Layout-Designs of Integrated Circuits: formula sheet

Key formulas

Layout-design (section 2(h))

Layout of transistors and other circuitry elements + lead wires connecting them, expressed in any manner in a semiconductor integrated circuit

Quote this almost word for word. It is the base of every answer.

Semiconductor integrated circuit (section 2(r))

Product with transistors and other circuitry elements inseparably formed on/inside a semiconductor or insulating material + designed to perform an electronic circuitry function

Two tests: inseparable formation and an electronic circuitry function.

Commercial exploitation (section 2(e))

To sell, lease, offer or exhibit for sale or otherwise distribute the IC for any commercial purpose

Used in section 7 to decide whether a design is already exploited.

Registered proprietor (section 2(o))

Person for the time being entered in the register as proprietor

Not the creator by default; the entry in the register decides.

Registered layout-design (section 2(n))

Layout-design which is actually on the register

Only registered layout-designs are protected against infringement under section 18.

Originality (section 7(2))

Result of creator's own intellectual efforts AND not commonly known to creators and manufacturers at time of creation

A combination of commonly known elements is original if the combination as a whole is the creator's own intellectual effort.

Grace period (proviso to section 7(1))

Commercial exploitation for not more than two years before the filing date, in India or a convention country, is ignored

Beyond two years, the design cannot be registered.

Ownership of commissioned work (section 7(3))

Absent contrary contract, right of registration belongs to the person who commissioned the work or the employer

Applies to original designs created under a commission or employment.

Appointment of Registrar

Central Government + notification in Official Gazette → Registrar (Section 3(1))

Appointment is by the Central Government only, and by Gazette notification.

Other officers

Other officers act under the Registrar's superintendence and direction, only for functions he authorises (Section 3(2))

They do not hold the Registrar's powers by default.

Registry and offices

One Registry; head office and branch offices placed by the Central Government; territorial limits notified by it; Registry has a seal (Section 5)

Section 2(v): a reference to the Registry includes any of its offices.

Penalty under Section 58

Imprisonment up to 6 months, or fine, or both

Unlike Section 57, Section 58 states no maximum amount of fine.

Related penalty under Section 57

Falsely claiming a layout-design is registered: imprisonment up to 6 months, or fine up to ₹50,000, or both

Do not mix this up with Section 58.

Section 6(1): what the register is

Register of Layout-Designs = record kept at head office of the Registry, entering all registered layout-designs with proprietor's name, address, description and prescribed matters

Only registered layout-designs are entered. 'Registered layout-design' means one actually on the register (Section 2(n)).

Section 6(2): who controls it

Control and management = Registrar, subject to Central Government's superintendence and direction

Do not say the Central Government keeps the register directly.

Section 6(3): branch copies

Each Branch office keeps a copy of the register and other documents as the Central Government directs by Gazette notification

The direction covers which documents are kept, so do not claim every document is kept at every branch.

Section 87: inspection and certified copies

Register and documents behind entries = open to public inspection, subject to prescribed conditions; any person may obtain a certified copy on application and prescribed fee

Section 87(1) begins 'Save as otherwise provided in sub-section (4) of section 25'.

Section 80: evidence

Certified copy under Registrar's certificate and Registry seal = admitted in evidence without further proof or production of original; Registrar's certificate = prima facie evidence

Section 80(1) is admissibility of certified copies. Section 80(2) is prima facie evidence of the entry or act.

Section 59: false entries

False entry or false copy knowingly produced or tendered = imprisonment up to 2 years, or fine, or both

Applies to making or causing a false entry, or a writing falsely purporting to be a copy.

Four grounds of refusal (Section 7(1))

Refuse if: not original OR commercially exploited OR not inherently distinctive OR not inherently capable of being distinguishable from any other registered layout-design

Any one ground is enough. The grounds are alternatives, not cumulative.

Test of originality (Section 7(2))

Original = creator's own intellectual efforts AND not commonly known to creators and manufacturers at the time of creation

Both limbs must be met.

Combination proviso (Section 7(2) proviso)

Commonly known elements + interconnections = original if the combination as a whole is the creator's own intellectual effort

Judge the combination as a whole.

Grace period for exploitation (Section 7(1) proviso)

Exploitation ≤ 2 years before the application filing date (India or convention country) = treated as not exploited

Exploitation for more than two years bars registration.

Commissioned or employee work (Section 7(3))

Right of registration → commissioner or employer, unless the contract provides otherwise

Applies to an original layout-design created under a commission or employment contract.

Term of registration (s.15)

Term = 10 years from the EARLIER of (filing date) or (date of first commercial exploitation, in India or any country)

The term is counted from the earlier date, so it can start before registration is granted.

Where to file (s.8(2))

Registry covering applicant's principal place of business in India; joint applicants: first-named applicant; no business in India: address for service in India

Territorial jurisdiction depends on the applicant's business location.

Registrar's power (s.8(3))

Refuse | Accept absolutely | Accept subject to amendments or modifications

Three possible outcomes at examination.

Commercial exploitation grace (s.7(1) proviso)

Exploitation for not more than 2 years before filing date is ignored

Applies to exploitation in India or a convention country.

Assignment without goodwill (s.22)

Apply to Registrar for advertisement directions within 6 months (extension up to 3 months in aggregate) and advertise as directed

Otherwise the assignment does not take effect.

Agent's unauthorised registration (s.85)

Proprietor's action within 3 years of becoming aware

Proprietor may oppose, seek cancellation or rectification to be registered as proprietor by assignment.

Cancellation effect (s.41(3))

Cancellation is effective from the date from which the 10 years in s.15 is counted

Partial cancellation retains the remaining part if it can function as an integrated circuit.

Who can infringe

Infringer = a person who is NOT the registered proprietor or a registered user

Section 18(1). The proprietor and registered users fall outside this definition, subject to Section 18(4), where the proprietor's use of a registered reverse-analysis design is treated as infringement.

Limb (a): reproduction

Reproducing the registered layout-design in whole or any part, except a part that is not original under Section 7(2)

Reproduction may be by incorporating in a circuit or otherwise.

Limb (b): commercial dealing

Importing / selling / otherwise distributing for commercial purposes the layout-design, the circuit, or an article incorporating it, without entitlement

Subject to the innocent infringer rule in Section 18(5).

Research exception

Reproduction for scientific evaluation, analysis, research or teaching = not infringement

Section 18(2). It applies only to clause (a) reproduction and only for these limited purposes.

Reverse analysis

Original layout-design created on the basis of scientific evaluation or analysis = may be freely used

Section 18(3). If the original proprietor uses that new design after its registration, it is infringement (Section 18(4)).

Innocent infringer

No knowledge and no reasonable ground to know = no infringement; after notice, may continue for stock on hand or ordered before notice, but must pay royalty

Section 18(5). Royalty is fixed by negotiation or by the Appellate Board, having regard to the benefit accrued.

Downstream buyer

Purchaser from an innocent person referred to in Section 18(5) gets the same immunity

Section 18(6). It follows the protection given under Section 18(5), so it covers the protected units only.

Consent and exhaustion

Written consent of the proprietor, or goods put on the market by or with the proprietor's consent = not infringement under clause (b)

Section 18(7).

Independent creation

Identical layout-design created by independent intellect = not infringement

Section 18(8).

Unregistered design

No proceeding to prevent or recover damages for infringement of an unregistered layout-design

Section 16.

Appeal

Appellate Board order to High Court within the prescribed period

Section 53. The Code of Civil Procedure, 1908 applies to such appeals.

False connection with Registry

Imprisonment up to six months, or fine, or both

Section 58. It applies to wording that suggests a place of business is connected with the Registry.

Quick revision

• Layout-design means a layout of transistors and other circuitry elements, including connecting lead wires, expressed in any manner in a semiconductor integrated circuit.
• The Registry has a head office and may have branch offices; the Central Government sets their places and territorial limits.
• The Registrar is appointed by the Central Government by notification in the Official Gazette.
• The Register of Layout-Designs is kept at the head office, under the Registrar's control and management, subject to the Central Government's superintendence and direction. A copy of the register and other documents is kept at each branch office, as the Central Government directs by notification.
• A certified, sealed copy of a register entry is admitted in evidence without further proof or production of the original.
• Section 7 bars registration of a layout-design that is not original, has been commercially exploited, is not inherently distinctive, or is not inherently distinguishable from a registered one.
• Commercial exploitation for not more than two years before the application date, in India or a convention country, is treated as not exploited.
• A layout-design is original if it is the creator's own intellectual effort and not commonly known to creators and manufacturers at the time; a combination of known elements can be original as a whole.
• For commissioned or employee work, the right to register belongs to the commissioner or employer unless the contract says otherwise.
• Reproducing a layout-design, or importing, selling or distributing it for commercial purposes, can be infringement, but reproduction for scientific evaluation, analysis, research or teaching is not.
• A person who imports, sells or distributes without knowledge or reasonable ground to know that a registered layout-design is incorporated is not infringing. After notice, that person may deal only with stock on hand or ordered before the notice, and must pay royalty fixed by negotiation or by the Appellate Board. Later purchasers get the same immunity under section 18(6).
• Independent creation of an identical layout-design is not infringement.

Common mistakes

• Saying the Act protects the chip or the circuit function. Fix: State that protection is for the layout-design, the arrangement of elements and lead wires, not the idea or the function.
• Treating the Act as a patent or copyright law. Fix: Call it a sui generis law with its own register, registration and tests of originality and distinctiveness.
• Saying the Registrar is appointed by the Controller General or by the Registry itself. Fix: Remember: Central Government, by notification in the Official Gazette (Section 3(1)).
• Writing that other officers have all the Registrar's powers. Fix: Say they discharge only the functions the Registrar authorises, under his superintendence and direction (Section 3(2)).
• Saying the register lists all layout-designs filed. Fix: Write that Section 6(1) enters registered layout-designs only.
• Saying the register is kept at every office in full. Fix: The original is at the head office. Branches keep a copy and other documents as the Central Government directs by notification.
• Treating a design as unoriginal just because its components are well known. Fix: Ask whether the combination as a whole is the result of the creator's own intellectual efforts. If yes, it is original.
• Saying any commercial exploitation bars registration. Fix: Exploitation for not more than two years before the filing date is ignored. Only longer exploitation bars registration.
• Counting the ten-year term only from the date of registration or grant. Fix: Remember section 15: the term runs from the earlier of filing or first commercial exploitation.
• Writing that the term can be renewed. Fix: Say registration is for ten years only. Do not state renewal unless the question's text provides it.

Exam tips

• Learn the section 2 definitions of layout-design and semiconductor integrated circuit almost verbatim; they are the easiest marks.
• In case-based questions, split the answer into provision, analysis and conclusion, and use the section 7 grounds as a checklist.
• Always check the dates for the two-year exploitation grace period and compute the gap exactly.
• Check for employment or commission facts and apply section 7(3) before naming the owner.
• Keep treaty references brief and general (Washington Treaty, TRIPS); do not guess article details.
• Learn Section 3 in two parts: (1) appointment of the Registrar by Gazette notification, (2) other officers acting only on authorisation.
• For Section 58, always quote the test words: 'would reasonably lead to the belief'.
• Keep the penalty accurate: up to six months, or fine, or both. Do not add an amount.