Section 103 – THE PATENTS ACT, 1970

(1) Any
dispute as to the exercise by the Central Government or a person authorised by it of the
powers conferred by section 100, or as to terms for the use of an invention for the
purposes of Government thereunder or as to the right of any person to receive any part
of a payment made in pursuance of sub-section (3) of that section or as to the amount of
compensation payable for the acquisition of an invention or a patent under section 102,
may be referred to the High Court by either party to the dispute in such manner as may
be prescribed by the rules of the High Court.
(2) In any proceedings under this section to which the Central Government is a party, the
Central Government may,—
(a) if the patentee is a party to the proceedings, petition by way of counter-claim for
revocation of the patent on any ground upon which a patent may be revoked under
section 64; and
(b) whether a patentee is or is not a party to the proceedings, put in issue the validity
of the patent without petitioning for its revocation.
(3) If in such proceedings as aforesaid any question arises whether an invention has been
recorded, tested or tried as is mentioned in section 100, and the disclosure of any
document regarding the invention, or of any evidence of the test or trial thereof, would,
in the opinion of the Central Government, be prejudicial to the public interest, the
disclosure may be made confidentially to the advocate of the other party or to an
independent expert mutually agreed upon.
(4) In determining under this section any dispute between the Central Government and any
person as to terms for the use of an invention for the purposes of Government, the High
Court shall have regard to any benefit or compensation which that person or any person
from whom he derives title, may have received, or may be entitled to receive, directly or
indirectly in respect of the use of the invention in question for the purposes of
Government.
(5) In any proceedings under this section, the High Court may at any time order the whole
proceedings or any question or issue of fact arising therein to be referred to an official
referee, commissioner or an arbitrator on such terms as the High Court may direct, and
references to the High Court in the foregoing provisions of this section shall be construed
accordingly.
(6) Where the invention claimed in a patent was made by a person who at the time it was
made was in the service of the Central Government or of a State Government or was an
employee of a Government undertaking and the subject-matter of the invention is
certified by the relevant Government or the principal officer of the Government
undertaking to be connected with the work done in the course of the normal duties of the
Government servant or employee of the Government undertaking, then, notwithstanding
anything contained in this section, any dispute of the nature referred to in sub-section (1)
relating to the invention shall be disposed of by the Central Government conformably to
the provisions of this section so far as may be applicable, but before doing so the Central
Government shall give an opportunity to the patentee and such other parties as it
considers have an interest in the matter to be heard.