Industrial Property

Industrial Property Rights in the UAE: Legal Protections

Industrial Property Rights in the UAE: Legal Protections

In a world where innovation and commercial competition are accelerating, protecting industrial property rights has become essential for every inventor, company, or entrepreneur. The United Arab Emirates has enacted Federal Law No. (11) of 2021 concerning the regulation and protection of industrial property rights, establishing a comprehensive legal framework that safeguards inventions, designs, and trade secrets, enhancing the UAE's position as a global innovation hub.

Industrial property rights in the UAE — What does the law protect and how can you secure your rights?

First: What is industrial property and what is the scope of its protection?

Articles 1 – 3 of Federal Law No. (11) of 2021

Industrial property encompasses a wide range of intellectual rights related to production, trade, and industry. The law identifies four main types that fall under this concept:

Patent

An exclusive right granted for every new invention resulting from an innovative idea, applicable in industry, and representing a creative step.

Duration of protection: 20 years

Utility certificate

Granted for every new invention applicable in industry but not reaching the inventive step required for a patent.

Duration of protection: 10 years

Industrial design

Any decorative or aesthetic configuration, whether two-dimensional or three-dimensional, that gives a unique appearance to an industrial or handcrafted product.

Duration of protection: 20 years

Undisclosed information

Trade secrets and confidential information that derive their commercial value from their secrecy and are protected under specific conditions.

Protection continues as long as it remains confidential.

The law applies to all registered industrial property rights in the state, including free zones, and guarantees foreigners the same rights as citizens if their countries treat the UAE reciprocally.(Article 3)


Second: Conditions for Granting a Patent

Articles 5 and 7

A patent is not granted for every idea; the law requires the presence of three essential elements in the invention:

ElementLegal Meaning
NoveltyThe invention must not have been disclosed to the public by any means before the filing date.
Inventive StepThe invention must not be obvious to a person skilled in the art in relation to the prior industrial technology.
Industrial ApplicabilityThe invention must be capable of being produced or used in any sector.

The law excludes a number of matters from protection, notably: research, plant and animal varieties, medical diagnostic methods and surgical treatments, scientific principles and mathematical theories, computer programs per se, and natural materials in their original form.


Third: Invention in the Workplace — Who Holds the Right?

Article 10

One of the most contentious issues is a single question: If an employee invents something during their work, who owns it — the employee or the employer?

The law clearly addresses three scenarios:

1
Invention Made During Contract Execution:If the employee creates the invention within the scope of their contract or at the direction of the employer, the right to the invention belongs to the employer unless the contract states otherwise. An application submitted by the employee within two years of leaving service is considered as if it were submitted during service.
2
Invention of Exceptional Value:If the economic value of the invention exceeds the expectations of both parties at the time of contracting, the employee inventor is entitled to additional compensation determined by the court unless they agree on a specific amount.
3
Invention Outside the Scope of the Contract:If an employee — whose contract does not stipulate innovative activity — invents something in the field of the employer's activity using its resources, the employee-inventor has the right to the invention if the employer does not express a desire to own the invention within four months.

Any agreement that deprives the employee of the compensation due for their invention is considered null and void under the law.(Article 10/6)


Fourth: Patent Registration Procedures

Articles 11 – 17

The patent registration process goes through organized stages starting with submitting the application to the Ministry of Economy and ending with the issuance of the protection certificate:

1
Submitting the application:The application is submitted by the inventor or the registration agent or the rights holder, in both Arabic and English, along with a detailed description, protection elements, and drawings if available.
2
Formal and substantive examination:The ministry examines the application to verify compliance with legal requirements, and the applicant has 90 days to meet any additional requirements; otherwise, the application is considered withdrawn.
3
Publication in the Industrial Property Bulletin:Upon acceptance of the application, the ministry publishes it in the periodic industrial property bulletin to allow for objections within the specified period.
4
Issuance of the protection certificate and its registration:In the absence of an accepted objection, the ministry issues the patent, registers it, and delivers it to the rights holder.

Fifth: Compulsory Licenses — When is it permissible to exploit the invention without the owner's permission?

Articles 25 – 33

The law allows, in exceptional cases, the granting of a compulsory license to exploit the invention without the owner's consent, in two main cases:

  • Insufficient exploitation:If three years have passed since the grant of the patent and it has not been sufficiently exploited by its owner to meet local market needs.
  • State of emergency and public interest:In the event of an emergency, crisis, disaster, or urgent public need to utilize the invention, the court or the minister may grant a compulsory license.

The law stipulates that in all cases, the patent owner must be granted fair compensation, and the license shall be limited to the licensee without the right to transfer it to others except by agreement of the competent court.


Sixth: Protection of trade secrets and undisclosed information

Articles 61 – 65

Undisclosed information enjoys legal protection when three conditions are met:

ConditionPractical meaning
SecrecyThe information must not be known or generally available to those working in the relevant field.
Commercial valueThe information must derive its commercial value from being secret.
Effective preservation measuresThe holder must take actual and reasonable measures to maintain its secrecy.

The law defines acts that are considered unfair competition and violations of fair commercial practices, such as bribing employees to obtain secrets, inciting their disclosure, and obtaining them through theft, espionage, or fraudulent means.


Seventh: Rights acquired from the patent and legal protection avenues

Articles 19, 67, 68, 69

A patent grants its owner an exclusive right to exploit their invention and prevent others from making, using, selling, or importing it without permission. In the case of infringement, the rights holder has multiple legal remedies:

  • Claiming compensation for damages resulting from infringement or violation.
  • Requesting a precautionary seizure of counterfeit products and the tools used in the counterfeiting.
  • Demanding the destruction of infringing products or the removal of the effects of the infringing act.
  • Publishing the judgment in the industrial property bulletin or local newspapers at the expense of the convicted party.

The penalty for counterfeiting the invention or falsifying documents to obtain a patent can reachImprisonment and a fine of no less than 100,000 dirhams and no more than one million dirhams, or one of these penalties.(Article 69)


Eighth: Frequently Asked Questions about Industrial Property in the UAE

How do I know if my invention is eligible for a patent?
Your invention must meet three criteria: it must be new and not previously disclosed, it must involve a creative step that is not obvious to those skilled in the field, and it must be industrially applicable. It is advisable to conduct a search in patent databases first to verify novelty, then consult a legal specialist before submitting the application.
Can I register a patent without a registration agent?
Yes, the inventor can submit the application directly to the Ministry of Economy. However, it is highly recommended to use a licensed registration agent due to the precision required in the technical and legal requirements for drafting the protection elements, as any error in drafting may narrow the scope of protection or invalidate it.
What is the difference between a patent and a utility certificate?
A patent requires a complete creative step and has a protection duration of 20 years, while a utility certificate is granted for new and applicable inventions that do not reach the level of a complete creative step, with a protection duration of 10 years. A utility certificate is easier and quicker to obtain and has lower fees, making it the more suitable option for minor technical improvements.
Does registering a patent in the UAE protect me in other countries?
No. Patent protection is inherently regional and limited to the UAE. For international protection, one can apply through the Patent Cooperation Treaty (PCT), which allows for a single application covering multiple countries, and the Ministry of Economy receives these applications as a national receiving office.
How do I protect a trade secret or confidential information in my company?
First — identify and document the information that is considered confidential. Second — enter into non-disclosure agreements (NDAs) with employees, partners, and suppliers. Third — restrict access to this information within the company. Fourth — establish a clear policy for protecting confidential information. The law states that proving the implementation of 'effective preservation measures' is a condition for obtaining protection.
What should I do if I discover someone is copying my invention?
Immediate steps: First — document the imitation by all possible means. Second — contact a lawyer specialized in intellectual property. Third — request a precautionary injunction from the court if necessary. Fourth — file a lawsuit for damages. The law provides effective protection that includes criminal penalties, civil compensation, and confiscation of counterfeit products.
Can a patent be mortgaged or assigned?
Yes. The law allows for the assignment of a patent or utility certificate to others through a written contract signed by the parties and certified by the ministry or a notary public. It can also be mortgaged according to applicable legislation. The assignment or mortgage must be registered to be enforceable against third parties.

Are you seeking to protect your invention, design, or trade secrets in the UAE?

Team Awad Al-Muhairi Law Firm and Legal Consultationsis fully prepared to provide specialized legal advice in the field of industrial property, assisting you in registering your rights and defending them before the relevant authorities.

Disclaimer:The content of this blog is intended for informational and general awareness purposes only and does not constitute specialized legal advice in any way, nor does it replace it. Each legal case differs in its circumstances and details, and it is advisable to contact a specialized lawyer for accurate legal advice tailored to your situation.