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84 The US-Israel Legal Review 2019

ISRAEL: INTELLECTUAL PROPERTY

concerning limitations on the filing by its citizens

and residents of inventions relating to national

security and nuclear energy. In the past, such

limitations bottlenecked the examination process

in a large part of local patent prosecutions.

Reportedly, the exercise of such limitations has

substantively decreased in recent years by way

of effective cooperation between the ILPO and

the Ministry of defense. Special efforts have been

made to streamline the screening process on both

local as well as PCT applications made by Israeli

citizens and residents. Such a streamlining is

another indication of the importance the regulative

environment in Israel attributes to the effective

obtainment of legal protection to IP rights.

The Israel Patent Law provides employers with

full property rights in service inventions which

are the product of an employment relationship

whereby the invention is a direct result of and is

made during the employment relationship. Unless

agreed otherwise, the law sets aside a monetary

right to the employee to be duly compensated for

such ‘automatic’ attribution of property right to

employer. Unless agreed otherwise, such matters

are heard before a unique committee having

sole authority to set the rate of severance and

royalties for the appropriation of the invention.

In a 2014 decision, the committee made it

clear that the said monetary rights attributed

to employee, may be contracted out. In later

decisions the committee regarded additional,

until then unresolved, other matters providing

the stakeholders with a higher rate of certainty.

DESIGN

2018 saw a dramatic change to the legal protection

of design rights in Israel. In August 2018 the new

Design Law came into force replacing a British

Mandate ordinance from 1924 (which will remain

in force with regards to designs applied for before

the new law). This modern legislation has adopted

terms and criteria used in the European Union

Directive on design and intends to rely, for the sake

of interpretation, on European and specifically

United Kingdom jurisprudence in the field. Similar

to the EU Registered Community Design Right and

the Unregistered Community Design Right, the

new Israel Design Law provides for a registered

and an unregistered right. The term of protection

of a registered design right is 25 years whereas

unregistered rights last for 3 years from date of

first publication and provide relatively limited

protection. The new law requires the design to

be globally novel and have individual character

as per the impression of an informed user. The

new law will enable providing protection also for

design of graphic user interfaces, icons and digital

screen images which under the ordinance were

not clearly protectable. The new law will enable

Israel to join the Hague Agreement, thus providing

Israeli users the benefit of the easy access to the

International design system as well as direct entry

by international stakeholders into the Israeli design

market (anticipated for early 2020).

On the administrative level it is well worth

noting that since early 2017 the designs ledger is

being published online and that full digital filing

and prosecution capabilities were launched. These

tools have increased the transparency of the design

examination process which has been considerably

shortened and improved.

TRADEMARKS

The Trademarks Ordinance was substantially

revised in 1972. Several amendments were made

since. One of the main amendments was made in

1999 to conform with the TRIPs Agreement.

Frequent litigation before the courts and

active customs enforcement have brought to

effective jurisprudence granting trademark rights

considerable value in the local marketplace.

As of October 2010 Israel started operating

under

the

Madrid

Protocol

concerning

2018 saw a dramatic change

to the legal protection of

design rights in Israel. In

August 2018 the new Design

Law came into force.