Iran enacts new IP law and fee increase

22 November 2024

Iran enacts new IP law and fee increase

Jehad Ali E Hasan | CEO @ JAH Intellectual Property, Doha

“The recent enactment of the new Iranian intellectual property law has a limited impact on the registration process and protection measures for trademarks, patents and industrial designs in Iran. These aspects as to regulation process have largely remained unchanged,” said Jehad Ali E Hasan, CEO at JAH Intellectual Property in Doha. “The most significant change brought about by the new law pertains to the official fees which have increased. However, it is important to note that foreign applicants were previously required to pay fees in euros, while now the new law mandates that official fees be paid in Iranian rials (local currency) and exclusively through online channels. While the official fees have increased substantially compared to previous rates, the overall cost for foreign applicants has generally decreased due to the shift from euro to local currency payments. Another significant change which should be noted is the expanded scope of protection to encompass utility models, trade secrets and certification marks, which previously were excluded from the purview of the earlier law. Moreover, the Iranian Intellectual Property Office (IIPO) may implement procedural adjustments in accordance with the new law, pending the approval of its executive by-law.”  

He added that the newly enacted Iranian IP law has implemented several fee adjustments. “However, for the majority of cases, the fees have remained relatively stable due to the shift from euro to rial for foreign applicants. Given the recent devaluation of the rial in relation to the euro, this change may indirectly impact the overall cost for foreign entities seeking IP protection in Iran. The three most significant fee changes observed are summarized in the table below: 

Service 

Official fees before 

Official fees after 

Filing trademark application for legal entities in one class 

400,000 rials 

10 million rials 

Registration fee for legal entities in one class 

2.4 rials 

30 million rials 

Appeal fee in one class 

750,000 rials 

25 million rials 

 

“Local applicants will be disproportionately affected by the increase, as they have been and will continue to pay in Iranian rials which has increased.” 

He said that when budgeting for IP-related services in Iran, companies should be acutely aware of the fluctuating nature of the Iranian rial. “This currency volatility can significantly impact the final cost, particularly for long-term projects. Additionally, while the shift to rial payments might reduce costs for foreign applicants, the increased official fees can still affect the overall budget. Strategic planning is crucial to prioritize filings based on business objectives and the impact of these increased fees. Engaging a local IP agent, such as JAH Intellectual Property, is essential to navigate the complex Iranian IP landscape. To effectively manage IP costs, companies should adopt a long-term perspective. Forecasting future needs and periodically reviewing the IP budget ensures adaptability to changing circumstances. Leveraging local expertise is invaluable. By carefully considering these factors and implementing effective strategies, companies can manage IP costs efficiently and safeguard their valuable intellectual property assets in Iran,” he said. 

- Excel V. Dyquiangco 


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