The duty of seller to indemnify buyer for third parties’ intellectual property rights

Document Type : Research Paper

Authors

1 Assistant Professor, Faculty of Law and Political Science, University of Tehran, Tehran, Iran

2 Master Student of Private Law, University of Tehran, Tehran, Iran

Abstract

Sale is the alienation of goods with all presumptive, objective and, legal rights related to them in a way that a buyer can have the goods in absolute legal possession. Any defects in seller’s ownership, such as the right of easement, usufruct or lien belong to the third party interferes with the absolute ownership of the buyer and his rights. A kind of these rights recognized and protected by law as a result of social changes, is the third party’s intellectual property rights undermining the buyer’s transaction property that may cause problem for his legal ownership and possession. Nevertheless, in some laws, particularly in Article 42 of the Vienna Convention for the international sale of goods, or by likening the claim of the third party’s intellectual property rights to his other probable rights, it has been tried to codify the same rules on this issue. However the specific nature of intellectual property rights has resulted in differences that made the transacting parties cover the defect of law by the contractual provisions of buyer’sindemnification as a result of third party’s claim on his intellectual property rights. In this essay, we use an analytical and comparative method to investigate the enforcement of third party’s probable claim on his intellectual property rights by inserting the provision of indemnification. Finally we will conclude that, considering the differences in the legal systems in respect of the intellectual property rights, inserting the detailed provisions hereof is necessary as an agreed mechanism in the international sale of goods.

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References

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Comparative Law Review
Volume 7, Issue 1
Spring & Summer
April 2016
Pages 253-269

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