Rights of third parties to continue use of registered designs
(1) A person who in Hong Kong before the filing date of an application for registration of a design-
(a) does in good faith an act which would have constituted an infringement of the design if it had been registered at the time the act is done; or
(b) makes in good faith effective and serious preparations to do such an act,
has the rights specified in subsection (2).
(2) The rights referred to in subsection (1) are-
(a) the right to continue to do or, as the case may be, to do the act referred to in subsection (1);
(b) if such act was done, or such preparations had been made, by an individual in the course of a business-
(i) the right to assign the right to do the act or to transmit such right on death; and
(ii) the right to authorize the doing of the act by any of his partners for the time being in the business in the course of which the act was done or the preparations had been made; and
(c) if such act was done, or such preparations had been made, by a body corporate in the course of a business, the right to assign the right to do the act or to transmit such right on the body's dissolution,
and the doing of such act by virtue of this subsection shall not constitute an infringement of the design concerned.
(3) The rights specified in subsection (2) shall not include the right to grant a licence to any person to do an act referred to in subsection (1).
(4) Where an article is disposed of to another person in exercise of a right conferred by subsection (2), that other person and any person claiming through him may deal with the article in the same way as if it had been disposed of by the owner of the design concerned.