ES NECESARIO REVISAR CONCEPTOS BASICOS SOBRE PATENTES<br>C'EST NECESSAIRE DE REVOIR QUELQUES PRINCIPES SUR PATENTS<br><br><div class="gmail_quote">From: <b class="gmail_sendername">South Centre</b> <span dir="ltr"><<a href="mailto:south@southcentre.org">south@southcentre.org</a>></span><br>
<br><p style="font-family:Arial,Verdana,sans-serif;font-size:12px"></p>
<p class="MsoNormal" style="font-family:Arial,Verdana,sans-serif;margin-bottom:12pt"><font size="1"><b><i><span style="font-family:Arial,Verdana,sans-serif;line-height:115%">SouthViews</span></i></b></font></p>
<p class="MsoNormal" style="font-family:Arial,Verdana,sans-serif;margin-bottom:12pt"><font size="1"><b><span style="font-family:Arial,Verdana,sans-serif;line-height:115%">No.24,<span style="font-family:Arial,Verdana,sans-serif">              </span>25 July 2012</span></b></font></p>
<b><span style="font-family:Arial,Verdana,sans-serif;line-height:115%"> </span></b><font size="1"><a href="http://www.southcentre.org/" target="_blank"><b><span style="font-family:Arial,Verdana,sans-serif;line-height:115%">www.southcentre.org</span></b></a></font>
<p class="MsoNormal" style="font-family:Arial,Verdana,sans-serif;font-size:12px;margin-bottom:12pt"><b><span style="font-family:Arial,Verdana,sans-serif;font-size:12pt;line-height:115%"> </span></b></p>
<p class="MsoNormal" style="font-family:Arial,Verdana,sans-serif;font-size:12px;margin-bottom:12pt"><font><b><span style="font-family:Arial,Verdana,sans-serif;line-height:115%">Beyond ‘Patent Quality’: Basic Concepts of the Patent System Need To Be Reviewed</span></b></font><b><span style="font-family:Arial,Verdana,sans-serif;font-size:12pt;line-height:115%">       </span></b><font size="1"><span style="font-family:Arial,Verdana,sans-serif;line-height:115%">excerpts</span></font><b><span style="font-family:Arial,Verdana,sans-serif;font-size:12pt;line-height:115%"><br>

</span></b></p>
<p class="MsoNormal" style="font-family:Arial,Verdana,sans-serif;font-size:12px;margin-bottom:12pt"><span style="font-family:Arial,Verdana,sans-serif;font-size:9pt;line-height:115%">………………………………………………………………</span></p>
<p class="MsoNormal" style="font-family:Arial,Verdana,sans-serif;font-size:12px;margin-bottom:12pt"><b><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%">By Carlos M. Correa</span></b></p>

<p class="MsoNormal" style="font-family:Arial,Verdana,sans-serif;font-size:12px;margin-bottom:12pt"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="EN-US">A</span><span style="font-family:Arial,Verdana,sans-serif;font-size:12px"> proposal has been made to initiate a debate on ‘patent quality’ at the World Intellectual Property Organization (WIPO). The expression ‘patent qu</span><span style="font-family:Arial,Verdana,sans-serif;font-size:12px"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%">a</span></span><span style="font-family:Arial,Verdana,sans-serif;font-size:12px"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="EN-US">lity’ ambiguously alludes to a growing problem, faced in both developed and developing countries alike: the overwhelming majority of patents are applied for and granted over incr
 emental developments on existing technologies. Although the patent system is supposed to reward inventiveness, in many cases patents cover minor improvements or trivial ideas. </span></span></p>
<p class="MsoNormal" style="font-family:Arial,Verdana,sans-serif;font-size:12px;margin-bottom:12pt"><span style="font-family:Arial,Verdana,sans-serif;font-size:12px"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="EN-US">Although the intrinsic value of the technology protected under such patents is low, they are often strategically used to generate or keep monopolistic positions that affect competitors and consumers. Thus, the proliferation of patents that do not make a genuine technical contribution limits legitimate competition and undermines innovation. An investigation conducted by the European Commission on the pharmaceutical industry, for instance, concluded that:</span></span></p>

<p class="MsoNormal" style="font-family:Arial,Verdana,sans-serif;font-size:12px;margin-bottom:12pt"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="X-NONE">·</span><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%"> </span><span style="font-family:Arial,Verdana,sans-serif;font-size:12px"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="EN-US">Filing numerous patent applications for the same medicine (forming so called "patent clusters" or "patent thickets") is a common practice… to delay or block the market entry of generic medicines.</span></span></p>

<p class="MsoNormal" style="font-family:Arial,Verdana,sans-serif;font-size:12px;margin-bottom:12pt"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="X-NONE">·</span><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%"> </span><span style="font-family:Arial,Verdana,sans-serif;font-size:12px"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="EN-US">…individual medicines are protected by up to nearly 100 product-specific patent families, which can lead to up to 1,300 patents and/or pending patent applications across the Member States.</span></span></p>

<p class="MsoNormal" style="font-family:Arial,Verdana,sans-serif;font-size:12px;margin-bottom:12pt"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="X-NONE">·</span><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%"> </span><span style="font-family:Arial,Verdana,sans-serif;font-size:12px"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="EN-US">patent litigation cases increased by a factor of four between 2000 and 2007; generic companies prevailed in 62% of 149 litigated cases that lasted from six months to more than six years.</span></span></p>

<p class="MsoNormal" style="font-family:Arial,Verdana,sans-serif;font-size:12px;margin-bottom:12pt"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="X-NONE">·</span><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%"> </span><span style="font-family:Arial,Verdana,sans-serif;font-size:12px"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="EN-US">European governments and consumers paid around 3 billion Euros in excess between 2000 and 2007 (in relation to 219 drugs) due to abuses in the exercise of patent rights.</span></span></p>

<p class="MsoNormal" style="font-family:Arial,Verdana,sans-serif;font-size:12px;margin-bottom:12pt"><span style="font-family:Arial,Verdana,sans-serif;font-size:12px"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="EN-US">The acquisition of a large number of patents around a single technology has become common practice. Contrary to the ordinary belief that one product will deserve one patent, a single medicine may be covered by hundreds of patents. Thus, a WIPO study identified around 800 patents on ritonavir, an important component in the treatment against HIV/AIDS. In order to preserve a monopolistic position after the expiry of basic patents, pharmaceutical companies routinely apply (and often obtain) patents on derivatives, dosage forms, new uses, etc. of existing medicines thereby ‘evergreening’ the original patents.</span></span></p>
<span style="font-family:Arial,Verdana,sans-serif;font-size:12px"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="EN-US">A number of factors explain the proliferation of patents with low or no inventive contribution. Two of them are of particular relevance. On the one hand, large companies<span style="font-family:Arial,Verdana,sans-serif;font-size:12px">  </span>devote significant resources to pursue patent strategies that deliberately aim at limiting the competitors’ room to operate. They include “</span><i><span style="font-family:Arial,Verdana,sans-serif;font-size:12px">Blanketing</span></i><span style="font-family:Arial,Verdana,sans-serif;font-size:12px">” (creating a jungle or a minefield of patents), “</span><i><span style="font-family:Arial,Verdana,sans-serif;font-size:1 2px">Flooding</span></i><span style="font-family:Arial,Verdana,sans-serif;font-size:12px">” (taking out multiple patents, major as well as minor, in a field), “</span><i><span style="font-family:Arial,Verdana,sans-serif;font-size:12px">Fencing</span></i><span style="font-family:Arial,Verdana,sans-serif;font-size:12px">” (acquiring a series of patents that block certain lines or directions of research and development) and “</span><i><span style="font-family:Arial,Verdana,sans-serif;font-size:12px">Surrounding</span></i><span style="font-family:Arial,Verdana,sans-serif;font-size:12px">” (an important central patent is fenced by other less important patents).</span></span><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="EN-US"><br>
</span><span style="font-family:Arial,Verdana,sans-serif;font-size:12px"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="EN-US"><br>A research conducted in five developing countries (Argentina, Brazil, Colombia, India and South Africa) on patenting in the pharmaceutical field revealed several aspects of the functioning of the patent system that raise sign</span></span><span style="font-family:Arial,Verdana,sans-serif;font-size:12px"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%">i</span></span><span style="font-family:Arial,Verdana,sans-serif;font-size:12px"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="EN-US">ficant concerns. Some of the findings of the study were as follows:</span></span>
<p style="font-family:Arial,Verdana,sans-serif;font-size:12px;margin:0cm 0cm 12pt"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="X-NONE">·</span><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%"> </span><span style="font-family:Arial,Verdana,sans-serif;font-size:12px"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="EN-US">Pharmaceutical patents are overwhelmingly concentrated in the hands of foreign companies (with the exception of India). </span></span></p>
<span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="X-NONE">·</span><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%"> </span><span style="font-family:Arial,Verdana,sans-serif;font-size:12px"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="EN-US">There is a significant proliferation of patents over minor technical changes that are often used to create undue constraints on legitimate competition that negatively affect access to medicines.</span></span><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="X-NONE"><br>
<br>·</span><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%"> </span><span style="font-family:Arial,Verdana,sans-serif;font-size:12px"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="EN-US">Many patents and patent applications do not mention the </span><span style="font-family:Arial,Verdana,sans-serif;font-size:12px">International Nonproprietary Name (INN) of known drugs, thereby making patent searches and oppositions extremely difficult and costly.</span></span>
<p class="MsoNormal" style="font-family:Arial,Verdana,sans-serif;font-size:12px;margin-bottom:12pt"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="EN-US"><br></span></p><p class="MsoNormal" style="font-family:Arial,Verdana,sans-serif;font-size:12px;margin-bottom:12pt">
<span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="EN-US"> Stipulating rigorous criteria to assess novelty, inventive step and industrial applicability will help prevent patent abuses. <br>
</span></p>
<p class="MsoNormal" style="font-family:Arial,Verdana,sans-serif;font-size:12px;margin-bottom:12pt"><span style="font-family:Arial,Verdana,sans-serif;font-size:12px"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="EN-US">Once a patent is granted it is generally presumed to be valid until otherwise decided by the courts. Substantial resources (both financial and technical) are necessary to invalidate a patent. This is a difficult or impossible task for small and medium companies, non governmental organizations or individuals (e.g. patients) that may be directly affected by wrongly granted patents. In addition, invalidation procedures may take years during which the patent can be legally enforced, even if under legal challenge. <br>
</span></span></p><span style="font-family:Arial,Verdana,sans-serif;font-size:12px"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="EN-US"></span></span><b><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="EN-US">Important changes in the way the system is designed and operates are necessary to achieve this objective. They include:<br>
<br></span></b>
<p class="MsoNormal" style="font-family:Arial,Verdana,sans-serif;font-size:12px;margin-bottom:12pt"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="X-NONE">·</span><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%"> </span><span style="font-family:Arial,Verdana,sans-serif;font-size:12px"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="EN-US"> To integrate patent policies into national development policies, including in relation to access to medicines and to environmentally sound technologies</span></span><span style="font-family:Arial,Verdana,sans-serif;font-size:12px"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%">;</span></span></p>

<p class="MsoNormal" style="font-family:Arial,Verdana,sans-serif;font-size:12px;margin-bottom:12pt">·<span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%"> </span><span style="font-family:Arial,Verdana,sans-serif;font-size:12px"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="EN-US"> To increase the capacity available in patent offices and courts to properly examine patent applications, and introduce substantive examination where it does not exist;</span></span></p>

<p style="font-family:Arial,Verdana,sans-serif;font-size:12px;margin:0cm 0cm 12pt;line-height:115%"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="X-NONE">·</span><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%"> </span><span style="font-family:Arial,Verdana,sans-serif;font-size:12px"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="EN-US"> To provide patent examiners incentives to objectively examine patent applications and thereby avoid a bias towards approval;<span style="font-family:Arial,Verdana,sans-serif;font-size:12px">  </span></span></span></p>

<p class="MsoNormal" style="font-family:Arial,Verdana,sans-serif;font-size:12px;margin-bottom:12pt"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="X-NONE">·</span><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%"> </span><span style="font-family:Arial,Verdana,sans-serif;font-size:12px"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="EN-US"> To ensuring that the inventive step analysis takes into account prior expert knowledge. Patents should only be granted when a real contribution to the state of the art has been made</span></span><span style="font-family:Arial,Verdana,sans-serif;font-size:12px"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%">;</span></span></p>
<span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="X-NONE"></span>·<span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%"> </span><span style="font-family:Arial,Verdana,sans-serif;font-size:12px"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="EN-US"> To clearly distinguish ‘inventions’ from ‘discoveries’; if genetic materials are deemed patentable, to limit the protection to the function/s disclosed in the patent claims</span></span><span style="font-family:Arial,Verdana,sans-serif;font-size:12px"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%">;</span></span>
<p class="MsoNormal" style="font-family:Arial,Verdana,sans-serif;font-size:12px;margin-bottom:12pt"><br></p><p class="MsoNormal" style="font-family:Arial,Verdana,sans-serif;font-size:12px;margin-bottom:12pt">·<span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%"> M</span><span style="font-family:Arial,Verdana,sans-serif;font-size:12px"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="EN-US">ore rigorous standards may be applied to examine pharmaceutical patents (given their impact on access to drugs) than those in other sectors</span></span><span style="font-family:Arial,Verdana,sans-serif;font-size:12px"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%">;</span></span></p>

<p class="MsoNormal" style="font-family:Arial,Verdana,sans-serif;font-size:12px;margin-bottom:12pt"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%"></span><span style="font-family:Arial,Verdana,sans-serif;font-size:12px"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="EN-US"></span></span>·<span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%"> </span><span style="font-family:Arial,Verdana,sans-serif;font-size:12px"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="EN-US"> To empower the competition authorities to take effective action in cases of abuses of patent rights.</span><span style="font-family:Arial,Verdana,sans-serif;font-size:12px"> </span></span></p>

<p><span style="font-family:Arial,Verdana,sans-serif;font-size:12px">
</span></p><p class="MsoNormal" style="font-family:Arial,Verdana,sans-serif;font-size:12px;margin:0cm 0cm 12pt 14.4pt;text-align:justify"><span style="font-family:Arial,Verdana,sans-serif;font-size:9.5pt;line-height:115%" lang="EN-US"> </span></p>

<p></p><br></div><br>