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General
- What kind of claims are subject to PIs?
- Is any prior, out of court action (e.g. a warning letter) required before filing an application for a PI?
- Does an application for a PI need to be filed within a certain deadline?
- How quickly can PIs be obtained?
- Can PI proceedings be suspended?
- Which kind of evidence is required in PI proceedings?
- Ex parte preliminary injunctions
- Costs and Security
- Remedies
- Enforcement
- Damages
- Main proceedings
jurisdiction
General
1. What kind of claims are subject to PIs?
A variety of IP claims, including copyright, design rights; trade marks; company names; patents, plant breeders’ rights; rights to topographies for semiconductor products; Trade secrets and unfair marketing practices.
2. Is any prior, out of court action (e.g. a warning letter) required before filing an application for a PI?
No. Although, a party who initiates court action without first exploring the possibility of settlement, or who otherwise intentionally or negligently causes unnecessary legal proceedings, will typically be required to cover the opposing party’s legal costs, regardless of the case outcome.
3. Does an application for a PI need to be filed within a certain deadline?
Generally, no. An application for a PI can be filed before, as well as during, the main proceedings. It is also possible to file an application for a PI in the higher courts. However, general rules on passivity still apply.
4. How quickly can PIs be obtained?
It depends on the circumstances in each case and the current workload of the court. However, courts are obligated to handle requests for PIs swiftly.
5. Can PI proceedings be suspended?
Generally, no. However, if a decision to grant a PI is appealed, a higher court may suspend the enforcement of the PI while considering the appeal (at the counterparty’s request).
6. Which kind of evidence is required in PI proceedings?
In order to obtain a PI, the applicant must show that they have a valid IP right; the counterparty has engaged in actions that infringe upon the IP right; and the continued infringement, or contribution to it, will diminish the value of the IP right
Ex parte preliminary injunctions
7. Is it possible to obtain an ex parte PI (without hearing the counterparty)?
Yes. Under normal circumstances, the counterparty must be heard before a PI can be issued. However, if there is a risk that hearing the counterparty could harm the right holder’s interest, a PI can be issued ex parte.
Costs and Security
8. Are the costs recoverable from the counterparty in the event the PI is issued?
Yes. Under normal circumstances, the counterparty must be heard before a PI can be issued. However, if there is a risk that hearing the counterparty could harm the right holder’s interest, a PI can be issued ex parte.
9. Is the applicant required to provide a security deposit when requesting a PI?
As a general rule, the applicant must provide security for any damages that it may have to pay if the PI is later found to be unjustified. The security shall take the form of a pledge or a guarantee. However, the obligation to provide security may be waived in certain circumstances where the applicant is unable to provide such security.
Remedies
10. Is it possible to appeal or file other remedies against a PI? If so, does this suspend the effect of the PI?
Yes, it is possible to appeal against a PI. Appeals against a PI issued during the trial are made specifically against the decision/PI in question. A PI issued in connection with the judgment is appealed in the same way as an appeal against the judgment itself.
If an application for a PI has been granted, the counterparty may also apply for a stay of execution, which means that the PI cannot be enforced for the time being. The court will not suspend the effect of the PI unless one of the parties makes such an application.
11. How long do the proceedings to challenge a PI usually take?
It is difficult to give an exact timeframe for the process of challenging a PI. It depends on the circumstance in the case and the current workload of the court. However, the courts are obliged to deal with matters concerning PIs expeditiously.
Enforcement
12. When does a PI become effective?
The PI generally becomes effective as soon as the decision is served on the counterparty.
13. What legal measures are available to enforce compliance with a PI?
A PI is usually issued under penalty of a conditional fine. In the event of non-compliance with the PI, the applicant may initiate a separate court proceeding for the imposition of the fine.
Another legal measure available to enforce compliance with a PI is the possibility to apply for the enforcement of the PI with the Swedish Enforcement Agency.
Damages
14. Can the counterparty seek damages if the PI is later found to be unjustified and cancelled?
Yes. The obligation to pay damages if the PI is found to be unjustified applies irrespective of negligence and covers all damage, including pure pecuniary damage.
Main proceedings
15. Are further proceedings on the merits required in order for the court to grant a final injunction?
Yes. Once a PI has been granted, the applicant must bring an action against the counterparty on the “main issue” of the case (or request arbitration) within one month from the decision to grant the PI (unless such an action has already been brought). Failure to do so automatically results in the PI becoming void.