A patent grants individuals exclusive rights to protect new inventions or improvements on existing products or processes for a limited period. In exchange for disclosing the invention, patentees can prevent unauthorized use, sale, creation or importation of the patented item. The patent system in India began in 1856 with the enactment of Act VI and offering a 14-year protection period. The Act was later replaced by the Indian Patent and Design Act 1911. The Indian Patents Act 1970 was enacted in 1972 with an objective to foster indigenous inventions and industrial growth. The Act was shaped by recommendations from Justice N. Rajgopal Ayyangar and Justice Bakshi Tek Chand. Amendments were made in the Patents Act 1970 in the respective years 1999, 2002 and 2005 to adhere with TRIPS requirements. For in-depth knowledge, explore other Bare Acts

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Patents Act 1970 Overview

The Patents Act 1970 governs the patent law in India and promotes innovation and protects the rights of the inventors. The Act defines patent eligibility, application procedures and enforcement mechanisms. The Act encompasses patent filing, examination, opposition and remedies for violations.

The first patent legislation in India was enacted through Act VI of 1856. However, this Act was repealed by Act IX of 1857 as it was implemented without the British Crown’s approval. Subsequently, in 1859, a new law called Act XV of 1859 was introduced to grant ‘exclusive privileges’ for inventions. This legislation made several changes to the earlier law, such as limiting exclusive privileges to only useful inventions, extending the priority period from six months to twelve months, and excluding importers from the definition of inventors.

In 1872, the 1859 Act was combined with provisions for design protection and renamed "The Patents and Designs Protection Act" under Act XIII of 1872, which was later amended in 1883. This Act remained effective for thirty years and underwent another amendment in 1888.

All prior patent laws were repealed by the Indian Patents and Designs Act of 1911. The Patent Act 1970 came into force in 1972 and consolidated and amended existing patent laws in India. This Act was further amended in 2005 by the Patents (Amendment) Act, which expanded product patent protection to cover all fields of technology, including food, drugs, chemicals, and micro-organisms. The 2005 amendment also removed provisions related to Exclusive Marketing Rights (EMRs) and introduced provisions for compulsory licensing as well as pre-grant and post-grant opposition.

Types of Patents

A patent safeguards an inventor’s creation or new discovery that is both novel and non-obvious. There are three main types of patents, each designed to protect a particular kind of invention. It is also possible for a single invention to qualify for more than one type of patent. These three types are described below:

• Utility Patents

Utility patents protect new and useful processes, machines, compositions of matter, or manufactured products. This is the most frequently sought-after patent type. It also covers new improvements made to existing processes, machines, compositions, or manufactured items. Indian inventors seeking to file utility patents can apply in various countries, including Australia, the UAE, China, Germany, France, and European Union nations.

• Design Patents

A design patent protects the ornamental aspects of an object’s appearance, such as its surface decoration, shape, or configuration. This patent applies only when the design is inseparable from the object itself. It exclusively safeguards the visual design of the object. To protect the functional or structural elements, one must also apply for a utility patent.

• Plant Patents

Plant patents are intended to protect new and unique plants. To qualify, the plant must not be a tuber-propagated variety (like the Irish potato), must not occur naturally in the wild, and should be capable of asexual reproduction—that is, propagated through methods like grafting or cutting rather than seeds. Similar to utility patents, India currently does not provide for plant patents, but applicants can seek protection in countries such as Australia, the USA, and several European nations.

Patents Act 1970 Scheme

The Patents Act 1970 is an important foundation of intellectual property law in India. It provides a robust structure for the protection and regulation of inventions. The Act is categorised into 23 chapters and comprehensively addresses important aspects of patent law such as the criteria for patentability, procedures for filing and granting patents, opposition mechanisms and legal remedies available in cases of infringement.

Act 1970 is a cornerstone of intellectual property law with an aim at fostering innovation while baPatents lancing public interest. It provides comprehensive regulations for the protection, use and enforcement of patent rights. The following are the key features of the Patents Act 1970 -

Section 3 of Patents Act 1970: What Are Not Inventions?

Section 3 of the Patents Act 1970 defines categories of inventions that are not patentable. It excludes inventions that are -

• frivolous or contradict established natural laws or
• those harmful to human, animal or plant life or
• those contrary to public order or morality
• Mere discoveries of scientific principles, abstract theories, living or non-living substances in nature or 
• new uses of known substances without enhancing efficacy are also non-patentable
• In addition, mathematical methods, business schemes, computer programs, artistic works, methods of agriculture and traditional knowledge are excluded.

Section 3 (a) of the Patents Act 1970 restricts patents for perpetual motion machines whereas Section 3 (b) does not allow patents for gambling devices and house-breaking tools. Similarly, Section 3 (d) plays an important aspect in public health by restraining the ‘evergreening’ of patents in the pharmaceutical industry and helps to foster affordability of life-saving drugs.

Section 4 of Patents Act 1970: Inventions Relating to Atomic Energy

Section 4 of the Patents Act 1970 excludes any invention regarding atomic energy from patentability in lieu of the Section 20(l) of the Atomic Energy Act, 1962. The provision ensures the peaceful use of atomic energy for public welfare.

Section 25 of Patents Act 1970: Opposition to the Patent

Section 25 of the Patents Act 1970 provides for both pre-grant and post-grant opposition to patents. Pre-grant opposition is governed by Section 25 (1) which enables any person to challenge a patent application before it is granted. Post-grant opposition is dealt under Section 25 (2) which can only be initiated by an ‘interested person’ within one year of patent grant publication. Grounds for opposition includes -

• wrongful claims
• prior publications
• public knowledge
• insufficient descriptions
• traditional knowledge infringements

Section 39 of Patents Act 1970: Residents Not to Apply for Patents Outside India Without Permission

Section 39 of the Patents Act 1970 allows that residents of India must first file a patent application in India before seeking patents abroad. The permission from the Controller is required for foreign filings within six weeks. Failure to comply with the directions under Section 35 leads to criminal liabilities under Section 118 including imprisonment up to two years or patent revocation.

Section 43 of Patents Act 1970: Grant of Patents

Section 43 of the Patents Act 1970 states that the patents are granted by the Controller when the application complies with the essential requisites. Granted patents are recorded in the patent register and made publicly accessible by the Controller.

Section 47 of Patents Act 1970: Conditions for Patent Grant

Section 47 of the Patents Act 1970 lays down the conditions under which granted patents are subject to limitations. The provision allows the Government to import, manufacture or use patented machines, processes or drugs for its use and for public services such as educational and medical purposes.

Section 48 of Patents Act 1970: Rights of Patentees

Section 48 of the Patents Act 1970 bestows exclusive rights to patentees and enables them to prevent unauthorized production, sale or distribution of their patented products. The provision allows inventors significant advantages while also imposing certain restrictions.

Section 53 of Patents Act 1970: Term of Patent

Section 53 of the Patents Act 1970 states that patents are valid for 20 years from the filing date. For Patent Cooperation Treaty applications the term also extends to 20 years from the international filing date.

Section 64 of Patents Act 1970: Revocation of Patents

Section 64 of the Patents Act 1970 provides grounds for revocation of patents. The provision grants a mechanism to ensure that undeserving patents do not remain in force. Any interested person or the Central Government or a party in a counterclaim during an infringement suit can file a petition for revocation before the High Court. The grounds for revocation are extensive and broader than those for post-grant opposition under Section 25 (2). They include -

• wrongful authorship claims
• insufficient disclosure
• prior public use
• prior publication of the invention

Sections 84 to 92 of Patents Act 1970: Compulsory Licensing

Section 84 of the Patents Act 1970 governs compulsory licensing. The provision allows third parties to use a patented invention without the consent of the patentee under specific conditions. A request can be made after 3 years from the date of grant if public requirements for the invention remain unmet, invention is priced unreasonably or it has not been worked in India. Section 92 empowers the Controller to issue compulsory licenses during national emergencies, cases of extreme urgency or public non-commercial use.

Section 100 of Patents Act 1970: Power of Central Government to Use Inventions

Section 100 of the Patents Act 1970 enables the Central Government or its authorized representatives to use any patented invention for governmental purposes. The provision allows the government to use, sell or import patented products specifically for public health services. Section 100 is often invoked in cases where access to medicines and healthcare products is essential for public welfare.

Sections 104 to 114 of Patents Act 1970: Patent Infringement

The provision under Section 104 to Section 114 of the Patents Act 1970 deals with the legal structure around patent infringement. Section 104 provides that infringement suits can only be brought before district courts or higher judicial forums. Section 104 (A) introduces the reverse burden of proof for process patents and requires the defendant to prove that their process is different from the patented one.

Patents Act 1970 Notable Case Law

The Patents Act 1970 has been transformed by several landmark judicial pronouncements. The cases have explained the important aspects of patent protection, innovation standards and the balance between public health and intellectual property rights.

Hoffmann-La Roche Ltd vs Cipla Ltd., Mumbai Central

This case was the first patent infringement case under the Patents Act 1970 after India’s independence. The plaintiff sought an interim injunction to stop the defendant from selling a generic version of the patented drug. However, the court denied the plaintiff’s request and highlighted that the sale of the patented drug served the public interest. Additionally, there was an ongoing counterclaim in a separate court seeking to revoke the patent.

Dr. Snehlata C. Gupte v. Union of India & Ors

The case of Dr. Snehlata C. Gupte v. Union of India & Ors explained the important issue regarding the exact date when a patent is considered granted under the Patents Act 1970. Some argued that a patent is granted as soon as the patent authority decides not to reject the application. However, the court held that the issuance of a formal patent certificate is merely procedural, and the patent is deemed granted only when the Controller officially passes the order accepting the patent application.

Novartis AG v. Union of India

In Novartis AG v. Union of India the Supreme Court dismissed the patent application filed by Novartis for the cancer drug Glivec, referring to Section 3 (d) of the Patents Act 1970 which restricts patents for incremental innovations. The verdict of the Court upheld the stance of India on promoting affordable generic medicines and highlighted the constitutionality of Section 3 (d) of the Act.

Strix Ltd. v. Maharaja Appliances Ltd

The Delhi High Court in Strix Ltd. v. Maharaja Appliances Ltd. awarded an interim injunction against Maharaja Appliances for violation of patent of an electric kettle model. The Court ruled that the Defendant had failed to provide sufficient scientific evidence or expert testimony to challenge the legality of Strix’s patent under the Patents Act 1970.

Conclusion

The Patents Act 1970 is an important legislation for fostering innovation and protecting intellectual property rights in India. The Act promotes technological advancements and balances public welfare. Important amendments and various landmark judgements such as the Novartis case, bolster its role in ensuring accessibility and affordability of essential products.