What is a compulsory licence under Section 84 of the Patents Act

Question

A patented medicine is not being made available in India at a reasonable price and I want to know if a compulsory licence can be obtained. I have been reading conflicting things online and I would like to understand what Indian law actually says about this, which Act and Section applies, what the realistic timelines and costs are, and what I should be doing right now to protect my position. If the matter can be resolved without litigation I would prefer that route, but I want to know what my rights are before I agree to anything or sign any document.

MyVakeel Legal Desk · Accepted Answer

What is a compulsory licence under Section 84 of the Patents Act is governed in India primarily by Patents Act, 1970, Section 84 and Patents Act, 1970, Section 92. The short answer is set out below, followed by the practical steps most people in this situation need to take. Read it alongside the specific provisions named, because the exact relief available to you turns on the facts you can prove on paper.

Section 84 of the Patents Act, 1970 allows any interested person to apply for a compulsory licence after three years from the date of grant of a patent, on any of three grounds — the reasonable requirements of the public with respect to the patented invention have not been satisfied, the patented invention is not available to the public at a reasonably affordable price, or the patented invention is not worked in the territory of India.

The Controller, in deciding a Section 84 application, must consider factors including the nature of the invention, the applicant's ability to work the invention to public advantage, the time elapsed since grant, and measures already taken by the patentee or any licensee to work the invention, and must record reasons for granting or refusing the licence.

India's most notable use of Section 84 was the 2012 grant of a compulsory licence for a cancer drug, where the Controller found the patentee had not adequately worked the invention in India nor made it available at a reasonably affordable price, a decision upheld on appeal and widely cited internationally as a public-health safeguard consistent with the TRIPS Agreement's flexibilities.

Section 92 provides a fast-track route for compulsory licensing in circumstances of national emergency, extreme urgency, or public non-commercial use, as notified by the Central Government, bypassing the usual three-year waiting period and streamlined procedural requirements of Section 84.

What to do next: 1) Confirm three years have elapsed since the patent was granted; 2) Gather evidence of unmet public demand, unaffordable pricing, or non-working in India; 3) File the application before the Controller of Patents with supporting evidence; 4) Be prepared to demonstrate capacity to manufacture and supply if the licence is granted.

If the other side has already issued a notice, filed a case or set a deadline, treat the matter as time-sensitive — most remedies under Patents Act, 1970, Section 84 carry limitation periods, and a delay you cannot explain weakens an otherwise strong case. You can post the details on the MyVakeel forum for a practising advocate to review, or book a paid consultation with a Bar Council verified lawyer in this practice area.