The Delhi High Court has directed Micromax to pay one per cent royalty to Ericsson for using the Swedish equipment maker's patented technologies in its mobile phones.
A bench of Justice G S Sistani, however, said this was purely an "interim arrangement" and would be paid on a quarterly basis from the date of filing of the suit (March 2013) till the present date for all sales made by Micromax in India.
"It is made clear that the order is purely an interim arrangement and is not a determination of the FRAND (Fair, Reasonable and Non-Discriminatory) rates for the Ericsson portfolio. The defendant shall not rely upon the rates (fixed by the court) before the competition authorities or any other forum as it is not final in nature," the bench said.