Business brief 2012: Sweden
Patents
How do you register or secure patent rights, and is national or international coverage most appropriate?
A Swedish patent application is filed with the Swedish Patent and Registration Office, and is granted for a term of up to 20 years from the submission date (if the annual renewal fees are paid), with an extension of up to five years possible for medical and plant protection patents.
The national application can be filed in Swedish, but there is also the opportunity to prepare for the international phase by filing an application in English, with a later supplement in Swedish.
Under the Patent Cooperation Treaty, international patents designating Sweden have the same effect as a national application, covering the Swedish territory.
What are the costs of obtaining and defending a patent?
The basic filing fee for a Swedish national patent is SEK 3,000 (€340), with an additional fee for each patent claim beyond the first 10 of SEK 150 (€17). The issue fee is SEK 1,400 (€158), and SEK 175 (€20), for each page exceeding eight. Attorney fees have to be paid for the filing and examination proceedings. The costs for a district court decision tend to range between SEK 300,000 (€34,000) and SEK 2 million (€226,000), depending on the complexity of the case.
Where can you find information on existing patents in your jurisdiction?
The Swedish patent database can be found at the website of the Swedish Patent and Registration Office (PRV, www.prv.se). Is there anything unusual about the patent law that companies should be aware of?
What are the most common mistakes businesses make?
Filing a patent application in Sweden is a quick and inexpensive way to get a patent protection. The first office action is issued within six months from the filing date, and this office action can in fact be the formal information that the patent office intends to grant the patent. Within a further approximately three to four months—after payment of all official fees—the patent will be granted and issued.
The most common mistake is that even large companies inform the media and possible financial partners before securing the patent with an application or, at least, a proper non-disclosure agreement.
What are the key threats to patent owners, and what is the best strategy if you suspect someone is infringing your patent?
Patent infringement, especially in the medical and software technology sectors, is rather common. In case of infringements by business partners, mediation is the best way to find a solution; in other cases a distinct cease and desist letter is the best start.
Have there been any changes to the patent law(s) in the last 12 months?
The Swedish government is reviewing the possibility of filing Swedish national patent applications in English. A special investigator has been appointed to decide whether it should be possible to get Swedish patents granted in English, and his proposal is expected later in 2012.
Trademarks
How do you register or secure trademark rights, and what protection does it grant?
Trademark protection in Sweden can be obtained by use, by a national Swedish trademark registration, by a Madrid protocol registration covering Sweden and/or by a Community trademark registration.
An unregistered trademark is protected only in the part of Sweden where it has become used and known, and only as long as it is in use.
All other formally registered trademarks have full protection in Sweden, preventing third parties from using and registering a trademark, design or company name that is confusingly similar and related to the same, or similar, goods or services.
What are the costs of registering and defending a trademark?
The official filing fee for a Swedish trademark application is 1,500 SEK (€170), and SEK 700 (€80) per additional class (if filed electronically). The costs for a district court decision tend to range between 60,000 SEK (€6,800) and 150,000 SEK (€17,000).
What are the key threats to trademark owners and what is the best strategy for dealing with infringement?
Online infringement is the most common threat, with fake websites and online sale of piracy goods. As to patent-related disputes, the easiest and best way is to start with a formal cease and desist letter.
What are the most common mistakes trademark owners make?
Again, the most common mistake is not registering corresponding domain names prior to the application of the trademark. Cybersquatters know exactly what is going on with regard to new trademarks and products, and register these as domain names prior to the right holders.
Also, within a grace period of five years, the trademark needs to be used as registered and for the goods and services covered by the registration. If it is not used, a third party can apply for full or partial cancellation of the trademark registration.
Have there been any changes to the trademarks law(s) in the last 12 months?
The New Swedish Trademarks act (SFS 2010: 1877) came into force on July 1, 2011. The act has been modernised and simplified, adapting both EU and international regulations, and has made it possible for Sweden to join the Singapore Treaty on the Laws of Trademark.
Some of the changes in the new Act are (i) rejection of an application in full or in part; (ii) transfer of an application to the right holder if filed by an infringer; (iii) a three-month opposition period (previously two); and (iv) limitation of surname objections now to cover only cases when a trademark consists of something which is meant to be perceived as someone else’s distinctive surname, if the use of the mark would disadvantage the bearer of the name.
Copyright
What are the key challenges to copyright holders in your jurisdiction?
The major problem in Sweden, as in many other countries, is the online sale of copyright-infringing goods, and the difficulties in stopping that use, as well as in identifying the user.
How should people ensure they are protected against copyright infringement?
Copyright protection begins automatically at the moment the work is created. No registration or other formality is needed for a work to be protected under copyright law, and it is not possible to register the copyright officially.
The copyright symbol has no legal effect in Sweden but, rather, serves as a reminder that copyright protection exists for the work. The best way to ensure protection against copyright infringement is therefore to (i) make sure you can show the date of creation; and (ii) have a continuous and active search on what is used in the market.
What is the best way to deal with infringement, and what are the costs associated with it?
There are a number of possible ways to deal with infringements, such as warning letters, customs authority alerts, general public information on the risks in using fake goods, and—finally—court actions. The costs for court actions are more or less the same as for trademark disputes.
Have there been any changes to the copyright law(s) in the last 12 months?
Sweden signed the Anti-Counterfeiting Trade Agreement (ACTA) on January 26, 2012. In addition, a new Swedish copyright act is under development and proposed to come into force by January 1, 2013. The goal is to simplify the act, making it easier to understand and handle.
Counterfeiting
How big a problem is counterfeiting in your jurisdiction?
Despite the fact that Sweden has some of the world’s most severe enforcement laws on Internet piracy, such as the 1998 Bulletin Board System Law, online piracy has continued to be a big problem. After the Pirate Bay (a Swedish website that hosted magnet links allowing users to share electronic files) Swedish appeals court verdict in 2010, however, where the founder of the site was sentenced to prison and payment of a fine of SEK 46 million (€5 million), online piracy has in fact decreased somewhat.
What industries are particularly at threat?
The software industry, mainly films and computer games.
What are the best strategies for dealing with the problem?
The customs authorities have the power to take action against the import of pirated material. One way to assist the customs is to file prior information on your specific goods and what to look for, so that they may see the difference between real and fake products.
General
Are there any legislative changes to the IP regime that would make life easier for businesses?
In general, the proposed changes to the copyright act and the recent changes of the company law and trademark law make it easier for business representatives to understand the rules, as well as to avoid court actions and have third parties’ non-used trademarks and company names deregistered faster and more cheaply.
Petter Rindforth is a managing partner at Fenix Legal KB. He can be contacted at: petter.rindforth@fenixlegal.eu
Maria Zamkova is a managing partner at Fenix Legal KB. She can be contacted at: maria.zamkova@fenixlegal.eu
