Abstract
This chapter examines the economic impact of Europe's fragmented patent system. It shows that national jurisdictions ultimately prevail in the validation and enforcement of patents, which reduces its attractiveness and the trust that applicants have in the system. The chapter begins by summarizing the results of simulations by van Pottelsberghe and Mejer (2010) on the cost of patent protection in Europe. It then investigates the different ways of managing and enforcing patents in Europe. It describes litigation systems in place in four European countries and in the United States. It considers three case studies that illustrate the incongruities induced by the European patent system in its currently fragmented form.
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