In patent law, freedom to operate refers to the ability of a company or individual to exploit an invention without risking infringement of third-party intellectual property rights, such as existing patents. In other words, freedom to operate aims to verify that a product or process can be manufactured, used, or marketed without infringing on a patent held by a third party.
This concept is particularly important in the context of innovation and research, as it allows a company to ensure that it can use a technology or invention without risking infringement proceedings.
Therefore, before launching a new product or process on the market, companies, particularly those operating in highly competitive and innovative fields, are advised to conduct freedom to operate (FTO) studies to identify any prior patents or patent applications that may cover the technical aspects of the products/processes they wish to use or protect. These studies generally involve researching existing patents and patent applications in the countries where the product/process is intended to be used, to identify any existing patents and patent applications that could limit or prohibit such use.
If there is any doubt about freedom to operate, the company may attempt to obtain a license to operate from the relevant patent holders or seek alternative solutions to circumvent existing patents. The issue of freedom to operate is therefore crucial in intellectual property management, particularly to limit the risk of litigation.