Bonum Certa Men Certa

European Digital SME Alliance: Unified Patent Court (UPC) “Unconstitutional”, Harms SMEs, Brings Software Patents to Europe, “Should be Based on EU Law and Not on an International Agreement.”

Another TTIP- or TTP-style behind-closed-doors agreement which infuriates those potentially affected (once they actually find out about it)

European Digital SME AllianceSummary: Position paper from a legitimate (not fake) group of SMEs blasts the Unified Patent Court (UPC) for being little more than a conspiracy of powerful businesses and other opportunists to work around the law, misrepresent SMEs, and undermine Directive 2009/24/EC (effectively a ban on software patents)

EARLIER this morning we wrote about the UPC in relation to misleading new propaganda from patent lawyers. The EPO has been lying to everyone, insisting that the UPC is legitimate and that it's somehow "for SMEs" when the reality is exactly the opposite, as a recent scholarly paper about SMEs served to show. Patent lawyers who play along with the EPO's propaganda are doing a lot of damage, but then again, remember that it's "damages" from which they profit. They want patent war. The more, the merrier. As for the EPO, it now pays obscene amounts of money to a PR firm from the US, which in turn pays to organise UPC propaganda events in the US (definitely not for European SMEs). It takes extreme gullibility/ignorance to fail to see what's happening here.



"It takes extreme gullibility/ignorance to fail to see what's happening here."When talking about SMEs we must remember that there are fake (AstroTurfing) lobbying groups of Microsoft, pretending to be fronts of SMEs (e.g. Association for Competitive Technology), but European Digital SME Alliance is not a fake one (members listed at the bottom of the statement below). As the statement states clearly: "The European Digital SME Alliance aims to ensure that ICT SMEs get talked to rather than just talked about."

The latter is what has been happening for quite some time. We mentioned this. The European Digital SME Alliance is based in Brussels and Benjamin Henrion, who is also based in Brussels (the EPO increases/maintains lobbying presence there), paraphrased [1, 2] the European Digital SME Alliance as saying "An EU wide patent system should be based on EU law and not on an international agreement [...] UPC rules of procedure are illegal, undemocratic, no parliaments, even unconstitutional in DE" (not exact words).

Here is the statement in full, extracted and edited based on the original PDF:

European Digital SME Alliance

4 April 2016

Position Paper on Agreement on a Unified Patent Court

Insufficient legal protection for digital SMEs



The European DIGITAL SME Alliance is concerned that the Agreement on a Unified Patent Court (UPC) will undermine the legal protection of software developers against lawsuits based on possibly invalid software patents. Under this agreement, companies may be convicted for an alleged patent infringement without first proving whether the patent in question is valid or not.

Threats to digital SMEs



The European software market is loaded with tens of thousands of software-€­related patents1. Patents can cover several features in a computer program. For small and medium sized software developers it becomes increasingly difficult to avoid those patents by using alternative means. The existence of software-€­–related patents is per se questionable: software is sufficiently protected directly or indirectly by the copyright law for computer programs under Directive 2009/24/EC.

More in general, the validity of software patents is quite uncertain when looking at the overall patent collection. More than 50 % of all oppositions or nullity procedures against software patents lead to a partial or total revocation of patents2. Thus, there is no basis for trust on the reliability and completeness of the patent granting procedure.

All SMEs in the software sector can be accused of patent infringement and receive an injunction by a court. This poses a constant threat to the companies. The defence against a patent infringement lawsuit is costly and can take years. This situation is worse in countries like Germany, where the proceedings for patent infringement can lead to an injunction even though the lawfulness of the patent in question has not yet been determined. Injunctions _______________ 1 The search for patents in the German Patent and Trademark Office containing the phrase „computer program“ in the patent claims led to 20.278 Hits on 10.11.2015.

2 http://www.epo.org/about-€­–us/annual-€­–reports-€­–statistics/annual-€­–report/2014/statistics/searches.html: In 2014, in opposition procedures at the European Patent Office in 31% of the cases, patents were totally removed and in 38% of the cases at least partially removed




force companies to withdraw their product from the market. Years after such injunction, when the SME has accumulated huge losses, a court may judge invalid the patent in question. Hence, companies that own large patent portfolios can use the threat of patent infringement lawsuit to undermine the competition of SME software developers in the market.

Creating a long-€­–lasting legal uncertainty



According to the Agreement on a Unified Patent Court, when ruling on an alleged patent infringement, the local and regional chambers of the Unified Patent Court will be empowered to decide in their own discretion, whether an objection for nullity of the patent shall be taken into account. The chambers will have different options:

(a) They can decide about a counterclaim for revocation together with the question of patent infringement; (b) they can suspend the patent infringement process until the nullity proceeding is ruled or (c) they can decide about a patent infringement without considering the question of nullity.

Thus, the agreement fails to establish a legal precedence for the clarification of the validity of patents. Should the agreement come into force, it would extend the German approach of a conviction without prior clarification of the legal situation to all participating countries. Worryingly, the choice of an international agreement as operational tool will make it very difficult to review the content of the agreement over the next decades, thus worsening the consequences and perpetuating the damage to SMEs in the digital sector.

Unconstitutional rules of procedure



According to the agreement, an administrative committee composed by representatives of the signatory countries will be alone responsible for setting up the rules of procedure of the new Unified Patent Court. The rules of procedure deal with numerous matters of the procedure that concern the procedural rights of the parties. The definition of this set of rules that regard the basic rights of the parties without democratic legitimation by the parliaments is, for countries like Germany, even unconstitutional.

Fragmentation of legal positions



Croatia, Poland and Spain are not signatories of this agreement.

The requests of the European DIGITAL SME Alliance



Digital SMEs need a European patent system that protects them from the attacks of owners of extensive portfolios often based on unlawful software patents. For small and medium sized software companies it is essential that the patent system prevent the implementation of questionable patents. Thus, the procedural law should ensure a complete examination of the patent, prior to the decision on conviction for an alleged patent infringement. An EU wide patent system should be based on EU law and not on an international agreement.




About the European DIGITAL SME Alliance



The European Digital SME Alliance (former PIN SME) is an association formed in 2007 to represent the interests of Europe’s ICT SME sector. Currently ten national and regional associations are members, representing tens of thousands ICT SME companies in Europe. The European Digital SME Alliance aims to ensure that ICT SMEs get talked to rather than just talked about. It provides a voice for ICT SMEs in the policy and business arenas and is already represented in several EU expert groups and taskforces.

Membership



BASSCOM – Bulgarian Association of Software Companies (BULGARIA), CNA -€­–Comunicazione e Terziario Avanzato, Confederazione Nazionale dell’Artigianato e della Piccola e Media impresa (ITALY), UKITA, United Kingdom IT Association (GREAT BRITAIN), CONETIC – Confederación Española de Empresas de Tecnologias de la Información, Communicaciones y Electrónica (SPAIN), BITMi – Bundesverband IT-€­–Mittelstand (GERMANY), GPNI – Groupement Professionnel National de l’Informatique (FRANCE), it-€­–forum midtjylland (DENMARK), SwissMedia – Swiss IT & Multimedia Association (SWITZERLAND), Belgrade Chamber of Commerce, IT Association (SERBIA), Vojvodina ICT Cluster (SERBIA), STIKK – Kosovo Association of Information and Communication Technology (KOSOVO), Balkan and Black Sea ICT Clusters Network (ALBANIA, BOSNIA AND HERZEGOVINA, BULGARIA, GREECE, MONTENEGRO, ROMANIA, SERBIA, KOSOVO, TURKEY, REPUBLIC OF MACEDONIA, UKRAINE)



The UPC basically mirrors what we find in TPP and TTIP. It's a corporate attack on democracy itself and it is falsely advertised to the public (if it's advertised at all). Protests may be needed and more antagonism from those affected is now imperative.

Recent Techrights' Posts

Dr. Andy Farnell on Why Calling Slop or Chaff "Hey Hi" (AI) Harm Us All, Except for "Ten or Twenty Rich Industrialists"
"words to avoid"
Internet Trolls Likely Trying to Distract From the Demise of IBM, Problems With Red Hat
there seems to be trolling online aimed at suppressing discussion
Debian Upgrade Coming Up (Soon)
Yesterday we contacted the datacentre staff about it
Getting Aggressive Suggestive of Loss - Part III - Threats From Burner Accounts Formally Treated as a Crime
Countries that cannot preserve freedom from self-censorship are countries where free press ultimately cannot prevail
24/7 Wall St. Editor-In-Chief and CEO Calls IBM Is "America’s Worst Big Tech Company", Talent is Leaving, Supposedly Strategic Units Culled
21 hours ago by Douglas A. McIntyre
IBM's Debt Increased Over $5 Billion in 3 Months While IBM Laid Off Many in Europe, US, Confluent, HashiCorp, and Red Hat
An increase of $5,000,000,000+ in debt in just 3 months!
 
The Corrupt Lecture the Non-Corrupt - Part V - "Diversity" and "Inclusion" at EPO Means Sleeping With Sister of "Cocaine Communication Manager" and Making Them Millionaires
Remember that top applicants or key stakeholders of the EPO are already complaining about a lack of quality
Links 25/04/2026: Fake GAFAM Valuations (Gripping the Market Based on False Accounting), "Evidence Isn't Just for Research", and "Putin Defends Mobile Internet Outages"
Links for the day
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Friday, April 24, 2026
IRC logs for Friday, April 24, 2026
Gemini Links 25/04/2026: 3.4k+ Capsules, Microsoft Layoffs, Call for Nuclear Disarmament, "Internet is Sad and Lonely"
Links for the day
Links 24/04/2026: Zelenskyy Says Ukraine's War Position "Most Stable", Samsung Workers on Strike Due to Pay
Links for the day
Recent Happenings at IBM Reaffirm Rumours About the CEO; He Might be Resigning (or Pushed Out) Soon
If the rumours are true (no, we did not check those tax records for ourselves), it's not unthinkable that IBM is already doing what Apple did months ago
Gemini Links 24/04/2026: Public Reticulum Gateway Node, Smol Computers, and Old E-mail
Links for the day
Links 24/04/2026: Intel Abandoning Computer Freedom (Even Further), Iran Reports That American Software and Hardware Remotely Sabotaged/Hijacked During War
Links for the day
The Great Wonders of Slop "Efficiency"
Thankfully nothing was lost in the transmission and lots of work (datacentre emissions) got "done"
IBMers Expect Another Giant Wave of Layoffs, Talk (and Sing) About the PIPs
The media won't be covering the key facts
Drama at the European Patent Office (EPO) This Week
We'll be covering the EPO quite a lot this weekend and next week
As We Predicted, Francophonie Countries in the EU and Outside the EU Dumping Microsoft for National Security Reasons
We expected Belgium or some other Francophonie place to do so next
Even to Microsoft Insiders It Seems Like XBox Has Already Died or Surrendered to the Japanese Companies
Now the Microsoft layoffs are evident for people to see
EPO Cocainegate Escalates - Part VI - The Strikes Go On and On (Major Strike Today)
We'll be covering this later today in relation to what the Office dubs "ethics"
Absolutely Terrible Journalism About Microsoft Layoffs This Week
7 hours ago by Leila Sheridan
SLAPP Censorship - Part 56 Out of 200: 5RB and Brett Wilson LLP's Copy-Paste Machination for Garrett and Graveley
Here is another straightforward example of their junior barrister overusing copy-paste on his Mac
Getting Aggressive Suggestive of Loss - Part II - Lawyers Are Not "Hired Guns" (and Should Never Act Like Ones)
The matter is being investigated
Nadella is Killing Microsoft. Slop Kills It Even Faster.
A decade from now we'll look back at slop like we look back at skateboards
Huge Microsoft Layoffs Coming Shortly (With Financial Report)
There will be lots of slop layoffs. Be ready. It's a bubble.
Gemini Links 24/04/2026: Data Breaches and Unofficial Gemini Protocol Specification Archive
Links for the day
Microsoft Offers About 10,000 of Its Senior American (Read: Expensive) Workers to be Laid Off
How many slopfarms and media parrots play along?
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Thursday, April 23, 2026
IRC logs for Thursday, April 23, 2026
SLAPP Censorship - Part 55 Out of 200: Strangled Women, Charged for Strangulation, Cannot Find a Job Now (After Microsoft)
merits public awareness and wider scrutiny
Gemini Links 23/04/2026: Spirituality and Detachment, Shoplifting in the UK, and "Introducing Scout, an iOS Native Gemini Client"
Links for the day
Links 23/04/2026: YouTube Age Limits Expanded and 'Secret' Model With Bug-Finding Hype Campaign 'Leaks'
Links for the day
Media Operatives of Microsoft Paint Microsoft Layoffs as Buyouts (Intentionally False Narrative)
Those are mass layoffs disguised as something else
IBM's Stock Has Collapsed Over 10% in One Day, Insiders Explain What's Happening
Today, due to a lack of time, we mostly present an outline of what people say (not IBM-sponsored media hacks with LLM slop)
Getting Aggressive Suggestive of Loss - Part I - Threats Sent From Burner Accounts Since February, Belatedly Reported to British Police
Threats connected to Graveley or Garrett or 5RB or Brett Wilson LLP [...] We're not dealing with a law firm here; we're dealing with the underworld
EPO Cocainegate Escalates - Part V - Where Does the António Campinos 'Family Affair' Go From Here?
Do cocaine in public, get caught, take paid "sick leave", come back to lead Europe's second-largest organisation
Links 23/04/2026: Legal Trouble for Microsoft, Chronic Fatigue Syndrome, and DMCA Whac-a-Mole
Links for the day
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Wednesday, April 22, 2026
IRC logs for Wednesday, April 22, 2026
Gemini Links 23/04/2026: Sunrise Chasing Season, Going Back to Older Software, New Gemini Client for Mobile Devices
Links for the day