IP Summit: Industry views on the Unitary Patent & UPC
On Tuesday morning at the PanEuropean IP Summit, World Intellectual Property Organisation director general Francis Gurry, speaking on video, described the Unitary Patent as a “welcome instrument” for dealing with the “massive demand” for quality IP rights.
After Gurry's address, a series of panels discussed the potential challenges the patent and Unified Patent Court (UPC) will introduce in IP enforcement.
Alexander Ramsay, vice-chair of the preparatory committee, said that a target date for launch had been set for early 2015, though added: “we will not let the target date compromise the quality of the new system.
He countered any concern that the system will make enforcing IP rights in Europe more complex: “we're adding a non-complex layer to an already complex European patent system,” he said.
However, the potential additional cost of maintaining patents across Europe is a worry for US companies, said Al Tramposch, deputy executive director at the American Intellectual Property Law Association.
Under the Unitary Patent system it wouldn't be possible to abandon patents in certain countries, he said. Most US-based companies have strict budgets for IP protection, but those budgets largely cover IP rights in the US, he continued.
Marina Cousté, a partner at Reed Smith in Paris, said the UPC's 50 technically and legally qualified judges may have an impact on forum shopping, though David Cohen, head of litigation and licensing at Vringo, said that as long as there are qualified judges, there will be forum shopping, which is not necessarily a bad thing.
Olivier Thirard, deputy legal director at Orange, agreed, saying forum shopping is “unavoidable”.
A discussion of the Unitary Patent and UPC's impact on high technology considered the potential threat of patent trolls. One of the main concerns expressed is that a continent-wide patent system will foster a troll-friendly environment.
Tina Chappel, director of IP policy at Intel Corporation, said that trolls are not yet targeting Europe, as a preliminary injunction is not yet the “powerful remedy it is in the US.”
Intel has faced more than 12,000 “troll” litigations in the last 10 years, which has had a “substantial” impact on the company's systems, she said.
Chappel observed that many practising companies are starting to engage in troll-like behaviour, and as they forum shop, she advises empowering the UPC to transfer cases to other courts.
Trolls are not a problem because they're winning – just 8 percent of “trolls” will win a case if it goes to trial – they're a problem because they're imposing costs and forcing SMEs to settle, she said.
The PanEuropean IP Summit takes place in Paris from December 9 to 11 2013.
