IP Handbook - Home
The comprehensive guide to the world's leading tax firms

At-a-glance: Korean Intellectual Property Office (KIPO) Government Complex Daejeon Bldg. 4, 189 Cheongsa-ro, Seo-gu, Daejeon, 302-701, South Korea Tel: +82 42 481 8555 Email: kipoicd@kipo.go.kr Website: www.kipo.go.kr Backed by an improving economy,... [more]

Backed by an improving economy, Korea has seen a stable year in IP work. In the third quarter of 2010, registrations increased by 14.1%, while patent and trade mark applications decreased by 2.7% and 16.3% respectively.

"Big companies like Samsung and LG are doing better, but have overall reduced their patent filings," says one market observer. "They used to file patents for minor and simple inventions. Now the focus is on quality and meaningful inventions." Foreign applications have dropped slightly, though lawyers are not surprised. "If the economy recovers, the trend is to go to China rather than Korea," explains one lawyer.

The launch of the Patent Prosecution Highway between the UK IP Office and Korea IP Office in October 2009 has not brought about much impact, lawyers note. "It's premature to say whether it's effective. Companies don't file as much in the EU."

IP experts note that the volume of contentious matters is picking up as rights owners look for alternatives to increase revenue. "Patent holders are thinking about the value of their assets and enforcing their rights," says one IP practitioner. "It's a way of preventing the market entry of competitors."

Lawyers highlight the IT industry as a booming sector and, as a result, an area of heightening scrutiny. In August 2010, the Korea Fair Trade Commission (KFTC) launched an investigation targeting 59 IT companies, 40 domestic and 19 multinational, over possible patent rights abuse. The probe is at an early stage and expected to carry on for the next few years.

The enforcement of the three-strikes rule, which was incorporated in the Copyright Act in July 2009, made headlines as the government suspended 11 internet users' accounts for repeatedly uploading infringing files. Korea's three-strikes system is under close watch by other countries looking to implement the same to combat online copyright infringement.

A case that drew much attention in the last year involved a patent attorney's failed attempt to represent his client in a trade mark infringement case. The country's current system separates attorneys-at-law from patent attorneys, who are not allowed to act on behalf of clients in infringement litigation according to the Attorneys-at-Law Act. The court did not admit a hearing as a result. An appeal to the Constitutional Court is in the works, and the outcome of the case will have a tremendous impact on IP practitioners in Korea.

"It would benefit patent owners and firms as well [to have patent attorneys litigate]," says one IP expert. "Patent attorneys can provide the specialised expertise that the attorneys-at-law may not have."