UK Supreme Court Issues Landmark SEP Ruling- Global FRAND Rate Setting for Pool Licenses

by | 28. July 2026 | News

In a decision handed down yesterday  (https://supremecourt.uk/cases/judgments/uksc-2025-0058, Tesla v. Interdigital ), the UK Supreme Court held that UK courts may determine FRAND rates for pool licenses. This is the first time a court (outside of China) assumes it has jurisdiction to set FRAND rates for a global portfolio. The UK Supreme court reversed decisions rendered by the High Court in 2024 and the Court of Appeal in 2025 that had dismissed plaintiff/implementer Tesla´s claim that UK courts set the FRAND rate for a license to the Avanci 5G patent pool. The Supreme Court decision revives the case. The implementer will be able to pursue its claims for determination of the terms of a 5G FRAND license.

The case will certainly have significant implications for future licensing of SEPs. So far, German courts have rejected the view that they should set a global FRAND rate. The UPC has not determined global FRAND rates either. However, recently, the UPCs Court of Appeal, in SunPatent Trust v. Vivo Mobile Communication Co., refused to strike out such a request at a preliminary stage – it remains to be seen how the UPC addresses the issue in the main proceedings.

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