FEATURE

Secret Patents and Hidden Prior Art

This article explores the interplay between the territorial nature of patents and the principle that novelty of an invention should be assessed on a worldwide basis. It illustrates by way of example of the proceedings around the USB Flash Drive patent in Singapore and the United Kingdom and shows how the validity of one patent may in some circumstances be affected by other secret patent applications filed but not published elsewhere in the world.

 

Introduction: Fundamentals of the Law of Patents

A patent is a monopoly1 granted by the State to an individual in exchange for his disclosure and teaching of a novel and useful invention. The individual enjoys his monopoly for 20 years2 and thereafter, the invention is free for all to use.

 

An invention will be taken to be new or novel if it does not form part of the state of the art. The state of the art is in turn defined as all matter made available to the public by way of written or oral description by use or any other way.3

 

Novelty is also to be assessed on a worldwide basis.4 Therefore, if an invention was already disclosed, commercially dealt with or used by a person in one country, it was not possible to patent that technology in any other country in the world. 

 

It should be noted that secret use and technology not made available or disclosed to the public does not form part of the state of the art and does not affect the assessment of novelty.

 

An extension of this principle also meant that patent applications filed outside of a particular jurisdiction are not considered as part of the state of the art until they are published by the patent offices in those foreign countries where it was filed.

 

This is because it is an almost universal practice in patent offices around the world processing patent applications that these are kept secret after filing. They are only published after formality checks and searches are completed. This meant a significant time lapse between filing and publication.5 During this time because the application is kept secret, it cannot form part of the state of the art in other countries at least.

 

Therefore, there are two dates to look out for when one talks about patents, namely its filing (or priority) date and its publication date.

 

This is especially so in the situation set out below.

USB Flash Drive

The USB Flash Drive (or otherwise known commercially as the ‘Thumb drive’) is perhaps one of the inventions of the new millennium and it will be fairly safe to say that most typical working adults living in today’s digital age would have inadvertently come across or used such a device to transfer and store data just as they would have dealt with a microprocessor.

 

The USB Flash Drive was meant as a replacement for the floppy disks as the means of the storage of computer data and it is no coincidence these days that the floppy disk is extinct or on the brink of near extinction.

 

However, the USB Flash Drive like many other great and innovative inventions is itself not an invention thought of or built from scratch but it is really a clever combination of existing technology with a keen and savvy eye towards market demand and desire.

 

It is made possible by advent of the Universal Serial Bus (‘USB’)6 as well as Flash memory technology. If the USB is the soul of the USB Flash Drive providing universal connectivity to any external device, the Flash Drive is its heart providing the means or capacity to store a large amount of data. Without either, the invention could not have been completed or even conceived of.

 

Flash memory was invented in the 1980s and has been in use since the 1990s in the form of memory cards, memory sticks and other devices. Unlike the floppies which use an ancient magnetic storage medium, flash memory uses transistors and chips as the storage medium. Flash memory was widely used in many electronic devices such as digital cameras and MP3 players but there were very few if any attempts to use a memory card as a successor to the floppy disks since memory cards have their own proprietary means of connection or rather limited connectivity and cannot be used or integrated universally with different makes of word processors or microprocessors in the market. The arrival of the USB changed that.

Patent Application EP 1102172 A1 in the European Patent Office

Between the demise of floppy disks and the arrival of the USB Flash Drive, there was a little known Taiwanese device invented sometime in 1999 that never quite enjoyed any commercial success or scientific recognition. This device can only be known in a most unfashionable manner by its patent number EP 1102172 A1.7    

 

This invention consists of a typical looking USB adapter which can be used with a memory card with flash memory. The USB adapter in EP 1102172 A1 has a USB ‘A’ plug meant to connect to an external device just as a USB Flash Drive would have. At the other end of the embodiment of EP 1102172 A1, it contains an enlarged groove to house a memory unit or a memory card. The concept is very similar to that of a USB Flash Drive. Indeed, if one were to do an anthropologic study of the evolution of memory devices, EP 1102172 A1 would have been the missing link between the primitive floppies and the modern USB Flash Drive.

 

Replace the memory card or memory unit which houses flash memory in EP 1102172 A1 with an in-built flash drive and we have a modern day USB Flash Drive.

The inventors of EP 1102172 A1 filed their patent application in Europe on 22 November 1999. This also extended to the United Kingdom. The inventors never filed their patent into Singapore. There does not seem to be any commercial exploitation of this invention or attempts to do so anywhere in the world.

 

On 21 February 2000, a patent application8 for a device which eventually became known as the Thumb drive9 was filed in Singapore. It is apparent that the Thumb drive was independently conceived of and developed by another team of scientists without any reference to the EP 1102172 A1. No allegations were ever made nor were proceedings brought by the inventors of EP 1102172 A1 claiming that the USB Flash Drive was their invention or derived from their invention.10 Unlike EP 1102172 A1, the USB Flash Drive enjoyed unprecedented commercial success and was an extremely valuable invention.

 

It also went through a protracted and gruelling legal battle in Singapore for four years.11 Not much mention was made of EP 1102172 A1 in the Singapore proceedings which were concluded sometime in 2006 since it was never part of the state of the art of Singapore before 21 February 2000 and did not affect the novelty of the USB Flash Drive patent.

 

The legal battle for the rights in the USB Flash Drive continued in the United Kingdom.12 There, the existence of EP 1102172 A1 was to have quite some impact on the proceedings there13 since its existence in the United Kingdom came about before 21 February 2000 rather than after. This affected the novelty of the USB Flash Drive in the United Kingdom.14 

The Relevant Dates

EP 1102172 A1 was filed on 22November 1999 in the European Patent Office but was only published on 23 May 2001. It should be emphasised that EP 1102172 A1 has a filing date prior to that of the USB Flash Drive patent in Singapore but a publication date subsequent to the same.

 

If EP 1102172 A1 formed part of the state of art before 21 February 2000, the USB Flash Drive patent which was filed on that date may arguably not be regarded as a novel invention by pure chance of coincidence.

 

EP 1102172 A1 did not become part of the state of the art in Singapore until 23 May 2001 when it was published in the United Kingdom. This came about by virtue of s 14(2) of the Singapore Patents Act (Cap 211) (2004 Edn) (‘the Singapore Act’) which provides:

 

The state of the art in the case of an invention shall be taken to comprise all matter (whether a product, a process, information about either, or anything else) which has at any time before the priority date of that invention been made available to the public (whether in Singapore or elsewhere) by written or oral description, by use or in any other way.

 

Here, prior art consists of what is made available to the public in Singapore or elsewhere. This includes prior art from patent applications published in the United Kingdom. After publication, anybody would be able to obtain a copy of the application and specifications from the patent office and theoretically be able to apply or work the invention.

 

But since its inventors never filed their patent here, EP 1102172 A1 was therefore not a patent under the Singapore Act and because it was not, s 14 (3) of the Singapore Act does not apply. Note that unlike s 14(3) of the Singapore Act, s 14(2) above makes no mention of the word ‘patent’.

 

Section 2 of the Singapore Act provides that:

 

’patent’ means a patent under this Act and includes a patent in force by virtue of section 117 (3);

 

Section 14(3) provides:

 

The state of the art in the case of an invention to which an application for a patent or a patent relates shall be taken also to comprise matter contained in an application for another patent which was published on or after the priority date of that invention, if the following conditions are satisfied:

 

(a) that matter was contained in the application for that other patent both as filed and as published; and

 

(b) the priority date of that matter is earlier than that of the invention.

 

Priority date for the purposes of the article means the date of filing.15

 

Section 117(3) refers to the transitional provisions for patents filed under the repealed Registration of United Kingdom Patents Act and has no relevance here.

 

Because EP 1102172 A1 was not a patent within the meaning of the Singapore Act, it does not fall within the meaning of ‘an application for a patent’ in s 14(3) therein. In fact, it was a secret between 1999 and 2001 locked away in the patent offices of the United Kingdom and Singapore. No member of the public here in Singapore has seen or used or knew how it works until it was published in the United Kingdom.

 

It was, however, part of the state of the art in the United Kingdom as of 22November 1999 despite the fact that it was only published there on 23 May 2001 for all intents and purposes.

 

This situation arises by way of the operation of s 2(3) of the UK Patents Act which is identical to s 14(3) of the Singapore Act set out above. As a recap, s 2(3) (and s 14(3) of the Singapore Act) simply says that a patent application is prior art vis-à-vis a later application even though it was published after the later application was filed as long as it was filed earlier than that later application and it was published as filed without amendments. The other requirement is that it is a patent under the UK Patents Act.16

 

The patent application known as EP 1102172 A1 satisfied s 2(3) of the UK Patents Act in that it:

1    Was published on 23 May 2003 after the USB Flash Drive patent was first filed in Singapore.17

 

2    Has a priority date of 22 November 1999 earlier than that of the USB Flash Drive patent.

3    Was published as it was filed without any amendments.

 

4    Was also a patent filed under the UK Patents Act.

 

EP 1102172 A1 did not fulfil the last of these four conditions as far as Singapore is concerned but in the United Kingdom, it fell right within s 2(3) therein which treated the application as prior art and as though it was disclosed to the public or retrospectively on the date of filing.

 

It should be noted the assessment of novelty under the laws of both the United Kingdom and Singapore proceeds without regard to whether the patent was in fact copied from earlier technology. It is an objective assessment based on the available prior art. Once it is established that there is indeed such prior art before the filing of the patent in question, the patent is anticipated or not regarded as novel. The patentee himself may have never seen that prior art or invention and certainly not copied from another.

Effect

The retrospective effect of s 14(3) under the Singapore Act and s 2(3) under the UK Patents Act leads to a situation where different countries in different parts of the globe can have different ‘states of the art’ at a given date. In this case, EP 1102172 A1 was part of the state of the art on 22 November 1999 in the United Kingdom but only 23 May 2001 in Singapore. The fact that it became part of the state of the art in the United Kingdom retrospectively did not in any way render it as a part of the state of the art in Singapore on 22 November 1999. That is because the wording of s 14 (2) of the Singapore Act requires actual disclosure to the public.

 

The sole distinguishing factor between Singapore and the United Kingdom was whether the inventor had filed his application in the country or whether his patent is a patent granted under the laws of the country. If he does or if it is, his invention becomes part of the state of the art of a given country on his date of filing and he goes on to gain the right of monopoly by virtue of any patent that is granted to him there. If he does not, his invention only becomes so on the date of the publication of his invention in another country. The act of filing not only gives them protection in the jurisdiction in the usual sense but also an increased time period of protection. The added time period is an incentive to file in that country.

 

However, the reality is that other than its inventors, no one knew about EP 1102172 A1 before 23 May 2001 in the United Kingdom or Singapore. By the act of filing, EP 1102172 A1 became the prior art in one but not the other before that date. Further, the assessment of novelty is then based on this assumed and artificial state of affairs that EP 1102172 A1 was made available to the public as of November 1999 when it was in fact not.

 

The fact that novelty which is otherwise meant to be assessed on a worldwide basis is practically compromised by the secret nature of a typical patent application. Unfortunately, patent applications would in most cases be the most readily available and abundant source of prior art since no where else can one find a more comprehensive and detailed record of other people’s inventions than at one’s own patent office.

 

With the greater proliferation, use and application of intellectual property rights, close run situations like the above will in all probability arise again.18 This is especially so in the case of inventions like the USB Flash Drive that caters to the craving of the market and is in itself merely a combination and reconfiguration of existing prior art. Chances are that there will always be more than one party working on the same problem at the same time and coming up with similar solutions from different parts of the globe.

 

Other than purely commercial reasons, the prospective patentee should now also consider the likelihood of litigation when making the decision to file or not in a given country bearing in mind the existence of such hidden prior art.19

 

 

Han Wah Teng

Keystone Law Corporation

E-mail: hanwahteng@keystonelawccorp.com

 

Notes

1    Section 66 of the Patents Act (Cap 211) (2004 Edn).

 

2    Section 36 of the Patents Act (Cap 211) (2004 Edn).

 

3    Section 14 of the Patents Act (Cap 211) (2004 Edn) and Section 2 of the UK Patents Act.

 

4    See reference in parenthesis to ‘whether in Singapore or elsewhere’ in Section 14(2) of the Patents Act (Cap 211) (2004 Edn) and similar wording in section 2(2) of the UK Patents Act. Also, the other requirements of patentability can be found at section 15 and 16 of  the Patents Act (Cap 211) (2004 Edn). These are not discussed in the article.

 

5    Therefore, section 14(3) of the Patents Act (Cap 211) (2004 Edn) provides for the relevance of such secret patent applications in determining novelty. However, ‘patent’ here only means ‘a patent filed under the Act’ or in Singapore under section 2 of the Patents Act (Cap 211) (2004 Edn). See also section 2(2) of the UK Patents Act.

 

6    USB is strictly speaking not an invention but a universally standardised protocol or interface for electronic devices.

 

7    Full title of EP 1102172 A1 is ‘A Dual interface memory card and adapter module for the same’.

 

8    Singapore Patent No. 87504.

 

9    Thumbdrive is a registered trade mark in Singapore.

 

10  In fact, one may actually suggests that EP 1102172 A1 is not really patentable as an invention on its own for want of an inventive step or for being too obvious.

 

11  Suit No. 609 & 672 of 2002.

 

12  BL O/318/06 before the United Kingdom Patent Office.

 

13  There were also various other similar patents cited in the proceedings concerning the USB Flash Drive before the United Kingdom Patent Office (BL O/318/06) not referred to in the Singapore proceedings presumably for the same reason.

 

14  There was no finding at the end of the day before the United Kingdom Patent Office (BL O/318/06) that EP 1102172 A1 anticipates or affects the novelty of the USB Flash Drive but the other patents referred to at n8 above were held to have anticipated the USB Flash Drive patent.

 

15  Section 17(1) of the Patents Act (Cap 211) (2004 Edn).

 

16  Section 130 of the UK Patents Act.

 

17  Note that the inventor has a right to claim priority or to claim his earliest first filing date when he files his patent overseas. The earliest date is the date of his first filing in his home country by way of the Paris Convention for the Protection of intellectual Property or the Patent Co-operation Treaty. So the date of filing of the USB patent would have been the date the patent was first filed in Singapore on 21 February 2007.

 

18  Most countries have statutory provisions similar to section 14(3) of the Patents Act (Cap 211) (2004 Edn).

 

19  Take note the right to claim priority can also lead to more nasty surprises to the prospective patentee. Suppose the inventors of EP 1102172 A1 found out about the USB Flash Drive at an earlier time and brought their application into Singapore.