https://www.linkedin.com/feed/update/urn:li:activity:7176163752449368065

Ericsson has made a FRAND-related procedural concession to Lenovo in proceedings before the England & Wales High Court of Justice:

Originally, Ericsson's first prayer for relief in the proceedings in the Eastern District of North Carolina was a declaration that "[Lenovo and its affiliated entities, particularly Motorola Mobility] have lost their rights to enforce Ericsson’s F/RAND contracts as third-party beneficiaries."

That prayer for relief would have had the following potential effect:

Upon a (final) determination by the U.S. court that Ericsson's proposed terms were FRAND and that Lenovo breached its own FRAND obligations by not taking a license on those terms, Lenovo would have lost its entitlement to a FRAND license. In other words, Ericsson could have enforced injunctive relief and pursued future royalties unless Lenovo would have agreed to terms exceeding Ericsson's official offer that is before the U.S. court to evaluate.

Lenovo went to the High Court in London to seek a preliminary injunction over one of its own SEPs, with enforcement being allowed unless Ericsson were to withdraw all of its own injunctions and injunction requests. Whether the UK court voiced concerns over that or whether Ericsson just didn't want to have to defend that litigation tactic in the first place, Ericsson now says that even if Lenovo was found to have failed to accept a FRAND offer, it would still get 30 days to do so (after the final decision).

This is what Ericsson communicated to the UK court with respect to its prayers for relief in North Carolina:

LM Ericsson has asked the Eastern District of North Carolina (“EDNC”) Court to adjudicate whether its cellular essential patent cross license offer to Lenovo complies with FRAND. If LM Ericsson’s offer is found to be FRAND, LM Ericsson will provide Lenovo 30 days from the EDNC Court’s entry of final judgment to enter into a global cellular essential patent cross licensing agreement consistent with Ericsson’s offered rate. If LM Ericsson’s offer is found to not comply with FRAND, LM Ericsson has already requested that the EDNC Court declare how LM Ericsson should revise its rates to bring them into compliance with FRAND and will provide Lenovo 30 days from the EDNC Court’s entry of final judgment to enter into a global cellular essential patent cross licensing agreement consistent with the EDNC Court’s ruling.