The Court of Justice of the European Union (the “Court of Justice”) handed down its judgment in case C‑473/22 (Mylan v. Gilead and Others) at the beginning of January 2024. The case concerned the Finnish compensation regime that can be invoked when a preliminary injunction is found to have been unfounded. This compensation regime is based on the concept of strict liability.
Although the judgment primarily concerns compensation claims subject to the Finnish law, the judgment has implications in all EU jurisdictions where a similar strict liability regime exists. The Court of Justice’s judgment provides clarity for cases where an intellectual property right is first used to justify a preliminary injunction and then subsequently found invalid.
The Advocate General recently gave its opinion in the case No C-473/22 between Mylan AB (“Mylan”) and Gilead Sciences Finland Oy, Gilead Biopharmaceutics Ireland UC and Gilead Sciences Inc (“Gilead”).
The referral was made by the Finnish Market Court in proceedings concerning a claim for damages resulting from an unfounded preliminary injunction (“PI”) issued against Mylan. Under the Finnish system, the liability for such damages is deemed “strict”. In other words, the party that has enforced an unfounded PI is liable for any damages shown irrespective of other circumstances such as the level of care it has taken when evaluating the likelihood of infringement.
The case holds implications for all jurisdictions in the EU in which the same or similar strict liability regime is adopted into national law.
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