Trading in intellectual property rights, or IPR, is the sale or transfer of IP rights where both parties agree to terms. To ease the application process, comprehensive services such as detailed patent authorization, copyright or trademarks, as well an IP rights lawyer are essential.

Given a credential legal system, Hong Kong has played the role of intermediary to connect Chinese mainland  enterprises with the global market. Many Chinese and overseas firms have hired Hong Kong IPR lawyers to handle transactions.

In recent years, transactions from other emerging markets and in particular from South American countries have been occurring. Hong Kong's law firms specializing in this area have witnessed a steady stream of new business opportunities.

Ella Cheong, an IP attorney with the law firm, Ella Cheong Hong Kong. [Photo/chinadaily.com.cn]

Ms Ella Cheong, an IP attorney in Hong Kong with the law firm, Ella Cheong Hong Kong, said Hong Kong is China's gateway to the world. Many European and American companies seeking to enter the mainland market go through Hong Kong law firms to handle specialized IP trading transactions or lawsuit settlements.

The rapid development of the mainland economy, mainland Chinese enterprises have a greater need for overseas IPR and IPR protections, and hope to use the international platform of Hong Kong law firms to develop their overseas markets.

"These days one third of the firm's business comes from Europe, one third from North and South America, and the remainder from the rest of the world, including emerging markets such as Argentina."

Cheong's firm specializes in providing a comprehensive package of IPR services that includes handling patent rights issues, copyrights, design registrations, and trademarks and trade names.

Enterprises are interested in trademarks and patent rights. About 40 percent of the firm's business involves trademarks, 40 percent involves patent rights, copyrights and domain name registrations. The clients come mainly from the electronics and biotechnology industries.

Intellectual property rights are an important component of the enterprise's business, Cheong said.

"As regards to patent rights, the applicant must determine the relationship between the inventor and the company, clarifying whether the right to the invention by one of the staff will become the asset of the company," she said.

Cheong shared a recent case where "the staff member that developed the invention suddenly changed jobs, and the company that applied for the patent at that time did not make it clear as to whether the patent rights would be assigned to the company or to that staff member and this resulted in a dispute," she said.

The enterprise must find an attorney specializing in patents to help draft the applications. On average, the application time should take two to three years; Cheong added one client has successfully complete the entire application within four months due to good practice of documentation logging.