An arbitration panel has ordered Qualcomm Inc. to pay $815 million plus attorneys’ fees and interest to resolve a dispute with Blackberry over a patent license agreement. Details of the arbitration are being kept private because of government, class action and licensee lawsuits involving Qualcomm licensing practices that are still pending. According to a statement issued by Qualcomm, the arbitration decided only the narrow issue of whether BlackBerry was entitled to refunds of royalties on phone and chip modem sales that exceeded per-unit caps. The refunds covered sales from 2010 through 2015.
It was reported that conditional rebates are one of the “licensing strategies” that has been getting Qualcomm in trouble with overseas antitrust regulators. A class action complaint had been filed in January in the Northern District of California.
This case is an example of the proper place for arbitration involving opposite parties with virtually equal power and strength. That’s never the situation when arbitration is forced on a consumer who has a dispute with a large corporation.
Source: Scott Graham, The Recorder
Contact us today for a free legal consultation with an experienced attorney.
Fields marked *may be required for submission.
If you would like to subscribe to the Jere Beasley Report digital edition, simply visit our Subscriptions page and provide the necessary information or call us at 800-898-2034.
Attorney Advertising - Prior results do not guarantee a similar outcome.