Replies to post #39985 on InterDigital Inc (IDCC)

[mschere]

Question:If Ericsson entered into a merger of EQUALS with Motorola for their combined handset division sales..would there be the same concerns by Nokia..even if Motorola was not one of the named OEM's in their contract with IDCC? Ericsson did not exit their handset business by selling out to Sony..It is a 50/50 JOINT VENTURE..enhancing the Total sales of the Ericsson Parent Corp..IMO:It is a non-event for Nokia....and in the real World..IDCC has had their IP validated and 2G rate established by an extra entity..Sony..

[ellismd]

What rate concessions did IDCC give ERICY for Infrastructure? In my opinion that will be the rate NOK settles for or will recive from Arb.

[marlong13]

Isn't it standard practice to state something to the effect "or its successors" in legal documents? Apparently that isn't in this contract?

[ziploc_1]

Loop:

Thanks for your really clear discussion of the two main arguments of Nok.They are:
1. Ericy/Sony does not qualify as a mentioned OEM under option three. This will be decided by the arbitration panel and not a court.
2.If Nok loses argument 1 in arbitration, then they will challenge the circumstances by which the rate was set via the Ericy/Sony deal.This would need to be settled with the help of the court in opening the documents which would then be reviewed by the arbitrators.

It seems probable that the panel would begin to look at argument 1 soon. This could occur simultaneously with Nok petitioning the courts for the documents. Idcc must prevail in Argument 1 or it it all over and argument 2 becomes moot. I think their chances of winning argument 1 are excellent. Assuming they win in 1 and win in Judge Lynn's decision, then I doubt that the arbirators would delay for years while Nok exhausts its appeals. I believe the panel would not take more than a year to decide. I feel that it is likely that in the end Idcc would be paid a substantial amount if not everything they are requesting. Idcc is not asking for 5% but .5% royalties. Nok signed a contract. What did they think they were going to have to pay? I'm sure arbitators have a sense of fairness.