The Theory Of Patent Licensee’s Benefit Protection

As one of the main forms of the proprietary technology transaction, patent licensing hasgradually become an important approach to achieve patent commercialization andindustrialization. In patent licensing, on one hand, patent licensee will enjoy the originalexclusive rights granted by a patentee and naturally have to pay adequate price for that andaccept certain conditions set by the patentee on the implementation of the proprietarytechnology. On the other hand, licensee shall also obtain a reasonable income from patentlicensing under the circumstance of having paid the relevant price. This depends on both theimplementation effects of proprietary technology and authorized relevant price paid to thepatentee plus the granted conditions set in advance. However, in the course of some patentlicensing deals, the patentee does not respect the right owned by the licensee to earn areasonable income, on the contrary, they jeopardize the licensee’s interests by making use oftheir strong positions. The loss of protection for licensee’s interests will not only affect the fairmarketing competition but also encumber the foreign trade and business. Therefore we shouldchange the patent licensee ’s weak position, and further optimize the relevant provisions ofintellectual property law and antitrust law and set up escrow provisions in the patentinvalidation, meanwhile establish real right-like systems of protection and rights of action forthe licensee.Comparative research method is mainly used in this dissertation. By making comparisonin the legal systems among some countries and regions, we try to put the licensee at the twoends of individual and social public interests to protect. The dissertation is divided into fiveparts. The introduction part briefly states the crucial role played by patent licensing in theprocess of patent commercialization and industrialization. It also referred to the disadvantagesthe licensee have in proprietary technology transaction and the significance of protecting thelicensee’s interests. In the first chapter, by making comparison and contrast between patentlicensing and other intellectual property rights, we highlight the characteristics of patentlicensing contracts and make intensive explanation on the provisions of patent licensingcontracts hence to bring out the freedom and restriction of the patent licensing contracts.From the theoretical basis of the patent license to proceed, The direction of protection for theinterests of the licensee is clearly pointed out according to the principles of patent rights and balance of interests theory. The second chapter focuses on patent licensee status and illustratesthe necessity to protect patent licensees, especially based on China’s national conditions, theurgent need to strengthen the protection of rights of the patent licensee. The specific influenceon the patent licensee exerted by the course of proprietary technology transaction is pointedout with an empirical analysis of combined patent licensee. The third chapter generally statesthe relevant provisions for the patent licensee in the U.S., Japan, EU and Taiwan, China andmakes a comparative analysis of the legislation modes and authorization standards and otheraspects. The fourth chapter starts from the analysis of existing domestic laws and comes out athinking to improve patent protection for the rights of the licensee, proposing to furtherimprove the relevant provisions of the intellectual property law and antitrust law and set upthe escrow provisions of patent invalidation hence to build up real right-like protectionsystems for the licensee.