Apple to pay over $500 million to PlanOptis, over patent violations: US court

WION Web Team New Delhi, Delhi, India Aug 12, 2020, 02.49 PM(IST)

Apple Photograph:( Reuters )

Story highlights

FRAND refers to terms that are "fair, reasonable and non-discriminatory" and is the IT industry standard for technology use.

Texas court has ruled against Apple telling them to pay more than $500 million in damages and interest for 4G patent infringements held by intellectual property company PanOptis. 

According to the local media, Apple will appeal the decision. 

PanOptis dragged Apple to court after claiming it refused to pay for the use of 4G LTE technologies in its smartphones, tablets and watches. PanOptis specializes in licensing patents. 

"The plaintiffs have repeatedly negotiated with Apple to reach an agreement for a FRAND license to the Plaintiff's patent portfolios which Apple is infringing," the court filing read.

FRAND refers to terms that are "fair, reasonable and non-discriminatory" and is the IT industry standard for technology use.

"The negotiations have been unsuccessful because Apple refuses to pay a FRAND royalty to the Plaintiff's license."

According to the legal publication, Apple argued unsuccessfully that the patents were invalid.

"Lawsuits like this by companies who accumulate patents simply to harass the industry only serve to stifle innovation and harm consumers," Apple said in a statement reported by media outlets.

This the second time that the Texas court has ruled out a verdict against Apple Inc. The first time it demanded the tech giant to pay hundreds of millions of dollars to VirnetX -- another company specializing in patent litigation.

On its website, PanOptis offers to manage its clients' patents, allowing them to concentrate on "innovation and new development."

(Inputs from AFP)