Counterfeiting and cyber-attacks are an increasingly significant problem for the German economy. It is estimated that each year they cause real damage to companies, perhaps amounting to billions of Euros. German companies active in the field of mechanical engineering, which is one of Germany’s largest industrial sectors employing over one million skilled workers, is not immune to such problems. A study published by the German Engineering Federation (VDMA) shows that around 46% of companies are affected by illegal replicas, copies or other counterfeits, the total damage caused by product and brand piracy amounting to 4.1 billion euros per year. Whilst these figures are alarming and the costs very high, they are also now at their lowest point for the last 20 years.
Jochen Kilchert, partner and patent attorney, explains: “Product and trademark piracy is a real problem for the German SMEs we represent. For some time now, we have seen a growing willingness on the part of many companies to enforce their own patents and trademarks against counterfeiters, even in court if necessary. Word is getting around and it is having an effect. If patents are robustly drafted, patent owners have very good chances in German courts to enforce their valuable Intellectual Property.” The Unified Patent Court (UPC) is also starting to have a positive effect. “This new court increases the risk for plagiarists. The UPC reaches up to 17 EU countries simultaneously with a single action and unified judgment. The damage awards can be correspondingly higher compared to a national lawsuit that is only related to a single country.”
If you are interested in this topic and have any questions about plagiarism in the industry and the significance of the UPC, please contact us at any time.
