ADMINISTRATIVE COUNCIL
Report on the 181st meeting of the Administrative Council of the European Patent Organisation (Munich, 10 and 11 December 2024)
The Administrative Council of the European Patent Organisation held its 181st meeting in Munich in a hybrid format on 10 and 11 December 2024 under its Chairperson Josef KRATOCHVÍL (CZ).
After the Chairperson's activities report, the Council noted the Office's comprehensive quarterly activities report, which highlighted the developments of the five drivers under the SP2028. Delegations and observers expressed their appreciation of the commitment to quality and congratulated the President, management and staff on the excellent results achieved, including the increase in the already high level of productivity. They welcomed the 2025 work plan with its focus on continuous improvement. The Council gave a favourable opinion on the plan, which will enable the Office to meet the challenges ahead while delivering high-quality services and products and further strengthening the patent system.
The Council unanimously re-elected Ms Borghildur Erlingsdóttir (IS) as Deputy Chairperson of the Administrative Council for a further term of office of three years, with effect from 27 March 2025. The Council also took a number of decisions on individual appointments and decided to:
- extend the term of office of Mr Hannes SCHUH (AT) as member of the Board of Auditors for a period of two years, with effect from 1 July 2025;
- reappoint Ms Sonya Anne BRANDER (GB/CA) as Chair of the Appeals Committee of the Administrative Council for a further term of office of three years, with effect from 1 January 2025;
- reappoint Ms Catherine MARGELLOU (GR) and Mr Javier VERA (ES) as members of the Boards of Appeal Committee for a further term of three years, with effect from 27 March 2025 and 1 April 2025 respectively.
The Council decided on the appointment and reappointment of members of the Boards of Appeal and of the Enlarged Board of Appeal, based on proposals by the President of the Boards of Appeal.
The Council unanimously adopted the establishment of an independent oversight mechanism for the processing of personal data by the Boards of Appeal in their judicial capacity.
The Council unanimously adopted the draft working agreements on search co-operation with Ireland, Montenegro and Switzerland and authorised their conclusion and signature by the President, bringing the number of contracting states having such co-operation with the EPO to 21. Building on the Office's proposals presented at the November meeting of the Committee on Patent Law, which followed the Council's request in October, the Council unanimously adopted the decision on implementing the 14th package of EU sanctions against Russia in proceedings before the EPO. Delegations welcomed a balanced solution enabling EU Member States to meet their obligations effectively, while also addressing the concerns of non-EU Contracting States in the Organisation.
With regard to diversity and inclusion, the Council unanimously adopted amendments to introduce gender-neutral language in the EPC Implementing Regulations as well as gender-neutral language in the EPO's Service Regulations and Implementing Rules.
Marking the completion of the modernisation of the EPO's external governance proposed by the Chairperson, the Council unanimously adopted the consolidation and update of the mandate of the Technical and Operational Support Committee (TOSC), and noted the related working arrangements.
Turning to personnel and operational matters, the Council gave a unanimous favourable opinion on the orientation paper on recruitment and talent planning 2025. The Council also adopted several decisions related to the yearly adjustments of salaries, allowances, and pension as well as the periodical review of the EPO's employment law framework.
As for financial and budget matters, the Council was presented with an extensive overview of the proposed risk management and monitoring framework developed as an outcome of the latest Financial Study and its key performance indicators. Welcoming the Office's continued emphasis on long-term financial sustainability, delegations conducted an exchange of views on various aspects of the study, including the proposed risk mitigation measures and the KPIs proposed. The Council approved the Organisation's € 2bn budget for 2025 and welcomed the projected record-high operating surplus.
The Council then noted the reports from the chairpersons of its various bodies on their recent meetings, namely of the Committee on Patent Law (CPL); the Select Committee; the TOSC; the Budget and Finance Committee; and of the Supervisory Board of the Reserve Funds for Pensions and Social Security (RFPSS). The Council also welcomed the presentation by the Office on divisional applications complementing the report by the CPL Chairperson.
Finally, the Council was updated on the validation system and considered its strategic aspects, including in view of potential future discussions. The Council welcomed the report by the Office on the latest Unitary Patent developments, exchanged on the legislative proposals regarding Supplementary Protection Certificates (SPC) being discussed at EU level, and noted the reports by the delegations of Hungary and Poland – the countries holding the Presidency of the EU Council in the second half of 2024 and in the first half of 2025 respectively – on their activities.