Enforcement securities at the UPC - an exception not the rule

🎂Short & Sweet 

• Enforcement securities at the UPC are the exception rather than the rule
• Defendants must present concrete evidence that they may not be able to recover any damages from the Claimant

🤷‍♀️Issues considered 

In certain UPC member states, such as Germany, national laws provide for a mandatory provision of security for the enforcement of a first instance judgment. And this is granted as usual practice. 

The situation at the UPC is different. Pursuant to Art. 82(2) UPCA, the enforcement of decisions may be made subject to the provision of a security for any damages suffered. 

However, in practice, the UPC only orders a security for enforcement in exceptional cases, namely if serious difficulties in recovering any potential damages from the Claimant may be expected (UPC_CoA_382/2024). This may be the case if the financial situation of the Claimant is difficult or if there are concrete indications that enforcing a damages claim against the Claimant will be practically impossible or at least extremely burdensome.

🫵What does this mean for you? 

When filing a request for an enforcement security, the Defendant must present detailed and concrete reasons why in the specific case there is a serious risk that it may not be able to recover any damages from the Claimant.

Cases relied upon: 

LD Düsseldorf, 16 June 2025 (CFI_140/2024)

LD Düsseldorf, 8 May 2025 (CFI_11/2024)

CoA, 30 April 2025 (CoA_768/2024)

LD Düsseldorf, 10 April 2025 (CFI_50/2024)

LD Mannheim, 2 April 2025 (CFI_365/2023)

LD Düsseldorf, 10 October 2024 (CFI_363_2023)