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Expert Corner

Intellectual Property expert

House of Commons Scrutiny committee – February 1st evidence on the proposed Unified Patent Court

There is little to learn about the proposed unified patent court without subconsciously reaching for an aspirin and a glass of water. The recent discussions in the House of Commons provide no comfort to those hoping for a good outcome. Issues such as the potential expense of the court (currently unknown) and potential delay in resolving a patent case completely were discussed. The transcript conveys an impression of the witnesses participating in a political debate rather than offering evidence, and of an overwhelming sense of frustration in the Committee. The Committee was not satisfied and the session had to be adjourned because Baroness Wilcox was required to leave for Copenhagen. However for those wondering wishing to gain some insight on the debate, extracts from the recently published uncorrected transcript* of oral evidence are presented below.

Liz Coleman, Divisional Director, Intellectual Property Office:

The EU is no longer funding the court because it is not party to the agreement, but it is certainly the case that the UK was aware that there would need to be contributions from member states, and we were factoring that into our calculations. In the Government, we have always taken the view that the court should be self-funding from user fees, so we thought it was a perfectly acceptable way forward to go with member states’ funding rather than it coming from the EU budget, which we contribute to anyway. The funding mechanism, then, as far as the UK is concerned, does not make a lot of difference in terms of how the money actually gets there.

Baroness Wilcox: The Unified Patent Court is going to proceed. If we do not take part in that, it will be written and drawn up in a way that we may not be happy with. We think that we should be in the room, we should be part of it, and we should be designing it. ……we, of course, would like it in London. …. if we decide not to be part of it, it will go ahead. It will go ahead without us. It seems foolish for us not to be in the room. If at the end of the day it turns out that it is not going to work, we do not think it is going to be right and we cannot agree on the court, then, of course that will be something completely different, but you can be sure that one thing the Department for Business is not going to be doing is wanting to make small and medium-sized businesses disadvantaged.

There is scope all the way along for amendment. I find it very difficult to work in this way in the Competitiveness Council……..but it does seem that, if you keep talking and if you stay in the room long enough, you are likely to get the things that will help the process forward. We are fortunate that there are countries that feel as we do and, therefore, are prepared to support us.

Stephen Phillips (Scrutiny Committee): The evidence that you are giving seems to be to come to this: the Department’s position in negotiations, and the Government’s position in negotiations, is that you are prepared to purchase a Unified Patent Court at the potential cost of exposing British business to the same inefficiencies as presently exist in bifurcated jurisdictions like Germany. Is that right? 

Neil Feinson, Director of International Policy, Intellectual Property Office: No. What I was trying to explain was that we need to get the rules of procedure right so that you do not get the delay. I admit, if we had our way, we would not allow for bifurcation in this agreement.

*These extracts are from an uncorrected transcript of evidence taken in public and reported to the House. Neither witnesses nor Members have had the opportunity to correct the record. The transcript is not yet an approved formal record of these proceedings.

The full extract can be found here

 

 

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