10 December 2013Patents

European Commission agrees proposal to pave way for Unified Patent Court

European Union ministers have reached an agreement to update rules surrounding jurisdictions of courts in a bid to speed-up the implementation of the Unified Patent Court (UPC).

The European Commission said earlier this year it would need to update the Brussels I Regulation, which regulates which courts have jurisdiction in legal disputes, in order to prepare for the UPC.

The recommendations, which will accommodate the UPC’s framework for court proceedings, are said to have been agreed in “record time.”

The proposals were approved by the EU’s council of ministers on December 6 but will still be required to go to the full parliament for a vote before they can be introduced into law.

“By making changes to the rules on recognition of judgements, we are paving the way for the new UPC to begin its work,” said Viviane Reding, the commissions justice commissioner.

Michel Barnier, internal market commissioner, added that another “decisive step” has been made towards the UPC becoming a reality, which would ensure much greater consistency in the way patent litigation is conducted in the EU.

“This shows that the single market is progressing and serving innovation and ultimately for growth and jobs," Barnier added.

The commission is also encouraging member states to ratify the UPC Agreement as quickly as possible.

Paul England, professional support lawyer at Taylor Wessing LLP in London, said “the quick approval of the amendments to the Brussels I Regulation reflects the political momentum now behind the UPC and Unitary Patent package.”

He added that the amendments are intended to fit the UPC into the “existing jurisdictional framework” of the EU and are “technical rather than political.”

“There is no sign at present that the progress of these amendments will be delayed by any difficulties in the European Parliament,” said England, who highlighted that some questions about the amendments' “precise effect” had been raised by commentators.

In order to be implemented, the UPC will need to be ratified by at least 13 member states and must have the backing of the UK, France and Germany.

In August, Austria became the first EU member state to ratify the UPC Agreement.

“The hint that the commission is encouraging the member states to ratify the UPC Agreement … seems to hint at some behind the scenes pressure being applied to the contracting member states,” England said.

“This may be needed if the 12 ratifications now necessary, including France, Germany and the UK, are to be obtained in time to bring the court into force by the 2015 date that the preparatory committee is aiming for.”

According to Hosea Haag, attorney at Ampersand in Munich, Germany, the most interesting part of the news was the speed at which the proposal was approved by the ministers.

“This shows the power of interested parties who are trying to push this forward as quickly as possible. It is still rather unclear, who really benefits from the new system, hence it is not clear to me, who it is that presses for such quick decisions,” Haag told WIPR.

Haag added that it could be the "many individuals” involved in the task of implementing the UPC, who want to make it work.

“There a numerous work groups of very highly qualified judges, lawyers, law makers etc. who are now working together beyond any political interests. It seems to me it is these people who put in the momentum.

"The industry itself, i.e. the ones for who the new system is implemented, seems to be rather undecided yet whether the new system brings any benefits.”

The European Parliament's Legal Affairs Committee is expected to vote on the report in February 2014, with a final plenary vote expected the following month.

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Patents
2 October 2015   A protocol allowing some aspects of the Unified Patent Court to be implemented early has been signed by EU member states, paving the way for the court to be opened at the “start of 2017”.