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Philips Cleared Of Patent Misuse As CD Royalties Case Heads Back To ITC

Law360 (September 22, 2005, 12:00 AM EDT) -- Philips Corporation’s package license agreements for compact disc technology are not considered patent misuse, according to a decision Wednesday in the Federal Circuit. The decision effectively frees the consumer electronics giant to continue asserting them before the International Trade Commission.

Philips asserted its patents for recordable compact discs (CD-Rs) and rewritable compact discs (CD-RWs) in June 2002, initiating an investigation by the ITC of a group of companies that failed to pay royalties to Philips.

The group includes Princo Corporation, Princo America Corporation, GigaStorage Corporation Taiwan,...
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