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Huawei – broader context and implications Huawei – broader context and implications

Huawei – broader context and implications - PowerPoint Presentation

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Huawei – broader context and implications - PPT Presentation

Juha Vesala Postdoctoral researcher University of Helsinki NIR 2016 Copenhagen 20 June 2016 Approach and logic of Huawei Exercise exceptional circumstances paradigm continued ID: 524231

sep seps situations licensing seps sep licensing situations product market holder context commitment circumstances frand ipr comparable commitments injunctive legitimate expectations cjeu

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Slide1

Huawei – broader context and implications

Juha Vesala

Post-doctoral researcher

University of Helsinki

NIR 2016

Copenhagen, 20 June 2016Slide2

Approach and logic of Huawei

Exercise

/

exceptional

circumstances

paradigm

continued

:

standard-setting

context

represents

exceptional

circumstances

distinct

from

previous

ones

identified

by CJEU

Indispensability

of SEPs for product market

competition

FRAND

licensing

commitments

given

in

exchange

of SEP status and

creating

legitimate

expectations

In this

context

,

seeking

injunctive

relief

can be

abusive

to the

extent

FRAND license

refused

due

to

concerns

about

product market

becoming

reserved

to SEP

holder

Effective

legal

remedies

cannot

be

denied

,

but

SEP

holder's

FRAND

commitment

justifies

the

imposition

of

preconditions

for

non-abusive

enforcementSlide3

Applicability to SEPs in

other

situations

CJEU's

reasoning

addresses

exclusion

from product market by SEP

holder

that is

active

on it –

does

not

explicitly

cover

injunctions

in

other

settings

(e.g. NPEs and

situations

where

foreclosure

concerns

are not major)

However

, the

generally

formulated

steps

imposed

on SEP

holders

would

seem

to

address

these

situations

quite

broadly

Assessment

of

other

abuses

(e.g.

excessive

royalties

)

could

also

be

influenced

by the framework

established

for

negotiations

Slide4

Implications

beyond

SEPs?

The logic of

abusiveness

(

indispensability

and

legitimate

expectations

) is not

unique

to SEPs

Comparable

circumstances

could

be

found

when

IPR

holders

give

licensing

commitments

in

other

situations

where

IPR is

indispensable

for

operating

on a product market and the

commitment

contributes

to the

technology

gaining

that

position

Open

source

licensing

Unilateral

de facto

standards

Comparable

abuse

could

also

be

alleged

when

IPR

holder

seeks

injunctive

relief

in a way that

justifies

limitation

on

effective

remedies

SEPs that

were

not

properly

disclosed

(no

licensing

commitment

)

Attempts

to

exploit

IP

litigation

system

(e.g.

costs

of

redesign

and

litigation

)