1) The basic requirement for patent protection is that the invention claimed is new, involves inventive activity and is industrially applicable.

2) Patent protection is excluded for inter alia diagnostic, therapeutic and surgical methods for humans or animals, plants and animals (other than microorganisms), essentially biological procedures for the production of plants and animals, game rules, principles of commercial, accounting, financing, education, publicity, raffle or control methods, computation programs, ways of presenting information and biological and genetic material as it exists in nature. Additionally new uses of previously patented products or procedures may not be the subject of a further patent.

3) Prior art to be considered in assessing the novelty and inventivity of an invention is to be determined on the basis of all disclosure whether written, oral or "any other means of diffusion of information" anywhere in the world by which the technical knowledge of the invention is imparted. Additionally the content of previously filed Uruguayan patent applications that are subsequently published are to be considered when assessing novelty and inventivity. There is, however, a one-year grace period for disclosures by the inventor or which have been directly or indirectly obtained from him or her. In the case where convention priority is validly claimed, this grace period covers disclosures within the year preceding the priority date.

4) The term of a patent will be twenty years from the date of filing.

5) Publication of pending applications will take place eighteen months from the filing date or, when claimed, the priority date.

6) An international doctrine of exhaustion of rights has been adopted so that a patentee cannot enjoin any use, importation or sale of a patented product "after the same has been lawfully placed in commerce, within the country or abroad, by the patentee or a third party with the approval" of the patentee.

7) A prior user right will protect those who have in good faith used or made serious preparation to use the invention in Uruguay before the filing date or a validly claimed priority date.

8) Unless agreed to the contrary, licenses shall be non-exclusive and without the power to grant sub-licenses or be assigned but shall extend to all matters covered by the licensed patent. Furthermore unless otherwise agreed, the licensee shall have the right to "defend the patent" if the patentee fails to do so. License agreements that have a negative effect on competition, constitute unfair acts of competition or make possible an abuse of a dominant position by the patentee are prohibited.

9) Compulsory licenses are provided for in certain circumstances which seem to be in compliance with TRIPS. It should, however be noted that the law codifies the possibility envisaged by TRIPS that compulsory licenses may be granted to remedy anti-competitive practices and provides examples of such practices including charging prices that are in excess of the international norm for the patented product or are significantly higher than those at which third parties offer to supply the patented goods.

10) There is provision for both civil and criminal action against patent infringers, with a maximum penalty of three years' imprisonment for infringers in criminal proceedings.