New Zealand - Intellectual Property Reforms

 

There are number of intellectual property law reforms either proposed or enacted by the New Zealand government.  The proposed new laws will work their way over the next 12 months through the legislative process and could possibly be enacted by the end of the year.  

Trade Marks Amendments Act 2005:

With effect from December 15, 2005, the new Amendment has made two significant changes to the Trade Mark Act 2002.  The Trade Mark Act 1953 which stated that the trade mark applicant had to be the proprietor which provision was used in case of disputed ownership.  The provision was omitted from the 2002 Act, but a new ban on registration was included where an application is made in bad faith means dishonesty or misrepresentation in an application requiring investigation.  The 2005 Amendment has re-introduced the proprietor requirement, but has used the term owner instead of proprietor in the context of an unregistered trade mark, the person who owns all of the rights in the mark. 

Revocation based on non-use:

The 2005 Amendment has attempted to clarify the non-use provisions, particularly the transitional provisions under the 2002 Act.  Under the Amendment of 2005, a trade mark registration may be revoked for non-use on two grounds: (i) Up to the date one month before the application for revocation is made, if non-use occured continuously for three years and (ii) the use of trade mark has been suspended for an uninterrupted period of three years.  A registration cannot be revoked under either ground if use of the trade mark started before the application for revocation is made.  With regard to transitional provisions, they were designed in such a way that a trade mark owner who achieved registration under 1953 Act when the non use period was five years would not be penalized when the non-used period became three years.

Draft Patents Bill:

The following proposals suggested in the Bill for significant changes to the existing patents are:

1) The current 1953 legislation was transplanted almost verbatim from the British Patents Act.  The draft Bill is a hybrid of the Australian, British and American utility guidelines.

2) The novelty standard for a patent under the Bill changes from local novelty to absolute novelty.  Inventiveness will be evaluated during examination and applicants will be obliged to disclose the results of any search by a foreign patent office for a corresponding application filed outside New Zealand.

3) The Bill excludes patents for methods of therapeutic, diagnostic and medical treatment of humans; patents for plant varieties; and for inventions whose exploitation is contrary to public policy or morality, except business methods and computer software inventions as per the current law.

4) At present there is a three month window to oppose after the application is accepted but before the patent is granted.  The draft Bill removes such oppositions and replaces them with a more limited re-examination by the third parties after acceptance and also after the patent has been granted, but is limited to novelty and inventive step only.  

5) under the draft Bill, the Patents Commissioner may revoke a patent at any time after grant.  The grounds for revocation include prior publication/use, obviousness, insufficiency, innutility and false suggestion.

6) In the draft Bill, the exclusive rights granted to a patent owner have been broadened to include the exclusive right to: make, sell, hire or otherwise dispose of a patented product; use or import a patented product and keep it for the purpose of doing any of the above.  The range of possible infringements is codified to give patent owners better protection than previously.  Unauthorized importation of a patented invention will be an infringement.  The Bill also establishes a new statutory category of 'contributory infringement'.  A contributory infringer is someone who knowingly supplies the means for another to infringe a patent.

Draft Plant Varieties Bill:

A draft Plant Varieties Bill was introduced under the 2005 Act where an infringement relationship between an initial variety and an essentially derived variety was clarified.  Under the present law if a farmer harvests seed from a protected variety and replants those seeds, the act of replanting is not an infringement. In addition to it, the Bill provides that regulations may prescribe species where the growing of farm saved seed of a protecxted variety is an infringement of the owner's right where there is agreement between growers and breeders of that species.

 With regard to geographical indications Bill 2005, the new Act provides relationship between trade marks and geographical indication is dealt with on a first-in-time, first-in-right basis.  The Bill also includes limitations and exceptions to protection as prescribed in the TRIP's Agreement.

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