Most intellectual property litigants have a tough time. The settlement of any legal dispute consumes hours that can be better used on other things and costs money that is better spent on other things. What’s more, a dark cloud of uncertainty hangs over the disputants’ business plans until it is lifted by the dispute’s resolution. In IP disputes, the situation can be even more fraught: the outcome of a dispute may be the complete exclusion of a party from a market he has worked years to establish, or the sudden and often irrevocable vaporization of an intellectual property right that has encouraged and sustained large-scale investment. For this reason, intellectual property litigants need a dispute resolution environment that enables them to avoid excessive expense and save time and which then lets them get on with their lives. It is no accident that many IP disputes have moved out of the public sector entirely. IP arbitration and mediation have arguably never been more popular, particularly where the disputants have a pre-existing relationship that must outlive the dispute regardless of its outcome. Nor is it any accident that public sector domain name resolution systems such as those operated by WIPO’s Arbitration and Mediation Center and by EurID are so closely modelled in low-cost and relatively informal private sector processes. Even within the formal court and administrative structure of national jurisdictions, IP litigants have a surprisingly large range of options. Depending on the jurisdiction, these include choices between administrative and judicial proceedings, between higher and lower courts and between tribunals the decisions of which may, or may not, be appealed. In the United States an injured rights owner may go to court or seek redress through the International Trade Commission; he may bring patent infringement proceedings in the regular Federal Courts or ride the rocket docket. In Europe there exist different options: pan-European Community trade mark and registered design rights may co-exist with national rights in respect of identical subjectmatter, thus giving their owner the choice between suing for infringement of the Community and domestic versions (he doesn’t get two bites of the cherry, though: Pepsico’s attempt to sue Coca-Cola for infringing its PEPSI Benelux registration with its ipsei product, having failed in an earlier action for infringement of its Community trade mark, was held to be an abuse of process). Given this wide range of choice, together with the European Commission’s almost religious fervour for competition, it seems strange that the European Court of Justice has recently come out so strongly against what it perceives as the evils of forum-shopping by patent litigants, in Case C-539/03 Roche Nederland and others v Primus and Goldenberg. Yet that is what the court views as being the intended function of the Brussels Convention on Jurisdiction and the Enforcement of Judgments. There is another view: the Brussels Convention is intended to lay down rules that regulate, rather than eradicate, the option of an injured party to sue a defendant in the courts of a country other than that in which the latter is domiciled. Prima facie, there would seem to be no better set of facts to justify the exercise of such an option than a patent infringement action brought against nine alleged infringers domiciled in different countries, where the nine are companies within the same group. If the court’s theoretical analysis of the provisions of the Convention leads correctly to the conclusion that a patent owner must commence nine separate patent infringement actions, each in the jurisdiction in which one of the related defendants is domiciled, it is difficult to refute the assertion that the Brussels Convention acts as a deterrent to the enforcement of patent rights against a highly organized international infringer. Indeed, Primus and Goldenberg might be better advised to invest their money in infringing other people’s intellectual property rights in preference to patenting and protecting their own research. The issue of choice of jurisdiction will not go away. The fact that it has arisen so painfully in a Europe so recently determined to fuse itself into a single, internally competitive market is quite ironic. If competition is good for the consumer of electronic goods, telecommunications, banking services, and so forth, it surely should not so suddenly be frowned upon when it comes to the resolution of legal disputes.
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