Republic Act No 10055
Republic Act No 10055
Republic Act No 10055
10055
ARTICLE I
Section 1. Short Title. - This Act shall be known as the "Philippine Technology
Transfer Act of 2009".
The State shall facilitate the transfer and promote the utilization of intellectual
property for the national benefit and shall call upon all research and development
institutes and/or institutions (RDIs) that perform government-funded research and
development (R&D) to take on technology transfer as their strategic mission and
to effectively translate results of government-funded R&D into useful products
and services that will redound to the benefit of Filipinos, notwithstanding the
income generated from intellectual property rights (IPRs) and technology transfer
activities.
Section 3. Objective. - This Act aims to promote and facilitate the transfer,
dissemination, and effective use, management, and commercialization of
intellectual property, technology and knowledge resulting from R&D funded by
the government for the benefit of national economy and taxpayers.
(d)"Protection of IPs" refers to the statutory grant of rights upon which the
basis of enforcing the right rests, such as issuance of patents; registration
of utility models, industrial designs, and trademarks or availment of
protection of undisclosed information and other rights as may be provided
by law. "Protected IPs", therefore may refer to issued or pending patents;
registered utility models, industrial designs and trademarks.
(e)"IP Code" refers to Republic Act No. 8293, otherwise known as the
"Intellectual Property Code of the Philippines".
Section 5. Coverage. -
(a)All R&D activities carried out on behalf and for the interest of the
Philippine government by RDIs receiving grants directly from the GFAs:
ARTICLE II
(a)In recognition of the fact that RDIs are in a better position to identify the
potential for economic utilization of IPs and IPRs subject to their
possession of the right skills and management capability, the ownership of
IPs and IPRs derived and generated from research funded by the GFA,
whether such funding is in whole or in part, shall, in general, be vested in
the RDI that actually performed the research, except in any of the following
circumstances:
(2)In case of failure of the RDI to disclose potential IPRs to the GFA,
whereupon the GFA shall assume the rights to the potential IPR;
(b)In case of collaborative research where two (2) or more RDIs conducted
the research funded by the GFA, the RDIs shall own the IPRs jointly or as
otherwise stipulated in the research agreement between
them: Provided, That any research agreement between RDIs and other
funding entities shall be made with the full knowledge of the
GFA: Provided, further, That the agreement shall strictly be in accordance
with the provisions of this Act.
ARTICLE III
The fairness opinion report shall contain a statement expressing the opinion of
the body as to the fairness to the GFA of the proposed transaction, particularly its
financial terms. The report shall include, but not be limited to, a review and
analysis of the proposed transaction, financial statements, industry information,
economic conditions and assumptions used therein and a comparison of similar
transactions: Provided, however, That it shall not be precluded from resorting to
other modes of commercialization as allowed by ail applicable laws.
Section 8. Rights and Responsibilities of the RDIs. - The following are the rights
and responsibilities of the RDIs that availed of research funds from GFAs:
(a)Identify, protect, and manage the IPs generated from R&D funded by
the GFA and pursue commercial exploitation diligently as a required
performance stipulated in the research funding agreement and as allowed
by this Act and other applicable laws.
In case of commercialization by public RDIs, it shall, subject to existing
laws requiring transparency and accountability, the COA Rules and
Regulations and as required under Article IX, Section 20 of this Act, be
allowed to directly negotiate agreements for the commercialization of
IPs: Provided, That it shall obtain a written recommendation from the
Secretary of the DOST and secure a fairness opinion report from an
independent third party body composed of experts from the public and
private sectors as may be determined by the DOST.
The responsibility of the RDI to protect any potential IPRs shall also apply
in the event that the RDI elects to recover ownership of the potential IPRs
that have been vested in the GFA under Section 7 of this Act;
(f)Ensure that they have access to the skills and management capability to
effectively perform their responsibilities of owning, managing, and
exploiting the IP or IPRs. Smaller RDIs that may need external advice are
encouraged to pool and share resources;
(g)Accord their staff with incentives consistent with existing laws to sustain
efforts in identifying valuable IP and in pursuing IP commercialization;
ARTICLE IV
Section 9. Responsibilities of RDIs Performing R&D with their Own Budget. - All
government RDIs performing R&D through an annual budget provided by the
government shall submit intellectual property management reports annually to
the national government agencies where they are attached. The report shall
contain plans for securing protection on IPs with commercial promise, the
technology transfer approaches to be pursued, and the progress of ongoing
commercialization of technologies derived from R&D funded from their own
budget.
ARTICLE V
REVENUE SHARING
ARTICLE VI
The leave of absence shall be included in computing the length of service for
retirement but not for the commutation of leave credits earned in the public RDI.
The researcher shall not earn leave credits in the public RDI during such period
of leave of absence. Such leave of absence shall not likewise affect the
researcher-employee's security of tenure or result in the loss of one's seniority
rights.
Section 13. Detail or Secondment to the Private Sector. - In case where the
researcher of a public RDI would be employed by an existing company, which
will pursue the commercialization, the applicable provisions of Republic Act No.
8439 or the "Magna Carta for Scientists, Engineers, Researchers and other S&T
Personnel in the Government" shall prevail.
(a)RDIs shall ensure that its researchers are made fully accountable for
their research and that commercial objectives do not divert them from
carrying out the RDI's core research program;
(b)Heads of RDIs should ensure that where researchers have any direct or
indirect financial interest in a spin-off company; they shall not act on behalf
of the RDI in transactions with that company;
ARTICLE VII
The determination by the Secretary or the Head of the parent agency of cases
falling under the first paragraph of the right to the potential IPR to be vested to
the GFA and/or parent agency shall be subject to the following conditions:
(b)The RDI may file with the Secretary or Head of the parent agency an
opposition to such determination within fifteen (15) calendar days from
notice or publication of the written determination;
(c)The assumption of the rights to the potential IPR by the GFA shall carry
with it the obligation to equitably share with the RDI or other funding
agencies any profits generated from the IPR; and
(d)The rights to the potential IPR shall revert to the RDI upon the cessation
of the existence of the cases under this section as determined by the
Secretary or Head of the parent agency motu proprio or by petition of the
RDI.
Section 17. Except where otherwise provided by the IP Code, in all cases arising
from the implementation of this article, no court, except the Supreme Court of the
Philippines, shall issue any temporary restraining order or preliminary injunction
or such other provisional remedies that will prevent its immediate execution.
ARTICLE VIII
USE OF INCOME AND ESTABLISHMENT AND MAINTENANCE OF
REVOLVING FUND FOR R&D AND TECHNOLOGY TRANSFER
In case the income after payment of all costs and expenses for IPR
management, including the payment of royalties to other parties, shall exceed ten
percent (10%) of the annual budget of the RDI, a minimum of seventy percent
(70%) of the excess income shall be remitted to the Bureau of
Treasury: Provided, That this shall apply only if the GFA has solely funded the
research: Provided, finally, That this paragraph shall not apply to state
universities and colleges and government-owned and -controlled corporations,
which enjoy fiscal autonomy under their respective charters or other applicable
laws.
ARTICLE IX
INSTITUTIONAL MECHANISM
ARTICLE X
DISPUTE RESOLUTION
ARTICLE XI
The COA shall exercise its auditing authority over the funds of the GFAs and
public RDIs in order to ensure transparency and accountability.
Nothing in the IRR shall derogate ownership of any copyright as conferred by the
IP Code or other applicable laws. The IPO shall issue the necessary rules and
regulations governing the ownership of copyrights as conferred by the IP Code or
other applicable laws: Provided, That such IRR are consistent with the objectives
of this Act. The IPO shall also issue the IRR to implement the disclosure
requirements stated in Section 8.
Section 30. Effectivity. - This Act shall take effect fifteen (15) days after its
complete publication in two (2) newspapers of general circulation.
Approved,
This Act which is a consolidation of Senate Bill No. 3416 and House Bill No. 5208
was finally passed by the Senate and House of Representatives December 1,
2009 and December 15, 2009, respectively.
Approved: MAR 23 2010
(Sgd.) GLORIA MACAPAGAL-ARROYO
President of the Philippines