Determining SEP License Fees and Infringement Compensation

Journal article

1 online resource (pages 967–986)

Headnotes by the Editorial Office 1. Both contracting parties, i.e. a right holder of a standard-essential patent (SEP) and an implementer, should negotiate and conclude contracts in accordance with the principle of good faith. The legal principle of good faith in SEP licensing negotiations is mainly embodied in the FRAND principle. 2. The degree of fault of both parties during the negotiation process of the licensing fee for an SEP is an important factor affecting the determination of liability for compensation. The Court provides several factors to consider when determining whether a right holder or an implementer is at fault during SEP licensing negotiations. 3. When using the ‘comparable agreements method’ to determine the licensing fee rates for SEPs and selecting comparable license agreements, the following factors should be considered: (1) the environment of the license negotiations; (2) the similarity of the licensing entities; (3) the similarity of the licensed patents; and (4) the similarity of the licensing terms.

Crossref

GRUR International ; 73, 10, 2024, 2632-8550.

[Oxford, England] : Oxford University Press (OUP), 2024.

English

https://academic.oup.com/grurint/article/72/3/231/6998505

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