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Thursday, January 13, 2011 9:14:11 PM
I agree, this is definitely going to add some clarity to the parties' positions and chances of winning. I think NOK has been very arrogant all along, and with their record of pulling legal victories out of the hat they probably figured they could keep dragging this out indefinitely. I believe their attorneys have been telling them to stay the course, that they still have a good case and may well pull out another win at the CAFC.
But today may have been a turning point. Dunner did a good job of focusing on the 3 or 4 key issues that could lead to a complete reversal or remanding of the case back to the ITC. The judges were clearly asking questions that show where their focus is at this stage, and there are several angles they could take that would put NOK in a precarious position. So now NOK has to decide if they want to let this play out and give up even more leverage in the negotiations. I don't think the NOK attorneys can continue blowing smoke at this point. I think they have to tell NOK that this may go against them. Perhaps that will be enough to force NOK to make the right business decision and settle.
Personally, I think NOK and IDCC have agreed that NOK is infringing on certain patents, but they disagree on a couple of important ones like this short code/power ramp-up patent family. They may have agreed to a couple of royalty rates depending on how this comes out. But if NOK takes this to a decision IDCC may throw out those agreed rates and demand a higher rate. Just my opinion, but I think with today's performance NOK will either settle or they will end up with a much higher rate in the end than they would get by settling now.
i_q
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