ISRAEL: An Introduction to Intellectual Property: Prosecution
Israel: IP growth in challenging times
The past two years have brought many challenges since the COVID-19 pandemic entered our lives and impacted them in almost every aspect. When it comes to IP in Israel, the pandemic created both challenges and opportunities. Although it took everyone by surprise, it didn’t find us unprepared; Israel’s extensive experience in dealing with crises, coupled with its top technological abilities, have proven themselves equal to coping with the pandemic.
For example, thanks to the significant investment made in the past for online services, throughout 2020-2021 all ILPTO services were provided almost as usual, with the exception of certain legal proceedings which could not be conducted online.
Additionally, in May 2020, the patent division of the ILPTO began using artificial intelligence-based software to search for prior art, which is used in an initial search by examiners who can then follow up if necessary by using additional searching capabilities. The search results and their reliability are believed to be greatly improved, although it is too soon to reach a final conclusion about this endeavour.
Furthermore, there was a significant decrease in the average waiting time for a patent, trademark, and design examination and a reduction in the total examination duration.
In general, it can be said that COVID-19 did not have a significantly adverse effect on the submission of applications for registration of intellectual property rights in Israel; it may even have had a positive effect. IP practitioners in Israel were amazed to see that the pandemic did not slow down IP activity. On the contrary, activity level has increased.
Working from home is unlike office work in many respects, and it seems that inventors, creators and entrepreneurs found more time to pursue projects previously set aside or delayed because of time and work constraints. Additionally, some new projects were postponed, allowing for the handling of previous backlogs.
In addition to the required changes that COVID-19 has brought with it, such as enabling online discussions and proceedings, improving regulations and providing online services, there have been some interesting developments in various areas of intellectual property that are reviewed below.
Continuous Development of International Cooperation
Israel is widely known as the “Startup Nation,” but is also a small country (a population of a little more than 9 million people) with a unique, challenging political situation. Therefore, developing international cooperation is of high importance, including in IP.
Israel is a member of many multilateral international treaties, such as the Patent Cooperation Treaty, The Paris Convention for the Protection of Industrial Property, the Madrid Protocol, The Berne Convention for the Protection of Literary and Artistic Works, and more. In 2020, Israel also joined The Hague Agreement Concerning the International Deposit of Industrial Designs. It is expected that the number of design applications filed by Israeli applicants via the Hague Agreement will continue to grow.
“The Abraham Accords,” the peace agreement signed initially between Israel and the United Arab Emirates, is one of the most significant developments in this area in recent times. Briefly known as “the Accord,” it resulted in further peace and cooperation agreements with Bahrain, Sudan, and Morocco. These agreements have far-reaching positive implications for the region’s economic development, both for Israel and the Gulf states. This formal peace agreement is a natural evolution of the relationships that Israelis have maintained with Arab states “under the radar” for many years.
Since these agreements have come out into the open a deluge of networking has begun, cementing business and personal relationships. As is natural, IP firms were among the first to openly reach out to each other, and they found professional, warm, and eager business partners at the other end. It may seem incredible that strong relationships could develop spontaneously in a matter of days after years of disconnect between the Arab world and Israel, but in the truth the divide between people and businesses has never run as deep as the political situation would suggest.
Aligning With International Legislation
The Ministry of Justice published a new draft bill to amend the Israeli Patents Law regarding Patent Term Extension (PTE). The purpose of this amendment is to allow drug manufacturing and stockpiling during the extension term, to adapt the situation of Israeli companies to that of foreign companies in international markets.
This new draft bill answers the need to adjust the Israeli law in respect of the patent protection period to address changing market conditions, as these actions have been allowed in European law (Regulation (EU) 2019/933 of The European Parliament and of the Council of May 20, 2019).
The proposed exceptions:
The draft bill proposes adding exceptions for the following actions that would not be considered an infringement of the Patent during the extension period:
1) the manufacture of patented medical equipment or medical preparation containing the substance for the purpose of marketing outside of Israel, including any necessary action for this purpose;
2) the production during the six months before the end of the Patent Term Extension period for the purpose of marketing the patented product in Israel after the expiration of the extension order, including any necessary action for this purpose.
The draft bill is projected to apply to PTE applications, which will be filed after the formal publication of the Law, and from 2nd July 2022, to PTE applications pending at that time. Additionally, it would apply to any granted PTEs for which the extension period has not started (i.e., for which the Basic Patent is still in force).
Since this is only a draft bill, the Ministry of Justice will have to review objections filed by third parties. The bill will be presented to the Knesset (Israeli Parliament) for approval, so amendments can still be introduced before it is finally approved.
Conclusion
The brief review presented above illustrates the vibrant, ever-evolving IP environment that characterizes Israel. The COVID-19 pandemic emphasised the resilience of the Israeli IP environment. Many essential technologies are developed in Israel every day in various fields, such as cyber security, medical devices, biotech, agritech, environment, and much more. The world often benefits from these technologies without realising that they originate in Israel. This technological environment could not thrive without the robust IP infrastructure that exists and develops constantly, taking into account the deep connection of Israel’s industry with the world at large.