Patent Law Update – High Court upholds patent validity decision of the Patent Office
Monday June 21st 2010, by Piers Strickland
SUMMARY: The High Court has approved of and upheld the decision of a more cost-effective and efficient way of assessing whether patents are valid (as opposed to going to court).
BACKGROUND: The High Court has recently upheld the decision of the Patent Office (otherwise known as the Intellectual Property Office (IPO)) in the case of Nampak Cartons Ltd v Rapid Action Packaging Ltd [2010] EWHC 1458 (Pat), 18 June 2010. The hearing officer in the Patent Office had held that a patent for a carton for holding a sandwich with a specific means for tearing the carton open was valid.
The appellant (Nampak) appealed the decision of the hearing officer of the Patent Office that the patent (owned by Rapid Action) was valid. In particular, Nampak sought to revoke a patent on the grounds that it was obvious in the light of cited prior art.
The Judge in the High Court, the Honorable Mr Justice Floyd held that he could interfere with the decision of the hearing officer if the hearing officer had erred in principle or was clearly wrong. The Judge also referred to a previous case which stated that: “Where the application of a legal standard such as negligence or obviousness involves no question of principle but is simply a matter of degree, an appellate court should be very cautious in differing from the judge’s evaluation” (as per Lord Hoffmann in Biogen v Medeva [1997] RPC 1 at page 45).
COMMENT
This decision is good news for those companies who are reluctant to spend millions of pounds litigating patents in the High Court. If a company simply wants clarity on whether a patent is valid or invalid, and/or whether a product or process infringes a patent, then such an applicant may apply to the Patent Office for a declaration in this respect. Such an application is likely to be a fraction of the price of making such an application in the High Court and crucially even an unsuccessful applicant will not be exposed to such a high level of legal costs as would be the case if such an application was made to the High Court.
Expect more companies to lodge such applications in the Patent Office in order test whether certain patents are valid.
If you would like to discuss making such an application to the Patent Office, please feel free to call us in confidence.