copyright © 2005 fujitsu techno research limited dispute resolution needs and experience takashi...

Copyright © 2005 FUJITSU TECHNO RESEARCH LIMITED

Dispute Resolution Needs and ExperienceDispute Resolution Needs and Experience

Takashi Iwata

Managing Director

Fujitsu Techno Research Limited

April 26, 2005

Conference on

Dispute Resolution in

International Science and

Technology CollaborationWorld Intellectual Property Organization

Arbitration and Mediation Center

Geneva, Switzerland


Fujitsu at a GlanceFujitsu at a Glance

Headquarters: Tokyo, Japan Revenue: 4.7 trillion yen (US$45 billion) R&D Expenditure: 250.9 billion yen (US$2.4 billion) Employees: 156,000 worldwide Principal Business Areas: Software & Services, Computing & Communications Platforms, Electronic Devices

Fujitsu is a leading provider of customer-focused IT and communications solutions for the global marketplace.

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Dispute Resolution NeedsDispute Resolution Needs

1. Options for dispute resolution

Litigation

ADR (arbitration, mediation, etc.)

2. It is better that various options are available for various situations

3. Advantages of ADR in general

Flexible resolution

Business resolution possible

Decision by experts available

Confidential, quick and inexpensive

One-time resolution of all disputes

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International Science and Technology CollaborationInternational Science and Technology Collaboration

ADR : An arbitration clause (all cases) 　

Fujitsu Case -- International Agreements

(1) Joint Research and Development Agreements

ADR (40%)No ADR (60%)

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International Science and Technology CollaborationInternational Science and Technology Collaboration

ADR : An arbitration clause (majority cases) A mediation clause (recently)

cf. Domestic Agreements No ADR clause, but a good faith discussion clause (almost all cases)　

Fujitsu Case -- International Agreements

(2) Patent (or other intellectual property) License Agreements

ADR (54%)No ADR (46%)

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Dispute Resolutions for Various SituationsDispute Resolutions for Various Situations

1. Collaboration Disputes

Situations:

After collaboration agreements are made, disputes arise

regarding ambiguities of the provisions of the agreements.

Disputes arise while collaboration activities are being done

without written agreements.

The best dispute resolution depending on the situation:

Relationship with the other party

Negotiation history

Status of the projects, etc. 6


Dispute Resolutions for Various SituationsDispute Resolutions for Various Situations

2. IPR Infringement Disputes

Situation:

Usually, there is no collaboration or license agreement before

disputes occur.

It is difficult to agree on ADR after such occurrence.

Dispute resolution:

Litigation (typically)

Court-led or -suggested ADR (mandatory or semi-mandatory)

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Fujitsu’s Experience Fujitsu’s Experience

Case Court Why mediation? Mediator

1 Patent Infringement

Litigation

(Electronic device patent)

Virginia,

US

Agreement

Upon suggestion

of the court

Magistrate Judge

2 Patent Infringement

Litigation

(Computer peripheral patent)

California, US

Agreement

after

consideration

obligated by

the court rule

Private mediator

Successful Mediation

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Fujitsu’s Experience Fujitsu’s Experience

Case Court Why mediation? Mediator1 Trade Secret

Misappropriation Litigation(Certain computer system)

New York, US

Court rule Private mediator

2 Patent Infringement Litigation(Flat panel display patent)

California, US

Agreementafterconsiderationobligated bythe court rule

Private mediator

3 Patent Infringement Litigation(Flat panel display patent)

Delaware, US

Court rule Magistrate Judge

Unsuccessful Mediation

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Fujitsu’s ExperienceFujitsu’s Experience

1. Reasons For Successful Mediation:

Before the mediation, both parties had understood each other’s

position to some extent.

Both parties were prepared to compromise.

2. Reasons For Unsuccessful Mediation:

Both parties insisted on their respective positions.

Mediation was held untimely.

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Effectiveness of MediationEffectiveness of Mediation

Mediation is useful for resolution of disputes:

Flexibility to return to the situation of disputes (cf. arbitration)

Resolution on the parties’ initiative and decision

Usefulness of business resolution

Especially, in case of collaboration, the parties are not hostile

and wish to, or are inclined to, continue business relationship.

However, mediation may be useless if the parties do not understand

each other’s position and are not prepared to compromise.

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copyright © 2005 fujitsu techno research limited dispute resolution needs and experience takashi...

Documents

adr clause

technology collaboration

collaboration agreements

joint research

mediation clause

cases fujitsu case

advantages of adr

best dispute resolution