Future - data

Structure of the UPC

The UPC is made up of a Court of Appeal, Court of First Instance, and Registry. There is also a Mediation and Arbitration Centre in Ljubljana and Lisbon. 

The Court of First Instance comprises a Central Division as well as Local and Regional Divisions.

The Court of First Instance

The Central Division

The Central Division has its main seat in Paris, with a section in Munich and in Milan.

The Central Division hears actions for declarations of non-infringement of patents and SPCs, and for revocation of patents and for declarations of invalidity of SPCs.

It also hears infringement cases where:

  • The parties agree
  • The participating Member State concerned has no Local or Regional Division 

Where the claim is against a defendant resident outside the territory of a participating Member State, the claim may be brought before the relevant Local/Regional Division where the alleged infringement occurred, or the Central Division.

Paris Seat (President’s Office) Munich Section Milan Section
(B) Performing operations, transporting (C) Chemistry, metallurgy (not SPCs) (A) Human necessities (not SPCs)
(D) Textiles, paper (F) Mechanical engineering, lighting, heating, weapons, blasting
(E) Fixed constructions
(G) Physics
(H) Electricity
Supplementary protection certificates

Local and Regional Divisions

Each participating Member State may request a Local Division and designate where it will be situated. Two or more states may instead, or in addition, set up a Regional Division. 

Local Divisions have been set up in Austria, Belgium, Denmark, Finland, France, Germany (four Local Divisions), Italy, The Netherlands, Portugal, and Slovenia. There is currently one Regional Division: the Nordic-Baltic Division comprising Sweden, Lithuania, Estonia and Latvia.  

Court of Appeal

The Court of Appeal has its seat in Luxembourg.

Judiciary

All divisions within the Court of First Instance have multinational panels of both legally and technically qualified judges, with three judges drawn from at least two different participating Member States (the parties may agree to a single judge). This is intended to provide the necessary counterbalance to any concerns of inconsistency of approach between panels in different participating Member States. The parties or a Local or Regional Division panel may request an additional technical qualified judge with qualifications in the field of technology concerned.

In the Central Division, panels are a multinational composition of two legally qualified judges and one technically qualified judge.

The Court of Appeal has a multinational panel of five judges (three of whom are legally qualified and two of whom are technically qualified). 

Forum shopping

Local / Regional Divisions hear cases relating to actual/threatened infringement of patents and SPCs and related defences, including counterclaims concerning licences.

A patentee (or exclusive or non-exclusive licensee where appropriate) has a choice as to where to start infringement proceedings. First, it can bring the claim in the relevant Local / Regional Division where the actual or threatened infringement has occurred or may occur. Given that the alleged infringement may be occurring in a number of EU countries, this gives the patentee the option of bringing proceedings in a state it considers more favourable. Alternatively, it may bring the claim in the Local / Regional Division where the defendant (or, where there are multiple defendants, one of those defendants), has its residence, or principal place of business or place of business. Patentees may consider relevant factors such as speed and judicial experience.

In contrast, a party seeking to clear the way by applying for a declaration of non-infringement or for revocation at the UPC has no such choice – it must start proceedings in the Central Division. Further, the patentee can still seek to gain control of the jurisdiction. For example, an action for a declaration of non-infringement before the Central Division will be stayed if an infringement action effectively between the same parties is begun before a Local / Regional Division within three months, and may be stayed if it is brought after that three month period.

A patent challenger can also oppose the patent at the EPO within 9 months of grant; and during the transitional period it can bring revocation proceedings before a national court in relation to classic European Patents (subject to rules in the Re-Cast Brussels Regulation). 

Potential defendants concerned at the prospect of having to defend proceedings in perceived ‘pro-patentee’ participating Member States may need to consider structuring their operations so as to avoid the possibility of those States having jurisdiction.