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ARTICLE · 03 APRIL 2019

The Intellectual Property Safe Harbour (1975 – 2019) R.I.P.

A typical example would be a franchise operation where the franchisor or its related companies have their own outlets.

AustraliaIntellectual Property

The legislation removing the intellectual property safe harbour from the Competition and Consumer Act 2010 was passed by Parliament and received the Royal Assent on 12 March, 2019. This means that there is now a period of 6 months within which businesses are expected to review their existing arrangements and make any refinements required to maintain the legality of those arrangements.

This review will need to be comprehensive because the removal of the safe harbour could render currently lawful arrangements unlawful and, in a worst case scenario, giving effect to them, criminal conduct. Arrangements involving competitors will be the most sensitive. Given that the Act prescribes that each related company of a party to an arrangement is deemed also to be a party and that a "competitor" includes anyone or their related companies who would be a competitor but for an arrangement between them, scenarios where a licensor continues to produce the licensed goods or provide

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