Nokia 2011 Annual Report Download - page 189

consolidated in Milan, and the Milan court dismissed the complaints on January 26, 2012. We have
claimed compensation for the wrongful attempts at product seizure and criminal complaints in the Milan
Court, and sought findings of invalidity and non-infringement of some of the asserted patents. Those
cases are on-going.
Since IPCom filed its first action against Nokia, 60 IPCom patents have been found invalid as granted
or conceded by IPCom. We believe that the allegations of IPCom described above are without merit,
and we will continue to defend ourselves vigorously against these actions.
Apple
On October 22, 2009, after an impasse was reached on license negotiations that had commenced in
2007, Nokia filed suit against Apple in the US Federal District Court for the District of Delaware alleging
that Apple’s iPhones infringe Nokia’s essential patents and seeking damages based on FRAND royalty
rates. Apple counterclaimed alleging that Nokia infringed certain of its patents. During 2009 and 2010,
Nokia and Apple commenced further US patent litigation against each other in the ITC in Washington,
DC, the Delaware Federal District Court, and the United States District Court for the Western District of
Wisconsin.
On September 27, 2010, Apple commenced patent infringement proceedings against Nokia in the High
Court of the UK and in the Düsseldorf District Court in Germany. Nokia counterclaimed both in the UK
and in Düsseldorf and commenced proceedings against Apple in the Mannheim District Court in
Germany. Apple counterclaimed in Mannheim against Nokia. On December 3, 2010, Nokia also
commenced proceedings against Apple in the District Court of The Hague in the Netherlands.
On June 14, 2011, before any of the cases reached final judgment, the parties reached a settlement of
all patent litigation between the companies, including the withdrawal by Nokia and Apple of their
respective complaints to the ITC, and under which they granted a license to each other of their
essential patents as well as certain other patents. The financial structure of the license agreement
consists of a one-time payment payable by Apple and on-going royalties to be paid by Apple to Nokia
for the term of the agreement. The specific terms of the contract are confidential.
Digitude
On December 2, 2011, Digitude Innovations LLC filed two complaints against Nokia. The first action is
pending in the US Federal District Court for the District of Delaware and alleges that certain of our
Lumia smartphones infringe four of Digitude patents and seeking unspecified damages. Digitude also
filed a complaint with the ITC in Washington, DC based upon the same four patents and seeking to
ban Nokia from importing certain Lumia smartphones into the United States. The ITC action was
instituted by the ITC on January 13, 2012 and has a target date for completion of July 18, 2013. The
Delaware case will likely be stayed pending the ITC action.
We believe that the allegations of Digitude described above are without merit, and we will continue to
defend ourselves vigorously against these actions.
ERISA & Securities Litigation
On February 5, 2010, a class-action lawsuit was filed against Nokia Corporation and three of its former
executives in the United States District Court for the Southern District of New York pursuing remedies
under the Securities Exchange Act of 1934 (the “Exchange Act”). An amended complaint was filed in
the same lawsuit on August 23, 2010 alleging that throughout the class period, the defendants failed to
disclose alleged material adverse facts about Nokia’s business, including specifically that: (i) Nokia was
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