New Indonesia Patent Working Requirement: Action Needed to Avoid Compulsory Licensing & Invalidation
Attention all patent holders with rights in Indonesia! A significant amendment to the Indonesian Patent Law has introduced a new, critical annual obligation: the Patent Working Statement.
At THEIPCO, our mission is to keep our clients ahead of global intellectual property developments. This new mandate carries substantial risk for non-compliance, and with the December 31st deadline approaching, proactive portfolio management is essential.
Here’s what every patent owner needs to know about Indonesia’s new patent working requirement.
What is the New Indonesia Patent Law Amendment?
Effective October 28, 2024, Indonesia now requires all holders of active patents to submit an annual statement detailing the implementation—or “working”—of their invention within the country. This requirement applies to all active patents, regardless of their grant date.
The Directorate General of Intellectual Property (DGIP) has established a temporary online filing feature to facilitate this new rule while the final regulations are formalized.
Key Details of the Patent Annual Statement
To ensure your patent maintenance and compliance, here are the crucial details:
- Deadline: The annual working statement must be submitted electronically each year by December 31.
- Process: Submission is made through the DGIP’s online system using their official template.
- Content: Patentees must declare the commercial status of their patent. Options include:
- Manufacturing in Indonesia
- Importation of the patented product
- Licensing the technology to a third party
- Stating that the patent is not yet worked in Indonesia
- Requirements (Current): For now, the DGIP requires only a scanned copy of the signed form. There is no official fee and no requirement for supporting documentation at this provisional stage.
Important Note: The DGIP is temporarily accepting overdue statements until the final regulation is enacted. This grace period is a critical window for IP portfolio management and compliance.
The Significant Risks of Non-Compliance
The DGIP has emphasized that failure to submit this annual patent statement on time poses severe legal and financial risks to your patent rights. The consequences include:
- Compulsory Licensing: Your patent may be licensed by the government to a third party without your consent.
- Patent Invalidation: Your patent could be partially or completely revoked, resulting in a total loss of rights.
This makes timely submission not just an administrative task, but a vital part of patent protection and risk mitigation.
Next Steps: How THEIPCO Can Secure Your Patent Rights
Navigating new foreign IP regulations can be complex. Protecting your assets requires expert IP legal services.
THEIPCO recommends the following immediate actions:
- Portfolio Review: Immediately review your Indonesian patent portfolio to identify all active grants.
- Status Assessment: Work with our team of IP experts to assess the working status of each invention.
- Timely Submission: Ensure the preparation and timely submission of all annual statements before the deadline.
Secure Your Indonesian Patents with THEIPCO
Don’t leave your valuable intellectual property vulnerable. Our deep expertise in international patent law and IP portfolio strategy ensures your assets remain protected and compliant with evolving global regulations like this one.
Contact THEIPCO today for a comprehensive review of your Indonesian patents and let our experts handle your annual working statement submissions. Protect your innovation, secure your rights, and ensure peace of mind.
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