Monday, November 12, 2012

U.K. Court orders Apple Inc. (NASDAQ:AAPL) to pay Samsung’s legal fees for misleading public notice

Apple Inc.(NASDAQ:AAPL) has been ordered to pay rival Samsung's legal fees after the company was found not to have complied with a previous ruling that required it to put up a notice on its website saying that Samsung had not infringed on the design of its iPad.

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According to a report by Groklaw, the Court of Appeal of England and Wales found that the original notice on the Apple website contained inaccuracies and "false innuendo," warranting the payment of Samsung legal fees on an "indemnity basis," which is higher the "standard" basis.

In July a court in U.K. had ruled that Samsung could not have copied the designs of Apple's iPads as the Koran handset maker's devices were not `cool' enough.

It also ordered the maker of iPhones to put up a notice on the homepage of its U.K. site specifically stating that Samsung had not copied its designs.

When the post went up, however, it came in the form of a link to a statement which Apple had modified, adding in three paragraphs of non-compliant text between the ordered material's two paragraphs, Apple Insider said.

The court found the added content to be false and sought to "undermine the intent" of the order, specifically citing a quote from Judge Birss regarding the distinctive nature of Apple products, saying it was taken out of context and "foster[ed] the false notion that the case was about the iPad," the report added.

What has created confusion is that along with the notice, Apple also added references to other court cases between it and Samsung and the U.K. court of appeals said that this would create confusion in the minds of customers and other interested parties.

The court observed that the notice contained "further false innuendo that the UK court's decision is at odds with decisions in other countries whereas that is simply not true."

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