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Samsung & Quinn Emmanuel ordered to pay Apple, Nokia over $2M for leaking secrets

post #1 of 33
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Samsung and its?Quinn Emmanuel attorneys have been ordered to pay over $2 million in legal fees to Apple and Nokia related to the leaking of their confidential patent licensing agreement.?

Samsung sanctions fees


The leak, dubbed "Patent Gate," was first revealed when Samsung's?Dr. Seungho Ahn told Nokia's?Chief Intellectual Property Officer?Paul Melin during negotiations last summer that he knew the confidential terms of the earlier licensing agreement reached between Nokia and Apple.?

Dr. Ahn reportedly claimed to have access to the terms of the settlement, "because all information leaks," but the court noted also that Samsung's representative "recited the terms and indicated that his lawyers had told him what they were."

An investigation into the matter indicated that the leak occurred because Samsung's Quinn Emmanuel lawyers failed to respect the confidentiality of the documents Apple was required to provide "for attorneys' eyes only" during the discovery phase of the iPhone patent infringement trial.

The documents were shared with Samsung by?Quinn Emmanuel and then casually passed around internally within Samsung, even to the point of being?openly used as a bargaining tool against Nokia in subsequent patent negotiations.?Quinn Emmanuel didn't inform Apple of the breach until months later, and Apple subsequently asked the court to sanction both Samsung and its attorneys as a public shaming for their behavior.

Quinn Emmanuel was sanctioned by the court in a ruling that initially did not appear to also address Samsung as bearing direct responsibility in the matter.

However, as noted in a ruling by U.S. District Court Judge Paul S Grewal this week, "after reviewing the materials unearthed by discovery, the court granted Apple's motion for sanctions against Samsung and its counsel on two grounds: (1) failure to institute sufficient safeguards for third-party confidential information and (2) failure to comply with the notice and cooperation requirements set forth in Section 18(a) of the protective order entered in this case. The court ordered QE to reimburse Apple and Nokia any and all costs and fees incurred in litigating this motion and the discovery associated with it."

Quinn Emmanuel fails to convince the court it shouldn't have to pay



Apple and Nokia claimed extensive legal fees related to their investigation of the issue, resulting in figures that were twice reduced under numerous objections asserted by?Quinn Emmanuel.

Samsung's attorneys urged the court to "substantially reduce Apple's and Nokia's fee requests" in part because it was found that "Apple itself mistakenly failed to redact the terms of its license with Nokia from a document filed on the public docket in October," four months after Samsung announced to Nokia that it had the information. The court rejected this logic.

A second objection by Quinn Emmanuel argued that the investigation was "unnecessary work" with "limited success," claims that the judge ruled were "simply incorrect," noting that "The court's eventual order noted specifically that Samsung and QE's 'willful failure to institute sufficient safeguards for the information warrants sanctions when considered in light of the vast distribution of confidential information that occurred because such protections were not in place.'"

Quinn Emmanuel also argued "that the court should reduce the fees and costs requested because the billing records submitted are insufficiently detailed to allow anyone to evaluate their reasonableness," a third line of logic largely overruled by the court outside of a series of "limited exceptions" detailed in the order.

Judge Grewal completed a final review of the legal fees and has now ruled that Samsung and its attorneys must pay the amount claimed by Apple and Nokia within 30 days.?

"No later than 30 days from this order, Samsung and QE are to pay Nokia a total of $1,145,027.95 and Apple a total of $893,825.77 in fees and costs," the judge wrote in his order.?

post #2 of 33
That'll learn them
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post #3 of 33
And you thought Nixon had a patent on dirty tricks.

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post #4 of 33

2m? That is encouraging people like Samsung to cheat again.

post #5 of 33
Quote:
Originally Posted by bayTed View Post

2m? That is encouraging people like Samsung to cheat again.

That was my thought too. Even for Quinn Emmanuel that's pocket lint.

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"That (the) world is moving so quickly that iOS is already amongst the older mobile operating systems in active development today." — The Verge
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post #6 of 33
Quote:
Originally Posted by AppleInsider View Post

Samsung and its?Quinn Emmanuel attorneys have been ordered to pay over $2 million in legal fees to Apple and Nokia related to the leaking of their confidential patent licensing agreement.?
 

Legal fees? No fines?

What legal fees are they having to pay?

Only the legal fees Apple & Nokia incurred investigating the issue of the leaks?

 

Samsung and its Quinn Emmanuel attorneys leak info in a lawsuit.

Apple & Nokia find out about it and sue (and it costs them $2M). and win.

and they only get the legal fees they spent to sue for the leaks?

No fines or sanctions or anything else against Samsung/Quinn Emmanuel for leaking the info?

 

So what was the point of even bringing the case if nothing else is done?

post #7 of 33
There should be more punishment.
post #8 of 33
Are these maffiosi related to the holier-than-thou Rahm Emmanuel?
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post #9 of 33

"He's a fair cop."

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GOA

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GOA

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post #10 of 33
Any bets on whether they will ever pay any amount on this?
post #11 of 33

Two million is a damn joke. This only encourages future criminal behavior from the crooks involved.

 

I want to see people behind bars. I want to see people's lives ruined.

post #12 of 33
It seems like if you have enough money that you can do anything you want and avoid any legal consequences.
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post #13 of 33

Is this the same agreement that Apple also made publicly accessible for a while, or was that from a different case?

post #14 of 33
Quote:
Originally Posted by brlawyer View Post

Are these maffiosi related to the holier-than-thou Rahm Emmanuel?

Or hotter-than-thou Emmanuelle!

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"Apple should pull the plug on the iPhone."

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post #15 of 33
Quote:
Originally Posted by AppleInsider View Post

Samsung's attorneys urged the court to "substantially reduce Apple's and Nokia's fee requests" in part because it was found that "Apple itself mistakenly failed to redact the terms of its license with Nokia from a document filed on the public docket in October," four months after Samsung announced to Nokia that it had the information. The court rejected this logic.
Quote:
Originally Posted by d4NjvRzf View Post

Is this the same agreement that Apple also made publicly accessible for a while, or was that from a different case?

Maybe if you read all of it, you can find out.
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Better than my Bose, better than my Skullcandy's, listening to Mozart through my LeBron James limited edition PowerBeats by Dre is almost as good as my Sennheisers.
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post #16 of 33

It seems odd that Samsung & Quinn Emmanuel would get fined for "leaking" information that Apple made publicly available (even if it were an accident), but I'll trust the judgement of those in the courtroom who have much more information about the subject then any of us.

post #17 of 33
I bet these leaks happen all the time, but only Samsung was evil and dumb enough to use them in a negotiation. Those in the know would disseminate only rumours to those in actual negotiations and they would round the numbers and say "we bet... ". When money is involved, the probability of corruption approaches 100 %
post #18 of 33

A mere monetary penalty is meaningless to high-falutin lawyers and wall-street types.  The penalty here should be requiring the offender to work full-time with satisfactory performance in an Apple (or Nokia) production line in a Chinese factory for a year (2,000 hr) at the prevailing wage.  Yes, they get paid, but only the same rate as any other line worker.

 

And of course they will be required to live in a worker's dormitory and eat in the factory cafeteria most meals as well.  THAT will be the punishment.  :)

post #19 of 33
Quote:
Originally Posted by bayTed View Post

2m? That is encouraging people like Samsung to cheat again.
Agreed, that should be $2 Billion .
No doubt gator-aid will explain why this was all a mistake.
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From Apple ][ - to new Mac Pro I've used them all.
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post #20 of 33
Come on, 2M? Seriously ? It should be 200M
post #21 of 33
Samsung's business model appears to be making mediocre clones of high quality products developed by other companies. When sued by those companies, Samsung has the financial resources to prolong litigation for years, while earning profits on stolen ideas. They then offer to settle out of court for pennies on the dollar.

The financial cost to Samsung and its legal counsel needs to be substantial in order to deter such unethical practices.

For the record, I purchased a Samsung "Smart TV" with great expectations and found it to be anything but smart. The user interface is terrible. Just more more example of mediocre design. Just once I'd like to see Samsung come up with totally new ingenious and revolutionary product developed by Samsung.
post #22 of 33
Quote:
The documents were shared with Samsung by?Quinn Emmanuel and then casually passed around internally within Samsung, even to the point of being?openly used as a bargaining tool against Nokia in subsequent patent negotiations.?Quinn Emmanuel didn't inform Apple of the breach until months later, and Apple subsequently asked the court to sanction both Samsung and its attorneys as a public shaming for their behavior.

 

It would appear Apple was never really interested in money for what SamScum and Quinn did, they just wanted them shamed. I guess, in law circles, losing this case has put shame on Quinn and Sammy. Maybe Samedung should be forced to put an apology to Apple and Nokia on its website, I seem to have a vague recollection of this happening to some other company.

post #23 of 33
Quote:
Originally Posted by Apple ][ View Post
 

Two million is a damn joke. This only encourages future criminal behavior from the crooks involved.

 

I want to see people behind bars. I want to see people's lives ruined.

 

I am surprised you don't want to see them executed, which was your suggested punishment for whoever in China leaked some info which AI was happy to report on.  It is hard not to surmise that you are making some biased value judgement based on ethnicity or nationality.


Yeah, the USA needs more people behind bars.  You better watch out, someone might pass a law making having a thoroughly obnoxious personality a crime and then you could be joining them.

post #24 of 33
Quote:
Originally Posted by cnocbui View Post
 

 

I am surprised you don't want to see them executed, which was your suggested punishment for whoever in China leaked some info which AI was happy to report on.  It is hard not to surmise that you are making some biased value judgement based on ethnicity or nationality.


Yeah, the USA needs more people behind bars.  You better watch out, someone might pass a law making having a thoroughly obnoxious personality a crime and then you could be joining them.

 

Maybe just disbar some of the juniors, hired as scapegoats.

Better than my Bose, better than my Skullcandy's, listening to Mozart through my LeBron James limited edition PowerBeats by Dre is almost as good as my Sennheisers.
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Better than my Bose, better than my Skullcandy's, listening to Mozart through my LeBron James limited edition PowerBeats by Dre is almost as good as my Sennheisers.
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post #25 of 33

I'm not surprised that Grewal, again, ruled in Apple & Nokia's favor.  In 2012, Grewal also rejected Samsung's charge against Apple's evidence spoliation, reasoning that Samsung's motion was one day past the tentative deadline, or one day after he'd accepted Apple's charge against Samsung.  Grewal's ruling was later overturned after a brief public outcry.

 

In this case again, both MOFO and QE leaked their licensing agreements with other parties, but Samsung's law firm QE is punished disproportionately while Apple's law firm MOFO's leak or "willful failure to institute sufficient safeguards for the information" is overlooked.


Edited by tooltalk - 6/24/14 at 7:42am
post #26 of 33
Quote:
Originally Posted by tooltalk View Post

I'm not surprised that Grewal, again, ruled in Apple & Nokia's favor.  In 2012, Grewal also rejected Samsung's charge against Apple's evidence spoliation, reasoning that Samsung's motion was one day past the tentative deadline, or one day after he'd accepted Apple's charge against Samsung.  Grewal's ruling was later overturned after a brief public outcry by Koh.

In this case again, both MOFO and QE leaked their licensing agreements with other parties, but Samsung's law firm QE is punished disproportionately while Apple's law firm MOFO's leak or "willful failure to institute sufficient safeguards for the information" is overlooked.

So how about I come steal your TV because at some future point you will throw it away.

Under your reasoning that can't be a crime.
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Better than my Bose, better than my Skullcandy's, listening to Mozart through my LeBron James limited edition PowerBeats by Dre is almost as good as my Sennheisers.
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post #27 of 33
Quote:
Originally Posted by cnocbui View Post
 

Yeah, the USA needs more people behind bars.  

 

It's not that the USA needs more people behind bars, we need the right people to be behind bars.

 

If I were king, I'd release all people from prison who were there for silly non-crimes, such as weed, those people do not belong behind bars, and that would make more room for others to be placed behind bars, those who deserve it.

post #28 of 33
Quote:
Originally Posted by Chris_CA View Post

Legal fees? No fines?
What legal fees are they having to pay?
Only the legal fees Apple & Nokia incurred investigating the issue of the leaks?

Samsung and its Quinn Emmanuel attorneys leak info in a lawsuit.
Apple & Nokia find out about it and sue (and it costs them $2M). and win.
and they only get the legal fees they spent to sue for the leaks?

No fines or sanctions or anything else against Samsung/Quinn Emmanuel for leaking the info?

So what was the point of even bringing the case if nothing else is done?

They weren't bringing a "case". They were complaining to the court that was hearing an existing case it was related to.

Samsung's counsel was pretty lackadaisical in handling court-sealed documents, and Samsung managment took it a few steps further to intentionally share information with other Samsung executives when they no doubt knew the Judge had intended those docs for attorneys eyes only. Worse, Samsung then reportedly used that ill-gotten info in a negotiation with Nokia. Both counsel and Samsung were in the wrong and both deserved a penalty for it.
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post #29 of 33
Quote:
Originally Posted by DroidFTW View Post

It seems odd that Samsung & Quinn Emmanuel would get fined for "leaking" information that Apple made publicly available (even if it were an accident), but I'll trust the judgement of those in the courtroom who have much more information about the subject then any of us.

Two wrongs don't make a right. Again both need to be evaluated individually.
post #30 of 33
Quote:
Originally Posted by cnocbui View Post
 
Quote:
Originally Posted by Apple ][ View Post
 

Two million is a damn joke. This only encourages future criminal behavior from the crooks involved.

 

I want to see people behind bars. I want to see people's lives ruined.

 

I am surprised you don't want to see them executed, which was your suggested punishment for whoever in China leaked some info which AI was happy to report on.  It is hard not to surmise that you are making some biased value judgement based on ethnicity or nationality.


Yeah, the USA needs more people behind bars.  You better watch out, someone might pass a law making having a thoroughly obnoxious personality a crime and then you could be joining them.

 

You're one to speak-you're Irish!

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"If the young are not initiated into the village, they will burn it down just to feel its warmth."
- African proverb
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post #31 of 33
Quote:
Originally Posted by Benjamin Frost View Post
 

 

You're one to speak-you're Irish!


What makes you say that?

post #32 of 33

Our English friend is probably seeing that your username, cnocbui, here on AI is claiming to have a location of "Ireland" and is concluding that it means you're Irish. Not a totally absurd conclusion, though fallible since people move all over the world.

post #33 of 33
Quote:
Originally Posted by TeaEarleGreyHot View Post
 

Our English friend is probably seeing that your username, cnocbui, here on AI is claiming to have a location of "Ireland" and is concluding that it means you're Irish. Not a totally absurd conclusion, though fallible since people move all over the world.


His conclusion is wrong.  People do indeed move around.  There was a second meaning to my query relating to his assertion that all Irish people have obnoxious personalities.

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