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CNIPA Releases 4th FAQ on Patent Open Licensing – Handling of Relevant Legal Formalities
Tuesday, September 10, 2024

On August 28, 2024, China’s National Intellectual Property Administration (CNIPA) released the “Frequently Asked Questions about Patent Open Licensing Business- Handling of relevant legal formalities” (专利开放许可业务常见问题解答-相关法律手续业务的办理). Patent open licensing “means that the patentee voluntarily declares to the National Intellectual Property Administration in writing that he is willing to license any unit or individual to implement his patent, and specifies the payment method and standard of the license fee, which will be announced by the National Intellectual Property Administration and implemented as an open license.” Open licensors are entitled to a 15% reduction in annuity fees.

A translation follows:

Q31

Can patents that have been open licensed be transferred?

A: However, the patentee should first withdraw the ongoing patent opening license before going through the procedures for changing the corresponding bibliographic items.

Q32

For patents that have been subject to open licensing, can the patent owner voluntarily give up the patent right?

A: Yes. However, the patent owner should first withdraw the patent open license in force before going through the procedures for abandoning the patent rights.

Q33

Can patents that have been open licensed be used as collateral and go through the patent collateral registration procedures?

A: With the consent of the owner of the security interest, a security interest can be issued and the security interest registration procedures can be handled. When handling the security interest registration, the party concerned shall provide a written statement from the holder of the security interest agreeing to continue to implement the patent open license.

Q34

How to query the publicly disclosed open license declaration, security interest registration, and patent implementation license contract filing information under the name of the party?

Answer: The information on open license declaration, security interest registration and patent implementation license contract filing can be checked on the China Patent Publication Announcement website (http://epub.cnipa.gov.cn/sw ).

Taking the open license declaration as an example, select “Open License Declaration and Withdrawal” in “Transaction Query” – “Transaction Type” on the China Patent Publication and Announcement website.

In “Transaction Information”, you can enter specific information such as the patent owner, contact person, and royalty payment method in the “Transaction Data Information” column for query.

A similar method can be used for information query on registration, change and cancellation of patent pledge and entry into force, change and cancellation of patent implementation license contract filing.

The original text is available here (Chinese only).

Read Part 1, Part 2, Part 3.

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