ITC Referees Apple, Samsung Dispute

The International Trade Commission today received a complaint from Apple, asking it to ban Samsung's devices in the U.S., as the regulatory body begins to play a greater role in patent litigation cases.

Apple asked the ITC to ban South Korea-based Samsung's smartphones and tablets in the U.S as they allegedly violate Apple's patents. The Cupertino, Calif.-based company says Samsung copied its designs with the Galaxy S smartphone and Galaxy Tab tablet and demands Samsung either change its devices or halt shipments.

The Apple filing is the latest in an ongoing saga between the two tech giants. They have been at each other's throats since April, when Apple first alleged Samsung 'slavishly' copied its iPhone and iPad designs.

Samsung didn't take the accusation lying down, and the fight has now escalated into a legal mud-slinging match with various suits and countersuits being filed in jurisdictions around the world.

The ITC filings may be each company's way of speeding up what is turning into a long-running legal battle. The ITC now has two complaints on its hands, one from Apple and another filed last week from Samsung asking for a ban on Apple products in the U.S.

While the companies throw equal punches at each other, the ITC is saddled with the parental responsibility of arbitrating. Normally ITC decisions take much less time to reach than court verdicts, lasting just several months as opposed to several years. This means Apple's legal injunction against Samsung, which it filed yesterday, probably won't mean much unless the litigation drags on for some time.

Samsung and Apple may settle their dispute before the ITC threatens to ban one or the other of their products before the end of the year. Especially for financially unstable Samsung, a ban or product overhaul is too big a risk to take, meaning it would make sense for the company to settle, given the opportunity.

Apple would benefit from a compromise too, since it technically risks having its iPhones and iPads prohibited from selling in the U.S. How realistic this threat is remains to be seen, especially since a court earlier allowed Apple to check Samsung's new devices for copyright infringement but denied Samsung the same favor. Given this ruling, Apple seems to have the upper legal hand in the ITC matter.

Apple may have difficulty compromising with its frenemy, however, as a settlement may mean it will need to license several patents to Samsung. Apple is famously secretive about its copyrights and may not be keen to lend them to rivals, even for a fee.

But Apple can't be certain the courts or the ITC will rule in its favor. In April, the ITC ruled in HTC and Nokia's favor against Apple, determining that the handset makers were not violating any of the company's patents. And this May, the ITC ruled against Apple again, this time siding with Kodak in a copyright case.

As tech companies continue to sue each other to protect their patents, the ITC will likely become even more involved in such cases. It may be that this organization, rather than the courts, will become the main go-to arbiter for copyright disputes in the tech industry since it delivers timely results.

ITC Referees Apple, Samsung Dispute originally appeared at Mobiledia on Wed Jul 06, 2011 4:27 pm.

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