Microsoft: Samsung should pay $6.9 million as interest

Samsung made royalty payments on time to Microsoft during the first fiscal year after they signed their 2011 agreement, the lawsuit said.

By: Reuters | San Francisco | Published:October 5, 2014 1:20 am

Microsoft Corp is demanding $6.9 million interest from Samsung Electronics in a dispute over smartphone patent royalties, according to a lawsuit unsealed by a New York federal court on Friday.

Microsoft is asking the court to rule that it did not breach a business collaboration agreement with Samsung, and that Samsung must pay interest on more than $1 billion in royalty payments which it delayed in protest at Microsoft’s planned purchase of rival Nokia’s handset business.

A redacted version of the lawsuit was filed by Microsoft in August.

Samsung made royalty payments on time to Microsoft during the first fiscal year after they signed their 2011 agreement, the lawsuit said.

However, after Microsoft announced the Nokia deal in September 2013, Samsung initially refused to make another payment, arguing that the Nokia deal breached its licensing agreement with Microsoft. It eventually paid late without adding interest, according to the lawsuit.

Samsung did not immediately respond to a request for comment on Friday.

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