Quebec Superior Court Reaffirms Its Jurisdiction Over Patent Infringement Cases

1
QUEBECSUPERIORCOURTREAFFIRMSITSJURISDICTIONOVERPATENT
INFRINGEMENTCASES

by
AlexandraSteele
*
LEGERROBICRICHARD,Lawyers,
ROBIC,Patent&TrademarkAgents
CentreCDPCapital
1001Square-Victoria-BlocE–8
thFloor
Montreal,Quebec,CanadaH2Z2B7
Tel.(514)9876242-Fax(514)8457874
www.robic.ca-info@robic.com

INTRODUCTION
TheQuebecSuperiorCourtrecentlyreaffirmedthatitwascompetent,
concurrentlywiththeFederalCourtofCanada,tohearmattersrelatingto
infringementundertheCanadianPatentActandthereforeproceededto
dismisstheDefendants’preliminaryMotiontoStrikeapatentinfringement
actionbasedonallegationsofabsenceofjurisdictionoftheCourt.
(Beauchesnev.Roy,C.S.Q.615-17-000209-048,October1,2004,GuertinJ.;
availableinFrenchonlyattheURLaddress
http://www.jugements.qc.ca/php/decision.php?liste=5769261&doc=445F025
655071A03)
THEFACTS
ThePlaintiffsaretheownersofaCanadianPatent.InMay2004,theyinitiated
anactionforpatentinfringementagainsttheDefendantsandsought
interlocutoryandpermanentinjunctiverelief.TheDefendantsarealsothe
ownersofaCanadianPatentinthesamefieldasthePlaintiffs.Inadditionto
thelegalproceedingsforinfringement,thePlaintiffsbroughtarequestforre-
examinationoftheDefendants’patentbeforetheCanadianPatentOffice.
InJuly2004,theDefendantsservedaMotiontoStrikethePlaintiffs’action
alleging,interalia,thatthefactthattheyownedavalidpatent,(onthebasis
ofwhichtheallegedlyinfringingproductwasmanufactured),precludedthe
Plaintiffsfromallegingpatentinfringement.TheDefendantsfurtheralleged
thattheinterlocutoryandpermanentinjunctivereliefsoughtinthePlaintiffs’



















































©LEGERROBICRICHARD,2004*Lawyer,AlexandraSteeleisamemberofthelawfirmLEGERROBICRICHARD,g.p.andof
thepatentandtrade-markagencyfirmROBIC,g.p.Publication064.170.

2
actioncouldbeequatedtoadeclarationofinvalidityoftheirpatentand
thereforetheQuebecSuperiorCourtdidnothavejurisdictionsincea
declarationofinvalidityofapatentisoftheexclusivejurisdictionofthe
FederalCourtofCanada.
Asasubsidiaryargument,theDefendantsrequestedthattheQuebec
SuperiorCourtdeclinejurisdictionbasedonthefactthattheCanadian
PatentOfficewouldultimatelydecidetheissueofvalidityoftheirpatent.
THERELEVANTPROVISIONS
TherelevantprovisionsofthePatentAct,R.S.C.,c.P-4,arethefollowing:

RE-EXAMINATION
Requestforre-examination

48.1(1)Anypersonmayrequestare-examinationofanyclaimofapatentbyfilingwith
theCommissionerpriorart,consistingofpatents,applicationsforpatentsopentopublic
inspectionandprintedpublications,andbypayingaprescribedfee.

Pertinencyofrequest
(2)Arequestforre-examinationundersubsection(1)shallsetforththepertinencyofthe
priorartandthemannerofapplyingthepriorarttotheclaimforwhichre-examinationis
requested.

Noticetopatentee
(3)Forthwithafterreceiptofarequestforre-examinationundersubsection(1),the
Commissionershallsendacopyoftherequesttothepatenteeofthepatentinrespectof
whichtherequestismade,unlessthepatenteeisthepersonwhomadetherequest.
Establishmentofre-examinationboard

48.2(1)Forthwithafterreceiptofarequestforre-examinationundersubsection48.1(1),
theCommissionershallestablishare-examinationboardconsistingofnotfewerthanthree
persons,atleasttwoofwhomshallbeemployeesofthePatentOffice,towhichtherequest
shallbereferredfordetermination.
Determinationtobemadebyboard
(2)Are-examinationboardshall,withinthreemonthsfollowingitsestablishment,
determinewhetherasubstantialnewquestionofpatentabilityaffectinganyclaimofthe
patentconcernedisraisedbytherequestforre-examination.
Notice
(3)Whereare-examinationboardhasdeterminedthatarequestforre-examination
doesnotraiseasubstantialnewquestionaffectingthepatentabilityofaclaimofthepatent
concerned,theboardshallsonotifythepersonwhofiledtherequestandthedecisionofthe
boardisfinalforallpurposesandisnotsubjecttoappealortoreviewbyanycourt.
Idem

3
(4)Whereare-examinationboardhasdeterminedthatarequestforre-examination
raisesasubstantialnewquestionaffectingthepatentabilityofaclaimofthepatent
concerned,theboardshallnotifythepatenteeofthedeterminationandthereasons
therefor.
Filingofreply
(5)Apatenteewhoreceivesnoticeundersubsection(4)may,withinthreemonthsofthe
dateofthenotice,submittothere-examinationboardareplytothenoticesettingout
submissionsonthequestionofthepatentabilityoftheclaimofthepatentinrespectof
whichthenoticewasgiven.

[…]

INFRINGEMENT
Jurisdictionofcourts

54.(1)Anactionfortheinfringementofapatentmaybebroughtinthatcourtofrecord
that,intheprovinceinwhichtheinfringementissaidtohaveoccurred,hasjurisdiction,
pecuniarily,totheamountofthedamagesclaimedandthat,withrelationtotheother
courtsoftheprovince,holdsitssittingsnearesttotheplaceofresidenceorofbusinessofthe
defendant,andthatcourtshalldecidethecaseanddeterminethecosts,andassumption
ofjurisdictionbythecourtisofitselfsufficientproofofjurisdiction.
JurisdictionofFederalCourt
(2)NothinginthissectionimpairsthejurisdictionoftheFederalCourtundersection20of
theFederalCourtsActorotherwise.
TherelevantprovisionoftheFederalCourtsAct,R.S.C.c.F-7,isthefollowing:

JURISDICTIONOFFEDERALCOURT

[…]
Industrialproperty,exclusivejurisdiction

20.(1)TheFederalCourthasexclusiveoriginaljurisdiction,betweensubjectandsubjectas
wellasotherwise,
(a)inallcasesofconflictingapplicationsforanypatentofinvention,orforthe
registrationofanycopyright,trade-mark,industrialdesignortopographywithinthe
meaningoftheIntegratedCircuitTopographyAct;and

(b)inallcasesinwhichitissoughttoimpeachorannulanypatentofinventionorto
haveanyentryinanyregisterofcopyrights,trade-marks,industrialdesignsor
topographiesreferredtoinparagraph(a)made,expunged,variedorrectified.
Industrialproperty,concurrentjurisdiction
(2)TheFederalCourthasconcurrentjurisdictioninallcases,otherthanthosementioned
insubsection(1),inwhicharemedyissoughtundertheauthorityofanActofParliamentor
atlaworinequityrespectinganypatentofinvention,copyright,trade-mark,industrial
designortopographyreferredtoinparagraph(1)(a).

4
THESUPERIORCOURTJUDGEMENT
TheHonourableJusticeGuertinproceededtoreviewtheconclusionssetout
inthePlaintiffs’actionanddeterminedthatitwasinfactaclaimrelatingto
patentinfringement.Hethenturnedtosection54ofthePatentActandre-
affirmedtheSuperiorCourt’sjurisdictionoverpatentinfringementmatters,as
clearlysetourinthesaidAct.
JusticeGuertinalsoconsideredtheDefendants’argumentthatthe
ownershipofavalidandsubsistingpatentconstitutedan“absolute
defence”toapatentinfringementaction.TheCourtdetermined,inlightof
thepriorcaselaw,thattherewasnorequirementfortheDefendants’patent
tobetsetasidebeforethePlaintiffscouldseizetheCourtoftheirclaimfor
patentinfringementanddamages(orprofits)resultingfromsaidactsof
infringement.
OnthesubsidiaryargumentoftheDefendants,i.e.thattheCourtwasnot
competenttodecidethepresentcasebecausetheCanadianPatentOffice
wouldbedecidingthevalidityoftheDefendants’patent,JusticeGuertin
ruledthattheCanadianPatentOfficehadnojurisdictiontograntinjunctive
andmonetaryreliefasaresultofactsofinfringementandtherefore,the
QuebecSuperiorCourtcouldnotdeclineitsjurisdictionbasedonthis
argument.
TheDefendants’MotiontoStrikewasconsequentlydismissedwithcosts.
CONCLUSION
ThiscaseconstitutesareminderthatboththeFederalCourtofCanadaand
the“Provincial”Courtsofgeneraljurisdiction,(inthiscasetheSuperiorCourt
oftheprovinceofQuebec),haveconcurrentjurisdictionovermattersof
patentinfringementandthattheymaybothissuerulingsforinjunctiveand
monetaryreliefinsuchcases.
Mostoften,patentlitigantsinCanadawillinitiateproceedingsunderthe
PatentActintheFederalCourtofCanada,sinceithasabroaderjurisdiction:
asitappearsfromSection20FederalCourtsAct,theFederalCourtcan
renderOrdersinvalidatingapatent,whichtheProvincialCourtsofgeneral
jurisdictioncannotdo.Inaddition,theFederalCourtjudgementsare
enforceableacrossCanada,withoutthenecessityofexemplificationineach
oftheprovinces.Itshouldbenotedthata“Provincial”Courtjudgementis

5
validonlyintheprovincewhereitisrendered,exceptifitisexemplified,(i.e.
recognisedbyajudgementofanotherCourtofgeneraljurisdiction),ineach
andeveryotherCanadianterritorywhereitwillbeenforced.
Whatultimatelyguidesaparty’sdecisiontoinitiatelegalproceedingsbefore
oneCourtortheotherisessentiallyamatterofstrategy,andonethatmerits
seriousconsiderationinordertoavoidwastingtime,effortandmoneyin
ordertodefinitelyandcompletelysettleallissuesbetweentheparties.

6

ROBIC,ungroupedavocatsetdagentsdebrevetsetdemarquesdecommerce
vouédepuis1892àlaprotectionetàlavalorisationdelapropriétéintellectuelle
danstouslesdomaines:brevets,dessinsindustrielsetmodèlesutilitaires;marquesde
commerce,marquesdecertificationetappellationsdorigine;droitsdauteur,
propriétélittéraireetartistique,droitsvoisinsetdelartisteinterprète;informatique,
logicielsetcircuitsintégrés;biotechnologies,pharmaceutiquesetobtentions
végétales;secretsdecommerce,know-howetconcurrence;licences,franchiseset
transfertsdetechnologies;commerceélectronique,distributionetdroitdesaffaires;
marquage,publicitéetétiquetage;poursuite,litigeetarbitrage;vérification
diligenteetaudit;etce,tantauCanadaquailleursdanslemonde.Lamaîtrisedes
intangibles.
ROBIC,agroupoflawyersandofpatentandtrademarkagentsdedicatedsince
1892totheprotectionandthevalorizationofallfieldsofintellectualproperty:
patents,industrialdesignsandutilitypatents;trademarks,certificationmarksand
indicationsoforigin;copyrightandentertainmentlaw,artistsandperformers,
neighbouringrights;computer,softwareandintegratedcircuits;biotechnologies,
pharmaceuticalsandplantbreeders;tradesecrets,know-how,competitionand
anti-trust;licensing,franchisingandtechnologytransfers;e-commerce,distribution
andbusinesslaw;marketing,publicityandlabelling;prosecutionlitigationand
arbitration;duediligence;inCanadaandthroughouttheworld.Ideaslivehere.
COPYRIGHTER
IDEASLIVEHERE
ILATOUTDEMÊMEFALLULINVENTER!
LAMAÎTRISEDESINTANGIBLES
LEGERROBICRICHARD
NOSFENÊTRESGRANDESOUVERTESSURLEMONDEDESAFFAIRES
PATENTER
R
ROBIC
ROBIC+DROIT+AFFAIRES+SCIENCES+ARTS
ROBIC++++
ROBIC+LAW+BUSINESS+SCIENCE+ART
THETRADEMARKERGROUP
TRADEMARKER
VOSIDÉESÀLAPORTÉEDUMONDE,DESAFFAIRESÀLAGRANDEURDELAPLANÈTE
YOURBUSINESSISTHEWORLDOFIDEAS;OURBUSINESSBRINGSYOURIDEASTOTHE
WORLD