Input 2021.03.05 15:30 | Revision 2021.03.05 15:45
LG Energy Solutions has infringed on the trade secrets of electric vehicle batteries. SK innovation (096770)It was revealed that the proposed settlement amount differs between the amount desired by the company and in trillion units. He also said that the United States would claim punitive damages if negotiations were not made.
LG Energy Solutions held a conference call on the 5th and said, “Over the past 10 years, battery R&D investment amounted to 5.3 trillion won, including facility investment, a total of 20 trillion won.” He said, “It was at least 5.3 trillion won in unfair profits.”
LG Energy Solutions said, “If SK admits the decision of the US International Trade Commission (ITC) and negotiates with it, it plans to flexibly negotiate the settlement payment method.” Said. He added, “After the final ITC decision on the 10th of last month, we have recommended SK to resume negotiations, but we have not received any contact.”
According to the US Federal Confidential Protection Act (DTSA), LG Energy Solutions could claim future damages and even punitive compensation if an agreement is not reached. According to DTSA, compensation can be claimed in four broad categories: actual damages and unfair gains, expected future damages, punitive damages up to 200%, and related expenses including attorneys’ fees.
LG Energy Solution Daewoong Pharmaceutical (069620)and Medytox (086900)Take the example of. ITC reported that Daewoong Pharmaceutical invaded Medytox’s trade secrets in December of last year, and banned Daewoong Pharmaceutical’s Botox product Nabota from importing and selling in the US for 21 months.
LG Energy Solutions said, “Daewoong Pharmaceutical has agreed to about 400 billion won with Medytox. The size of the Botox market is less than one-tenth of the electric vehicle battery market. You will be able to gauge how much compensation will increase.”
He said, “It is a decision made by the ITC through sufficient investigation, listening to opinions, and contemplation over two years, so it would be reasonable and good for the future to accept (results) even now and communicate with a sincere attitude.”
When asked if the settlement money with SK Innovation would cover the cost of recalling the battery of Hyundai Kona’s electric car, she answered, “I don’t think about receiving the settlement money.”
On this day, SK Innovation insisted that SK’s battery technology is completely different from that of LG. Regarding this, LG Energy Solutions said, “The basic process of making battery cells does not differ greatly by company, and SK’s claiming that they are different seems to be talking about the difference in some processes of rolling or stacking cells.” When the final ITC decision was released on the same day, SK Innovation said, “We started developing battery technology in 1982 and already signed a supply contract in 2011.” Insisted.
Regarding the possibility of the US President’s veto on the ITC decision, LG said, “It is difficult to predict what the head of a foreign government or agency will do, and it is not right to comment.” The contents to protect are systematically reflected. The White House will also consider that part enough to make a judgment,” he said.