The Federal Circuit has vacated and remanded a lower court's decision in the case of Ericsson v Lenovo concerning standard essential patents (SEPs). This move aims to address potential abuses in SEP licensing. The decision follows an amicus brief filed by ACT | The App Association, representing small and medium-sized developers, urging the reversal of a North Carolina federal court's denial of an anti-suit injunction (ASI).

The ASI was sought against an SEP holder who was simultaneously pursuing injunctions in foreign courts. This action was seen as an attempt to coerce a licensee into accepting a supra-FRAND license before U.S. courts could assess the fairness of their actions.

The court stated that "the ETSI FRAND commitment precludes Ericsson from pursuing SEP-based injunctive relief unless it has first complied with the commitment’s obligation to negotiate in good faith over a license to those SEPs." Compliance with this obligation is crucial for determining whether an ASI will be granted.

This ruling emphasizes that SEP holders' voluntary FRAND commitments prevent them from systematically seeking injunctions or manipulating legal systems across jurisdictions. ACT | The App Association's community, involved in developing IoT-connected devices using standardized protocols, welcomes this decision for its contribution to pro-innovation law and policy in the United States.

ACT | The App Association represents small and medium-sized technology companies globally. Its members include entrepreneurs, innovators, and independent developers within the app ecosystem across various industries. The association advocates for policies that foster innovation and provides resources to help its members secure capital, create jobs, and develop new technologies.