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2024-12-13 App_61630_2024

Source: 
Withdrawal, Reimbursement of court fees
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R 9 – Powers of the Court, R. 34 – Request by the judge-rapporteur for allocating a technically qualified judge, Rule 158 – Security for costs of a party, Rule 220 – Appealable decisions, Rule 265 – Withdrawal, Rule 275 – Service of the Statement of claim by an alternative method or at an alternative place, Rule 370 – Court fees
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The following text is not a complete transcript of the decision/order:

Paris Local Division
UPC_CFI_495/2023
Decision
of the Court of First Instance of the Unified Patent Court
issued on 13/12/2024

APPLICANT in App_61630/2024 – RESPONDENT in App_62436/2024
ICPillar LLC
4265 San Felipe Street, Suite 1100
77027 - Houston, Texas – US
Represented by Lionel Martin

RESPONDENT in App_61630/2024 – APPLICANT in App_62436/2024
ARM Limited
110 Fulbourn Road
CB1 9NJ - Cambridge - GB
Apical Limited
110 Fulbourn Road
CB1 9NJ - Cambridge - GB
Arm France SAS
Batiment B - 732 Avenue de Roumanille
06410 - Biot - FR
Arm Germany GmbH
Bretonischer Ring 16
85630 - Grasbrunn - DE
Arm Germany d.o.o
Obrtna Cesta 18
SL-8310 - Sentjernej - SI
Arm lreland Limited
Lyrr Building, 3, Mervue Business Park Galway
Co. Galway - Galway - IE
Arm Poland Sp. z.o.o
UL. ŻELAZNA 2
40-851 - KATOWICE, ŚLĄSKIE – PL
Arm Sweden AB
Emdalavagen 6
SE-223 69 - Lund - SE
Simulity Labs Limited
110 Fulbourn Road
CB1 9NJ - Cambridge - GB
SVF Holdco
69 Grosvenor Street
W1K 3JP - London – GB
Represented by Christoph Crützen

PATENT AT ISSUE
Patent no. Proprietor/s
EP3000239 ICPillar

DECIDING JUDGE
Presiding judge and Judge-rapporteur Camille Lignières

LANGUAGE OFPROCEEDINGS: English

DECISION
SUMMARY OF FACTS AND PROCEEDINGS
On 19 November 2024, ICPillar filed a withdrawal application pursuant to Rule 265 RoP in the pro-ceedings
registered under number UPC_CFI_495/2023.
On 22 November 2024, ARM’s entities filed an application to withdraw their counterclaims for
revocation in the same proceedings.
ICPillar explains that parallel patent litigation between ICPillar and ARM (the “Parties”) was pend-ing
before the US District Court for the Western District of Texas, based on US Patents 8,924,899
and 9,367,657 which are US counterparts of the EP’239 asserted here before the UPC. During this
U.S. proceedings, a private and confidential mediation occurred between the Parties on Wednes-day
18 September 2024. Following this mediation, the Parties signed a confidential agreement in
October 2024.

PARTIES’ REQUESTS
ICPillar requests the Court (In view of Rules 265, 370-9 (c) and 370.11 RoP) to:
- ACKNOWLEDGE the withdrawal of all ICPillar’s claims and ARM’s acceptance of such withdrawal
in the proceedings registered under number UPC_CFI_495/2023
- ACKNOWLEDGE the withdrawal of all of ARM’s claims and ICPillar’s acceptance of such with-drawal
in the proceedings registered under number UPC_CFI_495/2023
- ACKNOWLEDGE that each party bears the costs it paid for the proceedings registered under num-ber
UPC_CFI_495/2023
Therefore:
- ORDER the closure of the proceedings registered under number UPC_CFI_495/2023
- ORDER the inscription of this ruling to the Registry
- JUDGE that each party will bear its own legal costs and expenses
- CANCEL the interim conference
- ORDER, pursuant to Rule 370.9 RoP, the reimbursement to ICPillar of 60% of the legal fees it paid
to the Court of First Instance of the Unified Patent Court (110 000€), being 66 600 euros by a bank
transfer
- ORDER the reimbursement of the security of costs of the amount of 400 000 euros paid by ICPillar
following the order of 21 May 2024 by a bank transfer
ARM entities request the Court:
- to declare the revocation proceedings (20604/2024) closed;
- that the decision to close the proceedings be entered on the register;
- to reimburse Defendants (Claimants in the revocation proceedings) for EUR 12,000;
- to acknowledge that each party bears its own costs for the proceeding.
GROUNDS
Concerning the withdrawal requests:
Rule 265 states that:
“1. As long as there is no final decision in an action, a claimant may apply to withdraw his action.
The Court shall decide the application after hearing the other party. The application to withdraw
shall not be permitted if the other party has a legitimate interest in the action being decided by
the Court.
2. If withdrawal is permitted, the Court shall:
(a) give a decision declaring the proceedings closed;
(b) order the decision to be entered on the register; and
(c) issue a cost decision in accordance with Part 1, Chapter 5.
The withdrawal of an action by the claimant shall have no effect on any counterclaim in the action.
The Court may however refer any counterclaim for revocation to the Central Division.”
In light of the parties’ applications, the Court sees no objection to permit the respective withdraw-als
in the present case.
Concerning the reimbursement of the Court fees:
Rule 370-9 (b) states that:
“In case of the withdrawal of an action [Rule 265] the party liable for the Court fees will be reim-bursed
by:
(i) 60 % if the action is withdrawn before the closure of the written procedure
(ii) 40 % if the action is withdrawn before the closure of the interim procedure
(iii) 20 % if the action is withdrawn before the closure of the oral procedure”
Rule 370-9 (e) states that:
“In exceptional cases, having regard, in particular, to the stage of the proceedings and the proce-dural
behaviour of the party, the Court may deny or decrease the reimbursement payable accord-ing
to paragraph 9 (b) and (c) of the aforementioned provisions”.
Rule 370-11 states that:
“The party seeking reimbursement under paragraphs 9 and 10 shall lodge a reasoned Application
for reimbursement to the Court. The Court shall deal with the application without delay and if
satisfied that the reimbursement is appropriate shall direct the Registrar to make the payment as
soon as practicable”.
In the present case, the withdrawal of ICPillar is submitted before the closure of the written pro-ceedings.
ICPillar submits that it has engaged 111.000 euros as fixed fees and value-based fees on the in-fringement
action it has initiated and asks for the reimbursement of 60% of its fees, i.e. 66 600
euros. ARM submits that they have engaged 20.000 euros as fixed fees and value-based fees on
the counterclaim for revocation they have initiated and asks for the reimbursement of 60% of their
fees, i.e. 12.000 euros.
By e-mail dated December 4, 2024, the Judge-Rapporteur informed the Parties that the Court is
considering the application in the present case of R. 370.9 (e), taking into account all the case
management orders or measures already taken in this case, to reduce the reimbursement to be
paid by the Court, so the Judge-Rapporteur invites the Parties to submit their written comments
on this point by responding to this e-mail by December 11, 2024.
In their respective comments, the parties stated that, in their view, there was no reason to apply
these provisions in that the applications had always been made in the interests of greater effi-ciency
in accordance with the principles of the UPC procedure and that they had always been dili-gent
in that as soon as they had been aware that an agreement was being prepared they had
informed the Court.
The representatives added that, should the Court consider a reduction in the percentage of reim-bursement
justified, this could not be less than 50% (according to ARM) or 40% (according to ICPil-lar).
The Court notes that the following orders have been issued in the present case:
Withdrawal under R.265 RoP (Withdrawal of the action against one of the Defendants):
-Order delivered on 28 February 2024 -Order no. 10125 in ACTION NUMBER: ACT_596432/2023
Related proceeding no. Application No.: 9933/2024 - Application Type: Request under R.265 RoP
(Withdrawal of the action against one of the Defendants)
-Order delivered on 22 March 2024 -Order no. ORD_13585/2024 in ACTION NUMBER:
ACT_596432/2023 Related proceeding no. Application No.: 13343/2024 - Application Type: R.265
RoP Application.
Service:
-Alternative method under R. 275-1 RoP
-Order delivered on 12 February 2024 -Order no. 7671 in ACTION NUMBER: ACT_596432/2023
Related proceeding no. Application No.: 5858/2024 - Application Type: R.275.1 RoP.
-Alternative method under R. 275-2 RoP
-Order delivered on 28 February 2024 -Order no. 10136 in ACTION NUMBER: ACT_596432/2023.
-Alignment of the time limits (R.9.3 RoP):
-a case management meeting held online on 29 April 2024 organised by the JR with all the repre-sentatives
of the parties for an agreement on the alignment of the time limits (R.9.3).
-Order delivered on 29 April 2024 -Order no. ORD_23488/2024 in ACTION NUMBER:
ACT_596432/2023 Related proceeding no. Application No.: 23252/2024 - Application Type: Exten-sion
of time limits Application R. 9.3 RoP.
Preliminary Objection on Paris LD competence (full panel):
-Order delivered on 11 April 2024 -Order no. ORD_18817/2024 in ACTION NUMBER:
ACT_596432/2023 Related proceeding no. Application no.: 9725/2024, Application no.
12326/2024 and Application no. 12563/2024 - Application Type: Preliminary objection.
Setting the dates:
-Order delivered on 5 June 2024 -Order no. ORD_33243/2024 in ACTION NUMBER:
ACT_596432/2023
Security Costs (R.158.1 RoP):
-Order granting Security Costs request issued by the full panel on 21 May 2024 -Order no.
ORD_23494/2024 Related proceeding: Application no. 22767/2024 Application Type: Application
for Security for costs (R. 158.1 RoP)
-Order delivered on 30 May 2024 -Order no. ORD_31769/2024 in ACTION NUMBER:
ACT_596432/2023 Related proceeding Application no. 31590/2024 Application Type: Application
for leave to appeal R.220.2 RoP
-Order of the Court of Appeal of the Unified Patent Court issued on 16 September 2024 concern-ing
security for costs (UPC Court of Appeal UPC_CoA_301/2024 APL_33746/2024)
Extension of the time limits (R.9 RoP):
-Order delivered on 30 September 2024 on a joint application -Order no. ORD_53938/2024 in AC-TION
NUMBER: ACT_596432/2023 Related proceeding no. Application No.: 53433/2024
Stay of proceedings:
-Order delivered on 16 October 2024 on Stay request -Order no. ORD_56337/2024 in ACTION
NUMBER: ACT_596432/2023UPC -Related proceeding no. Application No.: 56183/2024)
Statements already exchanged in the Written procedure
Statement of claim (22 December 2023)
Statement of defence and Counterclaim for revocation (26 April 2024)
Reply to the Statement of defence, Defence to the counterclaim, Application to amend the patent
(2 July 2024)
Rejoinder to the Reply to the Statement of defence, Reply to the Defence to the counterclaim,
Defence to the application to amend the patent (2 September 2024).
In addition, the Technically qualified judge allocated to the panel has provided a preliminary writ-ten
note of 28 pages (=30 hours) on the validity issue in June 2024 (after the SoD and CC for revo-cation),
as requested by the Judge-Rapporteur pursuant to R. 34.2 RoP.
Lastly, the Court notes that the withdrawal applications were lodged a few days before the date
of the interim conference scheduled for 2 December 2024.
Although the procedural behaviour of the parties has been fair and diligent enough, taking into
account the late stage of the proceedings and all the work already done by the Court in this case,
it is justified to set the refund of the Court fees at 40% (instead of 60% set as the principle in R.
370.9 b) ii RoP) in accordance with R. 370.9 (e) RoP.
Concerning the application for the reimbursement of the security for costs:
By order dated of 21 May 2024, ICPillar was ordered to provide security for costs and other ex-penses
pursuant to Rule 158.1 RoP to the amount of 400.000 euros.
ICPillar asks the Court of the First Instance of the UPC to order the reimbursement of the security
for costs paid in July 2024.
The Court sees no objection to granting full reimbursement of the security for costs in the context
of a final withdrawal of the pending proceedings UPC_495/2023 in its entirety (main action and
Counterclaim).

DECISION
The Court orders that:
1. The withdrawal of ICPillar's infringement claim as regards all defendants is permitted.
2. The withdrawal of ARM's counterclaim for revocation as regards the Claimant is permitted.
3. The proceedings in UPC_CFI_495/2023 ACT_596432/2023 are closed and the oral hearing
scheduled for January 17, 2025 is cancelled.
4. The security deposit (granted in the Order of 21 May 2024 -no. ORD_23494/2024) shall be
returned in full.
5. Each party shall bear its own costs.
6. The Court fees shall be reimbursed by the Court to the parties by 40% pursuant to R. 370.9 (b)
and (e) RoP, i.e. the amount of 44,400 euros to ICPillar and the amount of 8,000 euros to ARM.
7. This decision is to be entered on the register.
Issued in Paris, 13 December 2024.
C. Lignières, Presiding judge and Judge-rapporteur
C. Gillet, Legally qualified judge
P. Rinkinen, Legally qualified judge
A. Perronace, Technically qualified judge
M. Brasseur, Clerk

DECISION DETAILS
Decision no. ORD_64845/2024 in ACTION NUMBER: ACT_596432/2023
UPC number: UPC_CFI_495/2023
Action type: Infringement Action
Related proceeding no. Applications No.61630/2024 and No.62436/2024
Application Type: Application for leave to withdraw an action (RoP265)

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