Microsoft sues Samsung for breaking IP agreement

Managing IP is part of Legal Benchmarking Limited, 4 Bouverie Street, London, EC4Y 8AX

Copyright © Legal Benchmarking Limited and its affiliated companies 2024

Accessibility | Terms of Use | Privacy Policy | Modern Slavery Statement

Microsoft sues Samsung for breaking IP agreement

Microsoft has filed legal action against Samsung in the Southern District of New York for not complying with an IP cross-licensing agreement

“We don’t take lightly filing a legal action, especially against a company with which we’ve enjoyed a long and productive partnership,” explained David Howard, corporate vice-president and deputy general counsel at Microsoft, in a blog post. “Unfortunately, even partners sometimes disagree. After spending months trying to resolve our disagreement, Samsung has made clear in a series of letters and discussions that we have a fundamental disagreement as to the meaning of our contract.”

In 2011, Samsung entered into a legally binding contract with Microsoft to cross-license IP. Since then Samsung’s smartphone sales have quadrupled and it is now the leading worldwide player in the smartphone market. In 2011 it shipped 82 million Android smartphones, three years later it shipped 314 million Android smartphones.

“After becoming the leading player in the worldwide smartphone market, Samsung decided late last year to stop complying with its agreement with Microsoft,” said Howard. “In September 2013, after Microsoft announced it was acquiring the Nokia Devices and Services business, Samsung began using the acquisition as an excuse to breach its contract. Curiously, Samsung did not ask the court to decide whether the Nokia acquisition invalidated its contract with Microsoft, likely because it knew its position was meritless.”

Howard said Microsoft and Samsung have a long history of collaboration. “We are simply asking the Court to settle our disagreement and we are confident the contract will be enforced,” he said.


more from across site and ros bottom lb

More from across our site

Niall Trainor, managing attorney at Hasbro, says brands could boost their business with careful portfolio culling
A decision by the Paris Central Division will lead to more IP work for outside counsel, say sources
Courts are encouraged to deliver judgments within three months of a trial, but that deadline has been missed in several recent cases
Lawyers at Maiwald and Sterne Kessler analyse how patents with claims directed to medical treatments are handled in the US and in Europe
Michael DeVincenzo explains how he and his team convinced the Federal Circuit to find in favour of his client in a patent case against Salesforce
Funders and a litigator explain how litigation funding disclosure requirements could affect their business
We provide a rundown of Managing IP’s news and analysis from the week, and review what’s been happening elsewhere in IP
Discussions about whether to seek director reviews can come up frequently with clients, even though actual grant rates are rare
In the latest episode, we discuss why IP firms might be attractive to PE investors and bring you the latest news on submissions for next year’s IP STARS rankings
Back-to-back PE deals for IP firms in recent years show that IP firms are sitting on goldmines, so traditional partnerships should be open to change
Gift this article