The Industrial Property Act, 2001
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or introducing innovations in it or change to alternative inputs, or which
require the licensee to introduce unnecessary designs or specification
changes, if the licensee makes adaptations on his own responsibility and
without using the licensor’s name, trade or service marks or trade names,
and except to the extent that his adaptation unsuitably affects those products,
or the process for their manufacture, to be supplied by the licensor, his
designates, or his other licensees, or to be used as a component or spare part
in a product to be supplied to his customer;
(xxi) to impose acceptance of additional technology, future inventions and
improvements, goods or services not wanted by the licensee;
(xxii) to impose restrictions on territories, quantities, prices, customers or
markets arising out of patent pool or cross licensing agreements or other
international technology transfer interchange arrangements which unduly
limit access to new technological developments or which would result in an
abusing domination of an industry or market with adverse effects on the
licensee, except for those restrictions appropriate and ancillary to cooperative arrangements such as co-operative research arrangements;
(xxiii) to impose restrictions which regulate advertising or publicity by the
licensee except where restriction of such publicity may be required to
prevent injury to the licensor’s name, trade or service marks, trade names or
other identifying items;
(xxiv) to impose confidentiality after the expiry of the licence agreement or
to impose unreasonably long periods for secrecy following the
commissioning of manufacturing facilities using the licensed technology, or
to impose measures which limit technological learning and mastery, except
those which relate to industrial property rights;
(xxv) to impose requirements for payments even under conditions of force
majeure;
(xxvi) to impose restrictions which prevent or hinder export by means of
territorial or quantitative limitations or prior approval for export or export
prices of products or increased rates of payments for export able products
resulting from the technology licensed;
(xxvii) to impose quality control methods or standards not needed by
licensee, except to meet the requirement of a guarantee or when the product
bears a trade mark, service mark or trade name of the licensor;
(xxviii) to allow the licensor to participate permanently in the management
of the licensee’s business as a condition for obtaining the technology;
(xxix) to restrict the licensee from taking measures that will enhance local
technological capability and which are not prejudicial to the licensor’s
industrial property rights;
(xxx) to restrict the use of local expertise in management and consultancy or