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Entrepreneurship and Small Business Management

Notes There is a well-established statutory, administrative and judicial framework to safeguard
intellectual property rights in India, whether they relate to patents, trademarks, copyright or
industrial designs. Well-known international trademarks have been protected in India even
when they were not registered in India. The Indian Trademarks Law has been extended through
court decisions to service marks in addition to trade marks for goods. Computer software
companies have successfully curtailed piracy through court orders. Computer databases have
been protected. The courts, under the doctrine of breach of confidentiality, accorded an extensive
protection of trade secrets. Right to privacy, which is not protected even in some developed
countries, has been recognized in India.
Protection of intellectual property rights in India continues to be strengthened further. The year
1999 witnessed the consideration and passage of major legislation with regard to protection of
intellectual property rights in harmony with international practices and in compliance with
India’s obligations under TRIPS. These include:

1. The Patents (Amendment) Act, 1999 passed by the Indian Parliament on March 10, 1999 to
amend the Patents Act of 1970 that provides for establishment of a mail box system to file
patents and accords exclusive marketing rights for 5 years.
2. The Trade Marks Bill, 1999 which repeals and replaces the Trade and Merchandise Marks
Act, 1958 passed by the Indian Parliament in the Winter Session that concluded on December
23, 1999.
3. The Copyright (Amendment) Act, 1999 passed by both houses of the Indian Parliament,
and signed by the President of India on December 30, 1999.
4. A sui generis legislation for the protection of geographical indications called the
Geographical Indications of Goods (Registration & Protection) Bill, 1999 approved by
both houses of the Indian Parliament on December 23, 1999.
5. The Industrial Designs Bill, 1999 which replaces the Designs Act, 1911 was passed in the
Upper House of the Indian Parliament in the Winter Session which concluded on December
23, 1999 and is presently before the Lower House for its consideration.
6. The Patents (Second Amendment) Bill, 1999 to further amend the Patents Act, 1970 and
make it TRIPS compliant was introduced in the Upper House of Indian Parliament on
December 20, 1999.

In addition to the above legislative changes, the Government of India has taken several measures
to streamline and strengthen the intellectual property administration system in the country.
Projects relating to the modernization of patent information services and trademarks registry
have been implemented with help of WIPO/UNDP. The Government of India is implementing
a project for modernization of patent offices at a cost of ` 756 million incorporating several
components such as human resource development, recruiting additional examiners, infrastructure
support and strengthening by way of computerization and re-engineering work practices, and
elimination of backlog of patent applications. An amendment to the Patent Rules was notified
on June 2, 1999 to simplify the procedural aspects.
The Trade Marks Registry is also proposed to be further strengthened and modernized.
A project for modernization was earlier implemented during 1993-96. Further strengthening of
the Registry is being taken up at a cost of ` 86 million. The main thrust now is to strengthen the
infrastructure of the Trade Marks Registry and the early removal of backlog of pending
applications, transfer of records to CD-ROMs, re-engineering of work processes, appointment
of additional examiners, etc.

As regards the aspect enforcement, Indian enforcement agencies are now working very effectively
and there has been a notable decline in the levels of piracy in India. In addition to intensifying

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