Context: Considering that there are numerous cellular standard-essential patent (SEP) holders and many dozens of car brands, SEP enforcement against automakers is relatively rare. For the most part, the problem is simply avoided by vehicle manufacturers taking an Avanci 4G or 5G license. 225 million vehicles have been licensed through Avanci, and just two days ago it became known that two major implementers of standards, Lenovo and Quectel, joined as licensors (July 17, 2025 ip fray article). This suggests that generally there is a consensus among both licensors and licensees that Avanci’s terms are fair, reasonable and non-discriminatory (FRAND).
What’s new: Two lawsuits have recently been filed by 4G SEP holders against truck maker PACCAR. In the Eastern District of Texas, L2 Mobile Technologies (an affiliate of the Longhorn licensing firm) is suing PACCAR over two 4G SEPs. In the Landgericht MĂĽnchen I (Munich I Regional Court), Acer is asserting a 4G SEP against PACCAR’s European DAF brand. The Munich action was filed just yesterday (Friday, July 18, 2025).
Direct impact: By remaining unlicensed, PACCAR is taking the risk of being slapped with a Texas-size damages award and/or a German injunction. It could seek bilateral licenses from these companies or take an Avanci license, given that both Acer and Longhorn make their patents optionally available via Avanci.
Wider ramifications: Munich is presently the world’s leading SEP injunction venue, a position that is reinforced by the court’s 7th Civil Chamber’s new FRAND guidance (July 18, 2025 ip fray article), according to which high SEP royalties are desirable from an innovation policy perspective and unlicensed implementers must act swiftly and cooperatively if they wish to be deemed willing licensees. Under that guidance, PACCAR would actually already have to be making payments to SEP holders, but at least it would have to hurry up now and start sending checks ASAP.
PACCAR and DAF
Unlike the makers of passenger vehicles, truck makers are lesser-known entiites, so we did some research.
The acronym PACCAR stands for Pacific Car and Foundry Company. The company was incorporated in 1924 under that name and later rebranded as PACCAR Inc. in 1972 to reflect diversification beyond its original foundry operations. The company traces its roots to 1905, originally founded as Seattle Car Manufacturing Company. This makes PACCAR approximately 100 years old in its current form, and 120 years old if counted from the original founding in 1905.
PACCAR is headquartered in Bellevue, Washington, where Amazon (which later moved to Seattle) was founded. Microsoft has significant operations in Bellevue and is headquartered in nearby Redmond.
With 30,000+ employees worldwide, PACCAR generates groupwide sales of §34B. Its market capitalization is approximately $50B, at a level with Ford and General Motors.
The major PACCAR brands are:
- Kenworth
- Peterbilt
- DAF
- Leyland
Kenworth and Peterbilt are best known in North America, with Kenworth serving markets in the U.S., Canada, Mexico, and Australia, and Peterbilt focusing on the U.S. and Canada.
Leyland is PACCAR’s UK-based company specializing in light and medium-duty truck design and production, often working in cooperation with DAF for the European market.
DAF is a leading commercial truck brand in Europe, with manufacturing facilities in the Netherlands (where it was founded), Belgium, Brazil, and the UK, and it exports globally. Germany is one of its key markets. DAF was founded in 1928 by Hub van Doorne in Eindhoven (where Philips is also headquartered) and acquired by PACCAR in 1996. The acronym stands for van Doorne’s Aanhangwagen Fabriek, which translates from Dutch as” van Doorne’s Trailer Factory.” DAF alone makes about 50,000 trucks a year.
Acer v. DAF Trucks (Munich I Regional Court)
Acer, which is more frequently on the receiving end of SEP assertions (June 13, 2025 ip fray article), is asserting EP2400687 (“Method for reference signal pattern allocation and related communication device”) against Dutch PACCAR subsidiary DAF Trucks N.V. and its German subsidiary DAF Automotive GmbH in the Munich I Regional Court.
Acer is represented by Fieldfisher Germany attorneys-at-law Benjamin Grzimek and Dr. Joern Peters (“Jörn” in German), both of whom are also litigating SEPs against Chinese car maker BYD, and df-mp patent attorneys Dr. Dominik Ho and Ben Flocke.
L2 Mobile Technologies v. PACCAR (Eastern District of Texas, Marshall Division, case no. 2:25-cv-705)
Here’s the U.S. complaint, which was filed about a week ago (July 11, 2025), and mentions that PACCAR declined to take an Avanci license despite being contacted:
There are two patents-in-suit, both of which were originally obtained by ASUSTeK:
- U.S. Patent No. 8,321,740 (“Method and apparatus of handling TTI bundling”) and
- U.S. Patent No. 8,392,784 (“Method and apparatus of handling TTI bundling retransmission”).
L2 has requested a jury trial on damages.
The complaint was filed by Fitch, Even Tabin & Flannery’s Jon A. Birmingham and Christopher W. Paulson.