A settlement agreement was reached Wednesday between Ford Motor Company and LKQ Corporation in the litigation filed by Ford to protect its design patents on collision parts.
The settlement provides that LKQ will not challenge the validity and enforceability of Ford’s design patents during the term of the agreement. In exchange, LKQ will become the only distributor of the aftermarket versions of Ford collision parts protected by design patents. LKQ will pay Ford a royalty for each such part sold during the agreement’s term, which extends through September 30, 2011 subject to renewal upon mutual agreement of Ford and LKQ.