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Unit 1Introduction & Classification

New Forms of Intellectual Property

Emerging forms of IP: trade secrets, plant varieties, semiconductor layout designs and traditional knowledge.

Beyond the traditional five forms (patents, trademarks, designs, GIs, copyright), modern IP law recognises emerging categories of protection: Plant Varieties and Biotechnology, Genetic Resources and Traditional Knowledge (GRTK), Layout Designs of Integrated Circuits, Computer Programmes, and Artificial Intelligence. These "new forms" respond to technological and commercial developments that traditional IP categories could not adequately cover.

Why: Existing IP frameworks were designed for industrial-era inventions and literary works. Biotechnology, software, and AI create novel subject matter that straddles or falls outside traditional categories, necessitating sui generis (unique, self-standing) protection systems.

Legal Framework

New Form Indian Statute International Instrument
Plant Varieties Protection of Plant Varieties and Farmers' Rights Act, 2001 (PPV&FR Act) UPOV Convention, TRIPS Art. 27.3(b)
Genetic Resources & Traditional Knowledge Biological Diversity Act, 2002; National Biodiversity Authority CBD (Convention on Biological Diversity), Nagoya Protocol
Layout Designs (Semiconductor) Semiconductor Integrated Circuits Layout-Design Act, 2000 (SICLD Act) TRIPS Art. 35-38, Washington Treaty 1989
Computer Programmes Copyright Act, 1957 (S.2(ffc), S.2(o)); Patents Act, 1970 (S.3(k)) TRIPS Art. 10, WCT Art. 4
Artificial Intelligence No specific statute; governed by existing patent/copyright law WIPO Conversation on AI & IP (ongoing)

Plant Varieties Protection and Biotechnology

PPV&FR Act, 2001

India adopted a sui generis system (as permitted by TRIPS Art. 27.3(b)) rather than joining UPOV.

Feature Detail
Protectable subject matter New varieties, extant varieties, essentially derived varieties, farmers' varieties (S.14-16)
Criteria for registration Novelty, Distinctiveness, Uniformity, Stability (DUS testing) (S.15)
Duration Trees/vines: 18 years; Other crops: 15 years; Extant varieties: 15 years (S.24)
Breeder's rights Exclusive right to produce, sell, market, distribute, import, export (S.28)
Farmers' rights Right to save, use, sow, re-sow, exchange, share, sell farm-saved seed (S.39)
Researcher's rights Use registered variety for research, teaching, experimentation (S.30)

Why: India's approach balances breeders' commercial interests with food security concerns and farmers' traditional practices. Farmers' rights (absent in UPOV) protect agrarian communities that have conserved and developed plant genetic resources for generations.

Biotechnology and IP

Biotechnological inventions face a specific exclusion under Indian patent law:

S.3(j), Patents Act: "plants and animals in whole or any part thereof other than micro-organisms but including seeds, varieties and species and essentially biological processes for production or propagation of plants and animals" are not inventions.

However, micro-organisms and microbiological processes remain patentable (following TRIPS Art. 27.3(b)).

Genetic Resources and Traditional Knowledge (GRTK)

Concept Definition Legal Protection
Genetic Resources Genetic material of actual or potential value (CBD Art.2) Biological Diversity Act, 2002: access requires prior informed consent of National Biodiversity Authority
Traditional Knowledge (TK) Knowledge, innovations, practices of indigenous communities, transmitted across generations Traditional Knowledge Digital Library (TKDL); S.3(p) Patents Act bars patents on TK
Traditional Cultural Expressions Folklore, art forms, rituals of communities No specific Indian statute; proposed WIPO treaty

Indian safeguards against biopiracy

Mechanism How it works
TKDL (Traditional Knowledge Digital Library) Documented 3,90,000+ formulations from Indian systems of medicine; cited as prior art to defeat foreign patent claims
S.3(p), Patents Act An invention which is traditional knowledge or aggregation thereof is not patentable
Biological Diversity Act, 2002 Requires benefit-sharing for use of biological resources; prior approval of NBA for patent applications relating to Indian bio-resources (S.6)

Why: Biopiracy (patenting of traditional knowledge by foreign entities without consent or benefit-sharing) threatened Indian heritage. TKDL alone has defeated over 200 patent applications at USPTO and EPO by proving prior art from Indian traditional systems.

Layout Designs of Integrated Circuits

SICLD Act, 2000

Feature Detail
What is protected Original layout designs of semiconductor integrated circuits (the 3D configuration of elements and interconnections) (S.2(h))
Requirement Originality (not commonplace among creators of layout designs) (S.3)
Duration 10 years from date of registration or first commercial exploitation, whichever is earlier (S.11)
Rights Exclusive right to reproduce the layout-design, import/sell articles incorporating the design (S.13)
Registration Mandatory; must be filed within 2 years of first commercial exploitation
Sui generis nature Not covered by patent, copyright, or design law; requires its own regime

Why: IC layout designs involve enormous investment (millions of dollars in design cost) but are easily reverse-engineered by decapping and photographing. Sui generis protection addresses this specific vulnerability without requiring the inventive step threshold of patents.

Computer Programmes

Computer programmes occupy a dual position in Indian law:

Protection route Statute What it covers Limitations
Copyright Copyright Act, 1957 (S.2(ffc), S.2(o)) Source code and object code as "literary works" Protects expression only; not algorithms, logic, or functionality
Patent Patents Act, 1970 Software "as such" excluded by S.3(k) Software WITH technical effect/application may be patentable (per CRI guidelines 2017)
Trade secret Common law Proprietary algorithms, code architecture Requires maintenance of confidentiality

S.3(k) exclusion

"a mathematical or business method or a computer programme per se or algorithms" are not inventions.

Key interpretation: "Per se" means software in isolation. Software that produces a technical effect beyond normal interaction with hardware (e.g., improved data compression, better engine control) may be patented as part of a larger invention.

Why: India treats software primarily as a literary work (copyright) because treating all software as patentable would create thickets of overlapping patents, stifle open-source development, and grant 20-year monopolies on functional ideas better served by copyright's longer but narrower protection.

Artificial Intelligence and Intellectual Property

AI raises three fundamental questions for IP law:

Question Current Indian position
Can AI be an inventor/author? No. S.6 Patents Act requires a "person"; S.2(d)(vi) Copyright Act requires "person who causes the work to be created." AI is a tool, not a legal person.
Can AI-generated output be protected? Only if a human exercised substantial creative direction (Copyright Office Form XIV, 2025 update); purely autonomous AI output lacks an "author"
Can AI itself be patented? AI algorithms per se: excluded by S.3(k). AI systems with technical application: potentially patentable under CRI guidelines

Global approaches (comparative)

Jurisdiction Position on AI inventorship
India No AI inventorship; human must be named
USA Thaler v. Vidal (2022): AI cannot be an inventor under US patent law
UK DABUS case (2021): AI cannot be an inventor; patent application refused
South Africa Granted patent listing AI (DABUS) as inventor in 2021 (outlier)
WIPO Ongoing consultations; no binding instrument yet

Why: The law requires accountability. Inventorship carries obligations (disclosure, good faith) and rights (compensation, attribution) that only legal persons can bear. Until AI gains legal personhood (which is a policy choice, not a technical question), humans remain the necessary link.

Illustrations

  1. PPV&FR vs Patent (why India chose sui generis): Indian farmer Raju has been cross-breeding wheat varieties for 30 years, producing "Raju's Golden Wheat" with drought resistance. Under patent law, Raju could never afford to file (costs lakhs, needs patent attorney). Under PPV&FR Act, Raju can register his "farmer's variety" with minimal fees, AND he can save/exchange/sell farm-saved seed — rights that patent holders could block.

  2. TKDL defeating biopiracy (real case): A US company filed a patent at USPTO for "use of turmeric in wound healing." India's TKDL team showed the patent examiner ancient Ayurvedic texts documenting turmeric for wounds. Patent revoked — it was traditional knowledge, not a new invention. Without TKDL, this patent would have stood, and Indian turmeric exporters might have had to pay royalties for their own ancestral knowledge.

  3. S.3(k) "per se" distinction: A coder writes an app that calculates EMIs. The app's code is protected by copyright (as literary work). But the algorithm (mathematical formula for EMI calculation) cannot be patented — it's a computer programme "per se." However, if the same coder writes software that makes a drone's obstacle-avoidance system 50% faster, THAT might be patentable because it produces a technical effect in hardware, not just computation.

  4. AI authorship problem: An AI system (like DALL-E) generates a painting without any human prompt beyond "make art." Who owns copyright? Nobody — because S.2(d) requires a human "author." But if a human artist uses AI as a tool (giving detailed prompts, selecting outputs, arranging compositions), the human is the author. The distinction: AI as creator (no protection) vs AI as tool in human's hands (human gets protection).

Recall Check

  1. What is the sui generis system adopted by India for plant variety protection, and how does it differ from patent protection?
  2. How does TKDL function as a defensive mechanism against biopiracy?
  3. Why are computer programmes "per se" excluded from patentability under S.3(k), but software with technical effect may still be patented?

Key Cases

Diamond v. Chakrabarty (1980) Diamond-v-Chakrabarty-1980 Issue: Whether a genetically engineered bacterium capable of breaking down crude oil is patentable subject matter. Rule: Patentable subject matter includes "anything under the sun that is made by man" if it satisfies novelty, utility, and non-obviousness. Held: Living micro-organisms produced by human intervention (genetic engineering) are patentable; the distinction is between products of nature and human-made inventions.

Neem Case (W.R. Grace/USDA v. Opposition, EPO 2005) Neem-Patent-Revocation-EPO-2005 Issue: Whether a patent on neem-based fungicide (using traditional Indian knowledge) was validly granted by EPO. Rule: Prior art includes traditional knowledge practices documented or undocumented; a patent lacking novelty over prior art is invalid. Held: Patent revoked. Indian TK of neem's antifungal properties constituted prior art destroying novelty. Landmark biopiracy case.

Thaler v. Comptroller-General (UK, 2021) Thaler-v-Comptroller-General-UK-2021 Issue: Whether DABUS (an AI system) can be named as inventor on a patent application. Rule: An "inventor" under UK Patents Act must be a natural person; only persons have rights and obligations. Held: AI cannot be an inventor. A patent application must designate a natural person as inventor; the application was refused.

Distinctions

Parameter Plant Variety Protection Patent (Biotechnology)
Statute PPV&FR Act, 2001 Patents Act, 1970
Subject matter Varieties (distinct, uniform, stable) Micro-organisms, microbiological processes
Exclusion Not available for essentially biological processes (inherent) S.3(j): plants/animals (whole or part) excluded
Farmers' rights Expressly guaranteed (S.39) No equivalent provision
Duration 15-18 years 20 years
Criteria DUS (novelty, distinctiveness, uniformity, stability) Novelty, inventive step, industrial application
Community dimension Farmers' varieties protectable No community inventorship concept

Flashcards

Q: What is the sui generis system under TRIPS Art. 27.3(b)? A: TRIPS allows members to protect plant varieties through patents, an effective sui generis system, or a combination. India chose the PPV&FR Act (sui generis) instead of patents.

Q: What does S.3(k) of the Patents Act exclude? A: Mathematical methods, business methods, computer programmes per se, and algorithms are not considered inventions.

Q: What is TKDL and how many formulations does it document? A: Traditional Knowledge Digital Library; it documents over 3,90,000 formulations from Indian traditional medicine systems (Ayurveda, Unani, Siddha, Yoga) as searchable prior art.

Q: What is the duration of layout design protection under the SICLD Act? A: 10 years from date of registration or first commercial exploitation, whichever is earlier.

Q: Can AI be named as an inventor under Indian patent law? A: No. S.6 of the Patents Act requires a "person" as inventor; AI is a tool, not a legal person.

Q: What are Farmers' Rights under S.39 of the PPV&FR Act? A: Farmers can save, use, sow, re-sow, exchange, share, and sell farm-saved seed of a protected variety (but not sell branded seed of the protected variety).

Q: What was the significance of the Neem patent revocation at EPO? A: It established that traditional knowledge (even if not published in scientific journals) constitutes prior art that can defeat patent claims, serving as a landmark anti-biopiracy precedent.

Q: What is the "per se" qualification in S.3(k)? A: Software "per se" (in isolation, as abstract code) is excluded, but software producing a technical effect beyond normal computer interaction may be patentable as part of a technical invention.

Exam Scenario

Dr. Sharma develops an AI system (MediBot) that autonomously discovers a new drug compound effective against drug-resistant tuberculosis. He seeks to: (a) Patent the drug compound listing MediBot as inventor; (b) Patent the AI algorithm underlying MediBot; (c) Protect MediBot's source code.

Advise Dr. Sharma on the viability of each claim under Indian IP law. Discuss whether the drug compound is patentable if a human is named as inventor, the applicability of S.3(k) to the AI algorithm, and the appropriate form of protection for the source code. Refer to Thaler v. Comptroller-General (UK, 2021) and the CRI Guidelines, 2017.

Now see how it gets examined

This chapter in the exam hall: which questions recur, and full model answers for each.

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