Huizhou TCL Mobile Communication Co., Ltd. (“TCL” or “Client”) and Advanced Codec Technologies, LLC (“ACT”) recently signed a mediation proposal agreement at the Supreme People's Court of P.R.C. (“SPC”), officially concluding their multi-year litigation over AMR-WB Standard-Essential Patents (“SEPs”). PurpleVine IP Group ("PurpleVine") provided comprehensive strategic planning, case management, and licensing negotiation support for TCL throughout the process, ultimately facilitating this successful settlement.

In February 2019, ACT filed a lawsuit against TCL at the Shanghai Intellectual Property Court, alleging infringement of six AMR-WB audio codec SEPs and seeking licensing fees. Notably, ACT had previously initiated overseas lawsuits against major corporations including Apple, Motorola, Sony, Samsung, LG Electronics, ZTE, and Huawei based on these patents, ultimately reaching settlements. Within China, ACT has demonstrated significant litigation experience, initiating legal actions in against domestic manufacturers such as OPPO, Xiaomi, Vivo, and Meizu in various cities.

In this case, the PurpleVine team responded promptly, collaborating with the client and external law firm to implement countermeasures, including filing patent invalidation petitions and deploying a defense strategy that covered legitimate source, non-infringement, and patent invalidation defenses. PurpleVine's comprehensive approach secured favorable first-instance judgments for the client, successfully blocking ACT's claims for excessive damages. Notably, the China National Intellectual Property Administration (“CNIPA”) subsequently invalidated one of the six contested patents (ZL99813640.9), providing crucial leverage in subsequent negotiations.

Throughout the proceedings, PurpleVine maintained close communication with the client, coordinated multi-party collaboration, and dynamically adjusted litigation strategies. Through rigorous technical analyses, evidence organization, argument refinement and other professional services, PurpleVine helped establish the client's advantageous position in complex legal and technical disputes. Ultimately, with the mediation of the Supreme People's Court Mediation Tribunal, both parties reached a consensus and formally executed the settlement agreement.

In this case, PurpleVine leveraged its extensive experience in patent litigation and case management to navigate a complex dispute. By closely aligning with the client’s objectives and utilizing its top-tier technical and legal team, PurpleVine delivered targeted strategic planning and efficient case management. Throughout the proceedings, PurpleVine secured favorable licensing terms that maximized the client's commercial interests while protecting its long-term global market presence.

This landmark resolution provides valuable precedent for Chinese enterprises facing similar patent disputes, further validating PurpleVine's distinctive capabilities in patent litigation. The successful resolution case not only demonstrates PurpleVine's expertise in managing complex IP disputes but also reinforces its leading position in litigation management and cross -border intellectual property services.

About PurpleVine IP Group

PurpleVine IP Group, based in Shenzhen, China, is a leading intellectual property service provider with a global perspective. The firm offers one-stop IP services, including patent and trademark prosecution, analysis, global transactions, licensing negotiations, and dispute resolution. The core members of PurpleVine's litigation and dispute resolution team have backgrounds in top international law firms and leading corporate legal departments. They have managed patent litigation and invalidation cases in over 50 courts worldwide. The firm also includes SEP (Standard Essential Patent) experts from the telecommunications industry, who have been involved in hundreds of patent licensing negotiations and litigations.