1. Parties
Plaintiff:
Thai Nippon Concrete Co., Ltd.
Defendant: Surachai
Reawrangsattha.
2.
Background and Issue
Background
The plaintiff is a major
company in the pile-driving business.
In this line of business, the
plaintiff also sells concrete products
such as pile cushions and contracts to
carry out pile driving. It has had
pile-driving experience for many big
projects since B.E 2533.
On July 1st
2541, the defendant filed a patent
application for the invention of a
pile cushion. The aforementioned pile
cushion was made of tamarind wood,
which was strong and tough. The pile
cushion had three piled up rings. The
middle pile was thicker than the other
two. Each ring had four equal curves
placed in a row. On March 1st,
2543 the patent was granted.
Later, the defendant had
given plenty notice to the government
agencies and many pile manufacturers,
alleged that they infringed his
patent. Such notice caused damages to
those companies, including the
plaintiff. In particular, it had
affected the Mass Rapid Transit
Authority of Thailand project of which
the plaintiff was a contractor,
causing such project to be pending and
as a result delayed. The defendant’s
notice caused the plaintiff to be
fined and to sub - contract others for
the pile-driving instead. It destroyed
the plaintiff’s reputation and also
made the plaintiff disqualified from
state contract.
The plaintiff filed a suit
to revoke the defendant’s patent, on
the grounds that it lacked novelty,
inventive steps and was not capable of
industrial application. The plaintiff
claimed 1,000,000 Baht in
compensation.
The defendant argued that
he was the inventor of the pile
cushion. He realized that the former
pile cushions were ineffective. They
were made of sacks and many kinds of
wood and were cylindrical. As a
result, the defendant had carried out
experiments and researched many kinds
of wood, trying many things to improve
the structure and material of the pile
cushion. The defendant had also tested
the pile cushion with many companies,
including the plaintiff. Nobody
challenged his patent during the
application process. He protected his
intellectual property right in good
faith.
Issue
(1)
Whether the patent was invalid because
it lacked novelty.
(2)
Damages – Rights conferred by the
patent. Whether damages should be
awarded to the plaintiff.
3.
Ruling
The Central
Intellectual Property and
International Trade Court revoked
the defendant’s patent but did not
order compensation.
The Supreme Court
affirmed.
4. Opinion
Invalidity of patent
- The plaintiff successfully proved
that a driving pile for the building
first appeared in Thailand 40 years
ago. In order to protect a pile from
breaking while driving, a pile cushion
was needed. The plaintiff imported the
Hydraulic Hammer from Japan. The
Hydraulic Hammer had a pile cushion
made of expensive pinewood. The
plaintiff planned to use plywood
instead of pinewood. However, the
plaintiff was involved in too many
projects to make the pile cushions.
The defendant was employed as a sub
contractor providing about 10,000
pile cushions, which had been made of
tamarind wood since 2539-2541. All the
pile cushions that the defendant sold
to the plaintiff had the same pattern
as the defendant’s patent. The
defendants also sold a certain amount
of those pile cushions to other
companies. Afterwards, the plaintiff
and other companies found that the
defendant’s pile cushions did not work
well. So, they ceased their orders.
According to the fact that the
plaintiff, not the defendant, had
determined the pattern of the pile
cushion. Then the defendant had
produced an amount of 10,000 pile
cushions for the plaintiff costing
around one million Baht. Besides, the
defendant also sold the pile cushions,
made of tamarind wood, to many other
companies for the purpose of doing
business rather than testing as the
defendant alleged. Thus, the invention
of the defendant became widely known
or used by others in the country
before the date of application for the
patent. It formed part of the state of
the art as provided in section 6
paragraph 2(1)
of the Patent Act B.E. 2522 (1979).
The defendant’s invention lacked
novelty. The granting of the
defendant’s patent was not in
compliance with the provision of
section 5.
Thus, it could be cancelled by section
54.
Damages - In fact,
the pile cushions, which the plaintiff
used, were very similar to that of the
defendant’s patent. The differences,
if any, are only marginal. So, it was
reasonable to believe that the
defendant who owned the patent
exercised his right in good faith. His
act was not unlawful. The plaintiff
could not claim damages.
5. Keywords
applications for patents - invention -
novelty - forms part of the state of
the art - invalid patent - claim for
damages
Summarized and
Translated by
Kornkanya Suvanpanich
Edited by
Stephen
Lorriman