Taiwanese companies denied patent priority right; MAC hopes to settle under WTO framework

E020201Y1 Mar. 2002（E31）

According to TRIPS, a WTO member state is entitled to priority right in patent and trademark applications in other member states. However, despite of PRC’s and Taiwan’s successive entry into WTO, it is reported that PRC has ruled out Taiwan’s claim for such right due to political reasons.

A Taiwanese company, after filing a patent application in Taiwan, intended to seek protection from patent priority right with the State Intellectual Property Office of P.R.China (SIPO). However, SIPO turned down this Taiwanese company’s application, reasoning that Taiwan is not a contracting party to Paris Convention, that both sides do not sign on a reciprocal agreement on patent right priority, and that PRC does not have priority right issue “within its territory”. On the other hand, a Taiwan IPO official expressed that we originally intended to treat PRC as we treat other WTO member states, meaning PRC appliers can also enjoy priority right in Taiwan. However, since knowing the other side is likely to exclude us from such right, our attitude in this respect has changed from active to reserved.

According to the Legal Division of the IPO, reciprocal priority rights between both sides involve more than legal issues. If a Taiwanese company is denied priority in PRC, it can report to the IPO, which will make disposal after having the opinions of Mainland Affairs Council. According to Mr. Teng Chen-chung (鄧振中), Deputy Director General of MAC, expressed that when dealing with disputes between both sides in the post-WTO period, we prefer peaceful negotiations under WTO framework, instead of taking aggressive measures.