News

Amendments to the Law on Industrial Property – key points for IP rights owners

– Amendments to the Law No 9947 “On Industrial Property” have recently entered into force
– The law formalizes SAPI, an electronic register created in 2006
– The SIMS is designated as the competent authority to guarantee the observance of industrial property rights

Recent amendments to the Law No 9947 “On Industrial Property” (7 July 2008) entered into force in August 2021.
The amendments have brought some novelties to the law:

– introduction and protection of trade secrets;
– establishment of the System of Administration of Objects of Industrial Property (SAPI); and
– provision of regulatory instruments to the State Inspectorate of Market Surveillance (SIMS) regarding the protection of industrial property rights.

Trade secrets
The Albanian legislation previously provided trade secrets with superficial protection; therefore, in practice, there was a misuse of trade secrets and industrial espionage in business.
The recently adopted provisions on trade secrets are fully aligned with Directive 2016/943 of the European Parliament and of the Council of 8 June 2016 on the protection of undisclosed know-how and business information (trade secrets) against their unlawful acquisition, use and disclosure.
Among other things, the amended law:
– provides a definition of ‘trade secrets’;
– specifies the cases in which the acquisition of trade secrets is considered lawful or unlawful;
– provides court protection to Albanian and foreign persons whose trade secrets rights have been violated, as well as compensation for the damage caused by such violation; and
– guarantees the confidentiality of trade secrets from all persons participating in court proceedings; during the proceedings themselves, rules provide for the protection of trade secrets against illegal use or detection in the domestic market.

SAPI
The law has formalized SAPI, an electronic register that was created and put into use in 2006, but not provided for in any legal act. The law now defines the obligations and competences of the General Directorate of Industrial Property, and determines which persons and institutions have access to the system and their degree of access.

SIMS’ competences
The law stipulates the competences of the SIMS regarding the protection of industrial property rights. The SIMS is designated as the competent authority to guarantee the observance of industrial property rights in cases where there are reasonable doubts that infringing goods have been placed in service/use on the market.

The SIMS may act ex officio or pursuant to a request/complaint by the rights holder.

The law stipulates the content of the request/complaint for inspection, as well as the accompanying documents. After the examination of the request/complaint, the SIMS will decide on its acceptance or refusal. In case of acceptance, the infringing goods will be blocked and destroyed.

The SIMS may also act ex officio to identify goods suspected of infringing IP rights. The SIMS will ask for evidence and documents from the holder of the goods, and for information from the General Directorate of Industrial Property and the General Directorate of Customs. The SIMS must also inform the rights holder regarding the blocking of goods suspected of violating industrial property rights. At the end of the relevant
verification procedures and actions, the SIMS may decide to:

– revoke the decision temporarily blocking the goods; or
– issue a final decision on the blocking and destruction of the infringing goods.