Chapter 1 General Principles
                        
                        Article 1 
                             With a view to 
                        guaranteeing the legitimate rights of patent  agencies and consignors 
                        and ensuring the normal  working  of patent commissioning 
                        services, these Regulations hereof are formulated. 
                         
                        Article 
                        2 
                             Patent commissioning stated here denotes 
                        patent  application  or  the handling of other patent- 
                        related affairs by patent agencies on behalf  of their consignors and 
                        within their authorized powers.
                      
  
                          Chapter 2 Patent Agencies
                      
  
                        Article 3 
                             Patent agencies 
                        stated here denote  service organs that apply  for patents or 
                        handle  other patent-related  affairs  on  
                        behalf  of  their consignors and within their authorized 
                        powers. 
                             Patent agencies 
                        include: 
                             (1) those that handle foreign 
                        patent-related affairs; 
                             (2) those that handle 
                        domestic patent-related affairs; and 
                             (3) law 
                        firms that handle domestic patent-related affairs. 
                         
                        Article 
                        4 
                              Establishment  of  a  
                        patent  agency  shall  require  the  following 
                        conditions: 
                             (1) having a name, articles of 
                        association and fixed work place of its own; 
                             
                        (2) having necessary capital and work 
                        installations; 
                             (3) being financially 
                        independent and able to meet civil liabilities independently; 
                        and 
                             (4) employing three or more special staff 
                        members qualified as patent agents and a proportionate number of likewise 
                        qualified spare-time working staff as stipulated by the China 
                        Administration of Patents (CAP). 
                             Law firms 
                        engaged in patent commissioning must have special staff for the business 
                        stated in item (4) of the previous paragraph. 
                         
                        Article 
                        5 
                             To apply for the  establishment  
                        of  a  patent  agency at a patent administration, the 
                        following documents must be presented: 
                             
                        (1)  a  letter  of  application  with  
                        the  name, office  space  and responsible person's name 
                        stated; 
                             (2) the articles of association of the 
                        patent agency; 
                              (3)  the  
                        names  of  patent  agents  and   their 
                        certificates of qualification; and 
                             (4) written 
                        proof of the amount of capital and installations of the patent of the 
                        agency. 
                           
                        Article 6 
                             Patent 
                        agencies applying for the handling of domestic patent-related affairs or 
                        law firms applying for the same must have the consent of their governing 
                        authorities and their applications must be examined by patent 
                        administrations of provinces, autonomous regions or municipalities 
                        directly under the Central Government; in the absence of governing 
                        authorities, they may be directly examined by the later.  Upon 
                        agreement, the examining  authorities  shall  report  
                        the  applications  to  CAP for 
                        approval. 
                             Patent agencies applying to handle 
                        foreign-related  patent  affairs must go through  
                        procedures as stipulated in the Patent Law of the People's Republic of 
                        China. Such agencies,  upon  approval by CAP, can handle 
                        domestic patent affairs. 
                         
                        Article 7 
                             
                        Patent agencies, as of the  date of approval,   can start 
                        handling patent-commissioning business in accordance with law, enjoy 
                        civil  rights  and meet civil liabilities. 
                         
                        Article 
                        8 
                             Patent agencies shall deal with the 
                        following businesses:  
                             (1) providing 
                        patent-related consulting agencies; 
                             (2) 
                        writing on commission patent application documents and handling 
                        re-examination and other related affairs; 
                             (3) 
                        raising disagreement, asking for the  announcement of a patent right 
                        cancellation and other related affairs; 
                             
                        (4)  handling the right of patent application, the transfer of patent 
                        right and patent permission and other related 
                        affairs; 
                             (5) appointing  patent  
                        agents  to  serve  as  patent advisors upon 
                        invitation; and 
                             (6) other related 
                        matters. 
                         
                        Article 9 
                             When patent agencies 
                        accept consignments and  handle  business, they shall have a 
                        consignor's letter of commitment clearly stating commissioned  
                        items 
                        and powers. 
                             If needed, a patent agency  
                        may  designate  a  certain patent agent appointed by the 
                        consignor to handle the business. 
                             Patent 
                        agencies may charge commissions in accordance with relevant regulations of 
                        t he State. 
                           
                        Article 10 
                             After 
                        accepting a commission, a patent agency shall not accept the commission of 
                        rival consignors concerning patents with the  same  
                        content. 
                         
                        Article 11 
                             Patent agencies 
                        shall employ as patent agents  persons  with  "Patent Agent 
                        Qualification Certificate". The latter shall go through necessary  
                        procedures, be given  "Patent  Agent  Work  
                        Permit"  by the former, and register at 
                        CAP. 
                             Beginners shall not be issued "Patent 
                        Agent Work Permit" until after a full year of 
                        apprenticeship. 
                             When patent agencies discharge 
                        their patent agents, they shall recover in time the latter's "Patent Agent 
                        Working Permit" and report such discharge to CAP. 
                         
                        Article 
                        12 
                             When patent agencies change their 
                        names,  addresses  and  responsible persons, they shall 
                        report to CAP of such changes, which become effective 
                        only after 
                        approval by the latter. 
                              When  
                        a  patent  agency goes out of business,  it shall, after 
                        appropriately handling all unsettled affairs, report to  the  
                        authorities that endorsed its opening and the latter shall be  
                        responsible for going through all necessary procedures as 
                        CAP. 
                         
                        Article 13 
                             If an approved patent 
                        agency no longer meets the conditions stated in Article 4 of these 
                        Regulations hereof due to a change of circumstances and will not be able 
                        to meet such conditions within 1 year, the authorities that endorsed its 
                        opening should propose to CAP that it be canceled as a patent agency.
                      
 Chapter 3 Patent Agents
                         
                        Article 14 
                             Patent agents 
                        that these Regulations hereof stated denote bearers of "Patent Agent 
                        Qualification Certificate" and of  "Patent  Agent  Working 
                        Permit". 
                         
                        Article 15 
                             Chinese citizens 
                        who support Constitution as the People's Republic of China and meet the 
                        following conditions may apply to be pate nt 
                        agents: 
                             (1) over the age of 18 with full 
                        capacity for civil behaviors; 
                             (2) graduates of 
                        college departments of sciences (or with  equivalent education) in 
                        command of one foreign language; 
                             (3) 
                        well-versed in the Patent Law and related legal knowledge; 
                        and 
                             (4) scientists or lawyers with upwards of 
                        2 years of work experience. 
                         
                        Article 16 
                             
                        Persons who apply to be patent agents will obtain CAP "Patent  Agent 
                        Qualification Certificate" after a panel of examination judges deem him or 
                        her qualified. 
                             The panel of judges is composed 
                        of persons from  CAP,  State Council department and 
                        organizations of patent agents. 
                         
                        Article 
                        17 
                              Patent  agents  shall  
                        handle  only  patent  commissioning services assigned by 
                        their patent agencies and shall not accept such services  on their 
                        own. 
                         
                        Article 18 
                             Patent agents shall 
                        handle patent commissioning services in two or more patent agencies 
                        simultaneously. 
                             Before quitting their jobs at 
                        patent agencies,  patent  agents  must appropriately 
                        conclude unsettled commissioned cases. 
                         
                        Article 
                        19 
                             In case bearers of "Patent Agent 
                        Qualification Certificate"  fail to engage in patent commissioning 
                        business or patent-related management for 5 years, their "Patent Agent 
                        Qualification Certificates" are automatically  rendered 
                        ineffective. 
                            
                        Article 20 
                             
                        Patent agents in the course  of  doing  their  
                        professional  work or  within 1 year of their  
                        quitting  their  profession  must  not  
                        apply  for  
                        patents. 
                         
                        Article 21 
                             
                        Patent agents lawfully handling patent commissions shall be protected by 
                        State laws and their work shall not be interfered with  by any unit 
                        or individual. 
                         
                        Article 22 
                             State organ 
                        staff are forbidden to work at patent agencies and engage in patent 
                        commissioning service in their spare-time. 
                         
                        Article 
                        23 
                             Patent agents have the responsibility to 
                        keep the inventions they get to know in the course of  their  
                        rendering  commission  services  unless relevant patent 
                        application have been made public.
                       Chapter 4 Punishment
                           
                        Article 24 
                             For 
                        one of the  following  offenses,  the governing  
                        authorities  or patent  administrations  of the provinces, 
                        autonomous regions or municipalities directly under the Central Government 
                        may serve a warning to the offending patent agency; in cases  
                        of  serious  offense,  CAP may punish it by ordering its 
                        close: 
                             (1) concealing facts in 
                        application; 
                             (2) changing major registration 
                        items by  itself; 
                             (3) accepting and 
                        handling patent commission services  unauthorizedly or beyond the 
                        approved business scope; and 
                             (4) other illegal 
                        activities. 
                           
                        Article 25 
                             For one 
                        of the following offenses on the part  of  patent  agents, 
                        relevant patent agencies may criticize the offenders if the cases are 
                        not  serious; in cases of serious offenses, patent agencies may 
                        discharge the offenders and revoke their "Patent Agent Work Permit";  
                        relevant patent administrations of the provinces,  autonomous 
                        regions  or  municipalities dire ctly under the Central 
                        Government may serve each offender a  warning or CAP may revoke hi s 
                        or her "Patent Agent Qualification 
                        Certificate": 
                             (1) failing to fulfill his or 
                        her duties to the detriment of the interests of the 
                        consignors; 
                             (2) disclosing or stealing 
                        inventions of the consignors; 
                             (3) going beyond 
                        the powers of commission and causing damages to the interests of the 
                        consignors; and 
                              (4)  charging  
                        through  accepting and  handling  patent  commission 
                        services without permission. 
                             If the 
                        commissaries' economic losses has been caused by the behaviors as stated 
                        in the  previous  paragraph,  relevant  patent  
                        agencies, after making economic compensations, may charge the patent agent 
                        in question according to a given proportion. 
                         
                        Article 
                        26 
                             If a patent agency ordered to close down as 
                        a punishment by CAP and a patent agent whose  "Patent  
                        Agent  Qualification  Certificate"  has  been revoked 
                        do not agree with the decisions of  punishment, they may appeal to 
                        CAP for re-examination; if they still fail to be satisfied  
                        with  the  CAP decision, they may bring the case to a people's 
                        court within  15  days  of the receipt of the CAP 
                        decision.
                       Chapter 5 Supplementary Articles
                        
                        Article 27 
                             The right to 
                        interpret  these  Regulations   hereof  
                        rests  with  CAP. 
                         
                        Article 28 
                             
                        These Regulations hereof become effective as of April  1,  
                        1991.  The Temporary Regulations  on  Patent  
                        Commissioning  endorsed  by  the  State Council on 
                        September 4, 1985 and promulgated by CAP on September 12 of the same year 
                        is simultaneously canceled. 
                         
                      
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