Section 10 Patents and Designs Act 1971

Section 10 of the Patents and Designs Act 1971 is about Licences of right. It is under ‘Patents’ of the Act. It provides as follows:

(1) Subject to this section, if a patentee (not being precluded by the terms of any previously registered licence from granting a further licence) applies in writing to the registrar for the words “licences of right” to be registered in respect of his patent, the registrar shall enter the words accordingly in the register and notify the entry.

(2) Where an entry is made under subsection (1) of this section in respect of a patent’-
(a) any person shall have the right to obtain a licence to exploit the patent on such terms as, failing agreement between that person and the patentee, shall be fixed by the court on the application of that person; and

(b) the amount of the annual fees payable in respect of the patent shall be reduced by half, the reduction first taking effect in relation to the annual fees first payable after the date of the entry.

(3) A patentee may at any time apply to the registrar for an entry under subsection (1) of this section to be cancelled; and, if no licences have been granted under this section or all the grantees agree, the registrar shall thereupon cancel the entry and notify the cancellation, but only after payment of all annual or other fees which would have been payable if the entry had never been made.

(4) The grantee of a licence under this section shall not be entitled to assign the licence or grant further licences under it.

(5) Subsections (1) (b), (2) (a), (3) and (6) of section 23 of this Act shall apply in relation to licences granted under this section as they apply to licences and contracts under section 23 of this Act.

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