Intellectual Property Rights
Law
Understanding the Legal Environment of Business in Nepal
CHAPTER: Intellectual Property
Understanding Intellectual Property Rights
Intellectual Property (IP) refers to creations of the human mind, such as inventions, literary and artistic works,
designs, and symbols used in commerce. These rights protect the economic interests of creators by granting them
ownership over their unique creations.
Key Areas of Intellectual Property
Copyright & Related Rights Industrial Property
Protects literary, artistic, and scientific works, Covers inventions (patents), industrial designs,
performances, phonograms, and broadcasts. trademarks, and protection against unfair
competition.
These categories ensure creators maintain control and benefit from their intellectual endeavors.
Copyright Act, 2059
The Copyright Act, 2059, grants authors exclusive privileges to reproduce, distribute, perform, or display their
creative works. Its goal is to encourage the creation of new art and literature by protecting copyrighted material
from misuse and piracy.
Legal Framework Competitive Advantage
Ensures creators' rights are protected under Critical for businesses to manage copyright assets
Nepalese law. and prevent erosion of competitive edge.
Copyrightable Works in Nepal
The Copyright Act, 2059, protects a broad range of original works expressed in tangible form, including:
• Books, pamphlets, articles, theses • Photography, painting, sculpture, woodcarving,
• Drama, dramatico-music, dumb shows lithography
• Musical notation (with or without words) • Works of applied art
• Audio-visual works • Illustrations, maps, plans, 3D works (geography,
science)
• Architectural designs
• Computer programs
Major Provisions of the Copyright Act, 2059
Scope of Application Economic Rights
Protects works of authors domiciled in Nepal or first Grants exclusive rights to control the use of works,
published in Nepal, including architectural designs. with limitations for fair use.
Moral Rights Terms of Protection
Recognizes paternity, integrity, and modification Generally life plus 50 years, varying by work type
rights, transferable by will. (e.g., 25 years for applied art/photographic works).
Limitations and Exceptions
The Act allows certain uses of copyrighted material without authorization, provided they do not prejudice the economic rights of the
author:
Private Use
Reproduction of "some part" for personal use, not substantial amounts.
Teaching & Illustration
Short excerpts for educational purposes, with acknowledgment.
Library & Archival Use
Reproduction of single copies for research or to replace lost/damaged works.
Information Purposes
Reproduction/broadcasting of news items, with acknowledgment.
Computer Programs
Free reproduction for utilization or backup purposes.
Infringement & Remedies
Unauthorized use of copyrighted work constitutes infringement.
Common examples include making unauthorized copies for
commercial purposes, adapting another's work, or outright
plagiarism.
Penalties Enforcement
• Fine: Rs. 10,000 - Rs. • Police can search and seize
• 100,000
Imprisonment: Up to 6 infringing copies.
months (or both) • Customs can suspend
• Doubled for repeat offenses import of unauthorized
• Confiscation of infringing • copies.
Civil remedies include
copies injunctions and damages.
Patent, Design and Trademark Act, 2022
This Act protects industrial property, crucial for differentiating products and promoting business growth.
Patent Design Trademark
Protects new, useful inventions Protects the unique shape or Protects words, signs, pictures, or
(methods, processes, formulae). appearance of materials/goods. combinations used to distinguish
goods/services.
Key Takeaways
IP is Vital Legal Framework Protect Your Rights
Intellectual Property is crucial for Nepal's Copyright Act (2059) and Understanding these laws helps
business success, protecting Patent, Design & Trademark Act creators and businesses safeguard
creations and fostering innovation. (2022) provide comprehensive their intellectual assets.
protection.
For further details, consult legal professionals specializing in Intellectual Property Rights in Nepal.