Fit for India?

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Pravin Anand, Shrawan Chopra and Prachi Agarwal at Anand and Anand examine if patent trolls have a future

A patent troll is an entity that does not develop or produce novel goods or services. Instead these companies (known as non-practising entities (NPEs) or patent assertion entities (PAEs)) acquire patents with the sole purpose of instituting lawsuits against infringers or licensing them aggressively. As such they add no economic value. Patent trolls are considered anti-competitive as they threaten innovation due to the lack of a product in the market and by curbing other entities from developing technology.

Before patent trolls make their way into India’s patent framework, it is important to understand whether Indian patent law is robust enough to protect itself against them.

Pravin Anand
Pravin Anand

No patents in software

One of the most significant provisions under the Indian Patents Act, 1970, is section 3(k) under which “a mathematical or business method or a computer programme per se or algorithm” is not a patentable invention. This will completely hamper the business model of a patent troll in India, as most NPE litigation centres on patents in software and business methods, which have ambiguous and vague boundaries and are the easiest targets.

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Pravin Anand is the managing partner of Anand and Anand where Shrawan Chopra is a partner and Prachi Agarwal is a senior associate.

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Email: Pravin@anandandanand.com
Shrawan@anandandanand.com

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