Patrick Oliver

As the European Commission turns its attention to helping improve the regulatory environment for SMEs here is a true story about how patent trolls broke the back of a successful small European business.

IP2Innovate

A new academic study by economists at the universities of Bordeaux, Grenoble, and Universitat Pompeu Fabra (Barcelona) highlights how patent assertion entities (PAEs) are continuing to take advantage of weaknesses in Europe’s patent system. The study, entitled Patent Privateering, looks at one specific method of patent abuse. Patent privateering is a term to describe a situation where a patent owner hands patents to a patent assertion entity (PAE) to exploit for mutual benefit, allowing the patent owner to maintain a secret stake in the patents. The study concluded that patent privateering is widespread in Europe. The practise has been around for many years but as other jurisdictions including the US have made it harder, Europe’s patent system is a ripe target for abuse. This is largely because patent courts in Europe do not apply the principle of proportionality, and instead hand out injunctions to patent owners almost automatically.

IP2Innovate

Two German law professors, Dr Franz Hofmann and Dr Benjamin Raue have pooled forces to publish a joint paper this week on the delicate issue of injunctions and damages for the infringement of patents. The paper, entitled ‘Injunctions and Damages for the Infringement of Patents under the UPCA; an Analysis in the Light of the Principle of Proportionality’ calls for a more nuanced approach to patent infringement cases, and it urges judges of the recently launched UPC to consider damages instead of automatic injunctions as a remedy in their rulings.