Sun Patent Trust strikes settlement with vivo: UPC action withdrawn

Context: Earlier this year, the UPC’s Court of Appeal (CoA) affirmed the Paris Local Division’s (LD) denial of a preliminary objection (PO) by smartphone maker vivo against licensing firm Sun Patent Trust seeking a determination of fair, reasonable, and non-discriminatory (FRAND) licensing terms as a second bite at the injunction apple (March 20, 2026 ip fray article). The CoA noted that vivo would have to address FRAND anyway, finding no fault with the Paris LD’s decision to relegate the question of admissibility to the further proceedings. In our analysis we discussed that the appellate decision was not a ringing endorsement of Sun Patent Trust’s strategy, but left the door open for now.

What’s new: According to a court document (see below), Sun Patent Trust and vivo have settled the case.

Direct impact: The terms have not been disclosed, so it is not possible to say who benefits more from the deal. vivo definitely mounted some resistance, but Sun Patent Trust is now getting paid.

Wider ramifications: The question of UK-style injunctions where a FRAND determination by the court is another opportunity for a standard-essential patent (SEP) holder to win a sales ban will resurface elsewhere. It also came up in Ericsson v. Transsion, but that one settled out early.