Obama administration vetoes ban on certain Apple devices

The Obama administration on Saturday reversed a decision by a trade agency that would have banned certain Apple devices, including older iPhone models.

The unusual decision to intervene in the case is a blow to Samsung, which had won the legal ruling before the U.S. International Trade Commission in June.

The commission’s ruling, which involved wireless technology patents, would have banned the import of certain Apple devices into the country. Apple assembles most of its devices in China and imports them into the United States.

U.S. Trade Representative Michael Froman announced the decision to overturn the ban in a letter to the ITC. He expressed concern that the ban would allow Samsung to gain “undue leverage” and allow it to charge unreasonable rates for the use of its patented technologies. 

{mosads}Samsung can still pursue patent infringement claims in the courts.  

Samsung said in a statement that it was “disappointed” by the Obama administration’s decision.

“The ITC’s decision correctly recognized that Samsung has been negotiating in good faith and that Apple remains unwilling to take a license,” the Korean company said. 

The ITC decision would have banned the AT&T versions of the iPhone 4, iPhone 3GS, iPhone 3, iPad 3G and iPad 2 3G. It did not cover the newest devices, such as the iPhone 5.

The case is the latest battle in a global legal war between Apple and Samsung, the two largest mobile device makers.

Last year, a federal court in California ruled that Samsung violated a number of Apple’s patents and awarded the iPhone maker more than $1 billion in damages. That award was later reduced.

The ITC ruling in favor of Samsung involved a “standard-essential patent,” which Samsung had agreed to license to other companies on fair and reasonable terms.

The Obama administration has tried to limit lawsuits over standard-essential patents, which cover core technologies that industries agree to use as technical standards. The Justice Department and Federal Trade Commission have warned that lawsuits over standard-essential patents can stifle competition.

The last time a president overturned an ITC product ban was in 1987.

—Updated at 5:09 p.m.