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PATENTS ACTIn forceChapter XXIII

Section 156 of the Patents Act, 1970

Patent to bind Government

About 6 min read Last reviewed 19 August 2026 Chapter XXIII — Miscellaneous
In one line

Section 156 makes a patent effective against the Government in the same way as against any other person, subject to the Act's own exceptions.

Official legal text

Official text — Section 156, the Patents Act, 1970 Official source ↗
Official wording not yet mirrored on this page.
The verbatim statutory text of this provision is reproduced from the official source and checked by our legal reviewer before it is published here. Until that check is complete for this page, read the exact wording directly from the official source linked below — it is the only version that governs.

The authority is the enacted text, not this page. Where our wording and the official provision, or an applicable Gazette notification, do not match, the official material prevails.

What this section says, in plain language

In many legal systems the State historically enjoyed immunity from claims that bound ordinary citizens. Section 156 removes any doubt on that score in patent law. It says that, subject to the other provisions of the Act, a patent has the same effect against the Government as it has against any person. A ministry, a public sector undertaking or a government department that makes or uses a patented invention without authority is, in principle, in the same position as a private company.

The words that carry all the weight are subject to the other provisions of this Act. Chapter XVII of the Act contains a substantial code for government use. Section 99 defines when an invention is used for the purposes of Government. Section 100 allows the Central Government, or any person authorised in writing by it, to use a patented invention for government purposes, including for services of the Government, on terms agreed with the patentee or, failing agreement, settled by the High Court. Section 101 protects the rights of third parties in that situation, Section 102 allows acquisition of an invention or a patent by the Central Government for a public purpose, and Section 103 sends disputes about government use to the High Court.

So the correct reading is not that the Government is free to use patents, nor that it is bound in every situation. The Government is bound, but the Act gives it lawful routes to use or acquire patented inventions, and those routes carry a duty to compensate. A patentee facing government use does not lose the value of the patent. What changes is the remedy: instead of an injunction against the State, the patentee is generally looking at remuneration on terms agreed or fixed by the High Court.

Section 47 pulls in the same direction from a different angle. Every patent is granted subject to the condition that the patented article or process may be imported or made by or on behalf of the Government for its own use, and that a patented process may be used by or on behalf of the Government for its own use. Section 157 adds that patent rights do not stop the Government dealing with articles forfeited under customs or excise law.

The practical consequence for suppliers is contractual. When you bid for a government tender using patented technology, or when you supply a public sector undertaking, work out early whether what you are doing falls within government use and who bears the risk. Indemnity clauses in tender documents often allocate patent risk in ways that surprise the supplier after the event.

Why this section matters

Who it affects

Patentees whose inventions are used by government departments or public sector undertakings, and suppliers bidding for public tenders with patented technology.

When it matters

Whenever a public authority makes, uses, imports or procures something that falls within the claims of a granted Indian patent.

What it creates

The principle that a patent binds the Government like any other person, subject to the government use and acquisition provisions of the Act.

If it is ignored

Patentees assume nothing can be done about government use and let it pass without compensation, or suppliers assume the government umbrella protects them when it does not.

How it works in practice

Worked example

A municipal tender and a granted patent

Amrita Water Systems Pvt Ltd of Kochi holds an Indian patent on a chlorination dosing controller. A municipal corporation floated a tender for water treatment upgrades and the winning bidder supplied controllers that fell squarely within Amrita's claims. Amrita's first instinct was that nothing could be done because a government body was involved. Section 156 says otherwise: a patent has the same effect against the Government as against anyone else. The position was still not simple, because the corporation and its contractor argued the supply was use for the purposes of Government under Chapter XVII, which would move the dispute from an ordinary infringement claim to a question of terms and remuneration to be agreed or settled by the High Court. Either way Amrita had something to negotiate with, and it opened discussions on terms rather than writing the loss off. The bidder, for its part, discovered that the tender's indemnity clause put patent risk on the supplier, not the corporation.

Simplified illustration only. Actual legal outcomes depend on the facts.

Key points to remember

  • A patent binds the Government in the same way it binds any other person.
  • That principle is expressly subject to the other provisions of the Act.
  • Chapter XVII, in Sections 99 to 103, sets out when and how the Government may use or acquire patented inventions.
  • Government use is generally compensated on agreed terms, or on terms settled by the High Court.
  • Section 47 makes every patent subject to conditions allowing use by or on behalf of the Government for its own purposes.
  • Suppliers in public tenders should check who carries patent risk under the contract.

Common mistakes and misunderstandings

  • Assuming the Government can use any patented invention for free. Use for government purposes generally carries an obligation to pay.
  • Assuming a patent cannot be enforced against a public sector undertaking at all. The starting position is that the patent binds it.
  • Ignoring the exceptions and expecting an injunction against the State in the same way as against a private competitor.
  • Signing a government tender with a broad patent indemnity without checking whether the intended supply falls within someone else's claims.

Connected provisions

This page explains a section of the Patents Act, 1970. The working detail that goes with it lives in the Patents Rules, 2003. The connected rules appear in their own block so that the statutory duty and the procedural steps stay clearly distinguishable when you cite either one.

Forms, deadlines and fees

Fees

We do not publish fee amounts. The First Schedule sets them, and they differ by category of applicant, such as a natural person, a startup, a small entity or another applicant, and by the mode of filing. Check the Schedule currently in force before you calculate anything. How Indian patent fees work.

Related judgments

Case summaries are published only after a qualified reviewer has checked the judgment, the citation and the way the holding is described. Nothing has cleared that review for this provision yet, so nothing is listed here. We would rather show no case note than one that misstates what a court decided. How case notes are prepared.

Questions people ask about Section 156

Can I enforce an Indian patent against a government department?

As a starting point yes, because Section 156 says a patent has the same effect against the Government as against any person. But the position is subject to the rest of the Act, and Chapter XVII allows the Central Government, or a person authorised by it in writing, to use a patented invention for the purposes of Government. Where that applies, the dispute usually shifts from stopping the use to fixing the terms and remuneration, agreed between the parties or settled by the High Court under Section 103.

Does the Government have to pay for using a patented invention?

Generally yes. Section 100 contemplates use for the purposes of Government on terms agreed with the patentee, either before or after the use, and where terms cannot be agreed the High Court settles them under Section 103. Section 102 deals separately with acquisition of an invention or patent by the Central Government for a public purpose, again with compensation. The patentee's protection is therefore financial rather than an ability to stop the State from acting.

What is Section 47 and how does it relate to this?

Section 47 attaches standing conditions to every patent granted in India. Among them, the patented article or process may be imported or made by or on behalf of the Government for its own use, and a patented process may be used by or on behalf of the Government for its own use. There are also conditions relating to use for experiment or research and, for medicines, importation by the Government for distribution in specified institutions. These conditions sit alongside Section 156 and limit what the patentee can complain about.

I am bidding for a government tender with patented technology. What should I check?

Check two directions. First, whether your product infringes anyone else's Indian patent, because being a supplier to a public authority does not automatically shelter you. Second, read the indemnity and intellectual property clauses in the tender, which frequently place patent risk squarely on the supplier and may also claim rights in anything developed under the contract. This is a matter for advice on your specific contract, but the time to raise it is before you bid, not after an infringement notice arrives.

Is a government body using your patented technology?

MYCrave Consultancy assesses government use, acquisition and tender indemnity issues so patentees and suppliers know where they stand.

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