Licences

Question 1

What is a Licence of right?

Answer 1

s46
Any time after grant, a proprietor may apply (on PF28) to register that licences are available as of right.

The Comptroller will inform any current rights holders of the change (e.g. licencees, mortgagors) and ensure that there are no contractual obligations prohibiting licencing (and will advertise in the Official Journal).

Consequently, any person is entitled to a licence on agreed terms, or if no agreement, on terms of the Comptroller.

The Comptroller may exchange current licences with licences of right (if these have more favourable terms);

Any infringer (not in the case of importation from outside the EEA) who takes a licence may then only pay damages up to 2x a retrospective licence (i.e. limits value of damage) - this can be done ay any time during proceedings without the infringer adminitting liability; and

The renewal fee payable is halved after registration.

Question 2

Why might a potential infringer take a licence of right?

Answer 2

Any infringer (not in the case of importation from outside the EEA) who takes a licence may then only pay damages up to 2x a retrospective licence (i.e. limits value of damage) - this can be done ay any time during proceedings without the infringer adminitting liability;.

It is a way of avoiding an injunction and limiting damages.

Question 3

Can a proprietor cancel a licence of right?

Answer 3

s47, yes.

At any time after registration of licence of right under s46.

They must pay the balance of all discounted renewal fees, and any licencees need to consent to the cancellation.

An application for cancellation may in turn be opposed within 2 months.

Question 4

Can a third party cancel a licence of right?

Answer 4

s47, yes.

An existing third party may apply for cancellation of an entry made under s46 within 2 months of the date of entry - if they have an existing agreement with the proprietor the precludes licences of right.

If the Comptroller agrees, they will cancel the entry and require repayment of any discounted renewal fees.

An application for cancellation may in turn be opposed within 2 months.

Question 5

Can a third parties application for the cancellation of a licence or right itself be opposed?

Answer 5

Yes, within 2 months.

Also, the proprietors own application to cancel the licence of right can also be opposed within 2 months.