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14 de August de 2023

Chamber of Deputies approves Bill that strenghtens the BRPTO budget

It is nothing new that the BRPTO has suffered for years from the delay in examining patent and trademark applications. For instance, there are currently more than 6,300 patent applications pending analysis by the BRPTO, and many of them already exceed a waiting period of 10 years. Such delay is justified by the historical lack of resources of the Federal Agency, which also faced a constant risk of reduction of investments.

On Tuesday, August 8th, 2023, another important step was taken towards the improvement of the intellectual property protection system in Brazil. The Chamber of Deputies approved Complementary Bill #143/19, proposed by Federal Congressman Marcos Pereira (Republicanos – SP), which prohibits the budget withholding of expenses for the resources allocated to the BRPTO.

The aforementioned complementary Bill, proposed on May 28th, 2019, aims to reinforce the financial and budget autonomy of the Federal Agency provided for in the Brazilian Patent Statute (Law #9,279/96 – LPI, in the Portuguese acronym). The project intends to guarantee the necessary resources to achieve the BRPTO’s main objectives to ensure the national economic and technological development.

Before receiving approval from the Chamber of Deputies, the Bill was reviewed by the Constitution, Justice and Citizenship Commission (CCJC), the Industry, Commerce and Services Commission (CICS) and, finally, by the Finance and Taxation Commission (CFT). The latter suggested a small amendment to the proposal to reflect the recent change in article 9, paragraph 2 of the Fiscal Liability Law (complementary Bill #101/00 – LRF, in the Portuguese acronym), introduced by Complementary Bill #177/2021. The amendment involves adjusting the name of the BRPTO should be adjusted, from “National Institute of Intellectual Property” to “National Institute of Industrial Property”.

With its approval, the following amendment was proposed in the wording of article 9, paragraph 2 of the LRF:

Current WordingProposed Wording
§ 2 –       Expenses that constitute constitutional and legal obligations of the entity shall not be subject to limitation, including those intended for the payment of debt service, those related to innovation and scientific and technological development financed by a fund created for this purpose and those reserved by the budget guideline law. § 2 – Expenses that constitute constitutional and legal obligations of the entity shall not be subject to limitation, including those intended for the payment of debt service, those related to innovation and scientific and technological development financed by a fund created for this purpose, those related to the BRPTO and those reserved by the budget guideline law, shall not be subject to limitation.

Therefore, after approval of the proposed wording for Bill #143/2019 elaborated by the Finance and Taxation Commission, by 347 votes in favor, 18 against and 1 abstention, the Bill now proceeds to the Federal Senate for analysis.

For further information or clarification, please do not hesitate to contact us via mail@kasznarleonardos.com.

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