The Ministry of Science and Technology (MOST) has proposed a new draft law to further amend and supplement Vietnam's Intellectual Property Law, building upon the significant revisions enacted in 2022. This initiative aims to strengthen the national IP ecosystem by creating a more robust and favorable legal framework for the protection and enforcement of intellectual property rights. The proposed changes are designed to bolster enforcement mechanisms, foster innovation, and ensure Vietnam's full compliance with its international treaty obligations.

Five Key Policy Directions

The draft amendment is structured around five central policy groups:

1. Promotion of the Creation and Commercialization of IP Rights.
2. Simplification of Administrative Procedures.
3. Strengthening of IP Enforcement Mechanisms.
4. Compliance with International Commitments.
5. Alignment of Global IP Developments with National Policies.

Notable Proposed Changes

Key specific proposals within the draft include:

•   Clearer Frameworks for IP Commercialization: Introducing more explicit provisions on IP licensing, valuation, collateralization, and technology transfer to develop a vibrant IP market and support innovation.
•   Control of Patent Security: Finalizing regulations under Article 89a to govern procedures for controlling security and confidential patents before their registration abroad.
•   Digital Transformation: Supplementing regulations to comprehensively implement digital transformation across all IP administrative procedures and protection activities.
•   Streamlined Procedures & Shift in Responsibility: Strengthening the post-inspection mechanism by clarifying the responsibility of applicants to declare information truthfully. This would shift the burden of verifying original documents (e.g., simplifying the submission of original Powers of Attorney) from the Registry to the applicant, thereby simplifying administrative processes and accelerating examination timelines.
•   Regulatory Stability: Transferring detailed application handling procedures from the Law itself to guiding decrees and circulars. This is intended to ensure the Law's stability and significantly reduce the implementation gap between the passage of the amended Law and its practical execution—a challenge that lasted years following the 2022 amendments.
•   Faster Processing: Shortening statutory time limits for examination, opposition, publication, and the recognition of priority rights for foreign applications. Enhanced protection mechanisms for new plant varieties are also proposed.
•   Alignment with Recent Delegation and Decentralization: Amending corresponding contents in the IP Law to ensure consistency with the recent delegation and decentralization of state management and administrative procedures on IP to local authorities.

Outlook and Considerations

The proposed amendments highlight Vietnam's ongoing commitment to modernizing its IP regime to stimulate innovation and attract investment. If enacted, these reforms are expected to enhance legal certainty, improve enforcement outcomes, and create a more favorable environment for IP-intensive industries.

However, successful implementation will require careful consideration of several challenges. The legislative process must ensure that expediting one part of the system does not create bottlenecks or delays in another. Furthermore, parallel efforts to bolster institutional capacity, human resources, and technical infrastructure will be critical to achieving the law's objectives seamlessly and effectively.

Source: Ferrante IP Vietnam