Nokia has decided to take legal action against Research In Motion in hopes of settling a longstanding dispute between the two handset makers with regards to patent licensing. The Finnish phone maker says they are seeking to enforce an arbitration ruling from Stockholm that could possibly prevent RIM from selling devices that contain certain Wi-Fi technology – essentially, their entire lineup.
RIM could reportedly avoid the whole mess if they were to agree to pay a royalty fee to Nokia for using the technology. For their part, the Canadian company claims their patent licensing agreement with Nokia already covers Wi-Fi technology. As such, they don’t feel it’s fair to have to pay extra royalty fees on top of what they are already being charged.
The Arbitrational Institute of the Stockholm Chamber of Commerce, however, disagrees. A ruling dated earlier this month found that RIM was in breach of contract with Nokia because they failed to agree on a royalty to be paid for the Wi-Fi technology. They also concluded that RIM isn’t allowed to sell products that use the Wi-Fi technology until an agreement has been reached.
The court said RIM would be responsible for paying Nokia’s legal fees as well as damages accrued for using the technology without permission. The Stockholm Arbitration court originally heard the case between the two companies.
A Nokia spokesperson said the company is taking legal action in the US, Canada and the UK in order to expand the Stockholm ruling in those regions. RIM declined to comment on the matter.
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