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CS Professional · Intellectual Property Rights - Law and Practice · Business Concerns in Commercializing Intellectual Property Rights

Two co-proprietors, Sunil and Tara, are registered owners of a patent on a packaging machine, with no agreement between them. Sunil sells one patented machine to Bharat Foods Ltd. Tara objects, saying she did not consent to the sale. What is the position of Bharat Foods Ltd under the Patents Act, 1970?

Bharat Foods may deal with the machine exactly as if a sole patentee had sold it. The Patents Act protects a purchaser of a patented article sold by one co-proprietor, and those claiming through the purchaser, so Tara's objection does not restrict use or resale.

  1. ABharat Foods may deal with the machine as if sold by a sole patenteeCorrect
  2. BBharat Foods must obtain Tara's ratification before using the machine
  3. CBharat Foods may use but not resell the machine
  4. DBharat Foods holds the machine subject to Tara's claim for half its price

Explanation

Section 50(4) provides that where a patented article is sold by one of the registered co-proprietors, the purchaser and anyone claiming through him may deal with the article as if sold by a sole patentee. Tara's lack of consent does not burden the buyer.

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