Briefing - Compulsory licensing of patents for crisis management - 04-11-2024
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The COVID-19 pandemic highlighted the need for a resilient healthcare system but also for quick access to inventions and technologies in challenging situations. To address this need, in April 2023 the Commission submitted a proposal for a regulation on compulBriefing - Compulsory licensing of patents for crisis management - 04-11-2024
The COVID-19 pandemic highlighted the need for a resilient healthcare system but also for quick access to inventions and technologies in challenging situations. To address this need, in April 2023 the Commission submitted a proposal for a regulation on compulsory licensing for crisis management. The aim is to secure the rapid deployment of patent-protected inventions in times of crisis or emergency, without eroding patent protection as an incentive to innovate. The proposal lays down rules and procedures for granting Union compulsory licences and supervising the law's implementation. Views on the proposal diverge. Civil society organisations support broad application of the compulsory licensing scheme, whereas industry organisations advocate narrow application. Opinions differ on: (i) the need for legislative intervention; (ii) the events justifying the use of compulsory licences; (iii) whether compulsory licensing should be conditional on failed prior negotiations for voluntary licences; (iv) whether the disclosure of know-how or trade secrets is warranted under certain circumstances; (v) at what level remuneration and sanctions should be capped; vi) how advisory bodies should be composed; and vii) what role potential licensees should play in initiating and engaging in the compulsory licensing procedure. On 13 March 2024, Parliament voted its first-reading position ahead of future trilogue negotiations. Parliament insists on empowering the Commission to mandate the disclosure of relevant trade secrets and know-how, and on significantly strengthening the position of rights-holders. In its position of 26 June 2024, the Council recommends a more industry-oriented approach. Third edition. The 'EU Legislation in Progress' briefings are updated at key stages throughout the legislative procedure. Source : © European Union, 2024 - EP Read more
