26 July 2021
Matter: Interdigital Technology Corporation & Ors. v. Xiaomi Corporation & Ors.
Order dated: 03 May 2021.
Summary:
A suit filed by Interdigital Technology Corporation (“Interdigital”) against Xiaomi Corporation (“Xiaomi”) seeking injunction against Xiaomi for alleged infringement of patents of Interdigital. The brief facts are as follows:
(a) 09 June 2020: Xiaomi filed suit before the Wuhan court to determine the global royalty rate based on which they could obtain licence from Interdigital;
(b) 29 July 2020: Interdigital filed a suit before the Delhi HC (“DHC”) seeking injunction, alleging infringement of certain patents by Xiaomi, held and registered in the name of Interdigital;
(c) 04 August 2020: Xiaomi filed anti-suit injunction for a restraint against Interdigital from prosecuting its suit before the DHC; and
(d) 23 September 2020: Wuhan court granted injunction directing Interdigital to withdraw its application seeking injunction before the DHC.
Pursuant to the Wuhan court’s directions, Interdigital filed an application before the DHC seeking injunction against Xiaomi from enforcing Wuhan court’s directions. The DHC considered the following factors to decide whether injunction against enforcement (“Anti-Enforcement Injunction”) of the Wuhan court’s directions may be granted or not – a) the principle of comity i.e., the principle in accordance with which the courts of one state or jurisdiction give effect to the laws and judicial decisions of another, not as a matter of obligation, but out of deference and respect; b) difference between anti-suit and anti-enforcement injunctions; c) principles from foreign jurisprudence; e) possibility of conflicting orders and f) distinguishing the grounds of Wuhan court’s directions.
After a detailed analysis of the, the DHC also noted that it was the only court which had jurisdiction to entertain the subject matter. Considering the above factors along with the circumstances of the case, the DHC granted an Anti-Enforcement Injunction i.e., injuncted Xiaomi from enforcing the Wuhan court’s directions. A detailed analysis of this order is available here.
For further information, please contact:
Souvik Ganguly, Partner, Acuity Law
al@acuitylaw.co.in
