Ipr Project - Sem 9 Aditya Pratap Singh
Ipr Project - Sem 9 Aditya Pratap Singh
ASSIGNMENT
Topic :-PATENT INFRINGEMENT
SUBMITTED BY :- SUBMITTED TO :-
SEMESTER : - 9TH
SELF-FINANCE
ACKNOWLEDGEMENT
1
grateful to them for sharing their truthful and illuminating views on a number of
issues related to the project.
I also take this opportunity to thank the staff of JAMIA MILIA ISLAMIA
who supported me very much in making of this project specially the LIBRARY
members who provided me the right book.
Lastly I want to thank my friends and family who are with me and supported
me whenever I needed to complete this project, and without whose help this
assignment might not be so fruitful.
Thank you,
TABLE OF CONTENTS: -
1. INTRODUCTION
Intellectual Property
Patents
2
Patent infringement
2. PATENT INFRINGEMENT
3. PATENT INFRINGEMENT LITIGATION
4. TYPES OF PATENT INFRINGEMENT
5. PENALTIES FOR PATENT INFRINGEMENT
6. PATENT INFRINGEMENT IN INDIA
7. FAMOUS PATENT INFRINGEMENT CASES
8. LAWSUITS ON PATENT INFRINGEMENTS IN INDIA
9. CONCLUSION.
INTRODUCTION:-
4
IMPORTANCE OF IPR
a) Give the inventors exclusive rights of dealing.
b) Permit avoiding of competitors and increase entry barriers.
c) Allow entry to a technical market
d) Generate steady income by issuing license.
e) A registered intellectual property right is property, just like your
capital assets. However, it is an asset that can be leveraged through
licensing and can therefore be highly valuable. It can also greatly
enhance the value of a business when it is sold.
f) Benefits the economy
g) Promotes innovation
h) “Open source” relies on IPR
Open source mechanisms are becoming popular in certain sectors such
as software (cf. GPL licences, etc.). While the common perception is that
such mechanisms are characterized by the absence of any IP protection,
it is worth noting that a typical GPL (General Public) licence actually
relies on IP rights as it is typically a copyright license which remains
valid as long as certain conditions are complied with (e.g. freedoms
received by the licensee must be passed on to subsequent users, even
where the software is modified).
i) Providing guarantees regarding the quality and safety of products
PATENTS
A patent is a set of exclusive rights granted by a sovereign state to
an inventor or assignee for a limited period of time in exchange for
detailed public disclosure of an invention. An invention is a solution to a
specific technological problem and is a product or a process.
5
This refers to innovations – new or improved product and processes
which are meant for industrial applications. This is a territorial right
which requires registration for a limited time. Patent is a contract
between an inventor as an individual and the society as a whole. The
inventor has exclusive right to prevent anybody making use of and/or
selling a patented invention. Of course, this is only for a specific
duration till the inventor discloses the details of invention to the public.
1. Novelty
2. Inventiveness(Non-obviousness)
3. Usefulness
1. Novelty
A novel invention is one,which has not been disclosed,in prior art where
prior art means everything that has been published,presented or
otherwise disclosed to the public on the date of patent.
2. Inventiveness(Non-Obviousness)
3. Usefulness
An invention must posses utility for the grant of patent.No valid patent
can be granted for an invention devoid of utility.
Types of patents
i) Utility patents
ii) Design patents
iii) Plant patents
i) Utility patents
A utility patent may be available for inventions which are novel, useful,
and non-obvious. Utility patents can be obtained for the utilitarian or
functional aspects of an invention. Utility patents have a term of twenty
years from the date of filling the patent application with the patent and
6
trademark office, although term extensions are available in certain
specific situations. During the term of a utility patent, maintenance fees
must be paid in order to sustain the patent.
Plant patent can be granted to any one who invents or discovers and
reproduces a new variety of plant. A plant patent may be issued for the
invention or discovery of a distinct and new variety of plants, which may
be asexually reproduced. To qualify for this type of patent, the discovery
or invention must be novel, distinct, and non-obvious. A plant patent has
a term of 20 years from the date of filing.
Patent infringement :-
Patent infringement is the commission of a prohibited act with respect to
a patented invention without permission from the patent holder.
Permission may typically be granted in the form of a license. The
definition of patent infringement may vary by jurisdiction, but it typically
includes using or selling the patented invention. In many countries, a
7
use is required to be commercial (or to have a commercial purpose) to
constitute patent infringement.
The scope of the patented invention or the extent of protection is defined
in the claims of the granted patent. In other words, the terms of the
claims inform the public of what is not allowed without the permission of
the patent holder.
Patents are territorial, and infringement is only possible in a country
where a patent is in force. For example, if a patent is granted in the
United States, then anyone in the United States is prohibited from
making, using, selling or importing the patented item, while people in
other countries may be free to exploit the patented invention in their
country. The scope of protection may vary from country to country,
because the patent is examined -or in some countries not substantively
examined- by the patent office in each country or region and may be
subject to different patentability requirements.
Indirect infringement
In certain jurisdictions, there is a particular case of patent infringement
called "indirect infringement." Indirect infringement can occur, for
instance, when a device is claimed in a patent and a third party supplies
a product which can only be reasonably used to make the claimed
device.
Patent Infringement Litigation: The Basics1
8
Defenses to a Patent Infringement Lawsuit
The patent holder bears the burden of proof to show that the defendant
infringed the patent. The plaintiff must prove infringement by a
preponderance of the evidence. This standard means that the greater
weight of the evidence must show that the patent is infringed.
2
https://www.upcounsel.com/types-of-patent-infringement
9
This type of infringement involves the purchase or importation of a part
that aids in creating a patented item. To prove contributory infringement,
one must show that the component's main use would be to create a
patented item. A generic item that has other uses usually doesn't qualify
in proving contributory infringement.
Induced Infringement
This occurs when a person or company aids in patent infringement by
providing components or helping to make a patented product. It occurs
through offering instructions, preparing instructions, or licensing plans
or processes.
Willful Infringement
Willful infringement exists when a person demonstrates complete
disregard for someone else's patent. Willful infringement is especially
damaging to defendants in a civil suit. The penalties are much higher,
and typically defendants must pay all attorney and court costs if they are
found guilty.
Literal Infringement
To prove literal infringement, there must be a direct correspondence
between the infringing device or process and the patented device or
process.
Doctrine of Equivalents
Even if the device or method doesn't exactly infringe a patent, a judge
might find in favor of the patent holder. If the device does basically the
same thing and produces the same results, it could be an infringement.
There are five ways to justify a case of patent infringement:
1. Doctrine of Equivalents
2. Doctrine of Complete Coverage
3. Doctrine of Compromise
4. Doctrine of Estoppel
5. Doctrine of Superfluity
Sometimes the end user is not even aware that he or she is using a
patented item unlawfully. Other times, there are too many people using
the item to sue all of them. Rather than suing end users, it might be best
to sue those who are knowingly trying to infringe on a patent.
10
Penalties for Patent Infringement
When someone is found guilty of patent infringement, the penalties
typically include monetary relief to the patent holder. The most
important of these is compensatory damages. These cover the patent
owner's lost profits because of the patent infringement. The amount of
these damages is set after the value of the patent has been determined.
Damages may also include the actual money received by the infringer.
The patent holder is also eligible to receive court costs and attorney
fees that were paid to take the infringer to court.
If a defendant is found guilty of deliberate infringement, the patent
holder is eligible for increased damages. These damages can be up to
three times the normal compensatory damages. These damages can only
be claimed from the date the patent is issued, and the claim can only go
back six years prior to the filing of the infringement claim.
Injunctions are another type of penalty for patent infringement.
Preliminary Injunction versus Permanent Injunction
For infringement disputes in India, the court levels start with the
District Court, then move up to the High Court, and finally the Supreme
Court of India. These disputes are handled similarly to those in the
United States. After the filing of a suit, a hearing is held where the
district court reviews the evidence.
11
If the case deals with both invalidity and infringement, it is heard by the
high courts. Furthermore, a specialized board, the Intellectual Property
Appellate Board, hears all the appeals related to patent infringement.
In India, the process goes as follows:
12
lose valuable time and money. Finding alternatives from the beginning
could be much cheaper.
Some company owners believe that they can get away with using a
patent because their company is small and it will go unnoticed
If the patent is owned by a small company, businesses wrongly
believe that person or company won't have the means to sue an
infringer
When people feel that they are experts in their field, they assume
that if there is a related patent, they already know about it.
With new technology created every day, a new patent could be filed
without knowledge of others in the industry
A patent may exist for a product that isn't commercialized and
therefore unknown to competitors
Permissible Infringement
There are some times when infringement is permissible or at least
excusable. If the patent holder intentionally delays bringing a suit
against the infringer, the infringer could win the case. There are four
other times when infringement is permissible.
13
The owner authorizes the sale of a patented article, allowing a
person to sell it to someone else
An implied license is given when there is also an authorized sale
A person can repair or replace any part of an item that breaks as
long as that specific part is not patented
A person can infringe a patent if the purpose is to experiment with
the product
14
Some Comprehensive General Liability Insurance may offer types of
insurance that cover aspects of patent infringement, such as intellectual
property infringement.
15
frequently, ideas are so abstract that cases of ownership are too complex
to understand.
Here are a few famous patent cases from the tech world:
The plain and ordinary meaning of the claim in view to the way the
patent was used.
The term's meaning as based on the correspondence between the
USPTO and the inventor.
The meaning of the term as it is found in other sources, such as
expert testimony and scholarly journals.
4
https://news.sky.com/story/apple-to-pay-500m-in-long-running-patent-infringement-case-11327181
16
ordered Samsung to pay Apple $539 million for allegedly copying its
patented smartphone features5. Both companies have been in court since
2011, but a retrial over how much Samsung should pay ended last week.
The case settles one issue in a long-running feud between both
companies. After nearly five days of deliberations, a U.S. jury on
Thursday said Samsung Electronics Co Ltd should pay $539 million to
Apple Inc for copying patented smartphone features, technology
publication CNET reported, bringing a years-long feud between the
technology companies into its final stages.
The world's top smartphone rivals have been in court over patents since
2011, when Apple filed a lawsuit alleging Samsung's smartphones and
tablets "slavishly" copied its products. Samsung was found liable in a
2012 trial, but a disagreement over the amount to be paid led to the
current retrial over damages where arguments ended on May 18.
5
https://www.businessinsider.com/samsung-apple-lawsuit-patent-infringement-2018-5?IR=T
6
https://blog.ipleaders.in/patent-infringement/
17
Patent Jurisprudence in India
The Indian Patent Act 1970 is an act which covers the patent
jurisprudence in India. This act was amended in 1999, 2002 and
2005 to adhere to the WIPO and TRIP guidelines on Patents.
With these amendments, there is a paradoxical change in patent
regime in India.
The process patent of Indian patent regime is extended to
product patent regime and the drugs, agriculture, and
pharmaceutical sectors also being covered in new patent regime.
Since 2005 amendments, there are many litigations on patent
right infringements and therefore patent jurisprudence is
evolving with various judgements on many patent related cases
by High court and Supreme court.
Indian patent law protects both product patent and process
patent.
In case of process patent infringement, the burden of proof lies
on the defendant and in case of product patent infringement the
burden lies on the patentee. It is important to have a strong IP
regime in order to promote innovation and also to attract new
investments in India. Further strong IP regime also promotes
research and development in India and consumer will also be
benefitted with new innovative products.
18
Patent infringement is not defined in Indian patent Act, but patent rights
are described in the act. Patent right includes making, distributing,
mortgaging, or selling the invention in India. Therefore, anything which
interferes such patent rights may be considered as infringement of
patent rights. Hence, unauthorized making, using, offering for sale,
selling any patented invention, or importing into India of patented
invention during the live term of a patent may be considered as patent
right infringement. In the initial phase, law suits of patent infringement
were dealt with the tradition of civil suits of Indian court and civil
remedies were awarded. Over the years, patent jurisprudence evolved
and judgements on patent suits are centered on enforcement of rights of
patent holder.
Over last 2-3 years number and nature of patent litigation has evolved
dramatically. Innovators have not restricted themselves to mere gaining
patent protection for their invention, but also aggressively protecting
their patent right from being infringed upon by their competitors.
Therefore, in recent years, protection and enforcement of patent right are
the major points of patent litigation. Further, patent holders are also
aggressively litigating to challenge the claim of new patent by their rivals.
In this case, Novartis , a swizz based pharma company applied for patent
right of its beta crystalline form of Imatinib mesylate( Gleevec). The
patent claim was objected by CIPLA and other generic drug producers.
The patent claim was rejected by Indian patent office and a writ petition
was filed in Hon.
However, in 2013, the Hon. Supreme court of India has dismissed SLP
and upheld that the Novartis claim was failing on both the test of
invention and patentability as per the provisions of section 2(j), (ja ) (l)
and section 3(d) of the patent act.
Indeed, the Hon. Supreme court upheld in paragraph 191 of the said
judgement clearly stated that section 3(d) is valid and it does not disallow
any right to patent on incremental innovation provided that the said
incremental innovation fits into test of patentability.
20
In another patent suit, Novartis filed suit against Indian generic drug
maker Cipla from making or selling generic copy of Novartis’s “Onbrez”.
In this case, temporary injunction was issued by Hon. Delhi High court
against Cipla to protect the patent right of Novartis. The Hon. Delhi High
court has cited Roche vs Cipla case, and observed that a strong prima
facia case was established and validity of the patent of Novartis was not
strongly disputed by Cipla. Further, Cipla’s counter arguments on the
basis of “epidemic” or a “public health crisis”, unable to manufacture the
same in India by Patentee and high cost of patented drug were not
accepted by the Hon. Delhi High court. Therefore, claim of “urgent unmet
need” for the drug in India was rejected by Hon. Delhi High court. Hence,
the court granted injunction against Cipla to prevent patent infringement
of Novartis.
This case is a classic illustration of patent jurisprudence in India to
enforce the patent rights in a fair manner and to prevent inappropriate
application of exemption clauses under patent act with a vested interest
to infringe the patent rights of patentee. Further, the apprehension about
the possibility of discrimination between MNC and Indian company in
Indian patent regime was proved to be wrong.
The court observed that there was a prima facie case in favour of
SYMED. Further, the court also observed that protection to the patent
processes ought to be granted to the SYMED as damages will not be an
effective remedy. Thus, there will be irreparable loss and injury due to
the misuse of patents by Glenmerck. Further, the balance of convenience
was also found to be in favour of SYMED. Thus the court granted an ad
interim injunction restraining Glenmark from manufacturing, selling,
offering for sale, advertising or directly or indirectly dealing in the
production of Linezolid. Thus, infringement of the SYMED’s registered
Patents was effectively remedied by the court.
21
Maj. (Retd.) Sukesh Behl & Anr. vs Koninklijke Phillips case
In this case counterclaim for revocation of the suit under Section 64(1)
(m) of the Patents Act, 1970 (for short “the Patents Act”) for non-
compliance of the provisions of Section 8 was made by Sukesh Behl. In
the original suit Koninklijke Phillips has sued for permanent injunction
restraining Sukesh Behl from infringing its patent and for other
incidental reliefs. However, the court examined counterclaim for
revocation and observed that the failure to comply with the requirement
of Section 8 of the Patents Act would invariably lead to the revocation of
the suit patent under Section 64(1)(m) of the Patents Act. This is
significant judgement in a complex patent jurisprudence to revocation of
the suit on patent infringement.
22
The Hon’ble High Court of Delhi held that there is no Drug- Patent
Linkage mechanism in India as both the Acts have different
objectives and the authority to determine patent standards, is
within the exclusive domain of the Controller of Patents. Moreover,
the patent linkage will have undesirable effect on the India’s Policy
of Public Health. It further held that the market approval of a drug
does not amount to infringement of patent. Therefore, the patent
infringement cannot be presumed, it has to be established in a
court of law. Such adjudication is beyond the jurisdiction of Drug
Authorities.
CONCLUSION:-
The patent regime in India is mainly governed by the Indian Patent Act
1970 which was amended in 1999, 2002 and 2005 to adhere to the WIPO
23
and TRIP guidelines on Patents. Since 2005 amendments, there are
many litigations on patent right infringements and therefore patent
jurisprudence has evolved over the years with various judgements on
many patent related cases by High court and Supreme court. The patent
validity is being tested for innovativeness and patentability of patent.
The claim of patent by the patentee during the law suits are being tested
for the above two aspects. If the court is not convinced with these
aspects, in many cases, the patent claim of patent applicant was
dismissed by Indian judiciary.
BIBLIOGRAPHY
24
STATUTES REFERRED:-
1. Indian Patent Act, 1970
2. The Patent( Amendment ) Act, 2005
WEBSITE REFERRED :-
1. https://wwwupcounsel.com
2. http://www.smallbusiness.findlaw.com
3. http://www.indiankanoon.com
4. http://www.academia.edu
5. http://www.businessinsider.com
6. https://blog.ipleaders.in
BOOKS REFERRED:-
1. DR. S.R. Myneni: Law of Intellectual property ,Asia Law House,
Hyderabad.
25