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5 December 2023PatentsMuireann Bolger

Chinese court weighs in on Nokia FRAND dispute

OPPO has “an obligation to pay” for unlicensed period, insists Finnish multinational | Latest decision comes as companies await watershed ruling in India.

A Chinese court has favoured Nokia in its global clash with Oppo by issuing a determination based on fair, reasonable and non-discriminatory ( FRAND) terms, the Finnish telecoms multinational has confirmed.

The Chongqing First Intermediate People’s Court ruled that Guangdong-based Oppo is obliged to pay for the entire unlicensed period during which it used the Finnish company’s technology, according to a statement issued to WIPR.

Commenting on the decision, a Nokia spokesperson said: “The issuance of the Chongqing judgement shows that OPPO has an obligation to pay Nokia and that OPPO needs to make payments for the whole unlicensed period.

“All along our aim has been to resolve the dispute fairly and we remain focused on that goal.”

Ruling applies to China only

While noting that the decision’s impact is limited to “the Chinese jurisdiction only and represents only one view”, the company added that courts outside of China have also confirmed that OPPO is in breach of its commitments as a user of Nokia’s technology in open standards.

The spokesperson said: “Nokia has made fair offers to OPPO whereas OPPO has not made fair offers and is engaged in delaying tactics. We hope that OPPO now comes to the negotiation table and accepts its obligations to pay fair compensation for the use of Nokia's innovations.”

This latest development in the long-running feud comes as an Indian court mulls a FRAND-setting proposal that, if realised, could mark a watershed moment for the companies.

India could impose key decision

Last month, Nokia said that it was open to the New Delhi Court stepping in to set a FRAND rate that would be global, meaning that suits filed in the UK and China would be withdrawn.

Justice Prathiba Singh said that for matters to proceed for an expedited trial, it would need to be the suits asserting Nokia’s standard-essential patents (SEPs) and the implementation patent suits, rather than just the SEP suits as agreed by Nokia.

Oppo accepted this condition, while Nokia said it would seek instruction on the proposal.

In September, Oppo agreed to accept an injunction imposed by the High Court of England and Wales following patent suits filed by Nokia.

When faced with the decision of the UK court setting a global FRAND rate, or an injunction, the Chinese manufacturer opted for the latter.

WIPR has approached Oppo for comment.

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