Judge Finds Patents Valid and Enforceable but Not Infringed;
InterDigital to Petition for Review by Full Commission
KING OF PRUSSIA, Pa.--(BUSINESS WIRE)--
InterDigital, Inc. (NASDAQ:IDCC) today announced that it has received
notice indicating that the Chief Administrative Law Judge (ALJ)
overseeing the U.S. International Trade Commission (Commission) action
brought by InterDigital Communications, LLC and InterDigital Technology
Corporation against Nokia Corporation and Nokia, Inc. (Nokia) has filed
an initial determination (ID) finding no violation of Section 337 of the
Tariff Act of 1930. While the company has not yet received the full ID,
the notice indicates that the ALJ determined that the patents, while
valid and enforceable, are not infringed by Nokia's 3G WCDMA handsets.
InterDigital intends to submit a petition for review of the ID to the
full Commission.
"We strongly disagree with the ALJ's determination with respect to
infringement, and we will exercise our right to petition to the
Commission for a review of the ID," said William J. Merritt, President
and Chief Executive Officer of InterDigital. "As the Commission has done
in a recent case involving Tessera Technologies, we would hope that the
Commission will review the ID and, contrary to the ALJ's determination,
find a Section 337 violation."
By rule, InterDigital has 12 days after service of the full ID to submit
a petition for review to the full Commission. The Commission is expected
to decide whether it will review the ID within 60 days of service of the
full ID. If the Commission does not grant a review of the ID, or grants
a review but finds no violation, InterDigital has 60 days to file an
appeal with the U.S. Court of Appeals for the Federal Circuit. If the
Commission grants a review of the ID, the Commission's final
determination is expected to be issued by December 14, 2009. The
Commission can affirm, modify or reverse the ALJ's decision in
developing the Commission's final determination. Should the Commission
review the ID and find a violation of Section 337, the ALJ recommends
the issuance of a limited exclusion order barring entry into the United
States of infringing Nokia 3G WCDMA handsets and components as well as
the issuance of appropriate cease and desist orders.
Mr. Merritt also noted that, "While we are disappointed with the ALJ's
determination, the patents asserted in this case represent a very small
fraction of our total 3G portfolio. We currently hold and continue to
receive patents covering inventions that we believe are essential to the
2G, 3G and emerging LTE standards. Other manufacturers, representing
roughly half the 3G market, have recognized our intellectual property's
strength and relevance and entered into licensing agreements with us.
We, therefore, remain confident in our goal of licensing all
manufacturers of 3G terminal units."
In August 2007, InterDigital filed a complaint with the ITC alleging
that Nokia engaged in unfair trade practices by selling for importation
into the United States, importing, and selling after importation certain
3G handsets and components that infringe four of InterDigital's U.S.
patents.
This press release contains forward-looking statements regarding our
current beliefs, plans and expectations with respect to the Commission
review process. Words such as "expected," "intends," "will" or similar
expressions are intended to identify such forward-looking statements.
Forward-looking statements are subject to risks and uncertainties.
Actual outcomes could differ materially from those expressed in or
anticipated by such forward-looking statements due to a variety of
factors, including, but not limited to, those identified in this press
release as well as an adverse decision by the full Commission. We
undertake no duty to update publicly any forward-looking statements,
whether as a result of new information, future events or otherwise,
except as may be required by applicable law, regulation or other
competent legal authority.
About InterDigital
InterDigital(R) designs, develops and provides advanced
wireless technologies and products that drive voice and data
communications. InterDigital is a leading contributor to the global
wireless standards and holds a strong portfolio of patented technologies
which it licenses to manufacturers of 2G, 2.5G, 3G, and 802 products
worldwide.
InterDigital is a registered trademark of InterDigital, Inc.
For more information, visit: www.interdigital.com
Source: InterDigital, Inc.
Contact: InterDigital, Inc.
Media Contact:
Jack Indekeu, +1 610-878-7800
jack.indekeu@interdigital.com
or
Investor Contact:
Janet Point, +1 610-878-7800
janet.point@interdigital.com