Source: http://slideplayer.com/slide/751496/
Timestamp: 2017-09-24 03:25:57
Document Index: 474542185

Matched Legal Cases: ['Art. 7', 'Art. 40', 'Art. 31', 'Art.31', 'Art.7', 'Art. 31', 'Art.31', 'Art. 31', 'Art 31']

Durban, South Africa January 29 to 31, 2013 Topic 8: Compulsory Licenses Regional Seminar for Certain African Countries on the Implementation and Use of. - ppt download
Durban, South Africa January 29 to 31, 2013 Topic 8: Compulsory Licenses Regional Seminar for Certain African Countries on the Implementation and Use of.
Published byAllison Sutton Modified over 3 years ago
Presentation on theme: "Durban, South Africa January 29 to 31, 2013 Topic 8: Compulsory Licenses Regional Seminar for Certain African Countries on the Implementation and Use of."— Presentation transcript:
1 Durban, South Africa January 29 to 31, 2013 Topic 8: Compulsory Licenses Regional Seminar for Certain African Countries on the Implementation and Use of Several Patent-Related Flexibilities REPUBLIC OF SOUTH AFRICA
2 The TRIPS Agreement and compulsory licenses Thu-Lang TRAN WASESCHA Counsellor, Intellectual Property Division WTO Secretariat Tran Wasescha- January 2013 WIPO-DTI Regional Seminar for Certain African Countries on the Implementation and Use of Several Patent-Related Flexibilities Durban, South Africa, 29-31 January 2013
3 Outline The life of a patented invention Article 31 TRIPS in general – The approach of conditions versus grounds for compulsory licenses (CL) – Different types of use without authorization – Rules for a common CL Article 31 TRIPS and public health – Doha Declaration on TRIPS-public health – Paragraph 6 system
4 The life of a patented invention The normal and ideal life of a patented invention or how a company usually proceeds (very simplified presentation): – Invention: is it patentable? – Application: rules to be fulfilled (important to disclose (dissemination of knowledge: Art. 7 objective (social deal) – Steps of procedure, depending on system adopted – Grant of patent (balance of interests with safeguards normally)
5 The life of a patented invention What could the patent owner do: 1.Work it himself? 2.Sell it? 3.Licence it? Voluntary licence – ideal because non-conflictual – Know-how ideally with patented invention (technology transfer scenario) – Negotiating power [see Art. 40 and delegates slides) BUT, what if things do not work that way?
6 Use without authorization The approach of the TRIPS Agreement: – Too difficult to agree on all the various existing systems or that there should be only one or two categories: Public non-commercial use (Government use) Compulsory licences (or non-voluntary licences): existing systems of CL for public interest, licences of right, CL for non-working or insufficient working, for anti-competitive practices) Dependent licenses (for dependent inventions)
7 Use without authorization – So, better focus on the conditions of use without the patentees authorization (because certain situations require different conditions, certain grounds have to be mentioned, e.g. Emergency, anti-trust, etc.). – Misunderstanding of some circles, inclduing governments, that Art. 31 has limited precise grounds
8 Article 31 In a nutshell: TRIPS does not: – establish an exhaustive list – limit grounds for CL in general – limit grounds to emergency situations in particular TRIPS does: – indicate possible grounds for CL (Art.31, 8, reference to Paris Conv.) – set conditions for grant of CL - see Article 31 Flexibility for domestic implementation & use Clarification/confirmation by Doha Declaration
9 Compulsory licences under Article 31 Conditions for the grant of a compulsory licence – Individual merits – Unsuccessful efforts to obtain a voluntary license on reasonable commercial terms and conditions within a reasonable period of time. except in cases of national emergency or other circumstances of extreme urgency or public non-commercial use – Scope and duration to be limited to the purpose for which it was authorised. – Non-exclusive
10 Compulsory licences under Article 31 – Non-assignable, except with that part of the enterprise or goodwill – Predominantly for the supply of the domestic market (letter(f)) – To be liable to termination if and when the certain circumstances cease to exist and are unlikely to recur. – Adequate remuneration to the right owner – Judicial review of the decision relating to the grant and remuneration
11 Some uses without authorization under Article 31 Examples in area of pharmaceuticals. Why? The economics of pharmaceutical patents See WHOs and delegates slides in Durban too Public non-commercial use – Ecuador (2010 for ritonavir) – Brazil (2007 for efavirenz) – Thailand (2006-2008 for seven HIV/AIDS/heart disease and cancer drugs) Public interest – India (2012 for sorafenib) – Declaration of public interest rejected in Colombia (2009 for lopinavir/ritonavir), instead: application of price control measures Anti-competitive practices: – Italy (2005-2007 for refusal to licence)
12 Impacts on pharmaceutical area? Price reductions Imports of lower priced drugs, etc. BUT, is it a sustainable long term solution ? Different views – complex technologies – lack of co-operation with patent right holder – Case of India = exceptional case because size of market, long-time experience
13 Why a Doha Declaration on TRIPS- public health? Separate Ministerial Declaration in WT/MIN(01)/DEC/2). Why? – Fears of some quarters and governments of using certain flexibilities. The Doha declaration reaffirms or clarifies, inter alia: – Balance of interests for the society (access to medicines (price) and R&D – Art.7 and 8 – The flexibilities, e.g. on Right to chose exhaustion régimes Issues of national emergency, extreme urgency Transition period for LDCs for pharmaceuticals (2016 See WIPOs and delegates slides
14 The Paragraph 6 System But also Recognizes that Members with insufficient or no manufacturing capacities in the pharmaceutical sector could face difficulties in making effective use of compulsory licensing under TRIPS Instructs the TRIPS Council to find an expeditious solution and report to the General Council before the end of 2002 reference to Paragraph 6 System
15 Article 31(f) issue Members can issue compulsory licences for importation / domestic production Availability of supply from generic producers in third countries ? – Art. 31(f) requires production under compulsory licenses "predominantly for the supply of the domestic market of the Member need to address legal problem resulting from Art.31(f) conditions in exporting Member Solution: three waivers (derogations), adopted in light of Chair statements
16 The 1st waiver Basic rule under Article 31(f): production under compulsory licence predominantly for supply of domestic market Paragraph 6 System waives requirement for exporting Members in cases of production/export of a pharmaceutical product to eligible importing Members Subject to conditions on transparency and safeguards
17 The 2 nd waiver Basic rule under Article 31(h): remuneration to be paid where compulsory licence is granted Under Paragraph 6 System: – Exporting Member: adequate remuneration is to be paid taking into account the economic value of the authorization in the importing Member – Importing Member: Article 31 h) is waived; no remuneration payable if paid in exporting Member for the same products (n.b.: unless treaties are directly applicable, this requires a change in legislation/regulation)
18 The 3 rd waiver Concerns: Regional trade agreements Objective: economies of scale, enhance purchasing power, help local production Derogation from Art. 31(f) if: – RTA falls within WTO rules – At least half of the RTA members are LDCs – Members concerned share the health problem in question Note: derogation does not affect any patent status in importing countries - principle of territoriality Promotion of regional patent systems Developed countries, in conjunction with IGOs, to provide technical cooperation
19 The Paragraph 6 System General Council Decision of 30 August 2003: – contains three waivers (derogations) – in effect since 30 August 2003, terminates when amendment replaces it for each Member GC Decision of 6 December 2005 / Protocol Amending TRIPS proposes insertion of: – new Article 31bis consisting of 3 waiver provisions of August 2003 Decision – Annex setting out terms for using Paragraph 6 system – Appendix to Annex dealing with assessment of manufacturing capacities (former annex to August 2003 Decision) technical exercise, no changes in substance to Paragraph 6 System
20 TRIPS-Public Health in sum Heavily negotiated Doha Declaration – Confirmation of importance of R&D and innovation but also flexibilities – Transition period for least developed countries (LDCs) – Paragraph 6 Article 31; Article 31(f) Paragraph 6 system is meant to address a health problem in the importing Member and a legal problem in the exporting Member. Not purported to resolve all public health problems
21 21 Public Health Problem in WTO Member requiring pharmaceutical product Product not patented Product patented Compulsory licence in compliance with Art 31 TRIPS Agreement with originator Pharmaceutical product can be manufactured domestically Pharmaceutical product cannot be manufactured domestically Product not patented in exporting Member Product patented in exporting Member Need to use para. 6 System if exported amount is predominant share of production When to Use the Para.6 System Supply by non-WTO Member
22 Image used for teaching only (TLTW) One of the «best practices»
23 23 TRIPS-Public Health - Some References Doha Declaration on TRIPS and Public Health (WT/MIN(01)/DEC/2) Decision on the implementation of paragraph 6 of the Doha Declaration on TRIPS and Public Health (WT/L/540 and Corr.1) Decision on an amendment to the TRIPS Agreement (Protocol) (WT/L/641) Annual Review of the Functioning of the System 2010 (IP/C/57 and Corr.1) Members laws implementing the Para.6 System: http://www.wto.org/english/tratop_e/trips_e/par6laws_e.htm http://www.wto.org/english/tratop_e/trips_e/par6laws_e.htm How to accept the Protocol Amending TRIPS: http://www.wto.org/english/tratop_e/trips_e/accept_e.htm http://www.wto.org/english/tratop_e/trips_e/accept_e.htm Decision on extension of transition period for LDCs with respect to pharmaceutical products (IP/C/25) Decision on general extension of transition period for LDCs (IP/C/40) - June 2013, being discussed /negotiated at the time of Durbans workshop
24 Some remarks (1) CL may help resolve but is not the panacea. Need for R&D of new molecules and need for affordable medicines Negotiating power and importance of dialogue – national task forces – At regional and international levels Importance of Doha Declaration Use of flexibilities in a manner which does not end up being counter-productive or inefficient
25 Some remarks (2) Application of Paragraph 6 System so far – Rwanda – Canada Paragraph 6 System and acceptances: not many acceptances from countries of the African Continent – At the time of Durban WIPO-DTI seminar: (in chronological order), following participating countries: Mauritius, Zambia, Uganda, Rwanda, Togo Different views on the Paragraph 6 System: – Very complex and bureaucratic – Flexibilities used, plus voluntary actions by companies
26 26 Consult our website www.wto.org Other questions to: n thu-lang.tranwasescha@wto.org; tel.: +41 22 739 57 05; # 3024 thu-lang.tranwasescha@wto.org
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