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Ericsson Accuses Apple of Bad Faith in Patent Royalty Talks in a new Lawsuit Filing filed Monday

1 cover Ericsson

 

It's being reported today that Ericsson AB filed a lawsuit Monday accusing Apple Inc. of engaging in unfair tactics to avoid paying royalties for the use of baseline 5G telecommunications technology.

 

Ericsson says it’s trying to renegotiate a license with Apple and is already encountering obstacles. It wants a federal judge to rule that Ericsson’s offer complies with requirements that royalty demands be fair and reasonable.

 

The two companies have been here before -- their earlier license was signed in 2015 only after protracted litigation. Then, Ericsson said, Apple filed a "surprise suit" challenging the validity of seven Ericsson patents and demanding that Ericsson provide proof for every single patent it claimed was part of an industry standard. 

 

"Despite receiving substantial revenues from its sales of iPhones and other cellular devices, Apple has historically resisted licensing overtures by Ericsson, and other essential patent holders, as part of a global strategy to devalue standard essential patents and reduce Apple’s royalty payments," Ericsson said in the complaint, filed in federal court in Marshall, Texas.

 

Ericsson said it’s publicly announced its royalty rates for 5G technology to handset makers, but Apple has argued that the rate doesn’t meet Ericsson’s obligations.

 

“Apple’s allegations of breach threaten Ericsson’s reputation and business,” the Stockholm-based networking company said in the complaint. For more read the full Bloomberg report.

 

10.4F - Patently Legal

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