French patent application or French patent

Principle

Every French patent application or French patent requires the payment of an annual official fee to the INPI (L612-19 CPI, paragraph 1) from the first year. Indeed, it is considered that the first official fee is paid as part of the filing official fee (R613-46 CPI).

The annual official fees must be paid at the beginning of the year in question, on the last day of the month of the filing anniversary (R613-46 CPI).

Annual official fees to the INPI
Annual official fees to the INPI

Extension of the payment deadline

One may wonder what happens if the last day of the anniversary month is a Sunday or a public holiday.

This question is legitimate, as the payment of annual official fees is not subject to a deadline (since R618-3 CPI applies only to deadlines): they must simply be paid before a certain due date set by the regulations.

In this case, the INPI guidelines inform us that an extension does exist (INPI Examination Guidelines, II-A 2) and that R618-3 CPI is indeed applicable.

Advance payment

It is possible to pay this official fee in advance; however, such payment cannot be validly made more than 1 year in advance (R613-46 CPI).

Late payment with additional official fee

Principle

If payment is not made on time, it remains possible to make the payment within a period of 6 months, subject to the payment of an additional official fee (L612-19 CPI, paragraph 2).

Normally, the INPI notifies the proprietor by standard mail to inform them that they have not paid their annual official fee, but the proprietor cannot rely on a lack of notification (R613-48 CPI).

Start of the 6-month period

For standard applications

This 6-month period begins on the day following the due date of the annual official fee (R613-47 CPI), i.e., on the first day of the following month.

If the due date fell on a weekend or a public holiday (and thus the deadline was extended under R618-3 CPI), it appears that the INPI’s practice does not start the 6 months from the extended due date but only from the normal due date.

This INPI practice does not seem entirely consistent with the wording of L612-19 CPI, but so be it…

For divisional applications

For divisional applications (R613-47 CPI), the INPI considers that payment may be validly made up to the last day of the fourth month following the date of receipt of the divisional application documents (INPI Examination Guidelines, II-A 2).

According to the INPI (INPI Examination Guidelines, II-A 2), if such payment has not been made within the aforementioned 4 months, it may still be validly made (with an additional late official fee) within a grace period of 6 months from the expiration of the 4-month period.

We therefore have the following principle scheme:

Annual official fees for a divisional application (INPI interpretation)
Annual official fees for a divisional application (INPI interpretation)

Personally, I am highly skeptical of such an interpretation. I do not believe that Article R613-47 CPI states so much.

If the 4-month period is a period during which payment « is considered to have been validly made » (legal fiction under Article R613-47 CPI), the due date for the annual official fee (i.e., the date on which payment is due) does not appear to me to be modified.

Thus, in my entirely personal interpretation, the 6-month period begins on the « normal » due date of the annuity, and the following scheme would be the correct principle scheme:

Annual official fees for a divisional application (personal interpretation)
Annual official fees for a divisional application (personal interpretation)

Expiration of the 6-month period

The 6-month period expires on the day having the same date as the due date of the annual official fee (R618-3 CPI).

When referring to the due date, we mean the actual due date, not the due date potentially extended by the INPI Examination Guidelines, II-A 2 (well… this seems to be the Office’s practice…).

Unlike in Europe, there is no indication that the period ends at the end of the month (ultimo-ultimo): therefore, if the due date was February 28, the grace period will in principle expire on August 28… Well, in principle…

Amount

Payment is made at the rate in force on the day of payment (unless a notice indicating a different rate has been sent to the applicant) (R613-47 CPI).

In case of reinstatement, the applicable rate is the one in force on the date of reinstatement (R613-47 CPI).

A reduction in official fees is granted, up to the 7th annuity, if the proprietor of the patent application or the patent is (L612-20 CPI):

  • a natural person,
  • a small or medium-sized enterprise (an enterprise with fewer than 1000 employees and of which no more than 25% of the capital is held by another entity not meeting the same condition),
  • a non-profit organization in the education or research sector.

The reduction is (Order of April 24, 2008 on official fees for procedures collected by the INPI, Article 2):

  • 50% for official fees up to the 5th,
  • 25% for official fees 6 and 7,
  • 0% for official fees 8 to 20.

Insufficient payment, but corrected

If an annuity is paid but insufficiently, it is possible to correct the payment, without a surcharge, within the 6-month period mentioned above (R613-47 CPI, paragraph 4 and INPI Examination Guidelines, II-A 2).

Sanction

The applicant/proprietor who has not paid the annual fee by the end of the 6-month grace period shall be deemed to have forfeited their rights (L613-22 CPI).

The following shall be considered as failure to pay the annual official fee (INPI Examination Guidelines, II-A 5):

  • non-payment;
  • payment at an insufficient rate;
  • payment allocated to a different anniversary date;
  • payment allocated to a different patent application or patent.

Forfeiture, as determined by a decision of the Director General of the INPI, shall take effect on the due date of the unpaid annual fee (L613-22 CPI).

However, this effect does not appear to be retroactive since the Cour de cassation has indicated that the relevant date for determining whether a patent had lapsed was the date of the decision of the Director General of the INPI establishing the forfeiture (C. Cass. com., 18 October 2011, No. 10-24326): why make it simple when you can make it complicated…

European patent application

No annual fee is due to the INPI as long as no European patent has been granted (A86(1) EPC).

I invite you to read the article on payment of annual fees in Europe for more details.

French part of a European patent

Principle

The INPI is competent from the date of publication of the mention of grant of the patent (A141(1) EPC) to collect the annual official fees.

The foregoing provisions for French patent applications/patents therefore apply.

Transitional period provided for by the EPC

For greater flexibility, the EPC provides for a transitional period immediately following the publication of the mention of grant.

If annual fees fall due within 2 months from the date on which the mention of the grant of the patent was published in the European Patent Bulletin, these annual fees shall be deemed to have been validly paid if they have been paid to the INPI within this 2-month period (A141(2) EPC).

Of course, the EPC also provides for a 6-month grace period for the payment of annual fees (R51(2) EPC).

The principle set out in the EPC is therefore as follows:

2-month minimum period for payment to a national office
The principle laid down by the EPC

However, the wording of Article R614-16 CPI is somewhat different and has raised some questions:

Where payment of an annual fee has not been made by the end of the period referred to in paragraph 2 of Article 141 of the Convention on the Grant of European Patents, said fee may be validly paid within an additional period of six months, subject to payment of a surcharge within the same period.

Should it be understood that the 6-month period does not overlap with the 2-month period (as indicated above), but is added to it?

According to the judges, Article R614-16 CPI (which is more flexible than the EPC provisions) indeed indicates that the 2-month period should be extended by an additional 6-month period (Paris Court of Appeal, 23 September 2014).

Payment of annual fees in France upon validation of a European patent
Payment of annual fees in France upon validation of a European patent