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September 16, 2014

AMSC continues to fight Sinovel in Chinese court

Devens-based AMSC said it has broken through another roadblock in the Chinese court system in the company’s trade infringement battle with a former customer.

The energy technology manufacturer brought Sinovel to court in 2011, alleging that the Chinese company used a portion of AMSC’s wind turbine control software source code that AMSC developed for Sinovel's 1.5-MW wind turbines. AMSC is seeking approximately $450 million in monetary damages as well as $6.2 million against the company in a copyright infringement case.

In a statement released Tuesday, AMSC said the Beijing Higher People's Court upheld AMSC's position by rejecting Sinovel's appeal to transfer the case to the Beijing Arbitration Commission. The first substantive hearing in the Beijing copyright infringement case took place at the Beijing No. 1 Intermediate People's Court, AMSC said.

In an unrelated case, an international court recently ordered AMSC to pay $11 million to an Indian firm over an alleged breach of a licensing agreement. The court found that AMSC's wholly-owned subsidiary, AMSC Austria, breached its license agreement with Ghodawat Energy of India. The $11 million award covers damages and costs, including interest, according to AMSC.

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