Technology Update

Samsung Could Cut IP Ties With SanDisk

Stock quotes in this article:SNDK, AAPL, INTC 

ST Microelectronics(STM), which also owns a number of flash patents, has been engaged in IP litigation with SanDisk for at least four years, with neither side having completely prevailed yet.

Changes in the legal playing field may also embolden Samsung. Preliminary injunctions - court orders which bar an alleged patent infringer from selling its wares before a trial begins - are not granted as readily in federal district court as in years past, say some lawyers.

"More judges are viewing money damages [granted at the end of a trial] to be sufficient to take care of any harm caused to the plaintiff," says John Ferrell, a partner at Silicon Valley law firm Carr & Ferrell.

"I think this dispute has been going on for so long, that from a preliminary injunction standpoint, the judges are wary to the argument that there's irreparable harm," Ferrell says. "After so many years of litigation between Samsung and SanDisk, the view is they'll be able to find some way to pay money damages."

With the injunction option more difficult to get, both firms undoubtedly are considering the costs of legal confrontation. That said, SanDisk won its past injunction not in federal district court, but at the ITC.

It's clear though, that many of the rules of engagement have changed dramatically since the last time the two chipmakers tangled. Whatever happens, the next fight should Samsung choose to wage it will provide plenty of fireworks, and plenty of work for lawyers.

>To order reprints of this article, click here: Reprints

TheStreet Premium Services

Jim Cramer
Jim Cramer's Action Alerts PLUS:
Trade right alongside a Wall Street pro — enjoy access to his Charitable Trust portfolio and be sent trade alerts BEFORE he makes a move. Learn More
OptionsProfits
OptionsProfits:
Get 50+ trade ideas a week from the industry's top options experts. Plus — exclusive commentary on market trends and essential trading tools. Learn More
Real Money
Real Money:
Our team of professional Wall Street Pros — including Jim Cramer, Doug Kass, and Nicholas Vardy — delivers intelligent analysis, timely trade ideas, and colorful commentary. Learn More
Stocks Under $10
Stocks Under $10:
Break into the market with small- and mid-cap stocks... all $10 or less! David Peltier tells you exactly which low-priced stocks he's buying and selling. Learn More
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
blog comments powered by Disqus
Dow Jones S&P 500 NASDAQ 10-Year Note
12,393.45 1,310.33 2,827.34 15.81
Oil *
101.78
DOWN
26.41
DOWN
2.99
DOWN
10.02
DOWN
0.44
10 Yr
1.58%
SPDR Gold
151.62
-0.21%
-0.23%
-0.35%
-2.71%
Data delayed 20 minutes

Top Stories and Tools

Articles From

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

We respect your privacy.
Podcasts

Connect with TheStreet