Research On Patent Implied Licenses

Implied patent license has its origins in the equitable estoppel from common law.It is not only an essential defense cause for patent infringement,but also an important mechanism for balancing the interests between patent owners and the public.In recent years,cases involving implied patent license began to increase in China and have caught attention of the Supreme People's Court.Also,notably,the draft of amendment to the patent law has added a provision concerning implied license of standards essential patents.If this amendment is passed,it means that implied license will be recognized in legal level.Situations where patent implied license can be applied are not limited to standard-setting.Implied license caused by the sale of generic products is a more common and important defense cause in patent infringement cases.Compared to exhaustion doctrine,patent license has wider scope of application and that is where its value lies.This article will study the rationale and actual value of patent implied license through literature review and case study.