Intel Corporation v Via Technologies Inc & Ors [2002] EWHC 1159 (Ch) (14 June 2002)

Intel Corporation v Via Technologies Inc & Ors [2002] EWHC 1159 (Ch) (14 June 2002)

The court held that the competition law defences raised by VIA, including abuse of dominant position and anti-competitive agreement, disclosed arguable issues of law and fact that could not be determined summarily or struck out as abusive. The issues concerning the scope and effect of the licence agreements, the alleged abuse of dominance, and the compatibility of the contractual restrictions with competition law required full investigation at trial. Accordingly, Intel's applications to strike out the defences or for summary judgment were refused.

Citation
[2002] EWHC 1159 (Ch)
Parties
Claimant: Intel Corporation; Defendant: VIA Technologies Inc; Defendant: Elitegroup Computer Systems (UK) Limited; Defendant: VIA Technologies (Europe) Limited; Defendant: Realtime Distribution Limited
Jurisdiction
England and Wales
Judgment Date
14 June 2002
Procedural Posture
Patent and Competition Law Claim (two Actions: Chipset and Cpu) / Application by Intel to Strike Out Defences or for Summary Judgment on Defence and Counterclaim
Outcome
Intel's applications to strike out the competition law defences or for summary judgment refused; defences to proceed to trial.
Legal Topics
Patent Licensing, Abuse of Dominant Position, Anti Competitive Agreements, Cross Licensing, Market Partitioning, Refusal to License, Settlement Agreements, Article 81 EC Treaty, Article 82 EC Treaty, Competition Act 1998
Intellectual Property Competition Law Contract Law European Union Law Patent Licensing Abuse of Dominant Position Anti Competitive Agreements Cross Licensing +6 more

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Parties

Intel Corporation

Claimant

VIA Technologies Inc

Defendant

Elitegroup Computer Systems (UK) Limited

Defendant

VIA Technologies (Europe) Limited

Defendant

Realtime Distribution Limited

Defendant

Procedural Posture

Patent and Competition Law Claim (two Actions: Chipset and Cpu) / Application by Intel to Strike Out Defences or for Summary Judgment on Defence and Counterclaim

Legal Issues

  1. 1 Whether Intel's refusal to license patents or its licensing terms constitute an abuse of dominant position under Article 82 EC Treaty and/or section 18 Competition Act 1998
  2. 2 Whether the restrictions in the chipset licence agreements are void or unenforceable under Article 81 EC Treaty and/or section 2 Competition Act 1998
  3. 3 Whether VIA is already licensed under the revised chipset licence agreement for Pentium 4 chipsets

Ratio Decidendi

The court held that the competition law defences raised by VIA, including abuse of dominant position and anti-competitive agreement, disclosed arguable issues of law and fact that could not be determined summarily or struck out as abusive. The issues concerning the scope and effect of the licence agreements, the alleged abuse of dominance, and the compatibility of the contractual restrictions with competition law required full investigation at trial. Accordingly, Intel's applications to strike out the defences or for summary judgment were refused.

Court Disposition

Intel's applications to strike out the competition law defences or for summary judgment refused; defences to proceed to trial.

Orders

  • Applications to strike out or for summary judgment dismissed.
  • Defences and counterclaims to proceed to trial.