Oakley Inc v Animal Ltd & Ors

Oakley Inc v Animal Ltd & Ors

Regulation 12 of the Registered Designs Regulations 2001 is ultra vires as the Secretary of State lacked power under section 2(2) of the European Communities Act 1972 to implement a derogation not mandated by a Community obligation; the policy choice should have been made by Parliament. The derogation could not be...

Source-derived case information.

Parties
Claimant: Oakley Inc; Defendant: Animal Limited; Defendant: H Young Holdings PLC; Defendant: H Young (Operations) Limited; Interested Party: Secretary of State for Trade and Industry
Jurisdiction
England and Wales
Judgment Date
17 February 2005
Procedural Posture
Civil / Judgment on Preliminary Point of Law
Outcome
Regulation 12 is ultra vires unless revised to apply only to registrations made before 28 October 2001; preliminary point of law decided in favour of Animal unless ECJ reference sought by Oakley.
Legal Topics
Ultra Vires, Registered Designs, Implementation of EU Directives, King Henry VIII Clauses, Derogations, Severability
Constitutional Law Intellectual Property European Union Law Ultra Vires Registered Designs Implementation of EU Directives King Henry VIII Clauses Derogations +1 more

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Summary, issues, holding and outcome

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Parties

Oakley Inc

Claimant

Animal Limited

Defendant

H Young Holdings PLC

Defendant

H Young (Operations) Limited

Defendant

Secretary of State for Trade and Industry

Interested Party

Procedural Posture

Civil / Judgment on Preliminary Point of Law

Legal Issues

  1. 1 Whether Regulation 12 of the Registered Designs Regulations 2001 is ultra vires for implementing a derogation not mandated by a European obligation
  2. 2 Whether the Secretary of State had power under section 2(2) of the European Communities Act 1972 to make Regulation 12
  3. 3 Whether the derogation could be exercised after the Directive's implementation deadline

Ratio Decidendi

Regulation 12 of the Registered Designs Regulations 2001 is ultra vires as the Secretary of State lacked power under section 2(2) of the European Communities Act 1972 to implement a derogation not mandated by a Community obligation; the policy choice should have been made by Parliament. The derogation could not be exercised after the Directive's deadline. Regulation 12 is valid only if revised to apply to registrations made before 28 October 2001; otherwise, it is ultra vires.

Court Disposition

Regulation 12 is ultra vires unless revised to apply only to registrations made before 28 October 2001; preliminary point of law decided in favour of Animal unless ECJ reference sought by Oakley.

Orders

  • Regulation 12 takes effect subject to revision: only registrations applied for before 28 October 2001 may be governed by the old law of validity.
  • If Oakley seeks ECJ reference, question to be referred under Article 234 of the Treaty.