Stanway Oyster Cylinders Pty Ltd v Marks, Clement Rex

Case [1996] FCA 526


FEDERAL COURT OF AUSTRALIA                  )          No. NG 85 of 1994

NEW SOUTH WALES DISTRICT REGISTRY   )

GENERAL DIVISION  )

BETWEEN:   STANWAY OYSTER CYLINDERS PTY LTD
  (A.C.N. 003 320 232)

Applicant

AND:             CLEMENT REX MARKS

Respondent

MINUTES OF ORDERS

JUDGE MAKING ORDER:  Drummond J
DATE OF ORDER:  26 June 1996
WHERE MADE:  Brisbane

THE COURT:

  1. DECLARES that the respondent has infringed claims 1, 2, 4, 6 and 7 of Australian Letters Patent No. 556338 (“the patent”).

  2. ORDERS that the respondent by himself, his servants and agents or otherwise be restrained from importing, manufacturing or having manufactured for him, hiring, selling, offering for sale, by way of trade distributing or using any apparatus for growing molluscs, being an infringement of the patent.

  3. ORDERS that the respondent by himself, his servants and agents or otherwise be restrained from importing, manufacturing or having manufactured for him, hiring, selling, offering for sale, by way of trade distributing or using the apparatus:

    (a)an example of which is Exhibit CRM-1; and

    (b)examples of which are depicted in the photographs and drawings being Exhibits “NJA-2”, “NJA-2A”, “NJA-3” and

“NJA-4” to the affidavit of Neville John Anderson sworn on 7 June 1994.

  1. ORDERS that the respondent deliver up on oath to the applicant for destruction all materials and articles in the possession, custody or power of the respondent the making, use or sale of which by the respondent would constitute an infringement of the patent, including all examples of the apparatus referred to in Order 3.

  2. STANDS OVER the proceedings before a Judge of the Court in Sydney for the giving of directions in relation to damages or an account of profits.

  3. ORDERS that the time allowed to the respondent by the Rules for appealing or for seeking leave to appeal from this judgment and orders be extended by seven days.

  4. ORDERS that the respondent pay the applicant’s costs of and incidental to the proceedings, including the cross-claim.

NOTE:           Settlement and entry of orders is dealt with in Order 36 of the Federal Court Rules.

FEDERAL COURT OF AUSTRALIA                  )          No. NG 85 of 1994

NEW SOUTH WALES DISTRICT REGISTRY   )

GENERAL DIVISION  )

BETWEEN:   STANWAY OYSTER CYLINDERS PTY LTD
  (A.C.N. 003 320 232)

Applicant

AND:             CLEMENT REX MARKS

Respondent

Coram:          Drummond J
Date:              26 June 1996
Place:            Brisbane

REASONS FOR JUDGMENT

The applicant seeks its costs of the claim and the cross-claim on an indemnity basis.

This application is founded on my finding that the respondent and his son (with Mr Mudford’s assistance) put up a concocted defence on the issue of novelty.

But this particular defence, which was based on their having devised and used oyster tumblers before the priority date of the patent, involved only some of the issues litigated.  Although the applicant was ultimately successful, the respondent had considerable success on a number of the other matters canvassed

in the proceedings, eg, whether the Mohr device in evidence was capable of being an anticipation of the applicant’s patent and whether the evidence of Mr Cole and other witnesses established non-user by the respondent and by Mr Mudford of tumblers before the priority date.

There is no sufficient reason, in my opinion, to depart from the ordinary rule that the applicant should have its costs of and incidental to the proceedings, including the cross-claim, but on a party-and-party basis only.

The short minutes of orders brought into Court by the applicant in accordance with my direction provide for an injunction restraining, inter alia, the importation of infringing apparatus; they also permit of a deferral by the applicant of its election between damages and an account of profits.  There is no objection to orders being made in accordance with these short minutes.  I will therefore make a declaration and orders in those terms, together with the order for costs which I have indicated.

The respondent seeks a stay of the judgment for seven days on the assumption that it is a final judgment and that, with the stay, he will have 28 days to decide whether to file an appeal.  The applicant is prepared to consent to a seven day stay, but points out that the judgment that I will now pronounce is interlocutory because it leaves undetermined the amount of damages or the amount that may be due on an account of profits, according to the election the applicant ultimately makes.

The purpose of the stay that is sought is to give the respondent additional time to consider whether to appeal.  Neither a stay of execution under O 37, r 10 of the Federal Court Rules nor an order postponing the date on which the judgment shall take effect under O 35, r 3 would appear to achieve that.  Since, however, the applicant is prepared to agree to the respondent having an additional seven days to the time allowed by the rules to decide whether to institute an appeal, I will extend, by seven days, the time affixed by the rules within which the respondent must file his notice of appeal or his application for leave to appeal, whichever be appropriate.

I certify that this and the preceding 2 pages
are a true copy of the reasons for judgment
herein of the Honourable Justice Drummond.

Associate:

Date:              26 June 1996

Details
AGLC
Stanway Oyster Cylinders Pty Ltd v Marks, Clement Rex [1996] FCA 526
Case
[1996] FCA 526
Decision Date

CaseChat Overview and Summary

Stanway Oyster Cylinders Pty Ltd sought to enforce its rights under Australian Letters Patent No. 556338 against Clement Rex Marks. The applicant alleged that the respondent had infringed several claims of the patent by importing, manufacturing, and distributing apparatus for growing molluscs. The Federal Court of Australia, presided over by Drummond J, was tasked with determining whether the respondent's activities constituted an infringement of the patent and, if so, to provide appropriate relief.

The court had to decide whether the respondent had indeed infringed claims 1, 2, 4, 6, and 7 of the patent. This involved examining the specifics of the patent claims and comparing them with the respondent's actions. The court also needed to determine the scope of the relief that should be granted to the applicant, including whether an injunction should be issued to prevent further infringement and what form that injunction should take. Additionally, the court had to consider the appropriate costs order given the nature of the defence mounted by the respondent.

In delivering the judgment, Drummond J found that the respondent had infringed the specified claims of the patent. The court detailed the infringement by referencing specific exhibits that illustrated the apparatus in question. Drummond J noted that while the respondent had some success on other issues, such as the capability of a particular device to anticipate the patent and evidence of non-use before the priority date, the overall defence was unconvincing. The court concluded that the applicant was entitled to an injunction against the respondent’s infringing activities and ordered the respondent to deliver up all infringing materials for destruction. Drummond J also granted an extension to the respondent’s time to appeal and ordered the respondent to pay the applicant's costs on a party-and-party basis.

The court issued a declaration confirming the infringement and an injunction against the respondent's activities. The respondent was required to deliver up all materials related to the infringement for destruction and was ordered to pay the applicant's costs. The proceedings were stood over for further directions regarding damages or an account of profits.

Orders

Orders of the court

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

Reasons for decision

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Ratio Decidendi

Legal Principle Established

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