Samsung won a largely unexpected legal victory against Apple yesterday that could potentially stop the sale of early model iPhones and iPads. The U.S. International Trade Commission, which has jurisdiction over certain trade practices, ruled that Apple violated a Samsung patent related to tech used to send data over wireless networks. Devices in question include the iPhone 4, iPhone 3GS, iPad 3G, iPad 2 3G and iPad 3 (the more current iPhone 5 and fourth-generation iPad were unaffected).

The patent document describes “an apparatus and method for encoding/decoding a transport format combination indicator (TFCI) in a CDMA mobile communication system.”

“Unless vetoed by President Barack Obama or blocked by an appeals court, the ruling would bar the importation of certain iPhones and iPads made to work on AT&T Inc.’s network,” reports The Wall Street Journal.

The Samsung and Apple rivalry has spilled into courts as the companies compete to capture the global smartphone market.

“Last year, Apple won a jury trial and $1 billion in damages against Samsung over iPhone patents,” notes the article. “Tuesday’s ruling, which Apple has vowed to take to a federal appeals court, raises the incentives for the two sides to reach a more comprehensive settlement. But so far, both sides offered no hint at a settlement.”

The ruling coincides with President Obama’s announced initiative for proposed legislation to rein in patent trolls and minimize companies turning to the ITC to settle patent disputes.

According to WSJ, the ITC is “an appealing legal option for patent holders, particularly tech companies, because the trade body can issue orders banning the importation of products that infringe upon another company’s patents. Legal observers say it is easier to win an import ban at the ITC than it is to win a federal court ruling that would block product sales.”

The decision was a surprise to some since initial review by an ITC judge suggested Apple’s products were not infringing Samsung patents.

“We are disappointed that the Commission has overturned an earlier ruling and we plan to appeal,” said an Apple spokeswoman, adding that the decision “has no impact on the availability of Apple products in the United States.”

“Samsung is using a strategy which has been rejected by courts and regulators around the world,” she claimed.

According to a Samsung representative: “We believe the ITC’s Final Determination has confirmed Apple’s history of free-riding on Samsung’s technological innovations.”

Related News:
Tech Firms Back Obama Patent Move, The Wall Street Journal, 6/4/13