NEW RULINGS ON THE RECORDAL FOR INTELLECTUAL PROPERTY LICENSE AGREEMENTS IN BRAZIL
By means of Ordinance No. 070 (the “Ordinance”), the Brazilian Patent and Trademark Office (“BPTO”) establishes modifications on the administrative procedure for the recordal of license and transfer agreements involving intellectual property rights as well as franchise agreements.
The Ordinance, that will enter into force on July 01, 2017, revokes Ordinances Nos. 16/2013 and 39/2015, and has as one of its main purposes liberalize bureaucratic requirements leaving aside considerations concerning fiscal, tax and exchange regulations.
However, care should be taken as regards such requirements, as eventual fiscalization by Tax authorities may raise questions concerning the compliance therewith, for instance restrictions on royalty payments and tax deductibility still in force.
