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CS Executive · Economic, Commercial and Intellectual Property Laws · Law relating to Designs

Meera Textiles files an application for registration of a design but does not pay the prescribed fee for a related proceeding under the Designs Act, 2000. What is the legal effect of the non-payment on that proceeding?

A proceeding for which a fee is payable under the Designs Act or its rules has no effect unless the fee has been paid. Non-payment therefore defeats the proceeding itself, rather than leaving it valid with the fee recoverable later or waived.

  1. AThe proceeding is of no effect unless the fee has been paidCorrect
  2. BThe proceeding is valid, and the fee can be recovered later as a debt
  3. CThe proceeding is valid but the design is registered with a lower priority
  4. DThe proceeding stays valid if the Controller exercises discretion to waive the fee

Explanation

Section 24(2) provides that a proceeding for which a fee is payable is of no effect unless the fee has been paid. Options suggesting a valid proceeding or a discretionary waiver have no basis in the text.

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