Introduction | 
					    
					  
                        | 3.1  | 
                        The proposed treaty action is definitive  signature of the Agreement between the  Government of Australia and the International Bureau of the World Intellectual  Property Organization (WIPO) in relation to the functioning of the Australian  Patent Office as an International Searching Authority and International  Preliminary Examining Authority under the Patent Cooperation Treaty. The Agreement  will extend an existing treaty, due to expire in December 2008, until 2017.1                           
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                        | 3.2 | 
                        The Patent Cooperation Treaty facilitates the  filing and assessment of a patent application in multiple jurisdictions and  provides for the appointment of a national patent office as an International  Searching Authority (ISA) and International  Preliminary Examining Authority (IPEA).  | 
                      
                     
                                           
                        
                        | 3.3 | 
                        The purpose of this Agreement is to continue the  appointment of the Australian Patent Office as an ISA  and IPEA, therefore allowing IP Australia to continue as a competent search and  examination authority for international patent applications filed in Australia.2 
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                          Reasons for Australia  to take treaty action | 
                        
                        
                        | 3.4 | 
                        The Patent Cooperation Treaty (PCT) simplifies  and streamlines the process of filing for patent protection in a number of  countries through a single international patent application. IP Australia  informed the Committee that the 139 member states of the PCT are: 
  … the bigger economic targets for Australian applicants  wishing to export – places such as Japan, Continental Europe, America et  cetera are all members of the PCT.3 
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                          | 3.5  | 
                          Using the provisions of the PCT therefore  provides significant time and cost savings for patent applicants by allowing  them to make a single application rather than separate applications in each  country they are seeking patent protection in.4  
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                          | 3.6 | 
                          An integral part of this process is the  appointment of ISAs and IPEAs to conduct the international search and  examination required for each application. Appointment of the Australian Patent  Office as an ISA and IPEA provides  additional cost savings for Australian applicants by also eliminating unnecessary  repetition of search and examination across countries.5 
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                          | 3.7 | 
                          The Australian Patent Office has been an international  authority since 1980 and is one of only 13 patent offices appointed world wide  under the PCT.6 There is international prestige attached to this appointment and Australia has a  high standing in the intellectual property community.7 As an international authority: 
                            IP Australia can continue to influence development of the  international IP system from a position of operational credibility.8 
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                          | 3.8 | 
                          As part of IP Australia, the Australian Patent  Office operates on a full cost recovery basis and its activities are revenue  neutral to Government. The Office issues reports on about 3000 international  searches each year and has bilateral agreements with other countries, including  New Zealand,  Thailand  and Singapore,  to perform searches for those countries.9 
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                          | 3.9 | 
                          The appointment of the Australian Patent Office  also provides considerable benefits for local business and industry, which are  able to access and use the large skills and knowledge base conveniently  available through the Office.10 
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                          Obligations | 
                        
                        
                          | 3.10 | 
                          Article 2 of the treaty provides that the  Australian Patent Office shall carry out an international search and  international preliminary examination in accordance with the Patent Cooperation  Treaty (including its Regulations and Administrative Instructions) and this Agreement  to evaluate the originality of an invention and its industrial applicability.  | 
                        
                        
                          | 3.11 | 
                          In doing so, the Australian Patent Office is  obliged to apply established search and examination rules (Article 2(2)),  manage a quality management system (Article 2(3)), and render mutual assistance  with the International Bureau of WIPO (Article 2(4)).11 
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                          | 3.12 | 
                          Annexes to the Agreement specify which countries  the Australian Patent Office will act as an ISA  and IPEA for, the language used by the Office, subject matter not excluded from  search or examination, and fees and charges (Annex A to D).   | 
                        
                        
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                          Implementation | 
                        
                        
                          | 3.13 | 
                          No additional action is required to implement  this Agreement as it largely continues arrangements already in place under the  existing agreement and implemented by the Patents  Act 1990.  | 
                        
                        
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                          Costs | 
                        
                        
                          | 3.14 | 
                          There will be no additional costs above Australia’s  existing annual membership contribution to WIPO of about $750,000. The  Committee was informed however that as IP Australia is the only ISA/IPEA Australian patent applicants can use, there  would be costs to industry if the Agreement does not proceed.12 
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                          Consultation | 
                        
                        
                          | 3.15 | 
                          The Australian Patent Office has received very  positive support from industry and professional organisations for its role as  an ISA/IPEA. Consultation  undertaken specifically in relation to this Agreement indicated strong support  from stakeholders for continuation of this role.13 
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                          Conclusion and recommendation | 
                        
                        
                          | 3.16 | 
                          The Committee recognises the advantages to  Australian business and industry arising from the appointment of the Australian  Patent Office as an ISA and IPEA,  as well as the contribution that this appointment makes to Australia’s  international standing in intellectual property fora. The Committee therefore  supports binding treaty action being taken.  | 
                        
                        
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                          Recommendation 2
                          The Committee supports the Agreement between the Government of Australia and the International  Bureau of the World Intellectual Property Organization (WIPO) in relation to  the functioning of the Australian Patent Office as an International Searching  Authority and International Preliminary Examining Authority under the Patent  Cooperation Treaty and recommends that binding treaty action be taken.  | 
                        
                      
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                        | 1  | 
                        National Interest Analysis (NIA), para 2. Back | 
                      
                      
                        | 2  | 
                         NIA, para 4. Back | 
                      
                      
                        | 3  | 
                        Mr Victor Portelli, Transcript of Evidence, 13 October 2008, p. 10. Back | 
                      
                      
                        | 4  | 
                        NIA, para 6. Back | 
                      
                      
                        | 5  | 
                        NIA, para 6. Back | 
                      
                      
                        | 6  | 
                        Mr Victor Portelli, Transcript of Evidence, 13 October 2008, p. 7. Back | 
                      
                      
                        | 7  | 
                        NIA, para 9. Back | 
                      
                      
                        | 8  | 
                        Mr Victor Portelli, Transcript of Evidence, 13 October 2008, p. 8. Back | 
                      
                      
                        | 9  | 
                        NIA, para 8. Back | 
                      
                      
                        | 10  | 
                        Mr Victor Portelli, Transcript of Evidence, 13 October 2008, p. 8. Back | 
                      
                      
                        | 11  | 
                        NIA, paras 11 to 14. Back | 
                      
                      
                        | 12  | 
                        NIA, para 17. Back | 
                      
                      
                        | 13  | 
                        NIA, Consultation attachment. Back |