Shezhen Ske Technology Co. Ltd v Vapepen London Ltd & Ors

Facts

The claimant, Shenzhen SKE Technology Co. Ltd, is a Chinese e-cigarette manufacturer which sued Vapepen London Ltd, Mr Parmeet Singh Kukreja, Bargain Busting Limited and Mr Tarlochan Singh Bindra for infringement of UK Registered Design No. 6213529 and for passing off in relation to CRYSTAL branded e-cigarettes. The defendants deny infringement, challenge the validity of the design by reference to prior disclosures, and dispute SKE's goodwill; related proceedings IL-2024-000148, between SKE and the third defendant, are being jointly case-managed and are listed to be tried with this action. At a CCMC in December 2025 a split trial on liability was ordered, with a 14-day trial window commencing 11 January 2027, and costs budgets were approved. On 9 January 2026 the defendants issued this application for security for costs under CPR 25.27(b)(i) and CPR 25.27(b)(ii), seeking £880,000 paid into the Court Funds Office within 14 days, failing which the claim be struck out. Directions were given for expert evidence on Chinese law and the parties entered a confidentiality agreement enabling SKE to produce confidential financial material on a purpose-limited basis. SKE admitted the residence gateway but disputed impecuniosity, relied on the resources of its UK subsidiary and its majority shareholder, and complained of delay in bringing the application.