Introduction - Often, an industry-adopted technical standard includes technology covered by patents, and the owners of these patents agree to license the patents on fair, reasonable, and non-discriminatory (FRAND) terms as part of the standard-setting process. This article explores options available to the patent owners when a member of the industry declines to accept a license on terms deemed to be FRAND by the patent owner, and nevertheless, implements the standard.
A technical standard may be defined as an established norm or requirement which provides a common design for a product or process. Examples of technical standards include application programming interfaces, communication protocols (e.g., Wi-Fi and Ethernet), and computer hardware standards (e.g., USB and HDMI), to name a few. While some technical standards may arise as the result of widespread use and acceptance in a market (i.e., “de facto” standards) or a government mandate (i.e., “de jure” standards), in many instances, the adoption of a technical standard is determined by a standard setting organization (SSO) including manufacturers, engineers, and users of a given industry.
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Topics: Essential Patents, FRAND, FTC, Injunctions, Patents, SSO
Published In: Civil Remedies Updates, General Business Updates, Intellectual Property Updates, Science, Computers & Technology Updates
DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.
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