Abbott & Anor v Design & Display Ltd & Anor

Abbott & Anor v Design & Display Ltd & Anor

Abbott is entitled to the whole of Design & Display’s profit on 10% of sales of panels and inserts where the invention was the essential feature, and to the whole profit on 10% of sales of panels with separate infringing inserts where those sales were driven by the inserts. For the remaining 90% of sales, Abbott is entitled to the profit on the inserts plus 10% of the profit on the panels. Design & Display is entitled to deduct general overheads apportioned by sales revenue, but not directors’ emoluments (except for rent), as the evidential burden to justify such deductions was not met.

Parties
Claimant: OOO Abbott; Claimant: Godfrey Victor Chasmer; Defendant: Design & Display Limited; Defendant: Eureka Display Limited
Jurisdiction
England and Wales
Judgment Date
26 April 2017
Procedural Posture
Account of Profits (patent Infringement) / Remitted Determination of Issues Following Court of Appeal Decision
Outcome
Principles for apportionment and overhead deduction determined; parties to calculate final profit due accordingly.
Legal Topics
Account of Profits, Patent Infringement, Apportionment of Profits, Deductible Overheads, Convoyed Goods
Intellectual Property Patent Law Account of Profits Patent Infringement Apportionment of Profits Deductible Overheads Convoyed Goods

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Parties

OOO Abbott

Claimant

Godfrey Victor Chasmer

Claimant

Design & Display Limited

Defendant

Eureka Display Limited

Defendant

Procedural Posture

Account of Profits (patent Infringement) / Remitted Determination of Issues Following Court of Appeal Decision

Legal Issues

  1. 1 What proportion of sales of slatted panels sold with infringing inserts should be included in the account of profits?
  2. 2 What deductions for general overheads may the defendant make in its account of profits?

Ratio Decidendi

Abbott is entitled to the whole of Design & Display’s profit on 10% of sales of panels and inserts where the invention was the essential feature, and to the whole profit on 10% of sales of panels with separate infringing inserts where those sales were driven by the inserts. For the remaining 90% of sales, Abbott is entitled to the profit on the inserts plus 10% of the profit on the panels. Design & Display is entitled to deduct general overheads apportioned by sales revenue, but not directors’ emoluments (except for rent), as the evidential burden to justify such deductions was not met.

Court Disposition

Principles for apportionment and overhead deduction determined; parties to calculate final profit due accordingly.

Orders

  • Abbott entitled to whole profit on 10% of sales of panels and inserts where invention was essential feature.
  • Abbott entitled to whole profit on 10% of sales of panels with separate infringing inserts where sales were driven by the inserts.