Vietnam: Principles of determining compensation levels for compulsory licensing of protected plant varieties

Regulation on principles of determining compensation levels for compulsory licensing of protected plant varieties is one of the outstanding content of the Decree No. 88/2010/NĐ-CP of Vietnam’s Government detailing and guiding a number of articles of the Law on Intellectual Property and the Law Amending and Supplementing a Number of Articles of the Law on Intellectual Property regarding rights to plant varieties, covering responsibilities for state management of rights to plant varieties.

Buộc chuyển giao quyền sử dụng giống cây trồng, Nghị định 88/2010/NĐ-CP

According to Article 30 of Decree No. 88/2010/NĐ-CP of Vietnam’s Government, principles of determining compensation levels for compulsory licensing of protected plant varieties are as follows:

- The agreement between the licensor and licensee;

- In case no agreement is reached, the compensation level shall be determined based on:

+ The value of the latest contract for licensing of the same variety to another subject, corresponding to the licensing duration and the quantity of the compulsorily licensed variety;

+ The profit generated by the plant variety protection certificate holder from the use of that plant variety, corresponding to the quantity of the licensed variety and the licensing duration;

+ In case neither of the grounds specified at Points a and b of this Clause is available, the compensation level shall be determined based on actual expenses for creating that plant variety.

- The Ministry of Agriculture and Rural Development shall request an organization or assume the prime responsibility for. and coordinate with concerned ministries and branches in setting up councils to evaluate compensation levels on a case-by-case basis.

View more details at Decree No. 88/2010/NĐ-CP of Vietnam’s Government, effective from October 01, 2010.

Nguyen Phu

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