Vringo (VRNG) Reports New Delhi High Court Grants Injunction Against ZTE

November 22, 2013 9:13 AM EST
Get Alerts VRNG Hot Sheet
Price: $1.97 --0%

Overall Analyst Rating:
    BUY (= Flat)

Trade Now! 
Join SI Premium – FREE
Vringo, Inc. (Nasdaq: VRNG) announced that the High Court of Delhi at New Delhi granted an injunction against ZTE Telecom India Private Limited, ZTE Corporation, and Xu Dejun, Chief Executive Officer of ZTE Telecom India Private Limited, for infringement of India Patent No. 243,980, which is owned by Vringo's wholly-owned subsidiary, Vringo Infrastructure, Inc.

Vringo filed suit in the High Court of Delhi at New Delhi on November 7, 2013. The lawsuit alleges infringement of the '980 patent, entitled "Mobile Station Operable with Radio Access Network and a Packet Data Serving Node and a Method for Operating Such Mobile Station." The '980 patent is a standard essential patent for CDMA2000 technology, including mobile handsets, dongles, tablets, and infrastructure equipment.

The High Court found that Vringo has made out a prima facie case of infringement, and granted Vringo an ex-parte ad-interim injunction order restraining ZTE from manufacturing, importing, selling, offering for sale, using, advertising (either directly or indirectly including through third party websites) infringing products, including mobile handsets, dongles, tablets, and infrastructure equipment compliant with the CDMA2000 technology associated with the '980 patent in India. The injunction order also authorizes Indian customs authorities to notify Vringo when such goods are imported into India, subsequently allowing Vringo to petition for the suspension of clearance of the goods. Additionally, the order directs local commissioners to visit ZTE premises in India and prepare an inventory of all infringing products located therein. Such visits began on November 18, 2013.

Background on Vringo v. ZTE Global Litigation

On September 25, 2012, Vringo sent a letter to ZTE asking if it wished to take a global license for Vringo's standard essential patents and others on fair and reasonable terms. ZTE has not responded to this letter. The letter can be found at: http://1.usa.gov/QEGjaw.

Vringo, through its wholly-owned subsidiaries, has filed seven patent infringement cases against ZTE Corporation and its subsidiaries in four countries, and a preliminary inquiry in Spain. The asserted patents relate to wireless infrastructure and handsets, and span seven distinct patent families.

* In the United Kingdom, Vringo Infrastructure filed two cases and asserted three patents in each case related to both infrastructure equipment and handsets. The first trial is expected in the second half of 2014.

* In Germany, Vringo Germany GmbH asserted two patents related to infrastructure equipment. The infringement hearing for EP 1,186,119 was held on November 12, 2013, and the Court stated that it would render its decision on December 17, 2013 at 9:00 a.m. German local time. The infringement hearing for EP 1,212,919 relating to the infringement of ZTE 3G and 4G LTE infrastructure equipment is scheduled for the first half of 2014.

* On September 13, 2013, Vringo Germany GmbH also asserted EP0,748,136, a patent directed to devices, including those with hotspot functionality, that provide data services between two different wireless/cellular network.

* In France, Vringo Infrastructure asserted two patents related to infrastructure equipment. An oral hearing on the merits will be held on December 8, 2013.

* In Australia, Vringo Infrastructure asserted two patents related to infrastructure equipment, handsets and tablets.

* In Spain, the Court notified the parties of its Ruling granting the application filed by Vringo to perform preliminary inquiries (discovery) against ZTE in Spain on the basis of the likely infringement of the Spanish part of European Patent 1,186,119. ZTE is required to deliver to Vringo discovery materials related to ZXSDR Base Stations, which Vringo alleges were introduced and distributed in Spain during the last five years.

On May 15, 2013, Vringo Infrastructure provided ZTE with a term sheet providing for the terms under which it would license its standard essential patents. The term sheet can be found at: http://bit.ly/1c2ZqHH.

On July 3, 2013, Vringo Infrastructure learned that the Patent Reexamination Board of the Patent Office of the People's Republic of China upheld the validity of one of its patents that ZTE sought to invalidate through re-examination.

Serious News for Serious Traders! Try StreetInsider.com Premium Free!

You May Also Be Interested In

Related Categories

Corporate News, Litigation