Victory for Nokia Corporation (ADR) (NYSE:NOK) Against HTC; Twitter Facing Lawsuits as well
A very important victory has befallen Nokia Corporation (ADR) (NYSE:NOK) in a legal battle against HTC Corp. It was decided by the London Patents Court that HTC has infringed on a Nokia’s European Patent (“Modular Structure for a Transmitter and a Mobile Station” patent) involving QUALCOMM chips. Nokia will now hope to get an import ban put on one of HTC’s smartphones and seek compensation consisting of an amount that is yet unknown.
Taiwan based HTC expressed its disappointment in the decision and plans on appealing; however the situation doesn’t seem favorable for HTC. Nokia has signed an agreement in America with QUALCOMM, Inc. (NASDAQ:QCOM) called as Exhaustion Doctrine. Nokia claims that HTC did not have the right to use the technology in the UK.
According to a statement by the Judge on the case, if the license cannot be sold in the UK then no licensee purchaser can be in the position to sell it. He said that HTC could not have won any greater rights to purchase QUALCOMM chips than the rights given by Nokia to QUALCOMM under their agreement.
In another turn of events a $24 million lawsuit was filed on Wednesday against Twitter, Inc by two different financial companies, Continental Advisors and Precedo Capital. This lawsuit was filed only a few days before Twitter was set to make a debut on the New York Stock Exchange. Both financial companies claim that Twitter deliberately staged a failed private sell-off of its shares in order to attract investor interest just before its IPO.
According to this lawsuit, Twitter wanted the financial companies to make a market that was private and artificial so that Twitter could verify the existence of a private market where its shares were at $19 per share. This would allow Twitter to set its own artificial floor price at its IPO somewhere around $17 to $20 – the price range that was set by Twitter – this would give the social networking site a $10.9 billion valuation at the most. According to a Twitter spokesperson, these allegations are completely false.
In the current session, shares of Nokia Corporation (ADR) (NYSE:NOK) went down by -0.52% ($7.58) and shares of QUALCOMM, Inc. (NASDAQ:QCOM) went up by 0.23% ($69.17).