Vonage and Nortel would trade patent licenses but no cash in a pr...

Vonage and Nortel would trade patent licenses but no cash in a proposed settlement, Vonage said Monday. Vonage said Friday that it was “close” to a Nortel settlement that would end suits in the U.S. District Courts for Delaware and the Northern District of Texas (CD Dec 31 p6). Under the deal, each VoIP firm would license three patents from the other, Vonage said. Vonage and Nortel could not sub-license the patents to other companies, a Vonage spokesman added. “Claims relating to past damages and the remaining patents will be dismissed without prejudice.” The parties agree “in principle” but are waiting for final documentation, Vonage said. Nortel is “pleased” with the agreement, a spokesman said.