- Upon setting the terms and conditions of a Compulsory License, the Controller shall try to secure the following conditions that,
- any reasonable royalty and other monetary settlements reserved to the Patentee or other persons entitled to the Patent with regard to the nature of the invention, efforts made and expenses incurred by the patentee in developing and securing a patent right shall be provided to the patentee,
- the licensee of the patented invention worked the invention to the fullest commercially with reasonable profit,
- the patented invention is made available to the public in affordable prices,
- the license granted is a non-exclusive license,
- the license right is non-assignable,
- the license is given for the balance term of the patent unless the shorter term itself is fair in public interest,
- the license granted is for the purpose of supply in the Indian Market and the licensed products may also be exported if needed being in accordance as per the provisions of this law.
- such license so granted is in semi-conductor technology, then the same is to work the invention for public and non-commercial use only,
- if the license granted invention is a remedy for a practice and if it is proved non-competitive after judicial and administrative process, then the licensee shall be permitted to export the patented product, if needed.
- Compulsory license granted to any person (licensee) shall not import the patented product or any product made from a patented process from other countries where such imports would infringe the rights of the Patentee
- The Central Government in its opinion in the public interest, shall at any time direct the Controller to pass orders to authorize the licensee to import from abroad, a patented product or a product made out of a patented process considering many factors such as sale price, royalty, quantum of import etc., and the Controller shall then pass such orders.