South Korean battery manufacturer LG Energy Solution Ltd (LGES) has ended its two-year legal battle with Sunwoda Electronic Company Ltd over intellectual property rights, by reaching an agreement to license its patents to its rival Chinese battery manufacturer.
Tulip Innovation Kft, an independent patent licensing company based in Hungary that manages and licenses lithium-ion battery patents on behalf of LGES and Panasonic Energy, confirmed that LGES and Sunwoda have entered into a patent license agreement under Tulip’s lithium-ion battery licensing programme.
Go deeper with GlobalData
Discover B2B Marketing That Performs
Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.
Tulip Innovation said in a statement: “Following the agreement, the parties will withdraw pending legal actions in Germany, China, and Korea, resolving all issues relating to LGES and Panasonic Energy battery technology for Sunwoda and Sunwoda’s customers,” adding that the terms of the agreement remain confidential.
Tulip Innovation confirmed that the two companies “agreed that by resolving global legal proceedings through the execution of a license agreement was in the best interests of both parties, as well as their respective businesses, customers, and stakeholders. The resolution eliminates the uncertainty, disruption, and significant costs associated with continued litigation.”
LGES pointed out that the agreement was a validation of its efforts to protect its intellectual property, stating that the “agreement reaffirms the principle that companies dedicated to technological innovation should be fairly compensated for their contributions. As an ‘original innovator’ that has helped drive the growth of the battery industry, we will continue to foster a healthy industrial ecosystem where companies can compete fairly.”
