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CS Professional · Intellectual Property Rights - Law and Practice · Biological Diversity

Under the amended Act, NBA directs Greenleaf Pharma to pay a sum as benefit sharing for approval relating to a biological resource and associated knowledge obtained directly from a village cooperative. Which course is consistent with section 21(3) and its proviso?

The NBA may direct Greenleaf Pharma to pay the cooperative directly, following the agreement and in a manner it deems fit. The National Biodiversity Fund deposit is the general rule, but the proviso allows direct payment where the resource or knowledge came from identified claimers.

  1. AThe NBA may direct the amount to be paid directly to the cooperative in accordance with the agreement and in the manner it deems fitCorrect
  2. BThe amount must in every case be deposited in the National Biodiversity Fund
  3. CThe amount must be paid to the State Government's general revenue account
  4. DThe amount is payable only after the cooperative obtains a patent itself

Explanation

Section 21(3) allows the NBA to direct money to the National Biodiversity Fund, but the proviso says that where the resource or knowledge came from an individual, group or organisation, the NBA may direct payment directly to that benefit claimer in accordance with the agreement. So 'in every case' to the Fund is wrong because the proviso gives a direct-payment option.

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