Ericsson’s bad-faith non-FRAND behavior leads Court of Appeal to declare terms for interim license
London – Today, the UK Court of Appeal has ruled in Lenovo’s favor in ongoing litigation with Ericsson regarding a cross-license between the parties relating to standard essential patents (SEPs).
The Court has determined Lenovo is entitled to an interim cross-license, in what is a landmark decision for SEP litigation underscoring the importance of complying with Fair, Reasonable, and Non-discriminatory (FRAND) obligations. Additionally, it has unanimously declared that, in seeking injunctions (and similar remedies) against Lenovo around the globe, Ericsson is acting in breach of its good faith FRAND obligation. The Court finds that Ericsson is using such tactics to “coerce” Lenovo to accept terms that may exceed what is FRAND.
This judgment reinforces Lenovo’s continued commitment as a willing licensee as well as its ongoing efforts to fight for transparency and fairness in global FRAND licensing in the face of patent holders seeking excessive rates for their SEP portfolios.
Commenting on the Court’s decision, Lenovo’s Chief Legal Officer, Laura Quatela, said: “Lenovo is grateful for the Court’s careful and objective analysis of the issues related to this case, and welcomes this landmark ruling and its broader implications for global SEP licensing and the technology industry. This judgment not only confirms that Lenovo is a willing licensee but strengthens and reaffirms our commitment to advocating for transparency and fairness in global FRAND licensing on behalf of our customers and the industry.”
Lenovo continues to welcome resolution with Ericsson and invites Ericsson to engage with the multiple FRAND offers Lenovo has made.
Read more about Lenovo’s ongoing commitment to ensure access to affordable innovation here.
Case details:
Case No: CA-2024-002821 heard before Lord Justice Newey, Lord Justice Arnold, and Lady Justice Falk.
The Court’s judgment is available here.
About Lenovo
Lenovo is a US$57 billion revenue global technology powerhouse, ranked #248 in the Fortune Global 500, and serving millions of customers every day in 180 markets. Focused on a bold vision to deliver Smarter Technology for All, Lenovo has built on its success as the world’s largest PC company with a full-stack portfolio of AI-enabled, AI-ready, and AI-optimized devices (PCs, workstations, smartphones, tablets), infrastructure (server, storage, edge, high performance computing and software defined infrastructure), software, solutions, and services. Lenovo’s continued investment in world-changing innovation is building a more equitable, trustworthy, and smarter future for everyone, everywhere. Lenovo is listed on the Hong Kong stock exchange under Lenovo Group Limited (HKSE: 992) (ADR: LNVGY). To find out more visit https://www.lenovo.com, and read about the latest news via our StoryHub.
