Patentees and licensors should enforce their patent rights as quickly as they can to avoid possible issues of conflicting limitation periods. This is an update to our post of 28 February 2025.
In 2016, JL Energy Transportation Inc. ("JL") commenced an action in Alberta against Alliance Pipeline and Aux Sable alleging that the Defendants had breached the licenses they entered into with JL and had infringed patents held by JL.
The Defendants succeeded in obtaining summary dismissal of the claim in 2024 on the basis that the general two-year limitation period under the Alberta Limitations Act had expired. In 2025, JL was successful in overturning the summary judgment decision by arguing that the applicable limitation period should instead be the six-year limitation period set out in section 55.01 of the Patent Act, and not the two-year limitation period in the provincial Limitations Act. The Defendants have now sought leave to appeal to the Supreme Court of Canada.
Given the potentially uncertain and evolving legal landscape around applicable limitation periods for patent infringement actions, litigants should strive to commence legal action quickly to avoid complications with conflicting limitation periods, which may be costly and time-consuming to deal with.
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