bulldzr: As i previously posted, IDCC/Huawei, in support of their request to terminate Huawei from the ITC investigation submitted a copy of a discussion draft of a PLA. Specific details were almost entirely redacted; however the introduction (below) was pretty intact. As a 23 page long discussion draft, apparently a great many details were agree upon; however, as indicated it is subject to further revisions
The unanswered questions are to what extent the arbitration results will be used to automatically fill in specific terms of the license, and to what extent additional negotiations may be required to change the draft into a finalized PLA.
InterDigital Group /Huawei Discussion Draft Subject to Fed. R. Evid. 408 and Section 2(a) of Parties’ NDA December 4, 2013
DISCUSSION DRAFT FORM PATENT LICENSE AGREEMENT,
SUBJECT TO FURTHER REVISIONS
THIS AGREEMENT —(REDACTED)— IS A PATENT LICENSE AGREEMENT (the “Agreement”), effective (REDACTED) (the “Effective Date”) (upon issuance of the Award of the Arbitral Tribunal pursuant to the Arbitration Agreement), between InterDigital Technology Corporation, IPR Licensing, Inc., InterDigital Patent Holdings, Inc., DRNC Holdings, Inc., VID SCALE, Inc., and PCMS Holdings, Inc., each Delaware corporations having a mailing address of 200 Bellevue Parkway, Suite 300, Wilmington, Delaware 19809 (individually and together, “InterDigital Group”), and Huawei Technologies Co., Ltd., a Chinese corporation, having a mailing address of Section B, Huawei Base, Bantian, Longgan, Shenzhen 518129, P.R. China and its Affiliate (only so long as it remains an Affiliate) Huawei Device (Dongguan) Co., Ltd. (“Huawei Device China”), a company incorporated under the laws of the People’s Republic of China, with its business office at B2-5 of Nanfang Factory, No.2 of Xincheng Road, Songshan Lake Science and Technology Industrial Zone, Dongguan, Guangdong, China (individually and together, “Licensee” or “Huawei”). (InterDigital Group and Licensee are sometimes referred to herein individually as a “Party” or collectively as the “Parties”.)
PREAMBLE
WHEREAS, as of the Arbitration Agreement Effective Date (as hereafter defined), InterDigital Group, Licensee, and certain of their Related Parties, were parties to a number of legal and regulatory proceedings concerning, among other things, the alleged infringement of certain of the Licensed Patents by Licensee’s sales of Licensee Terminal Units, as well as claims relating to InterDigital Group’s licensing and standards-related conduct, including but not limited to allegations of anticompetitive conduct, unfair competition, violations of obligations to SSOs including IPR Policies of SSOs, claims of breach of contract, waiver, estoppel, patent misuse and implied license, among others;
WHEREAS, InterDigital Group and Licensee entered into the Arbitration Agreement, effective on ____, (the “Arbitration Agreement Effective Date”) which provides, among other things, for the settlement of certain outstanding legal proceedings and for an arbitration procedure (REDACTED)
WHEREAS, as of the Arbitration Agreement Effective Date, (REDACTED) and
WHEREAS, (REDACTED)
NOW, THEREFORE, in consideration of the mutual promises contained herein, the Parties agree as follows:
(The following are the titles of the Articles and Exhibits to the PLA, details of which were mostly redacted in their entirety)
ARTICLE I – DEFINITIONS
ARTICLE II - LICENSE GRANT
ARTICLE III – ROYALTY RATES
ARTICLE IV - TERM/TERMINATION
ARTICLE V - DISPUTE RESOLUTION
ARTICLE VI – PAYMENTS, REPORTING AND AUDIT
ARTICLE VII – CONFIDENTIALITY
ARTICLE VIII - MISCELLANEOUS
EXHIBIT A SAMPLE INVOICE
EXHIBIT B SAMPLE ROYALTY REPORT
