Justices side with Samsung in dispute with Apple
The US Supreme Court has now unanimously voted to overturn the $399 million award the latter got after the former infringed on its design patents.
The justices made a decision to send the case back to an appeals court to rule how much the copied design contributed to Samsung’s profits. Two lower courts ruled in Apple’s favor on design-patent infringement.
Apple initially sought $US930 million ($1.2 billion) from Samsung, which was successfully reduced to $US548 million ($735 million) last May. “The lower court’s interpretation of design patents, which allowed someone to sue based on an ornamental feature and reap the entire profits of someone else’s product, would have had a chilling effect on investment and the development of products – especially in the tech sector”.
While Apple and its supporters had argued that Samsung’s similar design would weaken protections of new creations, Samsung and its proponents said the laws would stifle innovation.
The case also served as something of a proxy battle for other information, telecommunications, and technology companies.
The ruling allows a reconsideration of some damages Samsung owes Apple.
After a trial in 2012, Apple was awarded almost $930 million in damages.
That cut Samsung’s damages back by $382 million. Apple demanded heavy damages from the South Korean company.
In court, Samsung, Apple, and the US government agreed that the term could mean an element, Reuters reports. Unfortunately, the justices did not offer a road map to all juries and lower courts on how to go through similar disputes in the future.
The $399 million was part of a $930 million award Samsung was ordered to pay by a trial court.
Apple claimed Samsung infringed on three design patents, including the front face of the device, the rounded corners of its smartphones and colorful square icons. Apple said the verdict was fair because the iPhone’s success was directly tied to its distinctive look.
Samsung argued damages should be calculated based on the components related to the infringement.
But the Supreme Court disagreed.
For the first time in a century, the US Supreme Court has weighed in on how much design patents are worth. It was just one of many cases around the world as the rivals sparred both in the marketplace and in the courtroom.