(Original Publish Date: 5/9/2013)
In this framework, the court rejects Motorola's suggested royalties because of the different context of settlement in which they arose. But it accepts Microsoft's suggestion of rates received in patent pools even though such rates could be on the “low end” of the royalty range. The article concludes that, as the first determination of RAND terms by a U.S. court, Judge Robart's opinion will garner much attention. But it may not be replicated so easily as it benefited from the availability of a range of comparable rates and was able to isolate the discrete minor contribution that Motorola offered to the standards. Finally, the ruling increases the hurdles faced by owners of standard essential patents (SEPs), who confront investigations by competition agencies on both sides of the Atlantic for seeking injunctions after promising to abide by RAND obligations.