Appraisers’ Association Asks Ministry of Intellectual Property to Revise Patent Attorneys’ 'Self-Valuation' Provision

[Financial News] The Korea Association of Property Appraisers has requested revisions to the so-called 'self-valuation' provision in a bill to amend the Patent Attorney Act currently pending before the National Assembly's Legislation and Judiciary Committee.
The Korea Association of Property Appraisers said on the 30th that it discussed measures to promote IP valuations and the Patent Attorney Act amendment bill with the Ministry of Intellectual Property at the ministry's Seoul office in Gangnam District, Seoul, on the 29th. Attendees included association President Yang Gil-su and Kim Yong-sun, head of the Ministry of Intellectual Property.
The association emphasized that expertise, fairness and reliability in valuations must be ensured for intellectual property to become a core asset used in transactions, investment, collateral and commercialization. Since IP valuation requires a comprehensive analysis of business potential, marketability, legal rights and technological merit, the association said the relevant industries and the government should establish a multifaceted cooperation system.
As specific areas for cooperation, it proposed support for improving valuation models and establishing a quality management system. It also requested the prompt revision of the Enforcement Decree of the Invention Promotion Act, which excludes property appraisers from the requirements for institutions that evaluate inventions.
Regarding the Patent Attorney Act amendment bill, the association raised concerns about a provision that would allow the same patent attorney to conduct valuations of patents, utility models, designs and trademarks for which the attorney had provided representation. It argued that the provision could permit conflicts of interest and undermine the objectivity and fairness of valuations, and it proposed revisions.
The current Act on Appraisal and Certified Appraisers restricts appraisal work when there is concern that it may be performed unfairly. The association explained that the Attorney-at-Law Act also prohibits attorneys from handling work related to notarization cases, while the Certified Public Accountant Act bars accountants from undertaking audits if they have provided advisory services such as bookkeeping representation.
The association also requested revisions to a provision that imposes data-submission obligations only on patent attorneys with relevant expertise. It further proposed clarifying the management system, including stronger disciplinary provisions, to prevent a recurrence of cases such as inadequate valuations of patent rights by patent attorneys in 2020.
The association also expressed regret over the Ministry of Intellectual Property's response at the Legislation and Judiciary Committee on March 30. It claimed that the ministry responded in a manner suggesting that consultations on the Patent Attorney Act amendment bill had been completed, even though the association and the ministry had not held separate consultations.
The association also conveyed its position that discussions over the bill should not develop into a conflict between licensed professional groups over their respective areas of practice. It said that advancing as a global leader in intellectual property requires productive discussions aimed at improving the expertise and fairness of the system, rather than conflicts between professional groups.
[email protected] Choi Ga-young Reporter