Law Summary
Definition of Novelty
- Invention is not new if known or used in another country before
- Invention is not new if described in any printed publication prior
Fees and Taxes for Patents
- No tax for inventions made or manufactured in the Philippine Islands
- Payment of twenty pesos plus registration and publication fees upon patent receipt
- Twenty pesos annual tax for inventions made or manufactured largely abroad
- Government patents may allow use by government without payment
Foreign Patents and Representation
- Inventions patented abroad may be patented in the Philippines if a local representative exists
- Special provision for U.S. patents under a different law until 1920
Priority in Patent Applications
- If multiple applications for same invention, priority goes by filing date and time
- Later filed applications suspended pending first application disposition
Issuance and Contents of Patents
- Patents issued in the name of the Government under seal of Bureau of Commerce and Industry
- Must be signed by Director or authorized officer
- Must contain clear and concise description and grant exclusive rights for the term
- Legislature may declare patent government property upon indemnification
Bureau of Commerce and Industry's Role
- Receives and examines patent applications
- Keeps records of issued patents and descriptions
- Maintains public inspection for patented inventions
- May consult government technical experts
Application Procedure
- Application must comply with Secretary of Commerce and Communications’ regulations
- Must be accompanied by model or copy of invention
- Published twice in Official Gazette and widely read newspapers (Spanish and English) for six days
- 30-day period for written objections with detailed reasons
- Investigation and decision after objections or lapse
- Patent announcements published upon granting
Licensing Additions and Improvements
- License may be granted for additions or improvements for a period not exceeding original patent
- Payment of fifty percent of established fees plus applicable taxes
- Compensation to original inventor, determined by Court of First Instance
- Original inventor retains right to exploit improvements and additions
Transfer and Transmission of Patents
- Patents transferable by assignment, sale, exchange, or other methods
- Transfers invalid against third parties unless recorded in Bureau of Commerce and Industry
- Upon intestate death, rights pass to heirs or Government if none
Grounds for Annulment of Patents
- Not involving new invention
- Duplicate patent for same invention
- Fraudulent possession of invention
Expiration and Lapse of Patents
- Patent valid for seventeen years from application date
- Lapse if invention not exploited within five years post-issuance
- Lapse if annual tax unpaid for two consecutive years
Legal Proceedings for Annulment
- Brought at domicile of plaintiff or defendant
- Tried by Courts of First Instance with appeal to Supreme Court
- Five-year prescriptive period from patent issuance
Effects of Nullification and Expiry
- Patent declared null for fraud transferred to rightful plaintiff
- Expired patents become public domain
- Announcements of nullity or expiry published in Official Gazette
Falsification of Patents: Offenses and Penalties
- Fraudulent marking of articles as patented
- Penalties: fine up to 2,000 pesos, imprisonment up to 2 years, or both
- Confiscation of falsified articles
- Liability for damages to injured party
- Aggravating factor if defendant was an employee or obtained invention unlawfully
Aiding in Falsification
- Penal sanctions for knowingly aiding sale or distribution of falsified articles
Prescription of Criminal Actions
- Two-year prescription period for prosecution of falsification offenses
Fees and Charges by Bureau of Commerce and Industry
- Fifty pesos for registration and publication expenses
- Thirty pesos for patent reissue
- Twenty pesos for recording transfers
- Charges for recording other documents based on length
- Certified copies charged at fifty centavos per page plus certificate fee
Preservation of Prior Rights
- Rights acquired before the effectivity of the law are preserved
Effectivity
- Law takes effect upon approval on February 20, 1919.