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COOPERATIVE RESEARCH AND DEVELOPMENT PROMOTION ACT

Act No. 4710, Jan. 5, 1994

Amended by Act No. 4824, Dec. 22, 1994

Act No. 5733, Jan. 29, 1999

Act No. 6101, Dec. 31, 1999

Act No. 6353, Jan. 16, 2001

Act No. 6472, May 24, 2001

Act No. 7219, Sep. 23, 2004

Act No. 8050, Oct. 4, 2006

Act No. 8852, Feb. 29, 2008

Act No. 10445, Mar. 9, 2011

Act No. 11690, Mar. 23, 2013

Act No. 13213, Mar. 11, 2015

Act No. 14079, Mar. 22, 2016

Act No. 14839, Jul. 26, 2017

Act No. 15247, Dec. 19, 2017

 Article 1 (Purpose)
The purpose of this Act is to contribute to the promotion of scientific and technological innovations and the national economy by prescribing the matters for promoting cooperative research and development among universities, enterprises, research institutes, and foreign organizations related to research and development to facilitate the efficient use of research and development resources, and enhancing the possibilities of successful research and development.
 Article 2 (Definitions)
The terms used in this Act shall be defined as follows: <Amended by Act No. 4824, Dec. 22, 1994; Act No. 5733, Jan. 29, 1999; Act No. 6472, May 24, 2001; Act No. 7219, Sep. 23, 2004; Act No. 10445, Mar. 9, 2011; Act No. 13213, Mar. 11, 2015; Act No. 14079, Mar. 22, 2016; Act No. 15247, Dec. 19, 2017>
1. The term "cooperative research and development" means collaboration on the same research and development project by at least any two universities, enterprises, or research institutes, or corresponding foreign organizations related to research and development by jointly providing research and development funds, staff, facilities, equipment or information, etc. for research and development;
2. The term "university" means schools defined in each subparagraph of Article 2 of the Higher Education Act, Korea Advanced Institute of Science and Technology pursuant to the Korea Advanced Institute of Science and Technology Act, Gwangju Institute of Science and Technology under the Gwangju Institute of Science and Technology Act, Daegu Gyeongbuk Institute of Science and Technology under the Daegu Gyeongbuk Institute of Science and Technology Act, and Ulsan National Institute of Science and Technology under the Ulsan National Institute of Science and Technology Act;
3. The term "enterprise" means any company, other than the public institutions (hereinafter referred to as "public institution") established under the Act on the Management of Public Institutions, including the research institutes attached to the enterprises recognized under Article 14-2 (1) of the Basic Research Promotion and Technology Development Support Act, industrial technology research cooperatives established under the Industrial Technology Research Cooperatives Support Act, and the scientists and engineers cooperatives (referring to the cooperatives established under Article 2 (1) of the Framework Act on Cooperatives which meet the standards prescribed by Presidential Decree, such as manpower necessary for research and development);
4. The term "research institutes" means research institutions governed by the Specific Research Institutes Support Act (hereinafter referred to as "specific research institutions"), national or public research institutions, the Korea Institute of Industrial Technology under the Act on the Establishment, Operation and Fostering of Government-Funded Science and Technology Research Institutes, Etc. and other research institutes under the Act on the Establishment of Industrial and Energy Technology Foundation (hereinafter referred to as the "Industrial Technology Institute, etc."), and research institutions, incorporated as a corporation, in any field of science and technology established in accordance with the Civil Act or other Acts.
 Article 3 (Scope of Application)
This Act shall apply to basic research, applied research, development and research, industrialization research and commercialization research conducted or supported by the State, local governments or public institutions. <Amended by Act No. 13213, Mar. 11 2015>
 Article 4 (Basic Direction of Policy)
(1) The State or local governments shall adopt and implement policies for cooperative research and development on a priority basis when they conduct or support research and development projects.
(2) Pursuant to the provisions of Article 17 of the Framework Act on Science and Technology, the Minister of Science and ICT shall establish a basic policy and plan to promote cooperative research and development, and shall comprehensively coordinate and manage affairs following the implementation of such basic policy and plan. <Amended by Act No. 6353, Jan. 16, 2001; Act No. 8852, Feb. 29, 2008; Act No. 11690, Mar. 23, 2013; Act No. 14839, Jul. 26, 2017>
 Article 5 (Supporting Research and Development Expenses)
(1) The State, local governments, or public institutions shall give priority to the cooperative research and development projects among the research and development proposals received unless extraordinary reasons prescribed by Presidential Decree exist. <Amended by Act No. 13213, Mar. 11, 2015>
(2) Research and development funds supported under paragraph (1) shall include the funds for technology development supported by the Funds pursuant to the provisions of Article 5 of the National Finance Act. <Amended by Act No. 6101, Dec. 31, 1999; Act No. 6353, Jan. 16, 2001; Act No. 8050, Oct. 4, 2006>
(3) When any fund manager loans the funds for technology development supported by the Funds referred to in paragraph (2) to enterprises pursuant to the National Finance Act, he/she may give preferential treatment in terms of interest rates, duration of repayment and collateral conditions of the loans required for the promotion of cooperative research and development projects. <Amended by Act No. 6101, Dec. 31, 1999; Act No. 8050, Oct. 4, 2006>
 Article 6 (Exchange of Research and Development Personnel)
(1) The universities or research institutes financially supported by the State, local governments, or public institutions may assign researchers to an organization that is responsible for managing a cooperative research and development project for a definite and temporary period, upon the joint request of the affiliated researchers who are participating in the cooperative research and development project and the organization that is responsible for managing such project unless such assignment may impede the university's or institute's ordinary operation. <Amended by Act No. 13213, Mar. 11, 2015>
(2) The universities or research institutes may assign researchers to an enterprise for a definite and temporary period or have researchers provide technical consultation, upon the joint request of both researchers of the universities or the research institute and the enterprise that wishes to commercialize the technology developed by such researchers.
(3) Researchers who belong to the research institutes other than national/public research institutions may, if they deem necessary, establish and operate a venture company to commercialize the technology they have developed. In this case, out of the period of time the researchers need in order to establish and operate the venture company, that period of time as prescribed by Presidential Decree shall be deemed a leave of absence from their research institutes.
(4) Researchers of the universities, research institutes, or enterprises may concurrently hold the offices of other universities, research institutes, or enterprises with the consent of the head of the home organization.
(5) Researchers holding assigned jobs or dual offices under the provisions of paragraphs (1), (2), and (4) shall be deemed to have worked for or held offices in the home organization and the home organization shall not disadvantage those researchers in terms of their status and wages.
(6) Procedures for assignments and other conditions necessary under paragraphs (1) and (2) shall be prescribed by Presidential Decree.
 Article 7 (Sharing Research and Development Information)
(1) The universities and research institutes financially supported by the State, local governments, or public institutions shall allow other organizations to get access to the information available at such universities and research institutes: Provided, That in cases of a contract research and development project whose results are requested to be confidential by the commissioning enterprise, the research and development information that may not be shared may be withheld from other organizations. <Amended by Act No. 13213, Mar. 11, 2015>
(2) The State may provide financial support to the organizations that encourage or support efforts to share research and development information.
 Article 8 (Joint Use of Research and Development Facilities, etc.)
(1) The university or research institute financially supported by the State, local governments or public institutions shall allow other organizations to get access to research and development facilities and equipment on an actual cost basis, unless such access causes the university or research institute serious inconvenience in performing its original tasks. <Amended by Act No. 13213, Mar. 11, 2015>
(2) The State may partially cover the expenses that the university or the research institute requires to install and manage the equipment for a cooperative research and development project.
 Article 9 (Cooperative Research and Development with Universities, etc.)
(1) The State may partially cover the research and development costs that the university requires to jointly conduct a basic research or applied research with two or more different enterprises. or reduce the amount of the funds, if the universities, enterprises, or research institutes violate this Act.
(2) The State or local governments may advise research institutes to commission some of the research and development projects to universities and enterprises.
(3) Enterprises or research institutes may allow the students enrolled in the doctoral and master’s courses approved by universities to participate in research and development for a certain period of time and allow research and development staff of the relevant enterprises or research institutes to give a lecture or guide experiment, practice or paper research, and shall grant the students participating in research and development research allowance determined by the relevant enterprises and research institutes based on the degree of their participation.
(4) In cases falling under paragraph (3), universities may appoint a person qualified under Article 79 (3) of the Education Act from among research and development staff of enterprises or research institutes as a joint academic advisor, notwithstanding Article 75 (1) 2 of the Education Act and other acts. In such cases, the joint academic advisor appointed may give credits for the part he/she guided.
 Article 10 (Preferential Operation of Enterprise-Commissioning Projects Participated by Research and Development Staff)
Among the research and development projects consigned by enterprises to the universities or research institutes, which are financially supported by the State, local governments or public institutions, the research and development projects participated by research and development staff of the enterprises shall be preferably consigned and operated. <Amended by Act No. 13213, Mar. 11, 2015>
 Article 11 (Preferential Support of International Cooperative Research and Development Projects)
The State, local governments or public institutions may preferentially support the projects meeting requirements prescribed by Presidential Decree, among cooperative research and development projects operated by universities, enterprises or research institutes jointly conducted with foreign organizations related to research and development, over the cooperative research and development projects among domestic universities, enterprises or research institutes. <Amended by Act No. 13213, Mar. 11, 2015>
 Article 12 (Designation, etc. of Support Organizations)
(1) The State may designate organizations implementing cooperative research and development projects or the intermediation, brokerage, or other affairs prescribed by Presidential Decree of the participating organization as organizations to support cooperative research and development (hereinafter referred to as “support organization”). In such cases, the State may subsidize necessary business expenses for the relevant support organizations. <Amended by Act No. 13213, Mar. 11, 2015>
(2) Any person who intends to be designated as a support organization shall apply therefor, to the Minister of Science and ICT or the head of the central administration agency having jurisdiction over the relevant cooperative research and development projects, by satisfying the requirements for designation prescribed by Presidential Decree. <Amended by Act No. 13213, Mar. 11, 2015; Act No. 14839, Jul. 26, 2017>
(3) Where a support organization falls under any of the following, the State may revoke the designation thereof or order such support organization to fully or partially suspend its affairs for a fixed period of up to six months: Provided, That, the State shall revoke such designation in cases falling under subparagraph 1: <Newly Inserted by Act No. 13213, Mar. 11, 2015>
1. Where the support organization has been designated by fraud or other unlawful means;
2. Where the support organization has performed any affairs during the suspension period, in violation of business suspension order;
3. Where the support organization ceases to meet any of the standards for designation referred to in under paragraph (4);
4. Where the support organization has performed any affairs in violation of any matter designated thereto.
(4) Matters necessary for standards for designation, revocation of designation, etc. of support organizations shall be prescribed by Presidential Decree. <Newly Inserted by Act No. 13213, Mar. 11, 2015>
 Article 13 (Using Industrial Property Rights, etc.)
(1) The State or local governments may advise specific research institutions or the Industrial Technology Institute, etc. participating in cooperative research and development to permit small and medium enterprises participating in the cooperative research and development to use the industrial property rights, etc. owned by the relevant organization without compensation for a certain period. <Amended by Act No. 5733, Jan. 29, 1999>
(2) The State or local governments may compensate the relevant research institutions, etc. for certain amount of money within the budgetary limits, according to the records of permitting usage of industrial property rights, etc. without compensation under paragraph (1).
 Article 14 (Duty of Confidentiality)
No person participating in the cooperative research and development projects conducted under the Act shall reveal secrets he/she learns in the process of such cooperative research and development without consent of other participating organizations.
 Article 14-2 (Hearings)
The State shall hold a hearing when intending to revoke the designation pursuant to Article 12 (3).
[This Article Newly Inserted by Act No. 13213, Mar. 11, 2015]
 Article 15 (Rewards, etc.)
(1) The State or local governments may preferentially reward excellent persons among the research and development staff participating in cooperative research and development over other research and development staff.
(2) Universities, enterprises and research institutes may preferentially treat research and development staff with excellent records in participating cooperative research and development project, through means of personal affairs and salary.
(3) With regard to the universities, enterprises and research institutes violating this Act, the State, local governments, or public institutions may suspend or reduce the operation cost or the support of research and development cost for a certain period. <Amended by Act No. 13213, Mar. 11, 2015>
 Article 16 (Penalty Provisions)
Any person who violates the provisions of Article 14 shall be punished by imprisonment with labor for not more than three years or by a fine not exceeding ten million won.
ADDENDA
(1) (Enforcement Date) This Act shall enter into force on April 1, 1994.
(2) (Transitional Measures concerning Establishing Detailed Criteria, etc. Required to Enforce this Act) The State, local governments, government-invested institutions, universities, and research institutes shall establish a set of detailed criteria necessary for this Act by June 30, 1994.
ADDENDA <Act No. 4824, Dec. 22, 1994>
Article 1 (Enforcement Date)
This Act shall enter into force on July 1, 1995.
Articles 2 through 5 Omitted.
ADDENDA <Act No. 5733, Jan. 29, 1999>
Article 1 (Enforcement Date)
This Act shall enter into force on the date of its promulgation.
Articles 2 through 11 Omitted.
ADDENDA <Act No. 6101, Dec. 31, 1999>
Article 1 (Enforcement Date)
This Act shall enter into force on January 1, 2000. (Proviso Omitted.)
Articles 2 through 4 Omitted.
ADDENDA <Act No. 6353, Jan. 16, 2001>
Article 1 (Enforcement Date)
This Act shall enter into force six months after the date of its promulgation. (Proviso Omitted.)
Articles 2 through 5 Omitted.
ADDENDA <Act No. 6472, May 24, 2001>
Article 1 (Enforcement Date)
This Act shall enter into force on July 17, 2001.
Articles 2 through 4 Omitted.
ADDENDA <Act No. 7219, Sep. 23, 2004>
Article 1 (Enforcement Date)
This Act shall enter into force one month after the date of its promulgation.
Articles 2 through 5 Omitted.
ADDENDA <Act No. 8050, Oct. 4, 2006>
Article 1 (Enforcement Date)
This Act shall enter into force on January 1, 2007. (Proviso Omitted.)
Articles 2 through 12 Omitted.
ADDENDA <Act No. 8852, Feb. 29, 2008>
Article 1 (Enforcement Date)
This Act shall enter into force on the date of its promulgation: Provided, That, … <Omitted> … the amended part of any Act, which was promulgated before this Act enters into force but the enforcement date of which has not come yet, from among Acts to be amended in accordance with Article 6 of Addenda, shall enter into on the enforcement date of the relevant Act, respectively.
Articles 2 through 7 Omitted.
ADDENDA <Act No. 10445, Mar. 9, 2011>
Article 1 (Enforcement Date)
This Act shall enter into force three months after the date of its promulgation.
Articles 2 through 4 Omitted.
ADDENDA <Act No. 11690, Mar. 23, 2013>
Article 1 (Enforcement Date)
(1) This Act shall enter into force on the date of its promulgation.
(2) Omitted.
Articles 2 through 7 Omitted.
ADDENDA <Act No. 13213, Mar. 11, 2015>
Article 1 (Enforcement Date)
This Act shall enter into force six months after the date of its promulgation.
Articles 2 (Applicability to Revocation of Designation)
The amended provisions of Article 12 (3) shall apply to the support organizations in which the reason for revocation of designation firstly occurs after this Act enters into force.
ADDENDA <Act No. 14079, Mar. 22, 2016>
Article 1 (Enforcement Date)
This Act shall enter into force six months after the date of its promulgation.
Articles 2 and 3 Omitted.
ADDENDA <Act No. 14839, Jul. 26, 2017>
Article 1 (Enforcement Date)
(1) This Act shall enter into force on the date of its promulgation: Provided, That amendments to the Acts which were promulgated before this Act enters into force but have not yet arrived, among the Acts amended pursuant to Article 5 of the Addenda, shall enter into force on the enforcement dates the respective Acts.
Articles 2 through 6 Omitted.
ADDENDUM <Act No. 15247, Dec. 19, 2017>
This Act shall enter into force on the date of its promulgation.