Intellectual Property Rights (IPR) are exclusive rights given
to creator for use of his/her creations for a certain period of time. Exclusive
rights are given to use own ideas, plans, intangible assets etc. These rights
include categories as copyright, trademark, trade secret, patents. As law or
statute protects ownership over property (real estate), Intellectual Property
Law enforce legal rights over intellectual property of creator. These rights are
exclusively given to creator as protection as well as in worry of competition.
This article deals with the enforcement of law over matters of Intellectual
Property Rights.
Association between IPR and ADR ( Arbitration, Mediation):
To enforce the
Intellectual Property Law to resolve the dispute over intellectual properties,
it's broadly enforced in wide areas as Mediation/ Arbitration and Litigation. In
light of till the date disputes solved in IPR cases it can be inferred that
often Litigation is always considered as a meritless option, and more of
Mediation/Arbitration is used as method to resolve the dispute. Intellectual
Properties are considered as properties owned by the creator, whereas disputes
of properties (here real property as real estate, land) are resolved by the
litigation but dispute of intellectual properties are mostly distracted by the
Litigation, the reason is, in IPR disputes enforcement is carried mostly to
carry out competition rather than of protection of those exclusive rights.
Here
not absolutely criticising the method of Arbitration despite it's a favourable
option as it avoids litigation as well as court dates rather solves it by the
discussions, but method to be imposed to carry out competition not a mere
protection of exclusive rights. Multiple lawsuits, litigation, court hearing
could be avoided by the help of Mediation/ Arbitration. Thomas Gergen describes
Mediation as effective method to reach an agreement to settlement of the
settlement of their disputes with the assistance of mediator. Mediation is more
advantageous than litigation as its quick resolution (speedy settlement) without
any legal or factual damages to any disputed party.[i]
Merits of ADR in IPR disputes:
While answering to a particular answer for need of
arbitration in intellectual property rights referring to particular view point
of World Intellectual Property Organisation (WIPO) that at international level
arbitration helps to avoid proceedings with multiple laws, statutes and acts and
advantage to particular party owing home laws and home judiciary while
arbitration remains neutral and confidential.
According article 3 of the
convention establishing WIPO its states that disputes between parties must be
solved by cooperation among themselves, here concept of Arbitration suits
properly. In litigation there is possibility where amount or gravity of damages
are decided by the court or court grants damages/ compensation in specific
terms, whereas in arbitration parties can decide damages by mutual consent which
makes possibility of satisfaction of both parties.
In advantages of choosing
arbitration or mediation every case is treated as a separate as there is absence
of precedents which may affect on the results of the case. In the alternative
dispute resolutions where disputes are solved or directed to solver other than
the means of the litigation or the court procedure because in the process like
mediation where inclusion of law is not permissible or permissible by the
approval of mediator because in these particular matters if court would have
interfered then possibility that justice may not be accomplished or court have
to go contrary to the law, in the cases of IPR there may be possibility that to
maintain the nature of the law court may not give a justice to the party hence
its always to have good option to make Mediation/Arbitration on the disputes of
the Intellectual Property Rights. [ii]
International Jurisdiction:
Emergence of Arbitration is not wide in every
country, and it tends to follow judiciary as explicit and exclusive to resolve
disputes. Due to which it is seen in the international jurisdiction that every
country does not allow IPR disputes for Arbitration and also do not put a
blanket bar and order to avoid the Arbitration. In India itself, whether to
follow Arbitration in IPR is always seen as obiter dictum from the court.
The
expedient rule should be that Arbitration in IPR disputes should be present in
the partial form. The matters arising from breach in contractual obligation of
IPR should only directed towards Arbitration. Whereas, matters of validity,
registration, statutory limits should not be directed towards Arbitration as
their nature is determinable and statutes, laws are compatible to deal with the
matters. [iii]
Matters of IPR should be directed to Arbitration only where issues
are aroused from contractual obligations where circumstances are as 1-judiciary
is not able to solve matter by available laws and statutes, 2-in cases where one
party is gaining more/ less advantage, 3- Settlement is only an alternative. The
scope and extent of admissibility to IPR disputes should only be limited to the
cases of
Rights in personam ( rights enforceable against individual) and
not admissible to issues/ disputes of
Rights in rem ( rights against whole world.) [iv]
Exceptions and their presence:
I felt that apart from all merits discussed
above, I found very few exceptions for it as arbitration or mediation needs to
have mutual co-operation between parties to solve a dispute, but often disputes
arising out of IPR is between companies and corporates and in the era of the
trade war, competition in corporate sector it is very low possibility to have
cooperation between companies and corporates as in the arbitration/ mediation to
solve IPR disputes parties will more concerned about money or their prestige in
the market and neglect to have a co-operation.
Still even these defects are not
serious in the today's nature as many parties (corporates, companies) are aware
that without mutual co-operation possibility that both the parties may felt loss
or even fail to maintain their prestige in the market, and so parties will
become flexible to solve dispute which is necessary to solve disputes in
arbitration/ mediation. hence still the option of the arbitration/ mediation
becomes effective in the nature.
If we consider the international stand
regarding the IPR disputes and Arbitration, it could be seen that there are
diverse stands regarding adoption of arbitration in IPR disputes but still WIPO
and other countries which truly believe in this method are taking steps forward
to solve these disputes efficiently, as we know nowadays trade, business at
international level is growing at very fast, and issues of IPR are also arsing
that speed so at every level and from every country adoption of arbitration to
solve IPR disputes is a modern need.[v]
End-Notes:
- https://www.wipo.int/amc/en/arbitration/why-is-arb.html
- https://www.mondaq.com/india/intellectual-property/43996/mediation-of-intellectual-property-disputes
- https://www.barandbench.com/columns/resolution-of-disputes-involving-ipr-through-arbitration-in-india
- Booz Allen and Hamilton vs SBI finance.
- http://www.legalserviceindia.com/legal/article-360-arbitration-and-intellectual-property-rights.html
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