UPC Court of Appeal UPC_CoA_719/2024 App_62076/2024 & UPC Court of Appeal UPC_CoA_720/2024 App_62078/2024
Back-and-forth between Düsseldorf LD and the Court of Appeal
The enforcement of Valeo’s UPC injunction, which had been granted on 31 October 2024, has experienced some back-and-forth between the Düsseldorf Local Division (“LD”) and the Court of Appeal (“CoA”). In the most recent Order, presiding Judge Dr. Klaus Grabinski, has decisively stayed the enforcement of the injunction, concerning the fulfilment of existing orders for the BMW 2 Series Gran Coupé. This marks the second stay by the Court of Appeal, involving the second standing judge.
Short recap
The initial injunctions that were issued on 31 October 21 (to be read here and here), included a narrow carve-out for specific BMW models, yet excluded the BMW 2 Series Gran Coupé. Magna argued for its inclusion, leading to the first stay by the Court of Appeal under presiding Judge Rian Kalden, pending the Court’s decision on rectification. However, on 20 November 2024 the Düsseldorf LD denied the rectification (on which I published a previous post). On the same day, Magna again filed an application for suspensive effect with the Court of Appeal.
Magna’s arguments
Magna objects to the reasoning of the Düsseldorf LD, first of all stating that ‘the model “BMW 2 Series Gran Coupé” was not introduced as such and the internal vehicle code “F74” was not linked to it by stating that the Court of First Instance never indicated that it wanted to include a list of exempted models in its order. Respectively, the significance of Manga’s list and BMW specific vehicle codes or model names never came up.’
Second, Magna argues ‘that the preliminary injunction as issued in the impugned order is based on the Court of First Instance’s own reasoning too broad and needs to be limited by way of extending the exemption to the model “BMW 2 Series Gran Coupé”’.
Magna asked the Standing Judge of the CoA to order that the appeal will have suspensive effect.
The Court of Appeal’s decision
President Dr. Grabinski determined that Magna’s interest in maintaining the status quo, allowing the Appeal Court to resolve the issue, ‘exceptionally outweighs’ Valeo’s interest in an immediate enforcement. Consequently, the effect of the Düsseldorf LD’s order is suspended until the panel of the CoA (panel 2 of the CoA) decides on Magna’s application for suspensive effect. To minimize the time until a final order on the application for suspensive effect will be issued by panel 2, Valeo has been ordered to comment on Magna’s request within 10 days.
Current status
Again, the CoA determines that the balance of interests falls to the side of Magna. As the enforcement has been stayed, Magna is able to maintain business continuity amidst the legal proceedings.
Valeo has been ordered to comment on Magna’s request for suspensive effect within 10 calendar days of the service of this order, which will be 1 December 2024.
Panel 2 of the CoA, consisting of Presiding Judge Rian Kalden, Judge Ingeborg Simonsson, and Judge Patricia Rombach, will ultimately decide on Magna’s request for suspensive effect.
