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Court of Appeals Rules in Favor of Samsung, Reversing $382 Million of $930 Million Verdict for Apple

Summary: Although Apple previously won a $930 million verdict against Samsung for its Galaxy S smartphone design, that award has now been reduced by $382 million.

Samsung and Apple began battling in court years ago about Samsung’s alleged “borrowing” of the early iPhone designs. Eventually, Apple won a $930 million judgment against Samsung. However, that decision was quickly appealed, and now over a third of the original award has been reversed, due to a ruling that Apple’s trademarks on the design of the original iPhone were not valid. However, many at Apple still perceive the ruling as a victory, according to Reuters, since the majority of the award still stands.

Samsung and LG recently dropped their legal dispute.

Android Police reports that the court has ruled that $382 million of the original award must be reversed because of “trade dress dilution.” Basically, Apple argued that the Galaxy S phones, created by Samsung, looked too similar to the iPhone, notably the way Apple packaged and presented the phone to consumers. Apparently, Apple argued that it owned the rounded rectangle look, but the court has now ruled that Apple cannot claim the trademarks because they are necessary for the function of a smartphone. Specifically, the overall look of the iPhone—a rectangular phone with rounded corners; a flat, clear surface; and black borders could not be protected, according to the New York Times.

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The first trial was held in 2012, but Apple was unable to have the Galaxy S banned from being sold to consumers in 2013. At that time, Samsung had updated its designs to look less like the iPhone.

Last year, a judge rejected Apple’s request for a permanent injunction against Samsung.

Additional appeals would have to be heard in the Supreme Court, but many are doubtful that the court would accept the appeal. Samsung will probably have to pay up at this point.

In February, a court ruled that Apple must pay over $500 million for patent infringements for its iTunes software.

Source: Android Police

Photo credit: nomalys.com

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