McCreevy leads breakthrough on single patent system after 40 years

By Ann Cahill, Europe Correspondent

Saturday, December 05, 2009

AFTER almost 40 years of attempts, there has been a breakthrough in establishing a Europe-wide single patent system that will help slash the cost of creating and protecting patents.

Patents are seen as vital to innovation and growth but the cost of registering the rights to a new invention in the EU is at least five times more expensive than in the US.

Internal Market Commissioner Charlie McCreevy achieved the breakthrough yesterday in Brussels when member states’ competition ministers agreed the basis for a Community Patent.

He said: "Businesses have been calling for a more affordable EU patent and a more accessible patent court system that offers legal certainty. Now member states have answered that call and backed the needs of European industry, and those of start-up companies and SMEs in particular.

"These innovative businesses compete with the best in the world, but when it comes to bringing their products to the global market, the costs involved hinder competitiveness – particularly in the US and Japan."

Part of the political agreement is the creation of a specialised court where people will be able to sue if they believe their patent has been breached.

Up to now an inventor would have to take his case in each EU country separately and this could cost over €300,000 taking an action in just four jurisdictions – and over €3 million if it went to appeal.

Under the new system a single court will cover all countries and cut the average cost dramatically saving patent holders as much as €290m a year.

The European Court of Justice has been asked to rule on the new patent court before it can be implemented.

Agreement has also been reached on issues like renewal fees and co-operation between patent offices in the different countries and partnerships to ensure patents requests are dealt with more speedily.

The final outstanding issue to be resolved is which language can be used for the single EU patent. Currently 15 member states have signed up to having them written in one of three languages – English, French or German.

This story appeared in the printed version of the Irish Examiner Saturday, December 05, 2009