Intellectual Property Guide South Africa 2016: Intellectual Property Office Is An Operating Name of The Patent Office
Intellectual Property Guide South Africa 2016: Intellectual Property Office Is An Operating Name of The Patent Office
Intellectual Property Guide South Africa 2016: Intellectual Property Office Is An Operating Name of The Patent Office
yy patents
yy registered designs
yy trade marks, trade names and domain names
yy copyright
yy confidential information, trade secrets and know-how
yy other special categories of rights, such as plant breeders’ rights
IP rights may either be registered or unregistered. Unregistered rights exist on creation of the IP. Whereas
registered rights must be applied for, from the relevant authority.
IP is an important tool in business. So it is useful to protect and manage your IP to create value. This factsheet
explains the different types of IP recognised in South Africa. It will also consider the ways in which you can
establish and manage IP rights.
This legislation, along with common law and decided case law, defines the rights given to you as an owner of IP.
South Africa is a signatory to the following key treaties, conventions and international organisations:
This establishes minimum thresholds for IP protection for members of the World Trade Organisation.
yy Berne convention
This provides automatic minimum copyright protection for literary and artistic works. This is regardless of the
country of origin of the author or the work.
yy Paris convention
This provides protection of a number of different types of IP, including patents, designs and trade marks. It gives
the right to claim priority in South Africa from an application originating elsewhere. It also lays out certain minimum
rights to be afforded to IP holders.
This allows applicants to simultaneously file an application in multiple countries, including South Africa.
yy International Convention for the Protection of New Varieties of Plants (UPOV Convention)
This provides the protection of Plant Breeder’s Rights. It also allows the right to claim priority from an application
originating elsewhere in the world, including the UK.
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PROTECTING YOUR BRANDING: TRADE MARKS
What is a trade mark?
Trade marks can be words or other marks, such as logos. These are what you use to distinguish your goods or
services from those of other manufacturers and suppliers.
A mark must be capable of visual representation. It could be a name, signature, word, letter, numeral, shape,
configuration, pattern, ornamentation, colour or container, and even a sound. Alternatively it could be any
combination of these, provided it can be visually represented.
Besides the traditional form of the trade mark applied to goods, it is possible for you to register trade marks for a
service in South Africa. For example, the name and logo of a hotel.
Trade marks may be registered for a period of ten years. After this the registration can be renewed for subsequent
ten year periods, in perpetuity.
yy allowing you to stop others from using or registering another trade mark for the same or similar goods or
services if it would likely deceive or cause confusion, without first proving you have used the trade mark
yy allowing you to object to another’s unauthorised use of the trade mark or a similar mark if your registered mark
is well known in South Africa and the use would be likely to take unfair advantage of, or be detrimental to, the
distinctive character or repute of your registered mark
yy giving notice to all interested parties of the rights claimed by you throughout the country
yy enduring indefinitely, subject to use and the payment of renewal fees every ten years
yy allowing you to rely on trade mark registration to prevent competitors using the mark. The registration does
away with the need to prove that the mark has a reputation, which is the case with a common law trade mark
If a trade mark is not used properly or is used either deceptively or becomes generic for the goods or services, all
rights in the trade mark can be lost.
Company names
You can also register company names and trading names as defensive company names. The registration of
defensive company names prevents others from incorporating a company under a name that is confusingly similar
to your trade mark, regardless of the type of goods or services. This can avoid confusion in the market place and
is usually done in conjunction with registering a trade mark.
Domain names
Domain names are valuable corporate assets and identifiers. With the expansion of the internet and e-commerce
it is important for trade mark owners to protect their trade marks online by registering domain names. Being
the owner of a registered trade mark does not automatically entitle you to a specific domain name. You should
therefore register your related domain name via an accredited registrar. The primary domain name space used by
South African companies is the .co.za space. A list of registrars accredited by the .za central registry (ZACR) is
available at https://registry.net.za/accredited/.
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PROTECTING YOUR COPYRIGHT
What is copyright?
Copyright is a form of IP protection that protects written, dramatic or artistic works. IT prevents works being
copied or used without the authorisation of the copyright owner.
You do not need to register copyright in South Africa, it exists automatically. The only form of copyright that you
can register in South Africa is that in cinematograph films.
Thirdly, your work must be in a material form and there must be a physical or tangible product. Thus, your work
cannot be a thought or idea, but must have been created and then “fixed” in some manner. For example, by
writing the content down, recording, filming or capturing it electronically.
Finally, as an author of the work you must be a “qualified person”. A qualified person is:
yy a person who is a South African citizen, a person living or resident in South Africa, or a company with a
registered place of business within South Africa
yy a person living or resident in a country which is a member of the Berne Convention, or a company with a
registered place of business within a country which is a member of the Berne Convention, such as the UK.
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PROTECTING YOUR IDEA: PATENTS
What is a patent?
A patent protects an invention and allows the owner the right to prevent others from exploiting the invention for a
fixed period of time.
What is an invention?
An invention may be a process, a method, a machine, a device, a new material, a chemical compound or chemical
composition. In South Africa, in order to be patentable an invention must meet the following three criteria:
yy your invention must be new, in that it is not previously known anywhere in the world
yy your invention must not be an obvious variation on known technology
yy your invention must be capable of application in trade, industry or agriculture
Assuming that your invention meets all these criteria it may be patentable but there are some exceptions.
Exclusions include discoveries, theories, mathematical methods, artistic works. Schemes or rules for performing
mental acts, playing games or doing business are also excluded
yy file the complete application in South Africa, without filing earlier (priority) patent applications
yy file a provisional (priority) application to establish a “priority date”. This may be either in South Africa or
another country that is a member of the Paris convention. The complete application then must be filed in
South Africa within twelve months of the provisional application
yy entering the national phase in South Africa from a PCT application
Patent prosecution
The South African Patent Office only reviews patent applications filed in South Africa to ensure that they meet the
necessary formalities. It does not complete a full examination. As such, once the formalities are complied with,
the application will be accepted. This typically takes place 18 months from the date of filing but this period can
be extended on request. Once accepted, the application usually proceeds to grant within three months. It is then
advertised (published) in the Patent Journal.
South Africa does not substantively examine patent applications. Therefore it is comparatively inexpensive to file
a patent application. However, the onus will be on you as the applicant to ensure your patent application is valid
and complies with all the requirements of South African law when it proceeds to grant. South Africa is considering
introducing the substantive examination of patent applications but this is not yet in force.
It is important to note that your patent is limited to the countries in which it is granted. There is no such thing as
a worldwide patent and to obtain patent protection in South Africa you must file an application in South Africa via
one of the routes mentioned above.
South African law differentiates between two different types of design registrations, namely:
yy aesthetic designs
yy functional designs
In South Africa you may still obtain design registration after the design is disclosed. However you must apply
within six months of the design being released. Release includes publishing the design or selling products that
incorporate the design.
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PROTECTING YOUR PLANT VARIETY:
PLANT BREEDERS’ RIGHTS
What is a plant breeder’s right?
New varieties of plants produced by biological processes cannot be protected by a patent. However, such new
varieties can be protected by a plant breeder’s right. Examples of new varieties that may be protected include
ornamental flowers, agricultural crops, herbs, vines and trees. As a signatory to the 1978 UPOV convention, South
Africa extends rights to breeders in other signatory countries.
yy To be “new”, before filing an application the plant material of the variety must not have been sold or given
away for profit:
yy in South Africa for more than one year
yy in the UK or another Convention/agreement country, in the case of vines and trees, for more than six years
yy in the UK or a Convention/agreement country, in the case of other plant varieties, for more than four years
yy To be “distinct”, the variety must be able to be clearly distinguished from another variety of the same kind of
plant.
yy To be “uniform”, the variety must have the uniform characteristics of the variety in question, subject to the
normal variation that exists in the variety.
yy To be “stable”, the characteristics of the variety must remain unchanged after repeated propagation.
An annual renewal fee is payable before 31 January of each year during the term of the plant breeder’s right.
Know-how can be a valuable asset. This could be information which is not generally known or available that
provides a competitive advantage to the person who knows it. Examples include the architecture and design
of software, algorithms, formulae, business contacts, confidential business information, marketing strategies or
pipeline products.
You should take steps to preserve the confidentiality of know-how. This can include restricting access to the
know-how, obtaining confidentiality and non-use agreements from third parties to whom the know-how is
disclosed, and limiting disclosure by key personnel that possess the know-how once they leave your employment.
Collaborative agreements
If you intend to collaborate with a South African partner you should clearly outline each party’s right to
use the other’s IP. You should also define the ownership of any resulting IP and how any benefits from the
commercialisation of the IP will be shared. You can do this by signing a contact that covers all these aspects.
You should note the provisions of the Intellectual Property Rights from Publicly Financed Research and
Development Act 58 of 2008 (“IPR Act”) when collaborating with a South African public research institution. For
example a university or science council, or indeed any publicly funded entity. With this Act, public institutions
which conduct research and/or development with public resources will own the resulting IP, regardless of what
might have been agreed between the parties. If research and/or development undertaken by the public research
institution is funded by a private entity on a full cost basis, the IP created will fall outside the scope of the IPR
Act. Full costs are calculated in accordance with international financial reporting standards, having regard to the
institution’s financial policies.
Licensing of intellectual property in South Africa can take many forms. These include franchising, endorsement,
publishing, syndication of television programmes, film production and software commercialisation.
When licensing IP, a licensee’s right under a registered form of IP may be recorded in the relevant register. There
are advantages to recording a licence. For example, if the licence is not recorded in the register, the licence
agreement will not generally be allowed as evidence in any legal suit. Thus the licensee cannot easily claim relief
from an infringer. In trade mark licensing, use of the trade mark by a registered user is deemed to be allowed by
the trade mark owner and the recordal of the licence as confirmation of consent to such use.
NB: South African residents are subject to exchange control legislation which regulates the movement of capital
into and out of the country. This legislation applies to commercial arrangements involving IP. Exchange control
legislation instructs that regulatory approval must be obtained before any rights to IP, whether registered or
unregistered, are assigned, surrendered or transferred to a person who is not resident in South Africa.
Furthermore, the payment of licence royalties by a South African resident to a foreigner in respect of a licence
under IP owned by a foreigner will also require regulatory approval. Where a licence agreement entitles a South
African licensee to manufacture products or use a protected method in South Africa, the Department of Trade and
Industry (DTI) must act as an adviser to the transaction and the person requiring exchange control approval must
submit an application to the DTI for consideration. The DTI has published guidelines indicating the licensing terms
in respect of which approval is likely to be granted.
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HOW CAN I PROTECT MYSELF AGAINST INFRINGEMENT OF
MY INTELLECTUAL PROPERTY RIGHTS?
Once you have protected your IP you may wonder how you enforce your rights. An IP professional can give you
legal advice on a dispute, or act on your behalf. The following avenues of enforcement are generally available in
South Africa:
Copyright infringement
In the case of infringement of your copyright you can institute civil law infringement proceedings. Under certain
circumstances, copyright infringement can be a criminal offence and criminal charges can be laid against the
infringer. These charges will be pursued by the South African Police Services and the National Prosecuting
Authority. Criminal copyright infringement can give rise to severe penalties being imposed.
Patent/design infringement
Under the Patents Act and the Designs Act, you can institute civil proceedings for infringement. These
proceedings enable you, as a patent or registered design owner, to claim relief in the form of an interdict,
surrender of the infringing goods or goods which include the infringing product or made using a patented process,
damages or a reasonable royalty in lieu of damages, and costs of suit.
Trade marks
It is advisable to conduct a trade mark availability search before applying for your trade mark.
This helps to confirm the availability of the mark for registration, and to ensure that it will not infringe an
existing registered mark.
It is also possible to make use of a watching service with a law firm, which monitors company names and trade
marks advertised for acceptance. This allows you to be aware of, and if you wish, to oppose registration of
similar marks.
It is also advisable to mark your product with the official patent number and/or registered design number. This is
so infringers cannot claim they were not aware of the existence of the patent and/or registered design.
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GLOSSARY AND USEFUL INFORMATION
Other sources of information
There are also many other sources of information that can be accessed free of charge. You may find the following
websites useful:
Key intellectual property organisations and their interaction with various laws
yy Department of Agriculture, Forestry and Fisheries (DAFF): Governmental department responsible for
agriculture, forestry and fisheries; administers plant breeders’ rights
yy Department of Trade and Industry (DTI): Governmental department responsible for trade and industry; houses
the Companies and Intellectual Property Commission
yy Companies and Intellectual Property Commission (CIPC): An agency of the DTI; administers the trade
yy mark registry and patent and design offices as well as registration of defensive company names and
cinematograph films
Glossary of Terms
Acceptance – confirmation by the relevant IP authority that the IP rights will be granted. This is usually after
advertisement of acceptance.
Advertisement – the publication of acceptance, or other action requiring publication, in the Patent Journal.
Aesthetic design – a design applied to an article, whether for the pattern or the shape or the configuration or
the ornamentation, or combination of these. The design having features which appeal to and are judged solely by
the eye.
Arbitration – a private judicial hearing, with an outcome that binds the parties, and puts an end to the dispute
between them.
Berne Convention – an international agreement governing copyright, which was first accepted in Berne,
Switzerland, in 1886 [South Africa is a member].
Capital – financial assets or the financial value of assets, such as cash, used or available for a purpose.
Civil law – the law dealing with disputes between private parties, or negligent acts that cause harm to others.
Collaborative agreement – an agreement that sets up the terms and conditions of collaboration between two
or more parties.
Commercialisation – managing or exploiting a product, service and/or associated IP in a way designed to make
a profit.
Common law – law that is derived from custom and prior judgement, that is, not legislation.
Confidential information – information shared with a limited number of people with the aim of furthering a
specific purpose.
Costs of suit – reimbursement of an innocent party for the expenses of infringement proceedings (or other
legal proceedings).
Counterfeit goods – imitation goods produced without the authority of the owner of any IP right.
Criminal law – the law dealing with acts of intentional harm to individuals/property but which, in a larger sense,
are offences against us all i.e. crimes.
Damages – the sum of money the law imposes for a breach of some duty or violation of some right, such as
IP rights.
Defensive company name – company names which are registered with the aim of preventing a trade marks
from being included in a new company name.
Domain name – an unique identifier which acts as an address to locate a company or organisation’s website on
the Internet.
Examination – careful inspection of the substance of a patent specification, trade mark application, registered
design application, plant breeder’s right application to determine whether it meets the requirements for granting of
IP rights.
Full/complete patent application - a patent application with complete specification. This must sufficiently
describe, ascertain and, where necessary, illustrate or exemplify the invention and the manner in which it is to be
performed. This should be in enough detail for the invention to be performed by a skilled person.
Functional design – a design applied to an article, whether for the pattern or the shape or the configuration, or
combination of these. The design, having features which are determined by the function it performs.
Hague Agreement – an international agreement governing the international registration of industrial designs
[South Africa is not a member].
Infringement - violating an owner’s exclusive rights to IP assets by committing a prohibited act in respect of
that asset.
Intellectual property – products of human creativity which can have intangible commercial value.
Interdict – a court order that may be sought in order to enforce a right, such as stopping an act of infringement
with respect to IP rights.
Know-how – knowledge which is not readily available and possessed by an individual or company, which
provides the individual or company with a competitive edge.
License – a legal contract between two parties, known as the licensor and the licensee, in which the licensor
grants the licensee the right to produce and sell goods, apply a brand name or trade mark, or use patented
technology owned by the licensor, in exchange for payment.
Madrid system – a system which makes it possible to protect a trade mark in a large number of countries by
obtaining an international registration that has effect in each of the designated contracting parties [South Africa is
not a member].
Mark - any sign capable of being represented graphically, including a device, name, signature, word, letter,
numeral, shape, configuration, pattern, ornamentation, colour or container for goods or any combination of these.
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Mediation – a non-binding process whereby a mediator assists parties in a dispute to reach a consensus.
Non-disclosure agreement –a contract through which parties agree not to disclose information covered by
the agreement.
Official action – a decision of the relevant IP authority detailing the decision regarding that IP right
and reasoning.
Opposition – opposing against any action of the IP right owner or the relevant authority, as prescribed by
relevant legislation.
Patent – a set of exclusive rights granted by the state to an inventor (or someone he has transferred rights to) for
a limited period of time. This is in exchange for detailed public disclosure of an invention.
Patent journal – a journal in which IP applications, registrations, and ancillary applications are published.
PCT application – a patent application filed in accordance with the Patent Co-operation Treaty.
Plant breeder’s right – a set of exclusive rights granted by the state for new plant varieties.
Prior art – technology or similar inventions that predate the invention which is the subject of a patent application.
Priority date – the date of lodging of the first application, whether it is a provisional patent application or other
prior application for a registered design, patent or plant breeder’s right, in which the subject matter of the later
application was disclosed.
Priority patent application – a patent application from which a later application claims priority.
Provisional patent application – a patent application and specification which fairly describes the invention.
It must be completed by filing a later application such as a full patent application or PCT application, otherwise it
will lapse after 12 months.
Registered design – a set of exclusive rights granted by the state on the outward appearance of an object.
Royalties – a payment made by one party to another that owns a particular asset for the right to ongoing use of
that asset. This is usually calculated as a percentage of revenue or profit.
Security – something (e.g. IP rights) pledged as a guarantee of the fulfilment of an undertaking or the repayment
of a loan, to be forfeited in case of failure to meet the agreed terms.
Trade mark – a mark used to distinguish goods and services of the owner from goods and services of others.
Trade secret – confidential information which provides an enterprise with a competitive edge.
UPOV convention – an agreement which establishes the International Union for the Protection of New
Varieties of Plants (UPOV). This is an independent intergovernmental organisation governing IP rights for new
plant varieties.
www.gov.uk/ipo