Compulsory license

Subject:Economy

Context:

Political party CPI(M) has asked the government to invoke Clause 92 of the Patents Act and issue compulsory license to manufacturers to produce the generic version of Remdesivir used for treating coronavirus patients

Concept:

• Compulsory licensing is when a government allows someone else to produce a patented product or process without the consent of the patent owner or plans to use the patent-protected invention itself.
• It is one of the flexibilities in the field of patent protection included in the WTO’s agreement on intellectual property TRIPS (Trade-Related Aspects of Intellectual Property Rights) Agreement and also in Indian patent Act, 1972
• Under Indian Patent Act, 1970, the provision with regard to compulsory licensing is specifically given under Chapter XVI. The conditions which need to be fulfilled in order for a compulsory licence to be granted are laid down under Sections 84 and 92 of the Act.
• As per Section 84, any person who is interested or already the holder of the licence under the patent can make a request to the Controller for grant of Compulsory Licence on patent after three years from the date of grant of that patent.
• While granting the compulsory licence, the Patent office will take into account few measures such as the nature of the invention, any measures already taken by the patentees or any licencee to make full use of the invention, ability of the applicant to work the invention to the public advantage and time elapsed since the grant of the patent i.e. worked or not worked.
• Under clause 92, India has the right to issue a compulsory license to manufacture the drug in India.
• Under Clause 92A of the Patents Act, compulsory license can even be issued for export to countries that may require the drug and not have the capability to manufacture it.