A utility model is an exclusive right granted for an invention, which allows the rights holder to prevent others from commercially using the protected invention, without his authorization, for a limited period of time. In its basic definition, a utility model is similar to a patent, but has a shorter term (often six to ten years). In fact, utility models are sometimes referred to as „petty patents“ or „innovation patents.“
The main differences between utility models and patents are the following:
- The requirements for acquiring a utility model are less stringent than for patents. While the requirement of „novelty“ is always to be met, that of „inventive step“ or „non-obviousness“ may be much lower or absent altogether. In practice, protection for utility models is often sought for innovations of a rather incremental character which may not meet the patentability criteria.
- The term of protection for utility models is shorter than for patents and varies from country to country (usually between 7 and 10 years without the possibility of extension or renewal).
- In most countries where utility model protection is available, patent offices do not examine applications as to substance prior to registration. This means that the registration process is often significantly simpler and faster, taking, on average, six months.
- Utility models are much cheaper to obtain and to maintain
- In some countries, utility model protection can only be obtained for certain fields of technology and only for products but not for processes.