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20 October 2020PatentsSarah Morgan

Nokia to enforce SEP injunction against Lenovo

Nokia is today enforcing an injunction against technology company Lenovo in Germany, following the judgment of a Munich court in September.

Late last month, the Munich Regional Court found that Lenovo was infringing one of Nokia’s standard-essential patents (SEPs) relating to video compression technology.

The Munich court rejected Lenovo’s assertion that Nokia had not complied with its fair, reasonable, and non-discriminatory (FRAND) obligations and ordered an injunction, a recall of products from retailers and other distributors, past damages, accountings and costs.

Lenovo’s PCs, laptops and tablets were allegedly using the SEP, European patent number 1,433,316, which covers standardised H.264 (video compression technology) decoding functionalities.

“‘Legal action is never our preferred option, but Lenovo has been unwilling to enter into discussions, despite a clear judgment confirming their unauthorised use of Nokia’s patented technology,” said a spokesperson for Nokia.

They added: “Lenovo can easily resolve this matter by accepting their responsibilities and agreeing a licence on fair terms. Our door is open for Lenovo to resolve the matter through good faith negotiation.”

Lenovo has appealed against the Munich court’s ruling, claiming that Nokia had violated its own legal obligations by refusing to license its technology on FRAND  terms to either Lenovo or its third-party suppliers whose parts include H.264 technology.

“As a major patent holder around the world, Lenovo has the utmost respect for the work and investment that goes into innovating,” said the spokesperson.

They added: “We believe the availability of standardised technologies on FRAND terms is critical for the future of the global tech industry and the proliferation of affordable innovation to customers around the world. Nokia’s licensing practices threaten this access.”

Lenovo products which have already been purchased by consumers will not be affected and the judgment only applies in Germany.

In recent months, a series of SEP decisions have been issued in Germany.

Earlier this month, Japan-based Sharp signed an SEP licensing agreement with Daimler, one month after securing a patent victory against the automotive company before the Munich Regional Court.

In May, the German Federal Court of Justice handed down a landmark decision in Sisvel v Haier. Patent pool operator Sisvel claimed victory over Haier, alleging that the decision is a win for SEP owners against “efficient infringement” strategies.

Next month, the Düsseldorf Regional Court is expected to hand down a ruling on a patent dispute between Daimler and Nokia, in a case which has raised major antitrust questions over patent licensing.

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7 October 2020   Japan-based Sharp has signed a standard-essential patent licensing agreement with Daimler, one month after securing a patent victory against the automotive company in Germany.
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3 November 2020   A German appeals court has lifted the enforcement of an injunction secured by Nokia against Lenovo in a standard-essential patent suit.
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9 April 2021   Nokia and Lenovo have settled a global patent dispute over video compression technology, ending litigation that spanned across multiple continents since 2019.