中华人民共和国促进科技成果转化法 LAW OF THE PEOPLES REPUBLIC OF CHINA ON PROMOTING THE TRANSFORMATION OF SCIENTIFIC

nterprises cooperate with enterprises， other organizations or individuals from abroad in transforming scientific and technological achievements， such achievements must be subject to evaluation according to relevant state provisions.

　　If the cooperation with foreign parties in transforming scientific and technological achievements involves state secrets， prior approval shall be obtained through statutory procedures.

　　Article 17 Markets or institutions established according to law to engage in technological trade may conduct the following activities to promote the transformation of scientific and technological achievements：

　　（1） introducing and recommending advanced， ripe and practical scientific and technological achievements；

　　（2） providing information regarding finance， technology and environment and other relevant information required for the transformation of scientific and technological achievements；

　　（3） engaging in technological trade； and

　　（4） providing other consultancy service for the transformation of scientific and technological achievements.

　　Article 18 An intermediary institution engaging in agency or intermediary service or other paid service for technological trade must take out a business licence according to relevant state provisions. Personnel acting as a broker in such an institution must procure a qualification certificate according to relevant state provisions.

　　Article 19 The state encourages enterprises， institutions and rural scientific and technological economic cooperation organizations to conduct pilot trials， industrial tests and agricultural experiments and demonstrations and other activities of technological innovation and service.

　　Bases for pilot trial， industrial test or agricultural experiment and demonstration， which are used for the transformation of scientific and technological achievements， and other institutions engaging in technological innovation and service may conduct the following activities：（1） putting new products and new techniques to pilot trials and industrial tests；

　　（2） making coordinated d

evelopment and technological innovation of scientific and technological achievements for a region or an industry in order to develop systematic and engineering technology to satisfy the social need；

　　（3） providing technology or technical service for small- or mediate-size enterprises， rural enterprises and rural scientific and technical and economic cooperation organizations； and

　　（4） providing comprehensive and systematic service required for the transformation of scientific and technological achievements and the establishment of related enterprises.

　　Capital construction of bases and institutions mentioned in the preceding paragraph shall be incorporated into the relevant national or local plans with the approval of the department concerned under the State Council and people's governments of provinces， autonomous regions and municipalities directly under the central government.

　　Article 20 Experimental products developed through the transformation of scientific and technological achievements may， with an approval of the competent department， be placed on trial sale within a specified period of time according to state provisions governing trial sale products. Products manufactured or marketed on trial basis should meet national standards regarding technology， quality， safety and health.

　　Chapter III Guarantee Measures

　　Article 21 National financial appropriations for science and technology， fixed assets investment and technological transformation should include a proportion for the transformation of scientific and technological achievements. National financial appropriations for the transformation of scientific and technological achievements shall be mainly used for guide funds， interest discount on loans， subsidies， and venture investment as well as other funds for the transformation of scientific and technological achievements.

　　Article 22 The state institutes a policy on tax preferences for the transformation of scientific and technological achievements. The State Council shall formulate specific measures therefor.

　　Article 23 The financial institutions of the state should give support to the transformation of scientific and technological achievements by granting credits and loans， and should increase loans for the transformation gradually.

　　Article 24 The state encourages the establishment of funds or venture funds for the transformation of scientific and technological achievements， which are raised from the state， localities， enterprises， institutions and other organizations or individuals， in order to finance the transformation of scientific and technological achievements of high investment， high venture and high yield， and to help accelerate the industrialization of major scientific and technological achievements.

　　The establishment and use of funds and venture funds for the transformation of scientific and technological achievements shall be subject to relevant state provisions.

　　Article 25 The state promotes the establishment and development of scientific and technological information networks， and sets up information and data banks of scientific and technological achievements in order to provide service for the whole country with information regarding scientific and technological achievements.

　　Chapter IV Right of Technology

　　Article 26 Where a unit having accomplished a scientific and technological achievement cooperates with other unit in the transformation of the achievement， they should stipulate for the right to the achievement in the contract according to law. If they fails to agree upon such stipulations in the contract， the parties shall specify the right under the following principles：

　　（1） If no new invention-creation develops in the course of the cooperation， the right to the achievement shall belong to the unit having accomplished the achievement；

　　（2） If a new invention-

creation develops in the course of the cooperation， such a new invention-creation shall be owned by all cooperators； or

　　（3） If a scientific and technological achievement is made in the course of the cooperation， any of the parties shall have the right to exploit the achievement， and the transfer of the achievement shall be subject to the consent of all parties.

　　Article 27 Where a unit having accomplished a scientific and technological achievement cooperates with other unit in the transformation of the achievement， all cooperators shall enter into an agreement on preserving technological secrets. Any of the parties may not disclose or allow others to exploit the technology by breaking the agreement or disregarding the requirement of the owners of the right to preserve the technological secrets.

　　Technological trade markets or intermediary institutions shall bear the obligation to preserve technological secrets known from the parties in providing agency or intermediary service.

　　Article 28 Enterprises and institutions should establish and improve their protective systems for technological secrets in order to keep their own technological secrets confidential. Staff members should observe protective systems for technological secrets in their units.

　　Enterprises and institutions may enter into an agreement with participants in the transformation of scientific and technological achievements that they should preserve technological secrets of their units when they are on job， or within a specified period of time after they leave their posts， or leave their posts as veteran cadres， or retire. No person concerned may divulge technological secrets of his unit or engage in activities of transforming the same scientific and technological achievement as did when he was in his original unit by breaking the agreement.

　　Staff members may not transfer job-related scientific and technological achievements without authorization or in disguised form.

　　Article 29 Where a unit having accomplished a job-related scientific and technological achievement transfers the achievement to others， it should set aside a proportion not less than 20 percent of net income devised from such a transfer to grant prizes to persons who have made significant contributions to the accomplishment and transfer of the achievement.

　　Article 30 Where an enterprise or institution has succeeded in the transformation of a scientific and technological achievement， which has been made through research and development independently or in collaboration with other units， and put it into operation， it should set aside a proportion not less than five percent of newly added profit derived from the exploitation of the achievement during a successive period of time from three to five years to grant prizes to persons who have made significant contributions to the accomplishment and transfer of the achievement.

　　Joint stock enterprises may， in accordance with relevant state provisions， convert rewards or prizes into shares or capital contributions to grant to persons who have made significant contributions to research and development and transformation of scientific and technological achievements. The holders are entitled to share profits in proportion to shares or capital contributions.

　　Chapter V Legal Liability

　　Article 31 Anyone who， in violation of the provisions in this Law， obtains awards and a honourable title， cheats another one out of his money， seeks illegal gains by resorting to fraud in the transformation of scientific and technological achievements， shall be ordered to make correction，

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