Utility model

A utility model is a patent-like intellectual property right to protect inventions. This type of right is available in many countries but, notably, not in the United States, United Kingdom or Canada. Although a utility model is similar to a patent, it is generally cheaper to obtain and maintain, has a shorter term (generally 6 to 15 years), shorter grant lag, and less stringent patentability requirements. In some countries, it is only available for inventions in certain fields of technology and/or only for products. Utility models can be described as second-class patents.

While no international convention requires countries to protect utility models (unlike copyright, trade marks or patents) and they are not subject to the TRIPS agreement, they are subject to the Paris Convention for the Protection of Industrial Property, which means that countries that do protect utility models are required to comply with rules such as national treatment and priority. Utility models are also available (in countries that have a utility model system) via the Patent Cooperation Treaty (PCT) system of international patent applications.

Kind codes for utility models begin with U, Y, and Z for the first, second, and third levels of publication, respectively.

A utility model is a statutory exclusive right granted for a limited period of time (the so-called "term") in exchange for an inventor providing sufficient teaching of his or her invention to permit a person of ordinary skill in the relevant art to perform the invention. The rights conferred by utility model laws are similar to those granted by patent laws, but are more suited to what may be considered as "incremental inventions". Specifically, a utility model is a "right to prevent others, for a limited period of time, from commercially using a protected invention without the authorization of the right holder(s)."

Terms such as "petty patent", "innovation patent", “short-term patents”, "minor patent", and "small patent" are generally considered to fall within the definition of "utility model". The German and Austrian utility model is called the "Gebrauchsmuster", which influenced some other countries such as Japan.

Most countries having utility model laws require that the invention be new. However, many patent or utility model offices do not conduct substantive examination and merely grant the utility model after checking that utility model applications comply with formalities. This is why for a utility model the granting process is sometimes called simply registration of the utility model. Furthermore, some countries exclude particular subject-matter from utility model protection. For example, in some countries, methods (i.e., processes), chemical substances, plants and animals are barred from utility model protection.

The law in Australia provided for the grant of a utility model known, between 2001 and 2021 when it was phased out, as an innovation patent. From 1979 to 2001, a similar regime existed under the name "petty patent". For an innovation patent to be valid the invention claimed must be novel and involve an innovative step. An invention will lack novelty if it has already been disclosed to the public through prior publication or prior use anywhere in the world. Publication within a "grace period" of 12 months prior to the filing date of an innovation patent with the consent of the applicant is not considered to form part of the prior art for the assessment of novelty. The innovative step requirement is supposedly a lesser requirement than the inventive step required for a standard patent under Australian law. An invention will involve an innovative step if there are differences between the invention and the prior art, that make a substantial contribution to the working of the invention.

An innovation patent is granted automatically after a formalities check without substantive examination, however, infringement proceedings cannot be instituted unless and until the innovation patent has been certified, which requires a substantive examination. Examination cannot proceed until the innovation patent has been granted. Innovation patents have a maximum term of eight years subject to payment of annual renewal fees payable from the second anniversary of the date of filing. Innovation patents are available to persons outside Australia, but an Australian address for service must be provided. Innovation patent specifications must be prepared by a registered patent attorney unless the application proceeds as a Convention application or as a divisional application. Innovation patent applications cannot proceed as national phase of an international patent application (see Patent Cooperation Treaty), but can proceed as a divisional application from an international patent application that is open to public inspection.