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Samsung opts for Arbitration in bid to resolve dispute with Microsoft

Written by Rehana Ali on 10 October 2014

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 The request was filed just days ago in the Hong Kong office for the International Court of Arbitration (part of the International Chamber of Commerce).

Microsoft initially issued proceedings in the New York District Court earlier this year and claims that Samsung owes up to $7 Million interest that has accrued due to the delayed payment of royalties  (that were agreed in a cross licensing deal back in 2011).

A term of the licensing deal required Samsung to pay Microsoft for any phones or tablets utilising the android platform.  However after Microsoft purchased Nokia’s mobile handset division this year, Samsung apparently stopped complying with the agreement.

Microsoft have commented that Samsung claim the Nokia acquisition breached their agreement in a number of ways and further stated that Samsungs decision not to honour their agreement was “extraordinary”.

It has been reported that Microsoft are not in agreement to the arbitration request, despite the two companies supposedly agreeing to peace talks last month.

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