Singapore has become the new destination for IP lawyers as a surge in IP holding companies taking advantage of tax breaks and deductions for registration of a company and other incentives increase demand for lawyers with knowledge and expertise in this area. Traditionally, larger companies based in and around South East Asia have been the only ones to take advantage of the favourable regulations intruduced in early 2010, however partners at law firm Colin Ng & Partners have seen more and more MNCs based in other regions locate IP holding companies in Singapore.

Partner See Tow Soo Ling also attributes the increased activity to Singapore becoming a knowledge economy, with an IP regulatory regime consistent with international best practice. She said that both companies and regulatory authorities have noticed the potential for revenue growth in this area. “Companies recognise that optimal monetisation of IP requires an effective administrative machinery –this may mandate the creation of legal, business and finance departments dedicated to the  development, nurturing and protection of IP,” she said.

Senior associate Mathew Chacko said the firm has received around six inquiries from companies looking to set up an IP holding company in Singapore over the past year, with at least three of them following through. "We have had to blend a bit of our traditional corporate practice with our IP law practice as we find that increasingly IP is driving the deal and companies are deciding to buy other companies because of the IP framework they have in place," he said. He anticipated that Singapore will see a wave of new arrivals and law firms making new hires as awareness spreads among clients.

The trend is further supported by the broader jobs market in Singapore - IT, telecommunications and hi-tech manufacturing and biotechnology were listed as growth areas for employment in the Robert Walters legal jobs market snapshot for 2010, released last week. The expansion of MNCs actively developing new technology and processes which require patenting was predicted to translate into positions for lawyers skilled in IP law, according to the firm’s legal consultant, Jasmine Sim.