BorgWarner and Honeywell have settled their lawsuit over a patent infringement which will see Honeywell pay US$32.5m for a licence to use BorgWarner patents.

The lawsuit involved three BW patents relating to the design and manufacture of cast titanium compressor wheels, used in turbochargers. Cast titanium compressor wheels are preferred for commercial vehicle engine applications with high cyclical loads and higher charging pressures. BW's patents were the result of a special development program to find a cost-effective solution for these applications.

"BorgWarner is pleased with its return on this investment -both through the development and sale of innovative products and through the receipt of fees related to patent infringement lawsuits," chairman and CEO Timothy Manganello said.

In a statement, Honeywell said: "[We were] prepared to defend [our] position at trial... but felt the settlement resolving the dispute at a fraction of BorgWarner's claim was the best solution for Honeywell and its customers. BorgWarner had sought damages of more than $100m and asserted the award should be tripled for willful infringement.

"The US Patent Office has reopened examination of the three BorgWarner patents in dispute and has preliminarily found them invalid."