Samsung Electronics Co. Ltd. is looking to join Nokia Corp. in its legal disagreement with wireless technology company InterDigital Communications Corp. Samsung is requesting international arbitration in its fight against InterDigital and that its case be combined with that of Nokia.
InterDigital outlined the legal proceedings in filings with the Securities and Exchange Commission. The company’s stock was down slightly after the news to about $19.57 per share.
Nokia in July asked for mediation through the International Chamber of Commerce, International Court of Arbitration in its disagreement with InterDigital. Nokia argued that it owes InterDigital no royalties, an argument it based on the deal InterDigital struck with L.M. Ericsson and Sony Ericsson Mobile Communications in March. Under the deal, Ericsson must pay InterDigital an annual fee of $6 million for sales of infrastructure equipment, and Sony Ericsson will pay a royalty on each licensed product sold. Nokia is seeking an order requiring InterDigital to provide Nokia with access to various documents related to previous litigation, negotiations and arbitration with other parties. Pending access to the requested documents, Nokia is also seeking to prevent arbitration proceedings that would determine royalty amounts it potentially owes to InterDigital.
According to InterDigital’s SEC filing, Samsung is essentially asking for the same things. Samsung is seeking to have the ICC determine its obligations to InterDigital and to access documents related to the now-settled Ericsson litigation.
InterDigital said it would contest Samsung’s claims.