Sections 124A explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
Sections 124A and 124B were inserted into the Patents Act by the Jan Vishwas (Amendment of Provisions) Act, 2023, with effect from 1 August 2024. Section 124A lets the Controller authorise an officer to hold an inquiry and impose a penalty after giving the person a reasonable opportunity of being heard. Section 124B gives a person aggrieved by that order an appeal to an officer at least one rank above, within sixty days, and makes failure to comply within ninety days a punishable offence. If a penalty notice has reached you, our legal dispute resolution team can help you respond and appeal on time.
s.124A: the Controller may, by order, authorise an officer referred to in section 73 as adjudicating officer to hold an inquiry and impose penalty, "in the manner as may be prescribed", after a reasonable opportunity of being heard. s.124B: appeal to an appellate authority (an officer at least one rank above) within sixty days of receipt of the order; late appeal admitted for sufficient cause; disposal within sixty days of filing; failure to comply within ninety days of the order attracts, in addition to the penalty, fine of one lakh rupees or imprisonment up to one year, or both.
Amendments to know
The whole of sections 124A and 124B is shown in square brackets with a footnote: inserted by the Jan Vishwas (Amendment of Provisions) Act, 2023 (18 of 2023), section 2 and the Schedule, with effect from 1 August 2024. The Central Government fixed that date by a notification of 26 July 2024 (S.O. 2972(E)) under section 1(2) of the 2023 Act, for the Patents Act among other laws. A new clause in section 159(2) lets rules be made for the manner of inquiry and appeal; see our article on sections 158 and 159. The Jan Vishwas (Amendment of Provisions) Act, 2026 does not mention these sections.
Section 124A: adjudication of penalties
"The Controller may, by an order, authorise an officer referred to in section 73, to be the adjudicating officer for holding an inquiry and imposing penalty under the provisions of this Act, in the manner as may be prescribed, after giving the person concerned a reasonable opportunity of being heard."
Taking the sentence apart:
| Element | What the text says |
|---|---|
| Who authorises | The Controller, "by an order" |
| Who is authorised | An officer "referred to in section 73" (see our article on sections 73 and 74) |
| Role | "adjudicating officer" |
| Purpose | Holding an inquiry and imposing penalty "under the provisions of this Act" |
| Manner | "as may be prescribed", so the Patents Rules, 2003 govern the procedure |
| Safeguard | "after giving the person concerned a reasonable opportunity of being heard" |
Which penalties? The text says "penalty under the provisions of this Act". In the printed text the penalty provisions are section 120 (unauthorised claim of patent rights), section 122 (refusal or failure to supply information, and false information) and section 123 (practice by non-registered agents). The imprisonment and fine in sections 118 and 119, and the punishment in section 124B(6), are not "penalty" in this sense and remain matters for a court; the text does not say which court. Section 124A does not itself list the sections it covers, so this reading comes from the words of the other sections.
Section 124B: appeal
Sub-section (1): who hears it and within how long
"Whoever aggrieved by an order of the adjudicating officer under section 124A may prefer an appeal to the appellate authority, who shall be an officer at least one rank above the adjudicating officer, within a period of sixty days from the date of receipt of the order, as the Central Government may by notification authorise in this behalf."
Points:
- Any aggrieved person may appeal, not only the person penalised.
- The appellate authority is "an officer at least one rank above the adjudicating officer". The words "as the Central Government may by notification authorise in this behalf" mean the Central Government names the authority by notification. The placement of these words at the end of the sentence is a drafting oddity; read them as governing who the appellate authority is.
- Sixty days run "from the date of receipt of the order". Compare section 117A(4), where three months run from the date of the decision.
Sub-section (2): form and manner
"Every appeal under this section shall be preferred in such form and manner as may be prescribed." The Rules prescribe it; the Act names no form.
Sub-section (3): delay
"An appeal may be admitted after the expiry of the period of sixty days if the appellant satisfies the appellate authority that he had sufficient cause for not preferring the appeal within that period." The text sets no outer limit on the delay.
Sub-section (4): hearing
"No appeal shall be disposed of unless the appellant has been given a reasonable opportunity of being heard."
Sub-section (5): time for disposal
"The appellate authority ... shall dispose of the appeal within sixty days from the date of filing the appeal." The text does not say what follows if the period passes.
Sub-section (6): failure to comply
"Notwithstanding anything contained in this Act, if the person fails to comply with the order of the adjudicating officer under section 124A or the order of the appellate authority under this section, as the case may be, within ninety days of such order, he shall, in addition to the penalty, be punishable with fine of one lakh rupees or imprisonment for a term which may extend to one year, or with both."
So there is a second layer: the penalty itself and, for non-compliance within ninety days of the order, a punishment in addition. Note that ninety days run from "such order", and the text does not say whether the time stops while an appeal is pending. A reader should not assume that.
Timeline at a glance
| Step | Period in the Act |
|---|---|
| Appeal against adjudicating officer's order | Sixty days from the date of receipt of the order |
| Late appeal | Admissible on sufficient cause; no outer limit stated |
| Disposal of appeal | Sixty days from the date of filing |
| Compliance with the order | Ninety days of the order; otherwise fine of one lakh rupees or imprisonment up to one year, or both, in addition to the penalty |
Illustration (invented)
Sagar Marine Equipment Pvt. Ltd. fails to furnish a statement the Controller required under section 146. An adjudicating officer authorised by the Controller holds an inquiry, hears the company and imposes a penalty. The order is received on 5 May. Sagar can appeal to the appellate authority within sixty days of 5 May, in the form and manner prescribed. The authority must give it a hearing and dispose of the appeal within sixty days of filing. If Sagar neither pays nor otherwise complies with the order within ninety days of the order, section 124B(6) makes it punishable with fine of one lakh rupees or imprisonment up to one year, or both, in addition to the penalty.
What the sections do not say
- They do not name the appellate authority; the Central Government does so by notification.
- They do not give the form of inquiry or appeal; the Rules do.
- They do not say whether further appeal lies from the appellate authority.
- They do not say which court tries the punishment in sub-section (6).
Need help with a penalty order?
The sixty-day appeal period and the ninety-day compliance period are both short, and they run from different events. Our legal dispute resolution team can read the order, check the dates and prepare the appeal and the compliance steps.
Key takeaways
- Sections 124A and 124B were inserted with effect from 1 August 2024 by the Jan Vishwas (Amendment of Provisions) Act, 2023.
- The Controller authorises an officer referred to in section 73 to inquire and impose penalty, after a reasonable opportunity of being heard.
- Appeal lies to an officer at least one rank above, within sixty days of receipt of the order; delay may be excused for sufficient cause.
- The appellate authority must dispose of the appeal within sixty days of filing.
- Non-compliance within ninety days of the order adds a fine of one lakh rupees or imprisonment up to one year, or both.
Read next
- Sections 122 and 123: refusal to supply information and practice by non-registered agents
- Section 120: unauthorised claim of patent rights
- Sections 117A and 117E: appeals to the High Court and appearance of the Controller
- Introduction to the Patents Act, 1970: complete guide
Disclaimer: Based on the Patents Act, 1970 as amended up to the Jan Vishwas (Amendment of Provisions) Act, 2023, as consulted on 1 October 2026. Forms, fees and time limits under the Patents Rules, 2003 change from time to time and are not covered here. This article is general information, not legal advice; check the official text before acting.