| Patents are granted to encourage the inventors to | | | | (f) Prejudice to the establishment of commercial |
| disclose their inventions and also to grant them | | | | activities in India; |
| monopolistic right to exploit the invention. The | | | | (ii) Prejudice to the establishment or development of |
| objective of Patent Grant in India is to ensure that | | | | trade or industry in India in goods not protected by |
| the inventions are worked in India on a commercial | | | | the patent arising from restrictive conditions imposed |
| scale and to the fullest extent without any undue | | | | by the patentee; |
| delay. | | | | (iii) Non-working of the patent in India on a |
| Accordingly, any interested person after expiry of 3 | | | | commercial scale; |
| years from grant of patent even though if he is a | | | | (iv) Demand for the patented articles being met by |
| license under the patent, may make an application to | | | | importation from abroad; and |
| the Controller for grant of compulsory license on the | | | | (v) Commercial working of the patented invention in |
| grounds that: | | | | India being hindered or prevented by import of the |
| (a) the reasonable requirements of the public with | | | | patented articles from abroad. |
| respect to the patented invention have not been | | | | Grant of Compulsory license is for the remaining term |
| satisfied; and | | | | of patent unless a shorter period looks reasonable |
| (b) the patented invention is not available to the | | | | and required in case to the Controller. |
| public at a reasonable price. | | | | Further, it is to be noted that while granting the |
| (c) the invention is not worked commercially to fullest | | | | license the Controller shall take into account the |
| extent in territory of India. | | | | nature of invention, time elapsed, ability of applicant, |
| The circumstances constituting "failure to meet the | | | | his efforts for obtaining a license on reasonable |
| reasonable requirements'' of public in respect of a | | | | terms. While granting a compulsory license reasonable |
| patent are as follows: | | | | royalty is also paid to the patentee having regard to |
| (i) Inadequate manufacture in India or failure to grant | | | | nature of Invention, its utility, expenses incurred in |
| licenses on reasonable terms with in a period of 6 | | | | maintaining patent grant in India and other factors. |
| months form applying by the applicant resulting in: | | | | Normally request for grant of Compulsory License is |
| (a) Prejudice to an existing trade or industry or its | | | | published and Patentee and other interested persons |
| development, | | | | are afforded reasonable opportunity to defend the |
| (b) Prejudice to the establishment of a new trade or | | | | grant. But in case of national emergency and other |
| industry in India, | | | | urgent condition in public interest the Controller may |
| (c) Prejudice to the trade or industry of any person | | | | first grant the License and then notify the Patentee |
| or class of persons, | | | | and other interested persons. |
| (d) Demand for the patented article not being met | | | | Under special circumstances of medical emergency |
| adequately by local manufacture, | | | | supported by notification by foreign country in this |
| (e) Failure to develop an export market for the | | | | regard controller may grant compulsory license to |
| patented articles made in India, | | | | meet the medical emergency in that country. |