Nokia has landed up with one more licensing agreement decision favoring it. The International Court of Arbitration of the International Chamber of Commerce has given its decision for arbitration between Nokia and LG Electronics.
This decision is binding on both parties and Nokia will get onetime catch-up revenue and the ongoing licensing revenue under this arbitration decision. Nokia will disclose the resulting patent licensing revenue from this agreement in its quarterly income statement. The revenue for the agreement is expected to be recognized in the third quarter of 2017.
The International Court of Arbitration of the International Chamber of Commerce has issued its award for the binding arbitration between Nokia and LG Electronics. The companies had previously agreed that this would settle the royalty payment obligations for the royalty-bearing smartphone patent license from Nokia Technologies announced in June 2015.
While details of the arbitration award and license agreement remain confidential, Nokia will follow its existing practices for disclosing patent licensing revenue in its quarterly announcements and expects that revenue for the agreement will be recognized in the third quarter of 2017, including an element of non-recurring catch-up revenue, with additional revenues expected during the term of the agreement.