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What if a design is not used after registration?

No Mandatory Use Requirement

  • The Designs Act does not impose an obligation to use the design after registration.
  • A design can remain registered even without being commercially used.
  • Lack of use does not automatically invalidate the design.
  • The right holder retains exclusive rights regardless of usage.
  • Registration alone provides legal protection.

Effect on Legal Enforcement

  • Non-use does not bar the proprietor from enforcing rights.
  • The owner can still sue for infringement if the design is copied.
  • Courts consider registration status, not actual use.
  • Use may strengthen the claim but is not a prerequisite.
  • The proprietor can claim damages and injunction based on ownership.

Risk of Cancellation by Third Parties

  • A registered design can be challenged and cancelled by others.
  • Grounds for cancellation include prior publication or lack of novelty.
  • Non-use is not an independent ground for cancellation.
  • Cancellation proceedings must be initiated before the Controller.
  • The registered owner can defend the registration even if unused.

Impact on Renewal

  • Non-use does not affect the right to renew the design.
  • Renewal can be done after 10 years for an additional 5 years.
  • There is no inquiry into usage at the time of renewal.
  • Failure to renew leads to expiration of rights.
  • Lapsed rights can limit future enforcement options.

Strategic Considerations

  • Owners may retain unused designs to prevent competitor use.
  • Unused registrations can serve as part of an IP portfolio.
  • Licensing opportunities may arise later, even without use.
  • Maintaining registration helps preserve legal options.
  • Regular audits of unused designs are advisable for cost-efficiency.

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