In Interdigital v. ITC (August 1, 2012), a divided court held that a patent licensing program satisfies the domestic industry requirement at the International Trade Commission.
Interdigital makes money by licensing its patents. It manufactures nothing.
Nokia manufactures cell phones. Remember Nokia cell phones?
InterDigital filed a complaint with the ITC in 2007 asserting that Nokia had violated section 337 of the Tariff Act of 1930, 19 U.S.C. § 1337, by importing Wide-band CDMA handsets that infringed two Interdigital patents. The patents focus on apparatus and methods for controlling transmission power during the “handshake” portion of a wireless cellular communication, which is the portion of the communication in which a cellphone establishes contact with a cellular base station in order to initiate a cellphone call. But Interdigital could only get an exclusion order if it showed that it was protecting a “domestic industry” in the United States. Nokia argued that Inter-Digital’s patent licensing activities did not satisfy the “domestic industry” requirement of section 337, 19 U.S.C. § 1337(a)(2) and (3). Continue reading →