Similar-But-Not-The-Same-The-Difference-Between-Franchising-and-Licensing-in-Indonesia-affa-global

Similar But Not The Same – The Difference Between Franchising and Licensing in Indonesia

Intellectual Property3 Comments

Franchising and Licensing are two popular business models that allow businesses to expand their reach and grow their profits without investing heavily in new infrastructure or resources. However, there are some critical differences between the two models, both in terms of how they work and how they are regulated by Indonesian law.   In a Franchise arrangement, the Franchisor grants the Franchisee the right to use its Brand, Trademarks, Intellectual Property, and Business Model in return for a fee. The Franchisee is then responsible for operating the business by the Franchisor’s standards. In a Licensing arrangement, the Licensor grants the Licensee the right to use its Intellectual Property (e.g., Trademarks, Patents, Industrial Designs, and Copyrights) in exchange for a fee and for a certain period. The Licensee is then responsible for developing and marketing its own business using the licensed Intellectual Property.   The Indonesian government regulates franchises through the Government Regulation No. 42 of 2007. This regulation sets out the requirements for Franchisors and Franchisees, including registering the franchise with the Ministry of Trade. The law also establishes restrictions on franchise arrangements, such as the requirement for franchisors to provide franchisees with specific information about the franchise business.   The legal basis governing franchising and licensing also differs. Franchise activities are regulated through Government Regulation No. 42 of 2007, strengthened by the Minister of Trade Regulation No. 71 of 2019. This regulation regulates the requirements for Franchisors and Franchisees, including regulations governing the registration of franchises with the Ministry of Trade, as well as specific information about the franchise business that must be provided from the Franchisor to the Franchisee.   In addition to the two legal bases above, other legal grounds related to franchising arrangements are Law No. 5 of 1999, concerning the Prohibition of Monopolistic Practices and Unfair Business Competition; Law No. 40 of 2007, concerning Limited Liability Companies and Franchise Agreements that bind the party.   Meanwhile, licenses more closely related to Intellectual Property are governed by Government Regulation No. 36 of 2018 concerning the Recordation of Intellectual Property License Agreements, which are derivatives of Article 41 paragraph (1) of Law Number 20 of 2016 concerning Trademark and Geographical Indications.    Now let’s dive into the terms of Franchising and Licensing:   FRANCHISE REQUIREMENTS By law, to conduct a franchise business in Indonesia the Franchisor will need to obtain the Franchisor’s STPW (permit registration) and Commitment Registration to the Ministry of Trade by registering the Franchise proposal documents and agreement draft. The Franchisee will need to do the same thing to obtain Franchisee’s STPW permit and Commitment Registration.   Required documents for Registration of Prospectus (Franchisor’s permits) of the Offered Franchise (to be filed by the Franchisor, notarized, and attested by the Indonesian Embassy) are as follows: Power of Attorney  Application Letter (STPW) Details of Franchisor Identity Copy of the ID card of the Directors/Owners of the Franchisor Copy of Business License of the Franchisor History of Business of the Franchisor Organisation Structure of the Franchisor (from Board of Commissionaires, Shareholders, Directors, up to its operational level) Audited Financial Statements for the last 2 years Number of outlets owned by the Franchisor List of current Franchisee Rights and Obligations of the Franchisor and Franchisee List of Composition and numbers of franchised goods used by the Franchisee List of Composition of required manpower Trademark registration certificates in Indonesia or filing receipt of the Trademark application in Indonesia. Copy of Franchise Agreement.   After the prospectus (Franchisor’s permits) has been registered in the Ministry, the franchisor can begin the franchisee’s agreement. The franchisee must also register the signed agreement.   Required Documents for Registration of Franchise Agreement (to be filed by the Franchisee): Power of Attorney (by the Franchisee) Application letter made by  Franchisee on the Franchisee’s company letterhead. Copy of the Prospectus of the offered Franchise; Copy of Article of Association of Franchisee’s company Copy of the Business Licenses of the Franchisee; Copy of the ID card of the Directors/owners of the Franchisee Copy of the Franchise Agreement and its Indonesian translation; Copy of Certificate of trademark registration. Composition and numbers of the employees (foreign and local staff) Composition and numbers of franchised goods used by the Franchisee   The documents above must be translated into the Indonesian language.   LICENSE AGREEMENT RECORDATION REQUIREMENTS Required documents for recordal of Trademark license agreement: Executed License Agreement duly notarized by Notary Public in the relevant country Copy of the trademark registration certificate Power of Attorney (simply signed) Identity of the signors Deed of Incorporation of the parties (if any)   The followings have to be included in the license agreement: Place & Date of the letter signing Details of the parties including the address Object of trademark license (trademark registration no.) Terms of use (exclusive, non-exclusive, sub-licensable, or not) Duration Territory   For more information about IP License Agreement in Indonesia, you can read our previous articles here: Indonesia’s IP Odyssey: Unraveling the Ins and Outs of IP License Agreement Recordal   From the description above, if you already have a business with a proven and duplicable business model for at least two years, you can try running a franchise business as a Franchisor. On the other hand, if you want to start running a company from a proven business, you can become a Franchisee.   However, you can run a Licensing business if you are an IP owner who can provide freedom in IP management, including marketing strategies, as a Licensor. On the other hand, for those of you who have a lot of creative ideas to run a business from an IP you don’t own, you can apply for a license from the IP owner, and act as a Licensee. Should you require further information and assistance regarding Franchise & IP Licensing in Indonesia, please contact us at [email protected].   Source: Government Regulation No. 42 of 2007 concerning Franchising Minister of Trade Regulation No. 71 of 2019 concerning The Implementation of Franchise Law No. 20 of…

3-Proven-Methods-to-Accelerate-the-Patent-Examination-Process-in-Indonesia-affa-global

3 Proven Methods to Accelerate the Patent Examination Process in Indonesia

Patent, Intellectual Property

The Directorate General of Intellectual Property of the Republic of Indonesia under the Ministry of Law and Human Rights of the Republic of Indonesia (from now on referred to as “DGIP”) has established various procedures under which the examination of a Patent application may be accelerated. Under these procedures, DGIP will advance an application out of turn for faster examination if the applicant files the following special requests through the ASPEC program, Indonesia-Japan PPH program, or simply by providing the examiner in charge the granted corresponding claims from other Patent Offices, such as the USPTO, JPO, EPO, and others.   We herewith summarize the options that may suit your needs, depending on where you file your Patent applications in other jurisdictions:   1. ASEAN Patent Examination Co-operation (ASPEC) The ASPEC was launched on 15 June 2009. The first regional Patent work-sharing program involves nine participating ASEAN Member States (AMS) IP Offices of Brunei Darussalam, Cambodia, Indonesia, Lao PDR, Malaysia, the Philippines, Singapore, Thailand, and Vietnam. The program aims to accelerate the patent examination process by encouraging each participating Patent Offices to share search and examination results to allow applicants in the participating countries to obtain corresponding patents faster and more efficiently. Since ASPEC aims to reduce duplication in the search and examination work done, it is hoped that the search and examination work done on a corresponding application can be used as a helpful reference in producing high-quality examination reports. Hence, if you can obtain the examination results from other countries in the participating Patent Offices, the examination results or reports can be used as the basis of examination acceleration as long as the corresponding claims are the same. When requesting ASPEC, the Patent applicant is required to submit an ASPEC Request Form to the second Patent Office. The following documents shall accompany the ASPEC Request Form: A copy of the Search and Examination (S&E) report or the Examination Report (“minimum documents”) of a corresponding application from the first IP Office; and A copy of the claims referred to in the minimum documents submitted, with at least one claim determined by the first IP Office to be allowable/patentable. or a PCT ASPEC request, the Patent applicant must indicate that the request is for PCT ASPEC in the ASPEC form. The completed ASPEC request form shall be submitted together with the following documents: A copy of the written opinion/international preliminary examination report (“WO/ISA, WO/IPEA or IPER”) established by an ASEAN International Searching Authority/International Preliminary Examining Authority (ASEAN ISA/IPEA) (“minimum documents”) relating to a corresponding application from the first IP Office; and A copy of the claims referred to in the minimum documents submitted, with at least one claim determined by the first IP Office to be allowable/patentable. Please remember that the request to utilize ASPEC can only be made after the application has finished the publication stage. Based on our experience, the time it takes from filing the ASPEC request until the issuance of the decision to grant will not be more than 12 months – a significant improvement in lead or pendency times compared to the processing time for non-ASPEC patent applications in Indonesia.   2. Indonesia-Japan Patent Prosecution Highway (Indonesia-Japan PPH) The Japan Patent Office (JPO) and the DGIP initiated a Patent Prosecution Highway Program (PPH) on June 1, 2013. Since then, the PPH has been chosen by many applicants who have previously filed their base applications in Japan to accelerate the Patent applications in Indonesia. The PPH request can be filed at any time as long as it is before the deadline to request the substantive examination stage. Please note that an official fee of Rp 5,000,000.00 will be incurred for requesting the PPH acceleration program. When it comes to the requirements, the DGIP will require the applicant to provide the following documents to start the accelerated examination process: All formality documents required to file the application have been submitted and the DGIP will issue the notice of formality documents completion, which should also be provided by the applicant; Proof of payment to file a substantive examination request; The application should have passed the Publication of Period of 6 months; PPH Form (filled in); Corresponding claims which should be equivalent or less compared to the claims granted by the JPO; OEE and OLE examination results; and OEE/OLE in English and/or in the Indonesian language. Based on our experience, the time it takes from filing the PPH request until the issuance of the decision to grant will not be more than 7 to 12 months – a significant improvement in lead or pendency times compared to the processing time for non-ASPEC (or PPH) Patent applications in Indonesia.   3. Providing Corresponding Registered Claims from Other Patent Offices In case none of the options above apply to you, you may also provide the examiners at the DGIP with the corresponding granted claims from other well-established Patent Offices, such as the USPTO, UKIP, EP, AUIPO, SIPO, JPO, etc. The provision of the corresponding granted claims from the aforementioned Patent Offices will make it easier for the examiners at the DGIP to expedite the examination. Please note that the documents should be provided with the equivalent English translation to make it easier for the decision making process by the examiners.   For any questions about Patent applications in Indonesia, please do not hesitate to contact us at [email protected].

AFFA-IPR-Your-Source-for-Indonesias-Patent-Protection-Guide-Available-on-Lexology-affa-global

AFFA IPR: Your Source for Indonesia’s Patent Protection Guide Available on Lexology

Patent, Intellectual Property

We are excited to announce that AFFA Intellectual Property Rights (IPR) has contributed to Lexology, showcasing our commitment to excellence and knowledge sharing. Check out our latest article, “Patent Protection Guide in Indonesia – Getting the Deal Through.”   Lexology is a premier legal news and analysis website, delivering international legal updates, insights, and analysis. With over 450 articles published daily from over 800 top law firms and service providers worldwide, it’s a trusted source for legal professionals and decision-makers.   At AFFA IPR, we recognize the significance of being associated with Lexology. As one of the leading sources of legal insights, the platform provides valuable, up-to-date information to a global audience. By sharing our expertise, we aim to contribute meaningfully to the legal discourse and offer valuable insights to our peers and clients.   Stay updated with the latest developments and insights by following our page on Lexology. Engage with our content, leave comments, and share your thoughts as we foster an open dialogue and collaborative learning environment. For downloadable copies of our articles, reach out to [email protected]. Join us on Lexology as we continue to empower businesses with valuable Intellectual Property insights.

Boom-or-Bust-The-Risk-of-Patenting-a-Nuclear-Weapon-in-Indonesia-affa-global

Boom or Bust: The Risk of Patenting a Nuclear Weapon in Indonesia

Patent, Intellectual Property

Oppenheimer, a Christopher Nolan film, has been screened in Indonesia since July 19, 2023. IP practitioners, especially patent observers, must take advantage of this film. Apart from being studded with stars, starting from Cillian Murphy, Emily Blunt, Matt Damon, and Kenneth Branagh to Robert Downey Jr., this film raises the ethical side of an invention that shook the world.   As the title suggests, this film exposed Julius Robert Oppenheimer‘s life as the Scientific Director of the Manhattan Project, which developed the first atomic bombs in the United States. After the success of the bomb ending World War II, Oppenheimer became a vocal critic of nuclear weapons. He saw firsthand the destructive power of these weapons and came to believe that they posed a severe threat to humanity. He also thought the patent system was inappropriate for controlling nuclear weapons and was known for not pursuing patents for his inventions. But for that vision, he was ostracized by the US government.   A new change came a few years later through the Atomic Energy Act of 1954, specifically Section 218. This act, also known as the Price-Anderson Act, was enacted in response to the development of nuclear energy and the need to regulate its use in the United States.   Section 218 of the US Atomic Energy Act states that no patent may be granted for any invention or discovery that is useful solely in utilizing unique nuclear material or atomic energy in an atomic weapon. Any invention or discovery specifically intended for creating or enhancing atomic bombs or other nuclear weapons cannot be granted a patent under this law.   The prohibition on patents for atomic weapons is part of the broader regulatory framework aimed at controlling and safeguarding nuclear technology and materials to prevent their misuse and proliferation. The law aims to ensure that nuclear technology is used for peaceful and controlled purposes, such as energy production and medical applications, rather than for weapons of mass destruction.   The Indonesian Context In Indonesia, if a Patent application is related to nuclear (weapons), then it is related to the interests of state defense and security as regulated in Article 50 of Law Number 13 of 2016 on Patents:   Article 50 (1) If an Invention relates to the interests of state defense and security, the Minister determines that the Application for the Invention is kept private after consulting with the agency administering government affairs in the state defense and security field.   (2) The Minister shall let the Applicant or his Proxy know in writing about the determination of the unannounced Application as referred to in section (1).   (3) Unannounced application documents consulted with government agencies, as referred to in section (1), are exempt from the provisions as referred to in Article 45 section (1).   (4) Government agencies, as referred to in section (1), must maintain the confidentiality of the Invention and Application documents consulted.   Thus, it can be concluded that the. Patents related to national security and defense (for example, nuclear weapons) can be protected. It is just that some provisions still prevent these applications from being published to the public in the publication stage for six months due to susceptible and sensitive information that should not be known by the public.   In addition, if the Patents are related to weapons, then by law the government can only implement them based on national defense and security considerations. This is regulated in Article 109 of the Patent Law. The implementation itself must be non-commercial and for domestic protection needs only. Article 110 of the Patent Law itself further explains the types of inventions that are “vulnerable” to the use of patents by the government unilaterally, including: firearms; ammo; military explosives; interception; tapping; reconnaissance; encryption devices and cipher analysis devices; and/or other state defense and security processes and/or equipment.   In Indonesia alone, there are around 139 patents related to nuclear technology that have been filed so far. However, this request is not directly related to nuclear weapons technology. Based on an accessible patent database, 51 applications were filed by applicants from Russia, 30 from the United States, and 23 from Indonesia. Should you have any questions about Patent Protection in Indonesia or abroad, please contact us at [email protected]. Source: LEMELSON-MIT BELFER CENTER Law No. 13 of 2016 on Patents (Patent Law)

The-Whitest-Paint-Innovation-for-a-Hot-Planet-affa-global

The Whitest Paint: Innovation for a Hot Planet

Patent, Intellectual Property

Scientists at Purdue University, Indiana, United States have developed a new white paint that could revolutionize the cooling industry. The paint, which is made from a combination of titanium dioxide, barium sulfate, and silica, can reflect sunlight more effectively than any other white paint on the market. This means that it can help to keep buildings cooler in hot weather, reducing the need for air conditioning.   The potential benefits of this new paint are enormous. In the United States alone, air conditioning accounts for about 15% of all electricity consumption. If this new paint could be widely adopted, it could help to reduce electricity demand and emissions significantly.     In addition to the environmental benefits, the new paint could also have significant economic implications. The cooling industry is worth billions of dollars, and this new paint could open up new markets for businesses that manufacture and sell paint.   The intellectual property implications of this new paint are also significant. Xiulin Ruan, a professor of mechanical engineering at Purdue University, and his students who developed the paint have filed for a new patent this July, and there will likely be a great deal of interest from other companies in licensing the technology.   The development of this new white paint is a breakthrough in the fight against climate change because it could be used in a variety of applications, including roofing, siding, insulation, or even cars. Intellectual property stakeholders should be paying close attention to this technology. Even though the patent application for the new paint is still pending, the scientists who developed the paint are likely to be granted a patent, which would give them exclusive rights to the technology.     The Culmination of Years of Research Back in 2020, Dr. Ruan and his students unveiled their creation: a type of white paint that can act as a reflector, bouncing 95 percent of the sun’s rays away from the Earth’s surface, up through the atmosphere, and into deep space. A few months later, they announced an even more potent formulation that increased sunlight reflection to 98 percent.     The paint’s properties are almost superheroic. It can make surfaces as much as eight degrees Fahrenheit cooler than ambient air temperatures at midday, and up to 19 degrees cooler at night, reducing temperatures inside buildings and decreasing air-conditioning needs by as much as 40 percent. “It is cool to the touch, even under a blazing sun,” Dr. Ruan said.    Unlike air-conditioners, the paint doesn’t need any energy to work, and it doesn’t warm the outside air. In 2021, Guinness declared it the whitest paint ever, and it’s since collected several awards. And in July 2023, they applied patent application for the lightweight version.   If you have some innovations that need to be protected in Indonesia, don’t hesitate to contact us via [email protected]. Source: New York Times

Nine-Types-of-Conduct-that-Constitute-Patent-Infringement-affa-global

Nine Types of Conduct that Constitute Patent Infringement

Patent, Intellectual Property1 Comment

Patent Infringement is a serious violation that can result in legal consequences for those who violate it. Various actions carried out intentionally and without rights can be categorized as Patent Infringements. The essence of these violations is the misuse of other people’s atents for commercial interests or purposes.   Actions considered Patent Infringements are regulated in Article 160 of Law Number 13 of 2016 concerning Patents (Patent Law). As for the activities that are considered Patent Infringements, we summarize them as follows: Manufacturing products/processes without the permission of the Patent Holder. Using products/processes without the permission of the Patent Holder. Selling products/processes without the permission of the Patent Holder. Importing products without the permission of the Patent Holder. Leasing products/processes without the permission of the Patent Holder. Transferring products/processes without the permission of the Patent Holder. Providing for sale products/processes without the permission of the Patent Holder. Providing for lease products/processes without the permission of the Patent Holder. Providing for transfer products/processes without the permission of the Patent Holder.   By understanding the various types of patent infringement, you can at least avoid the legal consequences that can arise as a result of Patent Infringement. There are also very serious legal consequences. For example, Article 161 of the Patent Law states that anyone who deliberately and without rights commits an act as referred to in Article 160, shall be subject to imprisonment for a maximum of 4 (four) years and/or a fine of up to Rp. 1,000,000,000 (one billion rupiah). Meanwhile, criminal sanctions as stipulated in Article 162 of the Patent Law for violations of Simple Patents are imprisonment for a maximum of 2 (two) years and/or a fine of up to Rp. 500,000,000 (five hundred million rupiah).   If you need further information about Patent Protection and Patent Registration in Indonesia or abroad, please get in touch with us via [email protected]. Source: Articla 160, Law No. 13 of 2016 on Patents (Patent Law)

7758-COVID-19-Patents-Registered-in-3-Years

7,758 COVID-19 Patents Registered in 3 Years

Intellectual Property

The WHO (World Health Organization) revoked the Public Health Emergency of International Concern or PHEIC status for COVID-19 on May 5, 2023. Indonesia will also revoke this emergency status shortly, marked by the loosening of the rules for using masks in public places. COVID-19 has become a human tragedy in the last three years, in which 15 million people died, and vaccines and physical distancing are the leading solutions.   Vaccines that must be produced quickly are the main focus of medical companies in innovating. Technologies and innovations made by researchers and medical companies can be classified in the Intellectual Property category of Patents. Throughout 2020-2022, the WIPO (World Intellectual Property Organization) received 7,758 applications for patent registration, with 1,298 related to vaccine technology, 4,787 for therapeutic (antibodies/immunity), and the remainder for other innovations associated with COVID-19.     Domination of China & the United States Furthermore, WIPO also describes the countries with the highest patent filings, where China and the United States dominate, both in the Vaccine and Therapeutics categories. For the vaccine category, China filed 573 registrations, the United States 356 registrations, and Germany and the Republic of Korea with 57 and 56 registrations, respectively. As for the Therapeutics category, China & the US-dominated, followed by the Republic of Korea and India with 229 and 195 registrations.     Then, when viewed by the sector that submitted it, WIPO explained that companies submitted half of the vaccine and therapeutic patents related to COVID-19. After that, it was followed by Research Organizations, around 40% for both categories, Independent Inventors for vaccines, around 6%, and therapeutics, around 13%.   Given the sudden and rapid spread of the COVID-19 disaster, it is unsurprising that almost ¼ of these patent applications are registered by the collaboration of several parties at once. Awareness of the importance of collaborating between medical companies, universities, and research organizations is reflected in the WIPO report on patents produced related to COVID-19.   Indonesian Contribution Of the many patent applications related to vaccines, Indonesia has also involved two of its scientists, Carina Citra Dewi Joe and Indra Rudiansyah. In 2020, they joined the Jenner Institute, Oxford University, led by Sarah Gilbert, in developing the AstraZeneca vaccine.   If you need further information about patent registration and protection in Indonesia and abroad, please get in touch with us via [email protected]. Sources: World Intellectual Property Organization Detik.com Liputan6.com  

Patent-x-Trademark-x-Industrial-Design-x-Copyright-affa-global

Patent, Trademark, Industrial Design, Copyright: Sorting Out Your Intellectual Property

Patent

Intellectual Property (IP) is a term used to describe a variety of intangible assets or creations of the mind that are given legal protection. The three main objects of Intellectual Property are Patents, Trademarks, and Copyrights. Here’s a brief explanation of each: 1. Patents Patents are legal protections for inventions. A patent gives the owner the exclusive right to make, use, and sell the invention for a certain period of time, typically 20 years from the date of filing the patent application. 2. Trademarks Trademarks are distinctive signs that are used to identify and distinguish the goods or services of one business from those of another. Trademarks can be in the form of words, logos, symbols, or a combination of these, and they are used to build brand recognition and goodwill. In general, a trademark registration provides protection for 10 years. However, trademark protection can be renewed indefinitely as long as the trademark owner continues to use the mark and pays the necessary renewal fees. 3. Industrial Design Industrial Design is a creation of shape, configuration, or composition of lines or colors, or lines and colors, or a combination thereof in a three-dimensional or two-dimensional form which gives an aesthetic impression and can be realized in a three-dimensional or two-dimensional pattern and can be used to produce products, goods, industrial commodities or handicrafts. 4. Copyrights Copyrights protect original works of authorship, such as books, music, art, and software. Copyright gives the owner the exclusive right to reproduce, distribute, and display the work for a certain period of time, typically the life of the creator plus 70 years.   In addition to these three main objects, there are also other forms of Intellectual Property, such as Trade Secrets and Industrial Designs, which provide protection for confidential information and the aesthetic design of products, respectively. Understanding the different categories of Intellectual Property can be crucial for protecting your intangible assets and creations of the mind. Patents provide protection for inventions or discoveries, Trademarks protect distinctive signs that identify and distinguish goods or services, and Copyrights safeguard original works of authorship. By understanding and utilizing these legal protections, individuals and businesses can ensure that their intellectual property is protected and secure. If you need more advice for protecting your IPs in Indonesia and other countries, please do not hesitate to contact us at [email protected]. Sources: Law No. 13 of 2016 on Patents (Patent Law); Law No. 20 of 2016 on Trademarks and Geographical Indications (Trademark Law) Law No. 28 of 2014 on Copyrights (Copyright Law);

Patent-Granted-2021-affa-global

China Dominates Patent Grants, Beating USA & Japan

Patent

Patent grants involve a comprehensive examination and review by the relevant government authority to ensure that the invention satisfies specific legal requirements such as novelty, non-obviousness, and industrial applicability.  The patent office conducts a search to determine if the invention has already been patented or disclosed by others and may request additional information or amendment of the application. The high volume of patent applications can also cause delays in the processing of the application. These measures are in place to ensure that only truly innovative and practical inventions are granted patent protection. That’s why it takes more than a year to be granted. The following chart was created based on Patent application data in 2021 that have been granted as of February 2023, where China dominates with 607,758 patents or about 38% of the total. In addition, China dominates in 29 categories: 1. Computer & Technology 2. Electrical, Machinery, Apparatus, & Energy 3. Digital Communication 4. Measurement 5. Transport 6. Civil Engineering 7. Other Special Machines 8. Audio Visual Technology 9. Machine Tools 10. Chemical Engineering 11. Handling 12. Pharmaceuticals 13. Materials & Metallurgy 14. Control 15. Mechanical Elements 16. Telecommunications 17. Basic Materials Chemistry 18. Biotechnology 19. Organic Fine Chemistry 20. IT Methods for Management 21. Macromolecular Chemistry & Polymers 22. Other Consumer Goods 23. Environmental Technology 24. Thermal Processes & Apparatus 25. Surface Technology Coating 26. Textile & Paper Machines 27. Food Chemistry 28. Analysis of Biological Material 29. Micro Structural & Nano Technology 30.  31. 32.  33.    Meanwhile, the United States only obtained 286,206 patents granted, only 18% or less than half of China’s total. The United States only dominates in the categories of Medical Technology, Engine Pumps & Turbines, Basic Communication Processes, and Other Unknown Inventions. Next, there is Japan with 256,890 patents granted, or about 16% of the composition. Japan leads in the categories of Semiconductors, Optics, as well as Furnitures & Games.     What about Indonesia? Data from WIPO (World Intellectual Property Organization) which can be accessed through www3.wipo.int/ipstats/ shows that Indonesia only had 756 patents granted in 2021. This number is lower than Singapore with 4,034 and Malaysia with 1,583. These Indonesian patents are dominated by inventions originating from state universities, such as Andalas University, Brawijaya University, Gadjah Mada University, Diponegoro University, and Bandung Institute of Technology. If you need further information about patent registration in Indonesia and other countries, please do not hesitate to contact us at [email protected]. Sources: OBIS: omnibisolutions.com WIPO IP Stats

[URGENT UPDATE] Key Changes to the Indonesian Patent and Trademark Laws after the Enactment of the Law No. 11 Year 2020 on Job Creations

Event, Intellectual Property

The Law No. 11 Year 2020 on Job Creations (hereinafter referred to as “the Omnibus Law”) was finally signed by the President of the Republic of Indonesia, Joko Widodo, on November 2, 2020. The Omnibus Law is 1,187 pages long and it consists of numerous revisions to the existing laws that are aimed to spur job creations in Indonesia. While it puts a stronger emphasis on the Employment Law, the Omnibus Law – after several amendments – also impacted key provisions in the Law No. 13 Year 2016 on Patents (hereinafter referred to as “the Patent Law”) and the Law No. 20 Year 2016 on Marks and Geographical Indications (hereinafter referred to as “the Trademark Law”). We herewith list the changes and revisions for your perusal: Changes to the Patent Law Simple Patent Article 3 of the Patent law has been revised to the following: (1) A Patent is granted for a novel invention, which has inventive steps and can be applied industrially. (2) Whereas a Simple Patent for a novel invention, which is the development of a product or a process that already exists and can be applied industrially. (3) The development of an existing product or process can cover: Simple products: Simple processes; or Simple methods. In addition, Article 122 of the Patent Law also regulates the following requirements regarding the Substantive Examination Request for a Simple Patent: (1) A Simple Patent is only granted for one Invention. (2) The Request for the Substantive Examination for a Simple Patent shall be done at the same time as the time of the filing of the application with official fees. (3) If the Substantive Examination Request is not filed at the time of filing of the Simple Patent application or if the Official Fees are not paid, then the Simple Patent application is considered withdrawn. Whereas Article 123 of the Patent Law which regulates the publication period is amended as under: (1) The publication of a Simple Patent shall be done no later than 14 days from the date of filing of the Simple Patent Application. (2) The publication as referred to (1) shall be done for 14 working days. (3) The Substantive Examination is conducted after the publication has ended. (4) Except for the provisions in Article 48 Para (3) and (4), an opposition against a Simple Patent application is used as a determining factor during the Substantive Examination Stage. Article 124 of the Patent Law is also amended so that the Substantive Examination period is cut by half: (1) The Minister shall issue a decision to grant/reject a Simple Patent no later than 6 months from the date of the application date of the Simple Patent. (2) A Simple Patent which is granted by the Minister shall be recorded and published via electronic or non-electronic media. (3) The Minister issues a Simple Patent certificate to the Patent Owner as the proof of ownership. Use Requirements in Indonesia remain in place despite the initial plan and proposal to scrap it altogether The initial plan to scrap Article 20 of the Patent Law was scrapped at the very last minute. Nevertheless, the Use Requirements have become “more accommodating” since it lists importation and licensing as the definition of use. Article 20 has been reworded as under: (1) A Patent shall be used/performed in Indonesia. (2) The patent performance as referred to in (1) is as under: The use/performance of a Patented product by manufacturing, importing, or licensing the patented product; The use/performance of a Patented process by manufacturing, importing, or licensing the product which has been resulted from a patented process; or The use/performance of a Patented method, system, and use by manufacturing, importing or licensing a product which has been resulted from a method, system, and use which has been patented. Changes to the Compulsory-Licensing Article 82 which regulates Compulsory-Licensing has been reworded as under: (1) A Compulsory-License is a License to use/perform a Patent which has been granted by a Ministerial Decree or based on a request under the following conditions: A Patent has not been used/performed in Indonesia as per Article 20 for 36 months after it was granted; A Patent which has been used/performed by a Patent Holder or by the Licensee in a way that is detrimental to the public interest or A Patent resulting from the development of the existing Patents granted earlier could not be implemented without using the other party’s Patents which are still under protection. (2) The Compulsory-License request will be subject to the payment of official fees. Changes to the Trademark Law Some provisions in the Trademark Law have also been revised in the Omnibus Law. The most notable changes are as under: Functional 3D Mark is no longer registrable in Indonesia According to the revised Article 20 of the Trademark Law, a Mark cannot be registered if: It is contrary to the state ideology, prevailing laws, and regulations, religious values, decency, or public order: It is the same, related to, or simply states the goods and/or services covered in the application; It contains a misleading element concerning the origin, quality, type, size, option, the purpose of use of the goods and/or services covered in the application or if the application is a name of a plant variety that is registered for the same goods and/or services; It contains inaccurate information regarding the quality, benefit, or efficacy of the goods and/or services that are produced; It lacks distinguishing elements; It is a common name and/or public symbol; and/or It contains a shape that is functional. Shorter Substantive Examination period Article 23 of the Trademark Law circumvents the Substantive Examination period from 150 working days to 30 days if there is no opposition or 90 days if there is an opposition. The amended provision is as under: (1) A Substantive Examination is an examination that is conducted by an Examiner for every Trademark Application. (2) All oppositions and/or objections are considered in the Substantive Examination. (3) If there is no opposition filed…