Understand The Australian Patent System
Intellectual property refers to non-tangible inventions that result from the creativity of the human mind. Examples of intellectual property include business ideas and artistic creations.
Because intellectual property is not tangible, the patent system is used to grant ownership of such property to the inventing party. A patent gives an inventor the exclusive right to exploit the commercial value of intellectual property for a pre-set duration of time. This article answers two common questions about the Australian patent system for the benefit of business lawyers-in-training.
Are There Different Types Of Patents Under This System?
Under the Australian patent system, inventors and innovators can protect intellectual property by applying for a standard patent or an innovation patent.
Differences between the two patent types include their terms of validity, the number of claims that can be made on the patent, and the level of invention/innovation required for granting of the patent. The standard patent is designed for inventions that will take longer to develop and commercialize. Thus, standard patents in Australia are valid for a maximum of two decades. Innovation patents are valid for a maximum of eight years because they're designed for innovations with a shorter development and commercialization cycle
Standard patents must be examined substantively before the patent is granted and before its rights are enforced. On the other hand, examination only becomes mandatory for an innovation patent when it's time to enforce patent rights.
How Is This System Beneficial To The Economy?
The patent system is beneficial to the Australian economy in a number of ways. For one, the patent system serves as a catalyst for invention and innovation across all economic sectors. These inventions and innovations facilitate the creation of improved products and/or services that respond to the ever-changing needs of the larger society. For example, an invention that helps to reduce the operational costs of banking institutions could easily translate to lower interest rates for loans and mortgages.
The patent system also serves to attract investment in small and medium-sized enterprises that lack the capacity to fully exploit the commercial value of their invention/innovation. Patents serve as a connecting link between those who have innovative ideas and those who have the resources to finance the development and commercialization of these ideas.
Last but not least, the patent system encourages the sharing of knowledge between industry players in the same economic sector. By allowing patent holders to get into license agreements with third party entities, the patent system facilitates the exchange of technical knowledge and expertise across all sectors of the economy.
For more information, contact a lawyer specializing in intellectual property law.
