Amicable dispute resolution

1. Amicable dispute resolution in the field of intellectual property in general

Amicable dispute resolution procedures imply any judicial or extrajudicial procedure by which the parties seek to resolve the dispute amicably and reach a settlement regarding the subject matter of the dispute, with the help of a trusted third party (for example, a conciliator or mediator).

Such procedures are based on the voluntariness and procedural cooperation of the parties, and are conducted more quickly and efficiently than court proceedings, which are otherwise a regular means of legal protection in civil proceedings but are often expensive, time-consuming and exhausting for the parties.

Disputes in the field of intellectual property rights may be suitable for resolution in mediation proceedings because they are a type of commercial disputes that are related to violations of contractual and other business relationships between the parties and are often confidential in nature.

2. Conciliation (mediation) procedures before competent courts in the Republic of Croatia

Conciliation proceedings in Croatia can be conducted before courts competent in civil proceedings (for example, proceedings in a dispute over trademark infringement).

Conciliation proceedings are initiated during civil proceedings at the proposal of one party, if the opposing party accepts it, then at the joint proposal of the parties or at the proposal of the trial judge which may be presented to the parties during the civil proceedings, provided that both parties accept it.

Before initiating civil proceedings for the damages (except for proceedings for the damages from employment), the parties are obliged to attempt to resolve the dispute amicably, in accordance with Article 9 of the Act on Amicable Dispute Resolution (OG 67/2023).

The court before which civil or other proceedings are pending may, at a hearing or outside the hearing during the entire proceedings, issue a ruling instructing the parties to participate in an information meeting on mediation within a certain period of time, to initiate mediation or to take some other action for the purpose of amicable resolution of the dispute.

The parties may agree to submit a proposal for amicable dispute resolution even after filing an appeal, and then the amicable dispute resolution procedure will be conducted before a judge-mediator of the second-instance court.

The mediation procedure is confidential (everything presented during the mediation procedure remains confidential and cannot be used in litigation or outside of it). The provisions of the Act on Amicable Dispute Resolution shall apply accordingly to amicable dispute resolution procedures conducted in courts.

Successful mediation before the court ends with a settlement, the form and content of which are determined by the parties themselves. The settlement is concluded before a judge-mediator in the form of a court record and is equal to a court settlement. The settlement reached in mediation must not be contrary to law, morality, or the rights of third parties. The court settlement reached is enforceable.

Disputes in the field of intellectual property are suitable for resolution through court mediation, and in this procedure, judge-mediators will try to help the parties reach an agreement and amicably resolve the dispute.

Lists of judge-mediators have been established at commercial courts. The list of mediators is established by the president of the court.

3. Amicable dispute resolution procedures before other authorities in the Republic of Croatia

•  There is the Centre for Amicable Dispute Resolution established in Croatia for the purpose of creating better conditions for amicable resolution of disputes and avoiding unnecessary initiation of court proceedings. The centre maintains a register of mediators. Mediation out of court may be conducted by institutions and other authorities entered into the register of mediation institutions and legally authorised legal entities.

• The Conciliation Centre at the Croatian Chamber of Economy is an independent institution at the Croatian Chamber of Economy (HGK) that provides mediation services with an aim to achieve settlement in civil, commercial, labour and other property disputes regarding rights that the parties can freely dispose of. 
  
  Disputes in the field of intellectual property rights can also be resolved with this centre. 

  HGK has also established regional conciliation centres at county chambers of HGK, with headquarters in Koprivnica, Varaždin, Osijek, Pula, Rijeka and Split.
  Interested parties for mediation can contact them at: mirenje@hgk.hr.

• Croatian Mediation Association (HUM) has been established for amicable resolution of various kinds of disputes, among others, even commercial disputes. Mediation costs are borne by parties equally unless agreed otherwise; the costs are determined by HUM’s Cost Estimate. Mediation meetings are being conducted at the association premises, and they can be conducted online as well.

  Mediation procedures in disputes in the field of intellectual property can also be conducted with this association, and HUM recently signed an Agreement on Cooperation with the Chamber of Representatives in the field of industrial property rights, in order to strengthen the role of mediation in resolving this type of disputes. Mediation enables quick, confidential and flexible resolution of disputes with the help of mediators specialised in the field of intellectual property rights (for example, a dispute between two entrepreneurs over the right to use a certain trademark or industrial design).

  Interested parties for mediation can contact it at: hum.mirenje@gmail.com.

4. Other forms of amicable resolution of disputes or mediation in the field of intellectual property in the Republic of Croatia

• Council of Experts for Remunerations in the Field of Copyright and Related Rights
  
  The Copyright and Related Rights Act (OG 111/21) provides for specific issues under responsibility of the Council of Experts for Remunerations in the Field of Copyrights and Related Rights (mediation procedures in cases as referred to in Article 239 of the Act, rendering an opinion on the tariff proposal of organisations for collective management of copyright and related rights pursuant to Article 235 paragraph (6) of the Act and rendering other expert opinions as provided by the Act). 
  
  Information for contact and filing submissions for the Council of Experts are available here.
  
  The Copyright and Related Rights Act provides also for arbitration procedure in the process of setting tariffs of collective management organisation with the Standing Arbitration Court at the HGK (now Conciliation Centre at the HGK).

• Arbitration with CARNET on disputes regarding Internet domains

  
  Disputes regarding Internet domains can also be related to intellectual property rights, for example when the name of an Internet domain is identical or similar to the name of a previously registered trademark. The parties involved in this type of dispute can conduct proceedings before arbitration established with the CARNET. Arbitration procedure is conducted by an arbitrator individual appointed by the Committee managing the .hr domain from the list of arbitrators. Arbitration procedure is conducted by the “Arbitration Rules for Resolution of Domain Disputes”. Arbitration awards are publicly published and available at this link.

  The request to initiate an arbitration procedure with the CARNET is submitted at: registar@domene.hr, and detailed instructions on conducting a procedures are available here. 

5. Procedures before the EUIPO’s Conciliation Centre

The main types of procedures for amicable resolution of disputes are mediation and arbitration. There are also other techniques such as conciliation, expertise or early neutral evaluation.

Mediation is one of the most famous methods and it is being broadly and successfully applied in resolving various kinds of disputes. This is a structured procedure between two or more parties in dispute trying to achieve an amicable resolution of a dispute voluntarily and with the help of a mediator.

Intellectual property, like trademarks, industrial design, patents and copyright, make the crucial business assets. As with other business assets, intellectual property disputes can arise when other businesses infringe on your intellectual property rights or, conversely, when they believe you are infringing on their rights.

Disputes can lead to lengthy, unpredictable and expensive intellectual property litigation. The costs are not only related to the fees and costs of legal representation, but also to the time spent on conducting the proceedings, which is valuable time that could be spent on productive business activities instead. In addition, intellectual property is particularly susceptible to cross-border disputes that require global solutions, and traditional court procedures only encourage multi-domain battles.

Mediation and other forms of amicable dispute resolution can make the dispute resolution process more efficient. In addition, by focusing on the needs of the parties involved, amicable dispute resolution provides a cost-effective and confidential way of resolving disputes that is tailored to the situation and focused on the business interests of the parties.

Focus on what is important for your business and find information about how mediation can help you with it in the brochure titled Alternative Dispute Resolution Related to Intellectual Property.

Examples from the practice of amicable resolving of disputes related to intellectual property can be found in the publication titled Examples of Mediation Cases at the following link.

Conciliation Centre at the European Union Intellectual Property Office (EUIPO) provides amicable dispute resolution services to all parties involved in intellectual property disputes pending before the EUIPO.