Unwired Planet International Ltd v Huawei Technologies Co Ltd & Ors

Unwired Planet International Ltd v Huawei Technologies Co Ltd & Ors

The allegation that Ericsson failed to transfer a FRAND obligation to Unwired Planet is unarguable and must be struck out; the MSA and subsequent conduct ensured Unwired Planet is bound by FRAND. However, the second and third alleged breaches—relating to the structure of the MSA, Ericsson's ongoing revenue share, and specific MSA clauses—raise properly arguable competition law issues that should go to trial. Ericsson, by joining the proceedings without reservation, affirmed the court's jurisdiction over Samsung's indemnity counterclaim, and thus a stay under the Arbitration Act is refused.

Parties
Claimant: Unwired Planet International Limited; Defendant: Huawei Technologies Co. Limited; Defendant: Huawei Technologies (UK) Co. Limited; Defendant: Samsung Electronics Co. Limited; Defendant: Samsung Electronics (UK) Limited; Defendant: Google Inc.; Defendant: Google Ireland Limited; Defendant: Google Commerce Limited; Ninth Party: Unwired Planet Inc.; Tenth Party: Unwired Planet LLC; Eleventh Party: Telefonaktiebolaget L M Ericsson
Jurisdiction
England and Wales
Judgment Date
21 July 2015
Procedural Posture
Patent and Competition Law Application / Interlocutory Application for Strike Out/summary Judgment and Stay
Outcome
Application partially allowed, partially dismissed
Legal Topics
Standard Essential Patents (seps), FRAND Obligations, Article 101 TFEU, Patent Licensing, Non Practising Entities (npes), Arbitration Stay, Summary Judgment, Strike Out Applications
Intellectual Property Competition Law Contract Law Civil Procedure Standard Essential Patents (seps) FRAND Obligations Article 101 TFEU Patent Licensing +4 more

Case Brief

Summary, issues, holding and outcome

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Parties

Unwired Planet International Limited

Claimant

Huawei Technologies Co. Limited

Defendant

Huawei Technologies (UK) Co. Limited

Defendant

Samsung Electronics Co. Limited

Defendant

Samsung Electronics (UK) Limited

Defendant

Google Inc.

Defendant

Google Ireland Limited

Defendant

Google Commerce Limited

Defendant

Unwired Planet Inc.

Ninth Party

Unwired Planet LLC

Tenth Party

Telefonaktiebolaget L M Ericsson

Eleventh Party

Procedural Posture

Patent and Competition Law Application / Interlocutory Application for Strike Out/summary Judgment and Stay

Legal Issues

  1. 1 Whether allegations of breach of Article 101 TFEU against Ericsson should be struck out or go to trial
  2. 2 Whether the transfer of SEPs from Ericsson to Unwired Planet failed to transfer a FRAND obligation
  3. 3 Whether dividing Ericsson's patent portfolio and the structure of the MSA is anti-competitive under Article 101 TFEU

Ratio Decidendi

The allegation that Ericsson failed to transfer a FRAND obligation to Unwired Planet is unarguable and must be struck out; the MSA and subsequent conduct ensured Unwired Planet is bound by FRAND. However, the second and third alleged breaches—relating to the structure of the MSA, Ericsson's ongoing revenue share, and specific MSA clauses—raise properly arguable competition law issues that should go to trial. Ericsson, by joining the proceedings without reservation, affirmed the court's jurisdiction over Samsung's indemnity counterclaim, and thus a stay under the Arbitration Act is refused.

Court Disposition

Application partially allowed, partially dismissed

Orders

  • First alleged breach of Article 101 TFEU against Ericsson struck out
  • Second and third alleged breaches to proceed to trial