Patents (Amendment) Bill 2021 Approved - Patents Recognized as Personal Property

• Deposit of microorganism under Budapest Treaty
• Patents recognized as personal property
• Opposition procedure introduced

On 15 Dec 2021, Alexander Nanta Linggi, the Minister of Domestic Trade tabled a Bill to amend the Patents Act 1983 in Dewan Rakyat, the lower house of the parliament. The first reading was made two days earlier.

Alexander Nanta Linggi

Parlimen Malaysia

We have compiled YouTube sessions of the tabling, debate and passing of the bill.

[2:39:14] Tabling of Patents (Amendment) Bill 2021 for Second Reading. The text of the Bill in English and Malay.

[3:15:20] Debate by Members of Parliament: Choong Shiau Yoon (Tebrau), Shaharizukirnain (Setiu), Wong Hon Wai (Bukit Bendera), Mohamed Hanipa (Sepang), Nurul Izzah (Permatang Pauh), and Cha Kee Chin (Rasah).

Alexander stated that patents would be recognized as a personal property, hence, patents can be mortgaged at financial institutions. He also explained that IP Journal is chosen to publish granted patents instead of Government Gazette to speed up the registration of patents.

Alexander added that compulsory licensing allows the government to address public health issues involving medicine. On the other hand, Budapest Treaty is acknowledged to formalize an international mechanism to recognize inventions involving microorganisms. Applicants would need to deposit microorganisms once to enjoy patent recognition among members of the treaty.

He announced that an IP Fund of RM1 million annually is allocated to encourage IP filings among SMEs, polytechnic, students and youth.

Third party observation and opposition is introduced in the amendment to strengthen the quality of patents. In line with developed countries, third parties can participate in the patent application process.

The amendments took into consideration Malaysia's commitment in the Agreement on Trade-Related Aspects of Intellectual Property (TRIPS) relating to public health, Regional Comprehensive Economic Partnership (RCEP)  and Progressive Agreement for Trans-Pacific Partnership (CPTPP).

[4:08:21] The second reading of the Bill was agreed. The Bill was tabled again for third reading and passed.

There are 69 clauses in the Bill which would need to be tabled in Dewan Negara, the upper house of parliament. We will provide our commentary on the amendment in the future. Stay tuned!

- 22 Dec 2021 update -

On 22 Dec 2021, Rosol Wahid, the Deputy Minister of Domestic Trade tabled the Bill to amend the Patents Act 1983 in Dewan Negara, the upper house of the parliament. 

Parlimen Malaysia

[58:33] Tabling of Patents (Amendment) Bill 2021 for Second Reading.

[1:05:46] Debate by Members of the Senate: Razali Idris and Mohd Apandi.

[1:31:44] The second reading of the Bill was agreed. The Bill was tabled again for third reading and passed.

** The Patents (Amendment) Act 2022 is in force since 18 Mar 2022 **