The European Union (EU)'s highest court on Tuesday rejected a bid by EU member states to set up a pan-European patent court to handle patent litigation.

The planned European and EU Patent Court was part of the EU's drive to enhance cooperation in the area of unitary patent protection.

The Court of Justice of the EU (CJEU) was asked by EU member states to deliver its opinion on the legality of setting up the patent court in June 2009, but ruled that the envisaged agreement on the patent court in its current state is incompatible with the EU treaties.

"The agreement would alter the essential character of the powers conferred on the institutions of the European Union and on the member states which are indispensable to the preservation of the very nature of European Union law," the Luxembourg-based CJEU said.

At present, litigations against patent infringement have to be launched in each member state, making judicial protection of patent rights costly and burdensome.

The European and EU Patent Court was meant to reduce the existing cost and complexity resulting from parallel litigation in several member states and providing legal certainty by avoiding conflicting judgments.

The European Commission, the EU's executive arm, said it would analyze the judgment very carefully with a view to identifying appropriate solutions, urging EU member states to continue their efforts to unify patent protection throughout the 27-nation bloc.

(Source: Xinhua)