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

Two registered co-proprietors, Kiran and Lata, have no agreement between them. Kiran wishes to grant a licence under the patent to Sundaram Pharma without telling Lata. Which statement is correct?

Kiran cannot grant the licence without Lata's consent. The Patents Act bars one registered co-proprietor from licensing the patent or assigning a share unless the other co-proprietors agree, subject to Controller directions and any agreement between them.

  1. AKiran may grant it, as he holds half the patent
  2. BKiran may grant it if he pays Lata half the royalty
  3. CThe licence cannot be granted without Lata's consentCorrect
  4. DThe licence is valid only if registered within fourteen days

Explanation

Section 50(3) provides that, subject to section 51 and any agreement, a licence shall not be granted and a share shall not be assigned by one co-proprietor except with the consent of the others. Paying royalty does not substitute for consent.

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