Spain updates

Aviation

Contributed by Augusta Abogados
Supreme Court orders Iberia to cease using abusive terms and conditions
  • Spain
  • 19 December 2018

The Supreme Court (Civil Chamber) recently issued its judgment following cassation proceedings against a 2015 Madrid Provincial Audience judgment. The proceedings stemmed from a 2011 collective action against Iberia, which the Spanish Consumers and Users Organisation had filed with the Madrid Commercial Court in order to obtain the annulment of several clauses of Iberia's standard terms and conditions.


Employment & Benefits

Contributed by CMS Albiñana & Suárez de Lezo
Difference in severance for employees under service agreements and permanent employees is not discriminatory
  • Spain
  • 14 August 2019

In a preliminary ruling in a case referred to it by the Galicia High Court, the European Court of Justice has confirmed the existence of objective grounds which justify a difference in compensation paid on the termination of works contracts linked to a specific service (ie, 12 days' salary) and the termination of permanent contracts (ie, 20 days' salary). The Galician court must now decide whether the early termination of a service agreement falls under Article 52 of the Workers' Statute.

Is video surveillance valid evidence to justify dismissal on disciplinary grounds?
  • Spain
  • 31 July 2019

The Pamplona Labour Court recently ruled in a case concerning an employee who had been dismissed on disciplinary grounds for his involvement in a fight with a colleague, which had been captured on the CCTV installed in the workplace car park. Notably, the CCTV evidence was admissible under the Data Protection Act. However, as the act does not align with European Court of Human Rights case law and the EU General Data Protection Regulation, the court refused to accept the footage as evidence.

Daily recording of working hours: FAQs
  • Spain
  • 29 May 2019

Following the entry into force of Royal Decree 8/2019, companies are now required to record employees' working hours on a daily basis. This article addresses a number of key questions regarding this new obligation, including with regard to its scope, overtime, the recording system or method to be used and the applicable penalties.

New regulations aim to improve gender equality
  • Spain
  • 22 May 2019

The Royal Decree-Law on Urgent Measures to Guarantee Equal Treatment and Opportunities for Women and Men in Employment and Occupation recently came into force, amending the Workers Statute and the Equality Law. The decree-law, which applies to companies established in Spain, aims to improve gender equality between women and men, reinforce equal pay and enable parents to share childcare responsibilities.

Does time spent travelling to clients constitute working time?
  • Spain
  • 27 March 2019

A trade union recently filed a claim with the Castile and Leon High Court on behalf of 6,000 in-home carers, asking the court to declare that the time which the carers spent travelling between their home and their first and last clients of the day must be deemed working time in accordance with the applicable collective bargaining agreement. This is a controversial matter on which the Spanish labour courts have reached various conclusions.


Intellectual Property

Contributed by Grau & Angulo
Offering goods or services online may be decisive in determining territorial jurisdiction
  • Spain
  • 05 August 2019

Grifols, SA filed a lawsuit before the Barcelona courts against Algoritmos Procesos y Diseños, SA (APD) for infringement of a patent which protected a blister pack handling machine. Once the lawsuit was admitted, APD filed a declinatory plea due to lack of territorial jurisdiction. However, the court rejected APD's plea and pointed out that this was a case of forum choosing (rather than forum shopping) which illustrates the importance of patent owners' right to choose.

Criminal sentences handed down for sale of IP infringing souvenirs
  • Spain
  • 29 July 2019

Valencia Criminal Court Number 15 recently convicted the managers of a company operating in the souvenir industry for a crime against IP rights in accordance with the Criminal Code. In its decision, the court rejected the defendants' allegations of defencelessness, deeming that both the objective and subjective elements of Article 273 of the Criminal Code had been met based on the expert report and the raid conducted against the defendants in 2009.

Supreme Court recognises Modelo's right to register and use CONTINENTE mark
  • Spain
  • 22 July 2019

The Supreme Court recently declared a Madrid Court of Appeal judgment to be final, confirming the cancellation of Carrefour's CONTINENTE trademarks and recognising Modelo's right to register and use its CONTINENTE mark in Spain. The decision supports the previous case law criterion that protection cannot be sought for trademarks which are no longer used on the market.

Effectiveness of protective briefs in pharmaceutical patent matters
  • Spain
  • 15 July 2019

In order to better understand the usefulness of protective briefs, this article examines some recent cases that show that protective briefs can, in certain cases, reduce or even eliminate the risk of an ex parte preliminary injunction and the inconveniences associated therewith.

Exception to exhaustion of trademark rights principle enforceable for non-luxury marks
  • Spain
  • 01 July 2019

The Barcelona Court of Appeal recently revoked a judgment which had dismissed all of the claims filed by the owner and licensee of the MUSTELA trademark against its former distributor and various other companies. Notably, the court stated that EU doctrine and Spanish case law provide for an exception to the exhaustion of trademark rights principle with regard to luxury trademarks. However, this does not rule out the application of this exception to other trademarks in particular selective distribution cases.


Litigation

Contributed by Pérez-Llorca
Supreme Court rules on scope of mortgage liability
  • Spain
  • 06 August 2019

The Supreme Court recently confirmed that mortgage liability for interest claimed from third parties is limited to five years in accordance with the Mortgage Act. According to the court, this maximum mortgage coverage applies to all legal effects – regardless of whether these are favourable or adverse – and to agreements between mortgagees and mortgagors and between mortgagors and third-party acquirers.

New law protects tenants during eviction procedures
  • Spain
  • 14 May 2019

The Law on Urgent Measures Relating to Housing and Rental Matters recently entered into force, providing greater protection to tenants. The law has primarily amended the Civil Procedure Act, specifying that matters relating to leases where the claim can be quantified will be excluded from the scope of ordinary proceedings, and that summary proceedings can be initiated for certain amounts in accordance with the corresponding procedural rules.

Barcelona Court of Appeal confirms revocation of AFTERSUN mark
  • Spain
  • 07 August 2018

The Barcelona Court of Appeal recently confirmed the Barcelona Commercial Court 8 decision which upheld L'Oréal's revocation action against Laboratorios Genesse's AFTERSUN mark. L'Oréal had filed the revocation action against the mark due to its popularisation in the Spanish market. Laboratorios Genesse had filed a counterclaim alleging that L'Oréal's use of the expressions 'after sun' and 'after-sun' infringed its trademark rights.

Supreme Court rules on penalty clauses in lease agreements
  • Spain
  • 26 June 2018

The Supreme Court recently analysed the differences between compensatory and punitive penalty clauses in lease agreements and established the requirements for the latter to be valid. The court also ruled that a punitive penalty clause's amount cannot be reduced simply because the lessor enters into a new lease agreement immediately after recovering possession of the commercial premises.

Right of separation of minority shareholders and insolvency proceedings
  • Spain
  • 24 April 2018

Although Article 348bis was included in the Companies Act in 2011, its application was suspended until January 2017. Due to the constant delays in the provision's implementation, there is little case law on the matter and a lack of harmonised criteria for interpreting the provision and applying the right recognised therein. A recent A Coruna Court of Appeals decision on this matter is therefore significant, particularly because it analyses two questions which are likely to arise from the article's application.