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30 June 2014Trademarks

UKIPO publishes IP bill advice

The UK Intellectual Property Office (IPO) has published guidance on what businesses need to know following the passing of the country’s IP bill.

In a report published today, June 30, the IPO said it was trying to provide an overview to ensure businesses are aware of the soon-to-be implemented changes in law.

The IP bill, led by David Willetts, a Conservative party minister at the Department for Business, Innovation and Skills, stemmed from recommendations in the Hargreaves Review of Intellectual Property and Growth, a review of the UK’s IP system.

Following three parliamentary debates, it was granted royal assent in May this year.

Most of its provisions are due to become law in October this year.

Among the most notable changes to the law is clause 13, which introduces a criminal offence for the deliberate copying of a registered design and a potential prison sentence of up to ten years.

The clause was changed at the eleventh hour to cover copied products with features “that differ only in immaterial details” from a design having previously applied to “substantially similar” products.

“This change will provide an additional deterrent to those who copy and will increase your options for enforcement if you believe your design has been copied,” the report said.

The report, called Business guidance on changes to the law on design, also addressed concern that the threat of criminal sanctions only applied to registered designs.

During the bill’s third reading, Iain Wright, a Labour MP and shadow minister at the Department of Business, Innovation and Skills, unsuccessfully attempted to extend the provision to cover unregistered designs.

“Even though the criminal offence will not apply to unregistered design rights, it will still be possible to bring a civil case against someone you believe has deliberately copied your unregistered design,” the report said.

“Design owners, as [of] now, will have to consider how best to protect their designs, and in many fast moving areas like fashion for example, will continue to rely on unregistered designs, which may better suit their business models.”

The bill will also see a change in the default ownership for unregistered designs.

In the absence of a contract, the commissioner will no longer own a design and ownership will instead transfer to the designer.

The report said: “In any situation where two or more businesses or individuals work with each other it is vitally important that contracts are in place which establish who owns the IP.

“Therefore, care and appropriate advice should be taken in relation to the contractual terms and the employment situation.”

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