A decision by the High Court of Australia earlier this month has dispelled assumptions by universities that they, as with private companies, automatically own the intellectual property rights to discoveries or inventions of their staff.

A full bench of the court rejected an application by the University of Western Australia for leave to appeal against a 2008 ruling by a Federal Court judge that it did not own the rights to medical technology devised by Bruce Gray, a former professor of surgery.

University Vice-chancellor Professor Alan Robson said that as a result of the outcomes of the case, universities faced having less money to fund research and be less able to provide the expensive infrastructure that researchers require to undertake their investigations.

"The university's course of action was a matter of principle that had important ramifications for the protection of intellectual property and the flow-on benefits of university-initiated research to the broader community," Robson said. "Expressions of concern about the potential ramifications of this case have been received from research institutions around the world."

He said the university was disappointed with the outcome of its legal action which had left the principles "ill-defined". A further consequence was that it might become more difficult for universities to obtain the proceeds of commercialisation of research done by their staff, money which universities normally directed towards further research.

"This could have extremely important ramifications for research, not only in universities but at other research organisations in Australia and around the world," Robson said.

In its action against Gray, the university claimed ownership and profits arising from the exploitation of patents and other intellectual property developed by Gray and others while he was an employee.

It had sought leave to appeal to the High Court following a decision of the Federal Court last year upholding a decision by a judge of the court in 2008.

But Gray told reporters the medical technology at the centre of the case had been invented before he went to UWA in 1985 and that a "single phone call could have prevented this farce". He called on Robson to resign over the case.

Australia's Minister for Innovation, Industry, Science and Research Senator Kim Carr said the case could have serious implications for public research agencies and universities. Carr said he would seek more advice once the court decision had been studied.

The Australian newspaper reported that the case had already cost UWA more than A$3million (US$2.7 million).

geoff.maslen@uw-news.com

Printable version
Email to a friend
Comment on this article

Disclaimer: All reader responses posted on this site are those of the reader ONLY and NOT those of University World News or Higher Education Web Publishing, their associated trademarks, websites and services. University World News or Higher Education Web Publishing does not necessarily endorse, support, sanction, encourage, verify or agree with any comments, opinions or statements or other content provided by readers.