Payton & Associates, LLC
Commercial Litigation Attorneys
Miami, Florida

Apple and Nokia resolve patent dispute

When large companies enter into business together, both businesses are looking out for their own best interests. Sometimes this results in major disputes between the companies. Apple was in the news earlier this year for a battle with Qualcomm over licensing fees. Now, the iPhone maker is in the news again after another business dispute, this time with Nokia.

The two companies were in a dispute over Apple's legal right to use Nokia's patents and other intellectual property. Nokia owns multiple patents used in Apple phones and other devices. The technology giant argued that Apple should pay for any technology used in iPhones and other Apple devices. Apple had announced earlier this year that they would no longer pay to use Nokia's patents, claiming extortion.

Fortunately, the companies have finally come to a resolution and signed a new patent agreement. The complete terms of the agreement have not been announced, but the deal will require Apple to start paying Nokia royalties starting in the second quarter of 2017. Apple has also agreed to stock a number of Nokia's digital health products in stores as a show of good faith.

When business disputes occur, it is important that companies work together to resolve their issues as quickly as possible. A long, drawn-out legal battle can cost a company millions of dollars and damage valuable business relationships. Getting the right information about business law may help companies settle these issues faster. With the case in capable hands, companies will be able to turn their attention to creating and providing quality products and services.

Source: The New York Times, "Apple Settles Legal Dispute With Nokia," Mark Scott, May 23, 2017

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