Patent Protection in Doubt? Low Litigation Rates Raise Questions in the Philippines

Introduction

Patenting an idea or a brand plays a key role in promoting innovation, safeguarding creativity, and supporting technological advancements. The patent system differs from country to country, depending on the strength of the enforcement mechanism and the level at which patent rights are defended or challenged through litigation. Due to low patent litigation rates in the Philippines, questions remain over the nation’s IP enforcement system, the trust of patent holders, and the innovation landscape’s general condition.

Patent Litigation: The Significance

The legal procedure through which a patent holder fights against invalidation claims or asserts their rights against a supposed infringer is known as patent litigation. An important element of the patent system is litigation, which verifies the validity of patent rights and gives businesses and inventors a shield for their creations from unwanted use, apart from guaranteeing that investors get compensated for their contributions, it also discourages others from violating copyrighted inventions. The Philippine Government strived hard to strengthen its intellectual property laws, yet the country never had many patent lawsuits. A major step toward bringing the IP laws into compliance with international norms have been taken in recent years, especially with the adoption of important clauses from the Trade-Related Aspects of Intellectual Property Rights (TRIPS) agreement. Furthermore, the Intellectual Property Office of the Philippines (IPOPHL) has launched programs to speed up the filing of patent applications and raise awareness among local companies and inventors. Even with these initiatives, patent holders hardly go to court to protect their rights.  

Reasons Behind Low Litigation Rates

1. Litigation Cost: The high cost of patent litigation in the Philippines is one of the reasons why patent holders do not attempt it. Trials for patent disputes are time-consuming and pricey. The financial burden of litigation outweighs the benefits of defending intellectual property rights for many local businesses, particularly small and medium-sized. The expense alone can discourage innovators from taking legal action when their patents are violated.

2. Extended Legal Proceedings: Many cases in the Philippine legal system take years, sometimes even decades, to reach a final judgment. The legal system is known for moving slowly. Patent litigation is no different, and companies are discouraged from filing lawsuits to defend their rights due to extended court battles. Even if a patent holder is confident in their case, the possibility of getting entangled in the lengthy court proceeding is very high.

3. Less Legal Experts in Patent Law: The legal system of the Philippines has reinforced its rules related to intellectual property, yet patents law is a very specialized aspect. There is still a limited number of lawyers and judges holding the required knowledge and expertise to handle patent cases. This lack of legal expertise can lead to inconsistent rulings and unpredictable patent dispute judgments, which further damages the trust in the legal system.  

4. Cultural Aspects and Business Methods: Other than legal and financial challenges, there are cultural factors that are believed to be one of the reasons for the Philippines’s low patent litigation rates. The Filipino business owners prefer to settle the legal disputes by negotiating rather than taking legal action. In a business culture where peace and harmony are a priority, taking a competitor to the court can be seen as aggressive behavior, which makes businesses not pursue litigation at all.

Moreover, it is possible that local innovators are not aware of the importance of protecting patents rights through legal action. Despite IPOPHL’s efforts to increase awareness, there is a lack of knowledge among businesses, particularly small ones.

5. Ineffective Enforcement Procedures: The Philippines’ apparent weak enforcement policies are another reason for the low rates of patents lawsuits. IPOPHL is an important factor in the patent process, but its power to protect patent rights and take legal action against the violators is limited. Even if the court rulings are in favor of the patent holder, ensuring compliance with the ruling is difficult. Patents have less practical value and are less useful as instruments for creation protection when law enforcement is extremely weak.

Conclusion

A strong patent system that protects and enforces IP rights is necessary for encouraging innovation. The Philippines’ low rate of patent litigation indicates that the country’s IP enforcement framework has serious issues. The country has come a long way in amending its patent laws, but more work has to be done to remove the legal, cultural, and economic obstacles that stop the patent holders from fighting for their rights.

Patent litigation laws and their rulings are different in many countries, but this should not hold back the patent holders from fighting for what is rightfully theirs. If you are dealing with the same issues and you do not know what to do next, then Brealant and its team of experts will help you in every aspect of patenting, whether it is patent application or patent litigation, get your creation patented with ease.