[2002] 4 S.C.R. |
Harvard College
v. Canada (Commissioner of Patents) |
45 |
Commissioner of
Patents
Appellant
v.
President and Fellows of
Harvard College
Respondent
and
Canadian Council of
Churches,
Evangelical Fellowship of Canada,
Canadian
Environmental Law Association,
Greenpeace Canada, Canadian
Association
of Physicians for the Environment, Action
Group on Erosion, Technology and
Concentration,
Canadian Institute for
Environmental Law and Policy,
Sierra Club of Canada, Animal Alliance
of Canada,
International Fund for Animal
Welfare Inc. and Zoocheck Canada
Inc.
Interveners
Indexed as: Harvard
College v. Canada (Commissioner of
Patents)
Neutral citation:
2002 SCC 76.
File
No.: 28155.
2002: May 21; 2002:
December 5.
Present: McLachlin C.J. and
L'Heureux-Dubé, Gonthier, Iacobucci, Major, Bastarache, Binnie, Arbour and
LeBel JJ.
ON APPEAL FROM THE FEDERAL COURT OF APPEAL
Patents
-- Patentable subject matter -- Standard of review -- Standard of review
applicable to Commissioner of Patent's decision to refuse
patent.
Patents
-- Patentable subject matter -- Biotechnology -- Patentability of higher
life forms -- College seeking to patent genetically altered mouse for
cancer research -- Whether "invention" encompasses higher life forms --
Meaning of "manufacture" and "composition of matter" -- Patent Act, R.S.C.
1985, c. P-4, s. 2 "invention".
The respondent applied for a patent on an
invention entitled "transgenic animals". According to the application, a
cancer-promoting gene ("oncogene") is injected into fertilized mouse eggs
as close as possible to the one-cell stage. The eggs are then implanted
into a female host mouse and permitted to develop to term. After the
offspring of the host mouse are delivered, they are tested for the
presence of the oncogene. Those that contain the oncogene are called
"founder" mice. Founder mice are mated with mice that have not been
genetically altered. Fifty per cent of the offspring will have all of
their cells affected by the oncogene, making them suitable for animal
carcinogenic studies. In its patent application, the respondent seeks to
protect both the process by which the oncomice are produced and the end
product of the process, i.e. the founder mice and the offspring whose
cells contain the oncogene. The process and product claims extend to all
non-human mammals. The process claims were allowed by the Patent Examiner,
while the product claims were rejected. The appellant Commissioner
confirmed the refusal of the product claims. The Federal Court, Trial
Division, dismissed the respondent's appeal from the appellant's decision.
The respondent's further appeal to the Federal Court of Appeal was
allowed.
Held (McLachlin C.J. and Major,
Binnie and Arbour JJ. dissenting): The appeal should be allowed. A higher
life form is not patentable because it is not a "manufacture" or
"composition of matter" within the meaning of "invention" in s. 2 of the
Patent Act.
Per L'Heureux-Dubé, Gonthier,
Iacobucci, Bastarache and LeBel JJ.: This appeal raises the issue of the
patentability of higher life forms within the context of the Patent
Act.
A. The Commissioner's Power to Refuse
a Patent Under Section 40
The standard of review applicable to the
Commissioner's decision in this case is correctness. The courts are as
well placed as the Commissioner to decide whether the definition of
invention in s. 2 of the Patent Act encompasses higher life forms,
since the Patent Act contains no privative clause, gives applicants
a broad right of appeal, and the question approaches a pure determination
of law that has significant precedential value. Section 40 of the
Patent Act does not give the Commissioner discretion to refuse a
patent on the basis of public policy considerations independent of any
express provision in the Act. Since the Commissioner has no discretion
independent of the Patent Act to consider the public interest when
granting or denying a patent, the Commissioner's decision in this case,
given its nature, is not owed deference.
B. The Definition of Invention:
Whether a Higher Life Form Is a "Manufacture" or a "Composition of
Matter"
The sole question in this appeal is whether the words
"manufacture" and "composition of matter", within the context of the
Patent Act, are sufficiently broad to include higher life forms. It
is irrelevant whether this Court believes that higher life forms such as
the oncomouse ought to be patentable. The words of the Patent Act
"are to be read in their entire context and in their grammatical and
ordinary sense harmoniously with the scheme of the Act, the object of the
Act, and the intention of Parliament". Comparisons with the patenting
schemes of other countries will therefore be of limited value. The best
reading of the words of the Act supports the conclusion that higher life
forms are not patentable.
(1) The Words of the Act
For a higher life form to fit within the
definition of "invention", it must be considered to be either a
"manufacture" or a "composition of matter". While the definition of
"invention" in the Patent Act is broad, Parliament did not define
"invention" as "anything new and useful made by man". The choice of an
exhaustive definition signals a clear intention to exclude certain subject
matter as being outside the confines of the Act. The word "manufacture"
("fabrication"), in the context of the Act, is commonly understood
to denote a non-living mechanistic product or process, not a higher life
form. The words "composition of matter" ("composition de matières")
as they are used in the Act do not include a higher life form such as the
oncomouse. The words occur in the phrase "art, process, machine,
manufacture or composition of matter". A collective term that completes an
enumeration is often restricted to the same genus as the terms which
precede it, even though the collective term may ordinarily have a much
broader meaning. Just as "machine" and "manufacture" do not imply a living
creature, the words "composition of matter" are best read as not including
higher life forms. While a fertilized egg injected with an oncogene may be
a mixture of various ingredients, the body of a mouse does not consist of
ingredients or substances that have been combined or mixed together by a
person. Moreover, "matter" captures only one aspect of a higher life form,
generally regarded as possessing qualities and characteristics that
transcend the particular genetic material of which it is composed. Higher
life forms cannot be conceptualized as mere "compositions of matter"
within the context of the Patent Act. Just because all inventions
are unanticipated and unforeseeable, it does not necessarily follow that
they are all patentable. It is possible that Parliament did not intend to
include higher life forms in the definition of "invention". It is also
possible that Parliament did not regard cross-bred plants and animals as
patentable because they are better regarded as "discoveries". Since
patenting higher life forms would involve a radical departure from the
traditional patent regime, and since the patentability of such life forms
is a highly contentious matter that raises a number of extremely complex
issues, clear and unequivocal legislation is required for higher life
forms to be patentable. The current Act does not clearly indicate that
higher life forms are patentable.
(2) The Scheme of the Act
The above interpretation of the words of
the Act finds support in the fact that the patenting of higher life forms
raises unique concerns which do not arise in respect of non-living
inventions and which are not addressed by the scheme of the Act. The fact
that the Act is ill-equipped to deal appropriately with higher life forms
as patentable subject matter is an indication that Parliament never
intended the definition of "invention" to extend to this type of subject
matter. While some policy concerns, such as the environmental and animal
welfare implications of biotechnology, are more appropriately dealt with
outside the patent system, other concerns are more directly related to
patentability and to the scheme of the Act. These concerns illustrate the
fact that the Patent Act in its current form is not well suited to
address the unique characteristics possessed by higher life forms. The
issue of the patenting of human life forms is a complex one that cannot be
readily dismissed by reference to the Charter. It is not an
appropriate judicial function of the courts to create an exception from
patentability for human life given that such an exception requires one to
consider both what is human and which aspects of human life should be
excluded. The lack of direction currently in the Act to deal with issues
that might reasonably arise signals a legislative intent that higher life
forms are currently not patentable. This Court does not possess the
institutional competence to deal with issues of this complexity, which
presumably will require Parliament to engage in public debate, a balancing
of competing social interests, and intricate legislative drafting.
(3) The Object of the Act
Although the Patent Act is
designed to advance research and development and encourage broader
economic activity, it simply does not follow from the objective of
promoting ingenuity that all inventions must be patentable. A product of
human ingenuity must fall within the terms of the Act in order for it to
be patentable; the issue of whether a proposed invention ought to be
patentable does not provide an answer to the question of whether that
proposed invention is patentable. In any event, the manner in which Canada
has administered its patent regime reveals that the promotion of ingenuity
has at times been balanced against other considerations.
(4) Related Legislation: The
Plant Breeders' Rights Act
The interpretation of an ambiguous law
may be informed by the substance and the form of subsequent legislation.
The Plant Breeders' Rights Act is of significance to the
interpretation of the Patent Act and the issue of its applicability
to higher life forms. Although Parliament enacted special legislation for
the protection of plant breeders, it did not address other higher life
forms. Moreover, the passage of the Plant Breeders' Rights Act
demonstrates that mechanisms other than the Patent Act may be
used to encourage inventors to undertake innovative activity in the field
of biotechnology. Many of the issues that arose with respect to
intellectual property protection for plant varieties also arise when
considering the patentability of other higher life forms. If a special
legislative scheme was needed to protect plant varieties, a subset of
higher life forms, a similar scheme may also be necessary to deal with the
patenting of higher life forms in general. It is beyond the competence of
this Court to address in a comprehensive fashion the issues associated
with the patentability of higher life forms.
C. Drawing the Line: Is it Defensible
to Allow Patents on Lower Life Forms While Denying Patents on Higher Life
Forms?
The patentability of lower life forms is
not at issue before this Court, and was in fact never litigated in Canada.
The distinction between lower and higher life forms, though not explicit
in the Patent Act, is nonetheless defensible on the basis of the
common sense differences between the two. The non-patentability of human
life is not explicit in the Patent Act. If the line between lower
and higher life forms is indefensible and arbitrary, so too is the line
between human beings and other higher life forms. It is now accepted in
Canada that lower life forms are patentable but this does not necessarily
lead to the conclusion that higher life forms are patentable, at least in
part for the reasons that it is easier to conceptualize a lower life form
as a "composition of matter" or "manufacture" than it is to conceptualize
a higher life form in these terms.
Patentable micro-organisms are
formed in such large numbers that any measurable quantity will possess
uniform properties and characteristics. The same cannot be said for plants
and animals. It is far easier to analogize a micro-organism to a chemical
compound or another inanimate object than it is to analogize an animal to
an inanimate object. Moreover, several important features possessed by
animals distinguish them from both micro-organisms and plants and remove
them even further from being considered a "composition of matter" or a
"manufacture". Given the complexity of the issues involved, it is not the
task of the Court to situate the line between higher and lower life forms.
Also, the specific exception for plants and animals in trade agreements
demonstrates that a distinction between higher and lower life forms is
widely accepted as valid.
Per McLachlin C.J. and Major,
Binnie and Arbour JJ. (dissenting): The oncomouse is patentable subject
matter. The extraordinary scientific achievement of altering every single
cell in the body of an animal which does not in this altered form exist in
nature, by human modification of the genetic material of which it is
composed, is an inventive "composition of matter" within the meaning of
s. 2 of the Patent Act.
A. Statutory Interpretation
Once it is acknowledged, as does the
majority of this Court, that the fertilized, genetically altered oncomouse
egg is an invention under the Patent Act, there is no basis in the
statutory text to conclude that the resulting oncomouse, that grows from
the patented egg, is not itself patentable because it is not an invention.
Since the respondent has fulfilled the other statutory criteria for an
invention, it is entitled to the patent.
The context and scheme of the
Patent Act reinforce the expansive sense of the words "composition
of matter" to render the oncomouse patentable. The proper question is not
whether Parliament intended to include "oncomice" or "higher life forms"
or biotechnology generally in patent legislation, but whether Parliament
intended to protect "inventions" that were not anticipated at the time of
enactment of the Patent Act, or indeed, at any time before the
claimed invention. While Parliament did not contemplate the oncomouse in
1869 when it enacted the definition of "invention", it did not contemplate
moon rockets, antibiotics, telephones, e-mail or hand-held computers
either.
The intent that can properly be
attributed to Parliament, based on the language it used and the context of
patent legislation generally, is that it considered it to be in the public
interest to encourage new and useful inventions without knowing what such
inventions would turn out to be and to that end inventors who disclosed
their work should be rewarded for their ingenuity. The Commissioner of
Patents was given no discretion to refuse a patent on the grounds of
morality, public interest, public order, or any other ground if the
statutory criteria are met.
B. The International Context
The mobility of capital and technology
makes it desirable that comparable jurisdictions with comparable
intellectual property legislation arrive at similar legal results. The
expression "composition of matter" is found in the U.S. Patent Act,
under which the oncomouse was patented in 1988. The oncomouse is also
patented in jurisdictions that cover Austria, Belgium, Denmark, Finland,
France, Germany, Greece, Ireland, Italy, Luxembourg, The Netherlands,
Portugal, Spain, Sweden and the United Kingdom. A similar patent has been
issued in Japan. New Zealand has issued a patent for a transgenic mouse
that has been genetically modified to be susceptible to HIV infection. The
Commissioner's approach to this case sounds a highly discordant note. The
massive private sector investment in biotechnological research is exactly
the sort of research and innovation that the Patent Act was
intended to promote. Healthcare is the major beneficiary of biotechnology.
At the same time, vast amounts of money must be found to finance
biomedical research. The Patent Act embodies the public policy that
those who directly benefit from an invention should be asked, through the
patent system, to pay for it, at least in part.
C. The Line-Drawing Exercise
The Commissioner is unable to show any
statutory authority for drawing a line between those life forms that he
acknowledges to be patentable and those he rejects. "Composition of
matter" is an open-ended expression and is not confined to inanimate
matter. While as a matter of law there can be no patent on a human being,
the Patent Act does not distinguish, in its definition of
"invention", between "lower" and "higher" life forms. None of the proposed
dividing lines between "lower" and "higher" life forms arise from the text
of the Patent Act. Whether to carve out a subject-matter exception
for "higher life forms", and how "higher life form" is to be defined, is a
policy matter for Parliament.
As to the contention that growth from a
single fertilized cell to the complete mouse has nothing to do with the
inventors and everything to do with the "laws of nature", it must be said
that the "laws of nature" are an essential part of the working of many and
probably most patented inventions. Pharmaceutical drugs utilize the normal
bodily processes and functions of animals and humans and are not on that
account regarded as less patentable. Medications, like the oncomouse,
could not be brought into existence without reliance on the "laws of
nature" in general and the processes of biochemistry in particular.
D. The Plant Breeders' Rights
Act
The adoption of the Plant Breeders'
Rights Act in 1990 does not mean that the subject matter of patents
excludes plants and, by extension, other "higher" life forms such as seeds
and animals. The rights available under the Plant Breeders' Rights
Act fall well short of those conferred by patent, both in
comprehensiveness and duration. In addition, the Patent Act
language reaches back prior to Confederation. There was no repeal by
implication in 1990 since it cannot be said that the two Acts are
inconsistent.
E. Other Objections
As to the lack of a regulatory framework
for "higher life form" inventions, there are as many areas of potential
regulation as there are areas of invention. These regulatory regimes
cannot and should not all be put under the inadequate umbrella of the
Patent Act. It is normal that regulation follows, rather than
precedes, the invention.
The scientific accomplishment manifested
in the oncomouse is profound and far-reaching. Every cell in the animal's
body has been altered in a way that is highly important to scientific
research. While the oncomouse is deliberately designed to grow painful
malignant tumours, animals will continue to be used in laboratories for
scientific research whether patented or not. With respect to the
commodification of human life, the patentability of humans is precluded by
law and the broadest claim here specifically excepts humans from the scope
of transgenic mammals. Environmental concerns which include the diversity
of the gene pool and the potential escape of genetically modified
organisms into the environment are serious. They have little to do,
however, with the patent system. The Patent Act has always had the
modest and focussed objective of encouraging the disclosure of the fruit
of human inventiveness in exchange for the statutory rewards. The balance
between the other competing policy considerations is for Parliament to
strike.
F. The Court's Moratorium
Neither the Commissioner of Patents nor
the courts have the authority to declare a moratorium on "higher" life
patents until Parliament chooses to act.
Cases Cited
By Bastarache J.
Referred to: Commissioner of
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[1987] 3 F.C. 8, aff'g (1986), 11 C.P.R. (3d) 311 (sub nom. Re
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Immigration),
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By Binnie J. (dissenting)
Théberge
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APPEAL from a judgment of the Federal
Court of Appeal, [2000] 4 F.C. 528, 189 D.L.R. (4th) 385, 7 C.P.R. (4th)
1, [2000] F.C.J. No. 1213 (QL), reversing a decision of the Trial
Division, [1998] 3 F.C. 510, 146 F.T.R. 279, 79 C.P.R. (3d) 98, [1998]
F.C.J. No. 500 (QL). Appeal allowed, McLachlin C.J. and Major, Binnie and
Arbour JJ. dissenting.
Graham R. Garton, Q.C., and
Frederick B. Woyiwada, for the appellant.
A. David Morrow, Steven B.
Garland, and Colin B. Ingram, for the respondent.
William J. Sammon, for the
interveners Canadian Council of Churches and Evangelical Fellowship of
Canada.
Michelle Swenarchuk, Theresa
McClenaghan, and Paul Muldoon, for the interveners Canadian
Environmental Law Association, Greenpeace Canada, Canadian Association of
Physicians for the Environment, Action Group on Erosion, Technology and
Concentration, and Canadian Institute for Environmental Law and
Policy.
Written submissions only by Jerry V.
DeMarco for the intervener Sierra Club of Canada.
Written submissions only by Clayton C.
Ruby and Lesli Bisgould for the interveners Animal Alliance of
Canada, International Fund for Animal Welfare Inc. and Zoocheck Canada
Inc.
The reasons of McLachlin C.J. and Major,
Binnie and Arbour JJ. were delivered by
1BINNIE J.
(dissenting) -- The biotechnology revolution in the 50 years since
discovery of the structure of DNA has been fuelled by extraordinary human
ingenuity and financed in significant part by private investment. Like
most revolutions, it has wide ramifications, and presents potential and
serious dangers as well as past and future benefits. In this appeal,
however, we are only dealing with a small corner of the biotechnology
controversy. We are asked to determine whether the oncomouse, a
genetically modified rodent with heightened genetic susceptibility to
cancer, is an invention. The legal issue is a narrow one and does not
provide a proper platform on which to engage in a debate over animal
rights, or religion, or the arrogance of the human race.
2 The oncomouse has been
held patentable, and is now patented in jurisdictions that cover Austria,
Belgium, Denmark, Finland, France, Germany, Greece, Ireland, Italy,
Luxembourg, The Netherlands, Portugal, Spain, Sweden, the United Kingdom
and the United States. A similar patent has been issued in Japan. New
Zealand has issued a patent for a transgenic mouse that has been
genetically modified to be susceptible to HIV infection. Indeed, we were
not told of any country with a patent system comparable to Canada's (or
otherwise) in which a patent on the oncomouse had been applied for and
been refused.
3 If Canada is to stand
apart from jurisdictions with which we usually invite comparison on an
issue so fundamental to intellectual property law as what constitutes an
"invention", the respondent, successful everywhere but in Canada, might
expect to see something unique in our legislation. However, one looks in
vain for a difference in definition to fuel the Commissioner's contention
that, as a matter of statutory interpretation, the oncomouse is not
an invention. The truth is that our legislation is not unique. The
Canadian definition of what constitutes an invention, initially adopted in
pre-Confederation statutes, was essentially taken from the United States
Patent Act of 1793, a definition generally attributed to Thomas
Jefferson. The United States patent on the oncomouse was issued 14 years
ago. My colleague, Bastarache J., acknowledges that the fertilized,
genetically altered oncomouse egg is an invention under our
Patent Act, R.S.C. 1985, c. P-4 (para. 162). Thereafter,
we part company, because my colleague goes on to conclude that the
resulting oncomouse, that grows from the patented egg, is not
itself patentable because it is not an invention. Subject matter
patentability, on this view, is lost between two successive stages of a
transgenic mouse's genetically pre-programmed growth. In my opinion, with
respect, such a "disappearing subject-matter" exception finds no support
in the statutory language.
4 A patent, of course, does
not give its holder a licence to practise the invention free of regulatory
control (any more than an unpatented invention enjoys such
immunity). On the contrary, the grant of a patent simply reflects the
public interest in promoting the disclosure of advancements in learning by
rewarding human ingenuity. Innovation is said to be the lifeblood of a
modern economy. We neglect rewarding it at our peril. Having disclosed to
the public the secrets of how to make or use the invention, the inventor
can prevent unauthorized people for a limited time from taking a
"free ride" in exploiting the information thus disclosed. At the same
time, persons skilled in the art of the patent are helped to further
advance the frontiers of knowledge by standing on the shoulders of those
who have gone before.
5 The issues being thus
identified, I think the majority decision of the Federal Court of Appeal
was correct. The appeal should be dismissed.
A. Statutory Interpretation
6 The issue, in the words of
s. 2 of the Patent Act, is whether the oncomouse that has been
produced by a combination of genetic engineering and natural gestation is
a "composition of matter" that is new, unobvious and useful. If it is,
then the President and Fellows of Harvard University, who funded the
research, are entitled to a patent. My colleague, Bastarache J.,
writes of the oncomouse as follows (at para. 163):
The fact that it has this predisposition
to cancer that makes it valuable to humans does not mean that the mouse,
along with other animal life forms, can be defined solely with
reference to the genetic matter of which it is composed.
[Emphasis added.]
7 While acknowledging,
therefore, that the oncomouse is a "composition of [genetic] matter", my
colleague's contention is that the oncomouse is a "composition of
[genetic] matter" plus something else, undefined. The respondent,
however, does not claim to have invented the "plus". Its sole claim is to
have modified what my colleague describes as the "genetic matter of which
[the oncomouse] is composed", as described in the disclosure portion of
the patent application:
(i)the desired oncogene is obtained from
the genetic code of a non-mammal source, such as a virus;
(ii)a vehicle for transporting the
oncogene into the mammal's chromosomes is constructed using a small piece
of circular bacterial DNA referred to as a plasmid; the plasmid is
chemically cut and the oncogene is chemically "spliced" into the
plasmid;
(iii) the plasmid containing the oncogene
is then mechanically injected into fertilized eggs at a site called the
male pronucleus;
(iv)the eggs are then implanted in a host
mammal or "foster mother";
(v)the eggs are permitted to develop and
the offspring are delivered by the foster mother;
(vi)after delivery, the offspring are
tested for the presence of the oncogene; the offspring that contain the
oncogene are called "founder" animals;
(vii) founder animals are subsequently
mated with ordinary animals and the offspring are again tested for the
presence of the oncogene before the offspring are used in research.
8 As will be explained more
fully below, I believe that the extraordinary scientific achievement of
altering every single cell in the body of an animal which does not in this
altered form exist in nature, by human modification of "the genetic
material of which it is composed", is an inventive "composition of matter"
within the meaning of s. 2 of the Patent Act.
9 The position taken by the
Commissioner of Patents is, I think, curious. While expressly
acknowledging that the oncomouse is new, useful and non-obvious, and
therefore meets the usual statutory criteria, the Commissioner of Patents
denies that "higher life forms" fall within the subject matter
contemplated by Parliament as patentable. He says, at para. 51 of his
factum:
In 1869, when Parliament first made
provision for the patenting of "any new and useful . . . manufacture, or
composition of matter", genetic engineering was unheard of. Thus,
Parliament could not at the time of enactment have intended that
higher life forms would come within the meaning of those words. [Emphasis
added.]
10 It is true, of course,
that in 1869, when the post-Confederation patent act was passed,
Parliament did not contemplate genetically engineered "higher life forms"
(Act respecting Patents of Invention, S.C. 1869, c. 11).
Parliament in 1869 did not contemplate genetically engineered
"lower life forms" either, although in recent years Canadian
patents have regularly been issued for such inventions. (My colleague,
Bastarache J., at para. 201, affirms that "lower life" forms
will continue to be patentable.) Nor did Parliament in 1869 contemplate
moon rockets, antibiotics, telephones, e-mail or hand-held computers. The
proper question is not whether Parliament intended to include "oncomice"
or "higher life forms" or biotechnology generally in patent legislation,
but whether Parliament intended to protect "inventions" that were
not anticipated at the time of enactment of the Patent Act,
or indeed, at any time before the claimed invention.
11 I accept, as does my
colleague, that the proper approach to interpretation of this statute is
to read the words "in their entire context and in their grammatical and
ordinary sense harmoniously with the scheme of the Act, the object of the
Act, and the intention of Parliament": E. A. Driedger, Construction of
Statutes (2nd ed. 1983), at p. 87. In my opinion, with respect, the
context and scheme of the Patent Act reinforce the expansive sense
of the words "composition of matter" to render the oncomouse patentable.
The intent that can properly be attributed to Parliament, based on the
language it used and the context of patent legislation generally, is that
it considered it to be in the public interest to encourage new and useful
inventions without knowing what such inventions would turn out to be and
to that end inventors who disclosed their work should be rewarded for
their ingenuity. A further indication of Parliament's intent is that the
Commissioner of Patents was given no discretion to refuse a patent
on the grounds of morality, public interest, public order, or any other
ground if the statutory criteria are met: Patent Act, s. 40. In my
view, the respondent has fulfilled the statutory criteria and "by law" is
entitled to the patent.
B. International Scope of Intellectual
Property Law
12 Intellectual property
has global mobility, and states have worked diligently to harmonize their
patent, copyright and trademark regimes. In this context, the
Commissioner's approach to this case sounds a highly discordant note.
Intellectual property was the subject matter of such influential
agreements as the International Convention for the Protection of
Industrial Property (Paris Convention) as early as 1883.
International rules governing patents were strengthened by the European
Patent Convention in 1973, and, more recently, the World Trade
Organization Agreement on Trade-Related Aspects of Intellectual
Property Rights (TRIPS) in 1994 (1869 U.N.T.S. 299). Copyright was the
subject of the Berne Convention for the Protection of Literary and
Artistic Works in 1886, revised by the Berlin Convention of
1908 and the Rome Convention of 1928. The Universal Copyright
Convention was concluded in 1952. Legislation varies of course, from
state to state, but broadly speaking Canada has sought to harmonize its
concepts of intellectual property with other like-minded
jurisdictions.
13 The mobility of capital
and technology makes it desirable that comparable jurisdictions with
comparable intellectual property legislation arrive (to the extent
permitted by the specifics of their own laws) at similar legal results: Théberge
v. Galerie d'Art du Petit Champlain inc., [2002] 2 S.C.R. 336,
2002 SCC 34, at para. 6.
14 The appellant
Commissioner's definition of unpatentable "higher life forms"
includes not only animals but also plants and seeds. Genetically modified
foods are controversial, but these are not controversies that should be
dealt with by judicial exclusion of "higher life forms" from the
definition of an "invention". Parliament itself has clearly signalled its
limited view of the role and function of the Patent Act. In 1993,
it repealed the prohibition in the former s. 27(3) of the Patent
Act against patenting an "invention that has an illicit object in
view". It thereby made it clear that granting a patent is not an
expression of approval or disapproval. At that time, Parliament did
not add a provision, present in the European Patent
Convention and in many civil law systems and international agreements,
that patents will not be granted for inventions whose use or exploitation
would be inconsistent with ordre public, public morality, or
environmental or health protection. That type of provision would open the
door to value judgments in assessing patentability. Parliament did not
endorse such an approach, even though the 1993 amendments were introduced
to bring Canadian patent law into compliance with various international
agreements. Parliament thereby signalled, however passively, that these
important aspects of public policy would continue to be dealt with by
regulatory regimes outside the Patent Act.
15 A more recent indication
of the government's approach is the Assisted Human Reproduction
Act. A discussion paper was placed before the Canadian public in 2000
and a bill placed before Parliament by the Minister of Health as Bill C-56
on May 9, 2002 (re-introduced in the same form as Bill C-13 on October 9,
2002). The bill would prohibit the cloning of human beings, modifying the
germ line identity of human beings and the use of human embryos for
industrial or commercial purposes. At the same time, Bill C-13 would
not prevent inventions in that regard from being patented in
Canada. This illustrates, again, the fundamental distinction made by
Parliament between patentability of an invention and regulation of
activity associated with an invention.
C. The Commercial and Scientific
Context
16 Biotechnology is global
in scope. Worldwide demand is expected to more than double from $20
billion in 1995 to $50 billion by 2005. Canada is a significant player.
Statistics Canada reports that Canada's biotechnology sector in 1999
generated almost $2 billion in revenues, including $718 million in
exports. These revenues are expected to exceed $5 billion in 2002. The
Canadian Biotechnology Advisory Committee (CBAC), formed in 1999 to advise
the federal government on these matters, recently reported that Canada has
more biotechnology companies per capita than any other country:
Patenting of Higher Life Forms and Related Issues: Report to the
Government of Canada Biotechnology Ministerial Coordinating Committee,
June 2002, p. 2. It was calculated by Ernst & Young in its
Seventh Annual European Life Sciences Report 2000, that Canada is
second behind the U.S. in terms of number of companies, third behind the
U.S. and U.K. in revenues, and first in R & D per employee.
17 Genetic tests and
"engineered" products hold out the possibility of modifying genetic
mutations that either cause a disorder (e.g., Tay-Sachs disease, cystic
fibrosis, Huntington's disease) or are responsible for increasing an
individual's risk to develop, at some point during his or her lifetime, a
particular disease (e.g., breast cancer). In addition, some research
indicates a genetic element in some "behavioural illnesses" such as
schizophrenia, Alzheimer's, autism, attention-deficit hyperactivity
disorder, and Tourette's syndrome: P. S. Florencio, "Genetics,
Parenting, and Children's Rights in the Twenty-First Century" (2000), 45
McGill L.J. 527, at p. 535.
18 This is not to suggest
that because something is beneficial it is necessarily patentable. As
stated, such value judgments have been excluded from the administration of
the Patent Act. It is to say, however, that the massive investment
of the private sector in biotechnical research is exactly the sort of
research and innovation that the Patent Act was intended to
promote.
D.Financing Research and
Development
19 As this case
demonstrates, even university research has to be paid for, and
intellectual property rights are an important contributor.
20 We are told that in the
United States (comparable statistics do not seem to be available in
Canada), a health-related biotechnology product on average costs between
200 and 350 million dollars (U.S.) to develop, and takes 7 to 10 years
from the research and development stage to bring it to market (Statistics
Canada, Biotechnology Use and Development -- 1999 (March 2001), at
p. 25). One would think it in the public interest to shorten the time
and reduce the cost of research designed to minimize human suffering, and
to reward those who develop research tools (such as the oncomouse) that
might make this possible, provided the inventors disclose their work for
others to build on.
21 Transgenic mice,
including the oncomouse, have a role of potential importance. The evidence
is that use of transgenic mice improves the effectiveness of the research
that can be done, and shortens the time required to produce results. As
Dr. Philip Leder, the co-inventor of the oncomouse, told a U.S.
Congressional hearing in 1989:
In the past few weeks, the gene for
cystic fibrosis has been identified and the ability to replace this gene,
for example, in a mouse, with the defective human cystic fibrosis gene
would constitute an extremely powerful model system for the development of
an effective treatment.
For individuals and families at risk for
this and other diseases, this would represent a priceless asset.
(Quoted in T. Schrecker et al.,
Ethical Issues Associated with the Patenting of Higher Life Forms
(1997), at pp. 25-26.)
22 Dr. Leder's view is
widely shared:
Transgenic mice produced by DNA injection
have been employed in a vast range of studies. For instance the method
allows evaluation of the effects of gene mutations thought to be
implicated in the inception of cancer. It has also contributed greatly to
our understanding of the immune defence system. Indeed there are few areas
of biology which have not been illuminated by the study of transgenic
mice.
(Extract from J. Bishop,
Transgenic Mammals (1999), at p. 7)
23 The CBAC report of June
2002 observed that healthcare is the major beneficiary of biotechnology.
"More than 90 per cent of the advanced biotechnology products on the world
market are related to health. It is expected that about three-quarters of
global biotechnology demand will continue to be in this area"
(supra, p. 2). Medical research inevitably relates to life,
and its products will often impinge, directly or indirectly, on "higher
life forms".
24 The practical
application of biotechnology is in large measure the preoccupation
of enterprises that need to profit from their successes to finance
continued research on a broader front. These successes are few and far
between (Statistics Canada, supra, at pp. 13-14). It seems
Du Pont spent about US$15 million to fund the oncomouse research:
C. Arthur, "The onco-mouse that didn't roar" (1993), 138 New
Scientist 4. Leder, the afore-mentioned co-inventor of the Harvard
mouse, made the point to Congress as follows:
[T]he great and costly engine for
invention can only be effectively driven with the support from the private
sector, motivated to serve a public need.
The patent system offers the only
protection available for the intellectual product of this research, and
thus, the only hope of a fair return against the great financial risks
that investment in biotechnology entails.
(Quoted in Schrecker, supra, at
p. 25.)
25 There are those who
question the level of incentive required to induce sufficient research in
the biomedical field. Professor Gold of McGill University argues:
The argument for greater patent
protection should be understood for what it is: an attempt to maximize
profit, not to maximize levels of innovation. Clearly, a company would
prefer to have as large a monopoly as possible. . . . But patent law is
not about individual profit maximization; it is about maximizing the
overall level of innovation in society. The two do not necessarily go
together.
(E. R. Gold, "Biomedical Patents and
Ethics: A Canadian Solution" (2000), 45 McGill L.J. 413, at
p. 423)
Nevertheless it is indisputable that vast
amounts of money must be found to finance biomedical research. It is
necessary to feed the goose if it is to continue to lay the golden eggs.
The Patent Act embodies the public policy that those who directly
benefit from an invention should be asked, through the patent system, to
pay for it, at least in part.
E. Patenting Life Forms in
Canada
26 My colleague,
Bastarache J., comments that "[t]he patentability of lower life forms
is not at issue before this Court, and was in fact never litigated in
Canada" (para. 198). However, certain enzyme products (which are
living matter) were held to be patentable by this Court 60 years ago in
Continental Soya Co. v. J. R. Short Milling Co. (Canada) Ltd.,
[1942] S.C.R. 187, as were engineered micro-organisms used as an
antibiotic in Laboratoire Pentagone Ltée v. Parke, Davis & Co.,
[1968] S.C.R. 307.
27 The attempt to patent
life forms last came before this Court in Pioneer
Hi-Bred Ltd. v. Canada (Commissioner of Patents), [1989] 1 S.C.R.
1623. In that case, a patent was sought for a new soybean variety
developed from artificial crossbreeding and selection, but cultivated
naturally. The applicant's "disclosure" consisted of depositing seed
samples with the Patent Office. This Court upheld the rejection of the
patent application on the basis that filing a seed sample did not meet the
disclosure requirements of s. 36(1) of the Patent Act, R.S.C.
1970, c. P-4, which then (as now (s. 27(3)) required the
inventor to set forth clearly the various steps required to make the
"composition of matter, in such full, clear, concise and exact terms as to
enable any person skilled in the art or science to which it appertains, or
with which it is most closely connected, to make . . . it". In light of
the deficient disclosure, the Court expressly declined to go on to
consider whether the new soybean variety could be regarded as an invention
within the meaning of s. 2.
28 In the course of his
reasons for the Court, however, Lamer J. (as he then was) pointed out
an important distinction between two approaches to "genetic engineering".
The first method (employed by Pioneer Hi-Bred) was hybridization and
selection. In this method, "[t]here is thus human intervention . . . which
does not alter the actual rules of reproduction, which continues to obey
the laws of nature" (pp. 1632-33).
29 The second method (which
was used here to develop the oncomouse) requires
a change in the genetic material -- an
alteration of the genetic code affecting all the hereditary material --
since in the latter case the intervention occurs inside the gene itself.
The change made is thus a molecular one and the "new" gene is thus
ultimately the result of a chemical reaction, which will in due course
lead to a change in the trait controlled by the gene. While the first
method [crossbreeding] implies an evolution based strictly on heredity and
Mendelian principles, the second also employs a sharp and permanent
alteration of hereditary traits by a change in the quality of the genes.
[p. 1633]
30 I do not think
Lamer J. expressed any doubt that an "alteration of the genetic code
affecting all the hereditary material" produced "an invention" (although
he did not decide the point). His doubts seemed rather to be related to
whether crossbreeding without altering the genetic code using
modern variants of techniques that are almost as old as agriculture itself
was inventive within the scope of the Act (at p. 1634):
The courts have regarded creations
following the laws of nature as being mere discoveries the existence of
which man has simply uncovered without thereby being able to claim he has
invented them. Hi-Bred is asking this Court to reverse a position long
defended in the case law.
The Harvard researchers did not merely
"uncover" a naturally occurring oncomouse. The complexity of the genetic
splicing did not "follow" the laws of nature, but was a human intervention
of a high order. They engineered that part of its genetic code that
appears to be responsible for its commercial value.
31 Reference should also be
made to Re Application of Abitibi Co. (1982), 62 C.P.R. (2d) 81
(Pat. App. Bd.), in which the applicant sought to patent a living
organism, namely a "mixed fungal yeast culture system" (p. 83) useful
in digesting effluent from wood pulp mills. In holding the subject matter
to be patentable, the Patent Appeal Board rejected the Patent Office's
somewhat narrow view "derived from a time when the many gradations of
living forms were not as fully apprehended as is now possible" (General
Electric Co.'s Application (Patent), [1961] 2 R.P.C. 21, at
p. 25, cited in Abitibi at p. 85). Somewhat in advance of
its time, the Patent Appeal Board in Abitibi then commented at
p. 90 that "[i]f an inventor creates a new and unobvious insect
[i.e., a "higher life form"] which did not exist before (and thus
is not a product of nature), and can recreate it uniformly and at will,
and it is useful (for example to destroy the spruce bud worm), then it is
every bit as much a new tool of man as a micro-organism" and thus, subject
to certain conditions as to reproducibility, patentable. In relation to
the Abitibi micro-organism at hand, the Patent Appeal Board ruled (at
p. 91):
The organism, to be claimed, should not
of course have existed previously in nature, for in that event the
"inventor" did not create it, and his "invention" is old. It must also be
useful, in the sense that it carries out some useful known objective, such
as separating oil from sand, producing antibiotics or the like. It cannot
be a mere laboratory curiosity whose only possible claim to utility is as
a starting material for further research. And it must be sufficiently
different from known species that it can be said that its creation
involved the necessary element of inventive ingenuity. In the present case
we believe the product claims meets these tests, and the [Patent Office]
objection should be withdrawn.
32 In Re Application for
Patent of Connaught Laboratories (1982), 82 C.P.R. (2d) 32, the Patent
Appeal Board allowed that cell lines derived from "higher life forms" were
patentable, thus removing another possible dividing line. Not all aspects
of "higher life forms" were unpatentable. The Patent Office (now the
Canadian Intellectual Property Office) regularly allows patents on human
genes, proteins, cells and DNA sequences. Under Canadian law, it is not
"life" per se which is unpatentable. The issues are, rather, the
view taken by the Commissioner to narrow the range of living matter to be
considered patentable, and where in the Patent Act is there
statutory authority for the line the Commissioner wants to draw?
F. Patenting of "Higher Life Forms" in
Comparable Jurisdictions
33 In 1873, Louis Pasteur
was granted a patent in the United States on a certain yeast, which is a
living organism.
34 A patent for the Harvard
oncomouse was issued by the United States Patent Office on April 12, 1988
and by the European Patent Office on May 13, 1992, despite the explicit
power under the European Patent Convention to refuse a patent based
on "morality" or "ordre public". As mentioned earlier, a similar
patent has been issued in Japan, and New Zealand has issued a patent for a
transgenic mouse.
35 The appellant
Commissioner's principal argument is that to allow the oncomouse patent
would be to "expand" the scope of the Patent Act (i.e., his factum,
paras. 2, 3, 35 and 73), but the opposite conclusion reached in so
many countries with comparable legislation suggests the contrary. In those
jurisdictions, patents for the oncomouse have been issued without any need
for legislative amendment, including the United States where the language
of our definition of "invention" originated. The Commissioner seeks to
restrict the legislative definition of invention, and he does so
(in my view) for policy reasons unrelated to the Patent Act or to
its legitimate role and function.
36 The majority of the
Federal Court of Appeal in this case found persuasive the interpretative
principles applied by the United States Supreme Court in Diamond v.
Chakrabarty, 447 U.S. 303 (1980). In that case the inventor, Al
Chakrabarty, had genetically engineered bacteria capable of breaking down
crude oil spills. The invention was environmentally useful but the
bacteria, necessarily, were alive. One of the arguments made by the U.S.
Commissioner of Patents and Trademarks, echoed in this appeal before us 22
years later, was that
micro-organisms cannot qualify as
patentable subject matter until Congress expressly authorizes such
protection. [The Commissioner's] position rests on the fact that genetic
technology was unforeseen when Congress enacted § 101. From this it is
argued that resolution of the patentability of inventions such as
respondent's should be left to Congress. The legislative process, the
[Commissioner] argues, is best equipped to weigh the competing economic,
social, and scientific considerations involved, and to determine whether
living organisms produced by genetic engineering should receive patent
protection. [p. 314]
37 Burger C.J.'s
answer (at p. 315), also applicable here, was that "[i]t is, of
course, correct that Congress, not the courts, must define the limits of
patentability; but it is equally true that once Congress has spoken it is
`the province and duty of the judicial department to say what the law
is'". The 5-4 majority held at pp. 309-10 that the inventor's
micro-organism
plainly qualifies as patentable subject
matter. His claim is not to a hitherto unknown natural phenomenon, but to
a nonnaturally occurring manufacture or composition of matter -- a
product of human ingenuity "having a distinctive name, character [and]
use". [Emphasis added.]
The proper distinction was not living
versus inanimate but between the discovery of a product of
nature (whether living or not) versus a human-made
invention. Burger C.J. did not subscribe to the notion that
patents could be obtained for "anything under the sun that is made by
man", quoted as part of his narrative in footnote 6. In fact, at
p. 309, he specifically states that "[t]his is not to suggest that
[the Act] has no limits or that it embraces every discovery". On the
contrary, the patent issued because its subject matter was held to be a
"manufacture" or "composition of matter" within the statutory test laid
down by Congress. "A rule that unanticipated inventions are without
protection would conflict with the core concept of the patent law that
anticipation undermines patentability" (Chakrabarty, at
p. 316).
38 The appellant
Commissioner argues that Chakrabarty should be rejected because of
differences he perceives in the legislative history in Canada and the
United States, an allegedly different common understanding of what
"composition of matter" meant when the Patent Act was passed in
1869, and subsequent legislative action in Canada in 1990 with respect to
plant breeders (factum, at paras. 60 and 61). In my view, for reasons
given below, these distinctions are not well founded but, in any event,
the only interest we have in Chakrabarty is the extent to which its
reasoning adds persuasive force to the respondent's argument and confirms
harmony, broadly speaking, in intellectual property matters among
like-minded jurisdictions.
G. The Interpretation of Section 2 of
the Patent Act
39 The appellant
Commissioner denies that a patent can be obtained in Canada for "anything
under the sun that is made by man" and I agree. He says that this
expression, used in Congressional hearings in 1952, distinguishes the U.S.
legislative history from ours, but this is not so, strictly speaking. A
1952 expression of opinion by a Congressional Committee almost 150 years
after the definition was inserted into the U.S. Patent Act of 1793
is scarcely contemporanea expositio.
40 The check on the
indiscriminate grant of patents lies in the established criteria of
utility, novelty and non-obviousness. Those are the criteria judged by
Parliament to be relevant to its statutory purpose, which is to encourage
ingenuity by rewarding its disclosure. The expression "composition of
matter" was included in our patent laws prior to Confederation. It appears
in 1824 in the Lower Canada statute entitled An Act to promote the
progress of useful Arts in this Province, 4 Geo. 4, c. 25, and in
Upper Canada two years later in An Act to Encourage the Progress of
Useful Arts within this Province, 7 Geo. 4, c. 5. The 1826 Act
included the terms "manufacture" and "composition of matter" in the
preamble setting out its object:
WHEREAS it is expedient for the
encouragement of Genius and of Arts in this Province to secure an
exclusive right to the Inventor of any New and Useful Art, Machine,
Manufacture, or Composition of Matter . . . .
41 Section 91(22) of the
Constitution Act, 1867, assigned legislative competence in respect
of "Patents of Invention and Discovery" to Parliament which two years
later defined patentable subject matter as follows:
Any person . . . having invented or
discovered any new and useful art, machine, manufacture, or composition
of matter, or any new and useful improvement on any art, machine,
manufacture or composition of matter, not known or used by others
before his invention or discovery thereof, or not being at the time of his
application for a patent in public use or on sale in any of the Provinces
of the Dominion with the consent or allowance of the inventor or
discoverer thereof . . . . [Emphasis added.]
(Act respecting Patents of
Invention, S.C. 1869, c. 11, s. 6)
The wording has not changed much in the
intervening years, apart from dropping the reference to "discovery".
Section 2 of the present Patent Act now provides as follows:
"invention" means any new and useful art,
process, machine, manufacture or composition of matter, or any new and
useful improvement in any art, process, machine, manufacture or
composition of matter;
« invention » Toute réalisation, tout
procédé, toute machine, fabrication ou composition de matières, ainsi que
tout perfectionnement de l'un d'eux, présentant le caractère de la
nouveauté et de l'utilité.
42 It is common ground that
to meet the subject matter criteria of the Patent Act the oncomouse
must qualify as a "composition of matter" or a "manufacture".
(i) "Composition of Matter"
43 "Composition of matter"
(composition de matières) is an open-ended expression. Statutory
subject matter must be framed broadly because by definition the Patent
Act must contemplate the unforeseeable. The definition is not
expressly confined to inanimate matter, and the appellant Commissioner
agrees that composition of organic and certain living matter can be
patented. In the case of the oncomouse, the modified genetic material is a
physical substance and therefore "matter". The fertilized mouse egg is a
form of biological "matter". The combination of these two forms of matter
by the process described in the disclosure is thus, as pointed out by
Rothstein J.A. ([2000] 4 F.C. 528, at para. 120), a "composition
of matter".
44 What, then, is the
justification under the Patent Act for drawing a line between
certain compositions of living matter (lower life forms) and other
compositions of living matter (higher life forms)?
45 My colleague,
Bastarache J., quotes from the Oxford English Dictionary (2nd
ed. 1989), vol. IX, at p. 480, the entry that "matter" is a
"[p]hysical or corporeal substance in general . . ., contradistinguished
from immaterial or incorporeal substance (spirit, soul, mind), and from
qualities, actions, or conditions", but this, of course, depends on
context. "Matter" is a most chameleon-like word. The expression "grey
matter" refers in everyday use to "intelligence" -- which is about
as incorporeal as "spirit" or "mind". Indeed, the same Oxford editors
define "grey matter" as "intelligence, brains" (New Shorter Oxford
English Dictionary (1993), vol. 1, at p. 1143). The
primary definition of matter, according to the Oxford English
Dictionary, is "[t]he substance, or the substances collectively, out
of which a physical object is made or of which it consists; constituent
material" (p. 479). The definition of "matière" in Le Grand
Robert de la langue française (2nd ed. 2001), vol. 4, quoted by my
colleague, is to the same effect. The question, then, is what, in the
Commissioner's view, is the "constituent material" of the oncomouse
as a physical entity? If the oncomouse is not composed of matter, what,
one might ask, are such things as oncomouse "minds" composed of? The
Court's mandate is to approach this issue as a matter (that slippery word
in yet another context!) of law, not murine metaphysics. In the absence of
any evidence or expert assistance, the Commissioner now asks the Court to
take judicial notice of the oncomouse, if I may use Arthur Koestler's
phrase, as a "ghost in a machine" but this pushes the scope of judicial
notice too far. With respect, this sort of literary metaphor (or its
dictionary equivalent) is an inadequate basis on which to narrow the scope
of the Patent Act, and thus to narrow the patentability of
scientific invention at the dawn of the third Millennium.
(ii) Defining the Exception for
"Higher Life Forms"
46 The appellant
Commissioner says the Federal Court of Appeal erred by allowing a patent
on a "higher intelligent life form", but he himself offers no definition
of an "intelligent" life form, much less does he identify a dividing line
between a "higher" intelligent life form and a "lower" intelligent life
form.
47 The Patent Act
does not distinguish, in its definition of invention, between subject
matter that is less complex ("lower life forms") and subject matter that
is more complex ("higher life forms"). The degree of complexity is not a
criterion found in the Act or in the jurisprudence in determining
patentability. The distinction between "lower life forms" and "higher life
forms" in its application to s. 2 is the invention of the Patent
Office.
48 While refusing to issue
a patent for a higher animal life form in this case, the
Commissioner has issued patents under the Patent Act for higher
plant life forms: see, e.g., Canadian Patent 1,313,830 issued
February 23, 1993 for "Roundup Ready Canola", a genetically modified
plant, recently before the courts in Monsanto Canada Inc. v.
Schmeiser, [2003] 2 F.C. 165, 2002 FCA 309.
49 The CBAC report says, at
p. 6:
The term "higher life form" is not
defined in law. In common usage, it includes plants and non-human animals
other than single-celled organisms. [Emphasis added.]
The line, on this view, is not drawn
between sentient beings and non-sentient beings or intelligent beings and
unintelligent beings, but between simple one-cell organisms (such as
bacteria) and their more complicated cousins, perhaps as rudimentary as
moulds or other fungi.
50 Other approaches abound.
In a paper prepared for the Intellectual Property Policy Directorate of
Industry Canada, A Study of Issues Relating to the Patentability of
Biotechnological Subject Matter (1996), J. R. Rudolph offered the
following explanation, at pp. 11-12:
Microorganisms are a large and diverse
group of organisms consisting of only one cell or cell clusters of
prokaryotic or eucaryotic cells. Examples of eukaryotic organisms are
algae, fungi, molds and yeasts. An example of prokaryotes is bacteria. An
important distinction between single cells or cell clusters which are
microorganisms, and single cells or cell clusters which are not
microorganisms, is that microbial cells are able to live alone in nature:
single animal or plant cells or cell clusters are unable to exist by
themselves in nature and can only be successful in either a specialized
environment such as a culture system (typically created by man in the
laboratory) or as part of a multicellular organism such as a plant or
animal. The so-called "higher life forms" are complex multicellular
organisms such as simple plants or oysters, for example, which contain
thousands or hundreds of thousands of cells. The human, which is a complex
multicellular organism, has been estimated to contain at least 1014 cells.
[Emphasis added.]
51 My colleague,
Bastarache J., takes the view that a key factor is "the unique
ability of higher life forms to self-replicate" (para. 170), but in
fact self-reproduction is also a fundamental characteristic of "lower life
forms". Indeed, one of the most widely held objections to the genetically
engineered bacteria in the Chakrabarty case was the potential for
such unnatural bacteria to escape and reproduce in the wild with unknown
consequences for the environment.
52 The various distinctions
attempted to be made between "patentable" lower life composition of matter
and "unpatentable" higher life composition of matter, shows, I
think, the arbitrariness of the Commissioner's approach. My colleague
writes at para. 199:
The distinction between lower and higher
life forms, though not explicit in the Act, is nonetheless defensible on
the basis of common sense differences between the two.
With respect, there seems to be as many
versions of "common sense" as there are commentators:
(1)Some would say all living
organisms are excluded (e.g., Brennan J. for the dissenters in
Chakrabarty);
(2)Some would allow micro-organisms but
only those that can be produced en masse with identical
features, like bacteria. In Re Abitibi, supra, the
Patent Appeal Board recommended that patents extend "to all new life forms
which are produced en masse as chemical compounds are prepared, and
are formed in such large numbers that any measurable quantity will possess
uniform properties and characteristics" (p. 89). "Mass" live
organisms have a long history of patentability, including food products
such as beer and yogurt.
(3) Then there are the proponents of
"higher life" organisms versus "lower life" organisms, the
latter being defined by the CBAC as having only a single cell.
(4)Others divide the universe between
prokaryotic cells (e.g., bacteria and certain forms of algae) and
eukaryotic cells (more complex life forms) and consider "higher"
life forms to start only with more "complex" multicellular organisms.
(5)The Patent Appeal Board allowed
multi-celled organisms such as moulds and fungi in Connaught
Laboratories, supra.
(6)Some argue that "complex life
forms" are unpatentable. Nadon J. took this position at trial in this
case, [1998] 3 F.C. 510, at para. 35.
(7)The Commissioner issues patents for
genetically modified complex plants (Monsanto, supra)
but refuses to issue a patent for a genetically modified complex
mouse.
(8)Others draw the line at
sentient beings.
(9)Still others draw the line at
"intelligent" beings.
(10)The Commissioner opened his argument
in this case by asking whether "a complex, intelligent, living being could
be considered an invention".
53 In my view, none of
these proposed dividing lines arise out of the present text of the
Patent Act. All of them are policy driven and, if they are to be
introduced at all, should be introduced by Parliament.
54 The Federal Court of
Appeal and CBAC drew the line at human bodies in their entirety at
any stage of development, as discussed below. The true basis for the
exclusion is not extraneous to the Patent Act but lies in an
explicit limitation in s. 40 which provides that:
40. Whenever the Commissioner is
satisfied that an applicant is not by law entitled to be granted a
patent, he shall refuse the application . . . . [Emphasis added.]
40. Chaque fois que le commissaire
s'est assuré que le demandeur n'est pas fondé en droit à obtenir la
concession d'un brevet, il rejette la demande . . . [Emphasis added.]
The reference to "by law" is not limited
to the Patent Act itself (as the French version "fondé en
droit" makes clear). It has been established for over 200 years that
people cannot, at common law, own people: Somerset v. Stewart
(1772), Lofft 1, 98 E.R. 499 (K.B.). The issue of whether a human being is
a "composition of matter" does not, therefore, arise under the Patent
Act. If further reinforcement is required, ss. 7 and 15 of the
Canadian Charter of Rights and Freedoms would clearly prohibit an
individual from being reduced to a chattel of another individual.
55 The situation here bears
some resemblance to Bishop
v. Stevens, [1990] 2 S.C.R. 467, a copyright case, where this
Court refused to read an "implied exception to the literal meaning"
(p. 480) of the broad rights given to copyright holders in
s. 3(1)(d) of the Copyright Act, R.S.C. 1985,
c. C-42. McLachlin J. (as she then was) stated that "policy
considerations suggest that if such a change is to be made to the Act it
should be made by the legislature, and not by a forced interpretation"
(p. 485). And so it is in this case too.
56 The difference between
the Commissioner and the CBAC is that the Commissioner wants the judges to
read down the word "matter" to include only a subdivision of "matter"
whereas the CBAC is making its proposal to the government, and through the
government to Parliament, which is the proper forum in which such
restrictions or regulatory structures should be debated and resolved.
(iii) "Manufacture"
57 The inventors argued
that the oncomouse falls within the extended definition of
"manufacture" in s. 2. I do not accept that view, but the submission is of
significance in terms of the correct approach to the interpretation of the
Patent Act. The English law of patents finds its root in the
Statute of Monopolies (1623), which defined the permissible subject
matter for a patent in a rather limited way as the "sole working or
makinge of any manner of new Manufactures" (s. 6). The definitional
approach adopted by my colleague, Bastarache J., leads him to define
"manufacture" in the context of the present s. 2 of the Act as "a
non-living mechanistic product or process" (para. 159). However, the
tradition of patent jurisprudence has been expansive, not restrictive. By
1851 the learned text Godson on Patents (2nd ed.) noted that the
word "manufactures" had received from the English courts "very extended
signification. It has not, as yet, been accurately defined; for the
objects which may possibly come within the spirit and meaning of that act,
are almost infinite" (p. 35 (emphasis added)).
58 Of course the word
"manufacture" in our statute appears in conjunction with the words "art, .
. . machine . . . or composition of matter" and must be read in context.
Nevertheless, it is, I think, worth pointing out the contrast between the
expansionist view that has characterized patent jurisprudence to date and
the limiting view of the words "manufacture" and "composition of matter"
now proposed by my colleague.
59 We should not encourage
the Commissioner to try to circle each of the five definitional words with
tight language that creates arbitrary gaps between, for example,
"manufacture" and "composition of matter" through which useful inventions
can fall out of the realm of patentability. To do so would conflict with
this Court's earlier expression of a "judicial anxiety to support a really
useful invention": Consolboard Inc. v. MacMillan Bloedel (Sask.)
Ltd., [1981] 1 S.C.R. 504, per Dickson J. (as he then
was), at p. 521, citing Hinks & Son v. Safety Lighting Co.
(1876), 4 Ch. D. 607. The definition of invention should be read as a
whole and expansively with a view to giving protection to what is novel
and useful and unobvious.
H. Negative Inference from the
Plant Breeders' Rights Act
60 The Commissioner argues
that we should take from the passage in 1990 of the Plant Breeders'
Rights Act, S.C. 1990, c. 20, the negative inference that plants
were not intended by Parliament to be patentable under the Patent
Act. (I leave aside, for present purposes, the Commissioner's
inconsistency in issuing a patent for Roundup Ready Canola in 1993, three
years after the Plant Breeders' Rights Act was enacted -- see
Monsanto, supra.) From this questionable premise, the
Commissioner reasons that, if plants are not patentable subject matter,
the exclusion must also apply to other "higher life forms" such as seeds
and animals, all of which are able to reproduce themselves. When
Pioneer Hi-Bred was before the Federal Court of Appeal,
Marceau J.A. expressed the view that, if Parliament had intended to
include plants in the Patent Act, he would have expected that in
the definition of invention in s. 2 "words such as `strain',
`variety' or `hybrid' would have appeared" ([1987] 3 F.C. 8, at p.
14).
61 I do not accept this
argument. Firstly, there is nothing in the Plant Breeders' Rights
Act that expressly bars an application under the Patent Act,
which confers much more exclusive and valuable rights. The Plant
Breeders' Rights Act grants protection for 18 years on the sale
and propagation for sale of enumerated new plant varieties -- cultivars,
clones, breeding lines, or hybrids that can be cultivated. The plant
breeder pays "annual maintenance fees and [must] provide propagating
material throughout the term of [protection]. The right does not prevent
the development of different varieties from protected plants or the use of
seeds taken from protected varieties": D. Vaver, Intellectual
Property Law: Copyright, Patents, Trade-marks (1997), at p. 126.
As to the legislative purpose of the Plant Breeders' Rights Act, I
agree with my colleague, Bastarache J., when he writes, at
para. 192:
[I]t may well be that the Plant
Breeders' Rights Act was passed not out of recognition that higher
life forms are not a patentable subject matter under the Patent
Act, but rather out of recognition that plant varieties deserve some
form of intellectual property protection despite the fact that they often
do not meet the technical criteria of the Patent Act.
The rights available under the Plant
Breeders' Rights Act fall well short of those conferred by patent,
both in comprehensiveness and in duration.
62 Secondly, to address the
comment of Marceau J.A., use of specific terms such as "strain" or
"hybrid" would undermine the generality that s. 2 seeks to achieve by
use of the term "composition of matter".
63 Thirdly, the Patent
Act language reaches back (as stated) prior to Confederation. This
particular argument suggests that a "negative inference", arising when the
plant legislation was enacted in 1990, should somehow be read back to
narrow a definition that had at that time been in effect more than a
century. This would amount to a repeal by implication, and would
necessarily require an inconsistency between the two pieces of
legislation. There is no such inconsistency. Rights acquired under both
Acts can live together. Similar arguments were rightly rejected by the
United States Supreme Court in J.E.M. Ag Supply, Inc. v. Pioneer
Hi-Bred International, Inc., 122 S. Ct. 593 (2001).
I. Nature of Rights Granted by a
Patent
64 A patent does not exempt
the owner from any relevant regulation or prohibition. While s. 44
(now s. 42) of the Patent Act gives the owner, as against the
rest of the world, "the exclusive right, privilege and liberty of
making, constructing and using the invention and selling it to others to
be used" (emphasis added), and in that respect is framed as a positive
right, its effect is essentially to prevent others from practising an
invention that, but for the patent monopoly, they would be permitted to
practise. In exchange for disclosure to the public, the patent protects
the disclosed information from unauthorized use for a limited time.
65 The limited nature of
the rights conferred by a patent was fully appreciated by CBAC in its
Interim Report, Biotechnology and Intellectual Property: Patenting of
Higher Life Forms and Related Issues (November 2001), at
p. vi:
It is crucial for rational debate on
questions related to what should or should not be patentable to recognize
that patents confer only prohibitive rights. The Canadian patent system is
not designed to decide about what uses of technology are permissible
nor is the Patent Act designed to prevent
dangerous or ethically questionable inventions from being made, used, sold
or imported. The responsibility and tools for dealing with such
matters resides elsewhere (e.g., through regulatory approval or product
safety processes). [Emphasis added.]
I agree with this observation. This is
not to say that patents are "neutral", or have no link to the ethical and
social issues raised by the interveners. It is to say that those issues
transcend the narrow question of patentability circumscribed by ss. 2
and 40 of the Patent Act.
J. A Working Definition of
"Life"
66 The subtext of much of
the argument for the appellant Commissioner and his supporters invokes
Dolly the cloned sheep and the potential of eugenics and "designer" human
beings. However, the scientific notion of life begins at a much lower
level. There is a good deal of debate about what constitutes "life" but
some consensus about a few of its characteristics. These include the
capacity to grow and develop (including reproduction), i.e., a metabolism,
the ability of an organism to draw energy from its environment for this
purpose, and the ability to respond to stimuli. Other characteristics are
sometimes added. For example, the Massachusetts Institute of Technology,
in designing its probe for extraterrestrial "life", suggests that the
definition of live organisms includes their tendency to ensure
self-preservation, and that they be significantly differentiated from
their surrounding environment.
67 Life is no less wondrous
at the microscopic level, and to think of "life" primarily in terms of
dolphins, chimpanzees and blue whales (examples urged by the appellant
Commissioner in the oral hearing) is something of an
oversimplification.
68 Some of the interveners
objected to Harvard claiming credit for inventing a form of life. The
Canadian Council of Churches and Evangelical Fellowship of Canada
protested that the analysis of Rothstein J.A. "is built on a false
premise that this [oncomouse] was a new form of life. It is not". That is
true, of course. Harvard did not construct the mouse from scratch, nor did
it create "life". What it did was to modify the genome of the oncomouse so
that every cell in its body contained a modified gene. It is not like
adding a new and useful propeller to a ship. The oncogene is everywhere in
the genetically modified oncomouse, and it is this important modification
that is said to give the oncomouse its commercial value, which is what
interests the Patent Act.
69 The point is that
Harvard is not being credited with inventing life. It claims to have
modified every cell of a living creature in a new and useful way, and to
the extent that modification is a valuable addition to the advancement of
learning, Harvard claims only whatever rewards the Patent Act
entitles it to for its disclosure.
K. The Ongoing Parliamentary Process
in Canada
70 The appellant
Commissioner of Patents invites the Court to intervene in the debate about
a proper legal framework for genetic research (or hasten its conclusion
prematurely) that is already underway in the government and in Parliament.
None of the parties suggested that the Patent Act was an adequate
vehicle to deal with biotechnology in general or the ethical issues
arising from research into "higher life forms" (however defined) in
particular. Patent rights are such a limited aspect of the debate that one
would not expect to find such comprehensive regulation jammed into the
Patent Act.
71 Parliament seems to be
of that view. On May 9, 2002, as mentioned, the Minister of Health
introduced into Parliament the Assisted Human Reproduction Act
based in part on the work of CBAC. In its recent report dated June 2002,
the CBAC accepted that life forms come within the definition of
"invention" of the present patent legislation, and recommended that life
forms continue to be patentable, but proposed an express exception
in the case of human life as follows (at p. x):
No patent shall be granted on human
bodies at any stage of development.
This, as earlier stated, is consistent
with both the common law and the Charter. Such an amendment, the
CBAC reasoned, at p. 9, would
apply only to entire human bodies from
the zygote to an adult body; DNA sequences, gametes, stem and other cells,
or organs will remain patentable. [Emphasis added.]
72 The CBAC emphasized that
its proposed exemption related to the "whole human body and not . . . its
parts" (for example, artificially created human organs), and intended the
proposed exception to be "read narrowly" (p. 9). "It is important"
opines the CBAC, "not to discourage research on stem cells and the
creation of artificial organs" (p. 9). The CBAC recommended
against extending non-patentability to non-human
animals (which again presumes that under the current Patent Act
non-human animals are patentable). The Patent Act is "not a
sufficiently subtle instrument" for those evaluations, and the "dignity of
and respect for animals can be better protected through animal welfare and
habitat protection measures" (p. 10).
73 The majority of the CBAC
also concluded that the "overall public good is best attained by providing
patent rights over higher life forms, provided that these rights are no
greater in substance than those granted over other inventions, taking into
account the particularities of biologically based inventions"
(p. 11). Given that one of those particularities is the ability to
reproduce, among other characteristics, the CBAC states that this
recommendation must be read together with several other recommendations,
including the farmers' privilege, protection for innocent bystanders,
research and experimental use exception, guidelines for biological
inventions, and establishment of an opposition procedure.
74 It is not our job to
comment on the CBAC proposals one way or the other except to say that they
are directed to the proper destination -- the legislators.
L. Policy Arguments Against Granting a
Patent for the Oncomouse
75 The appellant
Commissioner contends that the Federal Court of Appeal showed no
understanding that this case is a "harbinger of a new era". The majority
judgment, he says, looked narrowly at the case but failed to consider the
broader context. What may have appeared as a small step for the oncomouse
was, so to speak, a very large policy leap for patentability.
Nevertheless, we must deal with the Patent Act as it is. Change
ought to come through statutory amendment, not by the Court reading down
the Patent Act to exclude non-human "higher life forms" from
patentability by creative statutory interpretation.
76 The Court heard from a
coalition of advocates opposed to the granting of a patent, including
religious, environmentalist, agricultural, and non-profit research groups
in addition to the concerns voiced by the Commissioner himself.
(i) The Religious Objection
77 Some opponents object to
scientists "playing God". A hint, perhaps, of their objection is reflected
in the reasons of my colleague, Bastarache J., at para. 163:
Although some in society may hold the
view that higher life forms are mere "composition[s] of matter", the
phrase does not fit well with common understandings of human and animal
life.
78 I do not think that a
court is a forum that can properly debate the mystery of mouse life. What
we know, in this case, is that the inventors were able to modify a
particular gene in the oncomouse genome, and produce a new, useful and
unobvious result. That is all we know about the mysteries of oncomouse
life and, in my view, it is all we need to know for the purposes of this
appeal.
(ii) The "Lack of Regulatory
Framework" Objection
79 As already mentioned,
much of the Commissioner's argument turned on the lack of the regulatory
framework that is necessary, he says, to address the ethical and
scientific issues raised by genetic research. The argument is that because
in his view genetic patents should be regulated, and because the Patent
Act fails to do the job, Parliament cannot in 1869 have intended to
grant patents for genetically engineered "higher" life forms. My
colleague, Bastarache J., accepts this argument at para. 167,
where he writes:
. . . the fact that the Patent Act
in its current state is ill-equipped to deal appropriately with higher
life forms as patentable subject matter is an indication that Parliament
never intended the definition of "invention" to extend to this type of
subject matter.
With respect, I do not agree.
80 First, we all probably
have strong views that certain activities or things should be regulated.
Some say contraceptive devices should not be patented because their use is
immoral and unregulated. Others might wish to deny patents to
environmentally risky chemical compositions for which, in their view,
there is no adequate regulation. On the other hand, others feel that the
use of potentially dangerous inventions like explosives and firearms
should not be regulated. I do not think patents should be denied as
a protest against perceived shortcomings in regulatory structures. The
opponents of such patents should address themselves to Parliament, not the
courts. As Rand J. commented in Commissioner of Patents v.
Winthrop Chemical Co., [1948] S.C.R. 46, at p. 57:
. . . the intention of a legislature must
be gathered from the language it has used and the task of
construing that language is not to satisfy ourselves that as used it is
adequate to an intention drawn from general considerations or to a
purpose which might seem to be more reasonable or equitable than
what the language in its ordinary or primary sense indicates. [Emphasis
added.]
This passage was quoted with approval in
a patent context by Pigeon J. in Tennessee Eastman Co. v.
Commissioner of Patents, [1974] S.C.R. 111, at p. 121, and again
by Lamer J. in Pioneer Hi-Bred, supra, at p. 1643.
What I consider to be the Commissioner's misinterpretation of s. 2 of
the Patent Act proceeds, with respect, from "general
considerations" of what he considers to be "reasonable or equitable"
regulation of a controversial area of biotechnology. His views may or may
not reflect desirable public policy but they have nothing to do with "the
language" used by Parliament in s. 2 of the Patent Act.
81 This is not to deny the
importance of context as an aid to statutory construction. It is simply to
say that a court has no mandate to deny patentability because of the
novelty or the potential social, economic or cultural impact of an
invention, whether it be nuclear technology in the 1950s, biotechnology in
the 1990s, or reproductive technology in the year 2002.
82 Second, regulation
necessarily follows, rather than precedes, the invention. No doubt most
people would agree that nuclear technology requires regulation; yet the
regulation could hardly have been anticipated in 1869, decades before
Ernest Rutherford, while at McGill University, with Frederick Soddy, first
formulated the theory of atomic disintegration. Prescription drugs are
regulated, but the regulatory structure for new drug approval is not in
the Patent Act. The grant of a patent does not allow the drug to be
marketed. Nor should it. Health and safety are not, and never have been,
the preoccupation of intellectual property legislation.
83 It is evident that there
are as many areas of potential regulation as there are areas of invention.
I think it is also evident that all of these regulatory regimes cannot and
should not be put under the inadequate umbrella of the Patent Act.
Parliament has shown a preference for using more specific statutes
altogether outside the framework of patent law. This allows Parliament to
tailor the statutory scheme and relevant incentives more precisely to the
subject matters involved. Such collateral legislative activity, however,
does not justify "reading down" the definition of "invention" in the
Patent Act, in my opinion.
(iii) The "Laws of Nature"
Objection
84 The appellant
Commissioner rejected the oncomouse patent in part because the inventors
exercised no control over the genetic characteristics of the mouse (hair
colour, length of whiskers, etc.) except for the presence of the oncogene.
Further, the Commissioner argued, the oncomouse is not reproducible en
masse like bacteria. The trial judge upheld these objections. The
animal resulting from the patented gene insertion process, he said, is
"completely unknown and unknowable" because the mouse's "inherent genetic
makeup" controls many characteristics and the whole mouse, with the
exception of the oncogene, is completely independent of human
intervention. This is true but not, in my opinion, relevant. The utility
of the invention has nothing to do with the length of the mouse's
whiskers. Its value, in terms of the patent, appears to reside wholly in
the oncogene.
85 My colleague,
Bastarache J., as stated, acknowledges that the fertilized
genetically modified egg is patentable (para. 162) but accepts the
Commissioner's argument that the oncomouse itself is unpatentable because
it develops through the natural process of gestation (which everyone
agrees was not invented by Harvard) without further "human intervention"
(para. 162). Rothstein J.A. rejected this argument (at
para. 121):
Although the natural gestation process is
required to allow the fertilized mouse egg to develop, this does not mean
the organism ceases to become a "composition of matter" as it develops
from the single-cell stage into an oncomouse. The founder oncomouse is
therefore itself a composition of matter.
86 Counsel for the
Commissioner says there is a world of difference between a fertilized
single cell and the animal it becomes, but if the one is allowed, where is
the cut-off point? At what point in the process of gestation does the
fertilized single cell cease to be a "composition of matter"?
87 Counsel for the
Commissioner says that growth from a single fertilized cell to the
complete mouse has nothing to do with the inventors and everything to do
with the "laws of nature". This is true (although each cell of the live
mouse contains the genetic modification), but this is scarcely a fatal
objection. The "laws of nature" are an essential part of the working of
many and probably most patented inventions. Patents on biotechnical
processes such as fermentation, wholly dependent on the "laws of nature",
were first issued in the early 1800s. Pharmaceutical drugs utilize the
normal bodily processes and functions of animals and humans and are not on
that account regarded as less patentable. The anti HIV-AIDS drug AZT
ingested orally would achieve nothing were it not circulated and processed
through the body by the "laws of nature". Indeed, the AZT pill, like the
oncomouse, could not be brought into existence without reliance on "the
laws of nature" in general and the processes of biochemistry in
particular. In Apotex Inc. v. Wellcome Foundation Ltd., [2002] 4
S.C.R. 153, 2002 SCC 77, released concurrently, we uphold as valid the AZT
patent despite the fact that AZT would lack utility (a statutory
prerequisite to the issuance of a patent) unless the "laws of nature"
arranged for it to "be absorbed into the human blood stream, make its way
to the T-cells infected with HIV, enter the T-cells and inhibit the
reproduction of the HIV infection without proving toxic to other cells,
and demonstrate clinical improvement in the patient" (para. 20). Such
natural processes, before, during and after the construction of the pill,
are no more the creation of the AZT inventor than the gestation of an
oncomouse (essential to its utility) is the creation of the Harvard
inventors. An inventor whose invention harnesses the forces of nature is
no less an inventor.
(iv) The "De Minimis"
Objection
88 The Commissioner rather
downplays the inventor's achievement. The implicit objection seems to be,
"What's 1 gene in 30,000?" My colleague writes, at para. 163:
A person whose genetic make-up is
modified by radiation does not cease to be him or herself. Likewise, the
same mouse would exist absent the injection of the oncogene into the
fertilized egg cell; it simply would not be predisposed to cancer.
89 Such an argument, it
seems to me, significantly understates the scientific achievement. The
"modification" of the gene is not an add-on. Modification of even a single
gene does not, with respect, leave the creature like "him or herself" or
"the same mouse". Genetic modification is not like a haircut or a
tonsillectomy. Modification or mutation of even a single gene can have
colossal consequences. It is instructive, for example, to note the
description of Tay-Sachs disease, mentioned earlier, which results in
infantile deaths from the mutation of but a single gene:
. . . a familial disease of infancy in
which there is a progressive degeneration of nerve cells throughout the
whole nervous system and in the retina. It is characterized clinically by
progressive muscular weakness and paralysis, mental deterioration and
blindness, usually leading to death in coma or convulsions towards the end
of the second year.
(Butterworths Medical Dictionary
(2nd ed. 1978), at p. 1496)
Any suggestion that a child with or
without the mutant Tay-Sachs gene is "the same person" would seriously
underestimate the power of the science that we are being asked to
consider.
(v) Ordre Public or Morality
90 NAFTA and TRIPS each
provide that contracting states may exclude from patentability
inventions the exploitation of which would be contrary to ordre
public (which seemingly equates to the protection of public security,
the physical integrity of individuals as members of society, and the
protection of the environment) or morality: North American Free Trade
Agreement Between the Government of Canada, the Government of the United
Mexican States and the Government of the United States of America
(1992), Can T.S. 1994 No. 2 (entered into force January 1, 1994),
art. 1709(2); Agreement on Trade-Related Aspects of Intellectual
Property Rights (April 15, 1994), 1869 U.N.T.S. 299, art. 27(2). The
exclusion presupposes a general rule of patentability. Parliament has
amended the Patent Act to take account of each of these agreements,
but has chosen not to include such an exclusion from patentability in the
Patent Act.
91 The European Patent
Convention contains an ordre public exclusion from
patentability, and the corresponding European "oncomouse" patent
application was examined having specific regard to this exclusion. In its
decision of April 3, 1992, the Examining Division of the European Patent
Office stated the issue as follows:
In the case at hand three different
interests are involved and require balancing: there is a basic interest of
mankind to remedy widespread and dangerous diseases, on the other hand the
environment has to be protected against the uncontrolled dissemination of
unwanted genes and, moreover, cruelty to animals has to be avoided. The
latter two aspects may well justify regarding an invention as immoral and
therefore unacceptable unless the advantages, i.e. the benefit to mankind,
outweigh the negative aspects.
(Grant of European patent No. 0 169
762 (Onco-mouse/Harvard) (1992), OJ EPO 1992, 588, at
pp. 591-92)
We do not possess such a "balancing" test
in our Patent Act, though some thought must have been given to it
when Parliament "opened up" the Patent Act for NAFTA and
TRIPS-related amendments in 1994.
92 The Examining Division
of the European Patent Office concluded that issuance of the oncomouse
patent was not contrary to ordre public or public morality
and further that "[i]f the legislator is of the opinion that certain
technical knowledge should be used under limited conditions only it is up
to him to enact appropriate legislation" (id., p. 591).
93 The European Community
Directive on biotechnology (Directive 98/44/EC of the European
Parliament and of the Council of 6 July 1998 on the legal protection of
biotechnological invention) names specific inventions (human cloning,
modifying germ line, commercial use of human embryos, and causing
suffering to animals without substantial medical benefit to humans or
animals) as contrary to ordre public or morality. If Parliament
thinks it wise to spell out such a policy in the Patent Act, it
will pass appropriate amendments. More likely, as the government has
already signalled, such measures will be put into special legislation
equivalent to the proposed Assisted Human Reproduction Act.
(vi) Unjust Enrichment
94 Other critics take the
view that the rewards given by a patent, whether they reflect innovation
or not, are unjust. Why, it is asked, should Harvard be rewarded for
"inventing" a creature that occurs in its original form in nature? In a
scientific laboratory, the wild mouse becomes a research platform. Harvard
researchers made an "improvement" by genetic modification, but the
remaining unmodified genes contribute to producing the mouse, and shaping
its reaction to the laboratory experiments. Why, then, should the whole
mouse be considered "patentable"? Why should Harvard appropriate to itself
the whole value attributable to the "platform" when all it contributed is
an improvement to that platform?
95 Such an argument relates
to remedies rather than patentability. A view that the Patent Act
rewards a patent owner too richly is not a sound basis on which to deny a
patent. The inventor of the frisbee (patented in 1967) would also, no
doubt, be thought by some critics to have been excessively rewarded.
96 The scientific
accomplishment manifested in the oncomouse is profound and far-reaching,
and a numerical count of the genes modified and the genes not modified
misses the point. Every cell in the animal's body has been altered in a
way that is profoundly important to scientific research. If researchers
were to discover that cancers were entirely attributable to one gene and
then modified individuals so that they were cancer-free, no one would deny
that such a modification would be of enormous importance regardless of the
fact that only one gene was changed.
97 Researchers who wish to
use a wild mouse can catch one in the parking lot. Harvard would have no
complaint. It is only if they wish to take advantage of the advances in
learning disclosed in the oncomouse patent that they would require
authorization from the inventor who made the disclosure they now seek to
exploit.
98 If the patent were
refused on the oncomouse itself, it would be easy for "free riders" to
circumvent the protection sought to be given to the inventor by the
Patent Act simply by acquiring an oncomouse and breeding it to as
many wild mice as desired and selling the offspring (probably half of
which will be oncomice) to the public. The weakness of this protection
would undermine the incentives intended by the Patent Act. I agree
with William Hayhurst when he writes:
Some patents for processes may be of
little practical value. To discover that a competitor is carrying out the
process may be difficult. If a process produces a living organism that
reproduces itself, the process may have to be carried out only once:
competitors who are able to get their hands on the organism need not
repeat the process of producing it. What is needed is a patent for the
organism . . . .
(W. L. Hayhurst, "Exclusive Rights
in Relation to Living Things" (1991), 6 I.P.J. 171, at
p. 177)
99 On the other hand, if
the oncomouse is patented, and Harvard obtains a judgment for the
infringer's profits, the infringer could always contend that the profits
should be apportioned between profits attributable to the invention and
those profits not attributable to the invention. Harvard will contend that
the whole of the laboratory value of the oncomouse is due to its genetic
make-up. Others may disagree. Such questions remain, at this stage,
entirely premature.
(vii) Animal Rights
100 Animal rights
supporters object to the fact that the oncomouse is deliberately designed
to cause sentient beings to grow painful malignant tumours. Of course,
whatever position is adopted under patent law, animals have been
and will continue to be used in laboratories for scientific research. Pets
are property. Mice are already commodified. Parliament may wish to address
animal rights as a distinct subject matter. If the claim for the patent on
the oncomouse itself is refused, the result will not be that
Harvard is denied the opportunity to make, construct, use and sell the
oncomouse. On the contrary, the result will be that anyone will be
able to make, construct, use and sell the oncomouse. The only difference
will be that Harvard will be denied the quid pro quo for the
disclosure of its invention.
(viii) The Commodification of Human
Life
101 Some critics argue
that life and property rights are incompatible. Patents, they say, treat
"life" as a commodity that can be bought and sold, and therefore diminish
the respect with which life ought to be regarded. Living entities become
"objects".
102 The major concern is
that human beings constitute a line that cannot be crossed. The CBAC
agrees. But others argue that patenting any form of life puts us on
a slippery slope. Today the oncomouse; tomorrow Frankenstein's creature. I
do not agree. There is a qualitative divide between rodents and human
beings. The broadest claim here specifically excepts humans from the scope
of transgenic mammals. Moreover, for the reasons already expressed, I do
not believe that the issue of patentability of a human being even arises
under the Patent Act.
(ix) Environmental Protection
103 Environmental concerns
include the diversity of the gene pool and potential escape of genetically
modified organisms into the environment. These are serious concerns which
serious people would expect Parliament to address. The concerns, however,
have little to do with the patent system. Patents or no patents,
genetically engineered organisms have arrived in our midst. The genie is
out of the bottle. As Rothstein J.A. observed, "even if the oncomouse
were found not to be patentable, such a decision would not prevent
inventors from developing the product or indeed, other genetically
engineered living organisms" (para. 197). Patentability addresses
only the issue of rewarding the inventors for their disclosure of
what they have done. Larger questions are answered elsewhere.
(x) Globalization
104 Anti-globalization
groups object to the impact of broad patentability on developing
countries, noting that research dollars and the beneficial effects of
patented products are concentrated in developed countries. This criticism
is, of course, first a broad attack on intellectual property rights
generally and, second, a vote of no confidence in multilateral agreements
such as TRIPS. The concerns of developing countries have received wide
attention, and rightly so. A countervailing consideration is that the
developing world may lose as much benefit as the economically developed
world if excessive emphasis is placed on granting equitable access to
inventions already made as opposed to continuing to offer adequate
incentives for inventions to come. This too is an issue that does not
arise for consideration on this appeal.
(xi) Contrary Considerations
105 If a certain subject
matter is unpatentable as a matter of law, inventors who do carry on
inventing will gravitate toward alternative sources of protection. The
most obvious would be trade secrets protection. The problem with this
alternative, in terms of the public interest, is that the public would
lose the quid pro quo of public disclosure that they receive under
patent law.
106 Lacking legal
protection against unauthorized appropriation of ideas, ingenious people
may tend to hide and hoard the products of their ingenuity rather than
disclose them for others to build on that knowledge. The "hide and hoard"
mentality was the very mischief the Patent Act was aimed at.
107 There are, in other
words, many policy implications of excluding patent protection as
well as the policy implications of inclusion relied upon by the appellant
Commissioner. The balance between the competing interests is for
Parliament to strike.
(xii) Policy Options
108 Parliament may wish to
regulate outside the framework of the Patent Act the
creation and use of "higher life forms" (however Parliament chooses to
define "higher" life forms) in many ways: ethics boards could be set up to
consider "higher life form" patentability on a case-by-case basis,
including any patent applications on human genetic material; animal rights
legislation might require that all transgenic animal varieties be
"engineered" to alleviate or mitigate pain from experimentation; a policy
of balancing the potential alleviation of human suffering against animal
suffering might be added. Patents on human genetic material, including
stem cell research and cloning, might include a provision to exempt all
research from patent infringement, or specify compulsory licences for such
research.
109 Even a partial listing
of the possibilities demonstrates why it should occasion no surprise that
such regulatory structures are not crammed into the Patent Act,
which has always had the more modest and focussed objective of simply
encouraging the disclosure of the fruit of human inventiveness in exchange
for the statutory rewards.
M. Alleged Deficiencies in the Patent
Regime
110 There is much
scholarly controversy in Canada over the role of intellectual property in
biotechnology: E. R. Gold, Body Parts: Property Rights and the
Ownership of Human Biological Materials (1996); E. R. Gold,
"Making Room: Reintegrating Basic Research, Health Policy, and Ethics Into
Patent Law" in T. A. Caulfield and B. Williams-Jones, eds.,
The Commercialization of Genetic Research: Ethical, Legal, and Policy
Issues (1999), 63; T. A. Caulfield, "Underwhelmed:
Hyperbole, Regulatory Policy, and the Genetic Revolution" (2000), 45
McGill L.J. 437; B. M. Knoppers, "Reflections: The Challenge
of Biotechnology and Public Policy" (2000), 45 McGill L.J. 559;
P. R. Mooney, The Impetus for and Potential of Alternative
Mechanisms for the Protection of Biotechnological Innovations (March
2001), at p. 13.
111 Some thoughtful
critics suggest that patents in this field may in fact deter rather than
promote innovation: M. A. Heller and R. S. Eisenberg, "Can
Patents Deter Innovation? The Anticommons in Biomedical Research" (1998),
280 Science 698; Gold, "Biomedical Patents and Ethics: A Canadian
Solution", supra.
112 On a more technical
level, it is pointed out that a 20-year patent is a very long time in the
life cycle of biotechnology. A shorter patent life, with conditions more
tailored to the industry, would, it is said, provide sufficient incentive.
Then there are those who advocate the "farmers' privilege" to avoid
farmers being subject to patent enforcement in the case of the progeny of
patented plants and animals. Others advocate protection for "innocent
bystanders" who inadvertently make use of a genetically engineered plant
or animal, unaware of its being patented.
113 My colleague,
Bastarache J., suggests that the absence of such provisions
supports his conclusion that the oncomouse is unpatentable, but this
approach, with respect, simply substitutes the Court's notion of good
public policy for the judgment of Parliament, whose members are well aware
of these and similar proposals. Parliament has had the National
Biotechnology Strategy since 1983, renewed as the Canadian
Biotechnology Strategy: An Ongoing Renewal Process 15 years later in
1998, the work of the CBAC and Proceed with Care: Final Report of the
Royal Commission on New Reproductive Technologies (1993).
114 Parliament may find
merit in some of the CBAC proposals for legislative reform enumerated by
my colleague, Bastarache J., in his judgment at paras. 169 to
175, and 183, but Parliament has not done so to date, and neither the
Commissioner of Patents nor the courts have the authority to declare, in
effect, a moratorium on life (or "higher" life) patents until Parliament
chooses to act. The respondent is entitled to have the benefit of the
Patent Act as it stands.
N. Conclusion
115 In my view, the
oncomouse is patentable subject matter. This does not mean that claims 1
to 12 therefore must be allowed. They ought to be considered by the
Commissioner in accordance with the usual patent principles (note, for
example, that the European Patent Office ultimately modified claim
no. 1 to include only "transgenic rodents" rather than, as claimed,
"transgenic non-human mammals": European Patent Office Press
Release, November 7, 2001).
116 I would therefore have
remitted the patent application to the Commissioner to have the specific
claims 1 to 12 considered and dealt with.
117 I would dismiss the
appeal.
The judgment of L'Heureux-Dubé, Gonthier,
Iacobucci, Bastarache, and LeBel JJ. was delivered by
BASTARACHE J. --
I. Introduction
118 This appeal raises the
issue of the patentability of higher life forms within the context of the
Patent Act, R.S.C. 1985, c. P-4. The respondent, the President and
Fellows of Harvard College, seeks to patent a mouse that has been
genetically altered to increase its susceptibility to cancer, which makes
it useful for cancer research. The patent claims also extend to all
non-human mammals which have been similarly altered.
119 The Commissioner of
Patents upheld the Patent Examiner's refusal to grant the patent. This
decision was in turn upheld by the Federal Court, Trial Division, but was
overturned by a majority of the Federal Court of Appeal. A preliminary
issue is the standard of review applicable to the Commissioner's decision
to refuse the patent. I agree with the majority of the Federal Court of
Appeal that the standard applicable to the Commissioner's decision in this
case is correctness. While the decision to refuse to grant a patent may in
some cases be accorded deference, the nature of the question is in this
case determinative. In my view, the courts are as well placed as the
Commissioner to decide whether the definition of invention in s. 2 of the
Patent Act encompasses higher life forms, since this question
approaches a pure determination of law that has significant precedential
value. Nor do I agree with the minority of the Federal Court of Appeal's
position that the Commissioner's decision is owed deference for the reason
that he has a discretion to refuse a patent on public policy grounds. To
refuse a patent, the Commissioner must be satisfied that the applicant is
not "by law" entitled to the patent, wording which indicates that the
Commissioner has no discretion independent of the Patent Act to
consider the public interest when granting or denying a patent.
120 Given that there is no
discretion on the part of the Commissioner to deny a patent on a
particular subject matter of invention, the sole question is whether
Parliament intended the definition of "invention", and more particularly
the words "manufacture" or "composition of matter", within the
context of the Patent Act, to encompass higher life forms
such as the oncomouse. In my opinion, Parliament did not intend higher
life forms to be patentable. Had Parliament intended every conceivable
subject matter to be patentable, it would not have chosen to adopt an
exhaustive definition that limits invention to any "art, process, machine,
manufacture or composition of matter". In addition, the phrases
"manufacture" and "composition of matter" do not correspond to common
understandings of animal and plant life. Even accepting that the words of
the definition can support a broad interpretation, they must be
interpreted in light of the scheme of the Act and the relevant context.
The Act in its current form fails to address many of the unique concerns
that are raised by the patenting of higher life forms, a factor which
indicates that Parliament never intended the definition of "invention" to
extend to this type of subject matter. Given the unique concerns
associated with the grant of a monopoly right over higher life forms, it
is my view that Parliament would not likely choose the Patent Act
as it currently exists as the appropriate vehicle to protect the
rights of inventors of this type of subject matter.
II. Factual Background
121 On June 21, 1985, the
respondent, the President and Fellows of Harvard College ("Harvard"),
applied for a patent on an invention entitled "transgenic animals". The
invention aims to produce animals with a susceptibility to cancer for
purposes of animal carcinogenic studies. The animals can be used to test a
material suspected of being a carcinogen by exposing them to the material
and seeing if tumours develop. Because the animals are already susceptible
to tumour development, the amount of material used can be smaller, thereby
more closely approximating the amounts to which humans are actually
exposed. In addition, the animals will be expected to develop tumours in a
shorter time period. The animals can also be used to test materials
thought to confer protection against the development of cancer.
122 The technology by
which a cancer-prone mouse ("oncomouse") is produced is described in the
patent application disclosure. The oncogene (the cancer-promoting gene) is
obtained from the genetic code of a non-mammal source, such as a virus. A
vehicle for transporting the oncogene into the mouse's chromosomes is
constructed using a small piece of bacterial DNA referred to as a plasmid.
The plasmid, into which the oncogene has been "spliced", is injected into
fertilized mouse eggs, preferably while they are at the one-cell stage.
The eggs are then implanted into a female host mouse, or "foster mother",
and permitted to develop to term. After the offspring of the foster mother
are delivered, they are tested for the presence of the oncogene; those
that contain the oncogene are called "founder" mice. Founder mice are
mated with mice that have not been genetically altered. In accordance with
Mendelian inheritance principles, 50 percent of the offspring will have
all of their cells affected by the oncogene, making them suitable for the
uses described above.
123 In its patent
application, the respondent seeks to protect both the process by which the
oncomice are produced and the end product of the process, i.e. the
founder mice and the offspring whose cells are affected by the oncogene.
The process and product claims also extend to all non-human mammals. In
March 1993, by Final Action, a Patent Examiner rejected the product claims
(claims 1 to 12) as being outside the scope of the definition of
"invention" in s. 2 of the Patent Act, but allowed the
process claims (claims 13 to 26). In August 1995, after a review by the
Commissioner of Patents and a hearing before the Patent Appeal Board, the
Commissioner confirmed the refusal to grant a patent for claims 1 to 12.
The Federal Court, Trial Division dismissed the respondent's appeal from
the decision of the Commissioner. The respondent's further appeal to the
Federal Court of Appeal was allowed by a majority of the court, Isaac J.A.
dissenting. The Commissioner of Patents appeals from that decision.
III. Relevant Statutory
Provisions
124Patent Act,
R.S.C. 1985, c. P-4
2. In this Act, except as
otherwise provided,
. . .
"invention" means any new and useful
art, process, machine, manufacture or composition of matter, or any new
and useful improvement in any art, process, machine, manufacture or
composition of matter;
2. Sauf disposition contraire, les
définitions qui suivent s'appliquent à la présente loi.
. . .
« invention » Toute réalisation, tout
procédé, toute machine, fabrication ou composition de matières, ainsi que
tout perfectionnement de l'un d'eux, présentant le caractère de la
nouveauté et de l'utilité.
27. (1) The Commissioner shall
grant a patent for an invention to the inventor or the inventor's legal
representative if an application for the patent in Canada is filed in
accordance with this Act and all other requirements for the issuance of a
patent under this Act are met.
40. Whenever the Commissioner is
satisfied that an applicant is not by law entitled to be granted a patent,
he shall refuse the application and, by registered letter addressed to the
applicant or his registered agent, notify the applicant of the refusal and
of the ground or reason therefor.
IV. Judicial History
A.
Decision of the Patent Examiner -- Final Action (March 24,
1993)
125 As noted above, the
Patent Examiner refused claims 1 to 12, which pertain to the transgenic
mice and mammals as products of the invention, but allowed claims 13 to 26
pertaining to the process.
126 The Patent Examiner's
rejection of claims 1 to 12 was based on his conclusion that higher life
forms fall outside the definition of "invention" as given in s. 2 of
the Patent Act, and therefore are not patentable subject matter. He
cited several cases for the proposition that the Commissioner has a right
to interpret s. 2 as excluding certain subject matter from patentability
on the basis that it is not in the public interest to grant a patent:
Commissioner of Patents v. Farbwerke Hoechst Aktiengesellschaft Vormals
Meister Lucius & Bruning, [1964] S.C.R. 49, at p. 56; Lawson v.
Commissioner of Patents (1970), 62 C.P.R. 101 (Ex. Ct.), at p. 109;
Tennessee Eastman Co. v. Commissioner of Patents, [1974] S.C.R.
111, at p. 119.
127 In addition, the
Patent Examiner noted that neither the Patent Appeal Board nor the courts
have expressly stated that higher life forms constitute patentable subject
matter. In Re Application of Abitibi Co. (1982), 62 C.P.R. (2d) 81,
the Patent Appeal Board held only that lower life forms were
patentable. In Re Application for Patent of Pioneer Hi-Bred Ltd.
(1986), 11 C.P.R. (3d) 311 (Pat. App. Bd.), the Commissioner rejected
claims to a plant and its seed under s. 2 of the Act. While the
Supreme Court of Canada did not make a ruling on the Commissioner's
decision to reject the claims (see Pioneer Hi-Bred Ltd.
v. Canada (Commissioner of Patents), [1989] 1 S.C.R. 1623), the
majority of the Federal Court of Appeal upheld the Commissioner's
rejection of these claims under s. 2 of the Act (Pioneer Hi-Bred
Ltd. v. Canada (Commissioner of Patents), [1987] 3 F.C. 8). The
Patent Examiner concluded that he was bound by the Federal Court of Appeal
decision in Pioneer Hi-Bred, supra, since if a plant is held
to be non-patentable subject matter, then the same must be said for
animals.
B. Decision of the Commissioner of
Patents (August 4, 1995)
128 The Commissioner of
Patents disagreed that he had a right or an obligation to decide that a
particular invention can be found unpatentable as a matter of policy or
discretion rather than as a result of an interpretation of the provisions
of the Patent Act: Monsanto Co. v. Commissioner of Patents,
[1979] 2 S.C.R. 1108; Farbwerke Hoechst, supra. The
Commissioner stated that in order to reject an application, he must be
satisfied that by law the applicant is not entitled to a patent and
be able to give reasons based on an interpretation of the Patent Act
and applicable jurisprudence.
129 The Commissioner went
on to note that in Pioneer Hi-Bred, supra, this Court
deliberately chose not to decide whether the soybean resulting from
artificial crossbreeding was a patentable invention under s. 2 of the
Act. On this basis, the Commissioner concluded that neither he nor
the examiner is bound by the decision of the Federal Court in that case:
R. v. Secretary of State for the Home Department, ex parte
Al-Mehdawi, [1989] 1 All E.R. 777 (C.A.). Nonetheless, he
determined that the decision of the majority of the Federal Court of
Appeal in Pioneer Hi-Bred could be of high persuasive
influence.
130 Turning to the issue
at hand, the Commissioner expressed the view that the words "manufacture"
and "composition of matter" as found in s. 2 apply to something that has
been made under the control of the inventor. At the same time, the
resulting product must be reproducible in a consistent manner. Considering
the invention in question, the Commissioner determines that there are two
distinct phases. The first phase involves the preparation of the
genetically engineered plasmid. The second involves the development of a
genetically engineered mouse in the uterus of the host mouse. The
Commissioner concluded that while the first phase is controlled by human
intervention, in the second phase it is the laws of nature that take over
to produce the mammalian end product. He was therefore unwilling to extend
the meaning of "manufacture" or "composition of matter" to include a
non-human mammal. In his view, the inventors do not have full control over
all of the characteristics of the resulting mouse, and human intervention
ensures that reproducibility extends only so far as the cancer-forming
gene.
C. Federal Court, Trial Division,
[1998] 3 F.C. 510
131 Nadon J. conceded that
there is no dispute that the oncomouse is new, useful and unobvious. The
question is whether it is an "invention" to which the Patent Act
applies. He reviewed the decision of the U.S. Supreme Court in
Diamond v. Chakrabarty, 447 U.S. 303 (1980), a
decision cited by Harvard in support of the grant of the patent. In
Chakrabarty, a majority of five judges held that the proper
question in patenting a bacterium used to degrade crude oil was whether
the subject of the patent application was "human-made" or was something
occurring naturally. On that basis they allowed the claim. The minority of
four referred to the existence of the 1930 Plant Patent Act and the
1970 Plant Variety Protection Act and concluded that Congress had
provided separate intellectual property protection for living things
within these statutes, thus signalling a lack of intention to include
living things within the scope of the U.S. Patent Act. Nadon J.
expressed his preference for the minority view.
132 Nadon J. turned next
to examine what is meant by "manufacture" and "composition of matter" in
the Canadian Act. He examined four issues which, in his view, serve
as indicia of how s. 2 should be construed. First, he considered whether
the degree of an inventor's control over the creation is a relevant
factor. In this respect, he noted that the process of insertion of the
oncogene into the fertilized mouse egg is already patented. But a mouse is
a complex life form with many features that are not under the control of
the inventors. Though the inventors have created a method to inject eggs
with an oncogene, they have not invented the mouse. Nadon J. further
stated that even on the broadest interpretation he could not find that a
mouse is "raw material" which was given new qualities by the inventor.
133 Second, he considered
the distinction between human intervention and the laws of nature. In this
regard, he observed that anything which is merely a discovery is not
patentable subject matter. There must be some inventive step involved. He
agreed with the respondent that the essential feature of the mouse is the
presence of the transgene, since this is what makes it useful for testing
carcinogens. In addition, he agreed that the transgene would not be
present without human intervention, rendering the oncomouse a "marriage
between nature and human intervention" (para. 27). He noted, however, that
not all the offspring mice have the gene. The presence of the gene only
transfers with the natural rate of inheritance, the "Mendelian ratio".
After the gene has been introduced, the gene passes with a normal breeding
process. This, Nadon J. stated, is akin to the crossbreeding process that
was suggested to be unpatentable in Pioneer Hi-Bred, by
reason that it is simply in line with the laws of nature. In a chemical
process, the chemical reaction and its products are known and constant,
whereas the parameters of the resulting mammal in this case are largely
unknown and change every time.
134 Third, Nadon J.
considered the relevance of the test of reproducibility. In his view, the
question of reproducibility is related to the scope of the respondent's
invention. He concluded that because the respondent is not merely claiming
the transgene but the entire mammal, and the respondent has not made any
claims to even minor control over any aspect of the mammal except the
presence of the transgene, the respondent can make no claim to being able
to reproduce the mammal at will by doing anything other than ordinary
breeding.
135 Finally, Nadon J.
considered whether it is appropriate to make distinctions between higher
and lower life forms. He noted that Abitibi, supra, only
claimed lower life forms were patentable if they were reproducible en
masse. Since the Federal Court of Appeal in Pioneer Hi-Bred,
supra, disallowed a patent claim over the result of the
crossbreeding of soybeans, Nadon J. was of the view that the same result
ought to apply to the "cross-breeding of mice" (para. 33), which is
essentially what occurs when a founder mouse is bred with an ordinary
mouse. Although he did not directly consider policy issues, Nadon J.
remarked that it would be appropriate to make a distinction between higher
and lower life forms on the grounds of policy. He further concluded that a
complex life form does not fit within the current parameters of the
Patent Act without stretching the meaning of the words to the
breaking point. If Parliament so wishes, it clearly can alter the
legislation so that mammals can be patented.
D. Federal Court of Appeal, [2000]
4 F.C. 528
(1) Rothstein J.A.
136 Speaking for the
majority of the court, Rothstein J.A. reversed the decision of the court
below and directed the Commissioner of Patents to grant a patent covering
claims 1 to 12 of the Patent Application. At the outset, Rothstein J.A.
remarked that s. 40 of the Act, which permits the Commissioner to
refuse a patent, is not discretionary. In addition, he expressed the view
that policy considerations were not relevant in the appeal since all that
was at issue was the interpretation of the Patent Act.
137 Rothstein J.A. then
stated his conclusion that the oncomouse is a "composition of
matter". In this regard, he accepted the expansive definition adopted by
the majority of the U.S. Supreme Court in Chakrabarty,
supra, and further noted that "[t]he language of patent law is
broad and general and is to be given wide scope because inventions are,
necessarily, unanticipated and unforeseeable" (para. 116). Rothstein J.A.
explained that both the DNA and the fertilized mouse egg are forms of
biological matter which, when combined, are a "composition of matter".
This composition of matter is transferred to a host mouse and allowed to
develop to term, resulting in a founder mouse that is the product of the
"composition of matter". Similarly, offspring mice are the product, since
they are linked to the transgenic unicellular material which the Patent
Commissioner found to be a composition of matter. In addition, nothing in
the term "composition of matter" suggests that living things are excluded
from the definition. Nor is the oncomouse a mere discovery or product of
nature, since its genetic structure is different from what it would have
been without intervention at the genetic level.
138 Rothstein J.A. then
outlined why he differs with the reasoning and conclusions of the Patent
Commissioner and the trial judge. He reiterated his view that the majority
reasoning in Chakrabarty, supra, was convincing and
further rejected the minority position that there is a "common
understanding" that patents are not available to cover living organisms.
He turned next to the issue of control. In his view, it is apparent that
the control (and reproducibility) tests are not freestanding, but are
rather implicit in the statutory requirement that an "invention" be
"useful". However, in this case, the Patent Commissioner and the trial
judge applied a far broader control test, not implied by the usefulness
requirement for an invention. He further concluded that control over the
length of a tail, colour of eyes or texture of fur is irrelevant to the
usefulness of the invention. All that is important for the usefulness of
the product in this case is that a mouse is produced with all of its cells
affected by the oncogene.
139 In respect to
reproducibility, Rothstein J.A. reiterated his view that the fact that
other characteristics of the oncomouse are not reproducible by will by the
inventor or a person skilled in the science is irrelevant because they are
not necessary for the usefulness of the oncomouse. Other than the
requirement for sufficient disclosure of an invention in s.
27(3)(b), about which there is no dispute on this appeal, there is
nothing in the Patent Act pertaining to reproducibility which the
inventors can be said to have failed to meet. Rothstein J.A. also
disagreed with the Commissioner's approach of dividing the invention into
two phases on the basis that, once it is accepted that most inventions
involve the laws of nature, "there can be no valid basis for splitting an
invention between the portion that is the result of inventive ingenuity
and the portion that is not" (para. 167). He further noted that full
protection for the inventors would require a patent on both the process
and the product, since without a patent on the product anyone could
purchase a founder mouse or offspring having the oncogene in its cells and
breed it.
140 Rothstein J.A. went on
to conclude that the court below placed too much emphasis on the Federal
Court of Appeal reasons in Pioneer Hi-Bred, supra. He
distinguished Pioneer Hi-Bred on the basis that it dealt with the
crossbreeding of plants, whereas in the current case there is intervention
at the genetic level and a sharp and permanent alteration of a hereditary
trait. In response to Isaac J.A.'s findings on the standard of review,
Rothstein J.A. concluded that the decision of the Commissioner should be
reviewed on a standard of correctness since the issue -- whether higher
life forms come within the definition of "invention" -- is a fundamental
one which will have significant precedential value. In addition, even if
the standard were reasonableness simpliciter, Rothstein J.A. would
have concluded that the Commissioner's decision was clearly wrong.
141 A final question
considered by Rothstein J.A. was whether the Patent Act could be
extended to cover human beings. Rothstein J.A. answered this question in
the negative on the basis that patenting is a form of ownership of
property which would be prohibited pursuant to s. 7 of the Canadian
Charter of Rights and Freedoms.
(2) Isaac J.A. (dissenting)
142 Isaac J.A. dissented
primarily on the grounds that the decision of the Commissioner should be
accorded deference. In his view, the standard of review applicable to the
Commissioner's decision was reasonableness simpliciter. This view
was based on the Commissioner's expertise, the fact that the nature of the
question (the patentability of the oncomouse) is squarely within that
expertise, and the purpose of the Act. In respect to purpose, Isaac J.A.
expressed the view that the Commissioner is entitled to consider the
public interest at stake when reviewing a patent application. Isaac J.A.
concluded that the Commissioner's decision was reasonable because it took
a cautious approach to the patenting of new life forms. Isaac J.A. also
noted that the Commissioner is entitled to refuse a patent under s. 40 if,
by law, the applicant is not entitled to it. In his view, though the
Commissioner was not bound by the Federal Court of Appeal's decision in
Pioneer Hi-Bred, supra, he was entitled to find it
highly persuasive. Finally, Isaac J.A. noted that following the refusal of
the Supreme Court of Canada in Pioneer Hi-Bred to accommodate
crossbred soybean varieties within the definition of "invention",
Parliament enacted the Plant Breeders' Rights Act, S.C.
1990, c. 20. He concluded, at para. 78:
In all the circumstances of this case,
including the limited role that our jurisprudence has assigned to the
courts in this area and the serious moral and ethical implications of this
subject-matter, it seems to me that Parliament is the most appropriate
forum for the resolution of the issues in dispute here.
V. Analysis
A. The Commissioner's Power to Refuse
a Patent under Section 40
143 As noted above, the
Patent Examiner concluded that the Commissioner of Patents has the right
to deny a patent on the basis that it is not in the public interest to
grant a patent on the subject matter in question. In his dissenting
opinion, Isaac J.A. approved of this approach, stating that one of the
purposes of the Patent Act is that the Commissioner must always be
aware of, and take into account, the public interest in granting a patent.
In a morally divisive case, the court should defer to the Commissioner's
decision to refuse to grant a patent pursuant to s. 40 where this decision
is informed by considerations of public policy.
144 I disagree that s. 40
of the Patent Act gives the Commissioner discretion to refuse a
patent on the basis of public policy considerations independent of any
express provision in the Act. The non-discretionary nature of the
Commissioner's duty was explained in Monsanto, supra, a case
cited by Rothstein J.A. At pages 1119-20, after citing s. 40 (then s. 42)
of the Patent Act, Pigeon J., speaking for the majority,
stated:
I have underlined by law [in s.
42] to stress that this is not a matter of discretion: the Commissioner
has to justify any refusal. As Duff C.J. said in Vanity Fair Silk Mills
v. Commissioner of Patents (at p. 246):
No doubt the Commissioner of Patents
ought not to refuse an application for a patent unless it is clearly
without substantial foundation. . . . [Emphasis in original.]
145 Some commentators
remark that the Canadian courts have in the past excluded certain subject
matter from patentability on moral, ethical or policy grounds (J. R.
Rudolph, A Study of Issues Relating to the Patentability of
Biotechnological Subject Matter (1996); S. Chong, "The Relevancy of
Ethical Concerns in the Patenting of Life Forms" (1993), 10
C.I.P.R. 189). While it is true that certain categories of
invention were excluded from patentability with these policy concerns in
mind, these exclusions were justified by reference to explicit provisions
of the Patent Act. For example, patents on medical or surgical
methods of treatment of animals, including humans, were disallowed,
presumably so as not to impede physicians in the practice of their
profession (see Tennessee Eastman, supra, at p. 113; Chong,
supra, at p. 198). In Tennessee Eastman,
however, the determination that a method for bonding incisions and
wounds was not an "art" or a "process" was based primarily on the fact
that the bonding material itself when prepared for medical purposes would
not be patentable under what was then s. 41 of the Patent Act.
Section 41, since removed from the Act, restricted the scope of
patents on substances prepared or produced by chemical processes and
intended for food or medicine. The Court stated, at p.119, in this
respect:
. . . if a method of treatment consisting
in the application of a new drug could be claimed as a process apart from
the drug itself, then the inventor, by making such a process claim, would
have an easy way out of the restriction in s. 41(1).
146 In the absence of any
discretion on the part of the Commissioner to refuse a patent on policy
grounds, the sole question in this appeal is whether the words
"manufacture" or "composition of matter", within the context of the
Patent Act, are sufficiently broad to include higher life forms
such as "inventions". The Commissioner correctly identified this as the
relevant question and concluded that he could not, by law, extend the
meaning of "manufacture" or "composition of matter" to include a non-human
mammal.
147 In dissent, Isaac J.A.
held that the Commissioner's decision in this regard should be accorded
deference. This point was also argued before this Court by the interveners
Sierra Club of Canada, Canadian Council of Churches and Evangelical
Fellowship of Canada.
148 In my view, the
decision of the Commissioner as to whether the definition of "invention"
includes higher life forms is reviewable according to the correctness
standard. The test to determine the appropriate standard of review was
revisited by this Court in Moreau-Bérubé
v. New Brunswick (Judicial Council), [2002] 1 S.C.R. 249, 2002 SCC
11. As noted by Arbour J., at para. 37:
This Court's jurisprudence has evolved to
endorse a pragmatic and functional approach to determining the proper
standard of review, which focuses on a critical question best expressed by
Sopinka J. in Pasiechnyk
v. Saskatchewan (Workers' Compensation Board), [1997] 2 S.C.R.
890, at para. 18:
[W]as the question which the provision
raises one that was intended by the legislators to be left to the
exclusive decision of the Board?
In Pushpanathan v. Canada (Minister of
Citizenship and Immigration),
[1998] 1 S.C.R. 982, Canada (Director of Investigation and
Research) v. Southam Inc.,
[1997] 1 S.C.R. 748, and Baker v. Canada (Minister of
Citizenship and Immigration),
[1999] 2 S.C.R. 817, this Court set out a number of factors
that a court should consider when attempting to determine whether a
question is one which Parliament intended to be left to the exclusive
decision of the administrative tribunal. Upon considering these factors,
it is my opinion that the courts are as well placed as the Commissioner to
determine whether a higher life form fits within the definition of
"invention".
149 Though it will not be
determinative, the fact that the Patent Act contains no privative
clause and gives applicants a broad right of appeal from the decision of
the Commissioner is relevant and suggests a more searching standard of
review (Pushpanathan, supra, at para. 30).
150 Perhaps more important
in this case is the nature of the problem under review, i.e.
whether it constitutes a question of law, fact or mixed law and fact.
In my view, the question of whether a higher life form can be considered a
"manufacture" or "composition of matter" approaches a pure determination
of law. There is no disagreement in this case regarding the nature of the
specific invention: if it is determined that higher life forms are
"manufacture[s]" or "composition[s] of matter", then the oncomouse is an
invention. The task is rather to determine whether Parliament intended the
definition of "invention" to be interpreted broadly enough to encompass
higher life forms, a question which the courts are as well suited to
answer as the Commissioner. Since the determination of whether a higher
life form is an invention within the meaning of the Patent Act is
"a finding which will be of great, even determinative import for future
decisions of lawyers and judges", less deference is warranted
(Southam, supra, at paras. 36-37;
Pushpanathan, supra, at para. 37). In addition, though
the Commissioner does possess considerable expertise in the areas of
science, medicine and engineering, this expertise must be considered in
the context of the problem under review. In my view, this specialized
training does not leave the Commissioner in a better position than the
courts to determine whether the creation in question is a "manufacture" or
"composition of matter" since those are very broad phrases to which either
a very narrow or very expansive meaning may be attached, depending on
legislative intent.
151 The above in no way
implies that decisions of the Commissioner will always be reviewed
according to a correctness standard. If, for example, the question to be
decided was whether or not a particular life form such as a fungus should
be classified as a higher life form or as a lower life form, the
Commissioner's decision would likely be accorded deference. As noted, s.
40 of the Act states that it is the Commissioner who must be
"satisfied" that a patent should not be issued. In such an instance, the
Commissioner's scientific expertise suggests that the courts defer to his
decision in respect to whether he is satisfied that the life form falls
within a category of patentable subject matter.
152 As discussed earlier,
I disagree that the purpose of the Patent Act counsels deference to
the Commissioner on a question such as this. I do not accept Isaac J.A.'s
suggestion that the Commissioner is in a position to weigh competing
policy interests for and against the grant of a patent and that this
counsels deference. Nor do I agree that the wording of s. 40, which states
that the Commissioner shall refuse an application where he is "satisfied"
that an applicant is not by law entitled to be granted a patent, implies a
discretion to refuse a patent on policy grounds. As noted above, the
Commissioner must be satisfied that an applicant is not "by law" entitled
to be granted a patent (see Monsanto, supra, at p. 1119).
Though Isaac J.A. cites Farbwerke Hoechst, supra, as support
for the existence of a discretionary power on the part of the Commissioner
to refuse a patent, the Court in that case pointed out that "[a]n inventor
gets his patent according to the terms of the Patent Act,
no more and no less" (p. 57 (emphasis added)).
B. The Definition of "Invention":
Whether a Higher Life Form Is a "Manufacture" or a "Composition of
Matter"
153 The sole question in
this appeal is whether the words "manufacture" and "composition of
matter", in the context of the Patent Act, are sufficiently broad
to include higher life forms. If these words are not sufficiently broad to
include higher life forms, it is irrelevant whether this Court believes
that higher life forms such as the oncomouse ought to be patentable. The
grant of a patent reflects the interest of Parliament to promote certain
manifestations of human ingenuity. As Binnie J. indicates in his reasons,
there are a number of reasons why Parliament might want to encourage the
sort of biomedical research that resulted in the oncomouse. But there are
also a number of reasons why Parliament might want to be cautious about
encouraging the patenting of higher life forms. In my view, whether higher
life forms such as the oncomouse ought to be patentable is a matter for
Parliament to determine. This Court's views as to the utility or propriety
of patenting non-human higher life forms such as the oncomouse are wholly
irrelevant.
154 This Court has on many
occasions expressed the view that statutory interpretation cannot be based
on the wording of the legislation alone (Rizzo & Rizzo Shoes Ltd.
(Re),
[1998] 1 S.C.R. 27). Rather, the Court has adopted E. A.
Driedger's statement in his text Construction of Statutes (2nd ed.
1983), at p. 87 : "[T]he words of an Act are to be read in their entire
context and in their grammatical and ordinary sense harmoniously with the
scheme of the Act, the object of the Act, and the intention of Parliament"
(Rizzo, supra, at para. 21).
155 Having considered the
relevant factors, I conclude that Parliament did not intend to include
higher life forms within the definition of "invention" found in the
Patent Act. In their grammatical and ordinary sense alone, the
words "manufacture" and "composition of matter" are somewhat imprecise and
ambiguous. However, it is my view that the best reading of the words of
the Act supports the conclusion that higher life forms are not patentable.
As I discuss below, I do not believe that a higher life form such as the
oncomouse is easily understood as either a "manufacture" or a "composition
of matter". For this reason, I am not satisfied that the definition of
"invention" in the Patent Act is sufficiently broad to include
higher life forms. This conclusion is supported by the fact that the
patenting of higher life forms raises unique concerns which do not arise
in respect of non-living inventions and which are not addressed by the
scheme of the Act. Even if a higher life form could, scientifically, be
regarded as a "composition of matter", the scheme of the Act
indicates that the patentability of higher life forms was not
contemplated by Parliament. Owing to the fact that the patenting of higher
life forms is a highly contentious and complex matter that raises serious
practical, ethical and environmental concerns that the Act does not
contemplate, I conclude that the Commissioner was correct to reject the
patent application. This is a policy issue that raises questions of great
significance and importance and that would appear to require a dramatic
expansion of the traditional patent regime. Absent explicit legislative
direction, the Court should not order the Commissioner to grant a patent
on a higher life form.
(1) The Words of the Act
156 The definition of
"invention" in s. 2 of the Patent Act lists five categories of
invention: art (réalisation), process (procédé), machine
(machine), manufacture (fabrication) or composition of
matter (composition de matières). The first three, "art", "process"
and "machine", are clearly inapplicable when considering claims directed
toward a genetically engineered non-human mammal. If a higher life form is
to fit within the definition of "invention", it must therefore be
considered to be either a "manufacture" or a "composition of matter".
157 Rothstein J.A.
concluded that the oncomouse was a "composition of matter", and therefore
did not find it necessary to consider whether it was also a "manufacture".
In coming to this conclusion, he relied, at para. 115, on the following
definition of "composition of matter" adopted by the majority of the U.S.
Supreme Court in Chakrabarty, supra, at p. 308:
. . . all compositions of two or more
substances and . . . all composite articles, whether they be the results
of chemical union, or of mechanical mixture, or whether they be gases,
fluids, powders or solids.
In Chakrabarty, the
majority attributed the widest meaning possible to the phrases
"composition of matter" and "manufacture" for the reason that inventions
are, necessarily, unanticipated and unforeseeable. Burger C.J., at p. 308,
also referred to the fact that the categories of invention are prefaced by
the word "any" ("any new and useful process, machine, manufacture,
or composition of matter"). Finally, the Court referred to extrinsic
evidence of Congressional intent to adopt a broad concept of
patentability, noting at p. 309 that: "The Committee Reports accompanying
the 1952 Act inform us that Congress intended statutory subject matter to
`include anything under the sun that is made by man'".
158 I agree that the
definition of "invention" in the Patent Act is broad. Because the
Act was designed in part to promote innovation, it is only
reasonable to expect the definition of "invention" to be broad enough to
encompass unforeseen and unanticipated technology. I cannot however agree
with the suggestion that the definition is unlimited in the sense that it
includes "anything under the sun that is made by man". In drafting the
Patent Act, Parliament chose to adopt an exhaustive
definition that limits invention to any "art, process, machine,
manufacture or composition of matter". Parliament did not define
"invention" as "anything new and useful made by man". By choosing to
define invention in this way, Parliament signalled a clear intention to
include certain subject matter as patentable and to exclude other subject
matter as being outside the confines of the Act. This should be
kept in mind when determining whether the words "manufacture" and
"composition of matter" include higher life forms.
159 With respect to the
meaning of the word "manufacture" (fabrication), although it may be
attributed a very broad meaning, I am of the opinion that the word would
commonly be understood to denote a non-living mechanistic product or
process. For example, the Oxford English Dictionary (2nd ed. 1989),
vol. IX, at p. 341, defines the noun "manufacture" as the following:
The action or process of making by hand .
. . . The action or process of making articles or material (in modern
use, on a large scale) by the application of physical labour or mechanical
power.
The Grand Robert de la langue
française (2nd ed. 2001), vol. 3, at p. 517, defines
thus the word "fabrication":
[TRANSLATION] Art or
action or manufacturing. . . . The manufacture of a technical object (by
someone). Manufacturing by artisans, by hand, by machine, industrially, by
mass production . . . .
In Chakrabarty, supra,
at p. 308, "manufacture" was defined as
the production of articles for use from
raw or prepared materials by giving to these materials new forms,
qualities, properties, or combinations, whether by hand-labor or by
machinery.
These definitions use the terminology of
"article", "material", and "objet technique". Is a mouse an
"article", "material", or an "objet technique"? In my view, while a
mouse may be analogized to a "manufacture" when it is produced in an
industrial setting, the word in its vernacular sense does not include a
higher life form. The definition in Hornblower v. Boulton (1799), 8
T.R. 95, 101 E.R. 1285 (K.B.), cited by the respondent, is equally
problematic when applied to higher life forms. In that case, the English
courts defined "manufacture" as "something made by the hands of man" (p.
1288). In my opinion, a complex life form such as a mouse or a chimpanzee
cannot easily be characterized as "something made by the hands of
man".
160 As regards the meaning
of the words "composition of matter", I believe that they must be defined
more narrowly than was the case in Chakrabarty, supra, at p.
308 namely "all compositions of two or more substances and . . . all
composite articles". If the words "composition of matter" are understood
this broadly, then the other listed categories of invention,
including "machine" and "manufacture", become redundant. This implies that
"composition of matter" must be limited in some way. Although I do not
express an opinion as to where the line should be drawn, I conclude that
"composition of matter" does not include a higher life form such as the
oncomouse.
161 The phrase
"composition of matter" (composition de matières) is somewhat
broader than the term "manufacture" (fabrication). It is a
well-known principle of statutory interpretation that the meaning of
questionable words or phrases in a statute may be ascertained by reference
to the meaning of the words or phrases associated with them (P.-A. Côté,
The Interpretation of Legislation in Canada (3rd ed. 2000), at pp.
313-14). Also, a collective term that completes an enumeration is often
restricted to the same genus as those words, even though the collective
term may ordinarily have a much broader meaning (p. 315). The words
"machine" and "manufacture" do not imply a conscious, sentient living
creature. This provides prima facie support for the conclusion that
the phrase "composition of matter" is best read as not including such life
forms. This argument is bolstered by the fact that there are a number of
factors that make it difficult to regard higher life forms as
"composition[s] of matter".
162 First, the Oxford
English Dictionary, supra, vol. III, at p. 625, defines the
word "composition" as "[a] substance or preparation formed by combination
or mixture of various ingredients", the Grand Robert de la langue
française, supra, vol. 2, at p. 367, defines
"composition" as [TRANSLATION] "[a]ction
or manner of forming a whole, a set by assembling several parts,
several elements". Within the context of the definition of "invention", it
does not seem unreasonable to assume that it must be the inventor who has
combined or mixed the various ingredients. Owing to the fact that the
technology by which a mouse predisposed to cancer is produced involves
injecting the oncogene into a fertilized egg, the genetically altered egg
would appear to be cognizable as "[a] substance or preparation formed by
combination or mixture of various ingredients" or as [TRANSLATION] "[a]ction or manner of forming a whole
. . . by assembling several parts". However, it does not thereby follow
that the oncomouse itself can be understood in such terms. Injecting the
oncogene into a fertilized egg is the but-for cause of a mouse predisposed
to cancer, but the process by which a fertilized egg becomes an adult
mouse is a complex process, elements of which require no human
intervention. The body of a mouse is composed of various ingredients or
substances, but it does not consist of ingredients or substances that have
been combined or mixed together by a person. Thus, I am not satisfied that
the phrase "composition of matter" includes a higher life form whose
genetic code has been altered in this manner.
163 It also is significant
that the word "matter" captures but one aspect of a higher life form. As
defined by the Oxford English Dictionary, supra, vol.
IX, at p. 480, "matter" is a "[p]hysical or corporeal substance in general
. . ., contradistinguished from immaterial or incorporeal substance
(spirit, soul, mind), and from qualities, actions, or conditions".
"Matière" is defined by the Grand Robert de la langue
française, supra, vol. 4, p. 1260, as [TRANSLATION] "corporeal substance `that is perceptible in
space and has mechanical mass'". Although some in society may hold the
view that higher life forms are mere "composition[s] of matter", the
phrase does not fit well with common understandings of human and animal
life. Higher life forms are generally regarded as possessing qualities and
characteristics that transcend the particular genetic material of which
they are composed. A person whose genetic make-up is modified by radiation
does not cease to be him or herself. Likewise, the same mouse would exist
absent the injection of the oncogene into the fertilized egg cell; it
simply would not be predisposed to cancer. The fact that it has this
predisposition to cancer that makes it valuable to humans does not mean
that the mouse, along with other animal life forms, can be defined solely
with reference to the genetic matter of which it is composed. The fact
that animal life forms have numerous unique qualities that transcend the
particular matter of which they are composed makes it difficult to
conceptualize higher life forms as mere "composition[s] of matter". It is
a phrase that seems inadequate as a description of a higher life form.
164 Lastly, I wish also to
address Rothstein J.A.'s assertion that "[t]he language of patent law is
broad and general and is to be given wide scope because inventions are,
necessarily, unanticipated and unforeseeable" (para. 116). In my view, it
does not thereby follow that all proposed inventions are patentable. On
the one hand, it might be argued that, in this instance, Parliament could
foresee that patents might be sought in higher life forms. Although
Parliament would not have foreseen the genetically altered mouse and the
process of genetic engineering used to produce it, Parliament was well
aware of animal husbandry or breeding. While the technologies used to
produce a crossbred animal and a genetically engineered animal differ
substantially, the end result, an animal with a new or several new
features, is the same. Yet Parliament chose to define the categories of
invention using language that does not, in common usage, refer to higher
life forms. One might thus infer that Parliament did not intend to include
higher life forms in the definition of "invention". Although he was
referring specifically to crossbred plants and not to higher life forms in
general, a similar point was made by Marceau J.A. in Pioneer Hi-Bred
(F.C.A.), supra, at p. 14:
It is argued that the very nature of the
patent system and the benefits that were expected therefrom should lead to
the conclusion that Parliament intended the most open and favourable
approach to its statute. Maybe so, but I do not think that such an
approach would permit the interpreter to dispense with the necessity to
respect the results suggested by a careful analysis of the terms used in
the statute. Besides, speaking of the intention of Parliament, given that
plant breeding was well established when the Act was passed, it seems to
me that the inclusion of plants within the purview of the legislation
would have led first to a definition of invention in which words such as
"strain", "variety" or "hybrid" would have appeared . . . .
165 On the other hand, it
is important to recall that there is a qualitative difference between
crossbreeding and genetic alteration. In Pioneer Hi-Bred (S.C.C.),
Lamer J. (as he then was) articulated that difference in the following
terms (at p. 1633):
While the first method implies an
evolution based strictly on heredity and Mendelian principles, the second
also employs a sharp and permanent alteration of hereditary traits by a
change in the quality of the genes.
It is thus possible that Parliament did
not regard crossbred plants and animals as patentable, not because they
are higher life forms, but because they are better regarded as
"discoveries". Unable to anticipate genetic alteration, Parliament would
not have foreseen that higher life forms could be created in a manner
reasonably understood as an invention. If this is the case, we should be
wary of applying too broad or literal an interpretation of the phrase
"composition of matter". Even if higher life forms were more easily
cognizable as "composition[s] of matter", I still would find it difficult
to conclude that the definition of "invention" was intended to be
sufficiently broad to include higher life forms.
166 Patenting higher life
forms would involve a radical departure from the traditional patent
regime. Moreover, the patentability of such life forms is a highly
contentious matter that raises a number of extremely complex issues. If
higher life forms are to be patentable, it must be under the clear and
unequivocal direction of Parliament. For the reasons discussed above, I
conclude that the current Act does not clearly indicate that higher
life forms are patentable. Far from it. Rather, I believe that the best
reading of the words of the Act supports the opposite conclusion --
that higher life forms such as the oncomouse are not currently patentable
in Canada.
(2) The Scheme of the Act
167 This interpretation of
the words of the Act finds support in the fact that the patenting of
higher life forms raises unique concerns which do not arise with respect
to non-living inventions and which cannot be adequately addressed by the
scheme of the Act. In Pioneer Hi-Bred (F.C.A.), Marceau J.A.
discussed the intention of Parliament to include crossbred plants in the
following terms (at p. 14):
. . . it seems to me that the inclusion
of plants within the purview of the legislation would have led . . . to
the enactment of special provisions capable of better adapting the whole
scheme to a subject matter, the essential characteristic of which is that
it reproduces itself as a necessary result of its growth and maturity. I
do not dispute the appellant's contention that those who develop new types
of plants by cross-breeding should receive in this country, as they do
elsewhere, some kind of protection and reward for their efforts but it
seems to me that, to assure such result, the legislator will have to adopt
special legislation, as was done a long time ago in the United States and
in many other industrialized countries.
Marceau J.A.'s observation in this regard
is compelling. The patenting of higher life forms raises special concerns
that do not arise in respect of non-living inventions. Unlike other
inventions, biologically based inventions are living and self-replicating.
In addition, the products of biotechnology are incredibly complex,
incapable of full description, and can contain important characteristics
that have nothing to do with the invention (see Canadian Biotechnology
Advisory Committee, Patenting of Higher Life Forms and Related Issues:
Report to the Government of Canada Biotechnology Ministerial Coordinating
Committee, June 2002, at p. 11; see also Rudolph, supra, at p.
5). In my view, the fact that the Patent Act in its current state
is ill-equipped to deal appropriately with higher life forms as patentable
subject matter is an indication that Parliament never intended the
definition of "invention" to extend to this type of subject matter.
168 The respondent argues
that the concerns arising out of higher life forms as patentable subject
matter are "external to the Patent Act and its jurisprudence" and
that there is therefore no statutory basis to reject the patentability of
higher life forms on moral, ethical or environmental grounds. I agree with
the respondent that some of the policy concerns raised by the interveners
are more appropriately dealt with outside the patent system. For example,
some interveners expressed concern for the environmental and animal
welfare implications of biotechnology. These issues are only tenuously
linked to the patentability of higher life forms and are more directly
related to the development and use of the technology itself. With regard
to research and experimentation involving animals, by the time a
researcher is in a position to file for a patent, any harm to the animal
resulting from research will already have been done. Correspondingly, it
is preferable to address this issue through existing or new regimes for
protecting animal welfare. Similarly, if it is determined that additional
measures are needed to protect the environment from the products of
biotechnology, this may be effected through the Canadian Environmental
Protection Act, R.S.C. 1985, c. 16 (4th Supp.), or other comparable
regulatory mechanisms.
169 While the
above-mentioned concerns are only indirectly related to the Patent
Act, several of the issues raised by the interveners and in the
literature are more directly related to patentability and to the scheme of
the Patent Act itself. These issues, which pertain to the scope and
content of the monopoly right accorded to the inventor by a patent, have
been explored in depth by the Canadian Biotechnology Advisory Committee
(CBAC), a body created in 1999 with a mandate to provide the government
with advice on policy issues associated with biotechnology. In June 2002,
the CBAC released its final report, Patenting of Higher Life Forms and
Related Issues: Report to the Government of Canada Biotechnology
Ministerial Coordinating Committee. The report recommends that higher
life forms should be patentable. Nonetheless, it concludes, at p. 7, that
given the importance of issues raised by the patenting of higher life
forms and the significant "values" content of the issues raised,
Parliament and not the courts should determine whether and to what degree
patent rights ought to extend to plants and animals.
170 Two of the issues
addressed by the CBAC (farmers' privilege and innocent bystanders) arise
out of the unique ability of higher life forms to self-replicate. Because
higher life forms reproduce by themselves, the grant of a patent covers
not only the particular plant, seed or animal sold, but also all of its
progeny containing the patented invention. In the CBAC's view, this
represents a significant increase in the scope of rights offered to patent
holders that is not in line with the scope of patent rights provided in
other fields (Patenting of Higher Life Forms and Related Issues,
supra, at p. 12).
171 One significant
concern arising out of the increased scope of patent protection is the
impact that it will have on Canada's agricultural industry. The CBAC
recommends that a farmers' privilege provision be included in the Act.
The privilege would permit farmers to collect and reuse seeds
harvested from patented plants and to breed patented animals for their own
use, so long as these were not sold for commercial breeding purposes.
Although the CBAC puts forward suggestions pertaining to the general
nature of such a provision, it nonetheless recognizes that more work would
need to be done to identify the extent of the privilege in relation to
plants and animals.
172 Another concern
identified by the CBAC in respect to self-replication pertains to
infringement. The CBAC observes that since plants and animals are often
capable of reproducing on their own, it must be recognized that they will
not always do so under the control or with the knowledge of those who grow
the plants or raise the animals. Patent law does not currently require a
patent holder to prove that an alleged infringer knew or ought to have
known about the reproduction of a patented invention. An "innocent
bystander" may therefore be faced with high costs to defend a patent
infringement suit and an award of damages for infringement without a
countervailing remedy against the patent holder. The CBAC correspondingly
recommends that the Patent Act contain a provision that would allow
the so-called "innocent bystander" to rebut the usual presumption
concerning knowledge of infringement in respect of inventions capable of
reproducing, such as plants, seeds and animals.
173 In its
recommendations, the CBAC also deals with a concern that was raised before
this Court by the intervener Canadian Environmental Law Association. The
intervener submitted that patents on life forms may actually deter further
innovation in the biomedical field by foreclosing opportunities for
research and product development to those that do not hold the patent.
Arguably, this potential is inherent in the nature of a patent system. Yet
the impact may be more significant with respect to the products of
biotechnology. As noted by the CBAC, at p. 14: "Access to basic or
platform technology such as DNA sequences, cell lines, plants and animals
at reasonable cost is crucial to research". High research costs can be
expected to drive up the price of the end product, which in the case of
biotechnology includes diagnostic tests and therapeutic agents important
to the health of Canadians (see T. Schrecker et al., Ethical Issues
Associated with the Patenting of Higher Life Forms (1997), at p.
44).
174 In response to the
above-stated concerns, the CBAC recommends that the Patent Act be
amended to include a research and experimental use exception. The CBAC
recognizes that this Court established a common law experimental use
exception in the context of research aimed at sustaining a compulsory
licence: see Micro Chemicals Ltd. v. Smith Kline & French
Inter-American Corp., [1972] S.C.R. 506. Nonetheless, the scope and
nature of this exception is uncertain, particularly since Canada has since
eliminated its compulsory licence provisions. The CBAC reiterates that it
is Parliament and not the courts which should create the exception (at p.
15):
First, the values content of the issues
calls for a Parliamentary rather than a judicial approach. Second, the
responses we received from the research community suggest that researchers
do not feel that the current research exception is sufficiently clear.
Third, studies have illustrated that the failure to have a clear research
exception has curtailed important health research. Fourth, the member
states of the European Union have included experimental use exceptions in
their patent legislation without any apparent negative effect . . . .
Fifth, provincial governments have called for a clarification of the
experimental use exception in Canada.
175 Perhaps the most
significant issue addressed by the CBAC is the patentability of human
life. The CBAC recommends that if Canada decides to permit patents over
higher life forms, human bodies at all stages of development should be
excluded. It observes in this regard that although humans are also
animals, no country, including Canada, allows patents on the human body.
According to the CBAC, this understanding derives from the universal
principle of respect for human dignity, one element of which is that
humans are not commodities (see CBAC, supra, at p. 8).
176 The potential for
commodification of human life arises out of the fact that the granting of
a patent is, in effect, a declaration that an invention based on living
matter has the potential to be commercialized. The commodification of
human beings is not only intrinsically undesirable; it may also engender a
number of troubling consequences. Many of the consequentialist concerns
(i.e., the creation of "designer human beings" or features) are directed
at genetic engineering in general and not at patenting per se,
and are perhaps better dealt with outside the confines of the
Patent Act (see Schrecker, supra, at pp. 64-65).
Nonetheless, there remains a concern that allowing patents on the
human body will lead to human life being reconceptualized as genetic
information. A related concern is the potential for objectification. As
noted by Schrecker, supra, at p. 62: "[t]o objectify something is
implicit in treating it as a market commodity, but what is disturbing
about objectifying a person or organism is not so much the exchange of
money as it is the notion that a subject, a moral agent with autonomy and
dignity, is being treated as if it can be used as an instrument for the
needs or desires of others without giving rise to ethical objections".
177 Whatever justification
is used to support the assumption, there seems to be little debate that
human life is not patentable. In response to the hypothetical question of
whether patentability could be extended to human beings, Rothstein J.A.
replied, at para. 207: "The answer is clearly that the Patent Act
cannot be extended to cover human beings". He based this conclusion on
the fact that patenting is a form of ownership of property and that
ownership concepts cannot be extended to human beings pursuant to s. 7 of
the Charter. He concluded the topic by remarking that "[t]here is,
therefore, no concern by including non-human mammals under the definition
of `invention' in the Patent Act, that there is any implication
that a human being would be patentable in the way that the oncomouse
is" (para. 207).
178 In my view, this
general response to concerns over the implications for human beings of
patenting higher life forms is an oversimplification. Reference to the
Charter does not address the issue of whether the definition of
"invention" in s. 2 applies to human subject matter as a matter of
statutory interpretation. Should this Court determine that higher life
forms are within the scope of s. 2, this must necessarily include human
beings. There is no defensible basis within the definition of "invention"
itself to conclude that a chimpanzee is a "composition of matter" while a
human being is not. As noted by this Court in Bell
ExpressVu Limited Partnership v. Rex, [2002] 2 S.C.R. 559, 2002
SCC 42, at para. 62, "Charter values" are to be used as an
interpretative principle only in circumstances of genuine ambiguity,
i.e. where a statutory provision is subject to differing but
equally plausible interpretations. To read legislation in conformity with
the Charter in cases where there is no real ambiguity is to deprive
the government the opportunity to justify a provision that appears to
conflict with the Charter under s. 1.
179 In addition, while it
is likely that s. 7 of the Charter would have some impact on the
patenting of human life, it is unlikely to resolve many of the more
specific issues that may arise. Section 7 states that everyone has the
right to "life, liberty and security of the person". Because the section
deals only with "person[s]", it leaves the status of foetuses uncertain:
see Tremblay
v. Daigle, [1989] 2 S.C.R. 530, at p. 553; Winnipeg
Child and Family Services (Northwest Area) v. G. (D.F.), [1997] 3
S.C.R. 925. In its report to Parliament, the CBAC recommends that the
Patent Act be amended to say that no patent shall be granted on
human bodies "at any stage of development" (p. x). In its view, this
wording would demonstrate an intention not only to include human bodies of
infants, children and adults, but also all precursors to the human body
from zygotes to foetuses. Recognition by the CBAC of the necessity of
specifically addressing this issue supports the view that reference to s.
7 of the Charter alone cannot dispose of concerns associated with
the patenting of human life.
180 Applicants may also
seek to patent human tissues and organs rather than the entire person, in
which case s. 7 may not apply. The patenting of body parts raises yet
another issue: the increasingly blurred line between human beings and
other higher life forms. In the new field of xenotransplantation, human
genes are introduced into mammals such as pigs to make the animals' organs
more acceptable to the human body for the purposes of organ
transplantation. As noted by the intervener Animal Alliance of Canada, at
para. 68 of its submissions, this scientific development calls into
question the once clear distinction between human and animal life:
The pig receives human genes. The human
receives pig organs. Where does the pig end and the human begin? How much
DNA does it take before one becomes the other? The answer to these
questions, once ridiculous and offensive, may now just be a matter of
degree.
181 The problem posed by
the above technology with respect to locating the defining line which
separates humans from animals is not insurmountable. It does, however,
call into question Rothstein J.A.'s assumption that s. 7 of the Charter
is capable of addressing the issues associated with the patenting of
human life. In my view, it is not an appropriate judicial function for the
courts to create an exception from patentability for human life given that
such an exception requires one to consider both what is human and which
aspects of human life should be excluded.
182 The scenarios above
demonstrate that the issue of patenting of human life forms is a complex
one that cannot be readily dismissed by reference to the Charter.
Once again, it is an issue that demands a comprehensive Parliamentary
response. Illustrative in this regard is Directive 98/44/EC of the
European Parliament and of the Council of 6 July 1998 on the legal
protection of biotechnological inventions, which sets out several
detailed exceptions to patentability pertaining to the human body. The
first paragraph of article 5 of the Directive sets out the primary
exception:
The human body, at the various stages of
its formation and development, and the simple discovery of one of its
elements, including the sequence or partial sequence of a gene, cannot
constitute patentable inventions.
The second paragraph allows for a patent
on "[a]n element isolated from the human body or otherwise produced by
means of a technical process, including the sequence or partial sequence
of a gene . . . even if the structure of that element is identical to that
of a natural element". Paragraph 1 of article 6 sets out a general
exception to patentability for inventions where their commercial
exploitation would be contrary "to ordre public or morality".
Paragraph 2 further specifies that processes for cloning human beings,
processes for modifying the germ line genetic identity of human beings and
uses of human embryos for industrial or commercial purposes are all
considered unpatentable as being contrary to "ordre public or
morality".
183 As noted earlier, the
CBAC has recommended that higher life forms (i.e., plants, seeds and
non-human animals) that meet the criteria of novelty, non-obviousness and
utility be recognized as patentable. The concerns above therefore are not
raised to justify a position that higher life forms should not be
patentable, but rather serve to illustrate that the Patent Act in
its current form is not well suited to address the unique characteristics
possessed by higher life forms. The lack of direction currently in the
Patent Act to deal with issues that might reasonably arise signals
a legislative intention that higher life forms are currently not
patentable. In addition, the discussion of the issues raised by the CBAC
and other groups illustrates the complexity of the concerns. In my view,
this Court does not possess the institutional competence to deal with
issues of this complexity, which presumably will require Parliament to
engage in public debate, a balancing of competing societal interests and
intricate legislative drafting.
(3) The Object of the Act
184 The respondent submits
that the object of the Patent Act is to encourage and reward the
development of innovations and technology. In its view, this objective
supports a broad reading of the definition of "invention" that does not
exclude any area of technology save for the statutory exclusion in s.
27(3).
185 There is no doubt that
two of the central objects of the Act are "to advance research and
development and to encourage broader economic activity" (see Free World
Trust v. Électro Santé Inc.,
[2000] 2 S.C.R. 1024, 2000 SCC 66, at para. 42). As noted earlier,
this does not, however, imply that "anything under the sun that is made by
man" is patentable. Parliament did not leave the definition of "invention"
open, but rather chose to define it exhaustively. Regardless of the
desirability of a certain activity, or the necessity of creating
incentives to engage in that activity, a product of human ingenuity must
fall within the terms of the Act in order for it to be patentable.
The object of the Act must be taken into account, but the issue of
whether a proposed invention ought to be patentable does not
provide an answer to the question of whether that proposed invention
is patentable. In addition, the manner in which Canada has
administered its patent regime in the past reveals that the
promotion of ingenuity has at times been balanced against other
considerations. For example, under the former provisions of the Patent
Act, a licence could be granted to manufacture a patented
medicine seven years after the patent first appeared on the market. The
existence of this compulsory licence scheme demonstrates that other
objectives, including fairness and the promotion of Canada's universal
healthcare system, have at times existed as part of the patent regime
(see Chong, supra; see also Rudolph, supra, at p.
35, note 74).
186 Given the above, the
respondent's argument that the object of the Act leads inexorably to the
broadest reading of the definition of "invention" possible is problematic
and is, in my view, based on an oversimplification of the patent regime.
In the court below, Rothstein J.A. preferred the approach taken by the
majority of the U.S. Supreme Court in Chakrabarty, supra.
The majority read the language of the Act expansively on the basis
that the Act embodied Thomas Jefferson's philosophy that "ingenuity
should receive a liberal encouragement" (p. 308). The minority of the
court did not wholly accept this characterization, commenting in respect
to the objective of the Act, at p. 319 of the reasons:
The patent laws attempt to reconcile this
Nation's deep-seated antipathy to monopolies with the need to encourage
progress. Deepsouth Packing Co. v. Laitram Corp., 406 U.S. 518,
530-531 (1972); Graham v. John Deere Co., 383 U.S.1, 7-10 (1966).
Given the complexity and legislative nature of this delicate task, we must
be careful to extend patent protection no further than Congress has
provided. In particular, were there an absence of legislative direction,
the courts should leave to Congress the decisions whether and how far to
extend the patent privilege into areas where the common understanding has
been that patents are not available.
187 Based on the language
and the scheme of the Act, both of which are not well accommodated
to higher life forms, it is reasonable to assume that Parliament did not
intend the monopoly right inherent in the grant of a patent to extend to
inventions of this nature. It simply does not follow from the objective of
promoting ingenuity that all inventions must be patentable, regardless of
the fact that other indicators of legislative intention point to the
contrary conclusion.
(4) Related Legislation: The
Plant Breeders' Rights Act
188 It is a
well-established principle of statutory interpretation that given
ambiguity in the law, the substance and the form of subsequent legislation
may be relevant (see Côté, supra, at pp. 343-44). Of significance
to the interpretation of the Patent Act and the issue of its
applicability to higher life forms is the Plant Breeders' Rights
Act, passed in 1990 subsequent to this Court's decision in
Pioneer Hi-Bred, supra, in which it was determined that a
crossbred soybean variety did not meet the disclosure requirements of the
Patent Act. As noted by one commentator, the Act "is much
better tailored than the Patent Act to the particular
characteristics of plants" (N. M. Derzko, "Plant Breeders' Rights in
Canada and Abroad: What are These Rights and How Much Must Society Pay for
Them?" (1994), 39 McGill L.J. 144, at p. 159). In return for
specifically tailored and less onerous requirements a narrower monopoly
right is granted than that available under the Patent Act.
189 The existence of the
Plant Breeders' Rights Act is relevant to the issue of whether
Parliament intended higher life forms to be patentable under the Patent
Act for several reasons. First, it is argued that had plants been
patentable under the Patent Act, it would have been
unnecessary for Canada to pass a Plant Breeders' Rights Act to
begin with. A related argument was put forward by the appellant, who
submits that although Parliament passed "special legislation" to provide
protection for plant breeders, it made no move to amend the Patent Act
or to adopt other special legislation to provide for the protection of
forms of animal life. In addition, in the face of Marceau J.A.'s opinion
in Pioneer Hi-Bred (speaking for a majority of the Federal Court of
Appeal) that the Patent Act had never been intended
or understood to include crossbred plants -- one form of higher life -- in
patentable subject matter, Parliament did nothing to alter that intention
or understanding. A final point is that the Plant Breeders' Rights Act
was passed in recognition that the Patent Act was not tailored
to plants due to their unique characteristics. Since other higher life
forms share many of these characteristics, it is reasonable to assume that
Parliament would choose to protect these life forms through legislation
other than the Patent Act or through an amended Patent Act
that is better suited to the subject matter.
190 In
Chakrabarty, supra, a minority of four judges of the
U.S. Supreme Court found that the passage of the 1930 Plant Patent Act
and the 1970 Plant Variety Protection Act evidenced Congress's
understanding that the Patent Act does not include living
organisms. As noted, at p. 320:
If newly developed living organisms not
naturally occurring had been patentable under § 101 [the equivalent to the
definition of "invention" in s. 2 of the Canadian Patent Act], the
plants included in the scope of the 1930 and 1970 Acts could have been
patented without new legislation. Those plants, like the bacteria involved
in this case, were new varieties not naturally occurring.
The minority went on to note, at pp.
321-22:
. . . the Court's decision does not
follow the unavoidable implications of the statute. Rather, it extends the
patent system to cover living material even though Congress plainly has
legislated in the belief that § 101 does not encompass living organisms.
It is the role of Congress, not this Court, to broaden or narrow the reach
of the patent laws. This is especially true where, as here, the
composition sought to be patented uniquely implicates matters of public
concern.
191 The majority of the
court in Chakrabarty rejected the above argument, asserting that
factors other than congressional intent to exclude higher life forms from
the definition of "invention" were responsible for the passage of the
Acts. In particular, the majority notes that, prior to 1930, the
belief existed that plants, even those artificially bred, were products of
nature for the purposes of the patent law. The second obstacle to patent
protection for plants was the fact that plants were thought not amenable
to the "written description" requirement of the patent law. In enacting
the Plant Patent Act, Congress addressed both of these
concerns. The majority also addressed the passage of the 1970 Plant
Variety Protection Act which, in its view, was passed to provide
protection for sexually reproduced plants not covered by the 1930 Act.
192 Given that the
Plant Breeders' Rights Act was passed following this Court's
decision in Pioneer Hi-Bred that the soybean variety in question
was unable to meet the written description requirement of the Patent
Act, the point of view of the majority in Chakrabarty
may have merit in the Canadian context. In other words, it may well
be that the Plant Breeders' Rights Act was passed not out of
recognition that higher life forms are not a patentable subject matter
under the Patent Act, but rather out of recognition that
plant varieties deserve some form of intellectual property protection
despite the fact that they often do not meet the technical criteria of the
Patent Act.
193 Nonetheless, this does
not diminish the weight of the appellant's argument that although
Parliament responded to Pioneer Hi-Bred by enacting special
legislation for the protection of plant breeders, it did not address other
higher life forms. This is particularly significant given the majority of
the Federal Court of Appeal's conclusion in that case that crossbred
plants did not fall within the definition of "invention" in the Patent
Act, and the fact that this Court did not broach the subject,
effectively leaving open the issue of whether or not such plants and other
higher life forms are patentable subject matter. Given that the
status quo position of the Patent Commissioner is that higher life
forms are not patentable, had Parliament intended to extend patentability
to higher life forms other than crossbred plants, it would likely have
done so at that time.
194 Though the arguments
above are not absolutely indicative of parliamentary intent, they are of
some significance. Far more significant, in my view, is that the passage
of the Plant Breeders' Rights Act demonstrates that mechanisms
other than the Patent Act may be used to encourage inventors to
undertake innovative activity in the field of biotechnology. As discussed
above, the Plant Breeders' Rights Act is better tailored than the
Patent Act to the particular characteristics of plants, a factor
which makes it easier to obtain protection. The quid pro quo is
that a narrower monopoly right is granted. For example, the monopoly right
relates only to the propagating material (the seed and the cuttings) and
not to the actual plant. As explained by Derzko, supra, at p. 161,
"[t]his is done because, unlike inert objects that are patentable, and
unlike unicellular organisms that replicate into exact copies of each
other, higher organisms such as plants start off from a cell and then grow
and differentiate into a complete plant". The following statement of the
Honourable Donald Mazankowski (then Minister of Agriculture) demonstrates
that the Plant Breeders' Rights Act was passed to accommodate the
special characteristics of crossbred plants as self-reproducing higher
life forms while at the same time striking an appropriate balance between
the holder of the monopoly right and others:
. . . Bill C-15 is designed to allow
Canadian producers access to the best possible plant varieties, whatever
country they originate in. It provides for certain rights for plant
breeders and outlines their application, and further details restrictions
that will apply to these rights to better protect the public interest. The
legislation is designed to deal with the complexities of the issue and
that is why we have chosen this route rather than to amend the Patent
Act.
(See House of Commons, Minutes of
Proceedings and Evidence of the Legislative Committee on Bill C-15: An Act
Respecting Plant Breeders' Rights, Issue No 1, October 11, 1989 at p.
1:15.)
195 Although legislation
addressing the rights of plant breeders was introduced into the House of
Commons as early as May 1980, the Plant Breeders' Rights Act was
not passed and brought into force until August 1990, some 10 years later
(see Canadian Food Inspection Agency, 10-Year Review of Canada's Plant
Breeders' Rights Act (2002)). The CBAC has only very recently issued
its final report to the Government of Canada on the patenting of higher
life forms. Given the opportunity to consider the recommendations therein
and other sources of information on the topic, it is not clear that
Parliament would choose to strike the balance between the inventor of a
higher life form and the public in the same way that the Patent Act
does.
196 Many of the issues
that arose with respect to intellectual property protection for plant
varieties also arise when considering the patentability of other higher
life forms (e.g. impact on farmers and on research and development). If a
special legislative scheme were needed to protect plant varieties, a
subset of higher life forms, a similar scheme may also be necessary to
deal with the patenting of higher life forms in general. As noted above,
only Parliament is in the position to respond to the concerns associated
with the patenting of all higher life forms, should it wish to do so, by
creating a complex legislative scheme as in the case of crossbred plants
or by amending the Patent Act. Conversely, it is beyond the
competence of this Court to address in a comprehensive fashion the issues
associated with the patentability of higher life forms.
C. Drawing the Line: Is it Defensible
to Allow Patents on Lower Life Forms While Denying Patents on Higher Life
Forms?
197 The respondent notes
that the Commissioner of Patents has since 1982 accepted that lower life
forms come within the definitions of "composition of matter" and
"manufacture" and has granted patents on such life forms accordingly. It
adds that the Patent Act does not distinguish, in its definition of
"invention", between subject matter that is less complex (lower life
forms) and subject matter that is more complex (higher life forms). It
submits that there is therefore no evidentiary or legal basis for the
distinction the Patent Office has made between lower life forms such as
bacteria, yeast and moulds, and higher life forms such as plants and
animals.
198 The patentability of
lower life forms is not at issue before this Court, and was in fact never
litigated in Canada. In Abitibi, supra, the Patent Appeal
Board, the Commissioner concurring, rejected the prior practice of the
Patent Office and issued a patent on a microbial culture that was used to
digest, and thereby purify, a certain waste product that emanates from
pulp mills. The decision, in this regard, was based largely on the U.S.
Supreme Court's decision in Chakrabarty, supra, and
on the practice in Australia, Germany and Japan. Having noted that
judicial bodies in these countries altered their interpretation of
patentable subject matter to include micro-organisms, the Board observed,
at p. 88: "[o]bviously the answer to the question before us, which once
had seemed so clear and definite has become clouded and uncertain". The
Board was careful to limit the subject matter to which the decision would
apply (at p. 89):
. . . this decision will extend to all
micro-organisms, yeasts, moulds, fungi, bacteria, actinomycetes,
unicellular algae, cell lines, viruses or protozoa; in fact to all new
life forms which are produced en masse as chemical compounds are
prepared, and are formed in such large numbers that any measurable
quantity will possess uniform properties and characteristics.
199 Though this Court is
not faced with the issue of the patentability of lower life forms, it must
nonetheless address the respondent's argument that the line between higher
and lower life forms is indefensible. As discussed above, I am of the
opinion that the unique concerns and issues raised by the patentability of
plants and animals necessitate a parliamentary response. Only Parliament
has the institutional competence to extend patent rights or another form
of intellectual property protection to plants and animals and to attach
appropriate conditions to the right that is granted. In the interim, I see
no reason to alter the line drawn by the Patent Office. The distinction
between lower and higher life forms, though not explicit in the Act,
is nonetheless defensible on the basis of common sense differences
between the two. Perhaps more importantly, there appears to be a consensus
that human life is not patentable; yet this distinction is also not
explicit in the Act. If the line between lower and higher life
forms is indefensible and arbitrary, so too is the line between human
beings and other higher life forms.
200 The appellant submits
that a fully developed non-human mammal is worlds apart from a yeast, a
mould, or even the single-celled egg leading to its development. Whereas
simple organisms are easily defined or identified by reference to a
limited number of properties, complex life forms are not. In addition,
simple organisms are often produced by processes similar to the
manufacture of chemicals, while complex intelligent life forms are
not.
201 As I stated above, the
issue of whether a lower life form is a "composition of matter" or
"manufacture" was never challenged in the courts in this country and it is
difficult to say whether the Canadian courts would have followed the
approach of the majority of the U.S. Supreme Court in Chakrabarty,
supra, or whether the approach of the minority would have
been preferred. Regardless of the wisdom of the decision, it is now
accepted in Canada that lower life forms are patentable. Nonetheless, I
agree with the appellant that this does not necessarily lead to the
conclusion that higher life forms are patentable, at least in part for the
reasons that it is easier to conceptualize a lower life form as a
"composition of matter" or "manufacture" than it is to conceptualize a
higher life form in these terms.
202 First, as noted in
Abitibi, supra, at p. 89, micro-organisms are
produced "en masse as chemical compounds are prepared, and are
formed in such large numbers that any measurable quantity will possess
uniform properties and characteristics". The same cannot be said for
plants and animals. In re Bergy, Coats, and Malik, 195 U.S.P.Q. 344
(1977), the U.S. Court of Customs and Patent Appeals explained the
distinction in terms of process, at p. 350:
The nature and commercial uses of
biologically pure cultures of microorganisms . . . are much more akin to
inanimate chemical compositions such as reactants, reagents, and catalysts
than they are to horses and honeybees or raspberries and roses.
The difference in the end product was
noted by Derzko, supra, at p. 161, in reference to the
Plant Breeders' Rights Act:
The rights do not extend to the actual
plant. This is done because, unlike inert objects that are patentable, and
unlike unicellular organisms that replicate into exact copies of each
other, higher organisms such as plants start off from a cell and then grow
and differentiate into a complete plant. The difficulty lies in having to
decide what should and should not be protected.
203 The above distinction
was rejected by Rothstein J.A. on the rationale that so long as the mouse
contains the desired feature (the oncogene), it does not matter whether
the inventor is capable of controlling the other features of the mouse. I
agree that Rothstein J.A.'s reasoning makes sense when approaching the
issue of whether the invention meets the requirement of being new, useful
and non-obvious. If the oncomouse contains the oncogene, it does not make
any difference whether its fur is brown or grey. Nonetheless, the argument
has some merit when considering the threshold issue of whether the mouse
can be categorized as a "composition of matter" or "manufacture". For the
reasons cited above, it is far easier to analogize a micro-organism to a
chemical compound or other inanimate object than it is to analogize a
plant or an animal to an inanimate object.
204 Second, this appeal
deals specifically with the issue of whether an animal (in particular a
mammal) can be considered to be a "composition of matter" or
"manufacture". Several important features possessed by animals distinguish
them from both micro-organisms and plants and remove them even further
from being considered a "composition of matter" or a "manufacture". In
particular, the capacity to display emotion and complexity of reaction and
to direct behaviour in a manner that is not predictable as stimulus and
response, is unique to animal forms of life. The interveners Animal
Alliance of Canada, International Fund for Animal Welfare Inc. and
Zoocheck Canada Inc. cast the distinction in the following terms:
"[h]igher life forms are distinguishable from `lower life forms' for which
patents have already issued, in that, inter alia, they are
sentient and conscious". Of course, if sentience is the determining factor
that renders a higher life form incapable of receiving patent protection,
then the current line between higher and lower life forms is misplaced. As
stated earlier, given the complexity of the issues involved, it is not the
task of the Court to situate the line. It may well be that Parliament
chooses to exclude plants from patentability for other reasons, such as
their capability to self-propagate and the infringement issues that this
raises.
205 Finally, the
respondent refers to the World Trade Organization's Agreement on Trade
Related Aspects of Intellectual Property Rights (TRIPS), 1869 U.N.T.S.
299, and the North American Free Trade Agreement (NAFTA), Can. T.S.
1994 No. 2, which both contain an article whereby members may "exclude
from patentability" certain subject matter, including plants and animals
other than micro-organisms. The respondent argues that it is apparent from
this provision that plants and animals are considered patentable, unless
specifically excluded from patentability. I see little merit to this
argument since the status quo position in Canada is that higher
life forms are not a patentable subject matter, regardless of the fact
that there is no explicit exclusion in the Patent Act. In my view,
the fact that there is a specific exception in TRIPS and NAFTA for plants
and animals does however demonstrate that the distinction between higher
and lower life forms is widely accepted as valid.
206 As I remarked above,
it is up to Parliament and not the courts to assess the validity of the
distinction drawn by the Patent Office between higher life forms and lower
life forms. Yet, even if this Court were to alter the status quo
and find higher life forms patentable, it would be unable to avoid
engaging in line-drawing. The majority of the Federal Court of Appeal,
which found that the Patent Act did apply to higher life forms, was
nonetheless compelled to draw a distinction between higher life forms and
human beings. In doing so, it merely substituted one line, that between
humans and animals, for the line preferred by the Patent Office, that
between higher and lower life forms. In my opinion, the decision to move
the line in this manner was ill-advised. As I stated earlier when
considering the definition of "invention", the patenting of all plants and
animals, and not just human beings, raises several concerns that are not
appropriately dealt with in the Patent Act. In addition, a
judicially crafted exception from patentability for human beings does not
adequately address issues such as what defines a human being and whether
parts of the human body as opposed to the entire person would be
patentable.
VI. Conclusion
207 For the reasons given
above, the appeal is allowed. No order as to costs will be given in light
of the Commissioner's oral submissions.
Appeal allowed, MCLACHLIN C.J. and MAJOR, BINNIE and ARBOUR JJ. dissenting.
Solicitor for the
appellant: The Attorney General of Canada, Ottawa.
Solicitors for the
respondent: Smart & Biggar, Ottawa.
Solicitors for the interveners
Canadian Council of Churches and Evangelical Fellowship of Canada: Barnes,
Sammon, Ottawa.
Solicitors for the interveners
Canadian Environmental Law Association, Greenpeace Canada, Canadian
Association of Physicians for the Environment, Action Group on Erosion,
Technology and Concentration, and Canadian Institute for Environmental Law
and Policy: The Canadian Environmental Law Association, Toronto.
Solicitors for the intervener Sierra
Club of Canada: The Sierra Legal Defence Fund, Toronto.
Solicitors for the interveners Animal
Alliance of Canada, International Fund for Animal Welfare Inc., and
Zoocheck Canada Inc.: Ruby & Edwardh, Toronto.
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