- In any contract for sale or lease or license to manufacture or license to work any patented process or product; it is not right as per the law to insert certain conditions such as,
- prohibiting or forcing to buy or use any other products or processes in any manner, either supplied by the patentee or not, which are not patented by the patentee as a condition in order to get or use a license or lease or obtain or buy a patented process or product; or
- creating a threat to give back the exclusive license in order to prevent challenges of validity of a patent.
- Though such agreement of prohibition or restrictive conditions as mentioned above is made separately before or after the licensing or sale or lease contract agreement is executed, it shall be considered void.
- Upon cases of infringement made by the patentee, if any of these conditions were mentioned in the agreement earlier and the same is in force at the time of infringment; these shall become a defence for the defendant making the case or suit weak on the side of the patentee.
- However if the patentee is not a party in the contract and proves that such restrictive condition was added to the agreement without his knowledge and consent this condition shall not be applicable.
- Apart from the above mentioned restrictions, nothing restricts a person from making such agreements which,
- prohibits a person from selling the patented goods to other people except a particular person or a company;
- validates a contract which shall be invalid under this section alone;
- restricts the licensee or lessee to abide by the right of the patentee on making a deal of buying the patented article as supplied from the patentee only.