Chapter V Compulsory License for Exploitation of Patent

Article 72 After the expiration of three years from the date of the grant of the patent right, any entity may, in accordance with the provisions of Article 48 of the Patent Law, request the patent administration department under the State Council to grant a compulsory license.

Any entity requesting a compulsory license shall submit to the patent administration department under the State Council a request for compulsory license, state the reasons therefor, and attach relevant certifying documents each in two copies.

The patent administration department under the State Council shall send a copy of the request for compulsory license to the patentee, who shall make his or its observations within the time limit specified by the patent administration department under the State Council. Where no response is made within the time limit, the patent administration department under the State Council will not be affected in making a decision concerning a compulsory license.

The decision of the patent administration department under the State Council granting a compulsory license for exploitation shall limit the exploitation of the compulsory license to be predominately for the supply of the domestic market. Where the invention-creation involved in the compulsory license relates to the semi-conductor technology, the exploitation of the compulsory license shall be limited only for public non-commercial use or to remedy a practice determined after judicial or administrative process to be anti-competitive.

Article 73 Where any entity or individual requests, in accordance with the provisions of Article 54 of the Patent Law, the patent administration department under the State Council to adjudicate the fees for exploitation, it or he shall submit a request for adjudication and furnish documents showing that the parties concerned have not been able to conclude an agreement in respect of the amount of the exploitation fee. The patent administration department under the State Council shall make an adjudication within three months from the date of receipt of the request and notify the parties concerned accordingly.