[서울신문] SK “We can’t accept LG’s demand for compensation” vs. LG “Let’s check the evidence of infringement together”

SK vs LG’shareholders’ battles’ heating up
LG in the remarks of “You can’t pass it over”
SK “No trade secret has been revealed”
LG “Let’s check the evidence of infringement”

LG Energy Solutions and SK Innovation, which are in dispute over the infringement of electric vehicle battery trade secrets, held a sharp battle at their respective shareholders’ meetings. On the 25th, LG first said, “We cannot pass this issue over. On the 26th, the SK side confronted the attack, saying, “We cannot accept LG’s request.” Then, LG suggested, “Let’s check together the evidence of infringement of SK’s trade secrets” and counterattacked again.

SK Innovation Director Lee Myung-young opened a statement at the general shareholders’ meeting held at the Seorin Building in Jongno-gu, Seoul, saying, “I first apologize for causing concern to shareholders by the US International Trade Commission (ITC) litigation in difficult circumstances. . Director Lee served as the chairman of the shareholders’ meeting on behalf of SK Innovation’s general president, Joon Kim, who could not attend the shareholders’ meeting due to a business trip to the United States. It is reported that Kim met with political officials in the United States and worked to persuade SK Innovation to overturn the ITC decision that issued an order to ban battery imports in the United States.

Director Lee said, “While the ITC admits that it is not clear what trade secrets are, the fact that it cited the dubious arguments of competitors without judging the facts about the infringement of trade secrets, which is the essence of the case, because of insufficient document management It’s very sad. “Our battery has been recognized for its discriminatory competitiveness in terms of stability and quality, such as no fire accidents,” he said. “We will do our best to enhance shareholder and corporate value in the legal process that remains in the future.” He emphasized, “However, we reiterate that there is no meaning to continue the battery business in the United States or that the demands of competitors at a level that significantly lowers business competitiveness are unacceptable.”

After the shareholders’ meeting was over, Ji Dong-seop, CEO of SK Innovation’s battery division, said, “I have nothing to say to you other than what was previously announced by the Board of Directors’ Audit Committee” to the reporter’s question, “Is there any progress in negotiations with LG Energy Solutions?”. When asked about the possibility that US President Joe Biden would veto the ITC decision, he avoided responding, saying, “I’m sorry.” Regarding the plan to spin off the battery business, he said, “We are reviewing, but nothing has been decided.

Earlier, vice chairman of LG Chem Shin Hak-cheol said, “It is a pity that (SK Innovation) does not accept the ITC decision and considers the cause to be inexperienced in global disputes. We will take strict measures so that we can receive compensation,” and put pressure on SK.

Immediately after the shareholders’ meeting of SK Innovation that day, LG Energy Solutions said, “It is very regrettable that we have not yet acknowledged the contents of the ITC decision and mislead even the specific facts. Let’s check.” “This lawsuit will not only be a matter between the two companies, but will serve as a touchstone to gauge how important intellectual property rights serve as an important international competitiveness in the battery industry, which is the future growth engine,” he said. “We protect valuable intellectual property rights that we have accumulated over the past 30 years. We will continue to cope with it decisively in the future.”

Meanwhile, SK Innovation, which lost the ITC lawsuit, is doing its best to make the US president veto the ITC’s decision with the last card. Not only General President Kim, but also Chairman of SK Innovation’s Board of Directors Kim Jong-hoon, a former head of the Ministry of Foreign Affairs and Trade, has recently stayed in the United States, urging the administration and the politicians to exercise their veto power. SK Innovation recently hired former U.S. Justice Minister Sally Yeats as a U.S. business advisor to receive legal advice on the battery dispute.

Reporter Lee Young-joon [email protected]