Microsoft Files Legal Action Against Samsung: Reports

(RTTNews) - Microsoft (MSFT) Friday reportedly filed legal action against Samsung Electronics (SMSN.L, SSNNF.OB, SSNLF.OB) in U.S. District Court, Southern District of New York, claiming a breach of 2011 agreement signed between the two companies to share patents.

According to the agreement, both the companies cross-licensed patents for each other's products. Microsoft got royalties from Samsung for phones and tablets that use some of the U.S. company's patented technology. The two companies said they would work together to develop and market Windows Phone, Microsoft's mobile software.

The reports further said that under a 2011 deal, Samsung paid Microsoft an undisclosed amount for each Android phone and tablet it sells.

"We don't take lightly filing a legal action, especially against a company with which we've enjoyed a long and productive partnership. After spending months trying to resolve our disagreement, Samsung has made clear in a series of letters and discussions that we have a fundamental disagreement as to the meaning of our contract", David Howard, Microsoft's deputy general counsel, said in the company blog.