in which his goods are
manufactured, a copy of the certificate of registration of his mark
or trade name, to be recorded in books which shall be kept for
this purpose in the Bureau of Customs, under such regulations as
the Collector of Customs with the approval of the Secretary of
Finance shall prescribe, and may furnish to the said Bureau
facsimiles of his name, the name of the locality in which his goods
are manufactured, or his registered mark or trade name, and
thereupon the Collector of Customs shall cause one (1) or more
copies of the same to be transmitted to each collector or to other
proper officer of the Bureau of Customs. (Sec. 35, R.A. No. 166)
SECTION 167. Collective Marks. - 167.1. Subject to Subsections
167.2 and 167.3, Sections 122 to 164 and 166 shall apply to
collective marks, except that references therein to “mark” shall be
read as “collective mark”.
167.2. (a) An application for registration of a collective mark shall
designate the mark as a collective mark and shall be
accompanied by a copy of the agreement, if any, governing the
use of the collective mark.
(b) The registered owner of a collective mark shall notify the
Director of any changes made in respect of the agreement
referred to in paragraph (a).
167.3. In addition to the grounds provided in Section 149, the
Court shall cancel the registration of a collective mark if the
person requesting the cancellation proves that only the registered
owner uses the mark, or that he uses or permits its use in
contravention of the agreements referred to in Subsection 166.2
or that he uses or permits its use in a manner liable to deceive
trade circles or the public as to the origin or any other common
characteristics of the goods or services concerned.
167.4. The registration of a collective mark, or an application
therefor shall not be the subject of a license contract. (Sec. 40,
R.A. No. 166a)
SECTION 168. Unfair Competition, Rights, Regulation and
Remedies. - 168.1. 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.
168.2. Any person who shall employ deception or any other
means contrary to good faith by which he shall pass off the goods
manufactured by him or in which he deals, or his business, or
services for those of the one having established such goodwill, or
who shall commit any acts calculated to produce said result, shall
be guilty of unfair competition, and shall be subject to an action
therefor.
168.3. In particular, and without in any way limiting the scope of
protection against unfair competition, the following shall be
deemed guilty of unfair competition:
(a) 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 appearance as shall deceive the public and defraud another
of his legitimate trade, or any subsequent vendor of such goods
or any agent of any vendor engaged in selling such goods with a
like purpose;
(b) 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 of the public; or
(c) 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.
168.4. The remedies provided by Sections 156, 157 and 161 shall
apply mutatis mutandis. (Sec. 29, R.A. No. 166a)
SECTION 169. False Designations of Origin; False Description or
Representation. — 169.1. Any person who, on or in connection
with any goods or services, or any container for goods, uses in
commerce any word, term, name, symbol, or device, or any
combination thereof, or any false designation of origin, false or
misleading description of fact, or false or misleading
representation of fact, which:
(a) Is likely to cause confusion, or to cause mistake, or to deceive
as to the affiliation, connection, or association of such person with
another person, or as to the origin, sponsorship, or approval of
his or her goods, services, or commercial activities by another
person; or
(b) In commercial advertising or promotion, misrepresents the
nature, characteristics, qualities, or geographic origin of his or her
or another person’s goods, services, or commercial activities,
shall be liable to a civil action for damages and injunction
provided in Sections 156 and 157 of this Act by any person who
believes that he or she is or is likely to be damaged by such act.
169.2. Any goods marked or labelled in contravention of the
provisions of this Section shall not be imported into the
Philippines or admitted entry at any customhouse of the
Philippines. The owner, importer, or consignee of goods refused
entry at any customhouse under this section may have any
recourse under the customs revenue laws or may have the
remedy given by this Act in cases involving goods refused entry
or seized. (Sec. 30, R.A. No. 166a)
SECTION 170. Penalties. - Independent of the civil and
administrative sanctions imposed by law, a criminal penalty of
imprisonment from two (2) years to five (5) years and a fine
ranging from Fifty thousand pesos (P50,000) to Two hundred
thousand pesos (P200,000), shall be imposed on any person who
is found guilty of committing any of the acts mentioned in Section
155, Section 168 and Subsection 169.1. (Arts. 188 and 189,
Revised Penal Code)
PART IV
The Law on Copyright
CHAPTER I
Preliminary Provisions
SECTION 171. Definitions. - For the purpose of this Act, the
following terms have the following meaning:
171.1. “Author” is the natural person who has created the work;
171.2. A “collective work” is a work which has been created by
two (2) or more natural persons at the initiative and under the
direction of another with the understanding that it will be disclosed
by the latter under his own name and that contributing natural
persons will not be identified;
171.3. “Communication to the public” or “communicate to the
public” means the making of a work available to the public by wire
or wireless means in such a way that members of the public may
access these works from a place and time individually chosen by
them;
171.4. A “computer” is an electronic or similar device having
information-processing capabilities, and a “computer program” is
a set of instructions expressed in words, codes, schemes or in
any other form, which is capable when incorporated in a medium
that the computer can read, of causing the computer to perform
or achieve a particular task or result;
171.5. “Public lending” is the transfer of possession of the original
or a copy of a work or sound recording for a limited period, for
non-profit purposes, by an institution the services of which are
available to the public, such as public library or archive;
171.6. “Public performance”, in the case of a work other than an
audiovisual work, is the recitation, playing, dancing, acting or
otherwise performing the work, either directly or by means of any
device or process; in the case of an audiovisual work, the
showing of its images in sequence and the making of the sounds
accompanying it audible; and, in the case of a sound recording,
making the recorded sounds audible at a place or at places
where persons outside the normal circle of a family and that
family’s closest social acquaintances are or can be present,
irrespective of whether they are or can be present at the same
place and at the same time, or at different places and/or at
different times, and where the performance can be perceived
without the need for communication within the meaning of
Subsection 171.3;
171.7. “Published works” means works, which, with the consent
of the authors, are made available to the public by wire or
wireless means in such a way that members of the public may
access these works from a place and time individually chosen by
them: Provided, That availability of such copies has been such,
as to satisfy the reasonable requirements of the public, having
regard to the nature of the work;
171.8. “Rental” is the transfer of the possession of the original or
a copy of a work or a sound recording for a limited period of time,
for profit-making purposes;
171.9. “Reproduction” is the making of one (1) or more copies of
a work or a sound recording in any manner or form (Sec. 41 (E),
P.D. No. 49 a);
171.10. A “work of applied art” is an artistic creation with utilitarian
functions or incorporated in a useful article, whether made by
hand or produced on an industrial scale;
171.11. A “work of the Government of the Philippines” is a work
created by an officer or employee of the Philippine Government
or any of its subdivisions and instrumentalities, including
government-owned or controlled corporations as a part of his
regularly prescribed official duties.
CHAPTER II
Original Works
SECTION 172. Literary and Artistic Works. - 172.1. Literary and
artistic works, hereinafter referred to as “works”, are original
intellectual creations in the literary and artistic domain protected
from the moment of their creation and shall include in particular:
(a) Books, pamphlets, articles and other writings;
(b) Periodicals and newspapers;
(c) Lectures, sermons, addresses, dissertations prepared for oral
delivery, whether or not reduced in writing or other material form;
(d) Letters;
(e) Dramatic or dramatico-musical compositions; choreographic
works or entertainment in dumb shows;
(f) Musical compositions, with or without words;
(g) Works of drawing, painting, architecture, sculpture, engraving,
lithography or other works of art; models or designs for works of
art;
(h) Original ornamental designs or models for articles of
manufacture, whether or not registrable as an industrial design,
and other works of applied art;
(i) Illustrations, maps, plans, sketches, charts and three-
dimensional works relative to geography, topography,
architecture or science;
(j) Drawings or plastic works of a scientific or technical character;
(k) Photographic works including works produced by a process
analogous to photography; lantern slides;
(l) Audiovisual works and cinematographic works and works
produced by a process analogous to cinematography or any
process for making audio-visual recordings;
(m) Pictorial illustrations and advertisements;
(n) Computer programs; and
(o) Other literary, scholarly, scientific and artistic works.
172.2. Works are protected by the sole fact of their creation,
irrespective of their mode or form of expression, as well as of
their content, quality and purpose. (Sec. 2, P.D. No. 49a)
CHAPTER III
Derivative Works
SECTION 173. Derivative Works. - 173.1. The following
derivative works shall also be protected by copyright:
(a) Dramatizations, translations, adaptations, abridgments,
arrangements, and other alterations of literary or artistic works;
and
(b) Collections of literary, scholarly or artistic works, and
compilations of data and other materials which are original by
reason of the selection or coordination or arrangement of their
contents. (Sec. 2, (P) and (Q), P.D. No. 49)
173.2. The works referred to in paragraphs (a) and (b) of
Subsection 173.1 shall be protected as new works: Provided,
however, That such new work shall not affect the force of any
subsisting copyright upon the original works employed or any part
thereof, or be construed to imply any right to such use of the
original works, or to secure or extend copyright in such original
works. (Sec. 8, P.D. 49; Art. 10, TRIPS)
SECTION 174. Published Edition of Work. - In addition to the
right to publish granted by the author, his heirs, or assigns, the
publisher shall have a copyright consisting merely of the right of
reproduction of the typographical arrangement of the published
edition of the work. (n)
CHAPTER IV
Works Not Protected
SECTION 175. Unprotected Subject Matter. - Notwithstanding the
provisions of Sections 172 and 173, no protection shall extend,
under this law, to any idea, procedure, system, method or
operation, concept, principle, discovery or mere data as such,
even if they are expressed, explained, illustrated or embodied in a
work; news of the day and other miscellaneous facts having the
character of mere items of press information; or any official text of
a legislative, administrative or legal nature, as well as any official
translation thereof. (n)
SECTION 176. Works of the Government. - 176.1. No copyright
shall subsist in any work of the Government of the Philippines.
However, prior approval of the government agency or office
wherein the work is created shall be necessary for exploitation of
such work for profit. Such agency or office may, among other
things, impose as a condition the payment of royalties. No prior
approval or conditions shall be required for the use for any
purpose of statutes, rules and regulations, and speeches,
lectures, sermons, addresses, and dissertations, pronounced,
read or rendered in courts of justice, before administrative
agencies, in deliberative assemblies and in meetings of public
character. (Sec. 9, first par., P.D. No. 49)
176.2. The author of speeches, lectures, sermons, addresses,
and dissertations mentioned in the preceding paragraphs shall
have the exclusive right of making a collection of his works. (n)
176.3. Notwithstanding the foregoing provisions, the Government
is not precluded from receiving and holding copyrights transferred
to it by assignment, bequest or otherwise; nor shall publication or
republication by the Government in a public document of any
work in which copyright is subsisting be taken to cause any
abridgment or annulment of the copyright or to authorize any use
or appropriation of such work without the consent of the copyright
owner. (Sec. 9, third par., P.D. No. 49)
CHAPTER V
Copyright or Economic Rights
SECTION 177. Copyright or Economic Rights. - Subject to the
provisions of Chapter VIII, copyright or economic rights shall
consist of the exclusive right to carry out, authorize or prevent the
following acts:
177.1. Reproduction of the work or substantial portion of the
work;
177.2. Dramatization, translation, adaptation, abridgment,
arrangement or other transformation of the work;
177.3. The first public distribution of the original and each copy of
the work by sale or other forms of transfer of ownership;
177.4. Rental of the original or a copy of an audiovisual or
cinematographic work, a work embodied in a sound recording, a
computer program, a compilation of data and other materials or a
musical work in graphic form, irrespective of the ownership of the
original or the copy which is the subject of the rental; (n)
177.5. Public display of the original or a copy of the work;
177.6. Public performance of the work; and
177.7. Other communication to the public of the work. (Sec. 5,
P.D. No. 49a)
CHAPTER VI
Ownership of Copyright
SECTION 178. Rules on Copyright Ownership. - Copyright
ownership shall be governed by the following rules:
178.1. Subject to the provisions of this section, in the case of
original literary and artistic works, copyright shall belong to the
author of the work;
178.2. In the case of works of joint authorship, the co-authors
shall be the original owners of the copyright and in the absence of
agreement, their rights shall be governed by the rules on co-
ownership. If, however, a work of joint authorship consists of
parts that can be used separately and the author of each part can
be identified, the author of each part shall be the original owner of
the copyright in the part that he has created;
178.3. In the case of work created by an author during and in the
course of his employment, the copyright shall belong to:
(a) The employee, if the creation of the object of copyright 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 work is the result of the performance of
his regularly-assigned duties, unless there is an agreement,
express or implied, to the contrary.
178.4. In the case of a work commissioned by a person other
than an employer of the author and who pays for it and the work
is made in pursuance of the commission, the person who so
commissioned the work shall have ownership of the work, but the
copyright thereto shall remain with the creator, unless there is a
written stipulation to the contrary;
178.5. In the case of audiovisual work, the copyright shall belong
to the producer, the author of the scenario, the composer of the
music, the film director, and the author of the work so adapted.
However, subject to contrary or other stipulations among the
creators, the producer shall exercise the copyright to an extent
required for the exhibition of the work in any manner, except for
the right to collect performing license fees for the performance of
musical compositions, with or without words, which are
incorporated into the work; and
178.6. In respect of letters, the copyright shall belong to the writer
subject to the provisions of Article 723 of the Civil Code. (Sec. 6,
P.D. No. 49a)
SECTION 179. Anonymous and Pseudonymous Works. - For
purposes of this Act, the publishers shall be deemed to represent
the authors of articles and other writings published without the
names of the authors or under pseudonyms, unless the contrary
appears, or the pseudonyms or adopted name leaves no doubt
as to the author’s identity, or if the author of the anonymous
works discloses his identity. (Sec. 7, P.D. 49)
CHAPTER VII
Transfer or Assignment of Copyright
SECTION 180. Rights of Assignee. - 180.1. The copyright may be
assigned in whole or in part. Within the scope of the assignment,
the assignee is entitled to all the rights and remedies which the
assignor had with respect to the copyright.
180.2. The copyright is not deemed assigned inter vivos in whole
or in part unless there is a written indication of such intention.
180.3. The submission of a literary, photographic or artistic work
to a newspaper, magazine or periodical for publication shall
constitute only a license to make a single publication unless a
greater right is expressly granted. If two (2) or more persons
jointly own a copyright or any part thereof, neither of the owners
shall be entitled to grant licenses without the prior written consent
of the other owner or owners. (Sec. 15, P.D. No. 49a)
SECTION 181. Copyright and Material Object. - The copyright is
distinct from the property in the material object subject to it.
Consequently, the transfer or assignment of the copyright shall
not itself constitute a transfer of the material object. Nor shall a
transfer or assignment of the sole copy or of one or several
copies of the work imply transfer or assignment of the copyright.
(Sec. 16, P.D. No. 49)
SECTION 182. Filing of Assignment or License. - An assignment
or exclusive license may be filed in duplicate with the National
Library upon payment of the prescribed fee for registration in
books and records kept for the purpose. Upon recording, a copy
of the instrument shall be returned to the sender with a notation of
the fact of record. Notice of the record shall be published in the
IPO Gazette. (Sec. 19, P.D. No. 49a)
SECTION 183. Designation of Society. - The copyright owners or
their heirs may designate a society of artists, writers or
composers to enforce their economic rights and moral rights on
their behalf. (Sec. 32, P.D. No. 49a)
CHAPTER VIII
Limitations on Copyright
SECTION 184. Limitations on Copyright. - 184.1. Notwithstanding
the provisions of Chapter V, the following acts shall not constitute
infringement of copyright:
(a) The recitation or performance of a work, once it has been
lawfully made accessible to the public, if done privately and free
of charge or if made strictly for a charitable or religious institution
or society; (Sec. 10(1), P.D. No. 49)
(b) The making of quotations from a published work if they are
compatible with fair use and only to the extent justified for the
purpose, including quotations from newspaper articles and
periodicals in the form of press summaries: Provided, That the
source and the name of the author, if appearing on the work, are
mentioned; (Sec. 11, third par., P.D. No. 49)
(c) The reproduction or communication to the public by mass
media of articles on current political, social, economic, scientific
or religious topic, lectures, addresses and other works of the
same nature, which are delivered in public if such use is for
information purposes and has not been expressly reserved:
Provided, That the source is clearly indicated; (Sec. 11, P.D. No.
49)
(d) The reproduction and communication to the public of literary,
scientific or artistic works as part of reports of current events by
means of photography, cinematography or broadcasting to the
extent necessary for the purpose; (Sec. 12, P.D. No. 49)
(e) The inclusion of a work in a publication, broadcast, or other
communication to the public, sound recording or film, if such
inclusion is made by way of illustration for teaching purposes and
is compatible with fair use: Provided, That the source and the
name of the author, if appearing in the work, are mentioned;
(f) The recording made in schools, universities, or educational
institutions of a work included in a broadcast for the use of such
schools, universities or educational institutions: Provided, That
such recording must be deleted within a reasonable period after
they were first broadcast: Provided, further, That such recording
may not be made from audiovisual works which are part of the
general cinema repertoire of feature films except for brief
excerpts of the work;
(g) The making of ephemeral recordings by a broadcasting
organization by means of its own facilities and for use in its own
broadcast;
(h) The use made of a work by or under the direction or control of
the Government, by the National Library or by educational,
scientific or professional institutions where such use is in the
public interest and is compatible with fair use;
(i) The public performance or the communication to the public of a
work, in a place where no admission fee is charged in respect of
such public performance or communication, by a club or
institution for charitable or educational purpose only, whose aim
is not profit making, subject to such other limitations as may be
provided in the Regulations; (n)
(j) Public display of the original or a copy of the work not made by
means of a film, slide, television image or otherwise on screen or
by means of any other device or process: Provided, That either
the work has been published, or, that the original or the copy
displayed has been sold, given away or otherwise transferred to
another person by the author or his successor in title; and
(k) Any use made of a work for the purpose of any judicial
proceedings or for the giving of professional advice by a legal
practitioner.
184.2. The provisions of this section shall be interpreted in such a
way as to allow the work to be used in a manner which does not
conflict with the normal exploitation of the work and does not
unreasonably prejudice the right holder’s legitimate interests.
SECTION 185. Fair Use of a Copyrighted Work. - 185.1. The fair
use of a copyrighted work for criticism, comment, news reporting,
teaching including multiple copies for classroom use, scholarship,
research, and similar purposes is not an infringement of
copyright. Decompilation, which is understood here to be the
reproduction of the code and translation of the forms of the
computer program to achieve the inter-operability of an
independently created computer program with other programs
may also constitute fair use. In determining whether the use
made of a work in any particular case is fair use, the factors to be
considered shall include:
(a) The purpose and character of the use, including whether such
use is of a commercial nature or is for non-profit educational
purposes;
(b) The nature of the copyrighted work;
(c) The amount and substantiality of the portion used in relation to
the copyrighted work as a whole; and
(d) The effect of the use upon the potential market for or value of
the copyrighted work.
185.2. The fact that a work is unpublished shall not by itself bar a
finding of fair use if such finding is made upon consideration of all
the above factors.
SECTION 186. Work of Architecture. - Copyright in a work of
architecture shall include the right to control the erection of any
building which reproduces the whole or a substantial part of the
work either in its original form or in any form recognizably derived
from the original: Provided, That the copyright in any such work
shall not include the right to control the reconstruction or
rehabilitation in the same style as the original of a building to
which that copyright relates. (n)
SECTION 187. Reproduction of Published Work. - 187.1.
Notwithstanding the provision of Section 177, and subject to the
provisions of Subsection 187.2, the private reproduction of a
published work in a single copy, where the reproduction is made
by a natural person exclusively for research and private study,
shall be permitted, without the authorization of the owner of
copyright in the work.
187.2. The permission granted under Subsection 187.1 shall not
extend to the reproduction of:
(a) A work of architecture in the form of building or other
construction;
(b) An entire book, or a substantial part thereof, or of a musical
work in graphic form by reprographic means;
(c) A compilation of data and other materials;
(d) A computer program except as provided in Section 189; and
(e) Any work in cases where reproduction would unreasonably
conflict with a normal exploitation of the work or would otherwise
unreasonably prejudice the legitimate interests of the author. (n)
SECTION 188. Reprographic Reproduction by Libraries. - 188.1.
Notwithstanding the provisions of Subsection 177.6, any library or
archive whose activities are not for profit may, without the
authorization of the author of copyright owner, make a single
copy of the work by reprographic reproduction:
(a) Where the work by reason of its fragile character or rarity
cannot be lent to user in its original form;
(b) Where the works are isolated articles contained in composite
works or brief portions of other published works and the
reproduction is necessary to supply them, when this is considered
expedient, to persons requesting their loan for purposes of
research or study instead of lending the volumes or booklets
which contain them; and
(c) Where the making of such a copy is in order to preserve and,
if necessary in the event that it is lost, destroyed or rendered
unusable, replace a copy, or to replace, in the permanent
collection of another similar library or archive, a copy which has
been lost, destroyed or rendered unusable and copies are not
available with the publisher.
188.2. Notwithstanding the above provisions, it shall not be
permissible to produce a volume of a work published in several
volumes or to produce missing tomes or pages of magazines or
similar works, unless the volume, tome or part is out of stock:
Provided, That every library which, by law, is entitled to receive
copies of a printed work, shall be entitled, when special reasons
so require, to reproduce a copy of a published work which is
considered necessary for the collection of the library but which is
out of stock. (Sec. 13, P.D. 49a)
SECTION 189. Reproduction of Computer Program. - 189.1.
Notwithstanding the provisions of Section 177, the reproduction in
one (1) back-up copy or adaptation of a computer program shall
be permitted, without the authorization of the author of, or other
owner of copyright in, a computer program, by the lawful owner of
that computer program: Provided, That the copy or adaptation is
necessary for:
(a) The use of the computer program in conjunction with a
computer for the purpose, and to the extent, for which the
computer program has been obtained; and
(b) Archival purposes, and, for the replacement of the lawfully
owned copy of the computer program in the event that the
lawfully obtained copy of the computer program is lost, destroyed
or rendered unusable.
189.2. No copy or adaptation mentioned in this Section shall be
used for any purpose other than the ones determined in this
Section, and any such copy or adaptation shall be destroyed in
the event that continued possession of the copy of the computer
program ceases to be lawful.
189.3. This provision shall be without prejudice to the application
of Section 185 whenever appropriate. (n)
SECTION 190. Importation for Personal Purposes. - 190.1.
Notwithstanding the provision of Subsection 177.6, but subject to
the limitation under the Subsection 185.2, the importation of a
copy of a work by an individual for his personal purposes shall be
permitted without the authorization of the author of, or other
owner of copyright in, the work under the following
circumstances:
(a) When copies of the work are not available in the Philippines
and:
(i) Not more than one (1) copy at one time is imported for strictly
individual use only; or
(ii) The importation is by authority of and for the use of the
Philippine Government; or
(iii) The importation, consisting of not more than three (3) such
copies or likenesses in any one invoice, is not for sale but for the
use only of any religious, charitable, or educational society or
institution duly incorporated or registered, or is for the
encouragement of the fine arts, or for any state school, college,
university, or free public library in the Philippines.
(b) When such copies form parts of libraries and personal
baggage belonging to persons or families arriving from foreign
countries and are not intended for sale: Provided, That such
copies do not exceed three (3).
190.2. Copies imported as allowed by this Section may not
lawfully be used in any way to violate the rights of owner the
copyright or annul or limit the protection secured by this Act, and
such unlawful use shall be deemed an infringement and shall be
punishable as such without prejudice to the proprietor’s right of
action.
190.3. Subject to the approval of the Secretary of Finance, the
Commissioner of Customs is hereby empowered to make rules
and regulations for preventing the importation of articles the
importation of which is prohibited under this Section and under
treaties and conventions to which the Philippines may be a party
and for seizing and condemning and disposing of the same in
case they are discovered after they have been imported. (Sec.
30, P.D. No. 49)
CHAPTER IX
Deposit and Notice
SECTION 191. Registration and Deposit with National Library
and the Supreme Court Library. - After the first public
dissemination of performance by authority of the copyright owner
of a work falling under Subsections 172.1, 172.2 and 172.3 of this
Act, there shall, for the purpose of completing the records of the
National Library and the Supreme Court Library, within three (3)
weeks, be registered and deposited with it, by personal delivery
or by registered mail, two (2) complete copies or reproductions of
the work in such form as the directors of said libraries may
prescribe. A certificate of deposit shall be issued for which the
prescribed fee shall be collected and the copyright owner shall be
exempt from making additional deposit of the works with the
National Library and the Supreme Court Library under other laws.
If, within three (3) weeks after receipt by the copyright owner of a
written demand from the directors for such deposit, the required
copies or reproductions are not delivered and the fee is not paid,
the copyright owner shall be liable to pay a fine equivalent to the
required fee per month of delay and to pay to the National Library
and the Supreme Court Library the amount of the retail price of
the best edition of the work. Only the above mentioned classes of
work shall be accepted for deposit by the National Library and the
Supreme Court Library. (Sec. 26, P.D. No. 49a)
SECTION 192. Notice of Copyright. - Each copy of a work
published or offered for sale may contain a notice bearing the
name of the copyright owner, and the year of its first publication,
and, in copies produced after the creator’s death, the year of such
death. (Sec. 27, P.D. No. 49a)
CHAPTER X
Moral Rights
SECTION 193. Scope of Moral Rights. - The author of a work
shall, independently of the economic rights in Section 177 or the
grant of an assignment or license with respect to such right, have
the right:
193.1. To require that the authorship of the works be attributed to
him, in particular, the right that his name, as far as practicable, be
indicated in a prominent way on the copies, and in connection
with the public use of his work;
193.2. To make any alterations of his work prior to, or to withhold
it from publication;
193.3. To object to any distortion, mutilation or other modification
of, or other derogatory action in relation to, his work which would
be prejudicial to his honor or reputation; and
193.4. To restrain the use of his name with respect to any work
not of his own creation or in a distorted version of his work. (Sec.
34, P.D. No. 49)
SECTION 194. Breach of Contract. - An author cannot be
compelled to perform his contract to create a work or for the
publication of his work already in existence. However, he may be
held liable for damages for breach of such contract. (Sec. 35,
P.D. No. 49)
SECTION 195. Waiver of Moral Rights. - An author may waive his
rights mentioned in Section 193 by a written instrument, but no
such waiver shall be valid where its effects is to permit another:
195.1. To use the name of the author, or the title of his work, or
otherwise to make use of his reputation with respect to any
version or adaptation of his work which, because of alterations
therein, would substantially tend to injure the literary or artistic
reputation of another author; or
195.2. To use the name of the author with respect to a work he
did not create. (Sec. 36, P.D. No. 49)
SECTION 196. Contribution to Collective Work. - When an author
contributes to a collective work, his right to have his contribution
attributed to him is deemed waived unless he expressly reserves
it. (Sec. 37, P.D. No. 49)
SECTION 197. Editing, Arranging and Adaptation of Work. - In
the absence of a contrary stipulation at the time an author
licenses or permits another to use his work, the necessary
editing, arranging or adaptation of such work, for publication,
broadcast, use in a motion picture, dramatization, or mechanical
or electrical reproduction in accordance with the reasonable and
customary standards or requirements of the medium in which the
work is to be used, shall not be deemed to contravene the
author’s rights secured by this chapter. Nor shall complete
destruction of a work unconditionally transferred by the author be
deemed to violate such rights. (Sec. 38, P.D. No. 49)
SECTION 198. Term of Moral Rights. - 198.1. The rights of an
author under this chapter shall last during the lifetime of the
author and for fifty (50) years after his death and shall not be
assignable or subject to license. The person or persons to be
charged with the posthumous enforcement of these rights shall
be named in writing to be filed with the National Library. In default
of such person or persons, such enforcement shall devolve upon
either the author’s heirs, and in default of the heirs, the Director of
the National Library.
198.2. For purposes of this Section, “Person” shall mean any
individual, partnership, corporation, association, or society. The
Director of the National Library may prescribe reasonable fees to
be charged for his services in the application of provisions of this
Section. (Sec. 39, P.D. No. 49)
SECTION 199. Enforcement Remedies. - Violation of any of the
rights conferred by this Chapter shall entitle those charged with
their enforcement to the same rights and remedies available to a
copyright owner. In addition, damages which may be availed of
under the Civil Code may also be recovered. Any damage
recovered after the creator’s death shall be held in trust for and
remitted to his heirs, and in default of the heirs, shall belong to
the government. (Sec. 40, P.D. No. 49)
CHAPTER XI
Rights to Proceeds in Subsequent Transfers
SECTION 200. Sale or Lease of Work. - In every sale or lease of
an original work of painting or sculpture or of the original
manuscript of a writer or composer, subsequent to the first
disposition thereof by the author, the author or his heirs shall
have an inalienable right to participate in the gross proceeds of
the sale or lease to the extent of five percent (5%). This right shall
exist during the lifetime of the author and for fifty (50) years after
his death. (Sec. 31, P.D. No. 49)
SECTION 201. Works Not Covered. - The provisions of this
Chapter shall not apply to prints, etchings, engravings, works of
applied art, or works of similar kind wherein the author primarily
derives gain from the proceeds of reproductions. (Sec. 33, P.D.
No. 49)
CHAPTER XII
Rights of Performers, Producers of Sounds Recordings and
Broadcasting Organizations
SECTION 202. Definitions. - For the purpose of this Act, the
following terms shall have the following meanings:
202.1. “Performers” are actors, singers, musicians, dancers, and
other persons who act, sing, declaim, play in, interpret, or
otherwise perform literary and artistic work;
202.2. “Sound recording” means the fixation of the sounds of a
performance or of other sounds, or representation of sound, other
than in the form of a fixation incorporated in a cinematographic or
other audiovisual work;
202.3. An “audiovisual work or fixation” is a work that consists of
a series of related images which impart the impression of motion,
with or without accompanying sounds, susceptible of being made
visible and, where accompanied by sounds, susceptible of being
made audible;
202.4. “Fixation” means the embodiment of sounds, or of the
representations thereof, from which they can be perceived,
reproduced or communicated through a device;
202.5. “Producer of a sound recording” means the person, or the
legal entity, who or which takes the initiative and has the
responsibility for the first fixation of the sounds of a performance
or other sounds, or the representation of sounds;
202.6. “Publication of a fixed performance or a sound recording”
means the offering of copies of the fixed performance or the
sound recording to the public, with the consent of the right holder:
Provided, That copies are offered to the public in reasonable
quality;
202.7. “Broadcasting” means the transmission by wireless means
for the public reception of sounds or of images or of
representations thereof; such transmission by satellite is also
“broadcasting” where the means for decrypting are provided to
the public by the broadcasting organization or with its consent;
202.8. “Broadcasting organization” shall include a natural person
or a juridical entity duly authorized to engage in broadcasting; and
202.9. “Communication to the public of a performance or a sound
recording” means the transmission to the public, by any medium,
otherwise than by broadcasting, of sounds of a performance or
the representations of sounds fixed in a sound recording. For
purposes of Section 209, “communication to the public” includes
making the sounds or representations of sounds fixed in a sound
recording audible to the public.
SECTION 203. Scope of Performers’ Rights. - Subject to the
provisions of Section 212, performers shall enjoy the following
exclusive rights:
203.1. As regards their performances, the right of authorizing:
(a) The broadcasting and other communication to the public of
their performance; and
(b) The fixation of their unfixed performance.
203.2. The right of authorizing the direct or indirect reproduction
of their performances fixed in sound recordings, in any manner or
form;
203.3. Subject to the provisions of Section 206, the right of
authorizing the first public distribution of the original and copies of
their performance fixed in the sound recording through sale or
rental or other forms of transfer of ownership;
203.4. The right of authorizing the commercial rental to the public
of the original and copies of their performances fixed in sound
recordings, even after distribution of them by, or pursuant to the
authorization by the performer; and
203.5. The right of authorizing the making available to the public
of their performances fixed in sound recordings, by wire or
wireless means, in such a way that members of the public may
access them from a place and time individually chosen by them.
(Sec. 42, P.D. No. 49a)
SECTION 204. Moral Rights of Performers. - 204.1.
Independently of a performer’s economic rights, the performer,
shall, as regards his live aural performances or performances
fixed in sound recordings, have the right to claim to be identified
as the performer of his performances, except where the omission
is dictated by the manner of the use of the performance, and to
object to any distortion, mutilation or other modification of his
performances that would be prejudicial to his reputation.
204.2. The rights granted to a performer in accordance with
Subsection 203.1 shall be maintained and exercised fifty (50)
years after his death, by his heirs, and in default of heirs, the
government, where protection is claimed. (Sec. 43, P.D. No. 49)
SECTION 205. Limitation on Right. - 205.1. Subject to the
provisions of Section 206, once the performer has authorized the
broadcasting or fixation of his performance, the provisions of
Sections 203 shall have no further application.
205.2. The provisions of Section 184 and Section 185 shall apply
mutatis mutandis to performers. (n)
SECTION 206. Additional Remuneration for Subsequent
Communications or Broadcasts. - Unless otherwise provided in
the contract, in every communication to the public or broadcast of
a performance subsequent to the first communication or
broadcast thereof by the broadcasting organization, the performer
shall be entitled to an additional remuneration equivalent to at
least five percent (5%) of the original compensation he or she
received for the first communication or broadcast. (n)
SECTION 207. Contract Terms. - Nothing in this Chapter shall be
construed to deprive performers of the right to agree by contracts
on terms and conditions more favorable for them in respect of any
use of their performance. (n)
CHAPTER XIII
Producers of Sound Recordings
SECTION 208. Scope of Right. - Subject to the provisions of
Section 212, producers of sound recordings shall enjoy the
following exclusive rights:
208.1. The right to authorize the direct or indirect reproduction of
their sound recordings, in any manner or form; the placing of
these reproductions in the market and the right of rental or
lending;
208.2. The right to authorize the first public distribution of the
original and copies of their sound recordings through sale or
rental or other forms of transferring ownership; and
208.3. The right to authorize the commercial rental to the public of
the original and copies of their sound recordings, even after
distribution by them by or pursuant to authorization by the
producer. (Sec. 46, P.D. No. 49a)
SECTION 209. Communication to the Public. - If a sound
recording published for commercial purposes, or a reproduction
of such sound recording, is used directly for broadcasting or for
other communication to the public, or is publicly performed with
the intention of making and enhancing profit, a single equitable
remuneration for the performer or performers, and the producer of
the sound recording shall be paid by the user to both the
performers and the producer, who, in the absence of any
agreement shall share equally. (Sec. 47, P.D. No. 49a)
SECTION 210. Limitation of Right. - Sections 184 and 185 shall
apply mutatis mutandis to the producer of sound recordings.
(Sec. 48, P.D. No. 49a)
CHAPTER XIV
Broadcasting Organizations
SECTION 211. Scope of Right. - Subject to the provisions of
Section 212, broadcasting organizations shall enjoy the exclusive
right to carry out, authorize or prevent any of the following acts:
211.1. The rebroadcasting of their broadcasts;
211.2. The recording in any manner, including the making of films
or the use of video tape, of their broadcasts for the purpose of
communication to the public of television broadcasts of the same;
and
211.3. The use of such records for fresh transmissions or for
fresh recording. (Sec. 52, P.D. No. 49)
CHAPTER XV
Limitations on Protection
SECTION 212. Limitations on Rights. - Sections 203, 208 and
209 shall not apply where the acts referred to in those Sections
are related to:
212.1. The use by a natural person exclusively for his own
personal purposes;
212.2. Using short excerpts for reporting current events;
212.3. Use solely for the purpose of teaching or for scientific
research; and
212.4. Fair use of the broadcast subject to the conditions under
Section 185. (Sec. 44, P.D. No. 49a)
CHAPTER XVI
Term of Protection
SECTION 213. Term of Protection. - 213.1. Subject to the
provisions of Subsections 213.2 to 213.5, the copyright in works
under Sections 172 and 173 shall be protected during the life of
the author and for fifty (50) years after his death. This rule also
applies to posthumous works. (Sec. 21, first sentence, P.D. No.
49a)
213.2. In case of works of joint authorship, the economic rights
shall be protected during the life of the last surviving author and
for fifty (50) years after his death. (Sec. 21, second sentence,
P.D. No. 49)
213.3. In case of anonymous or pseudonymous works, the
copyright shall be protected for fifty (50) years from the date on
which the work was first lawfully published: Provided, That where,
before the expiration of the said period, the author’s identity is
revealed or is no longer in doubt, the provisions of Subsections
213.1. and 213.2 shall apply, as the case may be: Provided,
further, That such works if not published before shall be protected
for fifty (50) years counted from the making of the work. (Sec. 23,
P.D. No. 49)
213.4. In case of works of applied art the protection shall be for a
period of twenty-five (25) years from the date of making. (Sec.
24(B), P.D. No. 49a)
213.5. In case of photographic works, the protection shall be for
fifty (50) years from publication of the work and, if unpublished,
fifty (50) years from the making. (Sec. 24(C), P.D. 49a)
213.6. In case of audio-visual works including those produced by
process analogous to photography or any process for making
audio-visual recordings, the term shall be fifty (50) years from
date of publication and, if unpublished, from the date of making.
(Sec. 24(C), P.D. No. 49a)
SECTION 214. Calculation of Term. - The term of protection
subsequent to the death of the author provided in the preceding
Section shall run from the date of his death or of publication, but
such terms shall always be deemed to begin on the first day of
January of the year following the event which gave rise to them.
(Sec. 25, P.D. No. 49)
SECTION 215. Term of Protection for Performers, Producers and
Broadcasting Organizations. - 215.1. The rights granted to
performers and producers of sound recordings under this law
shall expire:
(a) For performances not incorporated in recordings, fifty (50)
years from the end of the year in which the performance took
place; and
(b) For sound or image and sound recordings and for
performances incorporated therein, fifty (50) years from the end
of the year in which the recording took place.
215.2. In case of broadcasts, the term shall be twenty (20) years
from the date the broadcast took place. The extended term shall
be applied only to old works with subsisting protection under the
prior law. (Sec. 55, P.D. No. 49a)
CHAPTER XVII
Infringement
SECTION 216. Remedies for Infringement. - 216.1. Any person
infringing a right protected under this law shall be liable:
(a) To an injunction restraining such infringement. The court may
also order the defendant to desist from an infringement, among
others, to prevent the entry into the channels of commerce of
imported goods that involve an infringement, immediately after
customs clearance of such goods.
(b) Pay to the copyright proprietor or his assigns or heirs such
actual damages, including legal costs and other expenses, as he
may have incurred due to the infringement as well as the profits
the infringer may have made due to such infringement, and in
proving profits the plaintiff shall be required to prove sales only
and the defendant shall be required to prove every element of
cost which he claims, or, in lieu of actual damages and profits,
such damages which to the court shall appear to be just and shall
not be regarded as penalty.
(c) Deliver under oath, for impounding during the pendency of the
action, upon such terms and conditions as the court may
prescribe, sales invoices and other documents evidencing sales,
all articles and their packaging alleged to infringe a copyright and
implements for making them.
(d) Deliver under oath for destruction without any compensation
all infringing copies or devices, as well as all plates, molds, or
other means for making such infringing copies as the court may
order.
(e) Such other terms and conditions, including the payment of
moral and exemplary damages, which the court may deem
proper, wise and equitable and the destruction of infringing copies
of the work even in the event of acquittal in a criminal case.
216.2. In an infringement action, the court shall also have the
power to order the seizure and impounding of any article which
may serve as evidence in the court proceedings. (Sec. 28, P.D.
No. 49a)
SECTION 217. Criminal Penalties. - 217.1. Any person infringing
any right secured by provisions of Part IV of this Act or aiding or
abetting such infringement shall be guilty of a crime punishable
by:
(a) Imprisonment of one (1) year to three (3) years plus a fine
ranging from Fifty thousand pesos (P50,000) to One hundred fifty
thousand pesos (P150,000) for the first offense.
(b) Imprisonment of three (3) years and one (1) day to six (6)
years plus a fine ranging from One hundred fifty thousand pesos
(P150,000) to Five hundred thousand pesos (P500,000) for the
second offense.
(c) Imprisonment of six (6) years and one (1) day to nine (9) years
plus a fine ranging from Five hundred thousand pesos (P500,000)
to One million five hundred thousand pesos (P1,500,000) for the
third and subsequent offenses.
(d) In all cases, subsidiary imprisonment in cases of insolvency.
217.2. In determining the number of years of imprisonment and
the amount of fine, the court shall consider the value of the
infringing materials that the defendant has produced or
manufactured and the damage that the copyright owner has
suffered by reason of the infringement.
217.3. Any person who at the time when copyright subsists in a
work has in his possession an article which he knows, or ought to
know, to be an infringing copy of the work for the purpose of:
(a) Selling, letting for hire, or by way of trade offering or exposing
for sale, or hire, the article;
(b) Distributing the article for purpose of trade, or for any other
purpose to an extent that will prejudice the rights of the copyright
owner in the work; or
(c) Trade exhibit of the article in public, shall be guilty of an
offense and shall be liable on conviction to imprisonment and fine
as above mentioned. (Sec. 29, P.D. No. 49a)
SECTION 218. Affidavit Evidence. - 218.1. In an action under this
Chapter, an affidavit made before a notary public by or on behalf
of the owner of the copyright in any work or other subject matter
and stating that:
(a) At the time specified therein, copyright subsisted in the work
or other subject matter;
(b) He or the person named therein is the owner of the copyright;
and
(c) The copy of the work or other subject matter annexed thereto
is a true copy thereof, shall be admitted in evidence in any
proceedings for an offense under this Chapter and shall be prima
facie proof of the matters therein stated until the contrary is
proved, and the court before which such affidavit is produced
shall assume that the affidavit was made by or on behalf of the
owner of the copyright.
218.2. In an action under this Chapter:
(a) Copyright shall be presumed to subsist in the work or other
subject matter to which the action relates if the defendant does
not put in issue the question whether copyright subsists in the
work or other subject matter; and
(b) Where the subsistence of the copyright is established, the
plaintiff shall be presumed to be the owner of the copyright if he
claims to be the owner of the copyright and the defendant does
not put in issue the question of his ownership.
(c) Where the defendant, without good faith, puts in issue the
questions of whether copyright subsists in a work or other subject
matter to which the action relates, or the ownership of copyright in
such work or subject matter, thereby occasioning unnecessary
costs or delay in the proceedings, the court may direct that any
costs to the defendant in respect of the action shall not be
allowed by him and that any costs occasioned by the defendant
to other parties shall be paid by him to such other parties. (n)
SECTION 219. Presumption of Authorship. - 219.1. The natural
person whose name is indicated on a work in the usual manner
as the author shall, in the absence of proof to the contrary, be
presumed to be the author of the work. This provision shall be
applicable even if the name is a pseudonym, where the
pseudonym leaves no doubt as to the identity of the author.
219.2. The person or body corporate whose name appears on an
audio-visual work in the usual manner shall, in the absence of
proof to the contrary, be presumed to be the maker of said work.
(n)
SECTION 220. International Registration of Works. - A statement
concerning a work, recorded in an international register in
accordance with an international treaty to which the Philippines is
or may become a party, shall be construed as true until the
contrary is proved except:
220.1. Where the statement cannot be valid under this Act or any
other law concerning intellectual property.
220.2. Where the statement is contradicted by another statement
recorded in the international register. (n)
CHAPTER XVIII
Scope of Application
SECTION 221. Points of Attachment for Works under Sections
172 and 173. - 221.1. The protection afforded by this Act to
copyrightable works under Sections 172 and 173 shall apply to:
(a) Works of authors who are nationals of, or have their habitual
residence in, the Philippines;
(b) Audio-visual works the producer of which has his
headquarters or habitual residence in the Philippines;
(c) Works of architecture erected in the Philippines or other
artistic works incorporated in a building or other structure located
in the Philippines;
(d) Works first published in the Philippines; and
(e) Works first published in another country but also published in
the Philippines within thirty days, irrespective of the nationality or
residence of the authors.
221.2. The provisions of this Act shall also apply to works that are
to be protected by virtue of and in accordance with any
international convention or other international agreement to which
the Philippines is a party. (n)
SECTION 222. Points of Attachment for Performers. - The
provisions of this Act on the protection of performers shall apply
to:
222.1. Performers who are nationals of the Philippines;
222.2. Performers who are not nationals of the Philippines but
whose performances:
(a) Take place in the Philippines; or
(b) Are incorporated in sound recordings that are protected under
this Act; or
(c) Which has not been fixed in sound recording but are carried
by broadcast qualifying for protection under this Act. (n)
SECTION 223. Points of Attachment for Sound Recordings. - The
provisions of this Act on the protection of sound recordings shall
apply to:
223.1. sound recordings the producers of which are nationals of
the Philippines; and
223.2. sound recordings that were first published in the
Philippines. (n)
SECTION 224. Points of Attachment for Broadcasts. - 224.1. The
provisions of this Act on the protection of broadcasts shall apply
to:
(a) Broadcasts of broadcasting organizations the headquarters of
which are situated in the Philippines; and
(b) Broadcasts transmitted from transmitters situated in the
Philippines.
224.2. The provisions of this Act shall also apply to performers
who, and to producers of sound recordings and broadcasting
organizations which, are to be protected by virtue of and in
accordance with any international convention or other
international agreement to which the Philippines is a party. (n)
CHAPTER XIX
Institution of Actions
SECTION 225. Jurisdiction. - Without prejudice to the provisions
of Subsection 7.1(c), actions under this Act shall be cognizable by
the courts with appropriate jurisdiction under existing law. (Sec.
57, P.D. No. 49a)
SECTION 226. Damages. - No damages may be recovered
under this Act after four (4) years from the time the cause of
action arose. (Sec. 58, P.D. No. 49)
CHAPTER XX
Miscellaneous Provisions
SECTION 227. Ownership of Deposit and Instruments. - All
copies deposited and instruments in writing filed with the National
Library and the Supreme Court Library in accordance with the
provisions of this Act shall become the property of the
Government. (Sec. 60, P.D. No. 49)
SECTION 228. Public Records. - The section or division of the
National Library and the Supreme Court Library charged with
receiving copies and instruments deposited and with keeping
records required under this Act and everything in it shall be
opened to public inspection. The Director of the National Library
is empowered to issue such safeguards and regulations as may
be necessary to implement this Section and other provisions of
this Act. (Sec. 61, P.D. No. 49)
SECTION 229. Copyright Division; Fees. - The Copyright Section
of the National Library shall be classified as a Division upon the
effectivity of this Act. The National Library shall have the power to
collect, for the discharge of its services under this Act, such fees
as may be promulgated by it from time to time subject to the
approval of the Department Head. (Sec. 62, P.D. 49a)
PART V
Final Provisions
SECTION 230. Equitable Principles to Govern Proceedings. - In
all inter partes proceedings in the Office under this Act, the
equitable principles of laches, estoppel, and acquiescence where
applicable, may be considered and applied. (Sec. 9-A, R.A. No.
166)
SECTION 231. Reverse Reciprocity of Foreign Laws. - Any
condition, restriction, limitation, diminution, requirement, penalty
or any similar burden imposed by the law of a foreign country on
a Philippine national seeking protection of intellectual property
rights in that country, shall reciprocally be enforceable upon
nationals of said country, within Philippine jurisdiction. (n)
SECTION 232. Appeals. - 232.1. Appeals from decisions of
regular courts shall be governed by the Rules of Court. Unless
restrained by a higher court, the judgment of the trial court shall
be executory even pending appeal under such terms and
conditions as the court may prescribe.
232.2. Unless expressly provided in this Act or other statutes,
appeals from decisions of administrative officials shall be
provided in the Regulations. (n)
SECTION 233. Organization of the Office; Exemption from the
Salary Standardization Law and the Attrition Law. - 233.1. The
Office shall be organized within one (1) year after the approval of
this Act. It shall not be subject to the provisions of Republic Act
No. 7430.
233.2. The Office shall institute its own compensation structure:
Provided, That the Office shall make its own system conform as
closely as possible with the principles provided for under Republic
Act No. 6758. (n)
SECTION 234. Abolition of the Bureau of Patents, Trademarks,
and Technology Transfer. - The Bureau of Patents, Trademarks,
and Technology Transfer under the Department of Trade and
Industry is hereby abolished. All unexpended funds and fees,
fines, royalties and other charges collected for the calendar year,
properties, equipment and records of the Bureau of Patents,
Trademarks and Technology Transfer, and such personnel as
may be necessary are hereby transferred to the Office. Personnel
not absorbed or transferred to the Office shall enjoy the
retirement benefits granted under existing law, otherwise, they
shall be paid the equivalent of one month basic salary for every
year of service, or the equivalent nearest fractions thereof
favorable to them on the basis of the highest salary received. (n)
SECTION 235. Applications Pending on Effective Date of Act. -
235.1. All applications for patents pending in the Bureau of
Patents, Trademarks and Technology Transfer shall be
proceeded with and patents thereon granted in accordance with
the Acts under which said applications were filed, and said Acts
are hereby continued to be enforced, to this extent and for this
purpose only, notwithstanding the foregoing general repeal
thereof: Provided, That applications for utility models or industrial
designs pending at the effective date of this Act, shall be
proceeded with in accordance with the provisions of this Act,
unless the applicants elect to prosecute said applications in
accordance with the Acts under which they were filed.
235.2. All applications for registration of marks or trade names
pending in the Bureau of Patents, Trademarks and Technology
Transfer at the effective date of this Act may be amended, if
practicable to bring them under the provisions of this Act. The
prosecution of such applications so amended and the grant of
registrations thereon shall be proceeded with in accordance with
the provisions of this Act. If such amendments are not made, the
prosecution of said applications shall be proceeded with and
registrations thereon granted in accordance with the Acts under
which said applications were filed, and said Acts are hereby
continued in force to this extent for this purpose only,
notwithstanding the foregoing general repeal thereof. (n)
SECTION 236. Preservation of Existing Rights. - Nothing herein
shall adversely affect the rights on the enforcement of rights in
patents, utility models, industrial designs, marks and works,
acquired in good faith prior to the effective date of this Act. (n)
SECTION 237. Notification on Berne Appendix. - The Philippines
shall by proper compliance with the requirements set forth under
the Appendix of the Berne Convention (Paris Act, 1971) avail
itself of the special provisions regarding developing countries,
including provisions for licenses grantable by competent authority
under the Appendix. (n)
SECTION 240. Separability. - If any provision of this Act or the
application of such provision to any circumstances is held invalid,
the remainder of the Act shall not be affected thereby. (n)
SECTION 241. Effectivity. - This Act shall take effect on 1
January 1998. (n)

SECTION 238. Appropriations. - The funds needed to carry out Approved: June 6, 1997
the provisions of this Act shall be charged to the appropriations of
the Bureau of Patents, Trademarks, and Technology Transfer
under the current General Appropriations Act and the fees, fines,
royalties and other charges collected by the Bureau for the
calendar year pursuant to Sections 14.1 and 234 of this Act.
Thereafter such sums as may be necessary for its continued
implementations shall be included in the annual General
Appropriations Act. (n)

SECTION 239. Repeals. - 239.1. All Acts and parts of Acts

inconsistent herewith, more particularly Republic Act No. 165, as
amended; Republic Act No. 166, as amended; and Articles 188
and 189 of the Revised Penal Code; Presidential Decree No. 49,
including Presidential Decree No. 285, as amended, are hereby
repealed.

239.2. Marks registered under Republic Act No. 166 shall remain
in force but shall be deemed to have been granted under this Act
and shall be due for renewal within the period provided for under
this Act and, upon renewal, shall be reclassified in accordance
with the International Classification. Trade names and marks
registered in the Supplemental Register under Republic Act No.
166 shall remain in force but shall no longer be subject to
renewal.

239.3. The provisions of this Act shall apply to works in which

copyright protection obtained prior to the effectivity of this Act is
subsisting: Provided, That the application of this Act shall not
result in the diminution of such protection. (n)