Order and procedures for applying for a technology transfer license

Technology transfer can be said to be the transfer of technology from the transferor to the transferee, so the transferee will have full rights to possess, use and dispose of it for other organizations and individuals. However, there are a number of technologies with restricted rights to transfer that are required by law to carry out procedures for applying for a technology transfer license.

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1. Technology transfer concept

Regarding technology transfer, it is regulated by the law on technology transfer. In which, regulations on the concept of technology transfer in Clause 7 Article 2 are clearly stated as follows: “Technology transfer refers to the transfer of the ownership or the right to use a given technology from the party that has the right to transfer such technology to the transferee.”

There are 3 forms of technology transfer:

– Technology transfer in the territory of the Socialist Republic of Vietnam

– Transfer of technology from the territory of the Socialist Republic of Vietnam across the border to foreign countries

– Transfer of technology from abroad across the border into the territory of the Socialist Republic of Vietnam.

2. Restricted technology transfer

Technology that is restricted from transfer is a technology that must be licensed for technology transfer in order to be transferred in accordance with law. Cases considered as technology restricted from transfer in Article 10 of the Law on Technology Transfer include:

  1. The transfer of the following technologies from foreign countries to Vietnam or domestically shall be restricted:
    • Technologies that are no longer popular in industrialized countries; accompany machinery/equipment of such technologies;
    • Technologies that use toxic chemicals or generate hazardous waste in conformity with the national technical standards and regulations;
    • Technologies that make products by adopting genetic engineering;
    • Technologies that use or create radioactive substances in conformity with the national technical standards and regulations;
    • Technologies that use resources or minerals the extraction of which is limited domestically;
    • Technologies that are employed to propagate, raise or cultivate new varieties which are not yet tested;
    • Technologies that are employed to create products adversely influencing on customs and habits, traditions and social ethnics.
  2. The transfer of the following technologies from Vietnam to foreign countries shall be restricted:
    • Technologies that are employed to create traditional products or perform production activities according to traditional know-how or use or create categories/ species of agricultural varieties, minerals or typical precious materials of Vietnam;
    • Technologies that are employed to create products to export to the markets in which there are products competitive with the main export products of Vietnam.”

3. Order and procedures for applying for a technology transfer license

Technology subject to restricted transfer will have to carry out procedures for licensing technology transfer, the application file includes:

  • Written request for technology transfer license
  • Documents of legal status of the transferor and transferee in the content of the contract
  • Original Vietnamese or certified copy, notarized translation of transfer contract
  • The list of documents on transferred technology is attached
  • A certified true copy of the intellectual property object protection title, if any
  • Standards and quality of products/services resulting from the application of that technology
  • Document explaining the conditions for using technology
  • In case the transferee uses state capital, there must be a written appraisal of the value

The obligor shall send 01 application for a technology transfer license to the Ministry of Science and Technology within 60 days from the date of signing the technology transfer contract.

Within 5 working days, the Ministry of Science and Technology will consider the application. If the application is not valid in terms of form, it will send a written request for amendment and supplement. Organizations and individuals that receive a written request to amend and supplement their dossiers have a time limit of 60 days to make amendments and supplements and an extension of 60 days. If the time limit expires but the Ministry of Science and Technology does not receive the required documents, it will proceed to refuse the license.

Upon receipt of a complete application, within 15 days from the date of submission, the Ministry of Science and Technology shall appraise and grant a license or refuse to transfer technology. In case there is a change in the content of the technology transfer license, the obligor must apply for a new license.

The above is the order and procedures for applying for a technology transfer license for technologies that are restricted from transfer as prescribed by law. In general, to apply for a technology transfer license, it will take time within 1 month to process the application.

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