Cause for concern

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clpstaff &clp articles

New measures on compulsory licensing clarify the application process, but questions remain over how authorities will grant a licence and under what circumstances. China has yet to grant its first compulsory licence, but a decision earlier this year in India has reminded patent owners of the danger

The new Measures on Compulsory Patent Licensing (专利实施强制许可办法)provide additional procedural guidance on how to apply for licences, but not much substantive guidance on what thresholds must be reached for granting a compulsory licence. Without guidance or actual cases of grants, the Chinese compulsory patent licence system is still in its theoretical stage.

On March 15 2012, the State Intellectual Property Office (SIPO) issued the Measures, which will enter into force on May 1 2012. When effective, the Measures will replace the two existing measures on compulsory licensing, the 2003 Measures on Compulsory Patent Licensing and the 2005 Measures on the Public Health Issues Involving the Compulsory Licensing of Patents for Exploitation.

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