Patent On Microoganisms
Patent On Microoganisms
Patenting of microorganisms:
Systems and concerns
Received (in revised form): 23rd August 2010
given a monopoly right over the product for However, the debate revolves around the
a fixed number of years in exchange for limits of such protection. One strand of this
the public disclosure of certain details of a mystery is the patentability of microorganisms,
machine, method or the composition of which requires a critical analysis of the present
matter. The objective of patent law is to position of law and a further rumination
encourage inventions by promoting their with regard to its future prospects. Section 27
protection and utilization for the development of TRIPS recognizes microorganisms as a
of industries, promotion of technological patentable subject matter and therefore
innovation, and transfer and dissemination of many nations have now started patenting of
technology. It stimulates new inventions of microorganism through their domestic patent
commercial utility. The patent is granted for a laws.
limited period to the inventor and after the
period of expiry of the patent, the monopoly BASIC PATENTABILITY
goes into public domain. Patent right is CRITERIA
territorial in nature and patent obtained in A patent is an exclusive privilege in the form
one country cannot be enforced in other of a monopoly right, granted by the State to
country. the inventor or an assignee for a certain
The premise of intellectual property (IP) period of time in return of the full disclosure
law is that by recognizing and rewarding the of the invention. A patent is thus a right to
innovator, it fosters industrial and technical exclude others from making, using, selling,
progress paving way for a vibrant socio- offering for sale or importing the patented
economic structure. Since invention is the life invention for the term of the patent, which is
breath of growth and development, it is usually 20 years from the filing date. As it is a
pertinent that the same must be protected monopoly right, the grant of a patent must
against unnecessary encroachment. This has fulfill the essential criteria of novelty, non-
become more evident in context of huge obviousness and usefulness.
strides being made in the field of The threefold requirements of patentability
biotechnology and information technology. are set out in the European Patent
With advancements in biotechnological Convention (EPC) in Article 52:3
research and pharmaceutical industry, pressure That the invention must be new; that it must
started mounting on policymakers to allow involve an inventive step; and that it must be
patenting of basic life forms so as to capable of industrial application. The same three
encourage research and development requirements are met with in one form or
initiatives, which can contribute to exploring another in the USA, Japan, and indeed in
the unrecognized commercial utility of such practically all the countries that have a patent
life forms. New techniques have been system.
developed to create novel life forms like The Trade-related Aspects of Intellectual
genetically modified plants and animal species, Property Rights (TRIPS) agreement aims at
genes, cell lines and so on, which can be reducing the distortions and impediments in
patented as ‘bio-patents’.2 But, the laws the international trade by an efficacious
regulating and protecting these experiments protection of IP rights. It specifies certain
and their subsequent innovations continue, minimum standards to be followed by the
however, to sputter at an inchoate stage. One member countries. Article 27 of the TRIPS
reason for the situation can be the different stipulates that patents shall be available for any
economical and ethical standings of the invention, whether products or processes, in all
nations, which are being brought under the fields of technology, provided that they are new,
umbrella provisions of the World Trade involve an inventive step and are capable of
Organization (WTO). industrial application. TRIPS do not define the
338 © 2010 Macmillan Publishers Ltd. 1462-8732 J our n a l of C om m er c i a l B i ot ec h n ol ogy Vol. 16, 4, 337–347
Patenting of microorganisms
terms ‘new’, ‘inventive step’ or ‘capable of plants/insects genome (transgenic plants) and
industrial application’. In patent terms, ‘novel’ the like. For over 200 years living organisms
means not previously ‘made available to the have been excluded from patent laws; life
public’.4 forms were considered a ‘product of nature’
Members can exclude from patentability, and not a human invention.
commercial exploitation that is necessary to Before 1980, Patents were given for
protect human, animal or plant life, or health inventions based on microbiological processes.
or to avoid serious prejudice to the No patent was given for the living entities
environment. Patents shall be available and per se, which were considered to be the
patent rights can be made enjoyable without products of nature. Although patent laws
discrimination as to the place of invention, were originally framed for mechanical and
the field of technology and whether products chemical inventions the patenting of life forms
are imported or locally produced. Therefore, was also included.6 First patent based on
this provision is resonant of the triple criteria microorganisms was made by Louis Pasteur
of novelty, non-obviousness and usefulness. on 28 January 1873, for the process of
However, the essence lies in non- fermenting beer.7 The claim made by him
discrimination, as patents shall be available for was: … invention produces a better quality and
any invention, unrestrained by the field of greater quantity of beer from the same quantity and
technology. quality of wort (the boiled extract of malt or other
Focusing on the general patentability material) … the yeast or pure ferment is added to
criteria in the United States, the provision of provoke or induce fermentation.
the US Patent Act determines as to what is In countries across the world the so-called
patentable subject matter. ‘Whoever invents products of nature doctrine excluded living
or discovers any new and useful process, matter from patentability. The products of
machine, manufacture or composition of matter, or nature doctrine prohibited patentability of
any new and useful improvement’ may obtain materials existing in nature, including living
a patent.5 By perforating through the various matter. Under this doctrine, one could secure
International Treaties and legal provisions in patents for fermentation processes and
major jurisdictions, it becomes amply clear purification of naturally occurring chemical or
that the triple test for patentability is the basic biological compounds as well as patents for
and immutable standard. microorganisms as a culture or in combination
with a carrier. The product claims for the
PATENTABILITY OF microorganisms, however, were not patentable
MICROORGANISMS because they comprised of living materials –
Bacteria, fungi and viruses constitute the microorganisms. The non-patentable status of
major group of microorganisms that have living organisms changed with the landmark
been exploited extensively by biotechnologists. decision of the Supreme Court, USA, in
The genetic material of these microorganisms Diamond v. Chakraborty in 1980, when the
serving as raw materials are tailored by the genetically modified bacterium was granted a
biotechnologists with the scissors of restriction patent.
endonucleases, stitched with ligases and
converted into desirable form using BUDAPEST TREATY:
sophisticated techniques of genetic DEPOSITION OF
engineering. The field of application of MICROORGANISMS
genetic engineering is broad and covers vast The Budapest Treaty on the International
areas, for example, the use of fungi in bakery, Recognition of the Deposit of
wine and antibiotic industry, bacteria for the Microorganisms for the Purposes of Patent
manufacture of vaccines, modification of Procedure, or Budapest Treaty, is an
© 2010 Macmillan Publishers Ltd. 1462-8732 J ou r n a l of C om m er c i a l B i ot ec h n ol ogy Vol. 16, 4, 337–347 339
Nair and Ramachandranna
international treaty signed in Budapest, ‘biological resource centers’ and further into
Hungary, on 28 April 1977. It was enforced ‘global common genetic resources’, with an
on 9 August 1980, and was later amended on internationally agreed legal basis for benefit
26 September 1980. The treaty is sharing.13 The deposits are made at an IDA in
administered by the World Intellectual accordance with the rules of the Treaty on or
Property Organization.8 As of December before the filing date of the complete patent
2008, 72 countries were party to the Budapest application. Article 7 of the Budapest Treaty
Treaty. The accession to the Treaty is open outlines the requirements for a facility to
to States party to the Paris Convention for become an IDA.12 As of 1 March 2008, there
the Protection of Industrial Property of 1883. were 37 IDAs in approximately 20 countries
The African Regional Industrial Property worldwide.
Organization,9 the Eurasian Patent
Organization (EAPO)10 and the European DEPOSITABLE MATTER TO
Patent Organization (EPO) have filed a THE IDA
declaration of acceptance under Article 9(1)(a) IDAs have accepted deposits for biological
of the Treaty.11 materials, which do not fall within a literal
The treaty allows ‘deposits of interpretation of ‘microorganism’. The Treaty
microorganisms at an international depositary does not define what is meant by
authority to be recognized for the purposes microorganism. It is not necessary for the entity
of patent procedure’.12 Usually, in order to being deposited to be a microorganism – it
meet the legal requirement of sufficiency should only be required for the purposes of
of disclosure, patent applications and patents disclosure and must be acceptable to the IDA.
must disclose in their description the The range of materials able to be deposited
subject-matter of the invention in a manner under the Budapest Treaty includes: cells, for
sufficiently clear and complete to be carried example, bacteria, fungi, eucaryotic cell lines,
out by the person skilled in the art. spores; genetic vectors (such as plasmids or
Regarding any invention involving a bacteriophage vectors or viruses) containing a
microorganism, it is impossible to describe it gene or DNA fragments;14 organisms used for
completely. This is why, in the particular case expression of a gene (making the protein from
of inventions involving microorganisms, a the DNA).
deposit of biological material must be made in
a recognized institution. The Budapest Treaty TRIPS AGREEMENT:
ensures that an applicant, that is a person who PATENTING
applies for a patent, need not deposit the MICROORGANISMS
biological material in all countries where The agreement on TRIPS is an international
he/she wants to obtain a patent. The agreement administered by the WTO,15
applicant needs to only deposit the biological which sets down minimum standards for
material at one recognized institution and this many forms of IP regulation as applied to
deposit will be recognized in all countries other WTO members. It was negotiated at
party to the Budapest Treaty. the end of the Uruguay Round of the
General Agreement on Tariffs and Trade16 in
INTERNATIONAL 1994. Apart from setting the basic minimum
DEPOSITARY AUTHORITY standard for patentability, TRIPS obliges
(IDA) member states to patent microorganisms.17
The deposition of patents of microorganisms Therefore, an understanding as to what
in a culture collection recognized as an IDA constitutes a microorganism is essential.
might be necessary in the realm of IP rights. However, the term lacks a precise scientific
It is likely that IDAs will transform into definition because of which there are inherent
340 © 2010 Macmillan Publishers Ltd. 1462-8732 J our n a l of C om m er c i a l B i ot ec h n ol ogy Vol. 16, 4, 337–347
Patenting of microorganisms
© 2010 Macmillan Publishers Ltd. 1462-8732 J ou r n a l of C om m er c i a l B i ot ec h n ol ogy Vol. 16, 4, 337–347 341
Nair and Ramachandranna
342 © 2010 Macmillan Publishers Ltd. 1462-8732 J our n a l of C om m er c i a l B i ot ec h n ol ogy Vol. 16, 4, 337–347
Patenting of microorganisms
decision; however, the United States Court Harry Blackmun, William Rehnquist and
of Customs and Patent Appeals overturned John Paul Stevens. Burger wrote the
the case in Chakrabarty’s favor, writing that interpretation of 35 U.S.C. 101, which says:
‘the fact that microorganisms are alive is
Whoever invents or discovers any new
without legal significance for purposes of the
and useful process, machine, manufacture,
patent law’. Sidney A. Diamond,
or composition of matter, or any new and
Commissioner of Patents and Trademarks,
useful improvement thereof, may obtain a
appealed to the Supreme Court. In the
patent therefore, subject to the conditions
Supreme Court the case was argued on 17
and requirements of this title.
March 1980 and decided on 16 June 1980.32
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Nair and Ramachandranna
as a patentable subject matter only if it results Despite concerns against the patenting of
in a tangible nonliving substance. microorganisms, this position may augur well
The Section 3(j) of the Act stated that for the biotechnology industry as it is growing
plants and animals in whole, or in part thereof at an inexorable pace.
including seeds, varieties and essentially
biological process for the production of plants DIMMINACO A G v.
and animals, are excluded. India joined the CONTROLLER OF PATENTS
Budapest Treaty on 17 December 2001, and AND DESIGNS
Microbial Type Culture Collection (MTCC) Patentability of biotechnological process
and Gene Bank of the Institute of Microbial with living end product was ascertained by
Technology, Chandigarh (IMTECH) acquired Calcutta High Court decision in the case of
the status of an IDA on 4 October 2002 Dimminaco A G v. Controller of Patents
marking the amendment of existing systems in (2002).37 The facts of this case are that –
India. The position was made more clear after Dimminaco A.G., a Swiss Company applied
the 2002 amendment of the Indian Patents for patenting the process for preparation of a live
Act, 1970 whereby microorganisms can be vaccine for Bursitis. Bursitis is an infectious
patented provided they satisfy the other poultry disease and the invention involved a
requirements.35 live (attenuated) vaccine to combat the disease.
The Controller of Patents refused to allow
THE PATENT AMENDMENT application on the ground that as the vaccine
ACTS involved processing of certain micro-organic
The Patent Amendment Act 2002 came into substances, this was only a natural process
force in May 2003, bringing microorganisms devoid of any manufacturing activities and
within the realm of patentability. Section 3( j) hence not patentable under S.2(1)(j). This was
was couched in terms of Article 27(3) (b). It in consonance with the prevailing practice
states that: plants and animals in whole or any that granted patents only to non-living and
part thereof other than microorganisms but tangible inventions that fulfilled the
including seeds, varieties and species and patentability criteria, even though the Patent
essentially biological processes for production Act imposed no such limitation.
or propagation of plants and animals are not However, on appeal, the Calcutta High
inventions within the meaning of this Act. It Court diverted from the above position. It
excluded microorganisms from the exceptions rejected the contention of the controller that
to patent protection and allowed patenting of a patent is given only for a process that results
processes pertaining to microorganisms as well either in an article, substance or manufacture
as non-biological and microbiological and that a vaccine with a living organism is
processes. not an article, substance or manufacture.38 The
Subsequently, The Patents Act, 1970 was Controller had claimed that the dictionary
once again amended in the year 2005, so as meaning of article is a ‘material thing, item,
to establish congruence with TRIPS. The a thing of a particular class or kind as
amendment deleted Section 5 of the Act, distinguished from a thing of any class of
which provided for only process patents. The kind’. The Controller said the definition does
provision included inventions where only not cover living things. Law does not bar
methods or processes of manufacture were processes where the end-product is living – No
patentable. Therefore, the deletion of this statutory bar in the Act to accept a manner of
section paves way for product patents, which manufacture as patentable even if the end product
is in stark opposition to US approach that contains a living organism.
argues patenting of life forms has tremendous Through creative judicial exposition, the
advantages.36 Calcutta High Court held that: ‘The Indian
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Patenting of microorganisms
statute on patents does not put any fetters on ownership, use, transfer and dissemination.
patentability of microorganisms developed in a In the global scenario, the TRIPS agreement
controlled environment in the laboratories’. makes it mandatory to provide patent
Taking recourse to the normal dictionary protection to microorganisms and non-
meaning of manufacture, the court observed biological and microbiological production
that manufacture is where ‘the material in of plants and animals. This makes it difficult
question after going through the process of for the developing countries to exclude
manufacture has undergone any change by the inventions within this category altogether.
inventive process and it becomes a material Hence, the strategy should be how to limit
which is different from the starting material’.39 the scope of these provisions. As far as the
The court held that this meaning of patent protection of microorganism is
manufacture does not exclude the process of concerned, TRIPS does not provide a
preparing a product that contains a living definition of microorganism. The national
substance from patentability. rule-makers must define microorganism in
Court also held that the process for creating such a way as to include the following:
a vaccine leads to a vendible product even if bacteria, virus, and fungus and algae.
the end product contains living material.40 Another important limitation in the scope
The court said that if the invention results in of patent protection to biological materials is
the production of some vendible items or the lack of defining the concept of invention
improves or restores formal conditions of and discovery. Microorganisms as such occur
vendible item or its effect in preservations in nature and their discovery cannot be called
and prevention from deterioration of some invention. Microorganism when genetically
vendible product, then such an invention modified falls in the category of invention
would pass the vendibility test. Therefore, as because of human input. Genetically modified
the claim process for patent leads to a microorganism may perform any number of
vendible product, it is certainly a substance activities, hence patenting of this genetically
after going through the process of modified microorganism will result in
manufacture. The court concluded that a new blocking of further research on that
and useful art or process is an invention and microorganism.
where the end product is a new article, the The numerous concerns raised against
process leading to its manufacture is an patentability of microorganisms can be
invention. addressed by defining the term microorganism
This decision on the Calcutta High Court in a precise and scientific manner;
was synchronous with the position in the substantiating the differences between
United States, most of the European countries discovery and invention; by granting patents
as well as Japan, as most processes in the to only those inventions, which involve
biotechnology field will be patentable: substantial human intervention (for example,
irrespective of whether resultant product is genetic engineering).
living or non-living. After the Dimminaco From Diamond v. Chakrabarty to TRIPS
decision, the Indian law kept pace with the and beyond, manifests huge interest of biotech
needs of thriving biotechnology industry. industry for constant innovation and
endeavor, paving way for increased inventions
CONCLUSION that aim at human welfare. The criterion of
Patenting of life forms may have many utility is deeply embedded behind the
dimensions that relate to the use of rationale of patenting microorganisms,
intellectual property rights concept in the whether it is the usefulness of those
industrialized world and its appropriateness in microorganisms in treating oil spills,
the aspect of rights on knowledge, their preventing an infectious disease or the
© 2010 Macmillan Publishers Ltd. 1462-8732 J ou r n a l of C om m er c i a l B i ot ec h n ol ogy Vol. 16, 4, 337–347 345
Nair and Ramachandranna
creation of new drugs to combat 10. Eurasian Patent Organization. (1995) http://www
.eapo.org/rus/ea/index.html, accessed 22 April 2010.
life-threatening diseases. Without an
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We sincerely thank our Director, Dr V. V. 13. Sekar, S. and Kandavel, D. (2004) The future of
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