Samsung Electronics won a ruling from London’s High Court on Wednesday allowing it to secure an interim licence to use ZTE’s mobile phone patents, marking a key step in the ongoing legal battle between the two companies.
The case is part of a wider global dispute over fair, reasonable, and non-discriminatory (FRAND) terms for patent licensing in the telecom industry.
Samsung filed a lawsuit in London in December 2024, asking the court to determine FRAND terms for a licence. ZTE has filed related lawsuits against Samsung in China, Germany, and Brazil.
Samsung argued in London that a willing licensor in ZTE’s position would agree to an interim licence while the court reviews the FRAND terms. Both companies submitted competing proposals for the interim licence.
ZTE’s proposal required the FRAND terms to be based on a ruling from a Chinese court.
Judge James Mellor ruled in Samsung’s favour, stating that ZTE acted in bad faith by launching a series of unnecessary legal actions. He said ZTE’s terms aimed to make the UK case irrelevant, pushing Samsung to accept the outcome of ZTE’s court case in Chongqing, China.
This is the first time a court of first instance in England has granted an interim licence declaration in a patent case. English courts have recently accepted the use of short-term licences in similar disputes, such as Amazon vs. Nokia and Lenovo vs. Ericsson, though both of those cases were later settled.
The ruling follows a 2020 UK Supreme Court decision that allows English courts to set global FRAND licensing terms. Courts in China have also claimed the authority to decide such terms.
The outcome of the Samsung-ZTE case may influence how courts around the world approach similar patent disputes.
