Patents And Their Importance

KEY TAKEAWAYS

• Intellectual property rights are those rights granted to persons for their unique and intangible creations of the mind.
• Patent is a kind of intellectual property right that is granted for a technical invention.
• Section 2(1)(j) of the Patents Act, “invention” means a new product or process involving an inventive step and capable of industrial application.
• Inventions falling under the scope of Sec (3) and (4) of the Patents Act, 1970, are not patentable.
• The significance of patents in our society is sky-scraping as they promote innovation and help develop new products.

INTRODUCTION

The creative excellence of human beings is what ensures the progress of the world. In an era where artificial intelligence helps and assists individuals to carry out their daily tasks, the inventions of humans have shown to be of utmost use and importance. Intellectual property rights are those rights granted to persons for their unique and intangible creations of the mind. They’re primarily of three kinds namely patents, copyrights, and trademarks. In this article, we shall delve deep into what patents are and their significance in today’s world.

WHAT IS A PATENT

A patent is a legal right that is guaranteed by the government, to the inventors of an invention. Such a right exclusively allows the inventor to make, use, and sell the invention for a specified period. Not all inventions can be patented, and to be patentable, the technical invention has to satisfy three essential conditions.

• The invention should be novel.
• The invention should be non-obvious. 
• The invention should be useful. 

For an invention to be patented, it must not have existed beforehand. Such an invention should be innovative and a clear upgrade with respect to similar existing inventions. It should prove itself to be useful and technologically advanced. It should have industrial applicability and provide something more than what is already available in the public domain. Moreover, patents cannot be granted to any invention used for immoral and illegal purposes. In India, a huge set of inventions are regarded as not patentable. This includes inventions relating to atomic energy, traditional knowledge, method of agriculture or horticulture, any invention that goes against the natural laws, plants, animals, anything included in the Copyright Act, of 1957, etc. 

RIGHTS OF A PATENTEE

• Right to exploit the patent

The patent holder has the exclusive authority to make, use, sell, or import the patent in India. In case the invention is a production process, the owner of the patent reserves the right to share the procedure with another person. Furthermore, the agent of the patent holder can also enforce this right.

• Right to Grant or Assign Licenses

The patent holder can assign or grant licenses for the distribution and manufacture of the product to other parties. If there is more than one owner of the product, all of them have to grant the license collectively to the third party.

• Right to Surrender the Patent

After seeking permission from the controller, the patent holder can surrender the patent. The controller holds the authority to advertise this surrender under the Patents Act, of 1970.

• Right before Selling 

As per section 24 of the Patents Act, a patent is protected from the date of the notification for approval to the date of the notification's adoption. Once the notification is approved and presented, the patentee’s rights will be applicable.

• Right to Apply for the Patent of Addition 

According to sections 54 to 56 of the patents act, any modifications to the existing inventions are allowed. Once the notification of approval is presented to the public, the patent holder is granted rights over the modified invention.

• Right to Sue in Case of Infringement 

Violation of the rights of patent holders is known as patent infringement. In case of infringement, the patent holder can approach the courts and get their grievance redressed. The courts can grant a permanent injunction to the defendants or award damages to the plaintiff.

IMPORTANCE OF PATENTS

Any creation of mind that is a result of conscientious and hard work should be credited and protected. Patenting one's inventions prevents others from copying the work and subsequently lowers the competition in the market. A patent gives its inventor exclusive rights that guarantee, no other infringer can indulge in the selling, marketing, and making of such an invention. The legal consequences which the infringers have to face in case of such exploitation will deter them from the infringement of the invention. The patented invention will help to boost the market standards and place the inventor in an esteemed position within the market. This provides a creative edge that can either be inspiring to other competitors to do better or increase the market image of the inventor as someone who initiates ideas and leads the rest. It provides a level of control to the inventors in the vast field of technology and heightens the value of a company in investment negotiations. Patent for business, helps the business to grow and brands the products more effectively. It also instills trust in the clients as they can swear by the inventions. Even in the case where one doesn’t have the means to exploit the patent, one can still sell it and make a profit. At times, inventors cannot commercialize the invention on a large scale. In such cases, they permit any third party to manufacture, sell and market the product and avail of a licensing fee. Thereby, the inventor earns revenue for their efforts and patents are a way to ensure that. The inventor can also bring his invention to the commercial market and receive higher returns on the investment he had made for its development. A patent has specific commercial values such as exposure to new markets which will come in handy for start-ups and attracting new investors. Patent portfolios are an excellent way of displaying an organization's capability and strengths. Potential investors understand the value of a patent as an intangible asset and want to make sure that their investments will be secure. Funds can also be acquired from equity investors, venture capitalists, and government grants through patents.

CONCLUSION

Patent law encourages innovative and competent persons, by guaranteeing them certain legal rights, to devise inventions that ease and limit human application. The goal of patent law is the advancement of technology. Many well-doing businesses in our society have obtained significant profit by patenting their innovations. American multinational technology company Apple, makes enormous profits every year through the sale of Apple’s iPhone, as they patent everything they could after its official launch. Patent rights have been deemed to be a necessity for businesses in present-day society as they’re a valuable commercial tool that helps in the success of businesses.