PATENTS ACT 1990 - SECT 133 Compulsory licences--general
PATENTS ACT 1990 - SECT 133
Compulsory licences--general(1) Subject to subsection (1A), a person may apply to the Federal Court, after the end of the prescribed period, for an order requiring the patentee to grant the applicant a licence to work the patented invention.
Note: For compulsory licences for the manufacture and export of patented pharmaceutical inventions to eligible importing countries, see Part 3. However, Part 3 does not prevent a compulsory licence from being ordered under this Part in relation to such an invention (see section 136C).
(1A) A person cannot apply for an order in respect of an innovation patent unless the patent has been certified.
(2) After hearing the application, the court may, subject to this section, make the order if satisfied that:
(a) all the following conditions exist:
(i) the applicant has tried for a reasonable period, but without success, to obtain from the patentee an authorisation to work the invention on reasonable terms and conditions;
(ii) the reasonable requirements of the public with respect to the patented invention have not been satisfied;
(iii) the patentee has given no satisfactory reason for failing to exploit the patent; or
(b) the patentee has contravened, or is contravening, Part IV of the Competition and Consumer Act 2010 or an application law (as defined in section 150A of that Act) in connection with the patent.
(3) An order must direct that the licence:
(a) is not to give the licensee, or a person authorised by the licensee, the exclusive right to work the patented invention; and
(b) is to be assignable only in connection with an enterprise or goodwill in connection with which the licence is used;
and may direct that the licence is to be granted on any other terms specified in the order.
(3B) If the patented invention cannot be worked by the applicant without his or her infringing another patent:
(a) the court is to make the order only if the court is further satisfied that the patented invention involves an important technical advance of considerable economic significance on the invention ( other invention ) to which the other patent relates; and
(b) the court must further order that the patentee of the other invention:
(i) must grant to the applicant a licence to work the other invention insofar as is necessary to work the patented invention; and
(ii) is to be granted, if he or she so requires, a cross-licence on reasonable terms to work the patented invention; and
(c) the court must direct that the licence granted by the patentee of the other invention may be assigned by the applicant:
(i) only if he or she assigns the licence granted in respect of the patented invention; and
(ii) only to the assignee of that licence.
(4) An order operates, without prejudice to any other method of enforcement, as if it were embodied in a deed granting a licence and executed by the patentee and all other necessary parties.
(5) The patentee is to be paid in respect of a licence granted to the applicant under an order:
(a) such amount as is agreed between the patentee and the applicant; or
(b) if paragraph (a) does not apply--such amount as is determined by the Federal Court to be just and reasonable having regard to the economic value of the licence and the desirability of discouraging contraventions of Part IV of the Competition and Consumer Act 2010 or an application law (as defined in section 150A of that Act).
(6) The patentee or the Federal Court may revoke the licence if:
(a) the patentee and the licensee are agreed, or the court on application made by either party finds, that the circumstances that justified the grant of the licence have ceased to exist and are unlikely to recur; and
(b) the legitimate interests of the licensee are not likely to be adversely affected by the revocation.