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Legal Discussion on Patent Licensing Authorization Model in Chinese Patent Securitization

  • Journal of International Business Transactions Law
  • Abbr : IBT
  • 2021, (34), pp.111-138
  • Publisher : The Institute for Legal Studies Dong-A University
  • Research Area : Social Science > Law > Private Law > International Commercial Transactions Law
  • Received : June 30, 2021
  • Accepted : July 20, 2021
  • Published : July 31, 2021

Xu Chun Mei 1 CHO DONG JE 2

1中国贵州大学
2동아대학교

Accredited

ABSTRACT

With the development of intellectual property rights, more and more people are aware of patent rights, from “Patents are wealth” to “Property-owned patents are wealth” to “Patent rights that can realize value transformation is wealth”. In addition to providing powerful protection for patents, there should be sufficient channels to utilize patent rights, both in terms of scientific and technological output and value transformation. Overall, this is necessary to realize the social and economic benefits of patent rights and simulate the driving force of innovation and expand the power source of creativity. Patent securitization is an innovative approach to transform the value of patent rights. In particular, as a financial way to effectively promote the transformation of scientific and technological achievements, patent securitization has unique advantages in promoting science and technology-linked financial system. In the past two decades, under the guidance of Chinese policies and regarding the experience and practice of securitization in developed countries, several patent securitization models have been effectively spawned. Based on the first patent-only securitization pilot case in China, we try to explore the feasibility of legislation for securitization of patents through the patent licensing authorization model. Under the perfect policy system and institutional arrangement, patent securitization has the following important significance: it can improve the efficiency of the value of enterprise patent assets, broaden the enterprise financing channels, realize the diversification and convenience of enterprise financing, and ease the financing pressure. According to the discussion of the first patent-only securitization pilot case in China, the article concludes that if China have sufficient patent assets and perform adequate risk evaluation, and to have a perfect policy system and the legal system as a guarantee, and the legislation of patent securitization can be carried out in the model of patent licensing authorization.

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