Decisions on Issuing Compulsory Licenses Will Now be Made by a Subcommittee Under the Russian Government

26 February 2024
Anna Kuminova
Senior Associate
Ivan Vasilev
Junior Associate

On 15 February 2024, the President of the Russian Federation signed Decree No. 122 “On Improving the Procedure for Decision-Making on the Use of Inventions, Utility Models and Industrial Designs to Ensure the Economic Security of the Russian Federation”1 (“Decree”), which requires the Russian Government to form a Sub-commission on the use of inventions, utility models and industrial designs (“Sub-Commission”). The Sub-Commission will be formed under the Government Commission on Economic Development and Integration.

Pursuant to the Decree, the Government of the Russian Federation will also have to approve the regulations on the Sub-Commission and the rules for preparing decisions on the use of intellectual property objects protected by a patent.

The Decree also contains an indication that monetary funds transferred to right holders under Article 1360 of the Civil Code of the Russian Federation should be credited and accounted for in a special “O” type account2.

The purpose of the Decree is to increase the efficiency of application of Article 1360 of the Civil Code of the Russian Federation, which regulates the possibility of issuing compulsory licenses for inventions, utility models and industrial designs without the consent of the right holder, but with payment of commensurate compensation, in cases of extreme necessity (ensuring defense and security of the state, protection of life and health of citizens).

In accordance with the Decree its adoption is related to unfriendly actions of some foreign states and international organizations against the Russian Federation, its citizens and legal entities.

1Came into force on 15 February 2024
2 Presidential Decree No. 322 of 27.05.2022 “On the Temporary Procedure for the Execution of Obligations to Certain Rights Holders”