Samsung Electronics Co., Ltd & Anor v ZTE Corporation & Ors [2025] EWCA Civ 1383 (31 October 2025)

Samsung Electronics Co., Ltd & Anor v ZTE Corporation & Ors [2025] EWCA Civ 1383 (31 October 2025)

Unless there is a legitimate and substantiated objection to the forum in question, it does not constitute bad faith for a SEP owner to seek to force an implementer to accept determination of FRAND terms by the SEP holder's preferred court rather than the implementer's preferred court. The fact that the English court was first seised is not determinative. The declarations granted by the High Court (except for the jurisdictionally neutral declaration 2) should be set aside as there was no bad faith by ZTE.

Citation
[2025] EWCA Civ 1383
Parties
Claimant/respondent: Samsung Electronics Co., Ltd; Claimant/respondent: Samsung Electronics (UK) Limited; Defendant/appellant: ZTE Corporation; Defendant/appellant: ZTE (UK) Limited; Defendant/appellant: Nubia Technology Co., Ltd; Defendant/appellant: Livewire Telecom Limited; Defendant/appellant: Efones.com Limited
Jurisdiction
England and Wales
Judgment Date
31 October 2025
Procedural Posture
Appeal (civil) / Court of Appeal Judgment on Appeal From High Court (patents Court)
Outcome
Appeal allowed. Declarations 1, 3, and 4 set aside. Declaration 2 (jurisdictionally neutral interim licence) provisionally left standing, subject to further submissions.
Legal Topics
Standard Essential Patents (seps), FRAND Licensing, Jurisdictional Conflict, Interim Licence Declarations, Comity, Bad Faith in Negotiations, Forum Shopping
Intellectual Property Law Patent Law Civil Procedure Standard Essential Patents (seps) FRAND Licensing Jurisdictional Conflict Interim Licence Declarations Comity +2 more

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Parties

Samsung Electronics Co., Ltd

Claimant/respondent

Samsung Electronics (UK) Limited

Claimant/respondent

ZTE Corporation

Defendant/appellant

ZTE (UK) Limited

Defendant/appellant

Nubia Technology Co., Ltd

Defendant/appellant

Livewire Telecom Limited

Defendant/appellant

Efones.com Limited

Defendant/appellant

Procedural Posture

Appeal (civil) / Court of Appeal Judgment on Appeal From High Court (patents Court)

Legal Issues

  1. 1 Whether it constitutes bad faith for a SEP owner to commence infringement proceedings in multiple courts to force an implementer to accept FRAND determination by the SEP owner's preferred court rather than the implementer's preferred court
  2. 2 Whether the English court being first seised is determinative for forum selection in FRAND disputes
  3. 3 Whether the declarations granted by the High Court were contrary to comity

Ratio Decidendi

Unless there is a legitimate and substantiated objection to the forum in question, it does not constitute bad faith for a SEP owner to seek to force an implementer to accept determination of FRAND terms by the SEP holder's preferred court rather than the implementer's preferred court. The fact that the English court was first seised is not determinative. The declarations granted by the High Court (except for the jurisdictionally neutral declaration 2) should be set aside as there was no bad faith by ZTE.

Court Disposition

Appeal allowed. Declarations 1, 3, and 4 set aside. Declaration 2 (jurisdictionally neutral interim licence) provisionally left standing, subject to further submissions.

Orders

  • Declarations 1, 3, and 4 of the High Court order are set aside.
  • Parties given opportunity to make submissions on whether declaration 2 should remain.