one hundredth annual report of council and …...philip gehrig 6 5 andrew jones 7 5 jennifer j...

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The Institute of Patent and Trade Mark Attorneys of Australia

ONE HUNDREDTH ANNUAL REPORT

OF COUNCIL AND FINANCIAL STATEMENTS

For the year ended 31 December 2018

PRESIDENT’S REPORT .................................................................................................................... 3

ANNUAL REPORTS ......................................................................................................................... 6

1. INTRODUCTION ................................................................................................................ 6

2. OFFICE BEARERS ................................................................................................................ 6

3. COUNCIL MEETINGS .......................................................................................................... 7

4. APPOINTMENT OF COMMITTEES ...................................................................................... 7

ADMINISTRATIVE COMMITTEE REPORTS ...................................................................................... 9

5. ANNUAL CONFERENCE COMMITTEE ................................................................................. 9

6. COMMERCIALISATION COMMITTEE.................................................................................. 9

7. CONTINUING PROFESSIONAL EDUCATION COMMITTEE ................................................. 10

8. EDUCATION RELATIONS COMMITTEE ............................................................................. 10

9. ETHICS & DISPUTES COMMITTEE .................................................................................... 10

9. ETHICS & DISPUTES COMMITTEE CONT. ......................................................................... 11

9. ETHICS & DISPUTES COMMITTEE CONT. ........................................................................ 12

10. FINANCE & SECRETARIAT COMMITTEE (incorporating fees) ........................................... 12

10. FINANCE & SECRETARIAT COMMITTEE (incorporating fees) CONT. ................................ 13

11. IP AUSTRALIA BUSINESS RELATIONS COMMITTEE ........................................................... 13

12. MEMBERSHIP COMMITTEE ............................................................................................. 14

13. PUBLICATIONS & WEBSITE COMMITTEE ......................................................................... 24

14. PUBLIC RELATIONS COMMITTEE ..................................................................................... 24

15. RULES COMMITTEE ......................................................................................................... 26

16. FUTURE DIRECTIONS ....................................................................................................... 27

LEGISLATIVE COMMITTEE REPORTS ............................................................................................ 27

17. DESIGNS COMMITTEE ..................................................................................................... 27

18. INTERNATIONAL PATENTS COMMITTEE .......................................................................... 28

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19. N.Z. LEGISLATION & IPONZ BUSINESS RELATIONS COMMITTEE ...................................... 29

20. PATENTS LEGISLATION COMMITTEE ............................................................................... 29

21. PATENTS PRACTICE COMMITTEE..................................................................................... 30

22. PLANT BREEDER’S RIGHTS COMMITTEE .......................................................................... 31

23. TRADE MARKS COMMITTEE ............................................................................................ 31

24. DIRECTORS' REPORT ....................................................................................................... 33

25. AUDITOR’S INDEPENDENCE DECLARATION .................................................................... 37

26. STATEMENT OF SURPLUS OR DEFICIT AND OTHER COMPREHENSIVE INCOME ............ 38

27. STATEMENT OF FINANCIAL POSITION ............................................................................ 39

28. STATEMENTS OF CHANGES IN MEMBERS’ FUNDS AND CASH FLOWS ........................... 40

29. NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS ............................... 41

30. DIRECTORS' DECLARATION ............................................................................................. 47

31. INDEPENDENT AUDIT REPORT ........................................................................................ 48

The Institute of Patent and Trade Mark Attorneys of Australia Level 15, 1 Nicholson Street,

Melbourne Vic 3000 A.B.N. 78 004 194 263

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PRESIDENT’S REPORT

I have pleasure in presenting this 2018 IPTA Annual Report to all members. This has been my second and final year as President and, like 2017, this was a busy year with a wide range of activities. Productivity Commission IP Review – IPTA Response Once again, the Productivity Commission and its review of Australia’s IP system was an area of focus both for myself and for Council. Here, the Institute provided submissions on legislation designed to enact changes across the IP rights. The IP Laws Amendment Bill (Part 1) was presented for consultation as an Exposure Draft at the end of 2017. IPTA contributed to these consultations and a particularly pleasing development for many of us was the removal of provisions to abolish the Innovation Patent which I shall discuss further below. The resulting legislation met with widespread approval. On the IP Laws Amendment Bill (Part 2), IPTA continued to make submissions on the proposed Objects clause as well as the proposed Inventive Step test. While not successful in making headway on the Objects clause and Innovation Patent abolition, IPTA submissions had a favourable effect in simplifying the proposed approach on inventive step. This Bill is unlikely to be revisited by Parliament prior to the 2019 election and I believe that IPTA’s interventions had some impact on its progress. This is important because the proposed changes do not, in the view of Council and others, improve the Australian patent system. Submissions were also made on Trade Marks and Designs issues though these were generally less contentious, yet still requiring IPTA input. Manner of Manufacture IPTA continues to advocate for sensible and consistent application of the manner of manufacture test. IPTA resists the idea that manner of manufacture considerations should replace novelty and inventive step analysis returning the patent system to the archaic and arcane ‘subject matter’ analysis of the early 20th century. It is encouraging that IP Australia is looking to consult on where the lines for patentability should be drawn as it is essential that the test should be sensibly and consistently applied. To that end, IPTA has formed a Working Group on Manner of Manufacture under the leadership of Phil Gehrig and it has a number of very capable members very experienced in addressing such issues. It has been pleasing to engage with IP Australia on this important issue. IPTA also sought to intervene in the Encompass litigation and members of the Working Group engaged in the preparation of a written submission to the Full Federal Court. Innovation Patent IPTA worked extremely hard and effectively in countering the abolition of the Innovation Patent. Again, Grant Shoebridge, Michael Caine and Trevor Davies played important lobbying roles – together with the assistance of John Richardson – in promoting the Innovation Patent System though there was a lot of other activity as well. IPTA can claim at least some credit for removal of the abolition provisions from the IP Laws Amendment Act (Part 1). These lobbying efforts were supported, in no small part, by a number of businesses who see significant value in the Innovation Patent system. Thanks to all for their very significant efforts on this project.

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PRESIDENT’S REPORT CONT. A video supporting retention of the Innovation Patent system has also been produced and it is a great view. Please watch the video and support the campaign as far as you can. Code of Conduct The Code of Conduct that came into force in February 2018 is a balanced document which benefited from the inputs of Trevor Davies and others in addressing an increasingly complex IP landscape. IPTA’s Memorandum and Articles have also been reviewed for consistency with the Code of Conduct and further work will be done on this. Centenary Conference It was a pleasure for IPTA’s Council to convene the Centenary Conference in Melbourne in April 2018. This very successful conference blended our history and aims for the future with a first class and social educational program. There is benefit in revisiting the history of the profession so that mistakes of the past can be avoided whilst ensuring that themes relevant to the future are also explored as a foundation for the next 100 years and acted on. Therefore, celebrating a Centenary is not living in the past, it is part of planning for the future. Future Directions Our profession faces, together with many opportunities, a number of challenges and we must represent a range of very different members working in very different practices and in-house. Council of course reflects on IPTA’s role and how we remain of central relevance to our members. The Future Directions committee has been established to consider IPTA’s role and to progress initiatives in a variety of areas. It has been a pleasure to participate at most meetings of the Committee in which issues such as the following have been explored:

• Engagement with members across Australia • Involvement of new and recently registered Attorneys; and • Diversity and Inclusion

Sometimes frank but always valuable discussions have enabled potential initiatives to be explored and placed on the action list for the future. Thank you to those who participated in the 2018 Survey, inputs from which were discussed at the inaugural Strategy meeting of IPTA in February 2019. Please do contact Andrew Jones, Anna Johnston, Michael Caine, myself or other members of the Committee if you have suggestions to put to the Committee. IPTA also has a Suggestions/Feedback Box which allows your suggestions to be considered and acted on. Education Aside from engagement with IP Australia and other government bodies, IPTA’s other major focus remains o n providing CPE education for our members. To this end, our Continuing Professional Education Committee continues to host regular webinars for members on a range of topics and aims to provide a webinar every month. If any members have an overseas attorney visiting their offices who would like to present to a wider audience, they are encouraged to contact Council to see if a webinar can be arranged. It is also possible for Council to run webinars where the speaker presents from overseas, so overseas attorneys can present from their home countries. IPTA is actively working on relationships with CIPA and NZIPA to secure and supply further relevant educational material. An initiative with NZIPA has now commenced.

https://www.youtube.com/watch?v=GnI-AvV9tsU

https://ipta.org.au/ipta-members-suggestion-feedback/

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PRESIDENT’S REPORT CONT. International Engagement IP is an international discipline and IPTA was represented at a number of overseas sister organisation meetings including AIPLA, the Global IP Network, APAA, the NZIPA Annual Conference in Wellington and the 5th President meeting. The 5th President meeting was in 2018 hosted in Beijing by the All China Patent Attorneys Association and attended by Presidents or Senior representatives from JPAA, KPAA, CIPA, FICPI and AIPLA. At the meeting we again discussed potential impacts of the Fourth Industrial Revolution on IP as well as other national and international IP topics. The majority of those attending also formally visited the Supreme Peoples Court (to hear of the recently announced IP Tribunal) and a successful Chinese company providing display products and solutions including LCD panels, monitors and other equipment including photovoltaics. The 6th President meeting will be held in Sydney in December 2019.

Secretariat and Council

A significant development was Linda Tocchet’s departure in August 2018. Linda has made an enormous contribution to the Institute and IPTA Council applauded and recognised this by electing Linda to Distinguished Fellow in late 2018. Ms. Tracey Gold has been appointed to the Executive Secretary role and is ably supported by Katharine Meade and Christina Kerr at the always busy Secretariat. I thank them and Linda, as well as my fellow Councillors and those members who have provided valuable counsel to me on IPTA and our profession generally, for all their support, encouragement and assistance during the year. In summary, 2018 was a busy year and 2019 looks to be a year where valuable work will continue and a number of new initiatives will start. It has been a real honour to be President over the last two years and I look forward to continue to supporting Michael Caine’s presidency and contributing to Council into the future.

Richard Baddeley President

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ANNUAL REPORTS

1. INTRODUCTION

Council has pleasure in presenting to Members their Annual Report for the year ended 31 December 2018, being the One Hundredth Annual Report since the formation of the Institute, together with the related Financial Statements identified on the introductory page.

2. OFFICE BEARERS

1 Jan – 19 April 19 April – 31 Dec

PRESIDENT R H Baddeley R H Baddeley

VICE PRESIDENTS M J Caine T J Davies

M J Caine T J Davies

COUNCILLORS J S Borham J S Borham

C A Emmanuel C A Emmanuel

T J Davies T J Davies

W Hird W Hird

A R Jones A R Jones

J S Landells J S Landells

G I Shoebridge G I Shoebridge

J J McEwan J J McEwan

G. Gurr P Gehrig

D J Tadgell D J Tadgell

IMMEDIATE PAST PRESIDENT

J M Dobbin J M Dobbin

EXECUTIVE SECRETARY L M Tocchet L M Tocchet (until 31/8/18) T Gold (from 24/9/18)

BOOKKEEPER (part-time) K Meade K Meade (until 31/8/18)

ASSISTANT EXECUTIVE SECRETARY (part-time)

K Meade (from 01/9/18)

MARKETING & ADMIN ASSISTANT (part-time)

C L Kerr CL Kerr

AUDITOR S Bradby S Bradby

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3. COUNCIL MEETINGS

During the 2018 calendar year there were seven Council Meetings. Seven meetings were held via video conference in Melbourne and Sydney. Council Attendance 2018

Convenors Number Eligible to

Attend Number Attended

Richard H Baddeley 7 7

Janelle S Borham 7 5

Michael J Caine 7 6

Trevor J Davies 7 5

Jeremy M Dobbin 7 7

Christine A Emmanuel 7 4

Will Hird 7 6

John Landells 7 5

Philip Gehrig 6 5

Andrew Jones 7 5

Jennifer J McEwan 7 5

Anna Johnston 7 6

Grant I Shoebridge 7 6

David J Tadgell 7 6

4. APPOINTMENT OF COMMITTEES

The 2017/18 Council appointed the following Committees, with co-opted members identified by an asterisk.

ADMINISTRATIVE COMMITTEES

Committee Convenor(s) - 2018 Committee Members

Annual Conference Committee

Mr Richard Baddeley John Landells Jennifer McEwan Michael Caine

Prue Cowin*

Anna Johnston

Claire Gregg*

Commercialisation Committee

Ms Christine Emmanuel Michael Angliss*

Jason Coonan*

Rick Aarons* Mark Horsburgh*

Continuing Professional Education Committee

Co-Convenors:

Ms Janelle Borham, Dr John Landells and Dr Andrew Jones

Richard Baddeley

Jeremy Dobbin Damian Slizys*

Jennifer McEwan

Education Relations Committee

Ms Christine Emmanuel Ian Horak*

Karen Sinclair* David Tadgell Virginia Beniac-Brooks*

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Ethics & Disputes Committee Dr Trevor Davies John Landells

Finance & Secretarial Committee (incorporating Fees)

Mr David Tadgell Richard Baddeley Jeremy Dobbin

IP Australia Business Relations Committee

Mr Philip Gehrig Damian Slizys*

Christine Emmanuel Richard Baddeley

Paul Davis* Geordie Oldfield * David Webber*

Membership Committee Dr Anna Johnston Jennifer McEwan Malcolm Bell*

Plant Breeder’s Rights Committee

Dr Trevor Davies Tony Shaw* David Tadgell

Public Relations Committee Dr Grant Shoebridge Jessica Chadbourne

Trevor Davies

Publications & Website Committee

Dr Andrew Jones Richard Baddeley Michael Caine

Rules Committee Dr Trevor Davies Jennifer McEwan

Damian Slizys*

Future Directions Committee Dr Andrew Jones Richard Baddeley

Anna Johnston Grant Shoebridge

Prue Cowin*

Chris Cao*

Andy Mukherji* Claire Gregg*

LEGISLATIVE COMMITTEES

Committee Convenor(s) - 2018 Committee Members

Designs Committee Ms Jennifer McEwan Jeremy Dobbin Caroline Bommer

Robert Cross* Ray Hind*

International Patents Committee

Mr Will Hird Michael Caine

John Landells Damian Slizys David Tadgell

New Zealand Legislation & IPONZ Business Relations Committee

Dr John Landells Michael Caine

Marcus Caulfield*

Gareth Dixon* Nicholas Holmes*

Patents Legislation Committee

Mr Michael Caine Janelle Borham

Trevor Davies Greg Gurr Richard Baddeley John Landells

Kathryn Morris* David Tadgell Claire Gregg*

Patents Practice Committee Mr Philip Gehrig Janelle Borham

Graham Cowin*

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Michael Caine

Richard Baddeley Stephen Friend*

Plant Breeder’s Rights Dr Trevor Davies David Tadgell Tony Shaw*

Trade Marks Committee (Australia & International)

Ms Jennifer McEwan Anne Makrigiorgos Mark Williams* Michael Wolnizer*

ADMINISTRATIVE COMMITTEE REPORTS

5. ANNUAL CONFERENCE COMMITTEE Convenor: Mr Richard Baddeley

The 2018 Annual Conference, the Centenary Conference, was held at The Langham in Melbourne from 18-21 April 2018. The Conference, as always, proved to be a great success with a full programme of educational opportunities arising from the varied business sessions. A range of international speakers attended and we were delighted to welcome Dr. Francis Gurry of WIPO for a special keynote address. Ms. Patricia Kelly also provided a valuable perspective from IP Australia.

There were a number of other highlights to the Conference including an Exhibition of Memorabilia illustrating the history of the profession. A wonderful gala dinner at NGV was capped by the generous gift of a Victorian Patent Deed from CIPA whose President, Stephen Jones was able to attend. Ms. Penny Catley also attended as President of NZIPA.

The conference ended with a tour of the Yarra Valley. Many thanks to all concerned for making the 2018 Centenary conference such a special event.

6. COMMERCIALISATION COMMITTEE Convenor: Ms Christine Emmanuel

Information and resources around commercialisation and technology transfer are available on the IPTA website. Contributions are also made to the regular IPTA webinar sessions.

The Corporate members breakfast is a regular highlight of the IPTA conference, with topics of specific interest to corporate members. In 2018 the Corporate breakfast included a round table discussion of managing a significant case such as WLAN - CSIRO. The main conference event also included an in depth story of WLAN by in-house IP Executive, Christine Emmanuel. An update from Australia's IP Counsellor in China, David Bennett was also included.

Opportunities for educating the membership on commercial outcomes/drivers of their professional work are explored.

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7. CONTINUING PROFESSIONAL EDUCATION COMMITTEE Convenors: Ms Janelle Borham, Dr John Landells & Dr Andrew Jones

This committee of IPTA is responsible for providing education sessions to assist attorneys to meet their CPE obligations for maintaining registration as a patent and/or trade marks attorney. In the 2018 calendar year the CPE committee organised and presented 11 webinars on topics relevant to patent and trade marks attorneys, and contributed to the Francis Gurry Lecture which was also made available to members and the general public through a live on-line broadcast. IPTA webinars are offered free of charge to members, and are recorded and held in the members section of the IPTA website for later viewing. Members are encouraged to pass details of any associates visiting from overseas to the CPE committee, to enable education events to all IPTA members to be organized around visiting overseas attorneys.

The committee thanks all speakers who made themselves available to present webinars to members in 2018. Speakers in 2018 included Andrew Christie, Sue Gatford, Warwick Rothnie, Donal O’Connell, John Cotterill, Meena Wahi, Bob Kramer, Andrew Sykes, Peter Karcher, Ben Fitzpatrick; Ben Roxborough, Rachelle Downie, Tim Bianchi and Craig Smith.

8. EDUCATION RELATIONS COMMITTEE Convenor: Ms Christine Emmanuel

IP Australia Attorney Placement Program Two staff members were placed in selected attorney firms throughout the year. The cooperation of attorney firms in this Program is appreciated. Institute Prize The Institute Prize is one of IPTA's most prestigious and well-regarded awards with a long and distinguished history. It has always been awarded to a candidate who has shown excellence in the academic subjects leading to qualification as a patent attorney and who has shown that they have the potential to contribute substantially to the profession. In order to qualify for the Prize - candidates must be registered Australian patent attorneys who were registered in the period between 1 July 2017 and 30 June 2018. The Institute Prize was awarded in 2018 to Michael Dow from Madderns Patent & Trade Mark Attorneys.

9. ETHICS & DISPUTES COMMITTEE Convenor: Dr Trevor Davies

The Code of Conduct for Trans-Tasman Patent and Trade Mark Attorneys 2018, and associated Guidelines, has been in force since 23 February 2018. Patent and Trade Marks Attorneys must be familiar with the Code of Conduct and comply with the provisions at all times. There are obligations that require an attorney to only act where the attorney has appropriate competency and to carry out work with due skill and care. Attorneys must provide written information and cost estimates to prospective, new and existing clients. A registered attorney is a fiduciary in respect to the attorney's dealings with a client, and owes a duty of loyalty to a client on a matter. If attorneys ensure that at all times they act in the best interest of their clients, then attorneys should comply with the professional obligations set out in the Code of Conduct.

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9. ETHICS & DISPUTES COMMITTEE CONT. The Code of Conduct includes new provisions to further protect the interests of clients and the public. Clients must be informed in writing whether a registered attorney is an incorporated company and, if it is, whether the company is public or private. Where the registered attorney is a member of an ownership group, that fact and the identity of the other members must be provided in writing to all clients. It is also compulsory for members of an ownership group to clearly disclose the relationship between the member firms to the public.

A member of IPTA is expected to act within the spirit as well as the letter of the various matters set out in the IPTA Code of Ethics. Furthermore, By-Law 1 states that no member shall behave in a manner contrary to that defined in the Code of Ethics and any such contrary behavior shall be deemed to be conduct unworthy of a member of IPTA.

The Ethics & Disputes Committee continues to field enquiries and complaints from clients of IPTA attorneys as well as from practitioners within the umbrella of IPTA. Members of the public who make the effort to either complain or request information from the IPTA Secretariat appreciate receiving a prompt reply. This Committee endeavours to provide a high level of service and usually a telephone discussion with a complainant is sufficient to satisfactorily address any issues.

A telephone call from a Committee member to the attorney may also be required to assist in addressing a complaint. If the complainant wishes to proceed further, then a formal written complaint is requested. A copy of the written complaint is then forwarded to the attorney with a request for a prompt written reply to be provided to the complainant. Any delays by the attorney in replying frustrate the complainant and serve only to place the profession in a bad light.

The complainant is also informed on the role of the Professional Standards Board for Patent and Trade Marks Attorneys and the Code of Conduct. The Committee is very cognisant of the potential consequences associated with complaints that go to the Professional Standards Board. This Committee, with its less formal and flexible procedures, sets out to defuse issues so that a mutually satisfactory outcome can be reached. Attorneys are asked to consider this objective when responding to a call from a Committee member or a request for response to a written complaint.

IPTA is not a contact point for complainants regarding the Code of Conduct so any complaint about the conduct of an attorney under the Code of Conduct must be made to the Professional Standards Board. IPTA Council, however, continues to work with the Professional Standards Board and this Committee plays an important role in educating members and dealing with minor complaints and issues clients may have with members.

Members should note that an adverse finding by the Patent and Trade Marks Attorneys Disciplinary Tribunal against a member obliges Council to consider appropriate action under the Memorandum and Articles of Association and Bi-Laws of IPTA. The Committee also welcomes calls from members to discuss issues on ethics or potential conflicts that may arise in carrying out their professional duties. Any members having difficulties in managing their practice due to illness or other issues are invited to contact the Committee for assistance or guidance.

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9. ETHICS & DISPUTES COMMITTEE CONT. Although the Committee still receives calls from disgruntled clients of members, over the past year the complaints have been addressed without requiring a written complaint against a member. The number of calls from disgruntled clients has remained low which may well be a direct result of members taking action to improve communication with their clients, especially regarding the steps involved in protecting intellectual property rights and the associated costs and time frames.

The Committee has received less complaints this year regarding the failure of members to promptly transfer files or provide a current IP status when clients have moved their work to another attorney firm. As a reminder to members, the IPTA Code of Ethics Guideline 12 states:

Where a member is instructed by a client to take over the handling of a case from another member, the member shall ensure, unless his or her instructions are to the contrary, that the other member is made aware of the first mentioned instructions. The other member is obliged without delay to loan or transfer all documents necessary for the handling of the case or provide copies thereof at reasonable expense, but such obligation shall not override any lien the other member may have over such files.

The Committee also notes that Section 25 'Client property' of the Code of Conduct sets out obligations to attorneys regarding providing material to clients and former clients.

10. FINANCE & SECRETARIAT COMMITTEE (incorporating fees) Convenor: Mr David Tadgell

The operations of the Secretariat of the Institute (IPTA) include the following key tasks:

• administration of IPTA on a daily basis;

• support to IPTA’s educational webinars;

• running annual conference;

• administration of CPE functions;

• management of Institute funds

The administration of IPTA is an ever expanding task with significant diligent and time consuming work. Not only does it involve the day to day administration of the Institute and providing assistance to members when required, the areas of work also include accounts, audit, budget, insurance and various forms of compliance.

It has been a significant year for the Secretariat following the retirement of Linda Tocchet in May of 2018 following more than 20 years leading the IPTA Secretariat. Linda was awarded the honour of becoming a Distinguished Fellow following her retirement.

The retirement of Linda led to the search for a replacement Executive Secretary and we were very pleased to announce that Tracey Gold would fill that vacancy. Tracey commenced that position in September 2018.

Katherine Mead assumed the role of Assistant Executive Secretary and together with Chris Kerr, has been working with increased hours to ensure a smooth transition for Tracey into the new position.

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10. FINANCE & SECRETARIAT COMMITTEE (incorporating fees) CONT. Whereas the transition has been relatively smooth, highlighted by Tracey implementing a few new marketing strategies and our first strategic planning day, it became somewhat complicated when Tracey announced her pregnancy. This was indeed very good news but did necessitate some reorganisation. Tracey will begin maternity leave around June of this year and Katherine will step up into the position of Executive Secretary during that period. Both Kathryn and Chris are confident that they can cover the role although they will be assisted by a new part-time Book Keeper to take over the role currently handled by Katherine.

It has been a busy time for the Secretariat this year with some role changes and I have no doubt that all will continue to progress smoothly in the hands of Katherine and Chris while Tracey is on maternity leave. As convenor, I have been highly appreciative of the role played by Katherine and Chris during the period of significant change within the Secretariat and I have no doubt it will continue to run smoothly while Tracey is absent. I would also like to thank Tracey for her work and initiating a few new projects in the period she has been with us, and there is a lot to look forward to when we see those projects continue upon her return later in the year.

Submissions The Finance Committee provided support to the submissions made by IPTA and in particular preparation and finalisation of the audit documents, which was completed in March of this year.

11. IP AUSTRALIA BUSINESS RELATIONS COMMITTEE Convenor: Mr Phillip Gehrig

The IP Australia Business Relations Committee acts as a liaison with IP Australia for matters

relating to the ways in which IPTA members interact and do business with IP Australia.

The Committee liaises with IP Australia primarily in relation to business and administrative

systems and processes. The Committee provides feedback to IP Australia so as to assist

in ensuring that its business processes and systems enable the provision of effective and

efficient services to IPTA members. Any members who have concerns regarding efficient

communication with IP Australia, or IP Australia’s databases and procedures, should bring

those concerns to this Committee, as a conduit for bringing those concerns to the attention

of the relevant personnel at IP Australia.

Some specific matters that the Committee has been involved in over the last year include:

• Liaising with IP Australia on the known problem of IP Australia’s document processing

system stripping characters from PDF documents lodged via B2B and e-Services. A

solution was put in place in July 2017 and the problem of lost characters appears to

have been resolved. However, there had also been at least one case more recently

of characters / words in PDF documents being distorted (‘stretched’) leading to issues

with legibility. This issue was pursued with IP Australia and IP Australia advised that

removal of its file conversion service was implemented on 4 July 2018, such that all

documents received via eServices are filed as originals in the Patent Administration

Management System (PAMS). Thus, these issues appear to have been fully resolved.

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• Liaising with IP Australia on the conversion and degradation of PCT drawings filed as

PDF documents via eServices, leading to formalities objections despite the drawings

as filed being of high quality. IP Australia noted that conversion of grey-scale images

to black & white images (pursuant to WIPO rules) was leading to the degradation of

image quality. IP Australia confirmed that the conversion was not ‘automatic’ and that

PDFs as filed now remain on file as original documents. IP Australia is working with

WIPO’s PCT Technical Cooperation Section to resolve this conversion problem.

• Liaising with IP Australia regarding a technology upgrade to its trade marks system

from Friday, 9 November, to Tuesday, 13 November 2018. The technology upgrade

caused small disturbances in the operation of the trade marks system, most notably

to the ‘Objective Connect’ link but those issues were identified and rectified promptly.

(See Notice to Members of 22 November 2018).

12. MEMBERSHIP COMMITTEE Convenor: Dr Anna Johnston

NEW MEMBERS ELECTED DURING 2018

Barbero, Sheila Ordinary 8 February Leaw, Bryan Ordinary 8 February Spicer, Heidi Ordinary 8 February Sneary, Adrian Ordinary 8 February Cleary, Benjamin Student 8 February Thompson, Toby Student 8 February Hayes, Benjamin Ordinary 29 March Jaques, Alan Ordinary 29 March Boolu, Gabriel Student 1 June Gallaher, Joseph Student 1 June Boateng, Asare Student 25 July Liang, Tian Student 25 July Beck, Daniel Ordinary 25 July Dunlop, Alexander Ordinary 25 July Sheehan, Catherine Ordinary 25 July Rimmer, Geraldine Ordinary 21 September Voss, Jarrod Ordinary 21 September Pahwa, Komal Student 26 October Li, Janette Ordinary 26 October Xue, Lulu Ordinary 26 October Nicholson, Kim Fellow 26 October Plunkett, Jacqueline Student 12 December Sinth, Jegaskanda Student 12 December Ward, Faran Student 12 December Fixler, David Ordinary 12 December O’Connor, Susan Ordinary 12 December Pepper, Adam Ordinary 12 December Smith, Grainne Ordinary 12 December Tsang, Althea Ordinary 12 December

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MEMBERS ELEVATED DURING 2018

Hind, Raymond Fellow Emeritus 8 February Smith, Carel Fellow 8 February Balis, Andrew Ordinary 8 February Dow, Michael Ordinary 8 February Mueller-Wiesner Ordinary 8 February Kavadias, Helen Fellow 29 March McFadzean, Helen Fellow 29 March O’Kane, Heather Fellow 29 March Yap, Januar Fellow 29 March Kelly, Madeleine Ordinary 29 March Huynh, Tam Fellow 1 June Miles, Lee Fellow 1 June Lin, Tony Ordinary 1 June Mukherji, Aniruddh Fellow Emeritus 25 July Norris, Anthony Fellow 25 July Jafari, Ingrid Ordinary 25 July Winbanks, Catherine Ordinary 25 July Bentley, Gwendoline Fellow 21 September Glasson, Sarah Fellow 21 September Orth, Philipp Fellow 21 September Quinn, Edward Ordinary 21 September Gledhill, Stephen Fellow 26 October Lee, Shu-Yen Fellow 26 October Zeng, Zhi Ling Fellow 26 October Tan, Jing Fellow 12 December McCowan, Alister Ordinary 12 December Schinella, Elyse Ordinary 12 December

12. MEMBERSHIP COMMITTEE CONT.

RESIGNATIONS DURING 2018

Shaw, Joanne 8 February McNamara, Dean 29 March Ware, Simon 29 March Wellington, Bruce 29 March O’Connor, Martin 1 June Sullivan, Barbara 1 June White, Rebecca 1 June Boston, Julienne 25 July Biernacki, George 25 July Curnick, Ryan 25 July Hegedus, Paul 25 July Hill, Gail 25 July Hollingsworth, Laura 25 July Lightowlers, Amelia 25 July Massang, Jaime 25 July Rackette, Karl 25 July Ryder, Jeffrey 25 July Boyd, Ben 21 September Henning, Roger 21 September Law, Adam 21 September McCamley, Kristy 21 September Egerton, Mark 26 October

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TERMINATIONS DURING 2018 Bestic, Lachlan 21 September Boag, Joanne 21 September Goodfellow, David 21 September Irani, Shahnaz 21 September Pernat, Michael 21 September Power, Kieren 21 September Qi, Zhang 21 September Stevens, Trevor 21 September Spencer, Barry 21 September Tsai, Louis 21 September Van Rensburg, Gideon 21 September Wadsworth, Daniel 21 September Wu, Zhongpu 21 September

ROLL OF MEMBERS AS AT 31 DECEMBER 2018

The Membership Roll as at 31 December 2018, comprised of 481 Fellows, 6 Distinguished Fellows, 15 Emeritus Fellows, 347 Ordinary Members, 45 Students and 8 Overseas Members giving a total of 902 Members.

FELLOW S (481)

Aarons R J S Abel J H Adams J G Adamthwaite D A Ahearn T G Alder A P Allen L K Anderson S J Anderson E W Anderson-Taylor M Andrews J C Angliss M L Angus D Argaet V P Asquith J Atichian C J Baddeley R H Barke H R Barlow V P Barrett E S Bartlett G J Bates M C Baxter C J Beadle D A Bebber J Bell M N Belyea C I Beniac-Brooks V A

Bennett W G Bentley K Berggren S D Berman C H Bird C J Blattman A N Blows J L Boehm P A Bogdanov V Bolton K W Bommer C M Borg K J Borham J S Borovec S V Bowman B N L Boyer S J Bramante M Brass J Brown P Brown R A Browne S S Buck M A Bucknell D G Burns P A Burns D Butler A G Caine M J Calabrese R

Cale A D Caporn P M Carter C K Caska A J Caulfield M J Chambers G M Chan G Y N Chan A Chandler W G Cher C V Cherry J W Chia R S F Chiang-Cruise R I L Chilco P J Chin Quan E M Christie A L Chrysiliou K A Chrysiliou A C Chrysiliou L C Cicchitelli L Clark D G Clark R J Clarke T P Clarkson R M Connor B G Coombs J T Coonan J R

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Cooper M Couper S J Cowle A J Cox G B Crooks A H Cross R N Crump D J Cumming H J Curwen J C B Dabboussy R H Dalton M A Dark A D Davey S Davidson G R Davies T J Davies R J Davis P J

Davis A J de Bruyn P J Dela Paz F Denley A Di Giantomasso D F Dibbens J A Dixon G M Dobbin J M Dower J Dowsing B J Dredge T J Drew D C Drew I A Dummer P C Eadie E Earley M G Egerton M L

Elliott C Emmanuel C A Emmett L L Engel M D English M S Evans R L Evans A J Farbey P S Ferraloro A Ferrante A J Finn M R Fisher G W Fitzpatrick B Fitzpatrick B J Fizulic I



FELLOW S (481) (cont)

Flattery-O'Brien J Flinn J P Fong P V Ford M S Fox D P Franke P N Friedgut M Friend S R Galbraith F Gardiner S J Gardner J R G Gehrig P W Genocchio E I Gibbs J C Gibson D V Glasson S Gledhill S Gleghorn C A Golja L J B Goodhew C T Gourley R D Govenlock L J Graf E R Grant R Green J R Green P A Gretton P Griffin S L Griziotis G Gumley T P Gupta N Gurr G J

Halliday R G Hamilton K R Hantos S M Harkins J M Harrap C D Harris C J Harrison P G Harrison K M Hawkins B L Heard R M Heathcote P R Heathcote M Hedges M M Heilbronn Lee K R Hendry G S Hendy B M Hendy T J Henshaw D Hess QC B J Higinbotham G M Hird W Hirsz C S Hogan J P Holliday N J Holman J W Holmes N J Hooke R E J Horsburgh M A Horton D Houlihan E E Hudson-Gofers A M Hughes E J L

Hughes D J Hunter N H Hunter A J Huntsman P H Hussey D B Hutchison J E Huynh T Hyland A L Innes K M Ireland N K Irvine S Jahn S Jayaswal S U Johnston A Jones P W Jones A L Jones A R Joseph S J Juhasz C G Kakuda D K Kavadias H K Kelson R C Kennaugh L M Kensett-Smith B Keogh J M Khajeh Tabari M Kilborn P A Kildea P F King J H Klinkradt S

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Koch M Krouzecky S G Lakatos N Landells J S Lee A W Lee A A Lee D P Lee S Leeuwangh M P Lesicar D Letters T J Leviton K M Lewis J S Lloyd W S Logan Keeffe D H K Loi T

Lokan N R Lolis T V Longmuir D F S Lord K E Lowe A R Lucas M A Lunn B A Luxton A Macauley C D Macken P J Mackie J A Mahony P J Makrigiorgos A H Mansfield G M Marinos A Martin M A E

Martin J C M Martorana A Massey P D Massie A B Matsuda M Maxwell P F P Maxwell J V Maxwell N J McCann J F McCarthy D J McCausland S M McCormack J D McCrackan R

12. MEMBERSHIP COMMITTEE CONT. ROLL OF MEMBERS AS AT 31 DECEMBER 2018


McCutcheon E J McEwan J J McFadzean H McFarlane W G McFarlane R N McInnes K J McKeveney D McKinley D A McManamny P McMaster W McMillan A M McNamara K McStea J A Meka H Melville T A Merlino C Merritt D D Meyer J A Mickan S P Miles D H Miles L Miller L N Mitchell J C Mizzi A P Monger C Monks W T Montgomery R L Morcom N B Morgan D C Morris K B Morton A J Moulee A Mountford N G

Mukherji A Mullane L M Munt G R Murdoch N Murray C J Murray N W Mutimer H P Myers D K Negler J P Newman B S Newton J Nicholson K M Nock G W Noonan G J Norris A J North T Nugent B J Nutt B M Oberin C J Obranovich T D O'Brien M E O'Brien S T O'Donnell M T O'Donnell M J Odorico N M Oitmaa L M O'Kane H Old F P Oldfield G H Olsen A H O'Mahoney J M O'Mally M Onishi J Y

Orth P O'Sullivan M P Owens C Pannall M Papamichalakis F Parish T J Park S Park J J Parker N J Patterson E C Peachey B J Peh M C Perkins D M Perrin D Petering J E Philp S C M Pickering W J Piper J W Pippard L D Pluck P D Plummer R W Port M R Pryor G C Pullen M A T Rajkovic I A Ramchand N N Rantzen H J Recchia G D Redfern J B Reynolds S P

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Richards A J Richardson M R Rickard D J Rinder T M B Roberts M K Robinson K J Rolls C L Rose I S Rosenthal D Rourke I J Ryan P D Samargis J G Sanders R L Schieber J A C Schlicht C D

Schulze H K Seisdedos J P Selleck A M Shand T M Shanks D H Sharp S D Shaw A L Shoebridge G I Silberstein R A Silins G U Simonetta G Sinclair K J Slater W A Slattery J M Slizys D A

Smeeton A R Smit C C Smith P R Smith S M Smith A J Smith M A Smith F Smoorenburg R C T Spark K A

12. MEMBERSHIP COMMITTEE CONT. ROLL OF MEMBERS AS AT 31 DECEMBER 2018


Squires M P Staley T J Stamatiou N S Stark A J Starkie S J Stead J E Stevenson R A Stines A P Stonier G M Stramandinoli R Strandberg Lutzow Y C Sunn K Syn R J Tadgell D J Tan J F Tannahill J R Tansey C W Taylor L V Telfer A E Tettman R L J Thompson P M Thoo L W Y Tout S Tozer R D Treloar P J

Trento L D Trioli A M Tse V C Tucker G P Tulloch D L Turner G M Turonek M L Tyndall S Tzanidis A van Ballekom M van Leeuwen J Vilè S M Vinall C L Wadeson B J Walker S A Walker E M Wallace R J Walsh J R Wan J Y Ward M J F Warden-Hutton P D Warner J A Waters R J Watson D C Webb T L

Webber D B Weisman S Whenman P C Whitehead G J Whitmore S A Wickham M Wilkinson C R Williams M J Williams M A Williams K R Wilson L Wolnizer M Wood-Roe R L M Wright J P Wulff R P Wulff S E Wyk P J Wynne E C Wynne C Yap J Yin Foo D D Yip C York S J Zammit M D Zeng Z

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DISTINGUISHED FELLOWS (6)

Carmichael G D Leslie K Cowin G L Ryan D J Fitzpatrick D B Ward A J F

EMERITUS FELLOWS (15)

Bentley G R Callinan K W Carter D C Corbett T G Duncan A D

Ernst I T Griffith D C Harwood E J Hind R S Munday B M

O'Sullivan C J B Potter G W Ryder J A Santer V B Walton R



ORDINARY MEMBERS (347)

Abram A Z Addicott C J Adkins G J Al-Anbuky A Aliberti P Anast M Anderson R Appleby E J Atkins G R Badenhop R F Baker K M Balakrishnan L J Balis A M Bandick S L Barbero S Barry G D Bartels A Baskovich T P Beck D A S Behan A P Berger T M Berger D Betschart M Blythe M C Boe R W Bogunovic D Bolderston D Brittain F Brown A J Bruce E M Burnett W Burnton C M

Buso D Butera N P Buzacott G V Cable J R Campbell S R Cao C Cara-Carson F A Chadbourne J J Chadwick R J Chan M S Chelebian J Cheong K T B Christie A F Christie M D Chung J Y Clarke A J Clulow J C Cooper M A A Cordiner T D Cowin P A Cox S L Cram J R Crawford J Crooks K Cui C Dahiya A Davey A Davis S J De Jersey J de Lima L De Menezes R D M Deane L

Dick K J Dickson A B Dimitriadis C Dittko K A Don Paul M G Dow M J S Drinnan N B Dryza M Dudina T Duggan S B Dunlop A Dutkowski R Egan C Ensor D R Evans K Evans M P Evenden R B Fati S Ferguson G M Fischer J Fitzgerald T L Fixler D Flego A D Ford H Foreman S E Foster D L Fung S H Y Gale J Gapes S J Gatford S K Gee O Geldenhuys R

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Gelman D M Gigney E Gledhill J Godfrey E K Goldberg B Golding J C Gomme P Gregg C Gregory A M Grice D Griffiths T Grocholsky A K Guerin L G Guillou M Gun L T

Gurney S Hamilton E F Hammon M J Hannebery J A Harrison-Smith M Hartland C L Hartmann A Hartmann B Hayes B Heerey E J C Hegarty E Hennebry S C Herbert S Herman D A J Hille P

Hodge D Holloway S Holopikian G Hong J J E Horak I P Horn C O Howard B Hrvoj C Huber M Humphris C K S Hvasanov D Hwang J P Jacobs R J Jafari I M Jamison R A



ORDINARY MEMBERS (347) (cont)

Jaques A Jogia M K Joiner D C Jones J C Jordan C F Jukkola K Kaggwa G B Karabardak A Kark D N Keed T Keep P L C Keirs S Kelly M Khaidurova B Khodeir R Khotkar A King-Scott J D Klupacs R J Kneebone S Koch L O Kong W K T Kortian K Kwok J S H Lakatosh I Lambourne D Lay M L Lee J D Lee W J Lee A Lee A J Lee M S Leones R Leong K S

Leong J C M Leung M Levy G P Lewis B Li J Lichtblau J A Lightowlers G Lim A S Y Lim J L Lin T C Y Lindsay D I Loch D C Lockhart A S Lord M B Lowe C F Lyons M A Magarey J F A Mail M I Mallon E J Manakis J Mancini L A Mann A M Mannion R Mansell C Marshall Teoh N Mason C V McCaffery C McComb E L McCowan A F McHenry J Z McKenzie G D McLeod N J McManis S F

McMaster R A M Megaloconomos M A Meredith D H Meskin B I Mills J A Milne N P Mok J T Moller J Mongey K Moore M J B Moore K L Mott B R Muller-Wiesner D Munro R M Munroe M Mytton K Neilson L Newland A M Newton A Nguyen F Nicoletti E O'Callaghan T J Ochsenbein S A O'Connor S G Oh D W Overett M J Padbury M L Paras K K Parker L A Parker S R Pece-Barbara N Pepper A Pereira N E

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Perrier J Platt S E Poole S Porter C P Potter J L Potter S J Potter G I Prabaharan H Priddle C Quinn E Raabe C Ralph C E Ramasundara K Reader A J Reid E F Repacholi M

Rimmer G Ritchie K B Robinson J N Rock K E Roper M Rowland S A Ruhrmann A E Ryan M M Ryan S Ryan C M Ryder M A Schaft D Schinella E Schmidt M Schnapp J M Schutte N

Scott A J Searle A A Seeto D Sergi C Sgourakis C Shan J W Sheehan C A Sieveking D Simpson K M Simpson J M Sinclair N J Skelly G J Skewes M G



ORDINARY MEMBERS (347) (cont)

Smith A B Smith C Smith M T A Smith G Sneary A B Snoep R J Solanthi K M Solomon R Sonneman S A Spicer J L Spicer H Stern S Stevenson D E Stonier K Sweetman J P Sykes A N Symonds J M Tan I J H Taylor D B Tendulkar G A Teoh M H S

Terry A G Tham S Thompson D Tipson K A Treloar N Trethewey F Tsang A S Tso S S Y Tso D Tuffery D E Uren T Uyttenhove J H D Van der Waal S A van Embden E Van Meurs B van Ruiten K H van Wensveen C Vindurampulle C Voss J Waldon S M W Walker J H

Warburton C A Warburton M C Ward J Watal A Webster N F Wentzel S West M L White S J Whitehead S E Whittaker J Wilcox E M Wilson M L Wilson D Win L Winbanks C Wong M Wyndham-Wheeler J Xue L Yamamoto H Young J Y

19

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STUDENT MEMBERS (45)

Angus D M Bayliss D Berriman G Boateng A K Boukarroum R Burnely J Catto M Chan K Y Y Cleary B L Cottee G L Erce M A Fish G Fluhr K Gabriel B A Gallaher J K

Goldys A M Grobbler CA Groves C Holavanahalli B Jegaskanda S Johnstone K D Leaw B T W Liang T Lovegrove T Low M R Manhire-Heath R Mezzapica B J Morton A J Ng P S K Pagani M

Pahwa K Sheehan T P Slater A M Stewart M B Tachas G Thompson T Vink S Ward F Wassouf P B White R Widnersson I Winbanks C Wong L S M Wong W Wu Y W C

OVERSEAS MEMBERS (8)

Chissel A D Delaney S K Eftimov M Hwang E M McCabe P T Rackette K Robba E St Vayanos G

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13. PUBLICATIONS & WEBSITE COMMITTEE Convenor: Dr Andrew Jones

The committee endeavours to provide regular ‘IPTA Bulletins’ to members, in order to inform them of matters which Council considers to be of importance. At least five Bulletins were issued in 2018, with topics including the innovation patent’s surprise reprieve, IPTA seeking to intervene in the appeal proceedings of Encompass Corporation Pty Ltd & Anor v Info Track Pty Ltd, amendments to the Trade Marks Act and concerns about the ‘Best method’ requirement for divisional patent applications. Given that one of the criticisms the IPTA Council often faces is that members don’t really know what we do, we also endeavour to include a summary of Council’s activities in Bulletins. IPTA continues to have a modest presence on LinkedIn, and it is hoped that this will become another way for IPTA to interact with and keep members appraised of issues relevant to them.

14. PUBLIC RELATIONS COMMITTEE Convenor: Dr Grant Shoebridge

Overview During 2018 and early 2019, the major focus of the Public Relations (PR) Committee continued to be its political engagement (lobbying) strategy, primarily in relation to the Government’s proposal to abolish the innovation patent system. The PR Committee was also involved in the preparation of submissions in relation to the Intellectual Property Laws Amendment Bill (Productivity Commission Response Part 2 and Other Measures) Bill 2018, which includes provisions to introduce an objects clause into the Patent Act and change the threshold for determining inventive step. IPTA opposed both proposed measures. Positive result from IPTA’s Political Engagement (Lobbying) Strategy IPTA’s lobbying efforts of 2017 and early 2018, included:

• co-ordinating the preparation of letters to the Government from many Australian businesses in support of the innovation patent; and

• organising meetings of politicians from the Government, opposition and cross-bench senators and business owners.

John Richardson from Richardson Coutts continued to assist IPTA with engagement of relevant members of Parliament and associated policy advisors. IPTA’s position in its lobbying strategy to retain the Innovation Patent System is based on its position that it should be retained in a revised form that includes:

1. raising the level of innovative step to a level above the current innovative step level, but below the inventive step level that applies to standard patents;

2. making examination mandatory so that a request for examination must be made within three years of the filing of the innovation patent application; and

3. that the term ‘patent’ is only used for innovation patents that have been examined and certified.

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It was clear from the feedback we received from the politicians that the relevant Bill, the Intellectual Property Laws Amendment (Productivity Commission Response Part 1 and Other Measures) Bill 2018, when introduced to parliament, would be considered controversial and require further consultation or debate. It was therefore pleasing that when the Bill was introduced into Parliament on 28 March 2018, the section dealing with the abolition of the innovation patent was not included. This represented a significant positive result, which we believe, at least in part, came about from IPTA’s lobbying strategy. Continued Lobbying to save the Innovation Patent System Notwithstanding the Government’s decision to remove the Innovation Patent provisions from Part 1 of the IP amendment legislation, the Government remains determined to abolish the Innovation Patent System by introducing the relevant provisions into Part 2 of the Intellectual Property Laws Amendment Bill, which also includes provisions to introduce an objects clause into the Patent Act and change the threshold for determining inventive step. Accordingly, the Public relations Committee continued to co-ordinate the preparation of letters in support of the Innovation Patent System from Australian businesses and submit them to the Government. Save the Innovation Patent Video In 2018, the PR Committee produced and released a short video featuring three Australia business owners, and their views on the importance of retaining the innovation patent system and the detrimental effect on their businesses should it be abolished. The business featured in the video included:

• Gavin Rundle Managing Director of the Hartman Group;

• Ruth Kendle owner of Natural Haven Therapies; and

• Daniel Dedomineco CEO of CTA Australia. The video also identifies 16 Australian businesses that have made written submissions to the Government in support of the Innovation Patent System. The video was posted onto You Tube and a link to the video was distributed to all IPTA members. The video will also feature in an article, written by Grant Shoebridge, that details the importance of the innovation patent system to Australian SMEs and the ramifications should it be abolished, to be published in the Australian Manufacturing Technology magazine, which provides information, education and support to the manufacturing technology industry and is distributed to over 7000 people nationally. The video has also been forwarded to the office of Kim Carr, the Shadow Minister for Innovation, Industry, Science and Research. Currently, the number of views recorded for the video is 576. IPTA is also currently liaising with our PR company, Callidus Group, with a view to having the issues associated with abolition of the innovation patent reported in the media. This effort has somewhat been hindered by numerous significant political issues with which the media are presently engaged, including upcoming state and federal elections. At the time of writing, the PR Committee received advice from John Richardson that there is “zero chance” that Part 2 of the IP Amendments Bill will pass before the election in May 2019, so it is doubtful that the Bill will be introduced before the election.

https://www.youtube.com/watch?v=GnI-AvV9tsU&t=9s

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New Zealand Advancement Patent In early April 2018, New Zealand National MP, Dr Parmjeet Parmar, introduced a private members’ Bill directed to a second-tier patent system: the ‘advancement patent’, similar to Australia’s innovation patent system. Ms Parmar, made it clear that “the Patents (Advancement Patents) Amendment Bill will introduce a more accessible and cost-effective second-tier patent system that will protect novel creations that don’t qualify for the standard patent”. She went on to say that a second-tier patent system will “provide forward-thinking people with the opportunity to commercialise their creation whilst continuing the vital research and development component of our economy”. The Public Relations Committee discussed how best to support the introduction of the Advancement Patent with the President of the New Zealand Institute of Patent Attorneys, Penny Catley as well as Dr Parmjeet Parmar. The Public Relation Committee contacted Gavin Rundle from Hartman Group and, with our assistance, he prepared a letter in support of the introduction Advancement Patent, which detailed the significant problems he faced in New Zealand because his ladder invention did not meet the threshold for standard patent protection and there was no option to file a second-tier patent. Ultimately, the Advancement Patent Bill was not supported by the Government, their reason being that Fisher and Paykel Healthcare didn’t want them to support it. In her reply speech to the New Zealand Parliament Dr Palmer acknowledged the support she had received from IPTA and the Public Relations Committee. Advertising The Committee reviewed IPTA’s advertising, which is now exclusively published in Inside Small Business magazine. The aim of this advertising is to raise the level of awareness in the business community of IP generally, and more particularly of the crucial role played by professional patent and trade mark attorneys in securing effective and enforceable IP rights, as a crucial foundation stone underpinning successful innovation and commercialisation. It was decided that this advertising would be continued through 2019. A Note of Thanks I would like to acknowledge the valuable contribution from IPTA Council Vice President, Michael Caine in connection with our political engagement strategy and Government lobbying initiatives.

15. RULES COMMITTEE Convenor: Dr Trevor Davies

The Rules Committee primarily handles general queries from members concerning the rules

of the Institute and whether particular business structures, business practices and the like,

are in keeping with the rules of the Institute.

The Rules Committee has responded to members’ queries over the year covering a variety of rules and business topics, including rules relating to incorporation and public listing. The Rules Committee also considers applications by members for use of the IPTA logo on their correspondence and websites. The Rules Committee also liaises with IP Australia from time to time to inform them of any misleading websites and/or potential breaches of Sections 201 to 203 of the Patents Act 1990.

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The Code of Conduct for Trans-Tasman Patent and Trade Mark Attorneys 2018, and associated Guidelines, has been into force for a year, the Rules Committee has reviewed the IPTA Code of Ethics and Guidelines and has proposed changes to ensure that the expected conduct for members is consistent with the professional obligations under the Code of Conduct. During a review of the IPTA Memorandum and Articles of Association, it became clear to the Committee that a number of changes need to be made. First, the Rules should be changed to remove the part time equivalent requirement to become a Fellow. Secondly, Emeritus Fellow membership should be expanded to include trade marks attorneys who have been Fellows for at least 10 years. Thirdly, the hurdle for students, registered attorneys and overseas attorneys to be elected as a Student Member, an Ordinary Member or an Overseas Member, respectively, should be lowered by reducing the number of Fellows required to support applications to those classes of membership. To become a Fellow of the Institute will still require the support of three Fellows. To become an Ordinary Member or an Overseas Member will require the support of two Fellows. To become a Student Member will require the support of one Fellow. Transfer to any class of membership will require the support of the required number of Fellows for that class of membership. Four motions to make these changes have been put to Fellows for vote before a Special Meeting of Fellows at the 2019 Annual IPTA Conference in April.

16. FUTURE DIRECTIONS Convenor: Dr Andrew Jones

The Future Directions Committee commissioned a survey of IPTA members in September

2018. The results of this survey should help to inform where IPTA should be directing its

efforts in order to maintain its relevance to members’ practices as patent and trade mark

attorneys.

Unfortunately, due to IT issues, many people did not receive the survey and only about

20% of members completed the survey.

Preliminary observations from the survey are that the majority of respondents are happy

with what IPTA offers them, although many ways that we could improve our offerings were

noted. The webinars are, in particular, very highly regarded (although the majority of

respondents only attended 2-4 webinars). A surprisingly low number of young members

did not respond to the survey, which is worrying because we need to engage this

demographic so that they will continue to get involved.

The Committee will consider the results of the survey in 2019 and prioritise actions.

LEGISLATIVE COMMITTEE REPORTS

17. DESIGNS COMMITTEE Convenor: Ms Jennifer McEwan

The Committee continues to liaise with the Designs Office of IP Australia in relation to the administrative systems and processes implemented by the Designs Office. The Committee provides feedback to the Designs Office so as to assist in ensuring that its systems enable the provision of effective and efficient services to IPTA members.

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This is primarily achieved through attendance at the Trade Marks and Designs Consultation Group meetings which in 2018 took place on 17 April 2018 in Melbourne and 25 October 2018 in Sydney. At the meetings last year, IPTA was represented by Jennifer McEwan and Jeremy Dobbin. Although, the focus of those meetings was primarily on t rade mark matters, rather than registered designs, the Committee raised concerns in relation to the quality of images captured on the online Designs Register as well as delays experienced by some members in the issuing of decisions by the Designs Office.

The Committee is expecting a new draft Designs Bill to be released later on this year for public consultation.

18. INTERNATIONAL PATENTS COMMITTEE Convenor: Mr Will Hird

The International Patents Committee monitors the international developments relevant to the Australian patent profession. As part of this process, the Committee makes submissions on behalf of IPTA to various international bodies where appropriate. Over the past year the International Patents Committee has continued to monitor the activity of WIPO and its review of the PCT system through outcomes of its regular meetings including the PCT working group and the Standing Committee on the Law of Patents. In the past year, the Group B+ has also continued their focus on patent law harmonization. Group B+ is a group of members from more than 40 patent offices or government departments with responsibility for IP. The Group B+ Sub-Group which consists of representatives from Australia, Canada, Denmark, Germany, Hungary, Japan, South Korea, Spain, the UK, the USA and the EPO met in Geneva on the 26th September 2018 to discuss next steps for the work on substantive patent law harmonisation. They held a joint session with the Industry Trilateral to discuss further work. The basis for the discussions at the meeting were submissions by the Industry Trilateral on the topics of grace period, conflicting applications, prior user rights, and prior art. Significant progress was made and agreement was reached on both the definition of prior art and the norms governing conflicting applications (with the exception of the treatment of PCT applications). In April 2018 IPTA was provided with a consultation paper on The Hague Conference Draft Convention on the Recognition and Enforcement of Foreign Judgments and was invited by the Attorney Generals Department to provide comments on the draft convention and particularly on the issue of whether intellectual property matters should be included in the convention. The International Patents Committee provided a submission which was largely in support of the inclusion of judgements involving IP matters provided a foreign decision cannot seek to decide a matter of Australian law, and other safeguard provisions currently proposed in the text of the draft convention were included. Australia and Hong Kong announced the conclusion of negotiations on the Australia-Hong Kong Free Trade Agreement (FTA) on 15 November 2018. After signature, Australia will follow the domestic treaty making processes to ratify the agreement. The final text of the agreement did not include any significant provisions on Intellectual Property. In February of this year IPTA was invited by the Attorney General’s department to provide submissions on an unofficial translation of China’s Patent Law Draft Amendments. After reviewing the proposed amendments, the Committee provided a submission on the proposed pharmaceutical extension of term provisions.

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Other matters the Committee are monitoring include Intellectual Property issues arising during the current negotiations to develop free trade agreements with the European Union and the RCEP (Regional Comprehensive Economic Partnership).

19. N.Z. LEGISLATION & IPONZ BUSINESS RELATIONS COMMITTEE Convenor: Dr John Landells

The NZ Legislation and IPONZ Business Relations Committee acts as a liaison between the IPTA membership and IPONZ for matters relating to legislation and practice issues, and the manner in which IPTA’s members do business with IPONZ. The Committee includes John Landells, Michael Caine, Nick Holmes, Marcus Caulfield, and Gareth Dixon. The Committee liaises with IPONZ primarily in relation to proposed legislation changes, current practice issues, and business and administrative systems and processes. The Committee provides feedback to IPONZ to assist in ensuring its business processes and systems enable the provision of effective and efficient services to IPTA members. IPONZ also allows the Committee to participate in Technical Focus Group discussions, which comprises a group including IPONZ representatives and a range of practitioners from various practice areas in each of a ‘hearings’ and ‘prosecution’ area. Any members who have concerns with IPONZ practice and procedure should bring those concerns to this Committee, as a conduit for bringing those concerns to the attention of the relevant personnel at IPONZ. The Committee has continued liaising with IPONZ in relation to problems associated with new Act stricter examination requirements and divisional applications. New Act divisional applications issues include double patenting, 5 year REX deadline, and self-collision (poisonous priority). Some success has been achieved with recent amendments to the Patent Regulations 2014 that included changes to microorganism filing requirements being extended to the 12-month acceptance deadline, and double patenting requirements for divisional applications being clarified as an examination issue and not an ‘at filing’ requirement. An Intellectual Property Laws Amendment Bill is proposed for public consolation by mid-2019 and proposed commencement in 2020. We will continue to bring to the attention of IPONZ issues relevant to Australian based practitioners on behalf of our IPTA members.

20. PATENTS LEGISLATION COMMITTEE Convenor: Mr Michael Caine

During 2018 the Patents Legislation Committee made several written submissions to IP Australia in connection with draft legislation and consultation papers. These submissions are available on the IPTA website. The Committee also attended several meetings with IP Australia, in particular meetings of the Patents Consultation Group (PCG) and the IP Stakeholders Forum, and made representations at those meetings in relation to issues of importance to IPTA members. The Committee made further submissions to IP Australia in relation to improving the clarity of the PCT translation requirements. These proposals were taken into consideration by IP Australia and the exposure draft of the IP Laws Amendment Regulations 2018 Part 2 included new regulations clarifying the translation requirements.

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The Committee made submissions in response to the exposure draft of the IP Laws Amendment (Productivity Commission Response Part 2 and Other Measures) Bill 2018 and the corresponding regulations. The submissions objected to the introduction of an objects clause into the Patent Act 1990, particularly one that includes the word, ‘technological’ to qualify innovation, and to amendments proposed to change the test for inventive step. The submissions also objected to provisions that would phase out the innovation patent system. Pleasingly the provisions for amending the inventive step test were removed from the Bill. In relation to the innovation patent system, the Committee worked with the Public Relations Committee to lobby IP Australia and the Government to reconsider its decision to repeal the innovation patent system. This lobbying involved visits to Parliament House accompanied by innovators who used the innovation patent system, and who supported retention of the innovation patent system in a modified form. During 2018 the Committee continued its efforts to convince IP Australia that Australian registered patent and trade mark attorneys (and their New Zealand counterparts) should be given an exclusive right to represent foreign applicants before IP Australia. In addition to making submissions to this effect, the Committee continued during the year to provide IP Australia with evidence of circumstances where foreign applicants have provided false addresses for service, or have utilised services of individuals who are not registered as patent or trade mark attorneys in Australia or New Zealand. The Committee noted the problems caused by the best method requirement, which is now peculiar to Australia and New Zealand as a ground of revocation.

21. PATENTS PRACTICE COMMITTEE Convenor: Mr Philip Gehrig

The Patent Practice Committee is responsible for liaising with IP Australia in relation to the

practice of the Australian Patent Office, particularly in relation to how it affects users of the

patent system, including IPTA members and their clients. The Committee liaises with IP

Australia on a formal basis by attending regular Patent Consultation Group (PCG) meetings,

but also on an ‘ad hoc’ basis as specific needs arise. The Committee also liaises with IPTA

members and various other stakeholders on patent practice related matters.

Some specific matters that the Committee has been involved in over the last year include:

• Attending regular PCG meetings with IP Australia.

• Providing feedback to IP Australia on patent examination quality issues.

• Establishing and directing a Working Group on Manner of Manufacture to consider a range of problems experienced by IPTA members in the examination of computer-implemented inventions and to formulate submissions to IP Australia with the aim of reforming IP Australia’s examination practice in this area. Presenting the submissions of the Working Group to IP Australia via the PCG meeting in November 2018.

• Applying to intervene in the appeal proceedings before the Full Federal Court in the matter of Encompass Corporation Pty Ltd & Anor v InfoTrack Pty Ltd in response to intervention by the Commissioner of Patents. (See Notices to Members of 24 October and 13 November 2018).

• Making submissions to IP Australia on the increasing incidence of failures to examine all matters specified in s. 45 at the 1st Report stage, particularly for applications with manner of manufacture objections and all other matters inappropriately ‘reserved’. (See Notice to Members of 4 December 2018).

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• Preparing, at the request of IP Australia during the PCG meeting in November 2018, a proposal for revisions to the Examiner’s Manual of Practice and Procedure where it pertains to computer-implemented inventions.

22. PLANT BREEDER’S RIGHTS COMMITTEE Convenor: Dr Trevor Davies

IPTA continues to be represented on the Plant Breeder’s Rights Consultation Group, managed by IP Australia. Members of PBRCG represent the following:

• Australian Centre for Intellectual Property in Agriculture

• Australian Cultivar Registration Authority

• Australian Seed Federation

• CSIRO

• Department of Agriculture and Water Resources Horticulture Innovation Australia

• Institute of Patent and Trade Mark Attorneys of Australia

• IP Australia

• Law Council of Australia

• National Farmers’ Federation

• Nursery and Garden Industry Australia

• Qualified Persons (two)

IPTA members will be informed of any developments relating to the protection of plant breeder's rights.

23. TRADE MARKS COMMITTEE Convenor: Ms Jennifer McEwan

A submission on the issue of bad faith trade mark applications in the Asian region was made to Trade and Policy Projects, IP Australia during the year, after consultation with members. Without exception, all responses received from member attorneys from small to large firms indicated that the issue of bad faith applications continues to be a sizable problem for Australian businesses in the Asian region. Although China is the main country of concern, similar issues have arisen in other Asian countries such as Indonesia and Vietnam, to a lesser extent. Industry wise, while the issue appears to be widespread across different industries, it does appear to be amplified in the wine and fashion industries. IPTA is continuing to be represented by Jennifer McEwan and Michael Wolnizer at IP Australia’s Trade Marks and Designs Consultation Group (TMDCG) meetings which last year was on 17 April and 25 October 2018. The issue of unqualified persons offering and providing trade mark services in Australia continues to be of major concern to the Trade Marks Committee as well as the absence of an exclusive right in our current trade mark legislation for attorneys and legal practitioners to practice in the area of trade marks. The Committee is continuing to push for legislative change as a result of these issues. As a result of strong support, a dedicated afternoon of trade mark sessions has continued to be included in the business program at this year’s Annual Conference on the Gold Coast. We are also pleased to report that both IP Australia and IPONZ have kindly agreed to be part of a panel trade mark session this year. We do thank IP Australia and IPONZ for their involvement which is greatly appreciated.

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The Institute of Patent and Trade Mark Attorneys of Australia ABN 78 004 194 263

Financial Statements

For the Year Ended 31 December 2018


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24. DIRECTORS' REPORT 31 December 2018

Your directors present their report on The Institute of Patent and Trade Mark Attorneys of Australia for the financial year ended 31 December

2018.

1. Information on Directors

The names of directors in office during the year and to the date of this report are:

Name Qualifications and Experience Responsibilities

Richard H Baddeley B.E. (Hons) (Chem), LLB President

Registered TTIPAB Patent Attorney Company Secretary

Registered TTIPAB Trade Marks Attorney Convenor of Annual Conference Committee

Council member since 2000

Janelle S Borham B.Sc. (Hons) (Chemistry) Co-Convenor of Continuing Professional Education Committee

Registered TTIPAB Patent Attorney

Registered TTIPAB Trade Marks Attorney


Michael J Caine B.Sc. (Hons) Vice President

Registered TTIPAB Patent Attorney Convenor of Patents Legislation Committee



Trevor J Davies Bachelor of Science (Honours) Vice President

Doctor of Philosophy

Graduate Diploma of Industrial Property Convenor of Ethics and Disputes Committee, Plant Breeder's Rights Committee


Registered TTIPAB Trade Marks Attorney Convenor of Rules Committee


Jeremy M Dobbin MA (Oxon) President

Registered TTIPAB Patent Attorney Convenor of Designs Committee and Conference Committee (to 27/4/17)


Registered Patent Agent - United Kingdom Immediate Past President

European Patent Attorney

Council member since 2000 Ex-officio member of Council

Christine A Emmanuel B.Sc. (Hons Chem) Certificate in Intellectual Property Law (University of London)

Convenor of Education Relations Committee and Commercialisation Committee




Philip Gehrig Bachelor of Engineering (Mech) (Hons) – University of Melbourne

Convenor of IP Australia Business Relations Committee

Australian and New Zealand Patent Attorney

Australian Trade Mark Attorney

German Patent Attorney (Patentanwalt)

European Patent Attorney



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Name Qualifications and Experience Responsibilities

William Hird Bachelor of Engineering (Chemical)(Hons) Convenor of Patents International Committee

Masters of Legal Studies

Bachelor of Laws


Andrew Jones (appointed 27/4/17)

Doctor of Philosophy (Chemistry) BSC (Hons I) Convenor of Website & Publications Committee, Co-Convenor of CPE Committee and Future Directions Committee

Masters of Industrial Property

IPTA Diploma of Intellectual Property Practice




Anna Johnston Bachelor Chemical Engineering Convenor of Membership Committee and Co-Convenor of Future Directions Committee

Master Biotech

PhD Biochemistry

Master Intellectual Property

Australian and New Zealand Patent Attorney


John Landells Bachelor of Science (Honours, Chemistry) Co-Convenor of Continuing Professional Education Committee and Convenor of New Zealand Legislation and IPONZ Business Relations Committee

Doctor of Philosophy (Chemistry)

Bachelor of Laws

Registered Legal Practitioner - Australia and New Zealand



Jennifer J McEwan Bachelor Science (Honours), Bachelor of Laws Convenor of Trade Marks Committee

Registered TTIPAB Patent Attorney Convenor of Designs Committee



Grant I Shoebridge Doctor of Philosophy (Immunology) Convenor of Public Relations Committee

Master of Industrial Property

Bachelor of Science (Molecular and Cell Biology) (Honours)



David J Tadgell Bachelor of Science (Chemistry) Convenor of International Patents Committee (to 27/4/17)


Registered TTIPAB Trade Marks Attorney Convenor of Finance & Secretariat Committee (incorporating fees from 27/4/17)



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24. DIRECTORS' REPORT CONT.

31 December 2018

During the financial year, 7 meetings of Directors were held. Attendances by each Director were as follows:

Number Eligible to Attend Number Attended

Richard H Baddeley 7 7

Janelle S Borham 7 5

Michael J Caine 7 6

Trevor J Davies 7 5

Jeremy M Dobbin 7 7

Christine A Emmanuel 7 4

William Hird 5 6

Andrew R Jones 5 5

John Landells 7 5

Jennifer J McEwan 7 5

Grant I Shoebridge 7 6

David J Tadgell 7 6

Anna Johnston 7 6

Philip Gehrig 7 5

2. Principal Activities and Objectives

The principal activities of the company in the course of the financial year were as a representative body of the profession of Patent and

Trade Mark Attorneys in Australia. There was no significant change in the nature of the company’s activities during the financial year.

Short term objectives

The entity’s short term objectives are to:

· advocate improvements in patent, trademark, design and copyright laws and regulations;

· represent members' views and interests to business and government; and

· encourage member communication and dissemination of professional knowledge.

Long term objectives

The entity’s long term objectives are to:

· provide a framework of by-laws and a code of ethics for the professional conduct of members;

· promote and provide opportunities for continuing professional training and education of members;

· promote and maintain high standards of professional conduct amongst members;

· promote the activities and status of the profession to business, government and the general public; and

· be a focus for identifying the impact of international intellectual property developments on Australian trade agreements, IP

laws and practice, and interests.

Strategies

The stated objectives are achieved by an elected Council having a series of Committees responsible for undertaking activities consistent with

the objectives and reporting outcomes to the members.

3. Operating Results, Review of Operations, State of Affairs, and Developments

The company's deficit for the financial year ended 31 December 2018 was -$73,063 (31 December 2017 : $35,111). Revenue from rendering

services and from other sources increased by approximately 3.3% over 2017 levels, while total expenditure increased by approximately 20.3%.

Changes in the State of Affairs

Other than as disclosed above or elsewhere in this report or the accompanying financial statements of the company, there were no

significant changes in the state of affairs or operations of the company that occurred during the financial year under review.

Likely Developments and Expected Results of Operations

The company will continue to carry on the principal activities disclosed within this report. There are no imminent plans that are anticipated

to significantly impact the results of the company’s operations.

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24. DIRECTORS' REPORT CONT. 31 December 2018 4. Matters Subsequent to the Balance Date

No matters or circumstances have arisen since the end of the financial year which significantly affected or may significantly affect the

operations of the company, the results of those operations or the state of affairs of the company in future financial years.

5. Other Matters

Directors’ Benefits

Since the end of the previous financial year, no director of the company has received or become entitled to receive a benefit by reason of a

contract made by the company or a related corporation with any director or with a firm of which any director is a member or with a company

in which any director has a substantial financial interest, other than as disclosed within Note 13 to the financial statements.

Indemnifying Officer or Auditor

During the year, the company has paid insurance premiums in order to indemnify the directors of the company against liabilities that may

arise from their position as officers of the company.

Auditor’s Independence

A copy of the auditor’s independence declaration as required under section 307C of the Corporations Act 2001 is set out on the following

page.

Capital Structure

The Institute of Patent and Trade Mark Attorneys of Australia is a company limited by guarantee, incorporated and domiciled in Australia. In

accordance with the guarantee, if the company is wound up, the Constitution states that each member is required to contribute a maximum

of $2 each towards meeting any outstanding obligations of the company. At 31 December 2018 the number of members was 902 (2017: 890).

At that date the collective liability of members was $ nil (2017: $nil).

Signed in accordance with a resolution of the Board of Directors:

Director: .. Director: .

R H Baddeley D J Tadgell

Melbourne, 19 March 2019


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25. AUDITOR’S INDEPENDENCE DECLARATION


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26. STATEMENT OF SURPLUS OR DEFICIT AND OTHER COMPREHENSIVE INCOME For the year ended 31 December 2018

Note 2018

$

2017

$

Revenue

Annual conference

193,246

166,180

Interest from investments 18,765 13,405

Membership subscriptions 441,702 448,144

Social meetings 50,556 49,918

Sundry income 244 4,059

704,513 681,706

Expenses

Advertising 90,390 50,031

Annual conference 205,265 168,322

Bank and government charges 7,355 6,783

Council expenses 24,264 37,154

President Travel – Overseas Associations 5,477 14,037

Depreciation, amortisation and impairment:

Furniture, fittings and equipment 236 315

Software 7,609 5,807

Education 13,845 13,085

Employees salaries, superannuation and benefits 252,664 210,951

Insurances 23,994 14,341

Internet and website maintenance 1,041 2,236

Office administration and sundry expense 19,738 14,512

Office rental 17,296 18,670

Postage and couriers 1,838 2,487

Printing and stationery 5,578 5,050

Professional services fees:

Accounting and taxation services 600 3,600

Audit services 9,900 7,500

Social meetings 69,329 51,297

Sponsorships and donations 15,000 15,000

Telephone 6,158 5,417

777,576 646,595

Surplus (deficit) for the year (73,063) 35,111

Other comprehensive income

Total surplus (deficit) for the year and other comprehensive income (73,063) 35,111

The accompanying notes form part of these financial statements.


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27. STATEMENT OF FINANCIAL POSITION As at 31 December 2018

Note 2018 2017

$ $

Assets

Current assets

Cash and cash equivalents 4 779,713 891,444

Trade and other receivables 5 14,701 5,094

Other current assets 6 41,939 42,125

836,353 938,663

Non-current assets

Property, plant and equipment 7 707 943

Intangibles 8 19,330 24,129

20,037 25,072

Total assets 856,390 963,735

Liabilities

Current liabilities

Trade and other payables 9 50,550 63,379

Provisions 10 19,161 40,614

Total liabilities 69,711 103,993

Net assets 786,679 859,742

Members' funds

Retained surpluses 786,679 859,742

Total members' funds 786,679 859,742



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28. STATEMENTS OF CHANGES IN MEMBERS’ FUNDS AND CASH FLOWS

For the Year Ended 31 December 2018

Note 2018 2017

$ $

Statement of Changes in Members’ Funds

Retained surpluses as at 1 January 859,742 824,631

Surplus (deficit) for the year (73,063) 35,111

Retained surpluses as at 31 December 786,679 859,742

Statements of Cash Flows

Cash flows from operating activities

Receipts from member activities 752,489 735,657

Payments to suppliers and employees (874,860) (722,098)

Interest received 10,640 13,405

Net cash provided by operating activities 11 (111,731) 26,964

Cash flows from investing activities

Net payment for fixed term investments with maturity greater than three

months (10,240) (12,523)

Net cash provided by (used in) investing activities (10,240) (12,523)

Net increase (decrease) in cash and cash equivalents (121,971) 14,441

Cash and cash equivalents at beginning of financial year 202,161 187,720

Cash and cash equivalents at end of financial year 4 80,190 202,161



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29. NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS For the year ended 31 December 2018

1. Corporate Information

The Institute of Patent and Trade Mark Attorneys of Australia is a company limited by guarantee, incorporated and domiciled

in Australia. In accordance with the guarantee, if the company is wound up, the Constitution states that each member is

required to contribute a maximum of $2 each towards meeting any outstanding obligations of the company. At 31 December

2018 the number of members was 890 (2017: 856).

The financial report is for The Institute of Patent and Trade Mark Attorneys of Australia as an individual entity. The financial

report was authorised for issue in accordance with a resolution of the directors on the date of the directors’ report.

The nature of the operations and principal activities of the company are described in the directors' report.

2. Summary of Significant Accounting Policies

(a) Basis of preparation

The financial statements are general purpose financial statements that have been prepared in accordance with

Australian Accounting Standards - Reduced Disclosure Requirements and the Corporations Act 2001.

Australian Accounting Standards set out accounting policies that the Australian Accounting Standards Board has concluded

would result in financial statements containing relevant and reliable information about transactions, events and conditions.

Material accounting policies adopted in the preparation of these financial statements are presented below and have been

consistently applied unless otherwise stated.

The financial statements are presented in Australian dollars, and have been prepared on an accruals basis. They are based

on historical costs modified, where stated, by the measurement at fair value of selected non current assets and financial

assets.

Application of new and revised Accounting Standards

There are no new and revised Standards or Interpretations adopted in these financial statements affecting the reported

results or financial position.

The company has not elected to early adopt any new Standards or Interpretations that are issued but not yet effective.

There are no such Standards or Interpretations that are considered by the directors to have an impact on the future financial

statements or performance of the company.

(b) Cash and cash equivalents

Cash and cash equivalents include cash on hand, deposits held at call with banks, other short term liquid investments which

are convertible to a known amount of cash and subject to an insignificant risk of change in value. For the purposes of the

statement of cash flows, cash and cash equivalents consist of cash, deposits and other short term investments with original

maturities of three months or less.

(c) Trade and other receivables

Trade receivables, which comprise amounts due from members for subscriptions or services provided are recognised and

carried at original invoice amount less an allowance for any uncollectable amounts. Normal terms of settlement are within 30

days. The notional amount of the receivable is deemed to reflect fair value. An allowance for doubtful debts is made when

there is objective evidence that the company will not be able to collect the debts. Bad debts are written off when identified.

(d) Investments and other financial assets

Investments and financial assets in the scope of AASB 139 Financial Instruments: Recognition and Measurement are

categorised as: loans and receivables, held to maturity investments, available for sale financial assets, or financial assets at

fair value through profit or loss. The classification depends on the purpose for which the investments were acquired.

Designation is re-evaluated at each financial year end, but there are restrictions on reclassifying to other categories.

The company’s objectives are not aligned to acquiring financial assets for the purpose of trading, or in the equity of other

entities; accordingly it does not hold financial assets classified as at fair value through profit or loss, or available for sale

investments.


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29. NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS CONT.

2. Summary of Significant Accounting Policies (Continued)

(d) Investments and other financial assets (continued)

(i) Recognition and Derecognition

Financial assets are recognised when the company becomes a party to the contractual provisions to the instrument. This

is the equivalent to the date that the company commits itself to either the purchase or sale of the asset (i.e. trade date

accounting is adopted). Financial instruments are initially measured at fair value plus transactions costs.

Financial assets are derecognised where the contractual rights to receipt of cash flows expires or the asset is

transferred to another party whereby the entity no longer has any significant continuing involvement in the risks and

benefits associated with the asset.

(ii) Held to maturity investments, loans and receivables

Held-to-maturity investments have fixed maturities, and it is the company's intention to hold these investments to

maturity. Loans and receivables are non-derivative financial assets with fixed or determinable payments that are not

quoted in an active market. Each asset category is carried at amortised cost using the effective interest method.

Gains and losses are recognised in profit or loss when assets are derecognised or impaired, as well as through the

amortisation process.

(e) Property, plant and equipment

(i) Bases of measurement of carrying amount

Plant and equipment is measured on the cost basis less depreciation and impairment losses.

Subsequent costs are included in the asset’s carrying amount or recognised as a separate asset, as appropriate, only

when it is probable that future economic benefits associated with the item will flow to the entity and the costs of the

item can be measured reliably. All other repairs and maintenance are charged to the income statement during the

financial period in which they are incurred.

(ii) Depreciation

Depreciation is charged to the income statement on a diminishing value basis over the estimated useful lives of each

part of plant and equipment commencing from the time the assets are held ready for use.

The depreciation rates used for each class of depreciable assets are:

Class of Fixed Asset Depreciation Rate

Furniture, Fixtures and Equipment 10% ‑ 66%

The assets' residual values, depreciation methods and useful lives are reviewed, and adjusted if appropriate, at the

end of each reporting period.

(iii) Impairment

The carrying values of plant and equipment are reviewed for impairment at each reporting date, with the recoverable

amount being estimated when events or changes in circumstances indicate that the carrying value may be impaired.

Impairment exists when the carrying value of an asset exceeds its estimated recoverable amount. The asset is then

written down to its recoverable amount.

(iv) Derecognition and disposal

An item of plant and equipment is derecognised upon disposal or when no further future economic benefits are

expected from its use or disposal.

Gains and losses on disposals are determined by comparing proceeds with the carrying amount. These are included in

the income statement.


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2. Summary of Significant Accounting Policies (Continued)

(f) Intangible assets acquired separately

Intangible assets with finite lives that are acquired separately are carried at cost less accumulated amortisation and

accumulated impairment losses. Amortisation is recognised on a straight-line basis over their estimated useful lives. The

estimated useful life and amortisation method are reviewed at the end of each reporting period, with the effect of any

changes in estimate being accounted for on a prospective basis. Intangible assets with indefinite useful lives that are

acquired separately are carried at cost less accumulated impairment losses.

(g) Trade and other payables

Trade and other payables represent the liability outstanding at the end of the reporting period for goods and services

received by the company during the reporting period which remain unpaid. The balance is recognised as a current

liability with the amounts normally paid within 30 days of recognition of the liability.

(h) Employee benefits

Provision is made for the company's liability for employee benefits arising from services rendered by employees to the

end of the reporting year. Employee benefits that are expected to be settled within one year have been measured at the

amounts expected to be paid when the liability is settled.

Employee benefits payable later than one year have been measured at the present value of the estimated future cash

outflows to be made for those benefits. In determining the liability consideration is given to employee wage increases

and the probability that the employee may not satisfy vesting requirements. Those cash outflows are discounted using

market yields on national government bonds with terms to maturity that match the expected timing of cash flows.

Contributions are made by the company to an employee superannuation fund and are charged as expenses when

incurred.

(i) Revenue

Revenue is recognised and measured at the fair value of the consideration received or receivable to the extent it is

probable that the economic benefits will flow to the entity and the revenue can be reliably measured. The following

specific recognition criteria must also be met before revenue is recognised:

(i) Subscriptions and fees

Revenue is recognised upon invoice date.

(ii) Conference

Revenue is recognised based on stage of completion, which is usually assessed by reference to event delivery.

(iii) Interest

Interest income is recognised in the income statement as it accrues, using the effective interest method.

(j) Goods and services tax (GST)

Revenues, expenses and assets are recognised net of the amount of GST, except where the amount of GST incurred

is not recoverable from the Australian Tax Office. In these circumstances the GST is recognised as part of the cost of

acquisition of the asset or as part of the expense. Receivables and payables in the statement of financial position are

shown inclusive of GST.

Cash flows are presented in the statement of cash flows on a gross basis, except for the GST component of investing

and financing activities, which are disclosed as operating cash flows.

(k) Income tax

The entity is a non-profit organisation for income tax purposes, and income from fees, subscriptions and levies received

from members is not taxable. Income received from non-members is subject to income tax at company tax rates after

allowing for related deductible expenses.

Realisation of accumulated income tax losses is not anticipated, and no deferred tax asset has been recognised.


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3. Significant Accounting Judgements, Estimates and Assumptions

The preparation of the financial statements requires management to make judgements, estimates and assumptions that

affect the application of policies and reported amounts of assets, liabilities, income and expenses. The estimates and

associated assumptions are based on historical experience and various other factors that are believed to be reasonable under

the circumstances, the results of which form the basis of making the judgments. Actual results may differ from these

estimates.

In the process of applying the company's accounting policies, management has made the following judgements, estimates

and assumptions which have the most significant effect on the amounts recognised in the financial statements.

Impairment of non financial assets

The company assesses impairment of all assets at each reporting date by evaluating conditions specific to the company and

to the particular asset that may lead to impairment. These include economic environment and future expectations of the

assets. If an impairment trigger exists the recoverable amount of the asset is determined.

Estimation of useful lives of assets

The estimation of the useful lives of assets has been based on historical experience. In addition, the condition of the assets

is assessed at least once per year and considered against the remaining useful life. Adjustments to useful lives are made

when considered necessary.

2018

$

2017

$

4. Cash and Cash Equivalents

Cash at bank and on hand

80,190

202,161

Cash as shown in the statement of cash flows 80,190 202,161

Fixed term investments with maturities of greater than three months 699,523 689,283

779,713 891,444

The effective interest rate on fixed‑term investments was 2.20% (2017: 2.68%); these investments have an average

maturity of 164 days (2017: 141 days).

5. Trade and Other Receivables

Receivables related to subscriptions due or services provided

Provision for doubtful accounts

4,471

-

3,307

-

4,471 3,307

Accrued interest income 9,806 1,681

Goods and services tax receivable 424 106

14,701 5,094

6. Other Current Assets

Prepaid expenses 41,939 42,125

7. Plant and Equipment

Furniture, fittings and equipment at cost 33,168 33,168

Accumulated depreciation (32,461) (32,225)

707 943

Movements in carrying amounts during the year:

Opening carrying amount of furniture, fittings and equipment

943

1,258

Depreciation (236) (315)

707 943


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Notes

8. Intangibles

Website development at cost

2018

$

42,020

2017

$

39,210

Accumulated amortisation and impairment - Website (26,148) (20,729)

15,872 18,481

Software development at cost 8,551 8,551

Accumulated amortisation and impairment -Software (5,093) (2,903)

3,458 5,648

Total intangible assets

19,330 24,129

Movements in carrying amounts during the year:

Opening carrying amount of intangibles 24,129 22,211

Additions 2,810 7,725

Amortisation (7,609) (5,807)

19,330 24,129

9. Trade and Other Payables

Trade payables and accrued expenses 50,550 63,379

10. Provisions

Employee entitlements 19,161 40,614

11. Cash Flow Information

Reconciliation of surplus for the year to cash flows from operating activities:

Surplus (deficit) for the year

Non‑cash flows in surplus:

(73,063) 35,111

- depreciation and amortisation 7,845 6,122

Changes in assets and liabilities:

- (increase)/decrease in trade and other receivables (9,607) 664

- (increase)/decrease in prepaid expenses (2,624) (12,321)

- increase/(decrease) in trade and other payables (12,829) 25,117

- increase/(decrease) in provisions (21,453) (27,729)

Cash flow from operations (111,732) 26,964

12. Commitments

The company utilises office space with payment of outgoings monthly in arears.

The company has committed to sponsor the Francis Gurry Annual IP Lecture held by the University of Melbourne for

a further three year period from 2019 to 2021 inclusive. This constitutes an annual cash payment of $15,000 over

those three years.


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13. Related Parties and Related Party Transactions

Transactions between related parties are on normal commercial terms and conditions no more favourable than those

available to other parties unless otherwise stated.

During the year, the company utilised office space provided by a director-related entity, under normal terms and

conditions, at a cost of $17,296 (2017: $18,670).

Key Management Personnel, Directors and Compensation

The key management personnel of the company are the Directors in office during the year, as disclosed in the Directors'

report that accompanies these financial statements. The Directors act in an honorary capacity and receive no

compensation for their services.

14. Events after the end of the Reporting Period

No matters or circumstances have arisen since the end of the financial year which significantly affected or may significantly

affect the operations of the company, the results of those operations or the state of affairs of the company in future

financial years.

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30. DIRECTORS' DECLARATION The directors of the company declare that:

1 The financial statements and notes are in accordance with the Corporations Act 2001 and:

a. comply with Accounting Standards ‑ Reduced Disclosure Requirement; and

b. give a true and fair view of the financial position as at 31 December 2018 and of the performance for the year ended on

that date of the company.

2 In the directors' opinion, there are reasonable grounds to believe that the company will be able to pay its debts as and

when they become due and payable.

This declaration is made in accordance with a resolution of the Board of Directors.

Director: .. Director: .

R H Baddeley D J Tadgell

Melbourne, 19 March 2019

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31. INDEPENDENT AUDIT REPORT

one hundredth annual report of council and …...philip gehrig 6 5 andrew jones 7 5 jennifer j...

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