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2 March 2020PatentsRory O'Neill

Future of UPC as uncertain as ever, say lawyers

The attractiveness of the Unified Patent Court (UPC) project to business has taken a hit after last week’s announcement that the UK would not seek to participate, lawyers have told WIPR.

Confirmation from Prime Minister Boris Johnson’s office that the UK will not be a member of the UPC provides clarity on at least one aspect of the project’s future which had been uncertain throughout the Brexit process.

“What is certainly clear is that the UPC will be less attractive to business without the UK's participation in it,” said Mark Shillito, global head of IP at Herbert Smith Freehills.

The viability of the UPC project still depends on the outcome of a challenge at Germany’s Federal Constitutional Court, which has so far prevented Europe’s biggest economy from ratifying the agreement to establish the court.

“All eyes will now turn to Germany and the approach they intend to take,” Shillito said.

Chris Denison, partner at Mewburn Ellis, said: “Many clients and patent owners will have given much thought about whether they would make use of the Unitary Patent and UPC system, or continue to follow the familiar route of letting their granted European patents convert into a bundle of national rights subject to the separate jurisdictions of the national courts.”

“In the event that the UPC still comes into operation but without the UK, this analysis will need to be revisited, particularly in view of the UK’s reputation as a difficult jurisdiction in which to enforce patents in some technical fields,” Denison added.

“If the project is now abandoned, much of that analysis will have been in vain,” he said.

Vincent Brault, senior vice president of product and innovation at IP management company Anaqua, said that, if the UPC is implemented, patent protection in Europe would become “more cost-effective and a more attractive proposition, particularly for small and medium-sized companies”.

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28 February 2020   The UK will not be seeking involvement in the Unified Patent Court, it was confirmed yesterday, despite the country’s ratification of the underlying agreement in April 2018.