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A double-edged sword

Aki Ryuka
Japan

Aki Ryuka of Ryuka IP examines the potentially deceptive nature of third-party submissions in Japan

At any time after a patent application is filed with the Japan Patent Office, even after grant, any person may anonymously submit prior art references for consideration by the examiner under Article 13-2 of the enforcement rules of the patent law. Because of its potential to prevent competitors' applications from issuing as patents or to limit the scope of patents, the submission of prior art references is an appealing prospect. However, there are also negative consequences for the third party.

A red flag

A submission of a prior art reference by a third party is a red flag for the applicant because it indicates that some competitor considers the application important or dangerous. In response, the applicant might take some strategic action, like the following:

  • Requesting accelerated examination and zealously prosecuting the application, where otherwise abandonment might have been considered;
  • Investigating competitors' products and amending the claims of the application to ensure that the newest products are covered;
  • Filing a divisional application to cover different aspects of the invention in order to achieve a more comprehensive scope, and;
  • Keeping a divisional application on file in order to preserve the opportunity to amend the claims to cover future products of competitors.

In essence, submitting prior art references during the pendency of an application can largely help the applicant. As indicated above, the prior art references can be submitted after the patent issues as well. The above consequences can be avoided if the prior art is submitted after the patent issues.

Lost bargaining chip

It is important not to overlook the beneficial effect that competitors' patents have in excluding other competitors. For this reason, as long as it is possible to obtain a license, it is actually often preferable for a competitor's patent to issue. With this in mind, un-submitted prior art references can be a negotiation tool for obtaining a license and improving one's position with respect to other competitors.

Because of its potential for preventing the issuance of or limiting the scope of a competitor's patent, third-party submissions of prior art references can be a useful tool. However, it is important not to overlook the negative consequences.

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