Why Patents?

Patents are a right granted by the legislator for the exclusive use of an invention. The holder of a patent is granted the right to exclusively use their invention for a period of 20 years. It is a monopoly. The patent holder can prohibit third parties from using their invention. Therefore, patents are also rights of prohibition.

Each country grants its own patents, making patents national rights. A patent granted, for example, in Germany is only valid in Germany. Maintaining and enforcing patents requires the active involvement of the patent holder: ongoing payment of fees, defense against challenges, action against unauthorized use, etc.

If a company uses patents belonging to others—knowingly or unknowingly—without the express permission of the patent holder, it can have dramatic consequences: payment of licenses and/or damages, up to and including prohibition of the use of the patent. In the worst case, the product may need to be removed from the market. Monitoring patents reduces the risk of using third-party patents without a license.

Whether and to what extent patent work should be undertaken depends on many factors. Companies operating in a highly competitive environment—new technologies, large market volume, short product cycles, intense competition—should invest more in patent work than companies in areas where technological progress is slow and the number of competitors is manageable.

An intensive engagement with patents can help inform about competitors' developments, recognize industry trends, and avoid patent disputes. A patent strategy, used as a competitive tool, supports the achievement of corporate goals.