Monday, June 28, 2021

Recent Essential Facilities Case in China

Jill Ge forwarded me this write-up by the Allen Overy firm, titled Hitachi Metals:  Essential Patents Recognised as Essential Facility in China.  The article discusses a recent decision of the Ningbo Intermediate Court in Ningbo Ketian Magnet Co. v. Hitachi Metals, Ltd., in the court concluded that Hitachi's patent portfolio relating to sintered NdFeB magnets constituted an essential facility, and that Hitachi abused its dominant position by refusing, without objective justification, to license Ningbo.  According to the article, the court ordered Hitachi to pay "damages of RMB4.9 million (approximately USD756,800"), and "in effect required Hitachi Metals to license its patents to" Ningbo.  No indication so far, as I take it, what the licensing terms will need to be. 

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