How Antitrust Law Can Make FRAND Commitments More Effective

Posted by Social Science Research Network

How Antitrust Law Can Make FRAND Commitments More Effective

By A. Douglas Melamed (Stanford) &  Carl Shapiro (University of California)

Abstract:     In this article, we argue that the antitrust laws have an important role to play in ensuring that the rules established by standard-setting organizations are effective in preventing the owners of standard-essential patents from engaging in patent holdup after the standard is established and becomes commercially successful. These organizations and their members can violate Section 1 of the Sherman Act if the rules adopted are ineffective in preventing the owners of standard-essential patents from exploiting the ex post monopoly power they gain because of the standard.

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