Arbitrability of Intellectual Property Rights Validity Disputes

Abstract

Intellectual Property Rights (“IPR”) can be regarded as an incentive for an inventor or an author, granted or recognized by a state. IPR are enforceable erga omnes within the boundaries of the state. Member States of the Paris Convention Union and other relevant conventions are expected to recognize, and enforce such IPR in accordance with their legislation, but in context of the principle of territoriality. Infringers can easily operate in countries, where either the IPR are not granted, or the legal framework for registration of IP and administering intellectual property related disputes, is undeveloped. In some countries even if a legal framework does exist, a backlog of cases and procedural or jurisdictional framework, may delay rendering effectively enforceable judgments, within a reasonable time. This weakness in enforcement of IPR, could be one of the motivating factors for some infringers, to flout the provisions of IPR knowingly and willingly. This Paper explores a possible solution through arbitration forums, as a national and international policy matter, whether it can be implemented, to curtail the increasing trend of infringements, for encouraging innovation and international trade, in a genuine and licensed production of IPR related goods and services.