Budapest Treaty Law and Legal Definition
The Budapest Treaty on the International Recognition of the Deposit of Microorganisms for the Purposes of Patent Procedure is an international treaty signed in Hungary on the 28th of April, 1977. The treaty came into force on August 9, 1980. This treaty is commonly known as the Budapest Treaty. This treaty was amended on September 26, 1980. The treaty permits deposits of microorganisms at an international depositary authority to be recognized for the purposes of patent procedure.
Approximately 73 countries are party to the Budapest Treaty as of June 2010. The U.S. is a party to this treaty. The Treaty is open to States party to the Paris Convention for the Protection of Industrial Property. The Budapest treaty is administered by the World Intellectual Property Organization (WIPO).
The Treaty makes the patent system of the contracting state more attractive because it is beneficial to the depositor if s/he is an applicant for patents in several contracting states. The deposit of a microorganism following the procedures in the treaty will save money of the depositor. It also helps in increasing the security.