Bond Pearce

At the start of November, the Government announced the introduction of a small claims service at the Patents County Court (PCC) to better assist small and medium sized business to protect their intellectual property rights - including patents, trade marks, designs and copyright - in a cost-effective way. The PCC small claims track will operate in a similar way to the established system in place at other County Courts.

The PCC itself has seen a number of changes over recent years, designed to streamline the way IP cases are dealt with. The PCC currently has a costs cap of £50,000 per case and a damages limit of £500,000. The new small claims service is intended to further limit fixed costs, and allow damages of up to £5,000 per case.

Evidence presented to the recent Hargreaves Review of Intellectual Property indicated that around 1 in 6 SMEs in the UK had given up attempting to protect their IP rights because of the costs associated with High Court actions.  The introduction of a small claims service for lower-value IP disputes has been widely welcomed to assist business which would otherwise be deterred from enforcing their IP rights through the courts.

Minister for Intellectual Property, Baroness Wilcox described the change as "great news" for SMEs in particular, as it will "give them the confidence to stand up and protect their intellectual property rights.  A small claims process means businesses will not have to fight through lengthy court battles instead of concentrating on growing their business".

The small claims service is due to be implemented by the end of 2012.

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