Costs in Patents County Court under review

United Kingdom

The Court of Appeal has earlier this week given a strong indication that the Courts will not be prepared to allow recovery of excessive costs in litigation in the Patents County Court. In the case of Warheit –v- Olympia Tools Ltd the Court of Appeal found the Claimant’s patent to be valid and to have been infringed. At a subsequent costs hearing, the Court was informed that the costs incurred by the Claimant in bringing the matter to trial in the Patents County Court alone were £250,000. The Court considered the level of costs to be excessive and to exceed that which could have been intended by the Lord Chancellor in setting up the Patents County Court as a cheap and quick forum for patent litigation. A detailed assessment of costs has been ordered and the Court of Appeal has expressed its hope that the Costs Judge will, in conducting the detailed assessment, provide guidance for practitioners on what level of costs is reasonable in the Patents County Court. Such guidance is awaited eagerly.