The trial date for the long-running dispute between West Perth-based intellectual property company ipernica Ltd and Sweden-based Ericsson Inc will commence on March 27, with the trial to be split in the WA company's favour.
The trial date for the long-running dispute between West Perth-based intellectual property company ipernica Ltd and Sweden-based Ericsson Inc will commence on March 27, with the trial to be split in the WA company's favour.
ipernica, formerly QPSX Ltd, alleges Ericsson has not paid royalties on its use of the company's asynchronous transfer mode technology and segmentation and reassembly licence.
ipernica placed its expected royalites at five per cent of the company's global use of the product in the 2003-04 financial year, and three per cent for every year after that.
Federal Court Justice Robert French has also ordered the Ericsson parties to provide further discovery of documents by 12 December 2007.
The full text of an ipernica announcement is pasted below
ipernica ltd (ASX:IPR) provides the following update in respect of its case against Ericsson and others in the Federal Court of Australia.
The case concerns a licence agreement executed between ipernica (formerly QPSX) and Ericsson which provides for payment by Ericsson of royalties at a rate of 5% on Ericsson's global use of ATM Products for the first year from 1 July 2003 and 3% for subsequent years. The company is seeking damages for breaches of the licence agreement, as well as for misleading and deceptive conduct in contravention of the Trade Practices Act 1974 (Cth).
Federal Court decision
Today Justice French made orders in respect of the matters raised at the directions hearing held on 12 November 2007 and set a date for the trial of this case.
Justice French made the following key orders:
- Trial date
The trial has been set to commence on 27 March 2008, for 12 working days. A directions hearing will also be held in February 2008 to finalise any outstanding interlocutory issues.
- Split trial
The trial has been split in the manner proposed by ipernica. Accordingly, issues of liability will be heard and determined at the trial in March next year and issues relating to quantum will be heard and determined separately.
- Discovery
Justice French ordered the Ericsson parties to provide further discovery of documents which relate to authority by 12 December 2007.
- Interrogatories
Justice French granted ipernica leave to serve certain interrogatories on the Ericsson parties by 28 November 2007. The Ericsson parties must answer the interrogatories within 14 days of service.
"We are very pleased this matter is finally coming to trial, now that the spurious crossclaims brought by Ericsson against ipernica have been abandoned by Ericsson," ipernica Managing Director Graham Griffiths said. "This is a very material matter for the parties and we look forward to a successful outcome".
