What's happening with intellectual property in Russia: Firsthand accounts

What's happening with intellectual property in Russia: Firsthand accounts

Events

We are PATENTUS - a Russian company that has been protecting the intellectual property of its clients around the world.

Now the business managing under the current circumstances for companies like ours, and many others, seems doubtful and uncertain. Business in Russia has gone into «hibernation», waiting for the market situation to brighten, for the sanctions to be weakened, and for the economy to recover. So now, as never before, our clients need certainty. From our side, we are doing everything in order to give our clients confidence that the law is being complied with and their rights are being protected.

We'd like to talk about the IP law situation firsthand:

#Financing_and_Payments

Transactions in currency are now running smoothly for those banks that have not been hit by sanctions. To date, only 7 Russian banks have been disconnected from SWIFT. As for fees, as a rule, foreign partners turn to national attorneys, who pay fees on behalf of the client. However, direct payments are also possible (especially when a renewal of patents or trademarks is concerned) but it should be taken into account that PTO fees are deposited with the Central Bank of the Russian Federation and therefore possibility of such payments directly depends on the changes in legislation in each country.

(For example, our colleagues from the USA had doubts about the legality of such payments. According to the General License №13 US companies, which are in the process of filing an application for a patent or trademark in Russia, or for which the deadline to pay the fee for maintaining the validity of a granted patent or trademark in Russia, can legally pay fees to the Russian PTO until June 24, 2022. After that date, U.S. persons may not make payments to RuPTO).

#Trends_in_Law

There have been reports in foreign online media that Russia may soon abolish legal liability for any use of pirated software and movies from unfriendly countries, as well as reports about the unblocking of the «RuTracker» torrent system to help Russians with free access to Hollywood movies. In fact, the government discussed possible countermeasures in connection with the imposition of anti-Russian sanctions, as well as the decisions of certain companies, including those operating in the IT business, to stop selling and supporting their software products in Russia. However, the Government did not put forward the proposal to legalize piracy. On the contrary, it declared that there will be no general allowance for any use of pirated works and that the copyright should be respected.

Under broad discussion there has been also the news that the Russian Government cancelled compensations for compulsory licensing of the patents of the owners that originate from unfriendly countries. At the same time, it should be made clear that this measure can take place only in case of extreme necessity connected with the defense and security of the state, protection of life and health of citizens and only provided that appropriate permissions will be issued.

As to the trademark law, since many international brands have frozen activities in Russian market there has appeared a whole number of applications for registration of marks similar to popular brands. At the moment, such applications have been accepted by RuPTO, but there has been no decision so far. In our opinion, the registration will be denied.

The Ministry of Industry and Trade has developed a draft decree which provides the exclusion of liability for parallel imports. The list of allowed goods has not yet been published, but our point is that the decree will legalize parallel imports in many industries. The Federal Antimonopoly Service pointed out that the regulations and requirements for safety, quality, and availability will continue to be effect and there is no question of making counterfeit goods legal.

We will continue to keep you informed of IP developments in Russia. If you would like to discuss the situation and possible ways of cooperation, please let us know, and we will organize online meeting or webinar.

PATENTUS

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