Latest updates

Knowledge of counterparty's insolvency in claw-back case
  • Insolvency & Restructuring
  • Sweden
  • December 15 2017

A bankruptcy estate may take action for the claw back of transactions that have been carried out in relation to a certain creditor before the initiation of bankruptcy proceedings, if such transactions have been adverse to the interests of other creditors. Certain transactions can be reversed during a five-year hardening period if the relevant creditor knew, or should have known, that the debtor was insolvent when the transactions were undertaken.

Supreme Court decides on enforceability of electronic promissory notes
Advokatfirman Törngren Magnell
  • Banking
  • Sweden
  • December 15 2017

A case regarding the enforceability of an electronic promissory note was recently decided by the Supreme Court. The court investigated whether the relevant electronic loan document was to be viewed as a non-negotiable or negotiable instrument, and settled that it was indeed a non-negotiable promissory note. This meant that the requirement to present an original document to the Enforcement Authority did not apply.

Insurance mediation or investment advice?
Magnusson
  • Insurance
  • Sweden
  • December 05 2017

The Supreme Court recently referred a case to the European Court of Justice (ECJ) concerning the demarcation of insurance mediation and investment advice, and the extent to which the statutory liability insurance for insurance intermediaries should respond to claims in respect of such services. In tandem with the ECJ proceedings, the Swedish Ministry of Finance proposed that the EU Insurance Distribution Directive 2016/97 be transposed into local law by way of introducing an insurance distribution act.

Franchising agreements – don't forget the arbitration clause
Sagell and Co
  • Franchising
  • Sweden
  • November 28 2017

Most franchise agreements in Sweden contain an arbitration clause. When entering into a settlement agreement a franchisor must ensure that the arbitration clause in the franchise agreement explicitly covers the settlement agreement. The easiest way to do this is to put an arbitration clause into the settlement agreement.

Pharmaceutical companies request Patent and Registration Office to reassess decisions
Advokatfirman Lindahl
  • Healthcare & Life Sciences
  • Sweden
  • November 22 2017

In eight landmark decisions, the Patent and Market Court of Appeal decided that the terms for already granted supplementary protection certificates (SPCs) should be recalculated in order to reflect a 2015 European Court of Justice decision regarding the method for calculating SPC terms under EU Regulation 469/2009. Several pharmaceutical companies that had been granted SPCs noted that the Patent and Registration Office's method of calculating SPC terms was not in line with EU law.

Jura novit curia in Swedish arbitration
Norburg & Scherp Advokatbyrå
  • Arbitration & ADR
  • Sweden
  • November 16 2017

The Svea Court of Appeal recently rejected City Säkerhet's motion to set aside an arbitral award. The judgment clarifies whether an arbitrator's application of a legal rule to which neither party referred in the arbitration may constitute grounds to challenge the arbitration award. The principle of jura novit curia (ie, the court knows the law), which is applicable in court proceedings, should also apply in Swedish arbitration unless otherwise agreed by the parties.

Competition Authority receives greater decision-making powers
Advokatfirman Lindahl
  • Competition & Antitrust
  • Sweden
  • November 02 2017

After years of intense debate, a new government bill will give the Competition Authority greater decision-making powers in relation to notified mergers in Sweden. An official government report states that the authority's decision-making powers should lead to an increased incentive for fast, high-quality decision making and eliminate time losses that might arise as a result of the authority preparing a lawsuit instead of a decision.

No presumption of imprisonment for copyright infringement
Advokatfirman Lindahl
  • Intellectual Property
  • Sweden
  • October 09 2017

The Supreme Court recently clarified that copyright infringement is not a crime where the presumed penalty is imprisonment. This decision marks a change in relation to previous case law regarding the penalty for copyright infringement through illegal file sharing. The Supreme Court has now aligned the view on the severity of IP infringements. This is a welcome development, although rights holders may have benefited from a stricter view and a development in the opposite direction.

Scope of public body's use of individual's exclusive right in course of trade
  • Media, Marketing, Sports & Entertainment
  • Sweden
  • September 28 2017

The Supreme Court recently outlined the assessment of the terms 'trader' and 'marketing' with regard to a municipality's use of a private individual's picture in newspaper advertisements and other informative material. After a city in a municipality had been named the European capital of culture, the municipality used a picture showing a person. The person sued the municipality for damages on the grounds that it had used the picture in marketing the municipality and its business without his consent.

Expanded rights for Swedish trade unions to act against foreign companies
Wistrand
  • Employment & Benefits
  • Sweden
  • September 13 2017

The legislature recently amended the law known as 'Lex Laval', according to which the right to conduct collective actions against foreign labour stationed in Sweden has been limited. The amendments in Lex Laval, which entered into force in June 2017, bring expanded rights for Swedish trade unions through collective actions by demanding that workplaces with foreign labour be covered by Swedish collective agreements.

Proportionality grounds for exemption from national species protection provisions
Advokatfirman Lindahl
  • Environment & Climate Change
  • Sweden
  • July 10 2017

The Land and Environment Court of Appeal recently determined a case regarding exemption from national provisions to protect the fungus species Sarcosoma globosum. While the ruling provides some nuance and clarification, the case has since been subject to interesting and varying interpretations by land owners, authorities and law practitioners.

Labour Court rules on compensation for damages
Wistrand
  • Employment & Benefits
  • Sweden
  • May 24 2017

Calculating compensation for damages can be complicated. The Labour Court recently ruled on this matter and made three individuals and their company liable to pay damages of several million Swedish kroner. It is the first case of its type and magnitude to be tried by a court of the highest instance. The Supreme Court has also decided that the dispute in question is a labour dispute, not a civil claims case.

Reversed burden of proof when appellate court rules on alleged loan
  • Company & Commercial
  • Sweden
  • May 22 2017

According to case law, a party is entitled to reclaim transfers of funds if it is undisputed that the transfer has occurred and the transferee has failed to provide sufficient evidence that he or she is entitled to keep the funds. This general rule was recently disputed in a case regarding several transfers of funds from one business partner to another acting in a joint development project.

Government presents extension of electricity certificate system and increased target
Advokatfirman Lindahl
  • Energy & Natural Resources
  • Sweden
  • May 22 2017

The government recently presented a bill to Parliament suggesting changes to the electricity certificate system – Sweden's primary support system for renewable energy. Producers of renewable energy receive one certificate per megawatt hour of renewable energy produced. The government is now proposing to extend the certificate system to 2045 and to increase total quota obligations with an additional 18 terrawatt hours until 2030.

Rights holders should be careful when requesting preliminary injunction
Advokatfirman Lindahl
  • Intellectual Property
  • Sweden
  • May 15 2017

The holder of an IP right which considers that right to be infringed will often seek a preliminary injunction. If the injunction is wrongfully granted and then overturned, the plaintiff is liable to pay damages to the defendant. A recent Supreme Court case discussed several issues relevant to proceedings concerning such damages and damages in general and is likely to be a leading case for years to come.

Supreme Court clarifies doctrine of connection
Norburg & Scherp Advokatbyrå
  • Arbitration & ADR
  • Sweden
  • May 11 2017

The Supreme Court recently allowed for court proceedings despite a valid arbitration agreement between the parties, because the legal grounds invoked by the claimant were outside the scope of the arbitration agreement. The court confirmed the doctrine of assertion and clarified the doctrine of connection.

New pricing principles applied in decision on orphan drugs
Advokatfirman Lindahl
  • Healthcare & Life Sciences
  • Sweden
  • April 12 2017

The Dental and Pharmaceutical Benefits Agency recently reassessed the reimbursement status of Cerezyme and VPRIV – two products indicated against Gaucher's disease – and decided to decrease the products' prices. This caused the marketing authorisation holders behind the products to withdraw them from the reimbursement system. Consequently, there is no longer a product against Gaucher's disease that is nationally reimbursed in Sweden.

Franchise agreements and lease agreements
Sagell and Co
  • Franchising
  • Sweden
  • March 28 2017

Franchise and lease agreements are different, but are usually bound together in an agreement bundle and signed simultaneously by the franchisor/landlord and the franchisee/tenant. These two agreements usually each contain a provision explicitly stating that they are dependent on each other. However, two sets of rules collide – the non-right of the franchisee to compensation according to the franchise agreement and the right of the tenant to compensation under tenant law.

Joint and several liability between debtors and effect of creditor's actions
Advokatfirman Törngren Magnell
  • Banking
  • Sweden
  • March 17 2017

The Supreme Court recently clarified how to interpret joint and several liability when the creditor settles with one of the debtors and simultaneously releases that party from any future claims. The court concluded that the foundation of a joint and several liability between debtors is that the debtor that repays more than its pro rata share of a loan has a right to recover and claim the exceeding amount from the other debtor or debtors.

New Climate Act – pioneering or meaningless?
Advokatfirman Lindahl
  • Environment & Climate Change
  • Sweden
  • March 13 2017

The Cross-party Committee on Environmental Objectives recently presented its final report, "A climate policy framework for Sweden". The Climate Policy Framework is a result of a cross-party political agreement that will supposedly make the climate a top issue in all policy work. The report resulted in a draft bill which was circulated for consideration. The Council on Legislation presented its views on the new Climate Act in February 2017.