Serving England & Wales since 2008
Commercial Snapshot Quarter One
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Kidwells Solicitors
Emotional Perception AI Ltd v Comptroller General of Patents, Designs and Trade Marks
The UK Supreme Court ruled on 11 February 2026 that Emotional Perception AI’s system using artificial neural networks could be considered patenteligible, clarifying how the exclusion of computer programs ‘as such’ should be interpreted. The Court shifted away from the rigid Aerotel framework and aligned more closely with the European Patent Office by focusing on whether an invention uses technical means. It confirmed that artificial neural networks (ANNs) are computer programs but held that claims are excluded only when they relate to a computer program as such, meaning inventions involving technical means generally pass the eligibility threshold. However, passing this threshold does not guarantee patentability, as inventions must still be novel, inventive, and include features contributing to technical character. Overall, the decision clarifies UK law, reduces uncertainty for AI and software innovators, and brings UK and European patent practices into closer alignment.
EU and UK sign competition cooperation agreement
On the 25th February 2026, the EU and UK signed a formal framework for cooperation on competition matters, marking their first dedicated post‑Brexit competition agreement. It requires both sides to notify each other of significant antitrust and merger investigations and coordinate when necessary. The agreement also facilitates the exchange of confidential information, subject to companies’ consent, strengthening cross‑Channel enforcement predictability. It extends cooperation not just between the European Commission and the UK’s CMA but also with all 27 EU national competition authorities, restoring pre‑Brexit interaction levels. Overall, it signals a mutual commitment to closer, more structured enforcement coordination after a period of informal, ad hoc collaboration.
Data (Use and Access) Act 2025
The Data (Use and Access) Act 2025 (DUAA) aims to modernise UK data laws by reducing red tape while supporting innovation, including in areas like AI. It introduces major reforms such as expanding Smart Data schemes, creating digital identity verification frameworks, and establishing a National Underground Asset Register. The Act also updates privacy rules by simplifying compliance, clarifying lawful bases for processing (including new “recognised legitimate interests”), and supporting broader consent for scientific research. It restructures the UK’s data regulator into a new Information Commission with enhanced powers and responsibilities, including a stronger focus on innovation and children’s privacy. For businesses, the DUAA brings both new flexibilities and new duties, meaning organisations should review policies, update processes around consent, cookies, SARs, and children’s data, and ensure readiness for changes in automated decision‑making and international data transfers.
AI in the Justice System
Is AI coming to the justice system? We saw during the covid period a number of challenges in the use of technology in the justice system, but now, fast forward 5 years and we are talking about how AI can be used. A plan is due to be published in 2026 and we can’t wait to see the details behind the proposal on how the courts see this being implemented. Is this likely to be delayed like the UK AI Bill? We are hearing lots of noise on AI being used by the Government, but the legislation seems far off!
The Draft Procurement (Amendment) Regulations 2026
From 1st April 2026, the legislation is expected to introduce changes to the current procurement regulations. The regulations introduce strengthened transparency requirements, including the obligation for contracting authorities to publish all payments over £30,000 made under public contracts. Suppliers awarded belowthreshold contracts will also be required to register on the Central Digital Platform. This draft regulation was debated in parliament on 11 March 2026 and if approved it will further embed the transparency and reporting framework, with practical implications for contracting authorities and suppliers operating below existing thresholds. Businesses need to understand these potential upcoming changes and the change in publishing requirements for future opportunities.
What’s in a name? Name Rights in Intellectual Property Law
After her recent collaboration with Zara, perfumier Jo Malone is being sued for trade mark infringement, passing off, and breach of contract by Estée Lauder Companies. The basis for the lawsuit is that the right to Jo Malone’s name was bought by Estée Lauder along with her perfume brand in 1999.
A successful lawsuit for trade mark infringement, passing off and breach of contract can have serious financial consequences. The courts have shown that they are willing to uphold the contractual terms of such sales, which is why sellers must consider the long-term practical ramifications of selling the right to use their own name for commercial uses.
This also impacts collaborators and potential long-term business ventures – Zara UK is also being sued by Estée Lauder for trade mark infringement and breach of contract. Parties must ensure that proper due diligence is done before entering commercial relations, to ensure that risks of a potential IP infringement are mitigated.
Individuals must also consider the long-term costs and balance them with the benefits of a short-term payout. Depending on how the contract is drafted, the restrictions can apply very stringently