Compulsory transfer of rights to use plant varieties: What documents do businesses need to prepare?

In some cases, the “monopoly” of exploiting plant varieties is no longer the sole right of the owner. The law allows state agencies to intervene and force the transfer of use rights – but only if the requesting party fully meets the prescribed conditions and documents.

According to the regulations of Intellectual Property Law 2005, the right to use plant varieties can be forcibly transferred without the owner’s consent in cases of public interest, urgent social needs or when there is an anti-competitive behavior (Article 195).

1. What does a mandatory transfer request include?

Theo Decree 79/2023/ND-CP (modified by Decree 33/2026/ND-CP), dossier requesting compulsory transfer of plant variety use rights includes the following main documents:

• Application for transfer according to the prescribed form;
• Report proving the financial capacity of the requesting party;
• Documents proving that the request for transfer has a legal basis (for example, no agreement has been reached, competition is restricted, etc.);
• Authorization document (if submitted through a representative).

2. The subject has the right to request

Not any entity can request a compulsory transfer. The law only allows:

• Organizations and individuals wishing to use plant varieties in cases permitted by law;
• Or the subjects cannot reach an agreement with the party in power but there is a reasonable basis.

3. Implementation order and procedures

Regarding the process, the requester submits the application to the competent authority (usually received by the Provincial People’s Committee). After receiving:

• Authorities check the completeness of records in a short time;
• Conduct appraisal and notify the party holding the right to use the plant variety;
• If the conditions are met, the competent authority will submit and issue a decision on compulsory transfer.

In special situations such as serving national defense, security or urgent needs (natural disasters, epidemics…), processing time can be shortened to meet practical requirements.

4. Practical perspective for businesses

The compulsory transfer mechanism shows that intellectual property rights are not an “absolute monopoly”, especially in the agricultural sector – a place associated with food security and community benefits.

For businesses, the risk lies not only in being forced to transfer rights, but also in… Failure to prepare complete documents when wanting to access or exploit protected plant varieties. Therefore, understanding the legal conditions, standardizing documents and proving the need for use are key factors to minimize risks and effectively utilize this mechanism.