ZTE Corp., the Chinese mobile telecommunications company locked in patent disputes with Vringo Inc. (VRNG) in multiple jurisdictions, said today that the Patent Re-examination Board of the State Intellectual Property Office of the People’s Republic of China invalidated three Vringo patents because of lack of invention.
Shenzhen, China-based ZTE said the three Vringo patents invalidated by the review board were numbered 201010526581.4, 200580010576.5 and 200580026870.5, respectively.
The board, which last year invalidated two other Vringo patents, is also reviewing ZTE’s applications to invalidate more than 20 other Vringo patents.
“The latest rulings by the Patent Re-examination Board further vindicate ZTE’s approach to license intellectual property based on their merits,” said Shen Jianfeng, Chief Intellectual Property Officer of ZTE in a statement. “This should discourage some patent holders from attempting to negotiate licensing agreements that are based on a broad portfolio of intellectual property, without thoroughly examining their respective merits.”
Officials from New York-based Vringo declined comment.
Shares of Vringo fell 2.76% or 1.53 cents to 54 cents in midday trading on the Nasdaq.
ZTE said the decisions in China followed Vringo’s efforts to license to ZTE a broad patent portfolio, including patents that were invalidated by the Patent Re-examination Board.
The Chinese company said it “steadfastly opposes all forms of abuses of intellectual property by non-practicing entities that use the threat of litigation and injunction to support their demands for unfair licensing fees.”
ZTE said it is committed to defending the company against actions brought by Vringo in Europe, Asia and South America. The company is involved in litigation in Germany over patent EP1186119, the European equivalent of 201010526581.4. In Australia, ZTE is defending a case involving patent AU2005212893, the Austrailian equivalent of 200580010576.5.
Last week, the District Court of Dusseldorf rejected Vringo’s claims against ZTE over two patents (Patents ‘EP 136’ and ‘EP 941’) that allegedly relate to hotspot functionality in mobile devices and the use of Google Maps respectively. Vringo Germany has the right to appeal the decisions of the District Court of Dusseldorf.
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