UPDATE: Court Issues Ruling In Rambus, Samsung License Case
28 Abril 2009 - 11:27AM
Dow Jones News
A U.S. district court Tuesday rejected claims by Samsung
Electronics Co. (005930.SE) that it was entitled to lower royalty
payments on certain licenses with chip-design firm Rambus Inc.
(RMBS).
The court ruled that Samsung's "most-favored licensee" status
couldn't be extended to licenses later than June 30, 2005, the date
an earlier license was set to expire. Additionally, the court said
Rambus was not capped in the patent damages it could seek for
infringement after this date based on royalty payments made by
Infineon Technologies AG. (IFNNY)
Samsung, which licenses some elements of chip design from Los
Altos, Calif.-based Rambus, had argued that the favored status
should be extended, and also covered next-generation products.
However, the U.S. District Court for the Northern District of
California denied these claims and also ruled that Rambus did not
fail to negotiate in good faith an extension or renewal license
despite Rambus' failure to prove Samsung had breached audit
provisions for the license.
Rambus shares were recently down 3.4% to $11.40. The stock
jumped more than 18% Monday after another California judge ruled
that Rambus can pursue its antitrust claims against other memory
chip makers, including Samsung, Hynix Semiconductor Inc.
(000660.SE) and Micron Technology Inc. (MU), Bloomberg
reported.
Rambus is involved in a legal battle with chip makers to enforce
its patents related to memory chip technology, with developments in
the cases often leading to sizable swings in Rambus's share
price.
Neither Rambus nor Samsung were immediately available for
comment.
-By Jerry A. DiColo; Dow Jones Newswires; 201-938-5670;
jerry.dicolo@dowjones.com