In a significant development in an ongoing intellectual property dispute, the Himachal Pradesh High Court has declined to quash a First Information Report (FIR) filed against multinational consumer goods giant Procter & Gamble (P&G). The case involves serious allegations of patent infringement and misuse of proprietary technology submitted under the company’s innovation partnership programme.
The FIR was lodged following a complaint by an Indian innovator who alleged that P&G misappropriated a patented innovation submitted as part of its well-known ‘Connect + Develop’ initiative — a global platform that invites inventors, startups, and researchers to collaborate with P&G by sharing innovative ideas and technologies for potential integration into P&G products.
Allegations of Misuse of Submitted Innovation
According to the complainant, after initial expressions of interest and discussions under the ‘Connect + Develop’ framework, P&G allegedly used the patented technology without entering into any formal agreement, licensing arrangement, or compensation. The innovation in question is believed to be integrated into one of P&G’s personal care products currently in the Indian market.
The innovator claims that the technology submitted was protected under Indian patent laws, and that its usage by P&G without authorization constitutes a direct violation of intellectual property rights.
Court’s Observations and Ruling
While hearing the petition seeking to quash the FIR, the Himachal Pradesh High Court observed that the matter involves disputed facts regarding intellectual property ownership, potential breach of trust, and alleged commercial exploitation. The court emphasized that such complex issues merit a thorough investigation and cannot be conclusively decided at the preliminary stage of quashing.
The court also highlighted that the ‘Connect + Develop’ programme, while promoting open innovation, must operate within the bounds of legal and ethical frameworks, especially when dealing with patented technologies.
P&G Responds
P&G has strongly denied any wrongdoing. In a brief statement, the company said:
“Procter & Gamble remains committed to ethical collaboration with external innovators. We respect intellectual property laws and take such matters seriously. We are cooperating fully with the authorities and are confident that the facts will vindicate our position.”
P&G also stressed that its ‘Connect + Develop’ platform has a longstanding reputation for transparency and fairness, having led to numerous successful collaborations globally.
Implications for Open Innovation Ecosystems
This case has raised broader questions about the protection of intellectual property in open innovation platforms, especially in scenarios where informal submissions may precede formal agreements. Legal experts suggest that innovators should take extra precautions when sharing patented or patent-pending technologies with corporate partners, even under programs intended to foster collaboration.
IP attorney Radhika Menon commented:
“This case underscores the importance of detailed documentation and non-disclosure agreements before disclosing any valuable intellectual property. Open innovation cannot be at the cost of the innovator’s rights.”
What Lies Ahead
The matter will now proceed through investigative channels, with law enforcement examining the chain of communication, documentation, and potential evidence of unauthorized usage. If proven, the case could set a precedent for how intellectual property is handled in corporate innovation programs, both in India and globally.
As the investigation unfolds, the case is being closely watched by innovators, legal experts, and corporates alike, serving as a cautionary tale about the fine balance between openness and protection in collaborative innovation.