From 15 October 2024, patent holders in Cambodia will face significant changes in how they manage their patents, particularly in relation to late payments and restoration fees. According to an unofficial announcement from the Department of Industrial Property (DIP) under the Ministry of Industry, Science, Technology & Innovation (MISTI), a new penalty system will be introduced. This development could increase the cost of managing patents in the country if not properly addressed.
Previously, the DIP did not impose penalties for late annuity payments or restoration fees. This will change starting 15 October 2024, when penalties will be applied to overdue patent annuity fees and restoration payments. Patent holders who fail to pay on time will be subject to additional fees, making it crucial to review payment schedules and deadlines now.
Here’s what to expect:
- Late Payment Penalty: If an annuity is not paid by the deadline, a 6-month grace period will be granted. However, this grace period will come with a daily penalty of US$0.125.
- Consequences of Non-Payment: If payment is not made before the end of the 6-month grace period, the patent application will be deemed withdrawn or the patent will lapse.
- Restoration Option: Should a patent lapse due to non-payment, the patent office can still initiate the restoration process. To restore the patent, the applicant will need to pay a restoration fee of US$25 and an additional penalty of US$0.125 per day from the grace period until the payment is made.
To avoid unnecessary penalties and safeguard your patent rights, it is crucial to take proactive steps. First, review your patent portfolio for any annuity or restoration fees due before 15 October 2024, ensuring all deadlines are clearly identified. Timely payments are essential, as paying on or before the deadline will help you avoid daily penalty fees and additional restoration charges imposed by the Ministry of Industry, Science, Technology & Innovation (MISTI). By staying on top of these obligations, you can prevent unnecessary financial burdens and maintain the protection of your patent rights.
These changes could have a significant financial impact on patent management in Cambodia, but with proactive planning and timely payments, patent holders can avoid unnecessary penalties. By reviewing upcoming deadlines and ensuring that payments are made on time, businesses can maintain their patent rights without interruption and minimize costs associated with the new penalty structure.
