To start with the importance of statement of working, first, we need to gather knowledge of the basic terms in relation to the patenting system in India. A patent is an exclusive right over the invention with a person who invents that invention. That person is called a patentee, who has to make disclosure in the form of a statement of working to the Indian patent office regarding the commercial exploitation of a patent in India.<\/p>\n\n\n\n
The Statement of Working is submitted by the patentee or licensee with the Indian Patent Office stating the commercial exploitation of a patent in India. It also verifies whether the patent meets the reasonable requirements of the public besides stating the commercial exploitation of patent registration<\/strong><\/a>. <\/p>\n\n\n\n It ensures that if a patent does not come into execution for 3 years from the date of grant or the reasonable requirement of the public is not met; then a third party be given an opportunity.<\/p>\n\n\n\n As per section 146 (2) and Rule 131 of the Indian Patent Act<\/strong>, a Statement of Working needs to be submitted with the IPO (Indian Patent Office). <\/p>\n\n\n\n <\/p> The following details must be provided along with Form-27 (Statement of Working)<\/strong>:<\/p>\n\n\n\n At the time of taking a decision of granting a compulsory license, details provided under the statement of work is used. IPAB (Intellectual Property<\/a> Appellate Board), India<\/strong> considers the information provided under the statement of working while granting a compulsory license in India. This decision had been taken by the IPAB in the case of “Bayer Corporation v. Natco Pharma Ltd<\/strong>”.<\/p>\n\n\n\n The legal status of the patent is not affected by the non-filing of a statement of working or filing of a “not worked” statement; thus, it is not deemed as abandoned or cancelled. <\/p>\n\n\n\n However, it may attract criminal penalties in case of non-filing of a working statement or knowingly furnishing of the incorrect statement. There are penalty provisions prescribed under Section 122(1)(b)<\/strong>, if the patentee or licensee fails to submit information under Section 146. The fine penalty may be extended up to Rs. 10 lakhs. <\/p>\n\n\n\n In case of wrongful information, imprisonment may be imposed for up to six months or a fine or both under Section 122(2). As per section 85 of the Indian Patent Act[1], a patent can also be revoked on the ground that the patented invention is not under working.<\/p>\n\n\n\n At the time of considering infringement suits, the important factor is the working or non-working of a patent. As per section 108 of the Indian Patent Act, the patentee can claim damages and injunction and\/or an account of profit as relief in case of suits relating to patent infringement. <\/p>\n\n\n\n The court may use a statement of working for the information in order to estimate the actual damages claimed. The alleged infringer may argue that the patentee might not have encountered any damages in case a statement of work is not filed.<\/p>\n\n\n\nLegal Provisions of Statement of Working<\/h2>\n\n\n\n
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<\/a>\nCompulsory License<\/h2>\n\n\n\n
Penalty Provisions in case of Non-Compliance<\/h2>\n\n\n\n
Patent Litigation<\/h2>\n\n\n\n