Philips has been hit with a setback in its actions against alleged violations of its optical disc patents, as authorities in some European countries have ruled that the company does not have the right to demand that authorities seize DVD-R shipments.
Philips has been seeking to have custom authorities in Europe seize imports of CD-R and DVD-/+R discs whose makers Philips claims have failed to pay royalties. However, its actions have backfired, with channel distributors in Europe filing countersuits against Philips, the sources said.
Authorities in Italy and Belgium have recently ruled that Philips' claims to patents for DVD-R are disputable and rejected its case against distributors, the sources said.
Philips Taiwan today declined to comment, saying it was consulting with the company's headquarters in Holland over the issue.
The sources indicated that the distributors in Europe plan to sue Philips for compensation over losses incurred when their optical disc shipments were impounded by customs offices because of Philips' complaints.
Story source:
digitimes.com.
