EU leaders agree to introduce single European patent

EU leaders agreed yesterday to introduce a single European patent, ending decades of dispute with a deal that will cut costs for inventors and industry.

The scheme will end the fragmented system where it typically costs an inventor up to €35,000 to protect an idea throughout the European Union, and is an important part of a growth drive for Europe’s stagnating economy.

“After 30 years of discussion on the European patent, we have reached an agreement on the last outstanding issue — the seat of the unified patent court,” Herman Van Rompuy, president of the European Council, said after an EU leaders’ summit.

A streamlined patent scheme had been held up by disagreement between Germany, France and Britain over who should host the court that will adjudicate in patent disputes.

German chancellor Angela Merkel, French president François Hollande, and British prime minister David Cameron agreed yesterday to split the court between three centres — Munich, Paris and London, depending on the type of patent.

“. . . the crisis finally made them realise it’s a bit petty to argue about languages and seats,” said one EU official.

Registering a patent in the European Union is currently far more expensive than in the United States, because a patent must be taken out in many countries rather than with one EU agency.

“Instead of applying for a patent in 27 member states (European businesses now) can apply in only one place,” said Helle Thorning-Schmidt, who as prime minister of Denmark, the current holder of the EU presidency, helped to broker a deal.

The European Patent Office (EPO) estimates that a single patent, which may now come in 2014, could cut the registration costs by more than two-thirds.

As with many other policy issues in Europe, national pride had hindered agreement.

Merkel had originally wanted the court to be in Munich. Germany accounted for roughly 14% of all applications to the European Patent Office in 2011, almost three times as many as France and far ahead of Britain’s 3%.

Under the compromise, the court’s headquarters will be in Paris, with some functions in London and Munich.

Anyone seeking to challenge an infringement of their patent in life sciences, for example, will do so in London. Cases concerning engineering and physics, on the other hand, will be dealt with in Munich.

Reuters