Links from this article:
Read the article here.

Under US patent law, a FRAND technology (fair, reasonable, and nondiscriminatory patent licensing) is standard and essential to the ongoing operation of a particular product. Thus companies that own such patents are not allowed to “gouge” licensees. Licensors should consider whether or not the license they are granting covers a FRAND technology, because if so, the licensor will be expected to provide its product or component to another company on fair and reasonable terms. These terms might differ significantly from what would otherwise be standard in the marketplace. Licensees will also want to know whether the technology they seek to use is covered by FRAND. This will place them in a stronger bargaining position.

This article concerns a lawsuit between Apple and Ericsson. The companies were in disagreement about whether the Ericsson LTE technology in Apple’s products is essential to cellular operation, and were in dispute over the fairness of a FRAND license extension Apple was expected to sign.

Read the article here.

Take away:

  • It is important for both licensors and licensees of patented IP to determine whether the IP is standard and essential to the ongoing operation of a particular product, and thus covered by the FRAND provisions of US patent law.

 

–  –  –

This article is provided for informational purposes only and does not create a lawyer-client relationship with the reader. It is not legal advice and should not be regarded as such. Any reliance on the information is solely at the reader’s own risk. Clausehound.com is a legal tool geared towards entrepreneurs, early-stage businesses and small businesses alike to help draft legal documents to make businesses more productive. Clausehound offers a $10 per month DIY Legal Library which hosts tens of thousands of legal clauses, contracts, articles, lawyer commentaries and instructional videos. Find Clausehound.com where you see this logo.

What you don't know can hurt you! Subscribe to stay informed.

Sign up now and receive an email when we publish new content.

We will never give away, trade or sell your email address. You can unsubscribe at any time.