Chapter 10

• Republic Act No. 165, approved on June 20, 1947, created the Philippine Patent Office (PPO) and prescribed the rules and regulations for the issuance of patents
• Presidential Decree No. 1263, approved on December 14, 1977, amended Chapter 8 of R.A. No. 165
• Executive Order No. 133, dated February 27, 1987, transferred the functions of the PPO to the Bureau of Patents, Trademarks, and Technology Transfer (BPTTT)
• Patent


  A right granted by the Philippine Government to an inventor to exclude others from making, using, or selling their invention within the Philippines
• Patent


  • Confers a monopoly on the inventor so that they may exclusively manufacture and sell their invention for a period of time
  • Allows the inventor to recover costs and realize profits
• Invention patent


  17 years, without extension
• Design and utility model patent

  5 years, extendable for two additional 5-year periods
• What may be patented

  • Invention
  • Design
  • Utility Model
• Invention


  Any new and useful machine, manufactured product or substance, process or any improvement thereof
• Machines


  • Sewing Machine
  • Printing Press
• Manufactured Product


  Practically everything made by man except machinery and substance
• Substance


  Basic materials out of which things are made, with inherent properties that give certain attributes or qualities
• Process


  Method or system composed of a series of controlled actions or movements directed towards a particular end or object
• Process


  • Making steel from iron
  • Making paper products from wood pulp
• Improvement


  Alteration or addition to an existing invention that accomplishes greater efficiency or economy but does not destroy its identity or essential character
• Improvement


  • Original electric fan was stationary, later improvements made it oscillate and added speed control
• Design


  Any new, original and ornamental lay-out of an article of manufacture
• Utility Model


  Any new model of tools or any industrial product, or its parts, which does not possess the quality of invention, but which is of practical utility by reason of its form, configuration, construction or composition
• When is an invention, design or utility model "new"?

  • Invention: Not known or used by others in the Philippines before the inventor applied, not patented or described in any printed publication more than 1 year before application, not in public use or on sale in the Philippines for more than 1 year before application
  • Design: Same as invention but 6 month period instead of 1 year
  • Utility Model: Not publicly known or publicly used in the country, not described in a printed publication circulated within the country, not substantially similar to any other utility model known, used or described within the country
• An invention cannot be patented if it is contrary to public order or morals, or to public health or welfare, or if it constitutes a mere idea, scientific principle or abstract theorem not embodied in an invention or any process not directed to the making or improving of a commercial product
• A patent may also not be granted on a useless device, on a method of doing business, or an improvement in a device which is the result of mere mechanical skill, not for an inoperational machine
• Who may apply for a patent


  Any inventor, including non-resident foreigners who must appoint an agent or representative, or the inventor's executor or administrator if the inventor dies before filing
• How to apply for a patent

  1. File a petition or request for a patent

  2. Submit a specification with detailed description and claims

  3. Provide drawings when necessary

  4. Submit a power of attorney if represented by a registered patent attorney or agent

  5. Provide an oath

  6. Pay the prescribed filing fee
• Models are required in only the most exceptional cases
• Preliminary search in library of patent office


  Inventor should conduct a search to find out if their invention, design or utility model is still patentable, to save expenses of filing an application
• When two inventors apply for the same invention

  BPTTT declares an "Interference" and determines who made the invention first to grant the patent
• "Patent pending" and "Patent applied for" have no legal effect
• Opposition to patent grant


  Any interested party may file a petition to cancel the patent within 3 years of publication on grounds that the invention, design or utility model is not new or patentable, the individual granted the patent is not the real inventor, or certain legal provisions were not complied with
• Rights and remedies of a patentee

  • May file a civil suit against infringers to recover damages
  • May file a criminal suit against repeat infringers, who can be fined up to P10,000 or imprisoned up to 5 years or both
• Voluntary and compulsory licensing of patents

  • Royalty cannot exceed 5% of net wholesale price
  • Licensing contracts cannot include certain restrictive clauses
  • NEDA can require compulsory licensing of patented articles vital to national defense, economy or public health
• Foreign investors criticized the new amendments as curtailing their profits and freedom of operation, fearing it would shut the door to foreign technology and capital investments
• Patent law violation cases

  • Cancellation of utility model patent for sugar cane-cassava planter due to lack of novelty
  • Cancellation of utility model patent for improved toothbrush holder due to similarity to existing product
  • Compulsory licensing order for chemical patent
  • Preliminary injunction and damages for patent infringement of beverage cooler design
  • Cancellation of design patent for electrical switchbox due to similarity to existing design