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What is the significance of the first-in-time, first-in-right principle?

Principle significance
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What is the significance of the first-in-time, first-in-right principle?

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Licenses have precedence in relation to the date of submission of the application of each license. A license that is renewed in accordance with the regulation retains the precedence established in the original license. Note that a licensee is governed by the rights of all pre-established licensees and pre-established domestic users who have priority.

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